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5/24/23, 8:51 AM G.R. No.

203876

Today is Wednesday, May 24, 2023

Constitution Statutes Executive Issuances Judicial Issuances Other Issuances Jurisprudence International Legal Resources AUSL Exclusive

Manila

FIRST DIVISION

[ G.R. No. 203876. March 29, 2022 ]

ABS-CBN CORPORATION, PETITIONER, VS. CLARA L. MAGNO, RESPONDENT.

DECISION

GAERLAN, J.:

This is a petition1 for review on certiorari assailing the Decision2 dated June 29, 2012 and the Resolution3 dated
October 5, 2012 of the Court of Appeals (CA) in CA-G.R. SP No. 123028. The assailed CA rulings reversed the
Resolutions dated August 24, 20114 and October 28, 20115 of the National Labor Relations Commission (NLRC) in
LAC No. 05-001360-11, which affirmed the Decision6 dated April 13, 2011 of the Labor Arbiter (LA) in NLRC NCR
Case No. 09-12938-10.

The Antecedent Facts

ABS-CBN Corporation (ABS-CBN) is a company engaged in the business of broadcasting television and radio
programs in the Philippines. Respondent Clara L. Magno (Magno) was employed by ABS-CBN since 1992 and
served as a Production Assistant and eventually a Video Tape Recorder (VTR) Playback Operator for its various
programs.7

ABS-CBN alleged that due to the nature of its industry, it was constrained to produce its own television content
to ensure that its prime airtime slots would always have good programs capable of attracting advertisers. It thus
hired professionals and technical personnel, called "talents," to accomplish this.8

In 2002, to ease the rigors of scouting and negotiating with talents, ABS-CBN created the Internal Job Market
(IJM) system. This was essentially a database of accredited technical/creative manpower who offered their services
for a fee. These talents were made to undergo specialized trainings and subsequently comply with an accreditation
process. ABS-CBN would then assign each talent a competency rating and corresponding professional rate of
service.9 In January 2002, despite the general refusal of similarly situated talents, Magno was placed under the IJM
system as a VTR Playback Operator without her consent.10

According to Magno, one of the programs she was assigned to work on was Wowowee hosted by Willie
Revillame (Revillame). She worked on this program for several years and formed friendship with the members of its
production staff. However, Revillame eventually left ABS-CBN and moved to another television network bringing with
him some of his production staff. ABS-CBN then launched Pilipinas Win na Win! (PWNW) on July 31, 2010 to
replace Wowowee.11 Magno was assigned to provide the same services for PWNW.12

One night when Revillame hosted a dinner for his production staff, some of Magno's friends invited her to join.
The management of ABS-CBN learned about this and was allegedly angered. Magno then claimed that her
superiors forced her to resign for being unworthy and disloyal to the network.13 She therefore felt compelled to file
her Resignation Letter14 dated August 16, 2010, which stated:

TO: PHOEBE LUZ ANIEVAS


EXECUTIVE PRODUCER
PWNW
ABS-CBN

FROM: CLARA MAGNO


VTR PLAYBACK OPERATOR

CC: H.R. DEPARTMENT

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RE: RESIGNATION LETTER

As required by my contract of employment, I hereby give you notice of my


intention to leave my position as VTR Playback Operator of the show.

I would like to thank you for having me as part of your team and work for almost
19 years.

Respectfully yours,
(signed)
CLARA L. MAGNO15

Magno alleged that she was constructively dismissed afterwards when ABS-CBN stopped giving her any work
assignments and cancelled her active program assignments.16

Out of dire necessity, she claimed she was forced to take on work in another television network.17 She notably
joined the production staff of Revillame's new show "Willing Willie" as its VTR Playback Operator together with other
employees who used to work for Wowowee.18

Magno thereafter filed a Complaint dated September 13, 2010 against ABS-CBN for illegal dismissal,
regularization, nonpayment of overtime pay, holiday pay, holiday premium, rest-day premium, 13th  month pay,
separation pay, and night shift differential pay, as well as moral and exemplary damages, and attorney's fees.

In the interim, Magno and other employees of the Willing Willie show filed a Complaint-in-Intervention19  on
October 27, 2010 in a civil case between ABS-CBN and Revillame docketed as Civil Case No. Q-10-67770 before
the Regional Trial Court of Quezon City, Branch 84. In this Complaint-in-Intervention, Magno and her fellow
intervenors recounted the circumstances behind their resignation from ABS-CBN and transfer to Revillame.

The parties underwent the mandatory mediation proceedings but no settlement was reached. The parties were
thus ordered to file their respective position papers.

Magno filed a Position Paper,20  Reply,21  and Rejoinder.22  She mainly argued that she should be deemed a
regular employee of ABS-CBN because she has worked there for over eighteen years and the nature of her work
was necessary and desirable to its business. Her employment also passed the "four­-fold test" in determining the
existence of an employer-employee relationship. ABS-CBN directly hired her, paid her salary twice a month,
monitored and controlled her through its supervisors, and clearly had the power to discipline and dismiss her.23

She additionally cited the case of  ABS-CBN Broadcasting Corporation v. Nazareno,24  and the Decision dated
August 13, 2010 of the Office of the Secretary of the Department of Labor and Employment in DOLE Case No.
NCR-OD-M-0911-006 where it was recognized that an employer-employee relationship existed between ABS-CBN
and members of the IJM Workers Union.25

She thus claimed to be constructively dismissed by ABS-CBN when she was forced to resign on account of her
attendance at a dinner with her friends which was hosted by Revillame. She was also denied access to the work
premises despite her other work assignments.26 This did not constitute a just or authorized cause for her dismissal
under the Labor Code. Moreover, ABS-CBN failed to comply with the requirements for procedural due process in her
dismissal 27

With regard to her resignation letter, she alleged that it is evident from the language used that she only intended
to resign from her job at the PWNW program and not from ABS-CBN as a whole.28

In response, ABS-CBN filed its Position Paper,29  Reply,30  and Rejoinder.31  It argued that Magno's Complaint
should be dismissed outright for lack of jurisdiction and lack of cause of action since it had no employment
relationship with her. Magno was an independent contractor hired through the IJM system and it did not exercise
control over the means and methods of her work. In fact, she was hired precisely as an independent contractor who
did not need to be controlled because of her experience, skills, and expertise.32 Her work was also not necessary
and desirable to its usual trade and business which was to broadcast television programs.33

Considering that Magno was not an employee of ABS-CBN, she could not have been illegally dismissed. All her
monetary claims must also be denied as these apply only to cases of illegal dismissal.34

Lastly, it vehemently denied that Magno was forced by her superiors to resign from her job. Her resignation
letter proved her intention to sever any contractual relationship she had with ABS-CBN and debunked her claim of
illegal dismissal.35 It highlighted that she is already working for another television station but still filed this Complaint
in the hopes of extorting money from ABS-CBN.36

The LA Ruling
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The LA rendered its Decision  dismissing Magno's Complaint against ABS-CBN:

IN VIEW OF THE FOREGOING, judgment is hereby rendered DISMISSING the Complaint for


lack of cause of action and/or lack of merit.

SO ORDERED.38

The LA ruled that Magno was not a regular employee of ABS-CBN since she failed to prove that the latter
exercised the determinative element of control over the means and methods of her work. Considering there was no
employment relationship, her claim for constructive dismissal and payment of separation pay, backwages, and
monetary benefits must fail.

Dissatisfied, Magno appealed39 to the NLRC insisting she was constructively dismissed as a regular employee
of ABS-CBN under the IJM system.

ABS-CBN filed an Opposition40 to the appeal asserting that the LA did not err in concluding that there was no
employment relationship with Magno since she was an independent contractor. It further argued that Magno failed to
prove her claim that she was forced to resign.

The NLRC Ruling

The NLRC issued its Resolution41 denying Magno's appeal and affirming the LA Decision:

WHEREFORE, premises considered, judgment is hereby rendered DISMISSING the appeal for


utter lack of merit and AFFIRMING the April 13, 2011 Decision of Labor Arbiter Eduardo G. Magno.

SO ORDERED.42

The NLRC concurred that Magno failed to sufficiently prove that she was a regular employee of ABS-CBN. It
observed that her service engagement with ABS-CBN was not exclusive and she was not prohibited from taking on
jobs with other television networks and production companies.43 Her claim of constructive dismissal must therefore
fail due to the absence of an employment relationship.

Magno filed a Motion for Reconsideration44 of the Resolution, to which ABS-CBN filed an Opposition.45

The NLRC issued a Resolution46 denying the motion for reconsideration for lack of merit.

Undeterred, Magno filed a petition for  certiorari47  with the CA, to which ABS-CBN filed a Comment.48  Magno
alleged that the NLRC committed grave abuse of discretion when it declared that she was not an employee of ABS-
CBN and that she voluntarily resigned from her job.

The CA Ruling

The CA rendered its Decision49  granting Magno's petition and reversing and setting aside the rulings of the
NLRC and the LA:

ACCORDINGLY, the petition is GRANTED. The NLRC Resolutions dated August 24, 2011 and
October 28, 2011 are REVERSED and SET ASIDE and a new judgment rendered:

a) EXEMPTING private respondent Eugenio Lopez III from personal liability arising


from this case;

b) ORDERING  private respondent ABS-CBN to reinstate, without loss of seniority


rights, petitioner Clara L. Magno to the various positions she used to hold and
to pay her the appropriate backwages to be determined and computed by the
NLRC;

c) AWARDING  petitioner P20,000.00 as moral damages and P10,000.00 as


exemplary damages; and

d) GRANTING petitioner 10% of her total money award as attorney's fees.

SO ORDERED.50

The CA concluded that Magno was a regular employee of ABS-CBN because she had rendered necessary and
desirable services for it for over 18 years.51  It also gave weight to the documentary evidence presented to prove
additional badges of her regular employment.

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It further held that the language in the resignation letter was clear that Magno intended to resign as the VTR
Playback Operator only for the PWNW program and not entirely as an employee of ABS-CBN.52 The letter was only
addressed to the Executive Producer of PWNW and expressed her intention to "leave my position as VTR Playback
Operator of the show."53 Hence, ABS-CBN constructively dismissed her when it prohibited her from performing work
in other shows.54 It ruled that she should be reinstated without loss of seniority rights and paid backwages.

ABS-CBN filed a Motion for Partial Reconsideration55 to which Magno filed a Comment/Opposition.56

The CA denied ABS-CBN's motion for partial reconsideration in its assailed Resolution57 dated October 5, 2012
for lack of merit.

Hence, the instant petition.

The Issues

1. Whether or not there was an employer-employee relationship between ABS-CBN and Magno.

2. Whether or not Magno was constructively dismissed.58

The Ruling of this Court

ABS-CBN in its petition59 maintained that Magno was not a regular employee based on the four-fold test but an
independent contractor. It reiterated that Magno failed to prove that she was constructively dismissed and, on the
contrary, resigned voluntarily.

Magno filed a Comment/Opposition60  alleging that she resigned only from the PWNW program and not as an
employee of ABS-CBN. She was thus constructively dismissed when she was prohibited from working in her other
program assignments.

ABS-CBN filed a Reply61  insisting that Magno was not entitled to her claims since these are predicated on a
finding of illegal dismissal.

After a judicious review, this Court finds the petition partially meritorious.

On a preliminary note, the issues for resolution in this case involve questions of fact which require a re-
examination of the evidence. This is outside the scope of a petition for review filed under Rule 45 of the Rules of
Court. Nevertheless, this case falls under a recognized exception to this rule considering the factual findings of the
labor tribunals differ from the CA.62

Magno is a regular employee of ABS-CBN.

This Court has established the four-fold test in determining the existence of an employer-employee relationship.
The elements of the four-fold test include: (1) the selection and engagement of employees; 2) the payment of
wages; 3) the power of dismissal; and 4) the power to control the employee's conduct.63 It is recognized that "[t]here
is no hard and fast rule designed to establish the aforesaid elements. Any competent and relevant evidence to prove
the relationship may be admitted. Identification cards, cash vouchers, social security registration, appointment
letters or employment contracts, payrolls, organization charts, and personnel lists, serve as evidence of employee
status."64

It bears stressing that this Court sitting  en banc  in  Del Rosario v. ABS-CBN Broadcasting Corporation65  (Del
Rosario) already established that there is an employer-employee relationship between ABS-CBN and its talents
under the IJM system. This was based on the application of the four-fold test as follows:

The workers here are employees of ABS-CBN.

The records show that the workers were hired by ABS-CBN through its personnel department.
In fact, the workers presented certificates of compensation, payment/tax withheld (BIR Form 2316),
Social Security System (SSS), Pag-ibig Fund documents, and Health Maintenance Cards, which all
indicate that they are employed by ABS-CBN.

In the same vein, the workers received their salaries from ABS-CBN twice a month, as proven through the pay
slips bearing the latter's corporate name. Their rate of wages was determined solely by ABS-CBN. ABS-CBN
likewise withheld taxes and granted the workers PhilHealth benefits. These clearly show that the workers were
salaried personnel of ABS-CBN, not independent contractors.

Likewise, ABS-CBN wielded the power to discipline, and correspondingly dismiss, any errant
employee. The workers were continuously under the watch of ABS-CBN and were required to
strictly follow company rules and regulations in and out of the company premises.
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Finally, consistent with the most important test in determining the existence of an employer-
employee relationship, ABS-CBN wielded the power to control the means and methods in the
performance of the employees' work. The workers were subject to the constant watch and scrutiny
of ABS-CBN, through its production supervisors who strictly monitored their work and ensured that
their end results are acceptable and in accordance with the standards set by the company. In fact,
the workers were required to comply with ABS-CBN's company policies which entailed the prior
approval and evaluation of their performance. They were further mandated to attend seminars and
workshops to ensure their optimal performance at work. Likewise, ABS-CBN controlled their
schedule and work assignments (and re-assignments). Furthermore, the workers did not have their
own equipment to perform their work. ABS-CBN provided them with the needed tools and
implements to accomplish their jobs.

And just like in  Begino, the fact that the workers signed a "Talent Contract and/or Project
Assignment Form" does not ipso facto make them talents. It is settled that a talent contract does not
necessarily prevent an employee from acquiring a regular employment status. The nature of the
employment does not depend on the will or word of the employer or on the procedure for hiring and
the manner of designating the employee, but on the activities performed by the employee in relation
to the employer's business.

Besides, it must be remembered that labor contracts are subject to the police power of the State
and are placed on a higher plane than ordinary contracts. This means that the Court shall not
hesitate to strike down any contract that is designed to circumvent an employee's tenurial security.
Accordingly, ABS-CBN's Talent Contract, which deprives the workers of regular employment, cannot
stand.66 (Citations omitted)

It was further clarified that these IJM talents hired by ABS-CBN were regular employees of ABS-CBN pursuant
to Article 280 of the Labor Code. This is mainly because they performed functions necessary and desirable to ABS-
CBN's overall business and trade. The Court in Del Rosario elucidated:

Hence, in this respect, there can be no employer-employee relationship between the production
staff of the "block-timers," and owners of the foreign shows and licensed programs, on the one
hand, and ABS-CBN, on the other. This is based on the obvious reason that ABS-CBN had no hand
in the production of the said shows. However, this same ratiocination does not apply to the workers
hired in the self-produced, line-produced, co-produced shows, and live coverages of ABS-CBN.

Notably, an essential characteristic of regular employment as defined in Article 280 of the Labor
Code is the performance by the employee of activities considered necessary and desirable to the
overall business or trade of the employer. The necessity of the functions performed by the workers
and their connection with the main business of an employer shall be ascertained "by considering the
nature of the work performed and its relation to the scheme of the particular business or trade in its
entirety."

Again, this is not the first time the Court has determined that certain workers of ABS-CBN are
regular employees given the tasks that they were engaged in. In  ABS-CBN Broadcasting
Corporation v. Nazareno  (Nazareno), the workers involved were production assistants who were
repeatedly hired but treated as talents. The Court therein ruled that the production assistants were
regular employees as follows:

The principal test is whether or not the project employees were assigned to
carry out a specific project or undertaking, the duration and scope of which were
specified at the time the employees were engaged for that project.

In this case, it is undisputed that respondents had continuously performed the


same activities for an average of five years. Their assigned tasks are necessary or
desirable in the usual business or trade of the petitioner. The persisting need for
their services is sufficient evidence of the necessity and indispensability of such
services to petitioner's business or trade. While length of time may not be a sole
controlling test for project employment, it can be a strong factor to determine
whether the employee was hired for a specific undertaking or in fact tasked to
perform functions which are vital, necessary and indispensable to the usual trade or
business of the employer. We note further that petitioner did not report the
termination of respondents' employment in the particular "project" to the Department
of Labor and Employment Regional Office having jurisdiction over the workplace
within 30 days following the date of their separation from work, using the prescribed
form on employees' termination/ dismissals/suspensions.

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As gleaned from the records of this case, petitioner itself is not certain how to
categorize respondents. In its earlier pleadings, petitioner classified respondents as
program employees, and in later pleadings, independent contractors. Program
employees, or project employees, are different from independent contractors
because in the case of the latter, no employer-employee relationship exists.

  Nazareno applies here. A scrutiny of the Articles of Incorporation of ABS-CBN shows that its
primary purpose is:

x x x To carry on the business of television and radio network broadcasting of all


kinds and types; to carry on all other businesses incident thereto; and to establish,
construct, maintain and operate for commercial purposes and in the public interest,
television and radio broadcasting stations within or without the Philippines, using
microwave, satellite or whatever means including the use of any new technologies
in television and radio systems.

In conjunction therewith, paragraphs 3, 4, and 5 of the same Articles of Incorporation reveal that
ABS-CBN is likewise engaged in the business of the production of shows:

3. To engage in any manner, shape or form in the recording and reproduction of


the human voice, musical instruments, and sound of every nature, name and
description; to engage in any manner, shape or form in the recording and
reproduction of moving pictures, visuals and stills of every nature, name and
description; and to acquire and operate audio and video recording, magnetic
recording, digital recording and electrical transcription exchanges, and to purchase,
acquire, sell, rent, lease, operate, exchange or otherwise dispose of any and all
kinds of recordings, electrical transcriptions or other devices by which sight and
sound may be reproduced.

4. To carry on the business of providing graphic, design, videographic,


photographic and cinematographic production services and other creative
production services: and to engage in any manner, shape or form in post production
mixing, dubbing, overdubbing, audio-video processing, sequence alteration and
modification of every nature of all kinds of audio and video productions.

5. To carry on the business of promotion and sale of all kinds of advertising and
marketing services and generally to conduct all lines of business allied to and
interdependent with that of advertising and marketing services.

Based on the foregoing, the recording and reproduction of moving pictures, visuals, and stills of
every nature, name, and description — or simply, the production of shows — are an important
component of ABS-CBN's overall business scheme. In fact, ABS-CBN's advertising revenues are
likewise derived from the shows it produces.

The workers — who were cameramen, light men, gaffers, lighting directors, audio men, sound
engineers, system engineers, VTR men, video engineers, technical directors, and drivers — all
played an indispensable role in the production and re-production of shows, as well as post-
production services. The workers even played a role in ABS-CBN's business of obtaining
commercial revenues. To obtain profits through advertisements, ABS-CBN would also produce and
air shows that will attract the majority of the viewing public. The necessary jobs required in the
production of such shows were performed by the workers herein.67

The continuous rehiring of the talents by ABS-CBN for its various programs accorded them regular employment
status for the production of television programs.

Guided by the foregoing, Magno is deemed a regular employee of ABS-CBN. She was similarly situated with the
petitioners in Del Rosario who were placed under the IJM system and continuously rehired for various programs. As
a VTR Playback Operator, she rendered services necessary and desirable to the overall business and trade of ABS-
CBN.

The CA aptly observed that Magno proved badges of the employer-employee relationship with ABS-CBN. She
was directly hired by ABS-CBN and provided a company Identification Card.68 ABS-CBN paid for her salaries as
evidenced by her employee pay slips.69  It registered her as its employee in government agencies and facilitated
compliance with her labor requirements. This is supported by documents such as the Certification70 dated April 27,
2006 on the payment of her PhilHealth contributions, PhilHealth Claim Form,71  Memorandum for Withholding Tax
Adjustment,72  Certificate of Creditable Tax Withheld at Source,73  Certificate of Update of Exemption and of
Employer's and Employee's Information74 for the Bureau of Internal Revenue, and her Certificates of Compensation
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Payment/Tax Withheld.  It also issued her a Certification of Employment76 dated March 9, 2004 as a requirement
75

for her application for a housing loan.

ABS-CBN likewise exercised control over the means and methods of Magno's work. It controlled her work
assignments and transfers, and monitored her closely in the accomplishment of her work through its production
supervisors and producers.

Consequently, based on the totality of evidence and consistent with prevailing jurisprudence, Magno was a
regular employee of ABS-CBN.

Magno failed to prove that she was


constructively dismissed.

Having established that Magno was a regular employee of ABS-CBN, it will now be determined if she was
constructively dismissed.

It is well-settled that an employee's claim of constructive dismissal should be established with clear and
convincing evidence. Bare and self-serving allegations of constructive dismissal are insufficient to discharge this
burden of proof.77

It was therefore held in  Rodriguez v. Sintron Systems, Inc.78  (Rodriguez) that the employee could not be
considered constructively dismissed for her failure to prove its factual basis with substantial evidence. 1âшphi1

Moreover, if the employer asserts that the employee resigned from work, it has the burden to prove that the
resignation was voluntary. This is considering "[it] is constructive dismissal when resignation 'was made under
compulsion or under circumstances approximating compulsion, such as when an employee's act of handing in his
[or her] resignation was a reaction to circumstances leaving him [or her] no alternative but to resign.'"79

In this case, a review of the evidence on record warrants a reversal of the CA's ruling that Magno was
constructively dismissed.

Magno claimed she was constructively dismissed because her superiors forced her to resign and she was
denied access to the work premises despite her active work assignments.80 The CA affirmed this and held that ABS-
CBN illegally dismissed her when it acted in bad faith and "totally excluded [her] from its workforce without due
process."81

However, upon closer scrutiny, it is clear that the factual basis of Magno's claim of constructive dismissal was
utterly unsubstantiated. She did not name any of her superiors who allegedly forced her to resign or provide any
details on how this incident transpired. She likewise did not present any evidence that she attempted to work on her
other active assignments but was denied access to the work premises. In the absence of such evidence, her claim
of constructive dismissal was bare, self-serving, and unworthy of credence.

The LA thus held that Magno "failed to substantiate her alleged constructive dismissal. Her purported forced
resignation does not merit any consideration for want of evidence."82

The need for substantial evidence to prove the acts amounting to constructive dismissal is more critical in view
of the fact that Magno filed a resignation letter. Although she claimed that she was forced to file this resignation
letter, the contrary interpretation is equally plausible. It is noted that the tenor of her resignation letter was amiable
and cordial. She even expressed gratitude to the Executive Producer for "having me as part of your team and work
for almost 19 years."83 Based on human experience, these belie her claim of a coerced resignation.

In light of this statement, it is also unclear whether she intended to resign from the PWNW program only or from
being an employee of ABS-CBN altogether. The PWNW program was launched in July 31, 2010 and she filed her
resignation letter only sixteen days later on August 16, 2010. If she intended to resign only from the PWNW
program, it is questionable why she would express gratitude for her work "for almost 19 years."84

Magno and her colleagues explained in their Complaint-in-Intervention85 why they left ABS-CBN and moved to
work for Revillame. They alleged that they were impelled to resign because of the unjustified and unilateral
cancellation of Wowowee and the odious manner Revillame was treated. It can be deduced from their statements
that they resigned voluntarily from ABS-CBN to follow Revillame. The relevant portions of the Complaint-in-
Intervention state:

7. On 31 July 2010, a new noontime show was launched known as Pilipinas Win na Win. The new
show replaced the cancelled Wowowee.

8. The unjustified and unilateral cancellation by Defendant of  Wowowee  and the odious manner
they treated Plaintiff [Revillame] in reneging on their promise to restore Plaintiff

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to Wowowee impelled some if not all of the Intervenors to resign from Defendant [ABS-CBN].

9. Fueled by their belief in the talent and cause of Plaintiff to entertain the Filipino masses and
disgusted by the manner by which Defendant treated Plaintiff, Intervenors who opted to resign from
Defendant, followed Plaintiff and in the process, relinquished their job security and economic
stability with Defendant with nothing but hope that Plaintiff would continue entertaining the Filipino
masses.86

Based on all the foregoing, Magno's claim of constructive dismissal was not established with clear and
substantial evidence. The CA committed reversible error in upholding this ruling without sufficient factual basis.

Necessarily, the CA's grant of backwages and other monetary claims in favor of Magno must also be reversed.
These monetary claims can be awarded only to employees who have been illegally dismissed pursuant to Article
279 of the Labor Code.

Magno was not illegally dismissed but did


not abandon her job at ABS-CBN.

Although Magno was not constructively dismissed, she cannot be considered to have abandoned or forfeited
her employment with ABS-CBN. Abandonment of employment is "the deliberate and unjustified refusal of an
employee to resume his employment."87  This requires (1) the employee's failure to report for work or absence
without valid or justifiable reason, and (2) a clear intention to sever the employer-employee relationship. It is
recognized that abandonment is incompatible with the filing of a case for constructive dismissal.88

As a result, it was explained in Rodriguez that the remedy of "reinstatement" cannot be granted similar to illegal
dismissal cases. This is simply because there can be no reinstatement to a position one is still holding. The Court
will therefore merely declare that "the employee may go back to his work and the employer must then accept him
because the employment relationship between them was never actually severed."89

ABS-CBN should thus accept Magno to her former position, or substantially equivalent position in all her
assigned programs, if these still exist. In the event that these programs no longer exist, she should be reinstated as
part of the IJM work pool of ABS-CBN's regular employees. The exercise of either option shall be without payment
of backwages.

If Magno is not amenable to returning to work in her previously assigned programs, if these still exist, or to be
reinstated as part of the IJM work pool, she is deemed to have voluntarily resigned. In such case, considering her
failure to work was not caused by abandonment or termination, it has been recognized that each party shall bear
their own economic loss.90

WHEREFORE, the petition for review on certiorari is GRANTED. The Decision dated June 29,
2012 and the Resolution dated October 5, 2012 of the Court of Appeals in CA-G.R. SP No. 123028
are  REVERSED  and  SET ASIDE. Respondent ABS-CBN Corporation is  ORDERED  to reinstate
respondent Clara L. Magno to her former position without payment of backwages or other monetary
claims.

SO ORDERED.

Gesmundo, C.J., (Chairperson), Caguioa, Inting, and Dimaampao, JJ., concur.

Footnotes
1
 Rollo, pp. 14-97.
2
  Id. at 850-878. Penned by Associate Justice Amy C. Lazaro-Javier (now a Member of this Court) with
Associate Justices Andres B. Reyes (a retired Member of this Court) and Sesinando E. Villon concurring.
3
 Id. at 992.
4
  Id. at 373-396. Penned by Presiding Commissioner Raul T. Aquino with Commissioners Teresita D.
Castillon-Lora and Napoleon M. Menese concurring.
5
 Id. at 414-415.
6
 Id. at 276-300. Penned by Labor Arbiter Eduardo G. Magno.

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7
 Id. at 374.
8
 Id. at 187-191.
9
 Id. at 192-193.
10
 Id. at 237-238.
11
 Id. at 299.
12
 Id. at 274-275.
13
 Id. at 281.
14
 Id. at 115.
15
 Id.
16
 Id. at 281.
17
 Id. at 242-243.
18
 Id. at 118.
19
 Id. at 124-138.
20
 Id. at 139-158.
21
 Id. at 237-247.
22
 Id. at 271-275.
23
 Id. at 144-145.
24
 534 Phil. 306 (2006).
25
 Rollo, pp. 146-152.
26
 Id. at 242.
27
 Id. at 154-156.
28
 Id. at 242-243.
29
 Id. at 181-216.
30
 Id. at 248-263.
31
 Id. at 264-270.
32
 Id. at 196-204.
33
 Id. at 251.
34
 Id. at 208-209.
35
 Id. at 259.
36
 Id. at 209-210.
37
 Id. at. 276-300.
38
 Id. at 300.
39
 Id. at 301-331.
40
 Id. at 332-372.
41
 Id. at 373-396.
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42
 Id. at 395-396
43
 Id. at 390-391.
44
 Id. at 398-401.
45
 Id. at 402-411.
46
 Id. at 414-415.
47
 Id. at 416-451.
48
 Id. at 452-509.
49
 Id. at 850-878.
50
 Id. at 876-877.
51
 Id. at 866-867.
52
 Id. at 872.
53
 Id. at 115.
54
 Id. at 873.
55
 Id. at 879-931.
56
 Id. at 982-990.
57
 Id. at 992.
58
 Id. at 38-40.
59
 Id. at 14-97.
60
 Id. at 995-1029.
61
 Id. at 1032-1069.
62
 Paredes v. Feed the Children Philippines, Inc., 769 Phil. 418, 433 (2015).
63
 Expedition Construction Corporation v. Africa, 822 Phil. 1044, 1055 (2017).
64
 Marsman & Company, Inc. v. Sta. Rita, 830 Phil. 470, 492-493 (2018).
65
 G.R. Nos. 202481, 202495, 202497, 210165, 219125, 222057, 224879, 225101, and 225874, September
8, 2020.
66
 Id.
67
 Id.
68
 Rollo, p. 159.
69
 Id. at 160-169.
70
 Id. at 171.
71
 Id. at 172.
72
 Id. at 173.
73
 Id. at 174.
74
 Id. at 175.
75
 Id. at 176-180.

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76
 Id. at 170.
77
 Cosue v. Ferritz Integrated Development Corporation, 814 Phil. 77, 86 (2017).
78
 G.R. No. 240254, July 24, 2019.
79
 Pascua v. Bankwise, Inc., 824 Phil. 846, 858-859 (2018).
80
 Rollo, p. 242.
81
 Id. at 875.
82
 Id. at 296.
83
 Id. at 115.
84
 Id.
85
 Id. at 124-138.
86
 Id. at 126.
87
 Tan Brothers Corporation of Basilan City v. Escudero, 713 Phil. 392, 400 (2013).
88
 Borja v. Miñoza, 812 Phil. 133, 147 (2017).
89
 Rodriguez v. Sintron Systems, Inc., supra note 78.
90
 Borja v. Minoza, supra note 88, citing MZR Industries v. Colambot, 716 Phil. 617, 628 (2013).

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