De la Rea v. Subido

G.R. Nos. L-26082, L-27246, and L-27248 · 1968-07-31 · J. DIZON, J.: · Primary: Labor; Secondary: Administrative Law
REITERATION

Facts

The Antecedents: Norberto de la Rea was appointed Auditor and later Corporate Auditor of the National Marketing Corporation (NAMARCO) through promotional appointments issued by the Auditor General. These appointments were subsequently disapproved by the Commissioner of Civil Service. Procedural History: This case involves multiple appeals and motions concerning the validity of De la Rea's appointments, his reversion to his original position as Auditor of Pasay City, the computation of salary differences he was ordered to refund, and a six-month suspension imposed upon him by the Commissioner of Civil Service. The Petition: Petitioner-appellee Norberto de la Rea filed a Motion for Clarification seeking to clarify the length of his service as Auditor and Corporate Auditor of NAMARCO, the basis for computing his refund, his status in the service prior to reinstatement, and the effect of the six-month suspension. Respondents-appellants, the Auditor General and the Commissioner of Civil Service, filed a Motion for Partial Reconsideration, arguing that De la Rea had waived his right to return to his former position as City Auditor of Pasay.

Issue(s)

Whether the six-month suspension imposed upon Norberto de la Rea should be deemed satisfied by the period he has already been out of service due to litigation. Whether the computation of reimbursement for salary differences should be based on specific salary rates and periods, particularly concerning the period before and after the finality of the disapproval of his appointments. Whether Norberto de la Rea waived his right to return to his former position as City Auditor of Pasay.

Ruling

The Court modified its previous decision by deeming the six-month suspension imposed upon Norberto de la Rea as satisfied by the period he has already been out of service due to litigation, which exceeded one year. The Court also clarified the basis for reimbursement, stating that no reimbursement is needed for the period served as Auditor or Corporate Auditor of NAMARCO unless salaries collected exceeded P15,600 per annum or collection continued after disapproval. After the finality of disapproval, De la Rea must reimburse NAMARCO the excess of salaries collected over his P11,400 per annum salary as Auditor of Pasay City. The motion for partial reconsideration by the Auditor General and Commissioner of Civil Service was found to be without merit.

Ratio Decidendi

On Issue 1: The Court found merit in Norberto de la Rea's argument that, in justice and equity, his six-month suspension should be deemed satisfied by the period he has been out of service due to the ongoing litigations, which has already exceeded one year. The Court acknowledged that while De la Rea did not serve the suspension but instead questioned its legality, the prolonged period he was kept out of service as a consequence of decisions and orders related to these cases could compensate for the imposed penalty. Therefore, the Court modified its decision to consider the six-month suspension as compensated by the first six months De la Rea was out of service. On Issue 2: The Court clarified the basis for reimbursement to be made by De la Rea to the National Marketing Corporation (NAMARCO). It reiterated that De la Rea was entitled to collect the salary for the NAMARCO positions he held, but only at the rate of P15,600 per annum, which was the authorized salary for the Assistant General Manager. Reimbursement would only be necessary if, during the period he acted as Auditor or Corporate Auditor of NAMARCO, he collected monthly salaries exceeding P15,600 per annum, or if he continued to collect salary after the disapproval of his appointments became final. Specifically, after the finality of the disapproval, De la Rea must reimburse NAMARCO the excess of whatever salaries he collected from NAMARCO as its Auditor or Corporate Auditor over the salary corresponding to his original position as Auditor of Pasay City, which was P11,400 per annum. The exact dates for these calculations were to be threshed out in further proceedings. On Issue 3: The Court found the motion for partial reconsideration filed by the Auditor General and the Commissioner of Civil Service to be without merit. This implies that the Court maintained its original stance regarding De la Rea's reversion to his position as Auditor of Pasay City and did not accept the argument that he had waived his right to return to his former position. The resolution did not explicitly detail the reasoning for denying this specific claim but indicated it was consistent with the Court's original decision.

Main Doctrine

The Supreme Court clarified that a six-month suspension imposed by the Civil Service Commissioner can be compensated by the period an employee has already been out of service due to litigation, especially when that period exceeds six months. Furthermore, the Court reiterated that reimbursement for salary differences should be calculated based on the difference between the salary collected for the disapproved position and the salary of the original position, specifically for the period after the disapproval of appointments became final. For the period prior to the finality of disapproval, reimbursement is only required if salaries collected exceeded the authorized rate or if collection continued after disapproval.

Access audio review, related cases, codal links, and more.

Open LexMatePH →