CASE TITLE: Olympia Housing Inc. vs.

Lapastora

FACTS OF THE CASE: Respondents Lapastora and Ubalubao filed a complaint for
illegal dismissal, against petitioner Olympic Housing Inc. (OHI). They alleged that
they worked for the latter as room attendants from 1995 and 1997, respectively,
until they were placed on floating status in 2000. OHI later terminated their
employments after they petitioned for regularization. Petitioner OHI on the other
hand, avers that respondents were not their employees, but of another company,
Fast Manpower, a legitimate manpower agency that was responsible for the
provision of OHI’s room attendants.

ISSUE: Whether or not Lapastora (and Ubalubao) was illegally dismissed

RULING: Yes, he was illegally dismissed. Art 280 of the Labor Code defined regular
employment as “where the employee has been engaged to perform activities
which are usually necessary or desirable in the usual business or trade of the
employer…” As adequately pointed out by the Court, Lapastora has been
continuously employed by OHI, which shows that he is a regular employee, and
that his services are needed Since he is a regular employee, he is guaranteed
security of tenure, and so cannot be abruptly terminated from employment. In
this case, OHI failed to prove that respondent’s dismissal was grounded on just
cause; it also failed observe the twin-notice rule in termination cases.

DOCTRINE:
Regular employment is defined by Article 280 of the Labor Code as “where the
employee has been engaged to perform activities which are usually necessary or
desirable in the usual business or trade of the employer.” Regular status of
employment guarantees security of tenure that one cannot be unceremoniously
terminated from employment.