SECOND DIVISION
[G.R. No. 240553. September 10, 2018.]
ROSA R. MEDALLA, JOEL M. ARCILLA, RUBY C. GUECO, RUDY C. ESTARDO, REY D. ISIDORO, ET AL., petitioners, vs.SMART SHIRTS [PHILS.], INC., CHENG JUN GUN, YUSUP1SUVEYKE, ASUNCION B. KALALO, MARISSA G. ARZADON, ET AL., respondents.
NOTICE
Sirs/Mesdames :
Please take notice that the Court, Second Division, issued a Resolution dated10 September 2018which reads as follows: cDCEIA
"G.R. No. 240553 (Rosa R. Medalla, Joel M. Arcilla, Ruby C. Gueco, Rudy C. Estardo, Rey D. Isidoro, et al.v. SMART Shirts [Phils.], Inc., Cheng Jun Gun, Yusup Suveyke, Asuncion B. Kalalo, Marissa G. Arzadon, et al.)
After a judicious study of the case, the Court resolves to DENY the instant petition 2 and AFFIRM the March 14, 2018 Decision 3 and the July 5, 2018 Resolution 4 of the Court of Appeals (CA) in CA-G.R. SP No. 144080 for failure of petitioners Rosa R. Medalla, Joel M. Arcilla, Ruby C. Gueco, Rudy C. Estardo, Rey D. Isidoro, et al. (petitioners) to sufficiently show that the CA committed any reversible error in holding that they are not entitled to the payment of separation pay.
As correctly ruled by the CA, respondent SMART Shirts (Phils.), Inc. (SMART) is not legally mandated to pay separation pay to petitioners under Article 283 (now Article 298) of the Labor Code, 5 as amended, considering that the closure of the business was due to serious business losses, 6 which SMART had sufficiently established through its audited financial statements showing a net loss of P33,755,202.00 in 2010 and P93,813,054.00 in 2011, as well as the National Wages and Productivity Commission's recognition that SMART was a distressed employer, and accordingly, was granted exemption from the wage order's coverage in 2011. 7 Settled is the rule that factual findings of labor tribunals, when affirmed by the CA, are binding on the Court, save for certain exceptions, 8 which do not obtain in this case.
SO ORDERED." (CARPIO, J., on official leave; PERLAS-BERNABE, J., designated as Acting Chairperson per S.O. 2592 dated September 5, 2018; REYES, J., JR., J., designated as Additional Member per S.O. No. 2587 dated August 28, 2018) DHESca
Very truly yours,
MA. LOURDES C. PERFECTODivision Clerk of CourtBy:(SGD.) TERESITA AQUINO TUAZONDeputy Division Clerk of Court
Footnotes
1. "Yusuf Suveyke" in some parts of the rollo. See rollo, p. 176.
2.Rollo, pp. 10-18.
3.Id. at 27-38. Penned by Associate Justice Carmelita Salandanan Manahan with Presiding Justice Romeo F. Barza and Associate Justice Stephen C. Cruz, concurring.
4.Id. at 39-41.
5. Department Advisory No. 1, Series of 2015, entitled "RENUMBERING OF THE LABOR CODE OF THE PHILIPPINES, AS AMENDED" dated July 21, 2015.
6. See Yukit v. Tritran, Inc., G.R. No. 184841, November 21, 2016, 809 SCRA 294, 307-310; Benson Industries Employees Union-ALU-TUCP v. Benson Industries, Inc., 740 Phil. 670, 676-677 (2014); Sangwoo Philippines, Inc. v. Sangwoo Philippines, Inc. Employees Union-Olalia, 722 Phil. 846, 855 (2013), citing Galaxie Steel Workers Union (GSWU-NAFLU-KMU) v. NLRC, 535 Phil. 675, 683-684 (2006).
7. See rollo, p. 29.
8. See Protective Maximum Security Agency, Inc. v. Fuentes, 753 Phil. 482, 504 (2015).