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Case Digest on SGS Far East Ltd. V. NLRC, 286 SCRA 335, February 12, 1998- Labor Law

April 12, 2011

Case Digest on SGS Far East Ltd. V. NLRC, 286 SCRA 335, February 12, 1998- Labor Law

 

Q. Federico was a regular work pool employee of PNCC.   He was employed in 1971 and worked in various construction projects of PNCC.   IN 1979, he worked for a project of PNCC in the Middle East with a salary of $2.20 per hour.   After the completion of the project in 1984, Federico returned to the Philippines.   PNCC then failed to give him work in its local projects.   Consequently, Federico filed a complaint for illegal dismissal and obtained a ruling in his favor.   When the backwages were computed, the NLRC used Federico’s salary rate in the Middle East.   PNCC questions the correctness of the computation and claimed that the computation should be based on Federico’s local wage rate at the time of his transfer to the overseas project.   Decide.

 

A. The NLRC’s computation is erroneous.   Federico was not illegally dismissed while working in the Middle East project.  He was dismissed from the work pool after the completion of the Middle East project.  If Federico were given local assignments after his stint abroad, he would have received the local wage.   This is the “loss” which backwages aim to restore.   The computation should be based on the local rate.

 

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