CASE DIGEST: McBurnie v. Ganzon

 


ANDREW JAMES MCBURNIE, petitioner, vs. EULALIO GANZON, AGI-MANAGERS, INC. and E. GANZON, INC., respondents
G.R. Nos. 178034 & 178117          |              October 17, 2013

 

TOPIC: Alien employment

FACTS:

McBurnie, an Australian nation, signed a 5-year employment agreement with the company EGI as Executive Vice-President who shall oversee the management of the company’s hotels and resorts within the Philippines. He performed work for the company until sometime in November 1999, when he figured in an accident that compelled him to go back to Australia while recuperating from his injuries. While in Australia, he was informed by respondent Ganzon that his services were no longer needed because their intended project would no longer push through.

The respondents opposed the complaint, contending that their agreement with McBurnie was to jointly invest in and establish a company for the management of hotels. They did not intend to create an employer-employee relationship, and the execution of the employment contract that was being invoked by McBurnie was solely for the purpose of allowing McBurnie to obtain an alien work permit in the Philippines. At the time McBurnie left for Australia for his medical treatment, he had not yet obtained a work permit.

ISSUE:

Whether or not petitioner, who is an alien, is an employee of respondent company and was therefore illegally dismissed

RULING:

Considering that McBurnie, an Australian, alleged illegal dismissal and sought to claim under our labor laws, it was necessary for him to establish, first and foremost, that he was qualified and duly authorized to obtain employment within our jurisdiction. A requirement for foreigners who intend to work within the country is an employment permit, as provided under Article 40, Title II of the Labor Code.

 In WPP Marketing Communications, Inc. v. Galera, the Court held that a foreign national’s failure to seek an employment permit prior to employment poses a serious problem in seeking relief from the Court for one cannot come to court with unclean hands. To grant the alien’s prayer is to sanction the violation of the Philippine labor laws requiring aliens to secure work permits before their employment.

Clearly, this circumstance on the failure of McBurnie to obtain an employment permit, by itself, necessitates the dismissal of his labor complaint.

Furthermore, McBurnie failed to present other competent evidence to prove his claim of an employer-employee relationship. Given the parties’ conflicting claims on their true intention in executing the agreement, it was necessary to resort to the established criteria for the determination of an employer-employee relationship, namely: (1) the selection and engagement of the employee; (2) the payment of wages; (3) the power of dismissal; and (4) the power to control the employee’s conduct. The rule of thumb remains: the onus probandi falls on the claimant to establish or substantiate the claim by the requisite quantum of evidence. Whoever claims entitlement to the benefits provided by law should establish his or her right thereto.

McBurnie even failed to show through any document such as payslips or vouchers that his salaries during the time that he allegedly worked for the respondents were paid by the company. In the absence of an employer-employee relationship between McBurnie and the respondents, McBurnie could not successfully claim that he was dismissed, much less illegally dismissed, by the latter. Even granting that there was such an employer-employee relationship, the records are barren of any document showing that its termination was by the respondents’ dismissal of McBurnie.


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