Skip to content
Metro Sun Daily

Metro Sun Daily

REAL NEWS * REAL TIME

  • Home
  • Nation
  • Metro
  • Regions
  • Global
  • Feature
  • Entertainment
  • Opinion
  • Business
  • Sports
  • OFW
  • VP Sara Impeachment
  • Nation

SC rules employment contract exists upon acceptance

admin May 18, 2025

THE Supreme Court has affirmed that an employer-employee relationship is established upon the signing of an employment contract, rejecting an employer’s claim of redundancy as justification for dismissal.

In a decision penned by Associate Justice Alfredo Benjamin S. Caguioa, the Court’s Third Division ruled that Alltech Biotechnology’s (Alltech) dismissal of Paolo Landayan Aragones was illegal due to insufficient evidence of redundancy.

Aragones had accepted Alltech’s offer for the position of Swine Technical Manager – Pacific, with a monthly salary of P140,000. However, before Aragones could commence his duties, Alltech rescinded the offer, citing global restructuring and offering a P140,000 goodwill payment.

Aragones subsequently filed a complaint for illegal dismissal. While a Labor Arbiter initially ruled in his favor, the National Labor Relations Commission (NLRC) reversed the decision. The Court of Appeals upheld the NLRC’s ruling.

The Supreme Court reversed the appellate court’s decision, finding that the employment contract was perfected upon Aragones’ signing of the offer letter.

The three-month delay before the intended start date merely postponed the parties’ obligations – Aragones to work and Alltech to pay his salary. Therefore, an employer-employee relationship existed when Alltech withdrew its offer.

The Court emphasized that under the Labor Code, redundancy refers to a situation where an employee’s position is no longer necessary due to the actual business needs of the company.

However, employers must provide substantial evidence to justify dismissal based on redundancy. In this case, Alltech only submitted an affidavit from its Vice President stating that the company decided to shift from regional to local support to better address customer needs.

Tags: sc

Post navigation

Previous Insurance Commission places Getwell Health Systems under conservatorship
Next OFW representation in Congress undermined by partylist system

Related Stories

Remulla: Fugitive Zaldy Co stays in P14.18B Paris mansion
  • Nation

Remulla: Fugitive Zaldy Co stays in P14.18B Paris mansion

On Leachon’s resignation call vs ES Recto: ‘Sumawsaw ka na naman’ – Garin
  • Nation

On Leachon’s resignation call vs ES Recto: ‘Sumawsaw ka na naman’ – Garin

Batangas lawmakers condemn ‘baseless’ allegations against Recto couple
  • Nation

Batangas lawmakers condemn ‘baseless’ allegations against Recto couple

ODDNEWS

  • Man arrested for faking lotto ticket to claim ₱172M jackpot
  • General in Hot Water: Napolcom cites P70k shoes as grounds for charges
  • Christmas Tragedy: Italian man chokes to death on panettone during family reunion
  • Japanese Woman Weds AI: The future of relationships?
  • A Single Dad’s Desperate Act: Police Chief’s Kindness Saves the Day
  • Security guard returns lost P1.5M bracelet

Source: USD/PHP @ Sat, 9 May.

Weather

Manila
Current weather
-º
Sunrise-
Sunset-
-
-
Forecast
Rain chance-
-
-
Forecast
Rain chance-
-
-
Forecast
Rain chance-
Manila weather

Latest Comments

  1. 스포츠중계 on Wage hikes effective in Northern Mindanao, Caraga this Labor Day
  2. 실시간스포츠중계 on Wage hikes effective in Northern Mindanao, Caraga this Labor Day

  • Front Page
  • Home
  • About Us
  • Donation
  • Privacy Policy
  • Contact
  • Facebook
  • Instagram
©2026 MetroSunDaily. All rights reserved. | DarkNews by AF themes.