NLRC orders former FTC head P2.9M in damages

THE National Labor Relations Commission (NLRC) recently ordered former non-government organization director to pay P2.9M in moral and exemplary damages including attorneys fees in a decision penned by labor arbiter Fructuoso Villarin IV November 8. The NLRC also dismissed for lack of merit charges of illegal dismissal, unfair labor practice and quashed the money claims of Feed the Children Philippines (FTC) former National Director Rosalinda Paredes. In the same decision, the government labor arbitration agency also asked Paredes to refund an excess $1000 she got from FTCP in 2000.

The P2.9M when broken down includes more than P143T in her FTCP accountabilities, P500T each to three respondents, P1M to FTCP for damages, P100T for respondents collective exemplary damages and another P10% of the total award for legal fees. The case at bar stemmed from a complaint filed by Paredes at the NLRC against FTCP, Dr. Virginia Lao, Hercules Paradian and Benjamin Escobia. In her complaint filed November 2, 2005 , Paredes claimed she was forced to resign and blames the cabal of Lao, Paradian and Escobia for that.

She filed her resignation as FTCP national director effective December 31, 2005 on October 27, 2005 . The Board accepted her resignation though said it would be effective a month earlier, or November 30 and not December 31. In their counterclaims, the NLRC said respondents Lao, Paradian and Escobia allege that Paredes had questionable moves, losing FTCP's trust and confidence over her functions on project, fund, human resource, general management and administration and income generation.

Respondents allege that while her contract was for $1T monthly salary, she manipulated to unlawfully get $2T on February 2000. They also noted the complainant's being hardly seen in the office, booting an employee for religious reasons, replacing him with a brother in law and accused her of withdrawing P300T from the organization's provident funds without employee's consent. To cover up the mess, they said Paredes took money from the organization's general operations fund by mis-declaring the yearly budget, thus committing technical malversation.

Paredes was also the subject of a petition by 42 FTCP employees for allegations of unpleasant practices including approving of her own requests, withholding funds release already approved, taking additional compensation and getting a higher insurance benefits with premiums paid by the organization. For this, Paredes claimed she only wanted best performance and added that FTCP accessed funds in her best effort. She also bared a conspiracy to oust her. Paredes cited secret meetings that alienated her from the key functions and a special audit that was not properly authorized. Th cabal of Lao, Paradian and Escobia, she felt they would work in length to fire her so she was forced to resign. In its decision, the NLRC said it found it amazing how a national director wields so much power, particularly on the organization's financial aspects.

“This situation spawns dangerous consequences,” the decision states.

“One can not find in other organizations an officer who approves his requisitions, generously places kins to positions, takes unquestioned liberty at the organization's coffer giving herself additional compensation, loan and excessive health insurance and indiscriminately decides how to expend even the employees' provident fund.” Sensing an audit coming, the NLRC said it was indeed unbearable pressure that her decision to resign was purely damage control in saving some dignity. The NLRC then found complainant's assertion that she was constructively dismissed untenable saying further that tainting the respondents with malice is part of painting her resignation the color of constructive dismissal but her resignation letter says otherwise.

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