G.R. No. 208936. April 17, 2017.
Respondents were Herma Shipyard’s employees occupying various positions such as welder, leadman, pipe fitter, laborer, helper, etc. The respondents filed before the Regional Arbitration Branch III a Complaint for illegal dismissal, regularization, and non-payment of service incentive leave pay with prayer for the payment of full backwages and attorney’s fees against petitioners.
Respondents alleged that they are Herma Shipyard’s regular employees who have been continuously performing tasks usually necessary and desirable in its business, however, petitioners dismissed them from employment. They were also made them sign employment contracts for a fixed period ranging from one to four months to make it appear that they were project-based employees. Allegedly petitioners resorted to this scheme to defeat their right to security of tenure, but in truth there was never a time when they ceased working for Herma Shipyard.