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Precision Electronics Corp. vs. NLRC

PRECISION ELECTRONICS CORPORATION, petitioners, vs. NATIONAL LABOR RELATIONS COMMISSION & DOMINADOR C. CABRERA, JR., respondents.

G.R. No. 86657 | 1989-10-23

D E C I S I O N

GRINO-AQUINO, J.:

When an employer, on the pretext of retrenching, lays off an employee with a promise to re-hire him when its economic condition improves, is the employer bound by that promise? That is the issue presented by this case.

Respondent Dominador C. Cabrera, Jr. was employed by petitioner as Accountant II-Specialist 3 on September 17, 1979. On June 15, 1984, he was notified that he would be laid off effective July 16, 1984 due to the economic situation of the company but was assured of being re-hired when its operations returned to normal. The notice to him reads:

"We regret to inform you that effective July 16,...