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employees.[8]
When respondent Mamoru Matsunaga (Matsunaga) took over as President of Toyota,
petitioner was transferred to the Production Control, Technical Development and Special
Project department as Assistant Manager.[9] Respondent Kazuki Miura (Miura) took over
his former post. Petitioner allegedly objected to the transfer on the ground that it is in
violation of the terms of his AEP, and admitted having no knowledge, skills, and
experience in production control and technical development. Nonetheless, petitioner
assumed his new post on July 1, 2008.[10]
On September 1, 2008, petitioner was notified that his service car and driver will be
withdrawn.[11] He pleaded with Matsunaga for the benefits to be retained since he
would be helpless without them. Nonetheless, Matsunaga allegedly brushed aside his
plea and told him that he must shoulder his own transportation expenses.[12]
On October 13, 2008, Toyota terminated the services of petitioner's driver. Since
petitioner could not report for work, he considered himself constructively dismissed.[13]
On the same day, he filed a complaint with the NLRC tor constructive dismissal. illegal
diminution of benefits, illegal transfer of department, harassment, and discrimination
against Toyota, Matsunaga, Miura, and Joseph Ledesma (Ledesma), corporate officers
of Toyota (collectively, respondents).[14]
Respondents denied petitioner's allegations, arguing that petitioner was entitled to the
service car and driver only for a period of one year, after which he was expected to
drive himself to and from work. The driver assigned to petitioner was discharged due to
the termination of his employment contract.[15] Moreover, the free gasoline that may
be availed with the Caltex card is a benefit exclusively given to Japanese expatriates,
which petitioner was not, being a local hire. The reason why petitioner was able to use
the card is that the service car he used was previously assigned to an expatriate and it
had an accompanying Caltex card.[16] Petitioner also purportedly abused the Caltex
card by using it for personal trips.[17] Respondents denied that petitioner was given the
oldest company car, as in fact he was given a year 2000 Toyota Corolla model.[18] They
denied excluding petitioner from any meeting, stating that the only meeting he was
excluded from was the one exclusively for top corporate officers. Finally, petitioner's
transfer to another department was an exercise of management prerogative. Petitioner
had skills in planning, development, and special projects, and was thus competent for
his new position. Toyota allegedly had no intention of dismissing petitioner, as it
actually later sent him two notices to return to work.[19]
On November 25, 2009, Labor Arbiter Michaela A. Lontoc (LA) issued a Decision[20]
holding that petitioner was constructively dismissed. Consequently, she directed the
latter's reinstatement to his old department without loss of seniority rights, and
ordered respondents to pay him backwages, moral and exemplary damages for their
"dishonorable, unrighteous and despicably oppressive" acts toward petitioner,[21] and
attorney's fees. However, the LA denied petitioner's claim for pro rata 13th month pay
and other benefits for not having been raised in the complaint, as well as his claim for
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