No refund of salaries even if reinstatement is reversed


In this case, the Labor Arbiter ruled the dismissal of an employee and ordered reinstatement pending appeal. The employer‘s appeal was denied by the NLRC. However the Court of Appeals declared the dismissal valid, but allowed the employee to receive salaries up to the time the court reversed the Labor Arbiter and the NLRC.

The employer went to the Supreme Court to annul the award of salaries, and to order the refund the salaries the employee received pendente lite.

The Supreme Court ruled against the employer. The Supreme Court reiterated the principle that reinstatement pending appeal necessitates that it must be immediately self-executory without need for a writ of execution during the pendency of the appeal, if the law is to serve its noble purpose, and any attempt on the part of the employer to evade or delay its execution should not be allowed.  Furthermore, the high tribunal likewise restated its ruling that an order for reinstatement entitles an employee to receive his accrued backwages from the moment the reinstatement order was issued up to the date when the same was reversed by a higher court without fear of refunding what he had received.

Pfizer v. Velasco, G.R. No. 177467, March 9, 2011.

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