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NELSON V. BEGINO, GENER DEL VALLE, MONINA AVILA-LLORIN, AND MA. CRISTINA SUMAYAO

VS

ABS-CBN CORPORATION (FORMERLY ABS-CBN BROADCASTING CORPORATION) AND AMALIA

VILLAFUERTE

G.R. NO. 199166

PONENTE : J. PEREZ

FACTS OF THE CASE:

Respondent, ABS- CBN hired Amalia Villafuerte as Manager of Regional Network Group in Naga
City ,thru her the Petitioners, Nelson V. Begino (Begino), Gener Del Valle( Del Valle) as
Cameramen/Editors, Ma. Cristina Sumayao ( Sumayao) and Monina Avila-Llorin (Llorin) as
Reporters of TV Patrol Bicol Program, was hired/engaged their services by the respondent thru a
Talent Contracts.

Petitioners signed regularly renewed Talent Contracts (3 months - 1 year) and Project Assignment
Forms which detailed the duration, budget and daily technical requirements of a particular project.
Petitioners were tasked with coverage of news items for subsequent daily airings in Respondents
TV Patrol Bicol Program.

The Talent Contract has an exclusivity clause and provides that nothing therein shall be deemed or
construed to establish an employer-employee relationship between the parties.

Petitioners filed against Respondents a complaint for regularization before the NLRC's Arbitration
branch.

In support of their complaint, Petitioners claimed that they worked under the direct control of
Respondent Villafuerte - they were mandated to wear company IDs, they were provided the
necessary equipment, they were informed about the news to be covered the following day, and they
were bound by the companys policy on attendance and punctuality.

Respondents countered that, pursuant to their Talent Contracts and Project Assignment Forms,
Petitioners were hired as talents to act as reporters, editors and/or cameramen. Respondents
further claimed they never imposed control as to how Petitioners discharged their duties. At most,
they were briefed regarding the general requirements of the project to be executed.
While the case was pending, Petitioners contracts were terminated, prompting the latter to file a
second complaint for illegal dismissal.

The Arbitration Branch ruled that Petitioners were regular employees, and ordered Respondents to
reinstate the Petitioners.

ISSUE:

Whether or not petitioners are regular employee of respondent and Employer-employee relation
exist between the parties.

CASE FOR THE COMPLAINANT EMPLOYEES:

Petitioners/Employees should be considered as regular employees of Respondent and not as

Independent Contractors as stated in Talent Contracts because they performed functions necessary
and desirable to ABS-CBNs business.

CASE FOR THE RESPONDENT COMPANY:

Company claim that Petitioners are not regular employees because the former engage the service of
the latter as Independent Contractors, known in the industry as talents, thus an Independent
Contractors cannot be considered as employees of the Company.

COURT DECISION:

The Court ruled that petitioners are regular employees of the company not as Independent
Contractors and Employer-employee relation exist among the parties.

RATIO DECIDENDI:

To determine the existence of employer- employee relationship, the court applied the four fold test
to wit:

(a) The selection and engagement of the employer;

(b) The payment of wages
(c) The power of dismissal
(d) The employers power to control the employee on the means and method by which the
work is accomplished.

This so called control test, is the most determinative indicator of presence or absence of
employer-employee relationship.
Under this test, an employer-employee relationship existed where the person for whom the
services are performed reserves the right to control not only the end result but also the manner and
means use to achieve the same.

Notwithstanding the nomenclature of their Talent Contracts and/or Project Assignment Forms and
the terms and condition embodied therein, petitioners are regular employees of ABS-CBN.

As cameramen, editors and reporters, it appears that Petitioners were subject to the control and
supervision of Respondents which provided them with the equipment essential for the discharge of
their functions. The exclusivity clause and prohibitions in their Talent Contract were likewise
indicative of Respondents' control over them.

The presumption is that when the work done is an integral part of the regular business of the
employer and when the worker does not furnish an independent business or professional service,
such work is a regular employment of such employee and not an independent contractor.

As cameramen/editors and reporters petitioners were performing functions necessary and

essential to ABS-CBNs business of broadcasting television and radio content.