Facts
Francheska Aleen Balaba Buban (Buban) was hired as a Customer Care Senior Specialist at Xerox Business. On March 22, 2015, while Buban was seeking assistance for a system error from Dela Peña, the assigned team leader at the time, she was subjected to unwelcome sexual advances and physical harassment by Dela Peña in a storage room. Not long after Dela Peña made his advances against Buban in the storage room, he approached her again while she was at her workstation and forced himself upon her. While the hideous acts of Dela Peña made Buban anxious and paranoid, she could not afford to quit as she was a single parent.
She resorted to filing a formal complaint with the Human Resources Department. However, her case was never heard, and worse, Dela Peña continued to work in the same area and shift as her. Dela Peña even insinuated that it was actually Buban who wanted or asked for what happened between them.
Hence, Buban filed a Complaint before the Labor Arbiter against Xerox Business Gonzales (HR Manager) and Dela Peña for sexual harassment with prayer for payment of damages, among others. The Labor Arbiter held Xerox Business solidarily liable for the payment of damages for its failure to investigate the alleged sexual harassment incident. In failing to do so, Xerox Business perpetrated a hostile, offensive, and intimidating work environment, which led to the constructive dismissal of Buban. The NLRC affirmed the finding of constructive dismissal by the Labor Arbiter.
ISSUE: Is the employer solidarily liable for sexual harassment in the workplace?
Ruling
In this case, the Supreme Court upheld its ruling in LBC Express-Vis, Inc. vs. Palco that an employee is considered constructively dismissed if he or she was sexually harassed by her superior and her employer failed to act on his or her complaint with promptness and sensitivity.
Further, the Court held that in failing to create a committee on decorum and investigation to promptly act upon the allegation of sexual harassment filed by Buban, Xerox Business was remiss in its duty under Sec. 4, RA 7877. Accordingly, pursuant to Sec. 5 of the same law, Xerox Business is solidarily liable with Dela Peña for payment of damages arising from the acts of sexual harassment committed in the employment.