Aklan College, Inc. vs. Guarino

An employee appointed to an administrative position in an acting capacity does not acquire security of tenure therein, regardless of the duration of service; such appointments remain temporary and revocable at the pleasure of the appointing authority without need for cause or prior notice. Furthermore, private school teachers governed by the Manual of Regulations for Private Schools acquire permanent status only after satisfactorily completing the three-year probationary period, but this security of tenure applies solely to their teaching positions and not to administrative appointments, which do not confer a "second" tenure.

The case arises from the employment relationship between Aklan College, Inc. (a private educational institution) and Rodolfo P. Guarino, a faculty member who served as an instructor and held various acting administrative positions. The dispute centers on the nature of appointments to administrative posts in private schools, the applicability of security of tenure to such positions, and the distinction between probationary and permanent status for teachers under the Manual of Regulations for Private Schools versus temporary acting appointments.

• Rodolfo P. Guarino was first hired by Aklan College, Inc. (ACI) as an instructor in 1972.
• In 1974, he was appointed as Acting Dean of the Commerce and Secretarial Department, a position he held continuously for approximately 17 years until he went on leave in November 1991.
• On November 26, 1990, he was additionally appointed as Acting Personnel Director on a temporary basis, revocable at the pleasure of the College President or Rector.
• From November 4, 1991 to November 4, 1992, respondent went on leave for one year.
• On October 20, 1992, respondent wrote to the Rector informing him of his intention to reassume his positions.
• On November 10, 1992, petitioner formally informed respondent that the Board of Trustees decided not to allow him to reassume his position as Acting Dean because he was not qualified (lacking a Master's degree), and that the Acting Personnel Director position had already been filled by a regular incumbent.
• Respondent was never removed from his position as instructor; he was only dismissed from his acting administrative positions.
• The parties had entered into a Scholarship and Employment contract wherein ACI granted respondent financial assistance to pursue an MBA, with the condition that he would serve as Dean after completion. Respondent failed to obtain the MBA degree despite the scholarship.
• At the time of dismissal (November 1992), the 1970 Manual of Regulations for Private Schools (7th Edition) was in effect, not the 1992 Manual.
• Paragraph 75 of the 1970 Manual provided that full-time teachers who have rendered three consecutive years of satisfactory service shall be considered permanent.

• Petitioners argued that under the doctrine in La Salette of Santiago, Inc. v. NLRC, no employee attains a second security of tenure to an administrative position.
• They contended that respondent held three concurrent positions (instructor, Acting Dean, Acting Personnel Director), and while he had security of tenure as an instructor (having completed the probationary period), he could not claim tenure in his administrative posts.
• They asserted that respondent's appointments as Acting Dean and Acting Personnel Director were temporary and revocable, and he could be removed anytime without cause or hearing.
• They maintained that under DECS Order No. 5, Series of 1990 and the Manual of Regulations for Private Schools, a Master's degree was required for the Dean position, which respondent lacked.
• They argued that respondent was estopped from claiming permanent status in the administrative positions because he knew he lacked the required qualifications.

• Respondent argued that La Salette was inapplicable because the complainant there held administrative positions for fixed terms, whereas he served as Acting Dean for an indefinite period of 17 years.
• He contended that by continuously serving as Dean for 17 years, he acquired security of tenure pursuant to Article 280 of the Labor Code.
• He claimed that petitioners were estopped from questioning his qualifications after allowing him to serve for 17 years without requiring the Master's degree.
• He asserted that the provisions of the Labor Code, specifically Article 280 on regular employment, should apply to his case rather than the Manual of Regulations.

• Procedural Issues: N/A
• Substantive Issues:
  • Whether respondent acquired security of tenure in his administrative positions as Acting Dean and Acting Personnel Director despite being appointed in an acting capacity.
  • Whether Article 280 of the Labor Code applies to private school teachers or whether the Manual of Regulations for Private Schools governs their employment status and probationary requirements.
  • Whether respondent's dismissal from his administrative positions was valid given his lack of Master's degree and the applicable regulations at the time of dismissal.
  • Whether respondent is entitled to separation pay after being removed from administrative positions but retained as an instructor.

• Procedural: N/A
• Substantive:
  • The Supreme Court held that respondent did not acquire security of tenure in his administrative positions. Acting appointments are essentially temporary and revocable, and the holder may be removed anytime without cause or hearing. The Court applied the doctrine in La Salette that while teachers acquire security of tenure in their teaching positions after completing the probationary period, they do not acquire a second security of tenure in administrative posts.
  • The Court ruled that Article 280 of the Labor Code does not apply to private school teachers; instead, their employment is governed by the Manual of Regulations for Private Schools. Paragraph 75 of the 1970 Manual (in effect at the time) required three consecutive years of satisfactory service for permanent status as a teacher.
  • The Court found that the 1970 Manual (not the 1992 Manual) applied at the time of dismissal in November 1992. Paragraph 69 of the 1970 Manual required a Dean to hold an appropriate graduate degree. Since respondent lacked a Master's degree, he was not qualified for the Dean position, and his continued service as Acting Dean for 17 years did not vest him with a right to permanent occupancy.
  • The Court rejected the estoppel argument, holding that estoppel cannot validate an act prohibited by law or give validity to an appointment that violates public policy and educational standards.
  • The Court denied respondent's claim for separation pay, ruling that he was not separated from service as he remained an instructor. If he chose not to return as instructor, he was deemed to have voluntarily resigned, and voluntary resignation does not entitle an employee to separation pay absent any stipulation or established practice.

• Acting Appointments Doctrine — An acting appointment is temporary and revocable in character, and the holder thereof may be removed anytime even without hearing or cause. The purpose is to prevent a hiatus in official functions pending the selection of a permanent appointee. The person named in an acting capacity accepts the position under the condition that he shall surrender the office once called upon by the appointing authority.
• Dual Tenure Doctrine in Educational Institutions — While teachers in private educational institutions acquire security of tenure in their teaching positions after completing the probationary period (three consecutive years of satisfactory service under the 1970 Manual), they do not acquire a second or additional security of tenure when appointed to administrative positions (such as dean, principal, or personnel director). Administrative appointments are distinct from teaching positions and do not normally confer permanency.
• Non-Applicability of Labor Code Article 280 to Private School Teachers — Questions respecting a private school teacher's entitlement to security of tenure are governed by the Manual of Regulations for Private Schools, not Article 280 of the Labor Code. The Manual specifically provides the requisites for acquiring permanent status (completion of the three-year probationary period).
• Estoppel Cannot Validate Illegal Acts — Estoppel cannot give validity to an act that is prohibited by law or against public policy. Neither can the defense of illegality be waived.

• "What is immediately apparent from this second look at the material facts is that while Clarita Javier's work as teacher in the La Salette School System was more or less continuous, or was evidently intended to be on a permanent basis, her assignment in one administrative office or another... was not... There was therefore no cause for her to believe that security of tenure could be obtained by her in any of the administrative positions she held at one time or another."
• "This Court has held that an acting appointment is merely temporary, or one which is good until another appointment is made to take its place... And if another person is appointed, the temporary appointee should step out and cannot even dispute the validity of his successor's appointment."
• "The undisturbed unanimity of cases is that one who holds a temporary appointment has no fixed tenure of office; his employment can be terminated anytime at the pleasure of the appointing power without need to show that it is for cause."
• "It is settled that questions respecting a private school teacher's entitlement to security of tenure are governed by the Manual of Regulations for Private Schools and not the Labor Code."
• "Estoppel cannot give validity to an act that is prohibited by law, or one that is against public policy. Neither can the defense of illegality be waived."

• La Salette of Santiago, Inc. v. National Labor Relations Commission — Controlling precedent establishing that teachers do not acquire security of tenure in administrative positions even if they have tenure in their teaching positions; cited to support the distinction between teaching and administrative appointments.
• Achacoso v. Macaraig — Instructive regarding the distinction between permanent and temporary appointments; cited for the rule that acting appointments are temporary and the appointee serves only until a qualified permanent appointee is selected.
• Castro v. Solidum — Cited for the principle that an acting appointment is temporary and good only until another appointment is made to take its place.
• Ouano v. Court of Appeals — Cited for the principle that estoppel cannot give validity to an act prohibited by law or against public policy.
• Geslani v. National Labor Relations Commission — Cited regarding the effectivity date of the 1992 Manual of Regulations for Private Schools.

• Article 280 of the Labor Code — Provision on regular and casual employment; the Court held this does not apply to private school teachers, whose tenure is governed by the Manual of Regulations for Private Schools.
• Paragraph 75 of the 1970 Manual of Regulations for Private Schools — Provided that full-time teachers who have rendered three consecutive years of satisfactory service shall be considered permanent; establishes the probationary period requirement for teachers.
• Paragraph 69 of the 1970 Manual of Regulations for Private Schools — Required college deans to be holders of an appropriate graduate degree with at least three years of successful college teaching experience; basis for finding respondent unqualified.
• Section 70 of Batas Pambansa Blg. 232 (Education Act of 1982) — Granted the Minister of Education rule-making authority; basis for giving the Manuals force and effect of law.
• DECS Order No. 5, Series of 1990 — Cited by petitioners but held inapplicable as it specifically applied only to Accounting Department positions, not the Commerce Department where respondent served.