THELMA DUMPIT-MURILLO, PETITIONER,- VERSUS -COURT OF APPEALS, ASSOCIATED BROADCASTING COMPANY, JOSE JAVIER AND EDWARD TAN, RESPONDENTS.G.R. No. 164652 June 8, 2007

FACTS:Thelma Dumpit Murillo was employed as a newscaster and a co-anchor for Balitang-Balita by the Associated Broadcasting Company on October 2, 1995. The contract was for a period of three months. On September 30, 1999, after four years of repeated renewals, Petitioners talent contract expired. No contract was again entered into by the parties to the previous contract. The petitioners then wrote a letter demanding her reinstatement to her former position, payment of backwages and services. On December 30, 1999, petitioner filed a case against ABC for illegal constructive dismissal. The labor arbiter ruled in favor of ABC. The NLRC however reversed the decision and ruled that an employer-employee relationship existed between petitioner and respondent and that the petitioner was a regular employee illegally dismissed. When the case reached the Court ofAppeals, the latter decided that Petitioner should not be allowed to renege from the stipulations she had voluntarily and knowingly executed by invoking the security of tenure ofthe Labor Code, hence thisappeal.

ISSUE: WON an employee-employer relationship existed between ABC and Petitioner and was she illegally dismissed.

HELD:The CA committed reversible error when it held that petitioner was a fixed term employee. Petitioner was a regular employee under the contemplation of law. The practice of having fixed term contracts in the industry does not automatically make all talent contracts valid and compliant withlabor law. In Manila Water Company vs. Pena, the elements to determine the existence of an employer employee relationship are: (a) the selection andengagement ofthe employee(b) the payment of wages, (c) the power ofdismissal, (d) the employers power to control. The duties of the Petitioner as enumerated in her employment contract indicate that ABC had control over the work of the Petitioner. Aside from control, ABC also dictated the work assignments and payment of Petitioners wages. ABC also had the power to dismiss her. All these being present, clearly there existed an employer-employee relationship between Petitioner and ABC. Concerning regular employment, the Law provides for two kinds of employees. (1) those engaged to perform activities which are usually necessary or desirable to the usual business or trade of the employer, (2) those who have rendered at least one year of service, whether continuous broken. The Petitioners work was necessary or desirable in the usual business or trade of the employer which includes its participation in the Governments news and public information dissemination. In addition, her work was continuous for four years. Her contract was renewed for over 15 times. This repetitive renewal was indicative of Petitioners works desirability and necessity. Hence it is concluded that she is a regular employee.