![]() ![]() If made in good faith, such as scheme should be considered a valid form of terminating employment. ![]() 20, 1989).Įmployers may lawfully and effectively reduce their personnel by offering resignation benefits through a Voluntary Resignation Program where employees are afforded the right to voluntarily terminate the employment relationship. Allowances that the employee has been receiving on a regular basis.4, Rule I, Book VI, Rules to Implement the Labor Code). The amount equivalent to at least one (1) month salary or to one (1) month salary for every year of services, whichever is higher, a fraction of at least six (6) months being considered as one (1) whole year.Jurisprudence, however, dictates that the following should be included in its computation: The amount of separation pay that should be paid in lieu of reinstatement is not provided in the Labor Code or its implementing rules. Consequently, he is entitled to separation pay equivalent to one month pay for every year of services, computed from the time of his illegal dismissal up to the finality of the judgement, as an alternative to reinstatement. NLRC,, and in several other earlier cases, where the employee explicitly prayed for an award of separation pay in lieu of reinstatement, it was held that by so praying, he forecloses reinstatement as a relief by implication. However, by expressly asking for separation pay, he is deemed to have opted for separation pay in lieu of reinstatement. NLRC,, the petitioner therein would have been entitled to reinstatement as a consequence of his illegal dismissal from employment. Reinstatement cannot be awarded when what is prayed for is separation pay. If reinstatement is no longer possible, the employer has the alternative of paying the employee his separation pay in lieu of reinstatement. This is not allowed though when the employee has been dismissed for serious misconduct or some other causes reflecting on his moral character or personal integrity. ![]() In some cases however, the SC awarded separation pay to a legally dismissed employee on the grounds of equity and social justice. 282 of the Labor Code, reveals that an employee who is dismissed for cause after appropriate proceedings in compliance with due process requirements is not entitled to an award of separation pay. The Labor Code of the Philippines Annotated – Volume II).Īn employee who is dismissed for just cause is generally not entitled to separation pay. The basis of the grant of financial assistance is equity. SEPARATION PAY AS FINANCIAL ASSISTANCE IN LEGAL DISMISSAL UNDER ART. Disease as a Ground of Termination – An employer may terminate the services of an employee who has been found to be suffering from any disease and whose continued employment is prohibited by law or is prejudicial to his health as well as to the health of his co-employees: Provided, That he is paid separation pay equivalent to at least one (1) month salary or to one-half (1/2) month salary for every year of service, whichever is greater, a fraction of at least six (6) months being considered as one (1) whole year. The Labor Code of the Philippines Annotated – Volume II).Īrt. In case the CBA or company policy provides for a higher separation pay, the same must be followed instead of the one provided in Article 283. A fraction of at least six (6) months shall be considered as one (1) whole year. In case of retrenchment to prevent losses and in cases of closures or cessation of operations of establishment or undertaking not due to serious business losses or financial reverses, the separation pay shall be equivalent to one (1) month pay or at least one-half (1/2) month pay for every year of service, whichever is higher. In case of termination due to the installation of labor-saving devices or redundancy, the worker affected thereby shall be entitled to a separation pay equivalent to at least his one (1) month pay or to at least one (1) month pay for every year of service, whichever is higher. – The employer may also terminate the employment of any employee due to the installation of labor-saving devices, redundancy, retrenchment to prevent losses or the closing or cessation of operation of the establishment or undertaking unless the closing is for the purpose of circumventing the provisions of this Title, by serving a written notice on the workers and the Ministry of Labor and Employment at least one (1) month before the intended date thereof. Closure of Establishment and Reduction of Personnel. An employee lawfully dismissed for a just cause is not entitled to any separation pay while an employee separated for an authorized cause is entitled to separation pay in accordance with the rates prescribed by law. SEPARATION PAY FOR AUTHORIZED CAUSES UNDER ARTS. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |