Labor Law

Notices Required in Employee Dismissal

Notices served on employees are required to dismiss employees. There are two notices needed to be served. The post below is based on the book Guide to Valid Dismissal of Employees (pp. 61-62): The first notice prior to dismissal based on just cause is known as the notice to explain or NTE as HR practitioners put it. Some call it show-cause memo or SCM. Others refer to it as show-cause order. Whatever terminology may be used to call it, the essence is [...]

Procedural Due Process Cannot be Replaced by Insufficient Notices and Procedures

Procedural due process in employee dismissal should be strictly observed. Other forms of notices intended for a different purpose and procedures cannot take the place of the mandatory requirement. The post below is based on the book Guide to Valid Dismissal of Employees Second Edition (pp. 60-62) For instance, in the following cases, the Supreme Court held that they are insufficient to comply with the procedural requirements: Preventive suspension and investigation do not replace the two-notice requirement of due process. Such defect cannot [...]

Dismissal Requires Observance of Due Process and Applies Even to Those Who Have Limited Security of Tenure

Dismissal is a crucial decision that affects both the employer and the employee. On the part of the latter, it impacts on his livelihood. Hence, procedural due process is required to be observed to prepare the individual on the eventual separation. The requirement of due process is not limited to regular employees. It also applies to all forms of employment that are not permanent in nature such as seasonal, project, casual, etc. Seasonal employees unlike the regular workers do not enjoy [...]

Disease as Ground for Termination; Procedure for Fixed-Term and Project

Disease is one of the grounds for termination of employee. When such disease is prejudicial to the health of the employee or his co-employees it can be an authorized cause to end employment relationship. What is the procedure to terminate employee due to disease? The post below is based on the book Guide to Valid Dismissal of Employees Second Edition (page 57). Procedural due process for termination due to disease For termination on the ground of disease, Article 284 provides that: “Art. 284. Disease [...]

Termination Due to Authorized Cause Requires Observance of Procedural Due Process

Termination due to authorized cause under Article 299 of the Labor Code, as amended requires compliance by employer of the procedural due process. It used to be Article 284 prior to re-numbering of the Labor Code per R.A. 10151. Re-Numbered Labor Code per DOLE Department Advisory 01, Series of 2015 The post below is based on the book Guide to Valid Dismissal of Employees Second Edition (pp. 56-57). For termination based on authorized causes, that is, retrenchment, redundancy, etc., under Article 283, the [...]

Procedural Due Process if not Observed in Employee Dismissal Renders the Employer Liable for Nominal Damages (Part 2)

Procedural due process is an important requirement in employee dismissal. While under the prevailing doctrine the absence or defect thereof will not render the dismissal illegal, it can establish employer’s liability for indemnity in the form of nominal damages. The post below is based on the book Guide to Valid Dismissal of Employees Second Edition. …Continuation (2) After serving the first notice, the employers should schedule and conduct a hearing or conference wherein the employees will be given the opportunity to: (a) explain [...]

Procedural Due Process if not Observed in Employee Dismissal Renders Employers Liable for Nominal Damages (Part I)

Procedural due process is the how in employee dismissal. This is the procedure or the steps that need to be taken to terminate employment. If the employer disregards this process he can be held liable for nominal damages and to a certain extend it can even be deemed as an indicium of bad faith. The post below is based on the book Guide to Valid Dismissal of Employees Second Edition (pp. 53-54). As opposed to substantive, procedural due process refers to the [...]

Substantive Due Process in Employee Dismissal

Substantive due process is one of the aspects of due process required to be observed in employee dismissal. Failure to comply with this requirement will render the dismissal illegal. The post below is based on the book Guide to Valid Dismissal of Employees (pp. 51-53) As discussed, there are two aspects of due process: 1) The procedural due process and 2) the substantive due process. In order to validly dismiss an employee, it is fundamental that the employer observe both substantive and procedural due [...]

Reasonable Standards For Regularization cannot be Presumed to have been Known Simply Because the Employee is a Law Graduate

Reasonable standards for regularization must be made known to probationary employee. The fact that an employee is a law graduate does not mean that he knows such standards. The post below is based on the book Guide to Valid Dismissal of Employees Second Edition (pp. 50-51) In the case of UNIVAC Development, Inc. vs. Soriano (G.R. No. 182072, June 19, 2013), the Supreme Court held that the fact that the probationary employee is a law graduate does not give the employer an [...]

Performance Evaluation Procedure for Regularization Imposed by Employer for Probationary Employees Must be Strictly Observed

Performance evaluation may be required by the company to gauge the probationary employees. This is the basis to determine whether he is fit for regularization. As such, the company/employer may provide the procedure for performance evaluation. This should be followed by the employer otherwise, the probationary employee can be deprived of due process. The post below is based on the book Guide to Valid Dismissal of Employees (pp. 49-50) Employer’s failure to follow its own performance evaluation procedure may result in [...]

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