Labor Law

WORKER’S PERMANENT AND TOTAL DISABILITY

Permanent disability is defined as the inability of a worker to perform his job for more than 120 days (or 240 days, as the case may be), regardless of whether or not he loses the use of any part of his body. Total disability, meanwhile, means the disablement of an employee to earn wages in the same kind of work of similar nature that he was trained for, or accustomed to perform, or any kind of work which a person [...]

DOLE Issues D.O. 174 to Fight “Endo” and “Contractualization”

As reported, DOLE Secretary signed D.O. 174 superseding D.O. 18-A which implements Articles 106-109 of the Labor Code. Based on reports, this prohibits the following: Labor-only Contracting; Related: Burden of proof in labor-only contracting When the principal farms out work to a “Cabo”; Contracting out of job or work through an in-house agency; Contracting out of job or work through an in-house cooperative which merely supplies workers to the principal; Contracting out of a job or work by reason of a strike or lockout whether actual or [...]

Agreement to Terminate Employee Without Due Process is Void

Grand Placement and General Services Corp. (GPGS) hired Mr. Rutcher Dagasdas (Dagasdas) as Network Technician to be deployed to Industrial & Management Technology Methods Co. Ltd. (ITM) in Saudi Arabia. He was under contract for one year. Dagasdas’ Job Offer indicated that he was accepted by Aramco and ITM for the position of “Supt.” He contended that although his position under his contract was as a Network Technician, he actually applied for and was engaged as a Civil Engineer. When Dagasdas [...]

Separation Pay is Computed up to Finality of Decision, Even if the Employee‘s Appeal Extended the date of Finality

Veronica Perez filed an illegal dismissal case against her employer, a theology school. She won the case before the Labor Arbiter (LA) all the way up to the Supreme Court. The decision became final and executory on October 4, 2012. The employer argued that the computation of the separation should be up to June 16, 2008 only and not October 4, 2012 resulting in a lower award since the delay in the decision becoming final was due to appeals made [...]

Loss of Trust and Confidence should be Genuine and not Simulated

Sta. Ana was hired as outlet Teller at the off-track betting station of Manila Jockey Club, Inc. (MJCI), in Tayuman, Manila. Sta. Ana was suspected of engaging in personal lending business using the company fund and MJCI employee to run such personal business. However, she argued that she was using her own money, never had a shortage, and was not using MJCI employee to run her lending operation. Related: How to prohibit lending activity in Code of Conduct Sta. Ana added that [...]

Company Practice Must Be Proven by Claimant

Employees complain that they are entitled to a higher retirement benefit based on company practice. Is the claim of “company practice” enough to grant such benefit? The burden of proof that the benefit has ripened into company practice, i.e., giving of the benefit is done over a long period of time, and that it has been made consistently and deliberately, rests with the employee. To be considered as a regular company practice, the employee must prove by substantial evidence that the giving [...]

Pakyaw Workers Under Employer’s Control Are Regular Employees

Pakyaw workers under control of employer are regular employees The company (A. Nate Casket Maker) employed Arango and others on various dates as carpenters, mascilladors and painters in their casket-making business from 1998 until their alleged termination in March 2007. The company claimed that they were pakyaw workers who are paid per job order. One day, the pakyaw workers were directed to sign a contract indicating that an employment of five (5) months. Since they had been continuously working since 1998, they had [...]

Trainee Period is Computed as Part of Probationary Service

An employee was first hired as a trainee by the hotel in August 2008. His training lasted for three (3) months. As a room boy, his performance was certainly under observation. The Court held that his probationary employment actually started in August 2008, at the same time he started working as a trainee. Therefore, when he was re-hired as room boy after his training period sometime in November 2008 he attained regular employment status. (Oyster Plaza Hotel, et al. Vs. Errol O. Melivo, [...]

Unsatisfactory Background Check Result: Can This Result in Dismissal?

Mr. Sagun was employed at HSBC when he applied online with ANZ Global Services. He passed the ANZ application process. He was made to sign a Letter of Confirmation of the Offer as Customer Service Officer, which he also accepted. In the letter, the terms and conditions of his employment required, among others, a satisfactory result of his pre-employment screening such as the satisfactory results of background check. It also states that if, in the opinion of ANZ, any of the [...]

Employer Cannot Require an Employee to Marry her Boyfriend as a Condition to Return to Work

Compelling Employee to Marry a Boyfriend Who Got her Pregnant Cadiz got pregnant by her boyfriend. She was suspended by the company. They were both single. However, she was told that she could not return to work until after she marries her boyfriend. She filed a labor case. Is it correct for the employer to require as a condition to go back to work that she marries a boyfriend who got her pregnant? The Supreme Court said no as it is coercive, oppressive and [...]

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