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Labor Law

05 Mar

Employers can Withhold Last Pay for Debt Due; Clearance Procedure

Clearance Procedure Requiring clearance before the release of last payments to the employee is a standard procedure among employers, whether public or private. Clearance procedures are instituted to ensure that the properties, real or personal, belonging to the employer but are in the possession of the separated employee, are returned to the employer before the employee’s departure. Withholding of wages prior to clerance As a general rule, employers are prohibited from withholding wages from employees. However, law supports the employers’ institution of clearance procedures [...]

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05 Mar

Mandatory Facilities for Night Workers (e.g. Call Center Agents)

A night worker means any employed person whose work covers the period from 10:00 o’ clock in the evening to 6:00 o’ clock the following morning provided that the worker performs no less than seven (7) consecutive hours of work. Typical examples of this type of worker are call center agents, legal/medical transcriptionists, knowledge processed outsourcing workers, etc. Those employed in agriculture, stock raising, fishing, maritime transport, and inland navigation are not covered. Employers are mandated to provide the following facilities [...]

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03 Mar

Age Requirement In Employment Application Is Illegal; Violator Can Go To Jail

Discrimination of applicant or employee in employment by reason of age is prohibited by R.A. 10911. It shall be unlawful for an employer to: Print or publish, or cause to be printed or published, in any form of media, including the internet, any notice of advertisement relating to employment suggesting preferences, limitations, specifications, and discrimination based on age; Require the declaration of age or birth date during the application process; Deny any employment application because of the individual’s age; Discriminate against an individual in [...]

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02 Mar

COMMISSION CAN BE FORFEITED BY EMPLOYER

If Agreed Upon in an Employment Agreement, Commission can be Forfeited upon Violation of Non-Compete Clause In an employment agreement, the Mr. Babiano agreed that in case of violation of the non-compete clause, his sales commission can be forfeited. During the time of his employment with Century Properties, he admitted having applied and worked for a competitor. Hence, his commission was forfeited as agreed upon. He filed a complaint claiming for his commission. But the Supreme Court declared that forfeiture was [...]

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01 Mar

PREGNANCY OUT-OF-WEDLOCK IS NOT IMMORALITY TO CAUSE EMPLOYEE DISMISSAL

The Supreme Court, in the case of Capin-Cadiz vs. Brent Hospital and Colleges, Inc. (G.R. 187417, February 24, 2016) was presented with an issue on whether pregnancy out-of wedlock is immorality which can be used as ground for dismissal of an employee. The facts of the case reveal that Cadiz was the Human Resource Officer of Brent Hospital and Colleges, Inc. (Brent) at the time of her indefinite suspension from employment in 2006. The cause of suspension was Cadiz’s Unprofessionalism [...]

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28 Feb

USING A FACTOR TO CONVERT MONTHLY PAY TO DAILY EQUIVALENT (Part 1)

Based on this new NCR daily minimum wage of P491.00, how is the monthly equivalent computed? Some employers refer to either 22 days or 26 days, depending on whether they require work on a Saturday or not. The proper way to determine is to use the factor or divisor. Thus, the equivalent monthly minimum wage shall depend upon the number of days considered as days worked in a year. This is known as the factor. Thus, factors like 313 days, 365 [...]

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27 Feb

SAMPLE STATEMENTS OF LEADERSHIP IN CODE OF DISCIPLINE

One of the important components of Code of Discipline is the Statement of Leadership as it serves as a corporate compass for employees on company’s values and principles. Sample statements of leadership and management’s expression of a need in formulating the Code of Discipline: “It is the company policy to maintain harmonious relationship between the company and employees, officers and subordinates, and between and among employees. To this end, the Code of Discipline (Code) is issued as a form of disciplinary measure [...]

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27 Feb

PROPORTIONALITY RULE IN EMPLOYEE DISCIPLINE

The penalty contained in the Code of Discipline should follow the rule of reasonable proportionality which dictates that the penalty that should be imposed should be directly proportional to the gravity of the offense committed, fully taking into account the attendant environmental circumstances in each case. In Caltex Refinery Employees Association vs. NLRC and in the subsequent case of Gutierrez vs. Singer Sewing Machine Company, it was held that even when there exist some rules agreed upon between the employer [...]

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by Atty Elvin B Villanueva
24 Feb

CHARACTERISTICS OF A CODE OF DISCIPLINE (Second of Two Parts)

In continuation, other characteristics of a Code of Discipline are: It is lawful and is not contrary to any law, moral, good custom, public order or public policy. It is reasonable. It will not cause undue prejudice. It will not cause great inconvenience to employees. It is made known to employees. It has been communicated to employees, either through a document, online or intranet, or any other forms of transmitting the document. In this case, the employer may utilize written undertaking that [...]

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23 Feb

CHARACTERISTICS OF A CODE OF DISCIPLINE (First of Two Parts)

The following are some of the characteristics of a Code of Discipline: The Code is not a standalone object in the workplace. It is integrated and even forming part of the company’s well being. It is aligned with the purpose of the organization. It allows employees to behave in a way that is consistent with the values of the organization and in line with its laws and regulations. Being a common expression of aspiration and guiding principles, it is a collaborative [...]

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