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Employee Benefits in Case of “Bankruptcy” or Liquidation of the Company

“Bankruptcy” is a commonly terms by business owners in the event of non-viability of their business. Such term is not used in Philippine setting although there is an equivalent concept which is insolvency. However, Article 110 of the Labor Code recognizes the scenario of “bankruptcy” is so claimed by the employer. This is discussed in the context of liquidation. Technically, bankruptcy in the US contemplates three different scenarios. They are found in Chapters 7, 11, and 13 of the United States [...]

Legal Consequences of Refusal to Accept the Resignation

Acquire Mastery of HR/Labor Doctrines, Rules and Principles with Atty. Elvin’s HR Bundle Books at Discounted Rate Resignation is the voluntary act of an employee who is in a situation where one believes that personal reasons cannot be sacrificed in favor of the exigency of the service, and one has no other choice or is otherwise compelled to dissociate oneself from employment. [Dela Fuente vs. Gimenez, G.R. No. 214419, November 17, 2021] It is a formal pronouncement or relinquishment of an [...]

Moral Damages in Labor Cases

Moral damages are recoverable when the dismissal of an employee is attended by bad faith or fraud or constitutes an act oppressive to labor, or is done in a manner contrary to good morals, good customs or public policy. [Torreda vs. Investment and Capital Corporation of the Philippines, G.R. No. 229881, September 5, 2018] In the case of Aldovino vs. Gold and Green Manpower Management and Development Services, Inc. [G.R. No. 200811, June 19, 2019], the instances when moral damages [...]

How to Handle an Employee Who Violates Company Rules with Threat to Property

Acquire Mastery of HR/Labor Doctrines, Rules and Principles with Atty. Elvin’s HR Bundle Books at Discounted Rate Employers are sometimes faced with the challenge of imposing disciplinary action on employees who commit an offense that poses serious and imminent threat on the property. An example of this scenario is commission of theft of employer’s property. The common understanding is that the employer has to ask for an explanation or issue the Notice to Explain (NTE) to get the side of the [...]

Holiday Pay Sample Computation for Eid’l Fitr (13 May 2021)

Acquire Mastery of HR/Labor Doctrines, Rules and Principles with Atty. Elvin’s HR Bundle Books at Discounted Rate Holiday pay should be paid accordingly, particularly the regular holiday. Proclamation No. 986 issued on 20 July 2020, as amended by  Proclamation No. 1107, issued on 26 February 2021, declared, among others, Eid’l Fitr as a national holiday. Under R.A. 9492, Eid’l Fitr was declared as a regular holiday. It is a movable date.. View the PDF copies of Proclamation No. 986 and Proclamation No. [...]

Labor Day (May 1, 2021) Regular Holiday Pay Sample Computation

Acquire Mastery of HR/Labor Doctrines, Rules and Principles with Atty. Elvin’s HR Bundle Books at Discounted Rate Labor Day, May 1, 2021 is one of the regular holidays throughout the country. Proclamation No. 986 issued on 20 July 2020, as amended by  Proclamation No. 1107, issued on 26 February 2021, declared 1 May 2021 as regular holiday. View the PDF copies of Proclamation No. 986 and 1017 here (original files not mine). The Department of Labor and Employment (DOLE) has not yet issued [...]

Holiday Pay Sample Computation for Black Saturday 2021

Acquire Mastery of HR/Labor Doctrines, Rules and Principles with Atty. Elvin’s HR Bundle Books at Discounted Rate Black Saturday Day is not one of the special days provided under R.A. 9492 which amended Section 26, Chapter 7, Book 1 of Executive Order No. 292, as amended, otherwise known as the Administrative Code of 1987. However, on 20 July 2020, Proclamation No. 986 was issued providing for the celebration of Black Saturday as a special non-working holiday, although it falls on a [...]

Right to Disconnect in Philippine Context

Right to disconnect posts of the Department of Labor and Employment (DOLE) have been making rounds in the Internet last week. Purportedly, this came from the statement of DOLE Secretary Silvestre H. Bello stating that answering or ignoring texts, emails from employers after working hours is a voluntary engagement of an employee, and they are not obliged to respond or not. The right to disconnect is a choice of an employee. So, what is the concept of “right to disconnect?” [Note: The [...]

Special Days and Regular Holiday in November 2020: How to Compute Holiday Pay

Special days under R.A. 9492 include the All Saints Day falling on November 1. Presidential Proclamation No. 845 declared November 2, 2020 as additional special non-working days throughout the country intended to strengthen family ties by providing more time for the traditional “All Saints’ Day and All Souls’ Day.” November 30, 2018 is Bonifacio Day which is a regular holiday under R.A. 9492. Now, during these November special days employees have to get paid under certain situation. In all, HR practitioners [...]

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