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25 Mar

Transfer that Results in Promotion may be Refused by Employee

The employer wants to transfer the employee to another position. However, such position results in promotion of employee. Is it still management prerogative such that the employee can be charged with insubordination for refusal? The Supreme Court held that the offer of transfer is, in legal contemplation, a promotion, which the employees validly refused. Such refusal cannot be the basis for employees’ dismissal from service. Citing Coca-Cola Bottlers Philippines, Inc. vs. Del Villar the management has the prerogative to transfer or assign [...]

By Labor Law , 19 Comments Read more...
23 Mar

Merger of Companies does not result in Implied Dismissal of Employees; Hence, there is no Separation Pay

The merger of Unocal Corporation with Blue Merger and Chevron does not result in an implied termination of the employment of union members. Assuming the company is a party to the merger, its employment contracts are deemed to subsist and continue by “the combined operation of the Corporation Code and the Labor Code under the backdrop of the labor and social justice provisions of the Constitution. The union insists that this is contrary to its freedom to contract, considering its members [...]

By Labor Law 18 Comments Read more...
22 Mar

Terminated due to Mismatched Feng Shui Aura with Employer

Loreta Yung, an administrative manager at Wensha, complained that she was terminated because her aura is a mismatch to that of her employer. Wensha however, denied having terminated her on this ground. Wensha insisted that Loreta was terminated for loss of trust and confidence. However, the Supreme Court found Loreta’s complaint credible. There is consistency in her pleadings and evidence. In contrast, Wensha’s pleadings and evidence, taken as a whole, suffer from inconsistency. Moreover, the affidavits of the employees of Wensha only pertain [...]

By Labor Law , 14 Comments Read more...
21 Mar

Effect of Acquittal from Criminal Case on Labor Case

The company dismissed the employee for theft. The latter filed and illegal dismissal case. However, the company filed a criminal case against the employee. The worker was acquitted in the criminal case. Should the dismissal of employee be also be considered as without basis thus, illegal? The Supreme Court held that the filing of the complaint by the public prosecutor is sufficient ground for a dismissal of an employee for loss of trust and confidence. Related: Loss of Trust and Confidence The evidence [...]

By Labor Law , 20 Comments Read more...
20 Mar

Distributor Guidelines to Increase Sales and Maximize Profits cannot be considered as Labor-Only Contracting

Nestle Philippines, Inc. (NPI) engaged Ocho De Septiembre, Inc. (ODSI) as its distributor. Complainants alleged that on various dates, ODSI and NPI hired them to sell various NPI products in the assigned covered area. After some time, respondents demanded that they be considered regular employees of NPI, but they were directed to sign contracts of employment with ODSI instead. When complainants refused to comply with such directives, NPI and ODSI terminated them from their position. Thus, complainants were constrained to file [...]

By Labor Law 20 Comments Read more...
19 Mar

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 [...]

By Labor Law 16 Comments Read more...
18 Mar

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 [...]

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15 Mar

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 [...]

By Labor Law, Uncategorized , 12 Comments Read more...
14 Mar

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 [...]

By Labor Law, Uncategorized , , 20 Comments Read more...
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