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Tag - bonafide suspension

04 Jun

Termination by Operation of Law due to Failure to Reinstate After Six Months of Off Detail

Temporary suspension of operations is recognized as a valid exercise of management prerogative provided it is not carried out in order to circumvent the provisions of the Labor Code or to defeat the rights of the employees under the Code. The bona-fide suspension of the operation of a business or undertaking for a period not exceeding six ( 6) months, or the fulfillment by the employee of a military or civic duty shall not terminate employment. In all such cases, [...]

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10 Dec

Notice Requirement and Compelling Economic Reason in Bona Fide Suspension of Operations

The suspension of employment under Article 301 of the Labor Code is only temporary and should not exceed six months, as the Supreme Court (SC) explained in PT&T Corp. vs. National Labor Relations Commission, it may be applied but only by analogy to set a specific period that employees may remain temporarily laid-off or in floating status. Six months is the period set by law that the operation of a business or undertaking may be suspended thereby suspending the employment [...]

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04 Jul

Notes on Bona Fide Suspension of Operations and Extension

Below is a quick guide on doctrines, rules, and principles governing the bonafide suspension of operations and its extension per D.O. 215, Series of 2020. This is useful in refreshing the concepts and rules involved: For full discussion on this matter, read here. Terminologies used: Temporary off-detail; Temporary layoff; bonafide suspension of operations Period not exceeding six months So before 6 months, Employer (ER) has to decide whether to Resume or to Close If ER Resumes Reinstate without loss of seniority rights if Employee (EE) indicates [...]

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