Tag - labor case

Acceptance of Resignation by the Employer is Necessary to make the Resignation Effective and Receipt is not Equivalent to Acceptance

To constitute a resignation, it must be unconditional and with the intent to operate as such. There must be an intention to relinquish a portion of the term of office accompanied by an act of relinquishment (Azcor Manufacturing, Inc. v. NLRC, 303 SCRA 26, 33). Voluntary resignation is defined as the act of an employee, who finds himself in a situation in which he believes that personal reasons cannot be sacrificed in favor of the exigency of the service; thus, [...]

Transfer and Constructive Dismissal when Merges as Issues in an Illegal Dismissal Complaint

Complaint for constructive / illegal dismissal based on claim of illegal transfer usually faces the clash of two sets of different burden of proof. That is, burden on the employer side (in case of proving validity of transfer) and burden on the side of employee (to prove the fact of dismissal in a claim of constructive dismissal). A transfer is a “movement from one position to another which is of equivalent rank, level or salary, without break in service.” Promotion, [...]

Execution of the Compromise Agreement does not Necessarily Bar Liability for Claims

Waivers and quitclaims executed by employees are generally frowned upon for being contrary to public policy. This is based on the recognition that employers and employees do not stand on equal footing. [Aldovino vs. Gold and Green Manpower Management and Development Services, Inc., G.R. No. 200811, June 19, 2019] In Land and Housing Development Corporation vs. Esquillo, the Supreme Court (SC) held that the reason why quitclaims are commonly frowned upon as contrary to public policy, and why they are [...]

It is Highly Improbable to Render Work for Five Employers in a Span of One Week

This is a case involving the complainant’s claim of existence of employer-employee relationship. Facts: Anselmo Bulanon alleged that he was hired as a Welder/Fabricator in the furniture business of respondent Eric Ng Mendoza (Eric). Eric owns various furniture businesses namely, Mendco Development Corporation (Mendco ), Pinnacle Casting Corporation (Pinnacle), Mastercraft Phil. Inc. (Mastercraft), and Jacquer International (Jaquer). The case arose when Bulanon initially filed a Complaint against respondents Eric, Mendco, Pinnacle, Mastercraft, and Jacquer (respondents collectively), before the Department of Labor and [...]

Floating Status Presupposes that there are More Employees than Work

Floating status is implicitly recognized in Article 301 of the Labor Code which speaks of situations of temporary retrenchment or lay-off due to valid operation issues. Article 301 provides that the bonafide 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, the employer shall reinstate the employee to his former position without [...]

Incompetence as Ground for Dismissal Requires Substantial Evidence

Incompetence or inefficiency as a ground for dismissal contemplates the failure to attain work goals or work quotas, either by failing to complete the same within the allotted reasonable period, or by producing unsatisfactory results. (Eagle Clarc Shipping Philippines, Inc. vs. NLRC [G.R. No. 245370, July 13, 2020]) Incompetence or inefficiency belongs to the gross and habitual neglect of duty as ground for dismissal. Article 297 of the Labor Code provides for just causes, to wit: Serious misconduct or willful disobedience [...]

Consequences if the Employer Fails to Appear in SENA Conferences

SENA or Single Entry Approach refers to an administrative approach to provide a speedy, impartial, inexpensive and accessible settlement procedure of all labor issues or conflicts to prevent them from ripening into full blown disputes. Conciliation-mediation process shall be utilized as immediate intervention to effect amicable settlement among the differing parties. It is a 30-day conciliation-mediation services shall be made operational through the Single Entry Approach Desk (SEAD) either in the Regional Branch of the National Conciliation and Mediation Board [...]

Backwages and the Earnings Elsewhere

The monetary award known as Backwages is one of the items usually granted to the illegally dismissed employee. It is provided under Article 294 of the Labor, as amended. This provision of the Labor Code states that an employee who is unjustly dismissed from work shall be entitled to reinstatement without loss of seniority rights and other privileges and to his full backwages, inclusive of allowances, and to his other benefits or their monetary equivalent computed from the time his [...]

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 [...]

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