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June 24, 2022

MAY AN EMPLOYER DISMISS AN EMPLOYEE FOR ANY REASON WITHOUT NOTICE?

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Published — June 24, 2022

The following post does not create a lawyer-client relationship between Alburo Alburo and Associates Law Offices (or any of its lawyers) and the reader. It is still best for you to engage the services of your own lawyer to address your legal concerns, if any.

Also, the matters contained in the following were written in accordance with the law, rules, and jurisprudence prevailing at the time of writing and posting, and do not include any future developments on the subject matter under discussion.

 

After reading “May an employer dismiss an employee for any reason without notice?”, read also “Action Speaks Louder than Voice: Acts of Employer Constituting Dismissal”

  • An employer shall not dismiss an employee unless there is just cause or when authorized by the law.

  • 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 compensation was withheld from him up to the time of his actual reinstatement.

  • In determining whether an employee’s dismissal had been legal, the inquiry focuses on whether the dismissal violated his right to substantial and procedural due process.

An employer shall not dismiss an employee unless there is just cause or when authorized by the law. If an employee is dismissed from work without valid or just causes or without complying with the statutory requirement of due notice, such employee shall be entitled to reinstatement and his full backwages and other benefits as provided under the Labor Code of the Philippines and other pertinent laws.

 

The law says:

Presidential Decree No. 442, or the Labor Code of the Philippines provides that:

—-Article 294. Security of Tenure. In cases of regular employment, the employer shall not terminate the services of an employee except for a just cause or when authorized by this Title. 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 compensation was withheld from him up to the time of his actual reinstatement. (Emphasis supplied.)

 

Jurisprudence states that:

In the case of Distribution and Control Products, Inc. v. Jeffrey E. Santos (G.R. No. 212616, July 10, 2017), the Supreme Court held that “termination without a just or authorized cause renders the dismissal invalid, and entitles the employee to reinstate without loss of seniority rights and other privileges and full backwages, inclusive of allowances and other benefits or their monetary equivalent computed from the time the compensation was not paid up to the time of actual reinstatement.”

 

Further, in the case of Brown Madonna Press, Inc., et. al. v. Casas (G.R. No. 200898, June 15, 2015), the Supreme Court held that:

 

—“In determining whether an employee’s dismissal had been legal, the inquiry focuses on whether the dismissal violated his right to substantial and procedural due process. An employee’s right not to be dismissed without just or authorized cause as provided by law, is covered by his right to substantial due process. Compliance with procedure provided in the Labor Code, on the other hand, constitutes the procedural due process right of an employee. xxx

—-Thus, two separate inquiries must be made in resolving illegal dismissal cases: first, whether the dismissal had been made in accordance with the procedure set in the Labor Code; and second, whether the dismissal had been for just or authorized cause.(Emphasis supplied.)

 

What is the effect if there is no valid cause of termination of the services of an employee?

“Where there is no showing of clear, valid and legal cause of termination, the law considers it a case of illegal dismissal.” (General Baptist Bible College v. NLRC, G.R. No. 85534, March 05, 1993)


Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.

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