Article 301 (286) of the Labor Code allows for bona fide (good faith) suspension of business operations for a period not exceeding six (6) months. After 6 months, the employer has two (2) options: (a) recall or (b) permanently retrench employees.Bona fide suspension of business operations is employer-initiated, voluntary, and for legitimate business reason. Thus, … Continue reading Separation pay for employees who have not returned to work since March 17, 2020 – ECQ after 6 months?
The counting of the probationary period is suspended, if due to enhanced community quarantine or general community quarantine, (1) the establishment has temporarily ceased or closed operations, and/or (2) probationary employees are temporarily not required to report for work on account thereof. On 31 March 2020, the Department of Labor and Employment (DOLE) issued Labor … Continue reading Probationary period suspended if there is no work due to ECQ or GCQ
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Employees are entitled to holiday pay during the enhanced community quarantine (ECQ). 1. The ECQ is a force majeure which resulted in the temporary work suspension of affected establishments. 2. In a force majeure, obligations are merely suspended. For instance, a person's obligation to deliver a package will be suspended if there is a Signal … Continue reading Covid-19: Holiday Pay, Enhanced Community Quarantine (ECQ)
Government-mandated quarantine restrictions are the force majeure, not Covid-19.The force majeure applies in various ways depending on whether restrictions apply.6-month temporary work suspension applies if the force majeure is already removed.The 3-month waiting time for DO-174 contractors or subcontractors has specific applications.Retrenchment may be resorted to after removal of force majeure and prior to expiration … Continue reading Covid-19: Force Majeure, Temporary Work Suspension, Separation Pay, Retrenchment
The following Frequently Asked Questions (FAQ) aim to guide employers and employees on the above topic in the time of Covid-19. The discussions are without prejudice to any stipulation in favor of the employees under an employment contract, Company Policies, Collective Bargaining Agreement (CBA), and other employment agreeements. 1. May employees be paid below minimum … Continue reading Covid-19: Top 10 FAQ on Compensation and Benefits
The following Frequently Asked Questions (FAQ) aim to guide employers and employees on the above topic in the time of Covid-19. The discussions are without prejudice to any stipulation in favor of the employees under an employment contract, Company Policies, Collective Bargaining Agreement (CBA), and other employment agreeements. 1. Is Work from Home a privilege? … Continue reading Covid-19: Top 10 FAQ on Work from Home or Telecommuting