Employee Rights in the Philippines: Dismissal, Resignation and Leaves

Only for a cause the law recognizes. There are two groups:

• Just causes (Article 297 [282]): serious misconduct or willful disobedience, gross and habitual neglect of duties, fraud or willful breach of trust, a crime against the employer or its family or representatives, and other similar causes. See What are the valid reasons to fire an employee?
• Authorized causes: business reasons such as redundancy, retrenchment to prevent losses or closure. These need one month's written notice to the worker and to DOLE, and as a rule separation pay. See Retrenchment and closure.

The two groups are compared side by side in Just cause vs authorized cause. Going AWOL is not an automatic dismissal: the employer must still prove abandonment and send the notices (What happens if I go AWOL?).

Before dismissing an employee for a just cause, the employer must serve a written notice of the charges with a real chance to explain, hold a hearing or conference, and serve a written notice of termination. In Agabon v. NLRC (2004), the Supreme Court ruled that a dismissal for a valid cause stays valid even if these steps were skipped, but the employer must pay nominal damages. In that case the Court fixed them at ₱30,000 for each worker. For an authorized cause without the one-month notice, Jaka Food Processing v. Pacot (2005) set a stiffer amount, ₱50,000 for each worker. Courts set the amount case by case. More in Fired without notice?

Under Article 294 [279], an illegally dismissed employee is entitled to reinstatement without loss of seniority and to full backwages from the time pay was withheld until actual reinstatement. If going back is no longer possible, courts may award separation pay of one month's salary for every year of service instead, with backwages up to the time the decision becomes final. As a rule, the money award then earns 6% legal interest a year from the time the decision becomes final until it is paid. See Illegally dismissed: what can you get?

Overseas Filipino workers have their own rule: salary for the whole unexpired part of the contract, as the Supreme Court held in Sameer Overseas Placement Agency v. Cabiles (2014).

Yes. Probation cannot last more than six months, unless an apprenticeship agreement sets a longer period. A probationary employee can be let go only for a just cause or for failing reasonable standards that the employer made known at the time of hiring. If the employee is allowed to work after probation ends, he or she becomes regular by law. See Can a probationary employee be terminated? and Probationary vs regular employee.

Article 300 [285], as quoted by the Supreme Court, asks an employee who resigns without a just cause to serve a written notice on the employer at least one month in advance. An employer who gets no notice may hold the employee liable for damages. You may leave without notice only for causes such as serious insult or inhuman and unbearable treatment by the employer, or a crime against you or your immediate family. See Do I need to render 30 days? and Can I resign immediately?

What you receive when you leave, such as final pay, prorated 13th month pay and any separation pay, is explained in our final pay and separation pay guide and the separation pay calculator.

All of them, with the source for each row, are in the leave benefits table. For the SSS maternity cash benefit, see our SSS maternity benefit guide.

Most labor and employment complaints start with the Single Entry Approach (SEnA): a 30-day mandatory conciliation-mediation at a DOLE office. If there is no settlement, you are referred to the office that can decide the case, such as a labor arbiter of the National Labor Relations Commission (NLRC). See How to file a labor complaint.

Do not wait too long. Money claims, such as unpaid wages, must be filed within three years from the time each claim accrued (How long do I have to file a claim for unpaid wages?).

See also the topic page on unions, unfair labor practices and strikes.

These are made-up examples to show how the rules work. They are not advice for any real case.

Ramon is a regular sales clerk. His manager tells him on a Friday, "Huwag ka nang pumasok sa Lunes," with no written notice and no hearing. If the company cannot prove a just or authorized cause, the dismissal is illegal, and Ramon may claim reinstatement and full backwages. If it proves a valid cause but skipped the notices, the dismissal stands, but Ramon may get nominal damages.

Liza gets a better offer and wants to leave next week. She has no just cause to leave without notice, so the law expects one month's written notice. If she leaves at once, her employer may hold her liable for damages.

Get legal help before you sign a quitclaim or a resignation letter you did not write, when you receive a notice to explain, and as soon as you are dismissed. A lawyer can check the cause, the notices and the deadlines that apply to your claims. The Public Attorney's Office handles labor cases for indigent persons: see Free legal help in the Philippines.