The Department of Labor and Employment Region 11 (DOLE-11) has shed light on the rights of workers on issues of retrenchment and closure of establishments that have been affected by the lockdown measures to slow the spread of the coronavirus.
Guesting on the Davao City Disaster Radio on Thursday, Lawyer Connie Torralba, Mediator Arbitrator of DOLE Mediation-Arbitration and Legal Service Unit, said DOLE has been expecting mass retrenchment of workers and closure of companies that suffered losses in the past three months of the coronavirus pandemic.
âNakita namo âno, na tungod aning Covid pandemic there may be mass retrenchment that will happen in the companies, sa mga industries nato. That is why nagpagawas ang department og mga labor advisories suggesting or encouraging the employers to implement alternative schemes (We are already expecting that due to this Covid pandemic there may be mass retrenchment that will happen in the companies, in our industries. That is why the department released labor advisories suggesting or encouraging the employers to implement alternative schemes),â Torralba said.
These schemes include work-from-home, shifting, or alternative work arrangements, she said.
Torralba said those who will be affected by the downsizing or retrenchments from their jobs have also the right to security of tenure.
âMeaning to say, dili sila mapahawa sa employer without just cause or authorized cause and without procedural due process (Meaning to say, they cannot be terminated by the employer without just cause),â she said.
According to Torralba, this is also applicable to employees who are contractual or not yet regular employees of the company.
Torralba stressed that an employee is entitled to a separation pay upon his/her termination which is equivalent to 1/2 month or one (1) month salary, whichever is higher, multiplied by years of service.
She added that employers must also give workers a 30-day notice before the separation takes effect.
âBase sa atoang balaod, ang company dapat siya maghatag og 30 days notice sa mga empleyado before the effectivity of the separation (Based on our law, the company must give a 30-day notice to employees before the effectivity of the separation),â she said.
She, however, added that if the employer wants the worker to end his services or close the company immediately, the employer must pay an equivalent of 30-day pay.
âKung gusto gyud sa employer nga karon karon dayon magclose nako, pwede niya bayaran â equivalent na bayad for the 30 days, instead of the 30 days notice (If the employer wants to close down immediately, he can pay the employee an equivalent of his 30 days pay instead of the 30 days notice),â she emphasized.
On the other hand, the employer is also entitled to a 30-day grace period to comply with the employeeâs final pay after the separation is effective.
âNagahatag na siya og 30 days from the effectivity na dapat madawat na ni empleyado ang iyahang final pay. 30 days atong palugit sa employer (The law also provides employers 30 days grace period to comply to the employeeâs pay after the effectivity of his termination),â Torralba said. CIO