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Cash conversion of Leave Credits

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1 Cash conversion of Leave Credits on Mon Sep 03, 2012 6:48 pm


Arresto Menor
Our company, company A, with an employee of 20, bought another company, company B, with a relatively bigger headcount (around 70)and we are aligning our compensation and benefits. But eversince the integration, we faced financial challenges and Management mandated HR to discontinue the yearly practice of Company A, of commuting the unused leave credits to cash. I already argued with them and cited the non-diminution of benefits law. Then they told me that the policy of commuting unused leave credits to cash was originally designed for a company with a small headcount of 20 and will not be binded by that law.

Our legal integration is not yet finished and the contracts of the employees are still under their respective companies.

Are we legally allowed to discontinue this practice?

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2 Re: Cash conversion of Leave Credits on Mon Sep 03, 2012 8:28 pm


how many years has it been implemented?

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3 Re: Cash conversion of Leave Credits on Tue Sep 04, 2012 2:14 pm


Arresto Menor
thank you for your reply, atty. This has been implemented for the last 4 years or so.

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4 Re: Cash conversion of Leave Credits on Tue Sep 04, 2012 6:25 pm


Arresto Menor
Good day,

is ir really posible na wala pong bayad ang leave credit dahil allowance lang kami per day?

ive been working for almost 2 years

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