Free Legal Advice Philippines

Disclaimer: This web site is designed for general information only and does not create attorney-client relationship. Persons accessing this site are encouraged to seek independent counsel for legal advice regarding their individual legal issues.

Log in

I forgot my password




You are not connected. Please login or register

SEVERANCE PAY

View previous topic View next topic Go down  Message [Page 1 of 1]

1 SEVERANCE PAY on Sat Oct 22, 2011 5:00 am

PiaM


Arresto Menor

I would like to ask about severance pay. My sister had been working for a private company for 5 years and then one day, the board of directors announced that they would need to close down the company in a month because of bankruptcy. The company mentioned that regular employees will be given a severance pay which is not more that 1/2 of their monthly basic pay. We have asked a couple of govt employees and they mentioned that a severance pay should be 1/2 total basic pay per year of service. The employees of this company were confused and utterly disappointed on where this is going to. We are hoping for you help.

Note: Is the amount of the severance pay depends on the reason why the company is closing down? Does filing for a bankruptcy and financial losses makes a difference - pertaining to the amount of the severance and back pay.

View user profile

2 Re: SEVERANCE PAY on Sat Oct 22, 2011 8:47 am

attyLLL


moderator
yes, it makes a difference. if the company is having financial difficulties, then the employer is required to pay only 1/2 month for every year of service.


_________________
[i] Visit our FB Page: BPO Employee Legal Advice
Warning and Disclaimer: I am not your lawyer; and you are not my client. With the limitations of an  Internet forum, a thorough review of your concern is not possible. View my comments at YOUR OWN RISK. It is best to actually retain a lawyer for your individual concerns.
View user profile

3 Re: SEVERANCE PAY on Sat Oct 22, 2011 9:11 am

PiaM


Arresto Menor
In relation to that, so the company needs to pay the employee 1/2 month for each year of service and NOT just 1/2 of 1 month's basic salary?

So when the company mentioned that they will only be paying that amount, are they violating labor law? and can file a complaint?

View user profile

4 Re: SEVERANCE PAY on Sat Oct 22, 2011 3:44 pm

attyLLL


moderator
i recommend you clarify first with the company what they meant.


_________________
[i] Visit our FB Page: BPO Employee Legal Advice
Warning and Disclaimer: I am not your lawyer; and you are not my client. With the limitations of an  Internet forum, a thorough review of your concern is not possible. View my comments at YOUR OWN RISK. It is best to actually retain a lawyer for your individual concerns.
View user profile

5 Re: SEVERANCE PAY Today at 2:42 am

Sponsored content


View previous topic View next topic Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum