However, such notice also provides that those who applied for work elsewhere during the layoff period but prior to the retrenchment are not qualified for separation pay. With these circumstances, I want to know if my previous employer has the legal right to deny me my separation pay? Article 298 provides:“In case of termination due to the installation of labor-saving devices or redundancy, the worker affected thereby shall be entitled to a separation pay equivalent to at least his one month pay for every year of service. In case of retrenchment to prevent losses and in cases of closures or cessation of operations of establishment or undertaking not due to serious business losses or financial reverses, the separation pay shall be equivalent to one month pay or at least one-half month pay for every year of service, whichever is higher. As such, you are deemed to have resigned from your previous employer, and thus, would not be entitled to separation pay.

Source: Manila Times November 01, 2020 16:07 UTC