PHILIPPINES Law and Practice Contributed by: Rashel Ann C Pomoy and Paolo Miguel Consignado, Villaraza & Angangco
withdraw from one to which they already belong, as a form of unfair labour practice. Case law has also illustrated the following dismissals to constitute unfair labour practice: • dismissing union members to secure the union’s defeat in the certification election; • dismissing union officers in a manner that threat - ens the union’s existence, regarded as a form of union busting; • dismissing an employee because of their act of soliciting signatures for the purpose of forming a union; and • dismissing employees because of their act of engaging in valid and legal concerted union activi - ties. Employers who commit unfair labour practices are subject to criminal and civil liability in the form of damages, fines and other penalties, following Article 258 of the Philippine Labour Code. Employees who are dismissed due to ULP may be entitled to rein - statement without loss of seniority rights and other privileges, as well as back wages and other benefits. Case law provides that there is illegal dismissal when there is no clear, valid and legal cause for termination of employment, specifically when: • there is no just or authorised cause for termination; or • when the employee is constructively dismissed. Constructive dismissal occurs in the following instanc - es: • when an employee is compelled to resign invol - untarily because continued employment has been rendered impossible, unreasonable, or unlikely; • when there is a demotion in rank and/or a diminu - tion in pay; or 8. Disputes 8.1 Wrongful Dismissal Wrongful or Illegal Dismissal
• when an employer demonstrates clear discrimina - tion, insensibility, or disdain, creating an unbear - able work environment, effectively leaving the
employee no choice but to resign. Reinstatement Pending Appeal
Complaints for illegal dismissal are filed with the labour arbiter under Article 224 of the Philippine Labour Code. It is important to note that under Article 229 of the Philippine Labour Code, the decision of the labour arbiter reinstating a dismissed or separated employee, insofar as the reinstatement aspect is concerned, shall immediately be executory, even pending appeal. Thus, no writ of execution is required to enforce the labour arbiter’s decision, and the employer must reinstate the employee even if they plan to contest the decision. In implementing the labour arbiter’s order for rein - statement, the employer may opt for actual reinstate - ment, where the employee is physically reinstated to their position and allowed to resume work, or payroll reinstatement, where the employer must continue to pay the employee’s salary during the pendency of the As a primary relief, employees who are illegally dis - missed are entitled to reinstatement without loss of seniority rights and other privileges under Article 294 of the Philippine Labour Code. However, if reinstatement is no longer possible due to the strained relations or the impossibility thereof, the employee shall receive separation pay in lieu of reinstatement as a secondary relief. appeal. Reliefs In both cases, the employee shall also be awarded full back wages, inclusive of allowances, and other benefits or their monetary equivalent from the time their compensation was withheld up to the time of actual reinstatement. In C.P. Reyes Hospital et al., v Barbosa , G.R. No. 228357, 16 April 2024, the Philippine Supreme Court confirmed that even probationary employees may also be awarded with backwages computed from the time that compensation was withheld up to the finality of the decision, which may go beyond the probationary
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