Ensuring a smooth offboarding process: Philippine lawyer shares insights on requirements, policy alignment, and dispute prevention
16 Jan 2025
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The timely release of final pay and employment documents remains a critical obligation for employers in the Philippines, with the Department of Labor and Employment (DOLE) mandating strict timeframes through Labor Advisory No. 06, Series of 2020.
This advisory defines final pay as the totality of wages or monetary benefits due to an employee, including unpaid earned salary, pro-rated 13th-month pay, and cash conversion of unused leaves, which must be paid within 30 days from the date of separation.
Despite these clear regulatory guidelines, many companies continue to struggle with compliance, leading to employee disputes and potential legal complications.
BusinessWorld reported that this continues to be an ongoing challenge, pointing to growing employee complaints on social media about delayed or denied requests for Certificates of Employment (COEs).
The publication notes this issue "has been going on for years," reflecting the broader difficulties companies face in managing employment separations and document releases.
Julie Mae Marie Cantos, a lawyer handling employment disputes and litigation in the Philippines, shares practical insights on how HR professionals can better manage these obligations while maintaining legal compliance.
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