In the absence of an express or implied prohibition against it, collection of both retirement benefits and separation pay upon severance from employment is allowed. This is grounded on the social justice policy that doubts should always be resolved in favor of labor rights. Goodyear and Remigio M. SP No. Angus was employed by Goodyear on November 16, and occupied the position of Secretary to the Manager of Quality and Technology.
In order to maintain the viability of its operations in the midst of economic reversals, Goodyear implemented cost-saving measures which included the streamlining of its workforce. Consequently, on September 19, , Angus received from Ramos, the Human Resources Director of Goodyear, a letter which reads as follows:. Your last day of work, however, will be effective today, September 18, , to give you a month's time to look for another employment. As Company practice, termination due to redundancy or retrenclunent is paid at 45 days' pay per year of service.
Considering, that you have rendered The refund of your contributions to the Goodyear Savings Plan, as well as the Company's share will be handled separately by Security Bank Corporation, the Administrator of said Plan.
Should the Company find in the future that your services are again needed, it shall inform you of the opportunity so you can apply. The Company will try to assist you find new work elsewhere, and you may use Goodyear as a reference, if needed.
We thank you for your With reference to the attached letter dated September 18, , I accept Management decision to avail early retirement benefit. However, I do not agree on the terms stated therein. I suggest I be given a premiwn of additional 3 days for every year of service which is only 6. I gathered it is Philippine industry's practice to give premiwn to encourage employees to avail of the early retirement benefit.
