Criteria in Termination due to Redundancy and Other Related Issues

Among the accepted criteria in implementing a redundancy are: (a) less preferred status, e.g., temporary employee; (b) efficiency; and (c) seniority

The establishment and implementation of criteria are important feature of redundancy to give respect to the employee’s constitutionally enshrined security of tenure.

In one case, the Supreme Court has refused to give credence to the redundancy invoked by the employer inasmuch as the company adopted no criterion in dismissing the employee.

Verily, the absence of criteria and the erroneous implementation of the criterion selected, both render invalid the redundancy because both have the ultimate effect of

In a case, studies for the redundancy program showed to eliminate the “undesirables,” “abusers,” and “worst performers.” It was challenged for being indicia of bad faith. The Supreme Court disagreed and did not put significance to the allusions. It may be argued that the elimination of the so-called “undesirables” was merely incidental to the redundancy program or that past transgressions could have been part of the criteria in determining who among the redundant employees is to be dismissed.

That no other person was holding the same position prior to the termination of one’s services, does not show that his position had not become redundant. Indeed, in any well-organized business enterprise, it would be surprising to find duplication of work and two (2) or more people doing the work of one person.

The fact that the employer hired contractual employees after implementing its redundancy program does not necessarily negate the existence of redundancy. Especially if there is showing that such hiring was intended solely for winding up operations using the old system.

The employer has the recognized right and prerogative to select the persons to be hired and to designate the work as well as the employee or employees to perform it.

This includes the right of the company to determine the employees to be retained or discharged and who among the applicants are qualified and competent for a vacant position. The rationale for this principle is that the employer is in the best position to ascertain what is proper for the advancement of its interest.

Learn how to Validly Terminate Employee in the Philippines with this Tutorial Video of Atty. Elvin

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