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This template is a document intended to facilitate the crafting of an Authority to Withhold and Deduct from the pay or benefits of the employee who has liability from the company crafted in Filipino / Tagalog. This is written in MS Word document, editable, provided the user’s device and program are compatible in such platform. This will be sent to the buyer via email upon completion of purchase. This is the best document to use for employees who are not conversant of the English language and who are more familiar with the Filipino / Tagalog. This document pertains to the admission of employee of his liability which may come from loan, damages, advances, or any unaccounted sum, etc. The company is guided by the important provisions such as acknowledgment of liability. The user has to fill out the nature of liability (e.g., loan, damages, advances, unaccounted, sum, etc.). The document may be notarized as well. The lack of notarization will not affect the validity. However, the notarization of this instrument adds weight to the declaration of the employee and admission of liability, in case of dispute in the future. Hence, whether or not to have the document notarized, is an option of the company depending on its policy governing the weight of the documents executed by employees. [show_more more="Read more.." less="close"] This template provides:

1. Name of employee
2. Personal circumstances (Filipino, age, address, etc.)
3. Acknowledgment of liability or indebtedness
4. Undertaking to pay at a certain period
5. No prior demand clause
6. Authority to withhold and subsequently to deduct
7. Valid and binding stipulation
8. Non-liability clause
9. Release of the company and its officers
10. Voluntary execution of the document

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CONTRACT FOR PROBATIONARY EMPLOYMENT FOR MONTHLY PAID EMPLOYEE

SOFT COPY DESCRIPTION

A probationary employee is one who, for a given period of time, is being observed and evaluated to determine whether or not he is qualified for permanent employment. A probationary appointment affords the employer an opportunity to observe the skill, competence and attitude of a probationer. The word probationary, as used to describe the period of employment, implies the purpose of the term or period (Enchanted Kingdom, Inc. vs. Verzo, G.R. No. 209559, December 09, 2015). While the employer observes the fitness, propriety and efficiency of a probationer, to ascertain whether he is qualified for permanent employment, the probationer, at the same time, seeks to prove to the employer that he has the qualifications to meet the reasonable standards for permanent employment. (41Escorpizo v. University of Baguio, 366 Phil. 166, 175-176 (1999).) [show_more more="Read more.." less="close"] The concept of probationary employment was, thus, introduced for the benefit of the employer to provide him with ample time to observe and determine whether a newly hired employee has the competence, ability and values necessary to achieve his objectives. Probationary employment shall not exceed six (6) months from the date the employee started working, unless it is covered by an apprenticeship agreement stipulating a longer period. The services of an employee who has been engaged on a probationary basis may be terminated for a just cause or when he fails to qualify as a regular employee in accordance with reasonable standards made known by the employer to the employee at the time of his engagement. An employee who is allowed to work after a probationary period shall be considered a regular employee. Employers should be careful in crafting probationary employment since any ambiguity shall be resolved in favor of labor (Art. 4, Labor Code). Such favor means regular employment since it offers a better status of the employee. It bears noting as well that an employee who was not informed of the reasonable standards for regular employment shall be deemed as regular from day one. Thus, it makes better sense when these standards are included in the contract. As held in Buiser vs. Leogardo, an probationary employment may also be extended upon mutual consent of the parties. This means that instead of terminating an employee who failed the trial period he is given a chance. Now, to avoid ambiguity, the employment contract should already provide a clause for this just like what is found in this template. A sample contract will help employers to overcome the technicalities of this form of employment. This template is easy to edit using the Word application. This version is using MS Office 365. Salient points of this template are:

9. Parties
10. Whereas Clause
11. Commencement of probationary employment
12. Extension Clause
13. Termination of Employment
14. Place of Posting
15. Full Time Service
    • Prohibits Moonlighting
    • Prohibits Sideline, etc.
16. Duties and responsibilities clause
    • Reasonable Standards Metrics
      • Performance
      • Punctuality/Attendance
      • Behavior
      • Teamwork
      • Initiative
    • Periodic Evaluation
    •  Passing Clause
17. Compensation and Benefits
    • Specifically indicating the factor used and the deemed payment of Saturday and Regular Holidays
18. Office Decorum
19. Non-compete Clause
20. Training Expenses
21. Data privacy consent clause

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This is a soft copy template saved in Word File and editable in Word Document. This contains the sample terms, conditions, clauses, and provisions of the contract described. See the Description below to view the Contents of this soft copy template. A regular employee is one who passed the probationary period, has been in the company for at least six months, or was engaged as such without undergoing probationary period. The legal basis of regular employment is mainly Article 295 of the Labor Code, as amended. Article 295 provides that the provisions of written agreement to the contrary notwithstanding and regardless of the oral agreement of the parties, an employment shall be deemed to be regular where the employee has been engaged to perform activities which are usually necessary or desirable in the usual business or trade of the employer. This means that even if there is a written agreement that the employee is not of regular status, he is still considered regular if has been engaged to perform activities which are usually necessary or desirable in the usual business or trade of the employer. This template is for monthly paid employees. As opposed to daily paid, monthly paid employees Monthly-paid employees are those who are paid every day of the month, including unworked rest days, special days, and regular holidays. Factor 365 days in a year is used in determining the equivalent monthly salary of monthly-paid employees. (I, D, DOLE 2020 Handbook Workers’ Statutory Monetary Benefits) Daily-paid employees are those who are paid on the days they actually worked and on unworked regular holidays. (Ibid.) With the use of 365-day factor, the company should make sure that employees engaged are not below the minimum. The 365 day factor is used to determine the daily rate of the monthly paid employee. For instance, if an employee earns PhP20,000.00 per month, the daily equivalent using the 365 factor is as follows: PhP20,000 per month x 12 months = PhP240,000 PhP240,000 per year / 365 days per year = PhP657.53 per day Hence, the daily equivalent of the monthly pay of PhP20,000 is PhP657.53. Learn more..