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Philippine Bar review · Question

Practice question: Financial Assistance

Multiple Choice Hard

Practice question

An employer once offered separation money if an employee voluntarily retired during a proposed personnel adjustment. The employee instead accepted a transfer. Months later, the employee is validly dismissed for gross and habitual neglect and invokes the old offer as a continuing entitlement. No binding ongoing policy or accepted agreement is proved. Which answer follows Bandag?
  1. Every unaccepted offer remains permanently enforceable.
  2. The offer automatically became a company-wide policy.
  3. A later culpable dismissal satisfies the earlier voluntary-retirement condition.
  4. The conditional offer cannot automatically be treated as a continuing entitlement after it was superseded and its condition was not accepted.
  5. The existence of an offer makes the later dismissal illegal.

Legal references

  • Central Philippines Bandag Retreaders v Diasnes, G.R. No. 163607, July 14, 2008, financial assistance limits: https://lawphil.net/judjuris/juri2008/jul2008/gr_163607_2008.html
  • Security Bank Savings Corporation v Singson, G.R. No. 214230, February 10, 2016, financial assistance and culpable dismissal grounds: https://lawphil.net/judjuris/juri2016/feb2016/gr_214230_2016.html
  • Labor Code, DOLE consolidated 2022 edition, Articles 219, 258–260, 262–264, 274 and 278–279: https://natlex.ilo.org/dyn/natlex2/natlex2/files/download/15242/PHL15242%202022.pdf; Articles 297–299.

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