Practice question
An employer proves neither a just nor an authorized cause for dismissal. It offers PHP 30,000, arguing that Agabon allows any employer to dismiss first and pay nominal damages instead of proving cause. Which is correct?
- Agabon does not replace the need for a valid substantive cause; the remedies for illegal dismissal must be addressed.
- Payment automatically validates any dismissal.
- The employer may select nominal damages instead of reinstatement unilaterally.
- Procedural compensation proves that a just cause existed.
- The employee loses the case upon tender of the money.
Legal references
- Agabon v NLRC, G.R. No. 158693, November 17, 2004, en banc main decision, nominal damages for statutory due-process violation: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/1/46232
- Jaka Food Processing Corporation v Pacot, G.R. No. 151378, March 28, 2005, en banc main decision, authorized cause and notice violation: https://lawphil.net/judjuris/juri2005/mar2005/gr_151378_2005.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 294 and 297–299.
- Civil Code, Articles 2221–2222: https://lawphil.net/statutes/repacts/ra1949/ra_386_1949.html
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