Practice question
A company introduces machines in good faith for efficiency but chooses employees for termination solely by arbitrary personal hostility, conceding that no fair selection criterion was used. It pays the correct separation amount. Which is correct?
- Payment does not cure the independent fair-selection requirement
- Correct pay conclusively validates every selection
- Hostility automatically counts as fair selection
- Machinery eliminates all employee safeguards
- No substantive inquiry survives payment
Legal references
- DO147-15 RuleI-A Sections5.1 and5.4–5.5: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/10/71535 Installation of labor-saving devices, fair selection and closure-loss distinction.
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