Company's right to terminate

Hi. We have a small company wi just 2 employees. Upon instructing one of our employees with a new schedule, she said she was going to resign. So we looked for a replacement and when we found one we told her she could leave. We offered her separation pay, 13th month, unused VL and salary due her but she is asking for more money or else she will not leave. It is okay on our part for her to stay but she is a difficult employee and since this incident we don't trust her to stay in the shop on her own. We also cannot afford to hire another just to watch her. What can we do. Just close the company? Can we just ask her to come like 3 times a week even if she usually come 6 days a week? We feel like she is running the company and our hands our tied. She keeps threatening to go to labor if we don't give her the amount she wants in excess of what is due her. What can we do.

Answer this questions first

1. Do you have a contract with her?
2. do you give her payslip?
3. did you give her sss/philhealth contributions?

She may have a contract 4 years ago but still have to retrieve it. The original owner/manager of the company migrated and am still trying to get from her a copy of any contract contract if any.
Yes she has pay slips
and all sss,philhealth, pagibig contributions plus telephone and transportation allowances.

If she was able to submit a resignation letter, you may ask her to stop working on the agreed date.

If she complains at DOLE, you may simply argue that you are giving her last pay, 13 month, tax refund and VL conversion which is the only payable required by the government and that in fact, on top of it, you are giving her separation pay. It is that simple.

She did not submit a letter of resignation. She did it verbally. And she retracted this when I told her that I found a replacement for her. She said she won't leave until we give her additional amount of money.