EARLY RETIREMENT

Dear Attorney,
I have been working in a BPO industry for 13 years and expressed my intention of resigning this coming October. When I started in the company back in September 2005, I signed a document stating that the company will incorporate a non-contributory retirement fund as part of my compensation and benefit commencing on my hire date. It was explained to us that we can avail of the early retirement upon reaching 5 years of service in the company. I inquired about the retirement to our HR department but they did not give a clear reaponse. Some of my officemates also inquire and they told me that early retirement is available upon reaching 10 years of service. Since, I have expressed my intention of resigning, I inquired again to our HR department and showed them the document that I have signed 13 years ago about the non-contributory retirement fund. They said that they are not aware of that document even though it states that a copy of the said document is in my 201 file. It seems like the company has been changing the eligibility of employees in availing the early retiremet without communicating it to all employees. They are also unable to provide us with a copy of the retirement plan. One of my officemates my HR mentioned to me that their is a retirement plan and it states that employees can avail it after 15 years of service and that the company doesn’t want to disclose it to the employees. Isn’t that illegal? Are there any legal actons that I can take?

First is there really a retirement policy? What is stated in the contract you had signed? is that a contract or job offer?

Usually, when companies stated early retirement, it is company initiated and announced. unless there is a written policy that employee can initiate it, i can't see how you can claim it.

Also, if you have intention of leaving, do not call it resignation. if you "resign", the HR will just take your resignation letter as is. Just call it early retirement so that they will know that you plan to claim that benefit. Difference? resignation you will not get anything.

was it clearly written in your contract that you can avail retirement after 5 years? 10 years?

That is also one of my concerns. It was written on the contract. They gave us another sheet of document where is says a non contributory funds will be part of our compensation and benefit. It was also not written the years of service required before we can avail of it. I only knew about it when I asked our HR department. The first time I asked they said it will be available after 5 years of service. I went back on my 6th year and asked but they told me that It will be avaialble after 10 years of service. Now that I’m on my 13th year, I again asked our HR compensation anf benefits manager and she said she is not aware of anything about the bon contributory fund.

were you given an increase when this letter was given to you?

i suggest you look into the policy that this is related to.

Nope. no increase. Just the yearly appraisal. Yung ang problem mukhang walang policy kasi ilang beses na kami ng tatanong. Parang binigyan kami dyan to entice new empoyees pero wala talagang malinaw na retirement policy. Kasi in my 13 years at ilang beses na pag iinquire eh wala silang dinidiscuss. Wala din malinaw na sagot pag nagtatnong kami. Last time I inquired sa Compensation and benefits manager, ende daw sya aware sa document na yan.

I just don't get the "incorporate non-contributory retirement fund" statement.

Anyway, if you want, you can report this to DOLE as diminution of benefits. you can also state to have it reported "anonymous" so that they can state to your company that many employees filed a complaint against this instead of stating that you filed it.

thank you, mikos23.
I just submitted a letter informing them about my intent to avail the early retirement. our hr department said they will escalate it. i guess, i just have to wait.