Separation Pay

beerador711 wrote:May I request info on what constitutes separation pay? is it limited to basic salary?
What I receive is basic salary, honorarium and allowances will that be included in the computation of separation pay? what does the law say on this? i need info so i can negotiate with my employer because i am being considered for termination due to redundancy. thank you

The employer may also terminate the employment of any employee due to the installation of labor-saving devices, redundancy, retrenchment to prevent losses or the closing or cessation of operation of the establishment or undertaking unless the closing is for the purpose of circumventing the provisions of this Title, by serving a written notice on the workers and the Ministry of Labor and Employment at least one (1) month before the intended date thereof. In case of termination due to the installation of labor-saving devices or redundancy, the worker affected thereby shall be entitled to a separation pay equivalent to at least his one (1) month pay or to at least one (1) month pay for every year of service, whichever is higher.