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7/20/2021 FINAL EXAM IN LABOR LAW II

FINAL EXAM IN LABOR LAW II


This exam is composed of two parts:

Part I. Multiple Choice Questions (60 items). - Choose the best answer.

Part II. Essay. (4 questions - 10 points each). - Read each question carefully. Answer briefly
and concisely.

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1. All unfair labor practices arising from the Labor Code shall be filed with 1 point
the appropriate agency within _________ from accrual of such unfair labor
practice; otherwise, they shall be forever barred. *

Six months

One year

Three years

Five years

2. The following are the legal requisites for acquisition by a teacher of 1 point
permanent employment or security of tenure, except: *

The teacher is a full-time teacher;

The teacher must have rendered three (3) consecutive years of service;

The service of the teacher must have been outstanding.

None of the above.

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3. The following are non-strikeable issues, except: * 1 point

Physical rearrangement of the office

Company’s sales evaluation policy

Wage distortion

Recognition of the majority union

4. Filsyn, which produced polyester raw materials for textiles, required 24- 1 point
hour operations. Pursuant to the employment contracts of the employees,
they were to report for work on Sundays and holidays, if their work
schedules so required subject to additional compensation required by law.
In February 1985, the union officers filed several notices of strike. Upon
Filsyn’s petition, the Minister of Labor certified the labor dispute to NLRC
for compulsory arbitration. On April 4, 1985 (Maundy Thursday), while the
conciliation meetings were pending, the union officers and members did
not report for work. Thus, the factory’s operations stopped and the
company suffered losses. Filsyn accused the union officers and members
of conducting an illegal strike. In their defense, the union officers and
members contended that there was no strike, the failure to work on
Maundy Thursday being justified because this was a legal holiday. Was
there an illegal strike? *

Yes, because the union did not conduct a strike vote at least seven days prior to the
date of the strike.

Yes, because the certification of the dispute for compulsory arbitration enjoined the
intended strike subject of the notice.

No, because employees are not required to work on a holiday.

No, because the union filed a notice of strike ahead of time.

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5. Which of the following periods in the conduct of strike are not 1 point
mandatory? *

Cooling-off period

7-day strike ban

24-hour notice of conduct of strike vote

None of the above.

6. Which of the following is not a requirement for validity of a strike? * 1 point

Notice of strike

Cooling-off period

Strike vote by viva voce

Strike vote report

7. What is the cooling-off period in the conduct of strike on the ground of 1 point
unfair labor practice? *

7 days

15 days

30 days

None of the above.

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8. Which of the following statements is incorrect? * 1 point

Workers have the right to engage in concerted activities for purposes of collective
bargaining.

In cases of bargaining deadlocks, the duly certified bargaining agent may file a notice
of strike with the DOLE at least fifteen (15) days before the intended date thereof.

A decision to declare a strike must be approved by a majority of the total union


membership in the bargaining unit concerned.

Before or at any stage of the compulsory arbitration process, the parties may opt to
submit their dispute to voluntary arbitration.

9. In the course of collective bargaining, a lockout is proper only when the 1 point

following requisites are met, except one: *

Notice of intention to declare a lockout has been filed with the DOLE;

At least 15 days has elapsed since the filing of the notice before lockout is declared;

An impasse has resulted in the negotiations;

The lockout is not discriminatory.

10. A strike has the following characteristics, except: * 1 point

There must be employer-employee relationship between the strikers and the person
against whom the strike is called;

The existence of a labor dispute between the parties;

The striking group need not be a legitimate labor organization as long as the
members are employees of the person against whom the strike is called;

There is a work stoppage and the striking employees are considered temporarily
suspended from work.

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11. Which of the following statements is incorrect? * 1 point

The discretion to assume jurisdiction may be exercised by the Secretary of Labor and
Employment only after prior notice and hearing given to the party disputants.

The Secretary of Labor and Employment need not wait for a deadlock in the
negotiations before it can take cognizance of bargaining disputes.

It is prohibited to hold a strike or lockout after assumption of jurisdiction by the


Secretary of Labor of a particular labor dispute.

The production and public of telephone directories is not an industry affecting


national interest.

12. The following concerted activities are considered illegal, except: * 1 point

Walking forward and back constantly during all business hours in front of the
employer’s restaurant displaying a banner announcing that the restaurant was unfair
to cooks and waiters;

Use of loudspeakers in front of a picketed place of business;

Picketing of the private home of the employer;

Driving through streets of a vehicle equipped with apparatus for broadcasting music
and bearing signs advising the public not to patronize the employer for being unfair to
organized labor.

13. It is a method by which one’s employees, without seeking a complete 1 point


stoppage of work, retard production and distribution in an effort to compel
compliance by the employer with the labor demand made upon him. *

Picketing

Strike

Slowdown

Boycott

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14. Which of the following statements is correct? * 1 point

There is casual employment where an employee is engaged to perform a job, work or


service which is necessary to the business of the employer, and such job, work or
service is for a definite period made known to the employee at the time of
engagement.

A fixed-period employee is deemed regular in the sense that his work is necessary or
desirable in the principal business of the employer and he enjoys security of tenure
during the limited time of his employment.

Seasonal employees are not considered regular employees because they are
temporarily laid off during off season.

Project employees are not entitled to security of tenure for the duration of the project
or of the season.

15. Which of the following is not true: * 1 point

The employee’s commission of a crime against the person of his employer or against
any member of his immediate family is a just cause for termination.

Immediate family members referred to above are limited to the spouse, children,
parents, legitimate, natural or adopted brothers and sisters, or his relatives by affinity
and consanguinity in the same degrees.

The conviction of an employee in a criminal case is not indispensable to warrant his


dismissal by his employer.

None of the above.

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7/20/2021 FINAL EXAM IN LABOR LAW II

16. Which of the following statements is incorrect: * 1 point

Both retrenchment and redundancy are forms of downsizing.

Redundancy exists where the services of an employee are in excess of what is


reasonably demanded by the actual requirements of the enterprise.

Abolition of departments or positions in the company is a management prerogative.

Creation of positions with functions related or similar to those of the abolished


positions will invalidate the declaration of redundancy.

17. Is an employee who voluntarily resigned his job entitled to separation 1 point
pay? *

Yes, if the employee has served for more than six (6) months prior to his resignation.

Yes, if there is a stipulation for payment of such in the employment contract.

Yes, if the employee’s voluntary resignation is due to illness.

All of the above.

18. All money claims arising from employer-employee relations accruing 1 point
during the effectivity of the Labor Code prescribe in *

1 year

2 years

3 years

4 years

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19. A quitclaim by an employee may be given effect if the employer is able 1 point

to prove the following requisites, except: *

The employee executes the deed of quitclaim voluntarily.

The deed of quitclaim must be duly notarized.

The consideration of the quitclaim is credible and reasonable.

There is no fraud or deceit and the contract is not contrary to law, public order, public
policy, morals or good customs.

20. Is hearing required before termination of an employee? * 1 point

Yes, if termination is based on just causes.

Yes, if termination is based on authorized causes.

Yes, if termination is based on bona fide suspension of operation.

Termination is initiated by the employee.

21. In terminating the employment of an employee by enforcing the union 1 point


security clause, the employer needs to determine the following, except: *

The union security clause if applicable;

The majority of the union members voted to expel the employee from the union;

The union is requesting for enforcement of the union security provisions in the CBA;

There is sufficient evidence to support the union’s decision to expel the employee
from the union.

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7/20/2021 FINAL EXAM IN LABOR LAW II

22. The following termination on the ground of redundancy are considered 1 point
valid, except: *

Termination of employment of mechanics and their replacement by a company


rendering maintenance and repair services as part of the company’s cost-saving
program;

Closure by the club of its food and beverage department and termination of all staff
therein and its opening to a concessionaire;

Terminating old employees on the ground of redundancy and hiring new employees
with the same duties and responsibilities;

Abolishing a position which the company no longer deems necessary and offering the
employee a lower position recently vacated.

23. Separation pay may be paid in the following instances, except: * 1 point

As a statutory benefit;

As alternative to backwages;

As employment benefit required by contract;

As alternative to reinstatement of an illegally dismissed employee.

24. Government employees cannot strike because it is: * 1 point

against the law

a civil service offense

a violation of the principle of state sovereignty

all of the above.

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25. In closure of business grounded on serious business losses, the 1 point

separation pay is: *

half month pay for every year of service

one month pay for every year of service

no separation pay

None of the above.

26. Strikers are not entitled to back wages, the exceptions are: * 0 points

They were discriminately dismissed

They were illegally locked-out

Both a and b above.

There is no exception to the rule that strikers are not entitled to backwages.

27. Three days after the 6-month probationary period, an employee was 1 point

dismissed. The employee is a: *

regular employee

fixed-term employee

probationary employee

project employee

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7/20/2021 FINAL EXAM IN LABOR LAW II

28. The components of retirement pay are: * 1 point

½ month salary

cash equivalent of (5) days service incentive leave

1/12 of 13th month pay

all of the above.

29. A corporate officer is jointly and severally liable with the corporation for 1 point
illegal dismissals if: *

He is the person ultimately responsible for the termination.

He acts within the scope of his authority.

He acted in good faith.

None of the above.

30. STATEMENT NO. 1 – It is employers’ duty to inform the probationary 1 point


employee reasonable work standards. STATEMENT NO. 2 – The employer
may terminate the services of a probationary employee without valid
cause as long as such termination be done within the six months trial
period. *

Both statements are true

Both statements are false

Only statement No. 1 is true

Only statement No. 2 is true

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31. STATEMENT NO. 1 – “A company that exercises its prerogative to 1 point


dismiss is not allowed to turn around and deny employer-employee
relationship.” STATEMENT NO. 2 - “Alleging abandonment indicates
employer-employee relationships.” *

Both statements are true

Both statements are false

Only statement No. 1 is true

Only statement No. 2 is true

32. Is an employer, who requires returning striking employees to sign an 1 point


undertaking not to destroy company property and commit acts of reprisals
against non-striking employees, guilty of ULP? *

Yes, the imposition of any condition in order to accept striking workers back is
violative of their right to self organization

No, the employer has legitimate concerns for the safety of his property and other
employees.

Yes, to require such a condition would be to discriminate against employees who


joined the strike

No, the employer can impose any condition upon returning striking employees in
exchange for admission to work.

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33. Can an employer dismiss a sickly employee on the ground that the 0 points
same constitutes analogous causes under Article 297 of the Labor Code?
*

Yes, it is within management’s prerogative to discipline its workers.

No, to terminate under Article 297 requires a wilful act of the employee.

Yes, otherwise the principle of no-work, no-pay becomes meaningless.

No, as dismissals for health reasons require that the illness of the employee be
incurable and prejudicial to his co-employees.

34. The probationary period of employment may be: * 1 point

less than six months

exactly six months

more than six months

all of the above.

35. A is a sales associate for X Properties. The latter is looking to retrench A 1 point

and five other sales associates due to financial losses. Aside from a basic
monthly salary, A and her colleagues receive commissions on the sales
they make as well as cost of living and representation allowances. In
computing A’s separation pay, X Properties should consider her: *

Monthly salary only

Monthly salary plus sales commissions

Monthly salary plus sales commissions, plus cost of living allowance

Monthly salary plus sales commissions, plus cost of living allowance and
representation allowance

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7/20/2021 FINAL EXAM IN LABOR LAW II

36. Despite an order of reinstatement, an employer may choose not to 1 point

reinstate an employee if: *

The position of the employee no longer exists;

There is a strained employer-employee relationship;

The employer’s business has been closed;

The employee does not wish to be reinstated.

37. How many years of service is the underground mine employee required 1 point
to have rendered in order to be entitled to retirement benefits? *

10

15

20

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38. R was employed as an instructor of Cruz College located in Santiago 1 point


City, Isabela. Pursuant to a stipulation in R’s employment contract that the
college has the prerogative to assign R in any of its branches or tie-up
schools as the necessity demands, the college proposed to transfer him to
Ilagan, a nearby town. R filed a complaint alleging constructive dismissal
since his re-assignment will entail an indirect reduction of his salary or
diminution of pay considering that additional allowance will not be given to
cover for board and lodging expenses. R, however, failed to prove that
allowances were given in similar instances in the past. Is R’s contention that
he will suffer constructive dismissal in view of the alleged diminution of
benefit correct? *

Yes, such transfer should require an automatic additional allowance; the non-granting
of said allowance amounts to a diminution of benefit;

No, R failed to present evidence that the college committed to provide the additional
allowance ot that they were consistently granting such benefit as to have ripened into
a practice which cannot be preemptorily withdrawn. Hence, there is no violation of the
rule against diminution of pay;

No, R’s re-assignment did not amount to constructive dismissal because the college
has the right to transfer R based on contractual stipulation;

B and C.

39. Under current jurisprudence, when the dismissal is for just or 1 point
authorized cause but due process is not observed, the dismissal is said to
be: *

Void for denial of due process; hence, the employee should be reinstated;

Void for lack of due process, the employee should be paid full backwages;

Valid, for the dismissal is with just/authorized cause, but the employer shall be liable
for nominal damages;

Valid, even if due process is not observed, hence reinstatement should not be
ordered.

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40. Which of the following is not a procedural due process requirement in 1 point
the termination of an employee for just cause? *

A written notice to the employee specifying the grounds for his termination;

A written notice to the DOLE at least thirty (30) days before the effectivity of the
termination;

A written notice to the employee stating that upon consideration of the


circumstances, grounds have been established to justify his termination;

An opportunity for the employee to present his evidence.

41. Which of the following is correct with respect to the extent of the 1 point
application of security of tenure? *

It applies to managerial and to all rank-and-file employees if not yet regular, but not to
management trainees;

It applies to managerial and to all rank-and-file employees including those under


probation;

It applies to seasonal and project employees, if they are hired repeatedly;

It applies to all kinds of employees except those employed on a part-time basis.

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42. In response to Company X’s unfair labor practices, a union officer 1 point
instructed its members to stop working and walk out of the company
premises. After three (3) hours, they voluntarily returned to work. Was
there a strike and was it a valid activity? *

Yes, it was a strike; yes, it was a valid activity;

Yes, it was a strike; no, it was not a valid activity;

No, it was not a strike; yes, it was a valid activity;

No, it was not a strike; no, it was not a valid activity.

43. Bugoy, an employee with only six (6) months of service, was dismissed 1 point
due to redundancy. He is entitled to a separation pay of: *

One (1) month pay;

One (1) year pay, as the law is explicit that a fraction of at least six (6) months shall
be considered one (1) whole year;

Six (6) months pay;

One (1) year and six (6) months pay, as the Labor Code mandates that “all doubts in
the implementation and interpretation of this Code xxx shall be resolved in favor of
Labor”.

44. Which of the following is not a valid reason for a strike? * 1 point

There is a bargaining deadlock;

There is a prevailing intra-union dispute;

The company engaged in unfair labor practice;

There is a flagrant violation of CBA’s economic provisions.

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45. Union X staged a strike in front of Company B because of a CBA 1 point


deadlock. During the strike, Company B hired replacement workers. Upon
resuming their employment, the strikers found that Company B had hired
replacement workers in their place. Is Company B obliged to reinstate the
returning workers? *

No, because the strike caused work stoppage;

No, because it is a valid exercise of management prerogative;

Yes, because workers who go on strike do not lose their employment status;

Yes, because workers are entitled to such retention every time during a valid strike.

46. The Supreme Court categorically declared that separation pay shall be 1 point
allowed as a measure of social justice only in those instances where the
employee is validly dismissed for cause other than: *

Serious Misconduct;

Gross and habitual neglect of duties;

Willful disobedience to lawful orders;

Fraud or willful breach of trust.

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47. The company lawyer sent a memo to the employee informing him of 1 point
the specific charges against him and giving him an opportunity to explain
his side. In a subsequent letter, the employee was informed that, on the
basis of the results of the investigation conduct, his written explanation,
the written explanation of other employees as well as the audit report, the
management has decided to terminate his employment. The employee
contended that his termination was illegal for lack of procedural due
process. Is the employee’s contention correct? *

No, the employee’s written explanation and written explanation of the other
employees were sufficient basis for the employer to terminate his employment;

Yes, because the employer did not abide by the two-notice rule;

Yes, because he was nor properly afforded the chance to explain his side in a
conference;

No, because the written notice of the cause of dismissal afforded him ample
opportunity to be heard and defend himself, and the written notice of the decision to
terminate him which states the reasons therefor, complies with the two-notice rule.

48. For misconduct or improper behavior to be a just cause of dismissal, 1 point


the following guidelines must be met, except: *

It must be serious;

It must relate to the performance of the employee’s duties;

It should not be used as a subterfuge for causes which are improper, illegal or
unjustified;

It must show that the employee has become unfit to continue working for the
employer.

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49. The employer must observe both substantive and procedural due 1 point
process when dismissing an employee. If procedural due process is not
observed, the dismissal will be regarded as *

defective; the dismissal process has to be repeated.

an abuse of employer's discretion, rendering the dismissal void.

ineffectual; the dismissal will be held in abeyance.

legal and valid but the employer will be liable for indemnity.

50. Which is NOT a guideline for the dismissal of an employee on the 1 point
ground of “loss of confidence”? *

Loss of confidence may not be arbitrarily invoked in the face of overwhelming


evidence to the contrary.

Loss of confidence as cause of dismissal should be expressly embodied in written


company rules.

The employee holds a position of trust and confidence.

Loss of confidence should not be simulated nor a mere afterthought to justify earlier
action taken in bad faith.

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7/20/2021 FINAL EXAM IN LABOR LAW II

51. A sugar mill in Laguna, capitalized at P300 million, suffered a 1 point


P10,000.00 loss last year. This year it dismissed three young female
employees who gave birth in the last three years. In its termination report
to DOLE, the sugar mill gave as reason for the dismissal “retrenchment
because of losses.” Did it violate any law? *

Yes, the law on retrenchment, the sugar mill’s loses not being substantial.

Yes, the law against violence committed on women and children.

No, except the natural law that calls for the protection and support of women.

No, but the management action confirms suspicion that some companies avoid hiring
women because of higher costs.

52. When the employer or his representative hurls serious insult on the 1 point
honor or person of the employee, the law says that the employee *

may leave work after at least a five-day notice to the employer.

may leave work at any time and file for constructive dismissal.

may leave work without giving a 30-day notice to the employer.

may abandon his job at once.

53. An employee is NOT entitled to “financial assistance” in cases of legal 1 point


dismissal when the dismissal *

is based on an offense reflecting the depraved character of the employee.

is based on serious misconduct or breach of the employer's trust.

is grounded on any of the just causes provided by the Labor Code.

when the employee has less than 10 years of service.

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7/20/2021 FINAL EXAM IN LABOR LAW II

54. The employees’ union in San Joaquin Enterprise continued their strike 1 point
despite a return to work order from the Secretary of Labor. Because of this
defiance, the employer dismissed the strikers. But the Labor Arbiter
declared as illegal the dismissal of those whose commission of unlawful
acts had not been proved. They were ordered immediately reinstated. The
employer refused, however, to reinstate them on the ground that the rule
on immediate reinstatement applies only to terminations due to just or
authorized causes. Is the employer’s refusal justified? *

No, every employee found to have been illegally dismissed is entitled to immediate
reinstatement even pending appeal.

Yes. The employer’s refusal is legal and justified as a penalty for defying the
secretary’s lawful order.

Yes, the rule on immediate reinstatement does not apply to employees who have
defied a return-to-work order.

No. The dismissal of the employees was valid; reinstatement is unwarranted.

55. An employee proved to have been illegally dismissed is entitled to 1 point


reinstatement and full backwages computed on the basis of his *

basic salary plus the regular allowances and the thirteenth month pay.

basic salary plus the salary CBA increases during the pendency of his case

basic salary plus the increases mandated by wage orders issued during the pendency
of his case.

basic salary at the time of dismissal

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56. Jose Lovina had been member of the board of directors and Executive 1 point
Vice President of San Jose Corporation for 12 years. In 2008, the San Jose
stockholders did not elect him to the board of directors nor did the board
reappoint him as Executive Vice President. He filed an illegal dismissal
complaint with a Labor Arbiter. Contending that the Labor Arbiter had no
jurisdiction over the case since Lovina was not an employee, the company
filed a motion to dismiss. Should the motion be granted? *

No, the Labor Arbiter has jurisdiction over all termination disputes.

Yes, it is the NLRC that has jurisdiction over disputes involving corporate officers.

No, a motion to dismiss is a prohibited pleading under the NLRC Rules of Procedure.

Yes, jurisdiction lies with the regular courts since the complainant was a corporate
officer.

57. The union filed a notice of strike due to a bargaining deadlock. But, 1 point
because the Secretary of Labor assumed jurisdiction over the dispute, the
strike was averted. Meanwhile, the employer observed that the union
engaged in a work slowdown. Contending that the slowdown was in fact an
illegal strike, the employer dismissed all the union officers. The union
president complained of illegal dismissal because the employer should first
prove his part in the slowdown. Is the union president correct? *

Yes, since the employer gave him no notice of its finding that there was a slowdown.

Yes. The employer must prove the union president’s part in slowdown.

No. When a strike is illegal, the management has the right to dismiss the union
president.

No. As the union president, it may be assumed that he led the slowdown.

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7/20/2021 FINAL EXAM IN LABOR LAW II

58. Sampaguita Company wants to embark on a retrenchment program in 1 point

view of declining sales. It identified five employees that it needed to


separate. The human resource manager seems to recall that she has to
give the five employees and the DOLE a 30-day notice but she feels that
she can give a shorter notice. What will you advise her? *

Instead of giving a 30-day notice, she can just give a 30-day advanced salary and
make the separation effective immediately.

So long as she gave DOLE a 30-day prior notice, she can give the employees a shorter
notice.

The 30-day advance notice to the employee and the DOLE cannot be shortened even
with a 30-day advance salary.

She can give a shorter notice if the retrenchment is due to severe and substantial
losses.

59. A foreign guest in a luxury hotel complained that he lost certain 1 point

valuable itemsin his hotel room. An investigation by the hotel pointed to


two roomboys as the most probable thieves. May the management invoke
“loss of confidence” as a just cause for dismissing the roomboys? *

No, “loss of confidence” as reason for dismissal does not apply to rank and file
employees.

No, “loss of confidence” applies only to confidential positions.

Yes, “loss of confidence” is broad enough to cover all dishonest acts of employee.

Yes, “loss of confidence” applies to employees who are charged with the care and
custody of the employer's property.

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7/20/2021 FINAL EXAM IN LABOR LAW II

60. The Labor Code on retirement pay expands the term “one-half (1/2) 1 point

month salary” because it means *

15 days' pay plus 1/12th of the 13th month pay and 1/12th of the cash value of
service incentive leave.

15 days' pay plus 1/12th of the 13th month pay and the cash equivalent of five days
service incentive leave.

15 days pay plus a full 13th month pay.

15 calendar days' pay per year of service plus allowances received during the
retirement year.

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