Amaya was employed as a staff nurse by St. Francis Hospital (SFH) on July 8, 2014 on a probationary status for six (6) months. Her probationary contract required, among others, strict compliance with SFH’s Code of Discipline.
On October 16, 2014, Dr. Ligaya, filed a Complaint with the SFH Board of Trustees against Amaya for uttering slanderous remarks against the former. Attached to the complaint was a letter of Minda, mother of a patient, who confirmed the following remarks against Dr. Ligaya:
“Bakit si Dr. Ligaya pa ang napili mong ‘pedia’ eh ang tandatanda na n’un? E makakalimutin na yun xx x Alam mo ba, kahit wala namang diperensya yung baby, ipinapa-iso/ate nya?”
The SFH President asks you, being the hospital’s counsel, which of these two (2) options is the legal and proper way of terminating Amaya: a) terminate her for a just cause under Article 288 of the Labor Code (Termination by Employer); or b) terminate her for violating her probationary contract. Explain. (5%)
Suggested answer only. Not an official answer and not legal advice.
I advise the President to terminate Amaya for violating her probationary contract. Under Article 296 of the Labor Code, probationary employment may be terminated for just cause or when the employee fails to qualify in accordance with reasonable standards
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Quick check
What are the two statutory grounds for terminating a probationary employee under Article 296 of the Labor Code?
Article 296 of the Labor Code allows termination of probationary employment either for a just cause or for failure to meet reasonable standards for regularization.
When must reasonable standards for regularization be made known to a probationary employee?
Labor standards require that the employer communicate the reasonable criteria for regularization at the very start of engagement.
Why is violating a company Code of Discipline a valid ground to terminate a probationary contract?
Strict compliance with company rules and disciplinary policies constitutes an established standard for assessing an employee's fitness for regular status.
What is required for misconduct to serve as a valid just cause for dismissal under Article 297 of the Labor Code?
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What is the legal effect if an employer fails to inform a probationary worker of the regularization standards at the time of hiring?
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Learn more about these topics
1. Probationary Employment
Probationary employment is a period of trial during which the employer observes and evaluates the worker's conduct, efficiency, and fitness to determine whether the employee qualifies for permanent employment. Under Article 296 of the Labor Code, the probationary period shall not exceed six months from the date the employee started working, unless it is covered by an apprenticeship agreement requiring a longer period. The employer must communicate the reasonable standards for regularization to the employee at the time of engagement to validly terminate probation upon failure to meet such standards.
2. Standards for Regularization
For a probationary employee to be validly dismissed for failure to qualify as a regular worker, the employer must make known the reasonable standards for regularization at the time of engagement. These standards may include job performance targets, workplace efficiency, attendance rules, and strict compliance with the company's code of discipline. If an employee willfully violates established disciplinary policies or engages in conduct unbecoming of their role, the employee fails to satisfy the prescribed regularization criteria, giving the employer legitimate grounds to terminate the probationary contract.
3. Serious Misconduct Distinction
Termination of a probationary employee may be effected either for just cause under Article 297 of the Labor Code or for failure to qualify as a regular employee. For misconduct to constitute a just cause under Article 297, it must be serious, grave in character, and directly connected with the performance of the employee's official duties. Where an infraction, such as making derogatory or slanderous remarks against a colleague, violates company rules but is not directly related to job functions, terminating under failure to qualify is the proper legal remedy.