Can an employee whose continued employment is prohibited by law due to a disease be terminated, and what are they entitled to?

An employer is permitted to terminate the services of an employee who is suffering from a disease under certain strict conditions. This applies when the continued employment of the sick worker is either prohibited by law or poses a health risk to themselves or their co-employees. However, the employer cannot simply dismiss the employee empty-handed. The terminated employee must be paid a separation pay equivalent to at least one month salary or to one-half month salary for every year of service, whichever is greater. These requirements are stipulated in Article 299 Labor Code of the Philippines. “ART. 299. Disease as Ground for Termination. – An employer may terminate the services of an employee who has been found to be suffering from any disease and whose continued employment is prohibited by law or is prejudicial to his health as well as to the health of his co-employees: Provided, That he is paid separation pay equivalent to at least one (1) month salary or to one-half (1/2) month salary for every year of service, whichever is greater, a fraction of at least six (6) months being considered as one (1) whole year.” 02-Jun-26

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 Nicolas and De Vega Law Offices is a full-service law firm in the Philippines.  You may visit us at the 16th Flr., Suite 1607 AIC Burgundy Empire Tower, ADB Ave., Ortigas Center, 1605 Pasig City, Metro Manila, Philippines.  You may also call us at +632 84706126, +632 84706130, +632 84016392 or e-mail us at [email protected]. Visit our website https://ndvlaw.com/.