Can the minimum retirement pay mandated by law deprive an employee of superior benefits granted by company practice?
The law sets a minimum baseline for retirement benefits to ensure that elderly workers have financial support after their years of service. However, this statutory minimum is not meant to be a ceiling or to diminish existing favorable conditions. The legal provisions on retirement explicitly state that nothing therein shall deprive any employee of superior benefits. If an employee is entitled to better benefits under existing laws, company policies, or established practices, those superior benefits must be respected and given. This safeguard for workers is found in Article 302 Labor Code of the Philippines. “Nothing in this Article shall deprive any employee of benefits to which he may be entitled under existing laws or company policies or practices.” 02-Jun-26About Nicolas and De Vega Law Offices
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/.
