How are the backwages of an unjustly dismissed regular employee computed under the law?
When a regular employee is unjustly dismissed, they are entitled to full backwages to compensate for their lost earnings. The computation of these backwages must be inclusive of all regular allowances received by the employee. Furthermore, the monetary equivalent of other benefits withheld from them must also be included in the calculation. These backwages are strictly computed from the exact time their compensation was withheld up to the time of their actual reinstatement. This computation is governed by Article 294 Labor Code of the Philippines. “An employee who is unjustly dismissed from work shall be entitled to reinstatement without loss of seniority rights and other privileges and to his full backwages, inclusive of allowances, and to his other benefits or their monetary equivalent computed from the time his compensation was withheld from him up to the time of his actual reinstatement.” 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/.
