Employment plays a vital role in both individual lives and the broader society. It provides people with a source of income, financial independence, and a sense of purpose and identity. Beyond meeting basic needs, having a job contributes to mental well-being, social inclusion, and personal development. At a societal level, high employment rates drive economic growth, reduce poverty, and support the stability of communities.

In the Philippines, the Constitution itself has recognized that the State recognizes labor as a primary social economic force. Given the importance of such sector, the State vows to protect the rights of workers and promote their welfare. This commitment to safeguard the rights of the labor force is reiterated in Article 3 of Presidential Decree No. 442, otherwise known as the “Labor Code of the Philippines”, as renumbered. The Supreme Law of the Land, more specifically Section 3, Article XIII thereof, enumerates the cardinal rights of all workers, which includes the right to security of tenure.

Security of tenure has been construed under Article 295 of the Labor Code as meaning that “the employer shall not terminate the services of an employee except for a just cause or when authorized by” the Labor Code. For this purpose, an employer shall comply with the substantive and procedural due process requirements. 

Substantive due process requires that the dismissal must be pursuant to either a just or an authorized cause under Articles 297, 298, or 299 of the Labor Code. Procedural due process, on the other hand, mandates that the employer must observe the twin requirements of notice and hearing before a dismissal can be effected.

This guarantee is an act of social justice. When a person has no property, his job may possibly be his only possession or means of livelihood. Therefore, he should be protected against any arbitrary deprivation of his job. As repeatedly held by the Supreme Court, one’s employment is a property right which cannot be revoked without due process.

From the above, it is clear that an employer cannot dismiss an employee without any cause or ground for said termination. Time and again, the Supreme Court has reminded employers that while the power to dismiss is a normal prerogative of the employer, the same is not without limitations. Dismissals must not be arbitrary and capricious. Due process must be observed in dismissing an employee because it affects not only his position but also his means of livelihood. Employers should, therefore, respect and protect the rights of their employees, which include the right to labor”, among others. 

However, it must be reminded that In labor cases, the courts are tasked with the delicate act of balancing the employee’s right to security of tenure vis-à-vis the employer’s right to freely exercise its management prerogatives. Thus, an employee’s tenurial security shall not be used as a shield to force the hand of an employer to maintain a recalcitrant employee, whose continued employment is patently inimical to the employer’s interest. In the event that the employer has proven that it has a just or authorized cause to remove the employee and that it followed the procedural due process requirement, then the employee should abide by that decision. 

^1. Section 18, Art. II, 1987 Const.
^2. Intercontinental Broadcasting Corporation v. Guerrero, G.R. No. 229013, 15 July 2020.
^3. Ditiangkin, et al., v. Lazada E-Services Philippines, Inc., G.R. No. 246892, 21 September 2022.
^4. Rance, et al., v. National Labor Relations Commission, et al., G.R. No. L-68147, 30 June 1988.