If ang empleyado mismo ang ni-resign:
No, you are not required to give separation pay.
Pero required ka mohatag sa:
- Final pay – kani usually includes:
- Sweldo from the last cutoff to last working day
- Accrued unused leave credits (if applicable and convertible to cash)
- Pro-rated 13th month pay (from Jan to resignation month)
- Any other benefits due
- Deductions – i-minus sa final pay:
- Cash advances
- Company property not returned (e.g., uniforms, tools)
- Quit claim and release – ipapirma para mo-declare siya nga nadawat na niya ang tanan due niya, ug wala na siya’y claim against the company. This protects you. Sample Quit Claim form below.
❓What if bag-o pa siya, like 3 months pa lang?
Yes, required gihapon ka mohatag sa pro-rated 13th month pay. Example:
₱15,000 monthly salary × (3/12) = ₱3,750
⚠️ When is separation pay required?
Only in these cases:
- Company-initiated termination for authorized causes (redundancy, retrenchment, illness, closure, etc.)
- Not for resignation.
DOLE Compliance Tips:
- Issue a Certificate of Employment if requested.
- Process and release final pay within 30 days after resignation unless there’s a valid reason for delay.
- Keep a copy of the signed quit claim + proof of release of final pay.
Sample Quit Claim & Release Form
QUIT CLAIM, WAIVER, AND RELEASE OF CLAIMS
I, [Employee’s Full Name], of legal age, Filipino, and a resident of [Address], was formerly employed by [Business Name], located at [Business Address], from [Start Date] to [Last Working Day], serving in the position of [Job Title].
I confirm that I have received from [Business Name] the total amount of ₱[Amount in figures] (Pesos: [Amount in words]), representing:
My final salary
Pro-rated 13th month pay
Unused leave credits (if any)
Any other benefits or entitlements due to me
I acknowledge that I have no further claim against [Business Name], its owner(s), representatives, or agents, arising from my employment or its termination. I hereby freely, voluntarily, and with full understanding of my rights, execute this quit claim, waiver, and release, thereby discharging the company from any and all claims, whether monetary or otherwise.
This document is signed without coercion, and with the intention of finally settling any and all matters related to my employment.
Executed this [Date], at [City/Municipality], Philippines.
_________________________
[Employee’s Full Name]
(Signature over printed name)
_________________________
[Authorized Representative or Employer’s Name]
(Signature over printed name)
Optional:
You can add a witness signature if you want extra protection.
You may also attach a breakdown of the final pay for full transparency.
