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SANGWOO PHILIPPINES v. SANGWOO PHILIPPINES

This case has been cited 4 times or more.

	GR No. 174184 2015-01-28	G.J.T. REBUILDERS MACHINE SHOP v. RICARDO AMBOS LEONEN, J.
Aside from the obligation to pay separation pay, employers must comply with the notice requirement under Article 283 of the Labor Code. Employers must serve a written notice on the affected employees and on the Department of Labor and Employment at least one month before the intended date of closure. Failure to comply with this requirement renders the employer liable for nominal damages.[55]
	GR No. 174184 2015-01-28	G.J.T. REBUILDERS MACHINE SHOP v. RICARDO AMBOS LEONEN, J.
Notice of the eventual closure of establishment is a "personal right of the employee to be personally informed of his [or her] proposed dismissal as well as the reasons therefor."[69] The reason for this requirement is to "give the employee some time to prepare for the eventual loss of his [or her] job."[70]
	GR No. 174184 2015-01-28	G.J.T. REBUILDERS MACHINE SHOP v. RICARDO AMBOS LEONEN, J.
Generally, employers that validly closed their businesses but failed to comply with the notice requirement are liable in the amount of P50,000.00.[73] This amount of nominal damages, however, may be reduced depending on "the sound discretion of the court."[74] In Sangwoo Philippines, Inc. v. Sangwoo Philippines, Inc. Employees Union-OLALIA,[75] we said that: [i]n the determination of the amount of nominal damages which is addressed to the sound discretion of the court, several factors are taken into account: (1) the authorized cause invoked . . .; (2) the number of employees to be awarded; (3) the capacity of the employers to satisfy the awards, taking into account their prevailing financial status as borne by the records; (4) the employer's grant of other termination benefits in favor of the employees; and (5) whether there was bona fide attempt to comply with the notice requirements as opposed to giving no notice at all.[76]
	GR No. 174184 2015-01-28	G.J.T. REBUILDERS MACHINE SHOP v. RICARDO AMBOS LEONEN, J.
With G.J.T. Rebuilders failing to comply with the notice requirement under Article 283 of the Labor Code, we find that it deprived respondents of due process. However, considering that G.J.T. Rebuilders attempted to comply with the notice requirement, we find the nominal damages of ?10,000.00 for each of the respondents sufficient.[79]