Dear Atty. Peachy,
I work as a regular sales clerk in a small appliance store in Pasay, where I have been employed for almost three years. Last week, my employer verbally told me not to report to work anymore “for now,” claiming the store slowed down last January. There was no written notice, and I was given no clear schedule or timeline for my return.
It has been three weeks and I discovered that several of my coworkers are still reporting for work and retaining their regular schedules. When I asked if I was fired, my employer claimed I was not, but they have refused to give me any shifts.
I rely on this job to support my parents and younger siblings. Is it legal for them to put me on this verbal “floating status” while my coworkers keep working? Am I already considered illegally dismissed?
Carla
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Dear Carla,
Under the Labor Code of the Philippines, an employer may suspend operations or place employees on a so‑called “floating status” only under limited circumstances, such as a bona fide suspension of business operations due to legitimate business reasons. Even then, the law and jurisprudence are clear that the suspension must be applied fairly and in good faith and it must not exceed six months. Otherwise, the employee is deemed constructively dismissed.
Floating status cannot be selectively imposed. If the store allegedly “slowed down,” yet your coworkers continue to report to work with regular schedules, placing only you on an indefinite, verbal no‑work arrangement strongly shows discrimination or bad faith. Business slowdown cannot justify singling out one regular employee while others remain employed. The absence of any written notice further violates due process. Whether for suspension or termination, employers are required to give clear written communication explaining the reason and duration. A verbal instruction to “not report for now,” with no timeline and no pay, effectively deprives you of work and income. This situation falls under constructive dismissal, which occurs when an employee is forced out of employment through acts that make continued work impossible or unreasonable.
As a regular employee of almost three years, you are entitled to security of tenure under Article 279 of the Labor Code. You may only be dismissed for a just or authorized cause and only after due process is observed. What your employer is doing now is neither a lawful suspension nor a valid termination. An employer cannot keep you in limbo indefinitely. Floating status must have a valid reason and clear duration. Selective “no work” while others continue working is illegal. Your livelihood cannot be placed on hold by vague words and empty assurances.
You may file a complaint for illegal dismissal or constructive dismissal before the National Labor Relations Commission or seek assistance from the Department of Labor and Employment.
Atty. Peachy Selda-Gregorio