Abante Tonite reported that GMA News TV had to let go of some employees following the cancellation of 10 programs including Jessica Soho’s “State of the Nation,” “Balitanghali,” “QRT,” and “News TV Live”.
The employees have been on floating status for six months. When a worker is placed on a floating status, he or she does not receive any salary or financial benefit provided by law.
Under Labor laws, an employer is allowed to temporarily suspend work due to bona fide suspension of business operations or undertaking for a period not exceeding six months.
After six months, the employer can either permanently retrench the employee or recall the person back to work without loss of seniority rights.
If the employer decides to retrench the employee, it must give written notice to both DOLE and the employee at least 30 days before the intended date of termination. The company must also give separation pay to the employee equivalent to half month pay for every year of service.
An employer who places an employee on floating status beyond six months can be held liable for illegal dismissal which would entitle the employee to reinstatement without loss of seniority rights and backwages computed from the time compensation was withheld until the date of actual reinstatement.