Understanding the Process of Claims After Winning an Illegal Dismissal Case in the Philippines

Concern (Rephrased):
We previously had a case against our former company regarding illegal dismissal in 2021. Fortunately, we won at the arbiter level, and now we are waiting for the exact time to claim our award. Do you know about the process? A law firm is handling the case.


Legal Contemplator


Alright, let’s break this down step by step. The question revolves around understanding the process for receiving claims after a favorable decision in an illegal dismissal case. This involves exploring the general legal procedures in the Philippines, analyzing what might still need to happen, and identifying possible factors that could cause delays. The presence of legal representation simplifies the process somewhat, but that doesn’t mean it’s immune to uncertainties or delays.


Initial Observations:

  1. Winning at the Arbiter Level: This suggests the decision from the Labor Arbiter was in the employee’s favor. The Labor Arbiter is the initial decision-maker in illegal dismissal cases under the National Labor Relations Commission (NLRC).
  2. Awaiting Claims: It seems like the arbiter has ruled in favor of the employee, potentially awarding back pay, separation pay (if reinstatement isn’t viable), or moral/exemplary damages. But the decision hasn’t been executed yet.
  3. Law Firm Involvement: This is helpful since legal counsel can monitor compliance and handle procedural complexities. However, even with legal representation, clients often want to understand the process and timeline themselves.

Let’s Start Questioning the Process:

What happens after a favorable decision by the Labor Arbiter?

Winning at this level is a major milestone. However, the decision doesn’t immediately translate into payment or reinstatement. Here’s the typical sequence:

  1. Finality of the Arbiter's Decision:
    Was the decision appealed by the opposing party? In NLRC cases, the employer can file an appeal to the NLRC Commission within 10 calendar days from receipt of the arbiter’s decision. If no appeal was filed, the decision becomes final and executory.

    • Doubt: Was there any mention of an appeal? If yes, the timeline might shift, as the appellate body must issue a decision.
    • What to Consider: If appealed, the NLRC’s ruling would need to be awaited. This adds months to the process.
  2. Issuance of a Writ of Execution:
    Once the decision becomes final, the winning party must typically file a motion for the issuance of a writ of execution. This is the legal mechanism that compels the losing party (in this case, the employer) to pay the awarded amount or comply with the order.

    • Uncertainty: Did the law firm already file this motion? If not, what’s the reason for the delay? Are there additional procedural requirements?
  3. Enforcement of the Writ:
    After the writ is issued, the Sheriff’s Office enforces it. If monetary awards are involved, the sheriff might garnish the employer’s bank accounts or seize assets to satisfy the award. If reinstatement is ordered, the sheriff ensures the employer complies.

    • Question: How cooperative is the employer? Sometimes employers resist execution orders, leading to further delays or complications.

Why Might There Be Delays in Receiving the Award?

Delays in labor cases are common. Several factors could slow down the process:

  1. Appeal and Legal Maneuvers: Employers often use appeals or motions to delay execution. For instance, they might file for reconsideration or raise procedural objections.

    • Thought: Did the employer file an appeal? If so, is the case pending before the NLRC, Court of Appeals, or even the Supreme Court? The higher the appeal, the longer the timeline.
  2. Complexities in Enforcement:
    Even with a writ of execution, enforcing the award isn’t always straightforward. Employers might lack sufficient assets or could refuse to comply willingly. The sheriff then faces challenges in garnishment or seizure.

    • Doubt: Are there known issues with the employer’s ability or willingness to pay? Sometimes companies claim financial incapacity, requiring additional verification steps.
  3. Administrative Backlogs:
    The NLRC and other courts often experience delays due to high caseloads. This could slow down everything from the issuance of a writ to actual enforcement.

    • Internal Debate: How long does this typically take in your region? Could this delay simply be procedural rather than adversarial?

What Can Be Done While Waiting?

While the law firm handles the procedural aspects, the client can:

  1. Stay Updated: Regularly communicate with your lawyers. Ask if the writ of execution has been filed and enforced.

    • Reflection: Sometimes, clients hesitate to ask detailed questions. It’s important to feel comfortable seeking updates.
  2. Check for Employer Compliance: Ensure the employer hasn’t initiated any appeals or delaying tactics. If they have, the law firm can file a motion to expedite proceedings.

  3. Prepare for Further Delays: If the employer appeals, understand that this could mean months (or even years) before resolution. Patience is often necessary in labor cases.


Final Thoughts:

At this point, the best course of action is to:

  • Confirm whether the decision has reached finality. If appealed, track its progress at the NLRC or higher courts.
  • Verify with the law firm if a motion for a writ of execution has been filed. This is a crucial step to enforce the arbiter’s decision.
  • Stay vigilant about updates and potential delaying tactics from the employer.

It’s frustrating to wait after winning a case, but persistence and clear communication with legal counsel can help ensure the award is enforced. If further complications arise, the labor law system provides mechanisms to address non-compliance.

Final Answer: Winning at the arbiter level is a significant step, but execution of the decision involves procedural steps like ensuring the decision is final, filing a motion for a writ of execution, and enforcing it. Delays can occur due to appeals, enforcement challenges, or administrative backlogs. Staying updated with your law firm and confirming the status of these steps is essential for clarity and progress.

Disclaimer: This content is not legal advice and may involve AI assistance. Information may be inaccurate.