5 rules re employer's power to REORGANIZE workers


Here are five (5) general rules when it comes to the power of employers to reorganize employees. Note that "reorganization" is a management prerogative; this means that employers have the right to do so, such right flowing from their right to property.

[1] Implementation of a job evaluation program or a reorganization is valid if NOT contrary to law, morals or public policy and it is carried out in good faith. Hence, as long as not contrary to these, reorganization of employees should be upheld as valid.
[2] Another rule to remember is that rights (such as management prerogatives) must be exercised in good faith and with honesty. [3] It is normal to expect changes in the positions and rankings of the employees when an employer chooses to reorganize. An employee cannot demand that he keep his old position or ranking after a reorganization. An otherwise rule would go against the employer's property rights.
[4] An employer cannot exercise his right to reorganize employees for the purpose of dismissing employees he finds undesirable or unwanted. The law provides a separate procedure for separating employees from work and reorganization is not the proper remedy. Nevertheless, the Supreme Court has held that it is not easy to accept the claim that an employer would go through all the expenses and effort to reorganize the enterprise for the sole purpose of dismissing one (1) or two (2) employees.
[5] The simple fact that an employee has been reorganized does not mean that he is automatically entitled to increase in monetary benefits or powers. Reorganization does not necessarily give rise to promotional increases.