Separation and Retirement Pay Quiz

How is retirement pay computed?

• One week pay per year of service.

• One month pay per year of service.

• One year pay per year of service.

• One-half month pay per year of service.

At what age can an employee be retired under Philippine labor law?

• 50 years old.

• 55 years old.

• 60 years old.

• 65 years old.

Which of the following is NOT a reason for authorized separation

• Retrenchment to prevent losses.

• Installation of labor-saving devices.

• Lack of service assignment to security guards.

• Closure of operations due to serious losses.

Which of the following is included in the computation of separation pay?

• Cost of living allowance (COLA).

• Overtime pay.

• Cash gifts received during service.

• Regular allowances.

What is separation pay?

• Compensation given to a retiring employee.

• Compensation given to an employee terminated due to authorized causes.

• Compensation given to an employee for overtime work.

• Compensation given to an employee for outstanding performance.

Ms. Reyes, a teacher at ABC School, retired after 25 years of service with a daily rate of Php 750.00. How much retirement pay is she entitled to?

• Php 422,865.00

• Php 422,875.00

• Php 421,865.00

• Php 421,875.00

What is included in the computation of retirement pay?

• Cost of living allowance (COLA).

• Thirteenth-month pay.

• Cash bonuses received during service.

• Service incentive leave pay.

Mr. Rodriguez, an employee of GHI Corporation, retired after 30 years of service with a daily rate of Php 650.00. How much retirement pay is he entitled to?

• Php 438,550.00

• Php 439,750.00

• Php 438,750.00

• Php 439,750.00

At the age of 61, Mrs. Garcia, an account teller, retired after 20 years of service with a daily rate of Php 630.00. How much retirement pay is she entitled to?

• Php 281,500.00

• Php 282,500.00

• Php 283,500.00

• Php 284,500.00

Ms. Delano is a contractual caterer from a company. After her 3 years and 6 months of service to the company, they decided to terminate her due to a lack of catering services for almost 4 months. Assuming that she has a monthly rate of P16,000.00, How much separation pay is she entitled to?

• P30,000.00

• P32,000.00

• P34,000.00

• P36,000.00