1) Big picture

Attendance is a basic employee duty. In the Philippines, employers may discipline tardy or absent workers if (a) the rule is lawful and clearly communicated, (b) the penalty is proportionate, and (c) due process is observed. Termination is allowed only on legally recognized grounds (mainly gross and habitual neglect of duties or abandonment), and only after the twin-notice and hearing requirements are satisfied.

This article synthesizes the Labor Code (as renumbered), DOLE rules, and leading jurisprudential principles commonly applied by labor tribunals and the Supreme Court.

2) Legal foundations

Statutory & regulatory anchors

Labor Code (renumbered)
- Art. 297 [282] – Just causes for termination (e.g., serious misconduct; gross and habitual neglect of duties; willful disobedience).
- Art. 292 [277] – Procedural due process in termination.
- Art. 113–116 – Deductions from wages and wage protection.
- Art. 95 – Service Incentive Leave (SIL) (5 days, convertible to cash if unused).
- Book III, Rule VIII (IRR) – Daily time records (DTR); employers must keep true and accurate records of hours worked, including start/stop times and breaks, and preserve them for at least 3 years.
Special leave/statutes (cannot be penalized if properly invoked):
- RA 11210 Maternity Leave; Paternity Leave Law; Solo Parent Leave (RA 11861); 10-day VAWC Leave (RA 9262); Magna Carta of Women (RA 9710) special leave for gynecological surgery; Magna Carta for Persons with Disability (RA 7277); Special Leave for Women with Disabilities (under RA 7277 & RA 9710 framework); Sick Leave when company-granted; SSS Sickness Benefit; and official regular/special non-working holidays and Muslim legal holidays where applicable.
Data Privacy Act (RA 10173) – Collection/processing of biometric timekeeping data must follow transparency, proportionality, security, and retention limits.

Jurisprudential themes commonly applied

“No work, no pay” – Lawful deductions for hours not worked due to tardiness/absence; overtime cannot offset undertime and vice-versa unless a lawful flexible arrangement says so.
Habituality matters – Repeated tardiness/absences despite warnings can be gross and habitual neglect justifying dismissal; isolated lapses rarely warrant termination.
Abandonment requires intent – Long absence alone isn’t abandonment; there must be a clear intention to sever employment, shown by overt acts. Employers must attempt to notify and direct the employee to explain/return (e.g., letters to last known address) before dismissing.
Proportionality – Penalties must fit the gravity, frequency, and circumstances; progressive discipline is favored.

3) Company rules on attendance

Lawful policy elements

Clear definitions: tardiness (e.g., clock-in after shift start), undertime (leaving early), AWOL (absence without approved leave), no-call/no-show, grace periods (if any), and cut-off times.
Notice & acknowledgment: publish in the employee handbook/Code of Conduct; obtain signed acknowledgment. Post in commonly accessible systems/boards.
Recording: describe timekeeping method (biometric, app, timesheets), fallback procedures for device failure, and correction workflows.
Excused vs. unexcused: list valid excuses (medical emergencies, force majeure, lawful leaves) and documents required (medical certificate, barangay/traffic report, subpoena, etc.).
Escalating sanctions: sample ladder (illustrative only):
1. Verbal reminder
2. Written warning
3. Final warning
4. Suspension (1–3, then 5–10 days depending on frequency)
5. Dismissal only if legal standards are met (see §6)
Cut-offs & reporting: employees must inform supervisors within a set period (e.g., before shift) via defined channels; failure → separate offense (insubordination/policy breach) besides the absence itself.
Attendance incentives: lawful (e.g., perfect-attendance bonus) but must be clearly conditional; withdrawal of a discretionary bonus is different from imposing a “fine.”

What not to do

Do not impose cash fines or “salary penalties” for tardiness/absence by simply subtracting fixed amounts beyond the proportional “no work, no pay” deduction, unless a deduction is expressly allowed by law or with the employee’s written authorization for a legitimate purpose permitted by the Code. When in doubt, use warnings/suspension—not wage fines.
Do not alter time records to “average out” late/early time; never offset undertime with overtime without a valid arrangement.
Do not discipline for lawful, protected absences (see §5).

4) Managing and proving tardiness or absence

Evidence the employer should maintain

DTR/biometric logs, access logs, CCTV/time-stamp screenshots.
Leave applications (approved/denied), emails, chat records, call logs.
Traffic, weather, or LGU notices, medical certificates, and any submitted excuses.
Acknowledged handbook and prior warnings/suspensions showing progressive discipline.

Reasonable accommodations & fairness

Consider temporary flexible work or shift swaps for bona fide constraints (e.g., public transport disruptions, disability-related needs, pregnancy). While “reasonable accommodation” isn’t codified exactly like the US ADA, anti-discrimination laws (women, PWDs, solo parents, religion) and good-faith practice encourage case-by-case flexibility.

5) Absences that are protected (no discipline)

If properly invoked and documented, employers may not lawfully discipline for:

Statutory leaves: maternity, paternity, solo parent, VAWC, women’s special leave, SIL (if approved/available), and SSS sickness (subject to notice).
Official holidays (no work, no pay rules still apply where appropriate, but no discipline).
Lawful exercise of rights: attending duly-called labor proceedings, testifying, or asserting statutory rights.
Calamity/force majeure scenarios where government suspends work and the company aligns with such suspension (subject to DOLE advisories).
Occupational safety/health work stoppage in case of imminent danger (per OSH rules).

Employers may require proof (e.g., medical certificate, government announcement), but should not make requirements unreasonable or discriminatory.

6) When termination may be justified

A. Gross and habitual neglect of duties

Applies when repeated tardiness/absences materially impair performance, after prior warnings. “Habitual” is a pattern, commonly evidenced over several instances (the exact count depends on your policy and context).
Employer must show: (1) a lawful rule, (2) consistent enforcement, (3) documented violations, and (4) progressive penalties short of dismissal proved ineffective or inadequate given the role.

B. Willful disobedience / Serious misconduct

E.g., repeated refusal to follow an attendance directive, falsifying time entries, or tampering with biometric systems.

C. Abandonment

Elements: (1) failure to report for work without valid reason, and (2) a clear intention to sever employment (animus deserendi). Long absence alone is not enough.
Employers should send return-to-work/notice-to-explain letters to the employee’s last known address and to official email/messaging channels before concluding abandonment.

Always apply the twin-notice rule and hearing (see §7) before any dismissal.

7) Due process: how to discipline lawfully

Administrative (company-level) due process

First Notice (Notice to Explain, NTE)
- State specific acts (dates, times, policies breached), the possible penalty, and give the employee reasonable time to respond (commonly at least 5 calendar days).
Opportunity to be heard
- Written explanation plus an administrative conference/hearing especially if requested, if credibility is at issue, or if dismissal is on the table. Allow assistance by a colleague/representative if policy or CBA provides.
Second Notice (Decision)
- Issue a reasoned decision stating facts found, policy/legal basis, and the penalty imposed. Serve to the employee and place in the 201 file.

Preventive suspension (not a penalty)

May be imposed only if the employee’s continued presence poses a serious and imminent threat to company property or investigation integrity (e.g., time-record tampering).
Maximum 30 calendar days without pay. If investigation needs more time, extend with pay or decide within the 30-day window.

8) Pay & benefits implications

No work, no pay for unexcused absence or tardiness (pro-rated hourly/half-day deduction).
Undertime cannot be offset by overtime unless under a documented flexible work scheme compliant with DOLE advisories.
Attendance bonuses may be withheld if conditions aren’t met, provided the criteria are clear and uniformly applied.
Wage deductions beyond the pro-rated “no work, no pay” must fall under permitted deductions (law, CBA, or written authorization for a lawful purpose). Avoid “fines.”

9) Special contexts

Flexible work arrangements (FWAs)

Compressed workweek, flexitime, hybrid/remote set-ups are permissible if voluntary and properly documented (notice to DOLE is often recommended in practice). Policies must adapt tardiness/absence definitions (e.g., core hours, online presence, timesheet submission).

Field work & output-based roles

Define deliverables, check-ins, and geo-tagged or client-acknowledged time records. Non-submission of required proofs can be treated as policy breach.

Unionized workplaces

CBA provisions on attendance control, grace periods, penalties, and grievance steps will govern if they meet or exceed minimum legal standards.

Data privacy & monitoring

Notify employees about what data (e.g., biometrics, IP logs, GPS) you collect, why, how long you keep it, and who can access. Secure storage and limited access are essential.

10) Practical playbook for employers

Before disciplining

Validate records (biometric logs vs. supervisor notes).
Screen for protected reasons (lawful leaves, medical emergencies).
Check for consistency (others in similar situations treated the same).

If proceeding with discipline

Use the twin-notice process.
Apply a progressive penalty aligned with your policy.
Document mitigating/aggravating factors (role sensitivity, prior infractions, length of service, candor).

If considering termination

Ask: Is the neglect gross and habitual? Have lesser penalties failed or been insufficient? Have we proven the facts? Have we ruled out protected reasons? Have we provided a hearing?

After the decision

Communicate the result and right to appeal per policy/CBA.
Keep the case file (NTE, explanation, minutes, evidence, notices) for at least 3 years (best practice: 5 years).

11) Common pitfalls (and how to avoid them)

Vague policies → Adopt precise definitions and thresholds.
Skipping the 5-day reply window → Provide reasonable time unless a shorter period is justified and defensible.
No hearing when credibility is central → Hold a conference.
Calling every long absence “abandonment” → Prove intent; send notices to last known address.
Wage fines for tardiness → Stick to “no work, no pay,” warnings, or suspension.
Inconsistent enforcement → Apply rules uniformly across ranks and shifts.
Penalizing protected absences → Screen rigorously for statutory leaves/rights.

12) Model clauses you can adapt (illustrative)

Attendance & Tardiness Employees must report on time for scheduled shifts. Tardiness means clock-in after the shift start; undertime means leaving before shift end without approval. Three (3) tardiness incidents within a 30-day period constitute habitual tardiness.

Reporting Requirement If late or absent, notify your supervisor before shift through the official channel. Submit supporting documents (e.g., medical certificate) within 24 hours of return.

Progressive Discipline 1st offense: Written warning 2nd offense: Final warning 3rd offense: Suspension (3–5 days) Further offenses: Heavier suspension up to dismissal if violations become gross and habitual, subject to due process.

Protected Absences Statutory leaves and officially declared suspensions of work are excused upon proper notice/proof and are not disciplinary grounds.

Tampering/Falsification Any manipulation of time records is serious misconduct and may warrant dismissal upon due process.

(Tailor numbers/thresholds to your operations, CBA, and past practice.)

13) For employees: defenses and best practices

Keep proof of emergencies, transport disruptions, or illness.
Inform early and follow the channel in policy.
Use and document lawful leaves properly.
If you receive an NTE, respond comprehensively and ask for a hearing if facts are disputed.

14) Bottom line

Employers in the Philippines may discipline tardiness and absence, and in egregious, habitual cases may dismiss, but only with (1) a clear and lawful rule, (2) proportional, consistent penalties, and (3) strict due process. Protected absences must be honored. Sound documentation and fair application are what make discipline lawful and sustainable.