The Clearance Release Form is a critical document in Philippine employment law, used when an employee separates from a company through resignation, termination, or retirement. This document ensures compliance with Philippine Labor Code requirements and DOLE regulations regarding employment separation. It serves multiple purposes: documenting the return of company property, confirming settlement of financial obligations, acknowledging receipt of final pay and benefits, and providing mutual release of claims between the parties. The form must be carefully drafted to ensure enforceability under Philippine law, particularly considering jurisprudence on quitclaims and waivers. It typically requires various departmental clearances and should be executed with proper consideration and voluntariness to be legally binding.
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1. Header and Date: Document title ('CLEARANCE AND RELEASE FORM') and date of execution
2. Parties: Full identification of both employer and employee, including complete names, addresses, and positions
3. Employment Details: Brief statement of employment period, position held, and separation date
4. Clearance Declaration: Statement confirming all company property has been returned and departmental clearances obtained
5. Financial Settlement: Details of final pay, benefits, and other monetary settlements
6. Release Statement: Clear statement releasing the company from all claims and demands
7. Acknowledgment: Employee's acknowledgment of receiving all entitlements and understanding the form's contents
8. Execution: Signature blocks for employee, employer representative, and witnesses
1. Non-Disclosure Clause: Additional confidentiality provisions, used when employee had access to sensitive information
2. Non-Compete Statement: Reference to existing non-compete agreements, used for senior positions or when required by employment contract
3. Benefits Continuation: Details of any continuing benefits post-employment, used when applicable
4. Certificate of Employment Request: Section addressing the issuance of employment certificates, used when specifically requested
5. Dispute Resolution: Specific provisions for handling future disputes, used in high-risk terminations
1. Departmental Clearance Checklist: Itemized list of clearances obtained from different departments
2. Property Return Form: Detailed list of company property returned by the employee
3. Final Pay Computation: Breakdown of final salary, benefits, and deductions
4. Exit Interview Form: Summary of exit interview responses (if conducted)
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