Labor rights guide · Notice to Explain · Due process
Nakatanggap ng NTE But Not Yet Dismissed: Can You Legally Resign?
Trisha, a 29-year-old content moderator at a BGC tech company, received a Notice to Explain on a Monday morning — alleged violation of the work-from-home policy. Her first instinct was panic. Her second was to resign before they could fire her. She wanted to know: was she already dismissed? And if not, could she quit before the decision came out?
The short answer: no, she was not dismissed — and yes, she could resign. But whether she should depends on facts she needed to understand first. This guide explains what an NTE actually is, what rights you have during the process, and what you might give up by resigning now.
Direct answer: Receiving an NTE does NOT mean you are dismissed. Under Philippine labor law, dismissal requires two notices — and an NTE is only the first. You remain a full employee with rights until the employer issues a formal Notice of Decision. You can legally resign at any point before that decision, subject to the 30-day notice requirement under Art. 300 of the Labor Code.
What an NTE actually is (and is not)
NTE stands for Notice to Explain — called a show-cause letter in some companies. It is a written notice from your employer specifying the alleged violation or misconduct you are being charged with, and asking you to explain why no disciplinary action should be taken against you. It is the first of two required notices under Philippine labor law.
An NTE is NOT a dismissal notice. It is NOT a suspension. It is NOT a finding of guilt. It is an invitation to explain your side — nothing more, nothing less. Until your employer issues a second notice (the Notice of Decision) formally terminating your employment, you remain an employee with full rights.
Notice to Explain (NTE)
Sulat ng Pagpapaliwanag
The first of two mandatory written notices required before a valid dismissal under Philippine labor law. It must specify the grounds for potential termination and give the employee at least 5 calendar days to explain.
Twin Notice Rule
Dalawang Abiso
The due process requirement for just-cause dismissals: (1) NTE giving at least 5 days to explain, followed by (2) Notice of Decision after a hearing or conference. Both notices are mandatory — skipping either makes the dismissal procedurally defective.
Notice of Decision
Abiso ng Desisyon
The SECOND notice — the one that actually determines whether you're dismissed, suspended, or cleared. Until this arrives, no dismissal has occurred. This is the notice most employees confuse the NTE for.
Administrative Hearing
Administratibong Pakikinig
The conference held between the first and second notices. The employee has the right to be heard, present evidence, and respond to charges. Conducted by the employer before any final decision.
Legal reference
NTE (First Notice)
Sulat ng Pagpapaliwanag
Written notice specifying the grounds for potential dismissal; employee given ≥5 calendar days to respond
Before any disciplinary action for just cause — always required under Art. 292(b)
Administrative Hearing
Administratibong Pakikinig
Conference or hearing where employee presents their side; employer must act on the written explanation
After the NTE response, before the Notice of Decision
Notice of Decision (Second Notice)
Abiso ng Desisyon
Written notice of employer's decision — dismissal, suspension, or exoneration; states the facts and the penalty
Only after both the NTE and hearing; this is the actual dismissal notice
| Legal Concept | Filipino Term | English Meaning | When This Applies |
|---|---|---|---|
| NTE (First Notice) | Sulat ng Pagpapaliwanag | Written notice specifying the grounds for potential dismissal; employee given ≥5 calendar days to respond | Before any disciplinary action for just cause — always required under Art. 292(b) |
| Administrative Hearing | Administratibong Pakikinig | Conference or hearing where employee presents their side; employer must act on the written explanation | After the NTE response, before the Notice of Decision |
| Notice of Decision (Second Notice) | Abiso ng Desisyon | Written notice of employer's decision — dismissal, suspension, or exoneration; states the facts and the penalty | Only after both the NTE and hearing; this is the actual dismissal notice |
Can you resign after receiving an NTE?
Yes. Under Article 300 of the Labor Code, the right to resign is the employee's prerogative. You may terminate your employment at any time — for any reason or no reason at all — provided you give at least one month (30 days) written notice to your employer. No ongoing administrative proceeding can legally prevent you from resigning.
When you resign, the NTE process becomes moot. Your employer can no longer dismiss you for the charge in the NTE because you are no longer an employee once the resignation takes effect. The administrative proceeding simply ends — there is no longer any "employee to discipline."
Trisha weighs her options with HR
Trisha: Nakatanggap ako ng NTE kahapon. Puwede ba akong mag-resign ngayon para hindi na sila makakapag-dismiss sa akin?
I received an NTE yesterday. Can I resign now so they can't dismiss me?
HR Manager: Yes, under Article 300 of the Labor Code, resignation is your right. You need to give 30 days notice.
Trisha: Titigil na ba ang kaso ko kapag nag-resign na ako?
Will my case stop once I resign?
HR Manager: The administrative case becomes moot, yes. But think carefully — if you resign, you lose the chance to be cleared. Your record will show 'resigned' not 'exonerated.'
What happens to your rights when you resign
Resignation ends your employment, but it does not erase the rights you've already earned. Here is what you keep and what you give up when you resign during NTE proceedings:
What you keep
- —Final pay — last salary for days actually worked
- —Pro-rated 13th month pay for the months worked
- —Cash conversion of unused leave credits (if company policy allows)
- —Certificate of Employment — employer must issue within 3 days of request
- —SSS, PhilHealth, Pag-IBIG contributions already made
What you give up
- —Separation pay — not available for voluntary resignees
- —The right to contest the NTE charges (case becomes moot)
- —Reinstatement rights if you would have been exonerated
- —Back wages if you would have won an illegal dismissal case
- —The chance to have the NTE charge formally cleared from your record
When resigning under an NTE could hurt you
Resignation is legal, but it is not always the smartest move. Here are situations where staying through the process protects you better than leaving:
The NTE charges are weak or you're likely to be exonerated
If the employer has no real evidence, you might win the administrative hearing and walk away with a clean record — no disciplinary mark, no charge on file. Resigning first means giving up that outcome without a fight.
The NTE came right after you exercised a legal right
If the NTE followed your complaint about unpaid wages, your union activity, or a report to DOLE, the NTE itself may be illegal retaliation. Filing an unfair labor practice case or illegal dismissal complaint may be more powerful than resigning.
Your resignation letter mentions the NTE or admits fault
Writing 'I'm resigning because of what happened' or 'I accept responsibility' in your resignation letter is dangerous. Your employer could use it in subsequent civil or criminal proceedings. Write a clean, neutral resignation letter — no reference to the NTE.
You're in a regulated industry where your employment record matters
In banking, healthcare, and government contracting, a resignation-under-NTE can follow you in background checks. If the NTE is for something minor (first offense, no harm done), fighting it and winning leaves your record completely clean.
Mandatory section
For OFWs / Para sa OFW
If you're an OFW and received an NTE from your employer abroad, the Philippine Labor Code's twin notice rule applies differently — but you still have rights. Here's what matters.
- OFW employment is governed by your POEA Standard Employment Contract (SEC), not purely by the Philippine Labor Code. Check your SEC for disciplinary procedures — they may give you more protection than the local law of your host country.
- If your employer abroad terminates you without following the procedures in your SEC, that can constitute illegal dismissal under Philippine law. POEA and NLRC have jurisdiction over OFW illegal dismissal claims filed within 3 years of dismissal.
- If you receive an NTE abroad and want to resign, you may be entitled to a plane ticket home under your POEA contract. RA 10022 (Migrant Workers Act) §10 sets minimum termination rights — including the obligation to repatriate you.
- If you resign abroad due to employer harassment or unsafe conditions, this may constitute constructive dismissal — which entitles you to the same remedies as illegal dismissal. Document everything before you leave.
- File a complaint with the POLO (Philippine Overseas Labor Office) in your host country. The OWWA hotline is 1348 and operates 24/7.
Real Filipino scenario
Trisha Reyes, content moderator
Trisha, a 29-year-old content moderator at a social media company in BGC, Taguig, received an NTE for allegedly violating the company's WFH policy by logging in from an unregistered location. Her basic salary was ₱35,000/month. She'd been with the company for 3 years. She panicked and drafted a resignation letter that same day — it mentioned 'the recent incident' and said she 'takes full responsibility.' Her officemates told her she was already fired.
What Trisha Reyes should do
- Read the NTE carefully — note the exact charge, the date of the alleged violation, and the response deadline (minimum 5 calendar days from receipt)
- Prepare a written explanation addressing each charge with specifics — dates, approvals, context. Attach supporting evidence (screenshots, approvals, chat logs)
- Request a copy of the company policy you allegedly violated — you have a right to see the specific rule before you can be disciplined for breaking it
- Attend the administrative hearing — bring a witness or union representative if your company allows it
- If you still decide to resign after responding: write a clean resignation letter with NO reference to the NTE, NO admission of fault, effective 30 days from the date
What most Filipinos get wrong about this
MythNatanggap ko na ang NTE — ibig sabihin, fired na ako.
Truth: Hindi. Ang NTE ay ang UNANG notice lamang. Ang dalawang notice ang kailangan bago maging valid ang dismissal: ang NTE (first notice) at ang Notice of Decision (second notice). Kung wala pang second notice, hindi ka pa dismissed. Ang maraming empleyado ay umaalis kaagad pagkatapos ng NTE nang hindi alam na hindi pa sila formally tinanggal.(Labor Code Art. 292(b); DOLE DO 147-15)
MythKapag nag-resign ako habang may NTE, the case is completely over and I'm safe.
Truth: Partially true — the NTE administrative process becomes moot. But your resignation letter matters. If it admits guilt or references the misconduct, an employer could potentially use it in other proceedings. Write a clean, neutral resignation letter. Never admit fault in a resignation letter.(Labor Code Art. 300)
MythMay separation pay ako kahit nag-resign ako voluntarily.
Truth: Hindi. Voluntary resignation ay hindi entitled sa separation pay. Separation pay ay para sa mga employees na tinanggal ng employer dahil sa authorized causes (retrenchment, closure, redundancy). Ang matatanggap mo lang sa voluntary resignation ay final pay — last salary, prorated 13th month pay, at unused leave credits.(Labor Code Arts. 298–299)
MythKung hindi ko sinagot ang NTE, hindi na sila makakapag-proceed at mapoprotektahan ako.
Truth: Mali. Kahit hindi ka sumagot sa NTE, ang employer ay obligadong mag-proceed sa administrative hearing at mag-issue ng Notice of Decision. Ang pagkapalya mong sumagot ay maaaring ituring bilang forfeiture ng iyong pagkakataon na magpaliwanag — at ang employer ay maaaring mag-issue ng Notice of Decision based on available evidence. Palaging sumagot sa NTE, kahit may kakulangan ang iyong depensa.(DOLE DO 147-15, §5)
What to do when you receive an NTE
Read the NTE carefully and note the deadline
Identify the specific charges. The NTE must state the grounds for the potential dismissal clearly. Note the response deadline — at least 5 calendar days from receipt is required by law. A vague NTE ("for violation of company policy" without specifying which policy) is procedurally defective.
Respond in writing within the deadline
Your written explanation is your chance to put your side on record. Even if you plan to resign afterward, responding first protects your rights and creates a paper trail. Address each charge specifically. Attach supporting documents. Keep a copy of everything.
Consult DOLE or a labor lawyer before deciding to resign
If you believe the NTE is retaliatory or the grounds are fabricated, do NOT resign immediately. Resigning can be construed as admission. Go to your nearest DOLE Regional Office — they provide free legal advice. SEnA (Single Entry Approach) provides free mediation for labor disputes.
If you decide to resign, write a clean resignation letter
State your intention to resign effective 30 days from the date. Do NOT mention the NTE, the charges, or admit fault. Keep it simple: 'I am submitting my resignation effective [date].' Have it received by HR in person or via email with read receipt. Keep a copy.
Follow up on your final pay within 30 days
Under DOLE Labor Advisory No. 06, Series of 2020, your employer must release final pay within 30 days from separation. Final pay includes last salary, prorated 13th month pay for the months worked, and cash conversion of unused leave credits per company policy.
File a complaint if final pay is withheld
If your employer withholds your final pay or clearance unreasonably, file a Request for Assistance (SEnA) at your nearest DOLE Regional Office. This is free and typically resolves within 30 days. Bring proof of resignation, last payslips, and any HR communications.
Frequently asked questions
Nakatanggap ako ng NTE — dismissed na ba ako?
Hindi. Ang NTE (Notice to Explain) ay ang unang hakbang lamang ng due process procedure ng iyong employer. Hindi ka pa dismissed. Mananatili kang empleyado na may karapatan hanggang sa makatanggap ng pormal na Notice of Decision na nagsasabing dismissed ka na.
Can I resign after receiving an NTE in the Philippines?
Yes. You can legally resign even while NTE proceedings are ongoing. Your resignation is a voluntary act that terminates your employment. Under Article 300 of the Labor Code, you must give at least 30 days written notice unless your employer waives this. Once you resign, the NTE process becomes moot.
Kung nag-resign ako pagkatapos ng NTE, may separation pay ba ako?
Generally, no. Voluntary resignation does not entitle you to separation pay. Separation pay is only mandatory when the employer terminates through authorized causes. If you resigned, you are entitled to final pay (last salary, prorated 13th month pay, unused leave conversion) — but not separation pay unless your company policy or CBA provides for it.
What is the twin notice rule in Philippine labor law?
The twin notice rule requires two written notices before a valid dismissal. The first notice is the NTE, which specifies the grounds and gives the employee at least 5 calendar days to explain. The second is the Notice of Decision, which formally communicates the employer's decision. Skipping either notice makes the dismissal procedurally infirm.
Pwede bang pigilan ng employer ang aking resignation kapag may ongoing NTE?
Hindi. Under Art. 300 ng Labor Code, ang karapatang mag-resign ay prerogative ng empleyado. Maaari kang mag-resign kahit may ongoing NTE. Ang iyong resignation ay may bisa pagkatapos ng 30-day notice period — hindi ito maaaring pigilan ng employer kahit may administrative case pa.
Sources
- 01.Labor Code of the Philippines, Art. 292(b) (formerly Art. 277 — Due Process in Termination, officialgazette.gov.ph)
- 02.Labor Code of the Philippines, Art. 300 (formerly Art. 285 — Termination by Employee, officialgazette.gov.ph)
- 03.DOLE Department Order No. 147-15, Rules on the Termination of Employment (Sept. 7, 2015, dole.gov.ph)
- 04.DOLE Labor Advisory No. 06, Series of 2020, Guidelines on the Payment of Final Pay and Issuance of Certificate of Employment, dole.gov.ph
- 05.Republic Act No. 10022 (Migrant Workers and Overseas Filipinos Act of 2009, §10 — Money Claims, officialgazette.gov.ph)
About the author
Written by Irvin Abarca with research support from Claude AI. Irvin is the founder of BatasKo, based in Cebu City.
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