When an employee completes a six-month probationary period but receives no regularization contract or salary adjustment, confusion often follows. Under Philippine labor law, however, regularization is determined by continued service and valid evaluation—not by paperwork alone.
Editor’s Note (2025 Update):
This article was updated reflecting the latest DOLE guidance, Supreme Court jurisprudence, and HR best practices in probationary and regular employment.
No Regularization Contract After 6 Months? Here’s What the Law Says (2025)
Probationary employment and regularization remain among the most debated HR topics in the Philippines, especially in BPOs, logistics, and fast-growing industries. Many employees finish their six-month period, receive passing evaluations, but never sign a regularization contract—leading to questions on status, salary, and resignation rules.
Related Readings:
- Can We Extend The Probationary Period Beyond 6 Months?
- Counting of Probationary Period: 6 months or 180 days?
Are You Automatically Regular? Yes — If You Worked Beyond 6 Months
Under Article 296 of the Labor Code (formerly Art. 281), an employee becomes regular if:
- They rendered at least six months of service,
- They were performing work necessary and desirable to the business, and
- No valid probationary extension was executed.
If you worked even one day past your 6th month with no signed extension, you are regular by default. This principle of regularization by operation of law has been affirmed in Supreme Court decisions such as International Catholic Migration Commission v. NLRC, G.R. No. 72222 (28 September 1989) and related jurisprudence on probationary employment.
Do You Need a Regularization Contract?
No. A regularization contract is confirmatory, not constitutive.
Your employment becomes regular by law, not by issuance of a document, consistent with the rule in International Catholic Migration Commission v. NLRC, G.R. No. 72222.
However, companies are expected to prepare updated contracts for clarity, payroll adjustments, and DOLE inspection compliance in line with the Labor Code and general labor standards enforcement by the Department of Labor and Employment (DOLE).
Are You Automatically Entitled to a Salary Increase?
Not necessarily. Salary increases depend on:
- Your employment contract,
- Company policy, or
- A collective bargaining agreement (if applicable).
There is no legal requirement for an automatic increase upon regularization under the Labor Code of the Philippines.
When You Are Entitled to an Increase
You may claim the increase if stated in your offer letter or contract:
- “Salary increase upon regularization,”
- “Regularization adjustment of ₱___ after passing probation,”
- or similar wording.
If none of these are written, the company is not legally liable for granting an increase.
Can You Resign Immediately Since They Didn’t Issue a Contract?
No. Even without a regularization contract, you must follow the 30-day notice rule under Article 300 (formerly Art. 285).
When Can You Leave Earlier?
- With HR or manager approval,
- For just causes (health, inhumane treatment, serious breach), or
- If both parties mutually agree to shorten the notice.
Absent any of these, the 30-day rule stands.
Are There Penalties for Not Issuing a Regularization Contract?
There is no direct legal penalty since regularization is automatic by law under Article 296 of the Labor Code.
However, HR risks include:
- Payroll discrepancies,
- Improper SSS/PhilHealth/Pag-IBIG reporting as monitored under general labor standards and social legislation compliance during DOLE inspections,
- Findings during DOLE inspections,
- Employee relations issues, and
- Possible backpay or corrections if an increase was contractually promised.
What Should Employees Do?
1. Review Your Contract
Check probationary terms, promised increases, and notice requirements.
2. Request a Meeting with HR
Many cases are simply due to processing backlogs. Clarify:
- Your employment status,
- Salary adjustments (if applicable),
- Your updated contract or addendum.
3. Secure a Copy of Your Evaluation
A passed evaluation + continued service = strong proof of regularization, consistent with how courts infer qualification for regular status in cases like International Catholic Migration Commission v. NLRC, G.R. No. 72222.
4. Document Follow-ups
Email your conversations for future reference.
5. Escalate Only When Necessary
If the company withholds a contractually promised benefit, you may consult DOLE through conciliation-mediation (SEnA) or file a case with the NLRC in line with NLRC procedures.
But most cases are resolved internally.
ASK Takeaway — Applying the ASK Framework to Probationary & Regular Employment:
- Align expectations from Day 1 — probationary terms, performance standards, and communication timelines.
- Strengthen documentation practices and HR processes to avoid confusion and compliance issues.
- Kickstart trust by providing timely evaluations, transparent updates, and fair implementation of policies.
Explore more HR insights at our cornerstone page:
ASK Framework: Align • Strengthen • Kickstart
Frequently Asked Questions
Is regularization automatic after 6 months?
Yes. Working beyond the probationary period without a valid extension automatically makes you a regular employee by operation of law under Article 296 of the Labor Code and as recognized in cases such as International Catholic Migration Commission v. NLRC, G.R. No. 72222.
Do I need to sign a regularization contract?
No. A contract is confirmatory. Regularization is based on the Labor Code and your continued service, particularly Article 296 on probationary and regular employment.
Does regularization guarantee a salary increase?
No. Only if the increase is explicitly stated in your contract or company policy, since the Labor Code does not mandate automatic wage increases upon regularization.
Can I resign immediately?
No. The 30-day notice rule in Article 300 of the Labor Code applies unless there is just cause or mutual agreement for a shorter period.
Can the company be penalized for not issuing a regularization contract?
There is no direct penalty, but incomplete documentation may cause issues during DOLE labor inspections.
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