Practice or Custom

A practice or custom is, as a general rule, not a source of a legally demandable or enforceable right. Indeed, in labor cases, benefits which were voluntarily given by the employer, and which have ripened into company practice, are considered as rights that cannot be diminished by the employer. Nevertheless, even in such cases, the source of the employees’ right is not custom, but ultimately, the law, since Article 100 of the Labor Code explicitly prohibits elimination or diminution of benefits. (Makati Stock Exchange v. Campos, G.R. No. 138814, April 16, 2009)