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After thirty (30) years of service, Beta Company compulsorily retired Albert at age 65 pursuant to the company’s Retirement Plan. Albert was duly paid his full retirement benefits of one (1) month pay for every year of service under the Plan. Thereafter, out of compassion, the company alowed Albert to continue working and paid him his old monthly salary rate, but without the allowances that he used to enjoy.
After five (5) years under this arrangement, the company finally severed all employment relations with Albert; he was declared fully retired in a fitting ceremony but the company did not give him any further retirement benefits. Albert through this treatment unfair as he had rendered full sevice at his usual hours in the past five (5) years. Thus, he filed a complaint for the allowances that were not paid to him, and for retirement benefits for his additional five (5) working years, based either on the company Retirement Plan or the Retirement Pay Law, whichever is applicable.
(A) After Albert’s retirement at age 65, should he be considered a regular employee entitled to all his previous salaries and benefits when the company allowed him to continue working? (4%)
(B) Is he entitled to additional retirement benefits for the additional service he rendered after age 65? (4%)