Under Article 297 (b) of the Labor Code, an employee can be lawfully dismissed if they are guilty of Gross and Habitual Neglect of their assigned corporate duties. This ground addresses persistent operational failures, chronic absenteeism, and severe carelessness.

To satisfy the legal standard, the neglect must possess two distinct characteristics simultaneously:

First, the neglect must be gross. This means there is an absence of care or a blatant failure to exercise even slight diligence. It indicates a reckless disregard for the consequences of one's actions on company operations or safety.

Second, the neglect must be habitual. The failure cannot be an isolated incident or a one-time oversight. It must consist of repeated, recurring omissions or infractions over a period of time (e.g., a long sequence of unexcused tardiness, or repeatedly failing to perform mandatory security system overrides despite explicit warnings).

The Single Infraction Exception: While habituality is generally required, the Supreme Court has carved out rare exceptions where a single instance of gross neglect can justify termination—specifically if that single act causes immense, irreparable damage, massive financial loss, or puts human lives at immediate risk.