CONTRACT OF EMPLOYMENT

KNOW ALL MEN BY THESE PRESENTS:

This Contract of Employment is executed made this June 11, 2012 by:
NIDEC PHILIPPINES CORP., a corporation duly
organized and existing in accordance with laws of
the Republic of the Philippines, with principal
offices at 432 San Andres Street, Malate, Manila,
represented in this act by its President, FRANCEL
ANTOINETTE MARTINEZ, hereinafter referred to
as the EMPLOYER;

-AND
CLARK GAMMAD MEDINA, of legal age, Filipino
and a resident of Unit 1616 Avida Towers Alabang,
Muntinlupa, herein referred to as the EMPLOYEE.
Witnesseth:
WHEREAS, the Employer is engaged in the business of the manufacture of micro
motors for hard disk drives and other related products.
WHEREAS, Employee manifests and guarantees that he possesses the requisite
qualities and competencies needed by the Employer in the conduct and course of its
business;
NOW THEREFORE, the parties hereby agree as follows:
1.

APPOINTMENT
Employee is hereby appointed as Facility Engineering Manager under probationary
status for a period of six (6) months reckoned from the first day of actual report for work.

2.

COMPENSATION

2.1

Employee will receive a gross monthly rate of EIGHTY THOUSAND

PESOS(Php80,000.00) subject to withholding tax, SSS, Pag-ibig contributions, and
government-required deductions to be borne by Employee. In addition, Employer will
pay the mandatory 13th month salary at the end of each calendar year and EMPLOYER
may at its discretion provide midyear or performance bonuses. Annual and incremental
salary adjustments and merit increases may be effected on a case to case basis and
upon the recommendation of the immediate manager and upon approval of
management.

2.2

EMPLOYEE may also be entitled to receive a monthly transportation allowance of FIVE

THOUSAND (Php5,000.00), which shall be supported by an Expense Report (ER) with
corresponding receipts, due every 5th of each month.

3.

REGULARIZATION OF EMPLOYMENT

By or before the end of the six-month probationary period, depending on the

recommendations of the immediate supervisor/manager, Employee will become a
regular employee of the company entitled to all company benefits and privileges enjoyed
by regular employees. Vacation and sick leaves shall be based on existing laws and
policies of the company.
4.

VACATION AND BENEFITS

4.1

Upon regularization, Employee will be entitled to seven (7) days vacation and seven (7)
days sick leave for each year of actual employment. Employee is expected to accrue
leaves before he can apply for it. Since leave credits are not convertible to cash,
Employee is strongly encouraged to use all leave credits during the calendar year
earned. Any remaining accrued leave not used by December 31 st may only be carried
over until March 31st of the following year. Should there be cases wherein the Company
disapproves any leave application of an Employee due to hectic workloads and/or urgent
deadlines, making it impossible for the Employee to apply for such leaves prior to its
expiration, a corresponding cash conversion of such leave shall be allowed.

4.2

Employee will be paid regular wage during regular holidays including: New Years Day,
Maundy Thursday, Good Friday, April 9, Labor Day, Independence Day, Phil-Am
Friendship Day, All Souls Day, Christmas Day, Rizal Day. Employee will also continue to
receive his/her regular pay during special nonworking holidays issued by the President
of the Republic of the Philippines.

5.

DUTIES AND RESPONSIBILITIES

5.1

Employee shall perform the duties and responsibilities that his position or job necessarily
entails, as may be contained in his job description or as may be reasonably assigned to
him by the company from time to time. The specific duties and responsibilities of
Employee are contained in the corresponding Scope of Work and Job Description, which
herein Employee acknowledges to have read and understood as a condition for his
regularization and entitlement to other benefits and promotion.

5.2

Employee is obliged to perform his duties loyally, independently, industriously to help

meet the goals and objectives of the Company and is expected to carry out these
responsibilities to the best of his knowledge and abilities in order to protect and advance
the interests of the Company, its principals, and its employees. It is a condition of
Employment that Employee maintains the necessary level of technical expertise in the
performance of his job, which may necessitate him to attend Courses and Certification
Programs, locally or internationally.

6.

PLACE OF WORK
Employees primary place of work will be Manila, Philippines. Employee agrees
that Employer may transfer him to any other location as may be required by the
exigencies of the business, the organizational requirements of the company and
the responsibilities of Employees position. Employee may be required to travel
from time to time.

7.

HOURS OF WORK
Employee shall render a minimum of eight (8) hours of work per day and report
for work at least five (5) days per week. It is understood that Employee is being
employed with a level of confidence and degree of responsibility that may further
require him to render work beyond normal business hours for which Employee
may be justly remunerated with overtime Pay if qualified.

8.

OVERTIME WORK

In case the demands of the business or the company would require Employee to
work more than his regular work schedule, he may be required to render
overtime work. Overtime work is not compensable for managerial employees
unless otherwise declared by management. Allowances for meal or
transportation will be provided on a case-to-case basis in accordance with
company policies.
9.

DECORUM
Employee shall observe and comply with all company rules and regulations,
written or otherwise. Employee shall devote his entire working time to the
Employer and shall have no direct or indirect interest in any firm or entity,
whether for profit or not, directly in competition with or offering the same services
as Employer nor shall Employee take any interest that is conflicting or inimical to
Employer.

10.

NON-COMPETITION
In the event Employee is separated or terminated from employment for whatever
reason, he shall not seek employment in a local or foreign firm doing business in
the Philippines nor establish or set up a business offering similar services for a
period of one (1) year from date of separation or termination, without the prior
notice to Employer.

11.

INTELLECTUAL PROPERTY

11.1

The Company shall be entitled to sole ownership of any intellectual property rights
including but not limited to software programs, hardware specifications and other
property rights created, developed and discovered by Employee while in the course of
his employment with the Company, including all registrations for the same.

11.2

Employee agrees that he shall promptly disclose to the Company the following:
a) all software programs, inventions, improvements, discoveries and technical
developments (Inventions) made, created or conceived by him/her (either alone
or with others) during the term of employment, b) all Inventions which are based
on proprietary information of the Company and are made or conceived by
employee (either alone or with others), c) any documentation related to the
Inventions, which shall become the companys property, and d) Web content and
development concepts, ideas, design, and Multimedia graphics, and artwork.

11.3

Employee hereby assigns to the Company his entire right, title and interest in and to
such Inventions and documents, which relate in any way to or are useful in the
Companys business and in the course of his employment. Employee shall do all acts
necessary and/or required by the Company to give effect to this provision. Employee
further agrees to cooperate with the Company in the procurement and maintenance of
patents, copyrights, and/or other protection of the Companys rights to such
Inventions/Documents, Content Design and Multimedia Graphics, at the Companys
expenses. Employee shall keep and maintain adequate and current written records of
all such Inventions, Content Designs and Development, which shall automatically
become the exclusive property of the Company.

11.4

Employee also waives his right to file for any copyright application for any such
inventions or concept, designs, ideas while actively employed by the company and
within one (1) year form date of resignation or termination from the company. If within

one (1) year after leaving the Companys employ, a patent application or copyright
registration is filed by Employee or on his behalf describing and Invention within the
scope of his work for the Company, or which otherwise relates to a portion of the
Companys business of which he/she had knowledge of and access to during his/her
employment, Employee agrees to specifically state that the Invention, Concept, Design
was conceived by her/him within the scope of his employment with Employer..
12.

NON-DISCLOSURE
Employee acknowledges and confirms that this contract must remain
confidential. Except as may be legally required by competent authority or
applicable statutes, the parties hereto shall not make any unauthorized
disclosures of the terms and conditions embodied in this contract.

13.

CONFIDENTIALITY

13.1

In order to safeguard the Companys interest and the confidentiality of its business and
affairs, Employee agrees that during the term of his employment and from and after the
actual cessation of his employment, he shall maintain strict confidentiality and shall not
disclose any technical, business, financial or commercial information, methods,
processes, inventions (whether covered by intellectual property protection or not or
whether marked confidential or not) including but not limited to: customers, customer
lists or requirements, price lists, pricing structures, marketing and sales information,
business plans or dealings, employees or officers, financial information, product lines
research activities, plans designs, formulae whether authored by Employee or otherwise
to suit Employees purpose or those of any other person, company, business entity or
other organization whatsoever.

13.2

Employee shall not take out of Employers premises any technical plans, charts,
drawings, codes and other materials containing technical data and information unless
with the prior written consent or permission of the Employer.

13.3

A trade secret is any information, process or idea that is not generally known in the
industry, that the Company considers confidential, and that gives the Employer a
competitive advantage. Examples of trade secrets include:

a.

technical plans, charts, drawings, and other materials containing technical data and
information
computer program listings, source codes and object codes
all information relating to programs now existing or currently under development
customer lists and records, sources of purchasing and all other information related to
vendors and suppliers.

b.
c.
d.
13.4

During and after Employees term with the company, he shall at all times practice good
discretion, ask permission and seek prior approval from the company in the use or
disclosure of any company documents technical or business information, or any
information which one might reasonably expect the company to regard as confidential,
whether transmitted or acquired from the Companys customers, suppliers, or other
persons to any person, company or entity.

13.5

Employee must formally declare that he has properly tendered his resignation from his
previous employer and is free from any obligation to them, not bound to any other
company, or subject to any non-competition clause. Employee shall neither disclose to
the Company nor induce the Company to use any confidential information or material,
which belongs to his former employer.

13.6

The obligations contained in this paragraph shall cease to apply to any information or
knowledge, which may subsequently come into the public domain after the termination
of employment, other than by way of notarized disclosure.

13.7

Failure to comply with this confidentiality undertaking shall be construed and considered
as Gross Misconduct and shall be deemed a ground for the termination of his
employment.

14.

UNDERTAKING
Employee shall work exclusively for the benefit of the company. Employee warrants that
he shall comply with all his undertakings and obligations set forth in this Contract and
shall indemnify Employer of any actual losses, damages, costs and expenses, including
attorneys fees, incurred as a result of the breach of this Agreement or his willful act,
omission, fraud or negligence.

15.

TERMINATION
Employer reserves the right to terminate or cancel this Contract after observing due
process for just or valid causes. Termination may be due to any, but not necessarily
limited to the following:
(a)
(b)
(c)
(d)
(e)
(f)
(g)
(h)

17.

Inefficiency;
Incompetence;
Tardiness;
Insubordination;
Breach of confidentiality and non-disclosure
Violation of companys intellectual property rights
Just and authorized causes enumerated in Article 282, 283, and 284 of the Labor Code;
Other causes provided in the Company Rules and Regulations; and (i) Other analogous
causes.
STOCK OPTION PLAN
Employee shall be eligible to apply for a stock option plan pursuant to company policies,
rules and regulations existing at the time of lodgment after the second year of
employment with the company.

18.

ACCEPTANCE OF TERMS AND CONDITIONS OF EMPLOYMENT

Employees affixing of his signature on the herein Employment contract means that:

a.
b.

Employee has read and fully understood the terms and conditions hereof and accepts
the same;
The terms and conditions for the regularization of his employment have been clearly
communicated to and accepted by him/her at the time of his engagement.
IN WITNESS WHEREOF, we have set our hands this June 11, 2012 at Metro Manila.

Pres. FRANCEL ANTOINETTE Y. MARTINEZ

EMPLOYER

CLARK GAMMAD MEDINA

EMPLOYEE

SIGNED AND WITNESSED BY:

YNA MACASPAC

ANGELO EDUARDO

ACKNOWLEDGMENT
REPUBLIC OF THE PHILIPPINES)
METRO MANILA) S.S.
BEFORE ME, this June 11, 2012 in Las Pinas City, personally appeared:
Name
CTC No.
Issued at
Issued on

known to me to be the same persons who executed the foregoing instrument consisting
eight (8) pages including this Acknowledgment, and who acknowledged to me that the
same is their voluntary and free act and deed and those of the parties represented.
IN WITNESS WHEREOF, I set my hand and affix my notarial sea on the date and place
above written.
Notary Public
Doc. No. _____;
Page No. _____;
Book No. _____;
Series of ______.