… this Court had occasion to reiterate management’s prerogative to close or abolish a department or section of the employer’s establishment for economic reasons. We reasoned out that since the greater right to close the entire establishment and cease operations due to adverse economic conditions is granted an employer, the closure of a part thereof to minimize expenses and reduce capitalization should also be recognized.
– Dangan v. Tierra Factors Corporation, G.R. No. 63127-28, 20 February 1984