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LABOR LAW I
DJC NotesJustice Veloso 3D | ’08-‘09
1
POST MIDTERM NOTES Art. 82. Coverage.
The provisions of this Title shall apply to employees inall establishments and undertakings whether for profit or not, but not togovernment employees, managerial employees, field personnel, members of the family of the employer who are dependent on him for support, domestichelpers, persons in the personal service of another, and workers who arepaid by results as determined by the Secretary of Labor in appropriateregulations. As used herein, "managerial employees" refer to those whose primary dutyconsists of the management of the establishment in which they areemployed or of a department or subdivision thereof, and to other officers ormembers of the managerial staff."Field personnel" shall refer to non-agricultural employees who regularlyperform their duties away from the principal place of business or branchoffice of the employer and whose actual hours of work in the field cannot bedetermined with reasonable certainty.
POQUIZ NOTES:Covers
:
 All employees
in all establishments and undertakings
whether for profit or not
Incentives
:
Hours of work 
Weekly rest periods
Holidays
Service Incentive leaves
Service charges
Exempts
:1.Government employees2.Managerial employees3.Officers and members of managerial staff 4.Field personnel5.Members of the family of the employer who are dependent on him forsupport6.Domestic helpers7.Persons in the personal service of another8.Workers paid by result
Government employees
 – employed by the National Government or anyof its political subdivisions including those employed in government ownedand controlled corporations. These employees are governed by the CivilService Law.
There is a distinction between a corporation organized pursuant to acharter or special law and corporations not directly chartered or createdby special law but were acquired or taken over by corporations createdunder a special law. The latter is governed by the labor code.
The process of determination is known as the
original charter test 
or
manner of creation test 
.
Managerial Employees
 – they refer to those who meet the followingconditions:1.Primary duty consists of the management of the establishment in whichthey are employed or of a department or subdivision thereof;2.They customarily and regularly direct the work of two or moreemployees therein.3.They have the authority to hire or fire other employees of lower rank.
Note that managerial employees exercise independent judgment anddiscretion.
They are not subject to the rigid observance of regular office hours.
Their service depends on the results of their accomplishment.
Officers and members of managerial staff 
 – they are exempted if theyperform the following duties:1.Primary duty consists in the performance of work directly related tomanagement policies of the employer2.They customarily or regularly exercise discretion and independent judgment3.They regularly assist a proprietor or a managerial employee whoseprimary duty consists of the management of the establishment in whichhe is employed or subdivision thereof; or execute under generalsupervision, work along specialized or technical lines requiring specialtraining, experience or knowledge; or execute under generalsupervision special assignments.4.They do not devote more than 20% of their hours worked in aworkweek to activities which are not related to the performance of thework described above.
Note: that these employees customarily and regularly exercisediscretion and independent judgment and their powers are not subjectto evaluation, review and final action by the department heads and
 
LABOR LAW I
DJC NotesJustice Veloso 3D | ’08-‘09
2
other higher executives of the company.
They are not entitled to overtime pay.
Domestic Servants or Persons in the Personal Service of Another
Those who perform services in the
employer’s home
which areusually necessary or desirable for the
maintenance and enjoyment thereof 
, or minister the personal comfort, convenience, or safety of theemployer s well as the members of his employer’s household.
Note
that employment of househelpers in commercial, industrial andagricultural enterprises entitles them to a salary rate not lower thanwhat is provided for agricultural or non-agricultural workers. They areentitled to labor standard benefits granted under the law, rules andregulations.
The law provides that once a househelper is employed she cannot lateron be transferred to the business undertaking of the employer.
 A laundrywoman in staffhouses of a company or within the premises of the business of the employer, not actually serving the family of theemployer, is a regular employee and not a domestic servant.
Note
that persons in personal service of another need not renderservices in or about the employer’s home such as personal securityguards, private nurses and the like.
Field Personnel
 – Definition:
non-agricultural employees
who regularly perform their duties
away from the principal place of business or branch office of theemployer
and whose actual hours of work in the field cannot be determined withreasonable certainty.
They are free from the personal supervision of the employer.
Examples: Sales personnel, agents on commission basis, or insurancefield agents.
Members of the Family
 – Include:
Husband and Wife
Parents and Children
Other ascendants and descendants
Brothers and sisters whether full or half-blood
They are exempted because the support given by the employer mayexceed the benefit for which an employee is entitled under appropriatelabor provisions.
If they are covered, it might cause family problems.
Workers paid by result
Those who are paid on piece-work, “takay,” “pakiao” or task basis.
Payment is based on the results of the work performed or the numberof units produced, not the number hours used in the completion of the job or the time spent in production.
In piece-work, the stress is placed in the unit of work produced orquantity thereof, which uniformly earns a specific amount in therms of labor cost.
Task work – emphasis is on the task itself, payment is reckoned interms of completion of work.
Benefits to which Piece-Rate Workers are entitled to: (HANSMOTO)
(R. Quan Notes)
H
oliday Pay
 A 
pplicable Statutory Minimum Daily Rate
N
ight Differential Pay
S
ervice Incentive Leave
M
eal and Rest Periods
O
vertime Pay
T
hirteenth Month Pay
O
ther Benefits
Lecture
 August 14, 2008 
Book III of the LC is what we call Labor Standards Proper
It is not enough that you read the article, always ascertain under whichchapter and title this article is being considered.
Title I is working conditions and rest periods.
This article 82 is very important. This tells you who are covered in TitleI and not covered by Title I.
Who are covered?
 All employees in all establishments
Who are not covered?
Refer to the enumeration above of exempted employees.
Note that in Article 82 only two kinds of employees were defined:managerial and field personnel.
Distinguish the managerial employee here from Art. 212(m). In the barif you are asked about managerial employees in relation to laborstandards cite Article 82, for Labor relations cite Art. 212(m).
Note: All managerial employees in Art. 212(m) are covered in Art. 82,but NOT vice versa. Example officers and members of the managerial
 
LABOR LAW I
DJC NotesJustice Veloso 3D | ’08-‘09
3
staff are not covered under Art. 212(m).
Field Personnel - Crux here is the determination of his hours of work.His hours of work cannot be determined with reasonable certainty.However, if he is supervised, his hours of work can be determined.
John Mcleod v NLRC 
Jan 23, 2007 – John was considered a managerialemployee because he was a Vice President of the company as well asplant manager. The SC held that such is excluded from Book 3 Title 1.
Note that Article 82 speaks of the coverage of the entire title I. Title Ihas three chapters: Hours of work, rest periods, holidays etc.
Field Personnel – what counts is the determination with reasonablecertainty of the hours of work.
Far East Agricultural Supply Inc 
.
v Lebatique 
February 12, 2007 - itwas held that Lebatique was a supervised company driver. When youconcede that the work is supervised, then the alleged field personnelhours of work can be determined. He was required to report for work depending on availability. He is therefore
not 
a field personnel.
Domestic Helper - cross reference to article 141. A Domestic Helper isnot really a family employee but household employee. Driver isconsidered domestic helper even if his place of work is outside thehouse because he serves their household.
 Article 94 – limited sections. The benefit of regular holiday pay doesnot apply to certain people.
 A supervisor – is he covered or not by title I?
Peñaranda v Bangaga Plywood Corp 
May 3 2006 – His worked involved overseeing operationof machines and the performance of the workers in his section. He is amanagerial employee being a member of the managerial staff. He is asupervisor under Article 212(m) but he is a managerial employee under Article 82. Therefore, he not covered by Title I of Book 3.
 Art. 83. Normal hours of work.
The normal hours of work of anyemployee shall not exceed eight (8) hours a day.Health personnel in cities and municipalities with a population of at least onemillion (1,000,000) or in hospitals and clinics with a bed capacity of at leastone hundred (100) shall hold regular office hours for eight (8) hours a day,for five (5) days a week, exclusive of time for meals, except where theexigencies of the service require that such personnel work for six (6) days orforty-eight (48) hours, in which case, they shall be entitled to an additionalcompensation of at least thirty percent (30%) of their regular wage for work on the sixth day. For purposes of this Article, "health personnel" shallinclude resident physicians, nurses, nutritionists, dietitians, pharmacists,social workers, laboratory technicians, paramedical technicians,psychologists, midwives, attendants and all other hospital or clinicpersonnel.
Breakdown of the Code
Health personnel in cities and municipalities
with a population of at least one million (1,000,000)
or in hospitals and clinics with a bed capacity of at least one hundred(100)
shall hold regular office hours for eight (8) hours a day,
for five (5) days a week,
exclusive of time for meals,
except where the exigencies of the service require that such personnelwork 
for six (6) days or forty-eight (48) hours,
in which case, they shall be entitled to an additional compensation
of at least thirty percent (30%) of their regular wage for work 
on the sixth day.
POQUIZ NOTES:
Normal hours shall not exceed eight hours a day.
 A day shall mean a workday of 24 consecutive hours beginning at thesame time each calendar day
Week – workweek of 168 consecutive hours, or seven consecutive 24-hour workdays, beginning at the same hour and on the same calendarday each calendar week.
Employer may however, reduce the number of working hours providedthat there is no concomitant reduction of pay. This is a managementprerogative.Health Personnel – Includes:
resident physicians
nurses
nutritionists
dietitians
pharmacists
social workers
laboratory technicians
paramedical technicians
psychologists
midwives
attendants and all other hospital or clinic personnel
of 00

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