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LABOR RELATIONS PART 1 RIGHT TO SELF-ORGANIZATION 7 CARDINAL RIGHTS OF WORKERS (1987 Const., Art. 13, Sec.

3) (1) self-organization (2) collective bargaining and negotiations (3) peaceful concerted activities, including the right to strike in accordance with law (4) security of tenure (5) humane conditions of work (6) a living wage (7) participate in policy and decision-making processes affecting their rights and benefits as may be provided by law COVERAGE OF RIGHT TO SELF-ORGANIZATION [Art. 243-245, 269; DO 40-03 (Rules Implementing Book V)] • • All persons may organize for a lawful purpose but not all may form labor unions (i.e., forming or joining labor organizations for the purpose of collective bargaining) The right to self-organization includes the right not to exercise it. An employee may, as he pleases, join or refrain from joining an association. (Reyes v. Trajano, 1992)

Q: Do workers have a right not to join a labor organization? Suggested answer: Yes, when workers decide whether they will or will not become members of a labor organization. That is why a union’s constitution and by-laws need the members’ adoption and ratification. Moreover, if they are members of religious group whose doctrine forbids union membership, their right not to be compelled to become union members has been upheld. However, if the worker is not a “religious objector” and there is a union security clause, he may be required to join the union if he belongs to the bargaining unit. (Reyes v. Trajano) (2000 Bar Question) Q: Mang Bally, owner of a shoe repair shop with only 9 workers in his establishment, received proposals for collective bargaining from the Bally Shoe Union. Mang Bally refused to bargain with the workers for several reasons. First, his shoe business is just a service establishment. Second, his workers are paid on a piecework basis (ie per shoe repaired) and not on a time basis. Third, he has less than 10 EEs in the establishment. Which reason or reason/s is/are tenable? Explain briefly. None. First, Mang Bally’s shoe business is a commercial enterprise, albeit a service establishment. Second, the mere fact that the workers are paid on a piece-rate basis does not negate their status as regular EEs. Payment by piece is just a method of compensation and does not define the essence of the relation. [Lambo v. NLRC, 317 SCRA 420 (1999)]. Third, the EEs’ right to self organization is not delimited by their number. The right to self-organization covers all persons employed in commercial, industrial and agricultural enterprises and in religious, charitable, medical, or educational institutions whether operating for profit or not. [Art. 243, LC] (2002 Bar Question)

General Rule (To whom the right is available) All persons employed in commercial, industrial and agricultural enterprises and in religious, charitable, medical, or educational institutions, whether operating for profit Ambulant, intermittent and itinerant workers, self-employed people, rural workers and those without any definite employers Ambulant— moving about, Right form, join, or assist labor orgs of their own choosing form labor orgs Purpose Collective bargaining

Mutual aid and protection and other legitimate purposes other than collective

“palipat-lipat” Intermittent— temporary Itinerant— travels from place to place

bargaining

Specific EEs With Right to Self-Organization for purposes of collective bargaining (1) Government EEs (a) For govt EEs of govt corps established under the Corp. Code (LC governs them)— right to organize and bargain collectively (b) For EEs of all branches ,subdivisions, instrumentalities of govt, including GOCCs with original charters from Congress—EO 180 governs them EXECTUIVE ORDER 180 (June 1, 1987) Applies to all EEs of all branches, subdivisions, instrumentalities and agencies of the government including EEs of GOCCs with original charters Rights (1) can form, join or assist EEs’ organizations for furtherance and protection of interest (2) can engage in concerted activities, including the right to strike (3) may negotiate collective negotiation agreements (CNA) or memorandum of agreement (MOA) with their ERs Limitations (1) the concerted activities must be exercised in accordance with law, i.e., subject to Civil Service Law and rules and any legislation that may be enacted by Congress (2) negotiations should only involve terms and conditions of employment that are not fixed by law (3) the resolution of complaints, grievances, and cases involving government EEs is not ordinarily left to collective bargaining or other related concerted activities but to Civil Service Law and labor laws and procedures whenever applicable (4) in case any dispute remains unresolved after exhausting all available remedies under existing laws and procedures, the parties may jointly refer the dispute to the Public Sector LaborManagement Council (the EO provided for the composition of this) for appropriate action Employees’ Org • The appropriate organizational unit is the unit consisting of rank-and-file EEs unless circumstances otherwise require • Govt EEs organizations shall register with the CSC and the BLR • The duly registered EEs’ organization having the majority support of the EEs in the appropriate organizational unit shall be designated as the sole and exclusive representative of the EEs Not Covered (1) High-level EEs (those whose functions are policy-making or managerial or highly-confidential cannot join the org of rank-and-file EEs) (2) AFP (3) Police officers (4) Policemen (5) Firemen (6) Jailguards • BUT Memorandum Circular No. 6 of CSC, dated April 21, 1987, enjoins strikes by government officials and EEs (Arizala v CA, 1990) Thus, to sum up the government EEs covered by EO 180: (1) may organize and unionize (2) they can negotiate, but not bargain (negotiate only on matters not fixed

by law) (3) they cannot strike
Q: How does the government employees’ right to self-organization differ from that of the employees in the private sector? Suggested Answer: There is no substantial difference of the right of self-organization between workers in the private sector and those in the public sector. In the public sector, Executive Order No. 180, the purpose of self-organization is stated as “for the furtherance and protection of their interest.” In the private sector, Art 243 o the Labor Code states “for the purpose of collective bargaining”, and “for the purpose of enhancing and defending their interests and for their mutual aid and protection.” Alternative Answer: In government, managerial employees shall no be eligible to join the organization of rank and file employees per EO 180 but said law does not provide that they are not eligible to join, assist, or form any labor organization, meaning they could join, assist of form any labor organization of their own. In the private sector, managerial employees are not eligible to join, assist, or form any labor organization. (See At. 243, LC and Sec. 3, EO 10) (1996) (1996 Bar Question)

(2) Supervisory EEs [Art. 245; Art. 212 (m)]— those who, in the interest of the employer (a)Effectively recommends such managerial actions (b) If the exercise of such authority is not merely routinary or clerical in nature (c)But requires the use of independent judgment. • What determines the nature of employment is not the employee's title, but his job description. • Supervisory employees shall—NOT be eligible for membership in a labor organization of the rank-and-file employees but may join, assist or form SEPARATE labor organizations of their own. • To maintain the segregation, a supervisor’s union is not allowed to affiliate with the same federation as that of the rank-and-file union under these conditions: (1) The rank-and-file EEs are directly under the authority of the supervisory EEs (2) The national federation is actively involved in union activities in the company (Atlas Lithographic v. Laguesma, 1992; De la Salle University Medical Center v. Laguesma, 1998) (3) Aliens (Art. 269)—Aliens, generally, have no right to self organize for purpose of collective bargaining unless (the following must concur): (a)They have valid permits issued by DOLE; and (b) That said aliens are nationals of a country which grants the same or similar rights to Filipino workers (reciprocity (4) Security Guards • EO 111 has eliminated the disqualification of security guards from forming labor unions. • They may now join a rank-and-file organization or that of the supervisory union, depending on their rank. (Manila Electric v. Sec. of Labor, 1997)
Q: Do the following workers have the right to self-organization? Reasons/ basis 1. employees of non-stock, non-profit organizations? 2. alien employees? Suggested Answer: 1. Even EEs of non-stock, non-profit organizations have the right to self-organization. This is explicitly provided for in Art 243 of the Labor Code. A possible exception, however, are EE members of non-stock, non-profit cooperatives. 2. Alien EEs with valid work permits in RP may exercise the right to self-organization on the basis of parity or reciprocity, that is, if Filipino workers in the alien’s country are given the same right. (Art 269, LC) (2000 Bar Question)

Workers Without Right to Self-Organization For purposes of collective bargaining (1) Managerial Employees [Art. 245; Art. 212 (m)]

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one who is vested with powers or prerogatives a. To lay down and execute management policies and/ or b. To hire , transfer, suspend, layoff, recall, discharge, assign, or discipline employees NOT eligible to join, assist or form any labor organization • “labor organization” is a technical term • it is formed for the purpose of collective bargaining concerning terms and conditions or dealing with employment concerning terms and condition of employment • Hence, managerial EEs are not prohibited from forming an association The prohibition of unionization of managerial EEs does not violate the Phil. Consti. (UPSU v. Laguesma, 1998) National Sugar Refineries Corp v NLRC (1993) › the definition of a managerial employee in Labor relations [Art. 212 (m)] is not exactly the same as the definition under labor standards (Art. 82). › Art. 82 is much broader in scope than Art. 212 (m). › It was held that for purposes of forming and joining unions, certification elections, collective bargaining, supervisory EEs are considered not managerial EEs hence they can unionize. › However, in terms of working conditions and rest periods and entitlement to the questioned benefits, they are officers or members of the managerial staff (which are managerial EEs per Art. 82,) hence they are not entitled thereto. Who are rank-and-file EEs? EEs who are not managerial nor supervisory EEs.

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Q: A, B, C and D (treasurer, accountant, elementary department Principal, and secretary of the Director, respectively), regular employees of a private educational institution, were administratively charged for their participation in a picket held in front of the campus after office hours. Several faculty members, nonacademic staff and students joined the peaceful prayer rally organized by the disgruntled employees to protest certain alleged abuses of the incumbent school director. Subsequently, the rank and file employees succeeded in forming the first and only union of the School. During the investigation, the administration discovered that two (2) days prior to the rally, A, B, C and D attended the meeting of the School’s employees’ association which planned the protest activity. Two wellknown organizers/leaders of a national federation were also present. A, B, C and D were dismissed by the School on the ground of violating the Labor Code which prohibits managerial employees to “join, assist, or form any labor organization.” Is the contention of the School tenable? Is the dismissal of A, B, C and D valid? Explain. Suggested Answer: The dismissal of A, B, C and D on the ground that they violated the Labor Code provision which states that managerial employees “are not eligible to join, assist or form any labor organization” is not valid. The Labor Code doe not provide for any sanction for the aforesaid acts. These acts could not be considered as just cause for the termination of employment, either. Another Suggested Answer: The dismissal of the management employees because of union activities, no matter how erroneous or tenuous may be the basis for the exercise, is a violation of the constitutional and statutory guaranteed rights of self-organization and an act of unfair labor practice. (Sec. 3, Art. XIII, Constitution; Art. 243, LC. See also Art. 248(a), LC). (2004 Bar Question)

(2) Confidential EEs--those who: (a)Assist or act in a fiduciary capacity (b) To persons who formulate, determine, and effectuate management policies in the field of labor relations. • The two criteria are cumulative, and both must be met if an employee is to be considered a confidential employee — that is, the confidential relationship must exist between the employee and his superior officer and that the superior officer must handle the prescribed responsibilities relating to labor relations (if not labor relations, then not confidential EE). Sugbuanon Rural Bank vs. Laguesma, (2000) › Art. 245 of the Labor Code does not directly prohibit confidential employees from engaging in union activities.

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However, under the doctrine of necessary implication, the disqualification of managerial employees equally applies to confidential employees. The confidential-employee rule justifies exclusion of confidential employees because in the normal course of their duties they become aware of management policies relating to labor relations.

Note: An EE may not be excluded from appropriate bargaining unit merely because he has access to confidential information concerning employer’s internal business operations and which is NOT RELATED to the field of labor relations. If access is merely incidental, you cannot classify them as confidential employees. Thus a phone operator or driver cannot be classified as a confidential employee for the purpose of excluding them from joining a union. It is the policy of the law to encourage self-organization, thus if you have to limit it, the limitation must strictly be construed and well justified.
Q: Malou is the Executive Secretary of the Senior Vice-President of a bank while Ana is the Legal Secretary of the bank’s lawyer. They and other executive secretaries would like to join the union of rank and file EEs of the bank. Are they eligible to join the union? Why? Explain briefly. Suggested Answer: The following rules will govern the right of self-organization of Malou, Ana, and the other Executive Secretaries: 1. No right to self-organization – confidential EE who act in a confidential capacity to persons who formulate, determine, and effectuate management policies in the field of labor-management relation. The two criteria are cumulative and both must be met. [San Miguel Corporation Union v. Laguesma, 277 SCRA 370 (1997)] 2. With right to self-organization – when the EE does not have access to confidential labor relations information, there is no legal prohibition against confidential EEs from forming, assisting, or joining a labor organization. [Sugbuanon Rural Bank, Inc. v Laguesma, 324 SCRA 425 (2000)] No right of self-organization for Legal Secretaries – Legal Secretaries fall under the category of confidential EEs with no right to self-organization. [Pier & Arrastre Stevedoring Services, Inc. v. Confessor, 241 SCRA 294 (1995)] (2002 Bar Question)

(3) Workers-Members of a Cooperative Cooperative— is an organization composed of small producers and of consumers who voluntarily join together to form business enterprises which they themselves, own, control and patronize. (PD 175) (a) An employee of such a cooperative who is a member and co-owner— no right to collective bargaining because an owner cannot bargain with himself or co-owners. ( BENECO v. FerrerCalleja, 1989) (b) Employees who are NOT members or co-owners— such employees are entitled to exercise the rights of all workers to organization, collective bargaining negotiations, and others. (San Jose Electric Service Coop. v. Min. of Labor, 1989)
Q: Do EEs of a cooperative have a right to form a union? Explain briefly. Suggested Answer: EEs who are members of a cooperative cannot form a union because, as members, they are owners and owners cannot bargain with themselves. However, EEs who are not members of a cooperative can form a union. [San Jose Electric Service Cooperatiev v. Ministry of Labor (1989)] (2002 Bar Question)

(4) Employees of International Organizations Certain international organizations, such as the Intl Rice Research Institute (IRRI) and the Intl Catholic Migration Commission (ICMC), are by their charters given a grant of immunity from legal processes and thus are beyond the jurisdiction of the DOLE. A certification election cannot be conducted in these international orgs. (5) Non-Employees If there is no ER-EE relationship, then there is no right to collective bargaining but they still have the right to organize since this right is constitutionally protected, only that they cannot organize for the purpose of collective bargaining.

(Gullano v. B. it is clearly stated that the women once they enter the premises of the night club would be under the direct supervision of the manager from 8:00pm to 4:00am everyday including Sundays and holidays. (See Arts. 1 (ee)] (if not registered. or similar establishment. It is the instrumentality through which an individual laborer who is helpless as against a powerful ER may. The enhancement of democracy and the promotion of social justice and development. with or without compensation. through concerted effort and activity. under the effective control or supervision of the ER for a substantial period of time as determined by the Secretary of Labor. Sec. The GROs. The GROs earned their keep exclusively from commissions for food and drinks. Suggested Answer: The GROs may form SUKI as a labor organization for purposes of collective bargaining. Employees may form labor organizations for their mutual aid and protection. Sec. and tips from generous customers. Subsequently. Aboitiz) C. Rule 1. massage clinic. May the GROs form SUKI as a labor organization for purposes of collective bargaining? Explain briefly. however. are free to ply their trade elsewhere anytime but once they enter the premises of the night club. In the case at bar. in any night club. Solar Plexus opposed the petition for certification election on the singular ground of absence of ER-EE relationship between th GROs on the one hand and the night club on the other hand. 212 (g)] Q: What is the importance of labor organizations? Suggested Answer: A labor organization exists in whole or in art for the purpose of collective bargaining agreement or of dealing with employers concerning terms and conditions of employment. The Labor Code (in Art 138) provides that any woman who is permitted or suffered to work. Rule 1. does not posses the rights of a LLO) Union—any labor organization in the private sector organized for collective bargaining and for other legitimate purpose [Book V. they are required to stay up to closing time.Q: FACTS: Solar Plexus Bar and Night Club allowed by tolerance 50 Guest Relations Officers (GROs) to work without compensation in its establishment under the direct supervision of its Manager from 8:00pm to 4:00am everyday. 1 (zz)]  Independent Union— labor organization operating at the enterprise level that acquired legal personality from independent registration  Chartered Local— labor organization at the enterprise level that acquired legal personality acquired through issuance of charter certificate by a duly registered federation or national union . SUKI filed a petition for certification election in order to be recognized as the exclusive bargaining agent of its members. shall be considered as an EE of such establishment for purposes of labor and social legislation. the GROs formed the Solar Ugnayan ng mga Kababaihang Inaapi (SUKI). achieve legal goal of economic well-being. (1999 Bar Question) PART 2 LABOR ORGANIZATION LABOR ORGANIZATION—any union or association of EEs in the private sector which exists for collective bargaining purposes or of dealing with ERs concerning terms and conditions of employment [Art. In time. CIR) (1996 Bar Question) Legitimate Labor Organization— any labor organization in the private sector registered or reported with the DOLE [Book V. Such is indicative of an ER-EE relationship since the manager would be exercising the right of control. 212 (a) and 243 of the Labor Code) Alternative Answers: The importance of labor unions are: A. As instrumentalities trough which worker welfare may be promoted and fostered. a labor union duly registered with the DOLE. including Sundays and Holidays. There is an ER-EE relationship between the GROs and the night club. cocktail lounge. bar. (Mactan Workers Union v.

Constitution and by-laws (CBL). 4. reported to the Regional Office and the Bureau Affiliation/ Disaffiliation • Affiliation by a duly registered union with a national federation does not cause the local union to lose its legal personality. 5. list of workers who participated in the meetings. • The union also has the right to disaffiliate from its mother union and join a new federation (exercise of right to self-organization). [Book V. 1 (ccc)]  Legitimate Worker’s Association— an association of workers organized for the mutual aid and protection or for any legitimate purpose other than collective bargaining of its members registered with the DOLE. Inciong. 6. WORKER’S ASSN Compositi on Purpose LABOR ORGANIZATION Employees collective bargaining or of dealing with employers concerning terms and conditions of employment. function or administration has been assisted by any act defined as unfair labor practice  Affiliate— refers to an independent union affiliated with a federation.  Company union— any labor organization whose formation. national union or a chartered local which was subsequently granted independent registration but did not disaffiliate from its federation. [Book V. Sec. Rule 1. • But when the union is not independently registered and it disaffiliates from a federation. • The local union remains the basic unit that serves the common interest of its members. 1990) WORKER’S ASSOCIATION — an association of workers organized for the mutual aid and protection or for any legitimate purpose other than collective bargaining of its members. Sec. each of which must be a duly certified or recognized collective bargaining agent. Rule 1. approx. 1 (ff)] LABOR ORGANIZATION V. Name of the applicant union. WORKER’S ASSN Workers mutual aid and protection of its members or for any other legitimate purpose other than collective bargaining REQUIREMENTS OF REGISTRATION Independent Labor Org 1. NLRC. names and addresses of its officers. its principal address. and the list of the members who participated list of the ratifying members may be dispensed with where the CBL was ratified or adopted during the organizational meeting— factual circumstance of the ratification shall be recorded in the meeting . unless it has not collected any amount from the members. minutes of its adoption and ratification. Annual financial report if the applicant has been in existence for one or more years. in which case a statement to this effect shall be included. Names of all its members comprising at least 20% of all EEs in the BU. in the absence of enforceable provisions in the federation’s constitution preventing disaffiliation. 1983) • Affiliation/ disaffiliation is an affair between the parent and the daughter union. National Union / Federation— labor organization with at least 10 locals/ chapters or affiliated unions. Minutes of the organizational meeting. it is not granted the rights and privileges granted to a LLO. Registration fee 2. The ER is not involved and should not be adversely affected. 3. with a statement that it is not reported as a chartered local of any federation or national union. It cannot file a petition for CE or bargain with the ER or stage a strike (Villar v. number of EEs in the BU where it seeks to operate. The CBA continues to bind the members of the disaffiliated union up to the CBA’s expiration date (Associated Workers Union PTWGO v.

Suggested Answer: On the date the Certificate of Registration is actually issued. in addition to the above requirements. 8) Q: At what particular point does a labor organization acquire a legal personality? (a) On the date of the agreement to organize the union is signed by the majority of all its members.” When the law provides that a “labor organization xxx shall acquire legal personality xxx upon issuance of the certificate of registration”. unless it has not collected any amount from the members. in which case such fact shall be reflected in the minutes of the organizational meeting(s) • Application for registration of a workers’ association operating in more than one region shall be accompanied. or (b) On the date the application for registration is duly filed with the Department of Labor. Any applicant labor organization. and not by collateral attack (Book V. by a resolution of membership of each member association. and attested to by the Pres. Federation/ National Union In addition to 1. or (d) On the date the Certificate of Registration is actually issued. 5. the date appearing therein is legally presumed – under the rule on presumption or regularity – to be its date of issuance. The financial reports of the applicant association if it has been in existence for one or more years. Rule IV. the name of its officers and their respective addresses 3. Choose the correct answer. Minutes of the organizational meeting(s) and the names of individual members who attended such meetings 4. whether independent union or chartered locals (all duly recognized as collective bargaining agents) .  All required documents shall be certified under oath by the Sec. Sec. duly approved by its BOD. Constitution and by-laws (CBL) to which must be attached the names of the ratifying members.5 and 6 above: . in which case a statement to this effect shall be included in the application. and the date when the ratification was made. association or group of unions or workers shall acquire legal personality and shall be entitled to the rights and privileges granted by law to legitimate labor organizations upon issuance of the certificate of registration. Legal personality: cannot be attacked collaterally • The labor union or worker’s association shall be deemed registered and vested with legal personality on the date of the issuance of its certificate of registration or certificate of creation of chartered local.3. or Treas.Resolution of affiliation of at least 10 LLOs. Registration fee 2.Names and addresses of the companies where the affiliates operate plus list all members in each company involved.  LOs operating within an identified industry may also apply for registration as a federation or national union within the specified industry by submitting to the Bureau the same set of documents Worker’s Association 1. unless ratification was done in the organizational meeting(s). • such legal personality may be questioned only through an independent petition for cancellation of union registration. Name of the applicant association. or (c) On the date appearing on the Certificate of Registration. or (e) None of the above. Another Suggested Answer: (c) “On the date appearing on the Certificate of Registration.2. 1 original copy and 2 duplicate copies of all documents accompanying the application or notice shall be submitted to the Regl Office or the Bureau. the minutes of adoption or ratification of the CBL. Actual issuance is a contentious evidentiary issue that . its principal address.

These are: (1) Misrepresentation. Checking off special assessments or any other fees without duly signed individual written authorizations of the members (Other than for mandatory activities under the Labor Code) Failure to comply with requirements under Articles 237 and 238 (requirements for unions and federations)  Commission of any of the acts in Art. . Q: A labor union lawyer opined that a labor organization is a private and voluntary organization. a labor organization cannot discriminate against any employee by denying such employee membership in the labor organization . the minutes of ratification and the list of members who took part in the ratification within 30 days from adoption/ ratification b.and if it involves the entire membership of the union. or otherwise engaging in any activity prohibited by law C.can hardly be resolved. the CBL or amendments thereto. minutes of the election of officers. the complaint should be supported by at least 30% of the union members RIGHTS AND CONDITIONS OF MEMBERSHIP IN A LO (Art. shall be eligible for membership in any labor organization beginning the 1st day of service. the adoption or ratification of the CBL or amendments thereto. which can only be commenced by members of the labor organization concerned. Thus.(b)) provides that a labor organization has the right to prescribe its own rules for the acquisition or retention of membership. 241 (Rights and conditions of membership in a labor org) Rule: Any party-in-interest may commence a petition for cancellation of registration except in actions involving violations of Art. (2003 Bar Question) GROUNDS FOR CANCELLATION OF UNION REGISTRATION A. the election of officers. a union can deny membership to any and all applicants. whether employed for a definite period or not. 241) violations of these shall be a ground for cancellation of union registration or expulsion of officer from office. Violation of any of the provisions of Art. 239. annual financial report within 30 days after the closing of every fiscal year d. hence. • • Any EE. the opinion of counsel is not in accord with law. false statement or fraud in connection with a. the list of voters c. minutes of the election of officers. whichever is appropriate. the minutes of ratification and the list of members who took part in the ratification. 2) Union is an agent of its members. The Labor Code (in Art 249 (a). (Book V. Rule ii. not mention that the law does not speak of the actual issuance. Sec. the list of voters within 30 days from election c. Is the opinion of counsel in accord with law? Suggested answer: No. F. but it is an unfair labor practice for a labor organization to restrain or coerce employees in the exercise of their right to self-organization. Entering into CBA which provide terms and conditions of employment below minimum standards established by law D. list of individual members to the Bureau once a year or whenever required (3) Acting as a labor contractor or engaging in the "cabo" system. in the preparation of financial reports (2) Failure to submit a. Asking for or accepting attorney’s fees or negotiation fees from employers E. b. Failure to comply with the requirements of registration (see above) B. 241.

a state may not compel ordinary voluntary association to admit thereto any given individual. Another suggested answer: Yes.” The same case further ruled that the law can compel a labor union to admit an applicant for membership when the union is“The rule is qualified in respect of labor unions holding a monopoly in the supply of labor. but must be qualified.” (1998 Bar Question) Q: On what ground or grounds may a union member be expelled from the organization? Suggested Answer: Union members may be expelled from the labor organization only on valid grounds provided for in the Union Constitution. prevailing labor relations system and their rights and obligations under existing labor laws (LLO may assess reasonable dues to finance labor relations seminars/ labor education activities) Rights over money matter  No arbitrary. and 3. excessive. oppressive initiation fees. The reason is that (union security provisions) cause the admission requirements of trade union to be affected with public interest. CIR (1967) as follows: “Generally. refusal to pay union dues and special assessments. dues. dues nor disbursements unless duly authorized pursuant to CBL  All payment of fees. either in a given locality or as regards a particular employer with which it has a closed-shop agreement. CBA. The Supreme Court ruled in Salunga v. or conditions for union membership. the legal opinion of counsel. on the nature of a labor union and its admission policy is in accord with law. violation of the constitution and by-laws of the union (2002 Bar Question) Political Rights  Officers directly elected by secret ballot at intervals of 5 years  No qualification requirement for candidacy to any position other than membership in good standing  No person convicted of crime involving moral turpitude shall be eligible to be an officer of union  Officers shall not be paid any compensation other than salaries and expenses due to their positions as authorized by CBL or written resolution of majority Deliberative and decision-making rights  Determination by secret ballot any question of major policy  No admission of individuals who are members of subversive organizations Right to be informed  Full and detailed report of financial transactions  All income and revenue evidenced by a record and every expenditure evidenced by a receipt  Treasurer and officers render a true and correct account of all moneys received and paid since assuming office or since last accounting: At least once a year within 30 days from close of fiscal year Other times as required by written resolution of majority Upon vacating his office  Books of account and financial records open to inspection by officer/ member during office hours  Members should be informed about the provisions of its constitution and by-laws. because membership therein may be accorded or withheld as a matter of privilege. By-Laws. Another Suggested Answer: Whenever appropriate for any violation of the rights as: 1. disloyalty to the union. contributions evidenced by receipt and entered into records  Funds shall not be applied for any purpose other than expressly provided in CBL or authorized by majority of members at general meeting  No special assessment or other extraordinary fees may be levied unless authorized by written resolution of majority (levy) . fines and forfeiture  No collection of fees. 2.on any ground other than the usual terms and conditions under which membership or continuation of union membership is made available to other members.

. however. which has validly disaffiliates will be the one entitled to check off dues (Volkschel Labor Union v.e. . specifying the amount. secretary’s record of the minutes of the meeting. Several members of the Welga Labor Union approached you to seek advice on the ff. 222(b). After the conclusion of the negotiations. (a) Whether or not the collection of the amount assessed on the individual members to answer for the Attorney’s fees was valid. Velasco would be paid in the sum of P20. and beneficiary of the deduction › EEs’ check-off authorization is only valid as long as they remain members of the union. individual written authorization for check-off duly signed by the employee concerned. reads: “No attorneys fees. negotiation fees or any other extraordinary fees may be checked off from any amount due to an EE without any individual written authorization (check-off) (cf. The local union. When a local union disaffiliates from a national union/ federation. LC. Alternative Answers: (a) The collection of the amount assessed on the on individual members to members to answer for the attorney’s fees would be valid if it was authorized by a written resolution of a majority of all the members in general membership meeting duly called for the purpose. Welga Labor Union collected from its individual members the sum of P100 each to pay for Atty.. attorney’s fees. Art. the Supreme Court ruled that the following are the requisites: 1. (b) Whether or not the assessment of P100 from the individual members of the Welga Labor Union for services rendered by the union officers in the CBA negotiations was valid. 222(b). BLR. for the same reason as stated above. is not valid. Provided. authorization by a written resolution of the majority of all the members at the general membership meeting duly called for the purpose.” Another suggested answer: In the ABS-CBN Employees Supervisors Union v. negotiation fees or similar charges of any kind arising from any collective bargaining negotiations or conclusion of the collective agreement shall be imposed on any individual member of the contracting union. It was agreed that Atty.. Velasco’s fees and another sum of P100 each for services rendered by the union officers. ABS-CBN Broadcasting Corp. the latter ceases to be entitled to check-off dues. Facundo Velasco was retained by Welga Labor union to represent it in the Collective Bargaining Negotiations. collecting an amount through salary deduction)  Authorization by a written resolution of majority of all members  at the general membership meeting called for the purpose  individual written authorization of the EE. that attorneys fees may be charged against union funds in an amount to e agreed upon by the parties. 1985) Q: What requisites must a Union comply with before it can validly impose special assessments against its members for incidental expenses. matters. no special assessment.” (b) The assessment of P100as negotiation fees charged to each individual union member and payable to union officers is also not valid. representation expenses and the like? Suggested answer: The Labor Code (in Art 241 (n)) provides that “no special assessments or extraordinary fees may be levied upon the members of a labor organization unless authorized by a written resolution of a majority of all the members at a general membership meeting duly called for the purpose.000 as attorney’s fees for his assistance in the CBA negotiations. and Union Officers (1999). atty’s fees. Any contract. Other than mandatory activities under the Code. (2001 and 2002 Bar Questions) Q: Atty. 2. Answer: (a)The assessment of P100 from each union member as attorney’s fees – for union negotiation. agreement or arrangement of any sort to the contrary shall be null and void. 113) Requisites for a valid levy (i. and 3. purposes. Art. imposition of a certain amount)  Authorization by a written resolution of majority of all members at the general membership meeting called for the purpose Requisites for a valid check-off (i.e. The assessment is an act violative of Art.

comprised of all or less than all of the entire body of EEs in the ER unit or any specific occupational or geographical grouping within such ER unit. directly and exclusively for lawful purposes shall be free from taxes PART 3 THE APPROPRIATE BARGAINING UNIT APPROPRIATE BARGAINING UNIT (ABU)— group of EEs sharing mutual interest within a given ER unit. of LLOs used actually. 242)  To act as the representative of its members for the purpose of CB. 227 SCRA 370) . [Art. working conditions and other subjects of collective bargaining. (The practice of the courts to hold a series of elections not for the purpose of granting the right of representation to the group garnering the majority vote but to let employees select on several units to represent them) • Q: What is an appropriate bargaining unit for purposes of collective bargaining? Suggested answer: An appropriate bargaining unit is a group of employees of a given employer comprised of all or less than all of the entire body of employees. minority LLO does not have this right)  To be certified as the exclusive representative of all EEs in an appropriate collective bargaining unit for purposes of CB. Globe Doctrine— determinative factor is the express will of the EEs. temporary. or during the CB negotiation.e. real or personal. and  To undertake all other activities designed to benefit the organization and its members  The income and the properties. which the collective interest of all the employees. this is only true if the union won the certification election or consent election)  To be furnished by the ER with the annual audited financial statements after the union has been duly recognized by the ER or certified as the sole and exclusive bargaining representatives of the EEs in the BU. Ferrer-Calleja (1992)] (1998 Bar Question) Q: Can the 2 Managers be part of the bargaining unit? Suggested Answer: No. or within 60 calendar days before the expiration of the existing CBA. the 2 Managers cannot be part of the bargaining unit composed of supervisory EEs. 241(N)] (1997 Bar Question) RIGHTS OF LEGITIMATE LABOR ORGS (Art. (3) Prior collective bargaining history (4) Employment status.  To sue and be sued in its registered name. (per Azucena: erroneous because only the LLO who has majority status can represent the BU. hours. for the use and benefit of the labor org and its members. i. (per Azucena. and probationary EEs • Test of grouping: community or mutuality of interests because the basic test of an asserted bargaining unit’s acceptability is whether it is fundamentally the combination w/c will best assure to all EEs the exercise of their collective bargaining rights. Supervisors and Exempt EEs Union v. (San Miguel Corp. A bargaining unit must effect a grouping of EEs who have substantial. consistent with the interest of the employer.  To own property.(b) The assessment of P100 from the individual members of the Welga Labor Union for services rendered by the Union officers in the CBA negotiations would be valid if it was authorized by a written resolution of a majority of all the members in a general membership meeting duly called for the purpose. indicate to be best suited to serve reciprocal rights and duties of the parties under the collective bargaining provisions of the law.. Laguesma. [See UP v. such as substantial similarity of works and duties or similarity of compensation & working conditions. mutual interests in wages. Factors to be considered in determining the ABU (1) Will of the EEs (2) Affinity and unity of EEs’ interest. seasonal. etc.

BLR(1988)] Q: When does a run-off election occur? Suggested answer: A “run-off” or second election occurs when an election which provides for three (3) or more choices result in no choice receiving a majority if the valid votes cast. 255. b. certification election c. Certificate election refers to the process of determining through secret ballot the sole and exclusive representative of the employees in an appropriate bargaining unit for purposes of collective bargaining or negotiation. [Warren Manufacturing Workers Union v. the election officer shall motu propio conduct a run-off election within ten (10) calendar days from the close of election proceedings between the labor unions receiving the (2) highest number of votes. 245) provides that managerial EEs are not eligible to join. while a consent election is voluntarily agreed upon by the parties. Suggested Answer a. Within thirty (30) days from such recognition. (Art 256. There is voluntary recognition when in an unorganized establishment with only one legitimate labor organization. Rule 1. Sec. there will be no duty to bargain on the part of either the employer or employee. with or without the intervention by the Department. 257. 255) Q: The modes of determining an exclusive bargaining agreement (agent) are: a. then the process is consent election. Cia Maritima. A certification election is ordered by the Department of Labor and Employment. LC) c. why? Suggested answer: Yes. Provided that. voluntary recognition b. When the process of determining through secret ballot the sole and exclusive representative of the employees in an appropriate bargaining unit is not ordered by the DOLE. can materially change the results. the total number of votes for all contending unions is at least fifty per cent (50%) of the number of votes cast. (Art. LC Rule X. the employer and union shall submit a notice of voluntary recognition with the Regional Office of the Department of Labor and Employment which issued the recognized labor union’s certificate of registration or certificate of creation of a chartered local. the employer voluntarily recognizes the representation status of such a union. consent election Explain briefly how they differ from one another. 1967) Q: Is it required that an employer-employee relationship exists between an employer and the employees in the appropriate bargaining unit before a certification election can be ordered? If so.The Labor Code (in Art. (Art 256. an individual EE or group of EEs shall have the right at anytime to present grievances to their ERs. if sustained. Dept Order 40-03) (2006 and 2000 Bar Questions) PRE-CONDITION: ER-EE RELATIONSHIP • An employer-employee relationship is a pre-condition before the conduct of a certification election since without such relationship. Thus. it is required that an employer-employee relationship is existing between the employer and the employees in the appropriate bargaining unit before a certification election can be ordered for the simple . it will be senseless to go on with a certification election to choose their bargaining representative when there is no duty to collectively bargain anyway. The above provision shows that managerial EEs do not have the same interests as the supervisory EEs which compose the bargaining unit where SMCT wishes to be the exclusive bargaining representative. 258. Book V. (Allied Free Workers Union v. • Despite having a SEBA. assist or form any labor organization. but has been voluntarily agreed upon by the parties with or without the intervention of the DOLE. (1999 Bar Question) PART 4 UNION REPRESENTATION: ESTABLISHING MAJORITY STATUS EXCLUSIVE BARGAINING AGENT [Art. 1(t)] — the legitimate labor union duly recognized or certified as the sole and exclusive bargaining agent (SEBA) of the EEs in a BU. and no objections or challenges have been presented which.

mandate? What is the rationale for such legal Suggested Answer: According to the Labor Code.e. Another suggested answer: Yes. and if so. a certification election shall automatically be conducted by the Med-Arbiter upon the filing of a petition by a legitimate labor organization. (4) Run-off Election (Art. There is no reason to select a representative to negotiate when there can be no negotiations in the first place. i. voluntarily agreed upon by the parties. and b. (2003 Bar Question) . to determine whether they want a union to represent them. 1998) In Colgate Palmolive Phils v.. The Supreme Court in Allied Force Waters Union v. In the above-described situation. ruled: “xxx there being no employer-employee relationship between the parties disputants. there is neither a “duty to bargain collectively” to speak of. majority of the eligible voters voted • “No Union” shall not be a choice in the run-off election CERTIFICATION ELECTION— process of determining through secret balloting the sole and exclusive representative of the EEs in an ABU for purposes CB or negotiation (this is different from union election which selects the officers of the union) Q: There are instances when a certification election is mandatory. to hold certification elections would be pointless. (2) Certification Election (CE)(Art.reason that a certification election is held for the purpose of determining which labor organization shall be the exclusive collective bargaining representative of the employees in an appropriate bargaining unit.” (1998 Bar Question) SELECTION OF SOLE AND EXCLUSIVE BARGAINING AGENT (SEBA) (1) Voluntary Recognition by ER—allowed only a. There could be no collective bargaining between persons who do not have employer-employee relationship. in an enterprise being unionized for the first time (unorganized establishment—if there exists no duly recognized or certified bargaining agent of the concerned bargaining unit). (Samahan ng Manggagawa sa Permex v. in any establishment where there is no certified bargaining agent. 256)—(see below) (3) Consent Election— process of determining through secret ballot. not the ER’s. It is the EEs’ prerogative. Ople (1988). Where there is no duty to bargain collectively. the Supreme Court has ruled that the existence of an employer-employee relationship is required before a certification election can be held. it is not proper to hold certification elections in connection therewith. 256)— election between the labor unions receiving the 2 highest number of votes provided: (1) There are 3 or more choices in the CE. VII. a certification election is made mandatory because if there is no certified bargaining agent as determined by a certification election. it was held that the Sec. Sec. it in effect asks the ER to certify it as the SEBA—a certification which the ER has no authority to give. 1) Note: If a union asks the ER to voluntarily recognize it as the bargaining agent of the EEs. which one it should be. Compania Maritima (1967). of Labor. of Labor cannot directly certify a union as the SEBA. the SEBA of the EEs in an ABU for purposes of CB or negotiation. and (3) total number of votes for all contending unions: at least 50% of the total votes cast • Presumption: there is a valid election. And there being no such duty. Sec. where there is only one legitimate labor organization seeking recognition (Book V. there could be no collective bargaining in the said unorganized establishment. Rule. (2) results of the CE: none of these choices received majority of the valid votes cast.

The determination of “organized establishment” status should be at the bargaining unit level. all rank-and-file EEs in the appropriate bargaining unit are entitled to vote. The law refers to “all” the EEs in the bargaining unit. of reg/ cert. The Code makes no distinction as to their employment status as basis for eligibility to vote in the petition for certification election. probationary or permanent. whether employed for a definite period or not. of reg/ cert. 256-258) What Who files When filed Where filed Organized Establishment Verified petition— supported by a written consent of at least 25% of all EEs in the BU LLO or the ER (when requested to bargain collectively) With CBA— within the 60-day freedom period Without CBA— anytime except when barred (cf. exclude the invalid votes first] Petition for Certification Election (Arts.) Freedom Period—last 60 days of the 5th year of the CBA Valid Election— at least majority of the eligible voters voted (base: eligible voters in the BU) Exclusive Bargaining Agent— labor union receiving the majority of the valid votes cast [base: valid votes (not the number of voters).” (Airtime Specialists. bars to petition for CE) Regl Office which issued the petitioning union’s cert. 255. Hence. All they need to be eligible to vote is to belong to the “bargaining unit. of creation of chartered local (with the Med-Arbiter) 2 positive requisites: 1. with written consent of at least 25% of all EEs in the BU 25% signature requirement . all rank-andfile EEs. LC which states that the “labor organization designated or selected by the majority of the EEs in such unit shall be the exclusive representative of the EEs in such unit for the purpose of collective bargaining. 180 SCRA 749) Alternative Answer: Probationary EEs may not be entitled to vote in a certification election where only regular EEs belong t a bargaining unit and probationary EEs do not belong to such bargaining unit. Ferrer-Calleja.Q: Are probationary EEs entitled to vote in a certification election? Why? Suggested Answer: In a certification election. of creation of chartered local (with the Med-Arbiter) Unorganized Establishment Verified petition— No 25% requirement LLO or the ER (when requested to bargain collectively) Anytime except within 1 yr from a valid CE Regl Office which issued the petitioning union’s cert. It is the belonging to a bargaining unit that entitles an EE to vote in a certification election. [Art. Inc. (Hence an establishment may be considered as organized insofar as the rank-and-file BU is concerned but not organized insofar as the supervisor BU is concerned. Another Alternative Answer: Yes. v. shall. This principle is clearly stated in Art. have substantial interest in the selection of the bargaining representative. filed within the freedom period 2. 277(c)] (1999 Bar Question) Nature of CE proceedings (1) Non-adversarial (2) Non-litigious (3) Administrative proceeding to determine the worker’s choice “Organized Establishment”— an enterprise where there is a recognized or certified SEBA. beginning on his first day of service be considered an EE for purposes of membership in any labor union. An EE.” Collective bargaining covers all aspects of the employment relation and the resultant CBA negotiated by the certified union binds all EEs in the bargaining unit.

becomes final and executory in 10 days. no MR is allowed from this decision. order of Med-Arb is final. appeal stays the conduct of the CE) Sec. Rule VIII.› › › › Procedure Submission of the 25% consent signature need not be simultaneous with the filing of the petition. Another Suggested Answer: No. Sec. Med-Arb may still order CE. Petition for CE is filed with Med-Arbiter decides within 20 days (if no appeal. of Labor within 10 days from receipt of order (but appeal is filed with the Regl Office. v. (implementation shall not be stayed unless restrained by appropriate court) • The incumbent bargaining agent shall automatically be one of the choices in the CE as forced intervenor. who later transmits the records to the Sec. within 10 days. reply to the appeal may be filed with the Sec. because the objective in a certification election is to ascertain the majority representation of the bargaining representative. The SC held that the mere filing of a petition for CE within the freedom period is sufficient basis for the holding of a CE.. if the employees desire to be represented at all by anyone. decides within 15 days Decision of Sec. if Med-Arb feels there is a representation achievement. Hence. Laguesma. Laguesma. order granting conduct of CE in an unorganized establishment is unappealable) Appeal to Sec. (California Mfg. (Port Worker’s Union of the Philippines v. 1992) Even if 25% is not achieved. “no union” is one of the choices in a certification election. The purpose of a certification election is to elect an exclusive bargaining agent and a “no-union vote would precisely mean that the voter is not choosing any . a “no-union” cannot win in a certification election. 7) Q: Can a “no-union” win in a certificate election? Suggested Answer: Yes. for certiorari under Rule 65) Records remanded to the Regionall Office of origin for implementation within 48 hrs from finality. (but may be questioned before the CA in a pet. subject to the submission of the consent signatures within a reasonable period from such filing. (Book V. 1992) Labor Code: mandatory requirement (it becomes the ministerial duty of the Med-Arb to conduct the CE) IRR: absence of such ground is a ground for the dismissal of the petition for CE.

The company moved to dismiss the petition on the ground that union members were performing managerial functions and were not merely supervisory EEs. 1) Does the company have the standing to file the motion to dismiss? Explain. The reason why I am opting for (c) instead of (d) is because option (d) calls for the EZ Component’s filing of a petition for certification election with “the Bureau of Labor Relations”. 259 of the Code which tells us that it is the MED-Arbiter of the Labor Relations Division in the regional offices who hears and decides certification election and that appeal therefrom is not even to BLR but to the DOLE Secretary. this fact will all the more mean that no union won in the certification election. Book V. If the “no union” votes constitute a majority of the valid votes cast. 211 SCRA 95 (1992)] The Court would wish to stress once more the rule which has consistently pronounced in many earlier cases that a certification election is the sole concern of the workers and the ER is regarded as nothing more than a by-stander with no right to interfere at all in the election. Deny. Art. the ER’s Motion to Dismiss the Union’s Petition for Certification Election. 258 of the Code. an unorganized manufacturer of electric and electronic components for household appliances. or he proposed voter list. the company has no standing to file a Motion to Dismiss as the ER has no right to interfere in a purely union matter or concern. (2005 Bar Question) Q: PT&T Supervisory EEs Union filed a petition for the holding of a certification election among the supervisory EEs of the PT&T Company. Series of 2003). [Philippine Fruits and Vegetable Industries. especially: 1. Torres. or (d) Petition the Bureau of Labor Relations to conduct a certification election to determine which union really represents the majority of the EEs in the bargaining unit. Suggested answer: (d) Petition the BLR to conduct a certification election to determine which union really represents the majority of the EEs in the appropriate bargaining unit. Union A is led by a moderate faction. Which of the following courses of action should you take to best protect the interests of your company and EEs? (a) Recognize Union A as the rightful bargaining representative because it will be more reasonable to deal with. The petition shall be heard and resolved by the MED-Arbiter”. Proceed to hear the merits of the petition. the appropriation of the claimed bargaining unit. 2. 257 and 258 of the Labor Code. while Union B is affiliated with a militant federation identified with leftist ideology. Sec.of the contending unions. Another Suggested Answer: (c) Ignore the demands of either union since you cannot be compelled legally to deal with them at this stage. (b) Recognize Union B because you do not want to antagonize its leftist connections and foment interunion conflicts. how would you resolve the petition? 3) What is the proper remedy of an employer to ensure that the EEs are qualified to hold a certification election? Suggested Answer: 1) No. must be read alongside Art. Rule VIII. (c) Ignore the demands of either union since you cannot be compelled legally to deal with them at this stage. for lack of merit. you are suddenly confronted with demands for recognition and collective bargaining negotiations from two competing labor unions. A one-year bay will consequently stop the holding of another certification election to allow the employer to enjoy industrial peace for at least one year. Q: As Human Resources Department (HRD) manager of EZ Components. inclusion and exclusion of voters. Filing it with the Bureau of Labor Relations rendered (d) a wrong answer. 2) As the Med-Arbiter I will: a. as well as Art. v. and . Inc. which empowers the “Bureau” to entertain the petition for certification election of an ER. 2 of the Omnibus Rules Implementing the Labor Code (amended by DO 40-03. The company also alleged that a certified bargaining unit existed among its rank and file EEs which barred the filing of the petition. 2) If you were the Med-Arbiter. which implements Arts. is explicit that “a petition for certification election shall be filed with the Regional Office which issued the petitioning union’s certificate of registration / certificate of creation of chartered local. Cite Art. b. They both claim to represent all the rank-and-file EEs. 258. 212(b) of the Labor Code which defines “Bureau” to mean as the BLR and/or the Labor Relations Division in the regional offices … in the Department of Labor.

Negotiation/ Deadlock bar— no CE if a duly certified union has commenced and sustained negotiations with the ER within 1 year from its certification or there is a pending bargaining deadlock which has been submitted to conciliation or arbitration or has become the subject of a valid notice of strike or lockout Contract bar— no CE when there is an existing CBA which has been duly registered (a petition for CE may only be filed within the last 60 days of the 5th year of the CBA— freedom period) 3. ruled: “The procedure for a representation case is outlined (in the) Labor Code… the main purpose of which is to aid in ascertaining majority representation. Another suggested answer: No. he in fact disregarded this procedure and its legal requirements. or a run-off election. Certification year— no CE may be held within 12 months from a previous CE. hence. in Colgate Palmolive Phils.” (1998 Bar Question) Bars To A Petition For CE(negative requisites) 1. an employer has no standing in a petition for certification election because the purpose of a certification election is to determine who should be he collective bargaining representative of the EEs. There was therefore failure to determine with legal certainty whether the union indeed enjoyed majority representation. if the petition is in order. Ople (1988). But I will exclude those EEs found to be managerial from participating in the certification election. The petition for certification election was initiated by the Union. implying that they cannot be part of the bargaining unit for which a petition for certification election has been filed. The Supreme Court. (1996 and 1999 Bar Questions) Q: Can the Bureau of Labor Relations certify a union as the exclusive bargaining representative after showing proof of majority representation thru union membership cards without conducting an election? Suggested answer: The Bureau of Labor Relations cannot certify a union as the exclusive collective bargaining representative after showing of proof of majority representation thru union membership cards without conducting a certification election. but it could move for the exclusion of the EEs it alleged to be managerial EEs from the bargaining unit for which a petition for certification election has been filed. v. But in the case at bar. 3) The proper remedy of an ER to ensure that only the EEs are qualified to hold a certification election is to move for the exclusion of those whom he alleges to be managerial personnel. I will order the holding of the certification election. to set the date. xxx When an… official bypasses the law on the pretext of retaining a laudable objective.3. 257. v. Thus. Alternative Answer: 1) The company does not have the standing to file a motion to dismiss the petition for certification election. Inc. or voluntary recognition by ER 2. The Labor Code (in Arts 256. 2) As the Med-Arbiter. And managerial EEs under the LC are not eligible to form. As a general rule. the ER may have a standing because the petition for certification election involves personnel which the ER alleges to be managerial EEs. (Philippine Fruits and vegetable Industries.. or consent election. Inc. Torres). . When the (BLR) directly (certifies) a union. a certification is the concern of the EEs and not the ER. The requirements under the law… are all calculated to ensure that the certified bargaining representative is the true choice of the employees against all contenders. The fact that there is already a certified collective bargaining representative of the rank and file EEs of the Company is not a bar to the holding of a certification election for the determination of the collective bargaining representative of the supervisory EEs. the meaning or purpose of the law will lose its meaning as the law itself is disregarded. time and place of the election. the Bureau of Labor Relations cannot certify a union as the exclusive bargaining representative without conducting a certification election. 3) The ER has no remedy. To allow an ER to assert a remedy is an act of interference in a mater which is purely a concern of the Union. assist or join labor organizations. the ER is a total stranger or a bystander in the election process. 258) provides only for a certification election as the mode for determining the exclusive collective bargaining representative if there is a question of representation in an appropriate bargaining unit.

The application of technicalities of procedural requirements in certification election disputes will serve lawful objective or purpose. filed a petition for certification election during the freedom period obtaining in said corporation. (See Sec. But to have the above-mentioned effect. unless the petitioning union is not in the roster of LLO or the CBA is not registered. Q: Distinguish between “contract bar rule” and “deadlock bar rule”. (See Art 231. Alternative Answer: A petition for certification election may be filed outside the freedom period of a current CBA if such CBA is a new CBA that has been prematurely entered into. Trajano (1991)) . On July 14. a petition for certification election may be filed only during the freedom period of such CBA. (Samahan ng Manggagawa sa Pacific Plastic v. the Med-Arbiter issued an order calling for a certification election on July 25.” a certification election cannot be held if there is in force and in effect a CBA that has been duly registered with the DOLE except during the freedom period of such CBA which is the 60-day period prior to the expiry date of said CBA. Book V of the IRR of the LC) Q: in what instance may a petition for a certification election be filed outside the freedom period of a current CBA? Suggested Answer: As a general rule. (See Articles 231. 2001. (1999 Bar Questions) Grounds for denial of petition for CE  Petitioning union is not a LLO (not registered as a LLO or legal personality has been revoked or cancelled)  Petition violates any of the bars to CE  Petitioning union in an organized establishment fails to submit the 25% support requirement for the filing of the petition for CE Note: Any question pertaining to the validity of petitioning union’s certificate of registration or its legal personality as LLO. SIGAW questioned UNIDAD’s victory on the ground that UNIDAD was not a duly registered union when it filed a petition for certification election.* If the legitimacy of the petitioner union is under question in a proceeding seeking to cancel its registration. Shall SIGAW’s case prosper or not? Why? Suggested answer: No. Q: UNIDAD. shall be held and resolved by the Regl Director in an independent petition for cancellation of its registration (not by the MedArb in the petition for CE) . During the elections. 3. in an establishment where there is in force and effect a CBA. Despite the opposition thereto by SIGAW Federation on the ground that UNIDAD was not possessed with all the attributes of a duly registered union. The filing of the petition for certification election shall be within the freedom period of the old CBA which is outside the period of the new CBA that has been prematurely entered into. 253-A and 256) Under the “deadlock bar rule” a certification election can not be held if a bargaining deadlock to which an incumbent or certified bargaining agent is a party had been submitted to conciliation or mediation or had become a subject of a valid notice of strike or lockout. it was entered into before the expiry date of the old CBA. This Order was promulgated and served on the parties on July 12. 2001. Laguesma (1997)) and that the law is indisputably partial to the holding of a certification election. Suggested Answer: Under the “contract bar rule. UNIDAD submitted and served the required documents for its registration as an independent union. 2001. a CBA that has not been filed and registered with the DOLE cannot be a bar to a certification election and such election an be held outside of the freedom period of such CBA. 253-A and 256) Thus. meaning. a labor organization claiming to represent the majority of the rank and file workers of BAGSAK Toyo Manufacturing Corp. UNIDAD won over SIGAW. or validity of registration and execution of CBA. such question must first be filed before its petition for CE may be granted. which documents were approved by the DOLE on July 15. (Western Agusan v. It is a statutory policy that no obstacles should be placed on the holding of a certification election. 2001. SIGAW’s case will not prosper. Rule XI. the CBA should have been filed and registered with the DOLE.

(2004 Bar Question) PART 5 COLLECTIVE BARGAINING DUTY TO BARGAIN COLLECTIVELY (Art. separation and unemployment benefits. 5. GSIS and PHIC undertaken pursuant to their respective charters. (2001 Bar Question) -o0o0o0oQ: 1. with or without the intervention of the Department of Labor and Employment. on the other hand. and legitimate union status was accorded on July 15. however. including in the case of GSIS. social security and union security Suggested Answers: 1. Social Security is the protection given by social insurance programs such as the program of the SSS. (also maternity in the case of SSS) disability. including the employees’ compensation program provided for in the Labor Code. 5. A certification election and a consent election are both elections held to determine through secret ballot the sole and exclusive representative of the employees in an appropriate bargaining unit for the purpose of collective bargaining negotiations. 4. Closed shop. in a general strike. workers go on sympathy strike to show their sympathy for certain workers who are on strike. On the other hand. or retirement. The aforesaid programs provide income benefits and/or medical care when contingencies like sickness. In both kinds of strike. 2000. 4. the strike is not the result of a labor or industrial dispute. 3. A certification election is ordered by the Department of Labor and Employment while a consent election is voluntarily agreed upon by the parties. Distinguish clearly but briefly between: Sympathy strike and general strike company union and union shop lock-out and closed shop consent election and certification election. n 2001. workers in the country or in a region. UNIDAD completed all the requirements for union registration on July 14. a general strike may be declared by workers to publicly protest the stand of President Arroyo that she is against a increase of the minimum wage at this time. 2. On the other hand. Promptly and expeditiously b. refers to a union security clause in a collective bargaining agreement whereby the employer agrees not to employ any person who is not a member of the exclusive bargaining representative of the employees in a bargaining unit. refers to a union security clause in a collective bargaining agreement whereby the employer agrees to terminate the employment of an employee who ahs not become a member of the union which is the exclusive bargaining unit within a certain period after the employment of said employee or has ceased to become a union member. 3. 250-253) — performance of a mutual obligation of ER and EEs (through the SEBA): When there is no CBA (1) To meet and convene a. PURPOSE: Executing a contract with respect to (bargainable issues): (i) Wages (but parties may not set a wage lower than minimum wage . or at least 10 days before the scheduled date for holding the certification election. A company union is a union of employees dominated or under the control of the employer of said employees. In good faith . As the name implies. In both sympathy strike and in a general strike. Lockout refers to the temporary refusal of an employer to furnish work as a result of a labor or industrial dispute. on the other hand. There is this difference. or city or municipality go on strike to publicly protest a certain policy or action taken by the government.parties deal with each other with open and fair mind and sincerely endeavor to overcome obstacles between them c. Thus. 2. death. for instance. there is stoppage of work by the concerted action of employees. A union shop. union security refers to a clause in a collective bargaining agreement whereby the employer agrees to employ or continue in employment only workers who are members of the exclusive collective bargaining representative of the employees of said employer in a bargaining unit. province.At any rate.

› While it is a mutual obligation of the parties to bargain. 1986) If these jurisdictional preconditions are present. either party may request for a conference which shall begin not later than 10 calendar days from request (d) If the dispute is not settled. 250): (a)Party desiring to negotiate shall serve a written notice upon the other party with a statement of its proposals. in grossly violating the economic provisions of the CBA › › › COLLECTIVE BARGAINING PROCEDURE Follow CBA procedure for collective bargaining. Violation of the duty to bargain collectively = ULP (which is a ground for holding a strike by the EEs or declaration of a lockout of ER). follow this procedure (Art. The mechanics of collective bargaining are set in motion only when these jurisdictional preconditions are present: 1. (b) Other party shall reply later than 10 calendar days from receipt. (e)The Board shall exert all efforts to settle disputes amicably and encourage the parties to submit their case to a voluntary arbitrator. failure or refusal to meet and convene 2. 253. When there is a CBA—all the foregoing PLUS (4) Neither party to the CBA may modify nor terminate the CBA during its lifetime.253-A) Political Aspect (representation)— 5 years Economic Aspect— renegotiation of provisions other than the representations aspect shall not be later than 3 years after its execution    At least 60 days prior to expiration date— either parties may serve a written notice to terminate or modify During the 60-day period or until a new CBA is reached— the parties shall keep the status quo (automatic renewal) Retroaction: . in evading the purposes of bargaining 3. Make a concession. the ER is not under any legal duty to initiate contract negotiation. and all other terms and conditions of employment in a BU Terms of the CBA (Arts. COLLECTIVE BARGAINING AGREEMENT (CBA)— refers to the contract between legitimate labor organization and the ER concerning wages. If no CBA or voluntary agreement providing for a more expeditious manner. in not observing good faith in bargaining 4. 251. the collective bargaining should begin within 12 months following the determination and certification of the EEs’ SEBA. Parties are prohibited from doing any act which may disrupt or impede the early settlement of the disputes.(ii) Hours of work (iii) All other terms and conditions of employment including proposals for adjusting any grievances or questions arising under such agreement (2) Executing a contract incorporating such agreements if requested by either party (3) BUT such duty does not compel any party to a. the Board shall intervene and call the parties to conciliation meetings. (c)If there are differences on the basis of notice and reply. hours of work. Proof of majority representation. Possession of the status of majority representation of the EEs’ representative. 250 (a) (Kiok Loy v. NLRC. This is the certification year. and 3. Demand to bargain under Art. This is committed in these ways: 1. Agree to a proposal or b. 2.

2. however. citing the provisions in Art 253. neither one moved for the extension or termination of the agreement. LC) Alternative Answer: The mechanics of collective bargaining are set in motion only when the following jurisdictional preconditions are met: (1) possession of the status of majority representation of the employees’ representative in accordance with any of the means of selection or designation proved for by the Labor Code. 24. Te labor organization should be a legitimate labor organization. (2)proof of majority of representation. LC which requires the parties to “xxx keep the status quo and to continue in full force and effect the terms and conditions of the existing agreement during the 60-day period and/ or until a new agreement is reached by the parties”. The employees in a bargaining unit should form a labor organization. 1992 only. A. pursuant to contract and law. 260) (7) Duration of contract Q: What matters are considered mandatory subjects of collective bargaining? Suggested Answer: Wages. maintained that the annual salary increases and related benefits specifically provided for in the CBA were. 258. 255 and 250. and 4.- If new CBA is reached within 6 months from expiration date— retroact to the day immediately following such date. LC. (Arts. Who is correct? State the reason/s for your answer. . these jurisdictional requirements pre-conditions must be present. namely: 1. The labor organization as the collective bargaining representative should request the employee to bargain collectively. LC) Q: What jurisdictional pre-conditions must be present to set in motion the mechanics of a collective bargaining? Suggested Answer: To set in motion the mechanics of collective bargaining. and all other terms an conditions o employment including proposals for adjusting any grievances arising from the collective bargaining agreement are considered mandatory subjects of collective bargaining. 3.” (1999 Bar Question) Q: Company A and union B negotiated the last two years of their five-year CBA on April 1. and (3) a demand to bargain under Art 251(g). 2000) Contents (1) Enumeration or reservation of management rights (2) Union recognition and security (3) Wage and fringe benefits and their administration (4) Physical working condition (5) Selected personnel management and plant operation practices (6) Grievance and arbitration (Art. If beyond 6 months— parties shall agree on duration of retroactivity If CBA resulting from an arbitration award— Sec. should be recognized or certified s he collective bargaining representative of the employees of t bargaining unit. hours of work. of Labor’s determination of retroactivity date shall control (MERALCO v. effective only for the term specified therein. namely. 1992 considering the amicable relations between the parties. Quisumbing. some disgruntled employees filed a compliant demanding that they be paid annual salary increases and other related annual increases specified in the CBA of April 1990. until March 31. (Art. 253) which states that “it shall be the duty of both parties (to a CBA) to keep the status quo and to continue in full force and effect the terms and conditions of the existing agreement during the 60-day period and/or until a new agreement is reached by the parties. Sometime in 199.NLRC) (1996 Bar Question) Q: What is the “automatic renewal clause” in a CBA? Suggested Answer: The “automatic renewal clause” in a CBA refers to that provision of the Labor Code (Art. (Kiok Loy v. 1990 to expire on March 31. As such legitimate labor organization. 243.

Inc.. Bickering among all the three other unions in the bargaining unit was a daily occurrence. To resolve this pestering problem. and was accordingly recognized by the Company as the exclusive bargaining representative in the bargaining unit. In the consent election. (Art 232. Suggested answer: .? Explain.. Pids and Co. Workers Union bound by the CBA signed between the Company and the Samahan ng mga Manggagawa sa Pids and Co. assuming it has been validly ratified and contains the mandatory provisions. The SC ruled in New Pacific Timber and Supply Co. the Company and the three other unions agreed to hold a consent election under the supervision of the Bureau of Labor Relations. it must be understood as encompassing all the terms and conditions in the agreement. Is the Pids and co. Rule XVII) When to File Who will file Where to File Within 30 days from execution of agreement Parties to the CBA Regional Office which issued the certificate of registration / certificate of creation of chartered local If the certificate was issued by the BLR. Inc. Inc. they are duty bound to keep the status quo and to continue in full force and effect the terms and conditions of the existing agreement. a law student. (2001 Bar Question) Registration of the CBA (Book V. Javier is neither an employee of the Ang Sarap Kainan Company nor a member of the union. LC as basis. the law does not require that the bargaining representative be an employee of the company nor an officer or member of the union (Art 212 (j). NLRC (2000) “Art 253 of the Labor Code explicitly provided that until a new Collective Bargaining Agreement has been executed by band between the parties. lost its majority status in the bargaining unit one year after the signing of the CBA. therefore. LC. Mr. v..Suggested answer: The disgruntled employees are correct in their claim that the expired CBA remains in full force and effect until a new CBA is signed in accordance with Art 253. Is the appointment of Mr.” Another suggested answer: With Art 253. the disgruntled employees should be paid the annual salary increases and other related annual increases provided in the 1990-1992 CBA even after the expiration of said CBA as long as said CBA did not provide that said increases were to be paid only for certain specific years. CBA shall be filed with the Regl Office which has jurisdiction overt he place where it principally operates Multi-ER bargaining— filed with BLR 2 duly signed copies of (certified under oath): (1) The CBA (2) Statement that the CBA was posted in 2 conspicuous places in the establishment at least 5 days before ratification (3) Statement that the CBA was ratified by at least majority of the employees in the bargaining unit Documents must be certified under oath by the representatives of the employer and labor organization. as bargaining representative. Suggested answer: Yes. Javier as a bargaining representative in accord with law? Explain. Payment of registration fee What to File Other requirements • A registered CBA is a bar to a petition for CE (contract bar) Q: The Ang Sarap Kainan Workers Union appointed Juan Javier. why? Suggested answer: So that the contract bar rule may apply. LC) Q: A CBA was signed between the Ang Sarap Kainan Workers Union and the Ang Sarap Kainan Workers Union. LC) Q: The Samahan ng mga Manggagawa sa Pids and Co. the CBA should be registered. The law does not provide for any exception or qualification as to which of the economic provisions of the existing agreement are to retain force and effect. with each union asserting majority status. Workers Union won. Should the CBA be registered with the Bureau of Labor Relations? If so.

labor contracts being binding only between the parties. (2005 Bar Question) CBA Provision on Grievance Procedure (Art.Yes. General rule: There is no law requiring a bona fide purchaser of assets of an ongoing concern to absorb in its employ the employees of the latter. In case the parties fail to select. is M Metro Manila Grocery Inc. Q: May a rank-and-file EE. However. A bona fide sale terminates the employment relationship between the selling company and its employees. • Grievances submitted to the machinery not settled within 7 calendar days from submission shall automatically be referred to voluntary arbitration prescribed in the CBA. as the new employer. By reason of this intra-union dispute within PAFLU. 260)— machinery established by the CBA for the adjustment and resolution of grievances arising from (“grievance” is limited to these only): (1) the interpretation or implementation of the CBA and (2) those arising from the interpretation or enforcement of company personnel policies. there will be discrimination which is prohibited by law. The CBA does not bind the purchaser in good faith because the CBA is a contract in personam. NLRC (1993)) (2000 Bar Question) Effect of Substandard CBA—ground for cancellation of union registration Beneficiaries of CBA—all EEs in the collective bargaining unit. unless the buyer agrees to be bound. After having been certified as the exclusive bargaining agent of the appropriate bargaining unit. J&J obstinately and consistently refused to offer any counter-proposal and to bargain collectively wioth JEU-PAFLU until the representation issue within PAFLU shall have been resolved with finality. [New Pacific Timber v. JEU-PAFLU submitted its proposals for a CBA with the company. The Secretary of Labor subsequently assumed jurisdiction over he labor dispute. Pids and Co. And all were absorbed by Metro Manila Grocery Inc. or include in the agreement a procedure for the selection of such. The beneficiaries of a CBA include Non-Union members. labor contracts (such as employment contracts and CBAs) are not enforceable against a transferee of an enterprise. BC Employees (1968)) Q: Shortly after the consent election. JEU-PAFLU filed a Notice of Strike. There are no indications that the sale is simulated or intended to defeat the employees’ right to organize.. otherwise. . Gabriel Miro. Its rank-and-file workers organized the Jenson EEs Union (JEU). Inc. The CBA must designate in advance a Voluntary Arbitrator (VA) or panel of VAs. a national union. Manny Pakyao. the employees of the sold division formed part of the bargaining unit described in the CBA. sold the Groceries division to Metro Manila Grocery Inc. because the CBA is not invalidated by the change of the bargaining agent while the CBA is still effective. the NCMB shall designate the VAs or panel of VAs. (Associated Labor Unions v NLRC. avail of the wage increases which the union negotiated for its members? Suggested Answer: Yes. and its National Secretary General. Suggested answer: No. 1991) Q: FACTS: Jensen & Jensen (J&J) is a domestic corporation engaged in the manufacturing of consumer products. the parties are liable to the employees if the transaction is colored or clothed with bad faith. a duly registered local union affiliated with PAFLU. (Benguet Consolidate Inc v. a power struggle occurred within the national union PAFLU between its National President. bound by the CBA existing at the time of the sale? Explain. (Associated Labor Union v. The representation issue within PAFLU is pending resolution before the Office of the Secretary of Labor. who is not a member of the union representing his bargaining unit. 328 SCRA 424 (2000)]. NLRC. A grievance procedure is a “must” provision in any CBA and no CBA can be registered in the absence of such procedure.. In the meantime. • • CBA and 3rd Party Liability • Unless expressly assumed. including those who do not belong to the labor organization (union).

Inc. Suggested Answer: The representation issue that has arisen involving the national union PAFLU should not bar collective bargaining negotiation with J&J. . Therefore. 247-249) . rates of pay. it is the local union that has the right to bargain with the ER J&J. recovery of civil liability in the administrative proceedings shall bar recovery under the Civil Code. [Adamson and Adamson. and not the national union PAFLU. ULP of employers and Art. possesses the legal standing to negotiate with the corporation. (1999 Bar Question) PART 6 UNFAIR LABOR PRACTICE UNFAIR LABOR PRACTICES (Arts. If the consumer products that are being manufactures are not such that a strike against the company cannot be considered a strike in an industry indispensable for the national interest. 263 (g)] assumes jurisdiction over a labor dispute causing or likely to cause a strike or lockout in an industry indispensable to the national interest. Secretary of Labor. 248.Disrupt industrial peace . the negotiations are confined to the corporation and the local union JEU. Suggested Answer: Any three from the enumeration in Art. bar collective bargaining negotiation with J&J? Explain briefly. Suggested Answer: Unfair labor practice means any unfair labor practice as expressly defined by the Labor Code (Arts. The Secretary of Labor can decide the labor dispute by awarding the JEU CBA proposals as the CBA of the parties because when the Secretary of Labor [under Art. the local union JEU. Only the collective bargaining agent. to which the duly registered local union JEU is affiliated. the Secretary of Labor exercises the power of compulsory arbitration over the labor dispute. the Secretary of Labor now has the power to set or fix wages. Said squabble could not possibly serve as a bar to any collective bargaining since PAFLU is not the real partyin-interest to the talks.Violate the constitutional right of workers and employees to self-organization . It is immaterial whether the representation issue within PAFLU has been resolved with finality or net. 249 ULP of labor organizations. he cannot legally exercise the powers of compulsory arbitration in the labor dispute.1. hours of work or terms and conditions of employment by determining what should be the CBA of the parties. rather. Essentially. Will the representation issue that has arisen involving the national union PAFLU. Can the Secretary of Labor decide the labor dispute by awarding JEU CBA Proposals as the CBA of the parties? Suggested Answer: Yes. LC).Violations of the civil rights of both labor and management and criminal offenses against the State Q: Define unfair labor practice. 213 SCRA 759) Alternative Answer: What is involved in the case in the question is a corporation engaged in the manufacturing of consumer products. CIR and Adamson and Adamson Supervising Union (FFW). agents or representatives which has the effect of preventing the full exercise byb employees of their rights to self-organization and collective bargaining. A duly registered local union affiliated with a national union or federation does not lose its legal personality or independence. an unfair labor practice is any act committed by an employer or a labor organization. 248 and 249. 127 SCRA 268 (1984)] 2. ten the assumption of jurisdiction by the Secretary of Labor is not proper. v. meaning that as an exception to the general rule. (1996 Bar Question) Civil aspect may include claims for damages under Labor Arbiter’s jurisdiction. Q: Give three examples of ULP on the part of the employer and 3 examples of ULP on the part of the labor union. (See Divine Word University vs. its officers.

And even with such final judgment in an administrative case. It has a technical meaning. members of governing boards. However. Then. Most of its members have worked in the mill for 10 to 15 years with no improvement in working conditions and monetary benefits.Criminal prosecution . 1973) • • Q: Around 100 workers of a mill in a coconut plantation organized themselves for the purpose of promoting their common interest and welfare. but against the background of collateral circumstances. LC expressly so provides. 248-249). in such a way as to hamper their exercise of free choice constitutes ULP ( Philsteam v. have the workers’ association file a ULP case against the employer. * Not every unfair act is ULP. (2005 Bar Question) Elements of ULP (1) ER-EE Relationship (2) Act done must be specifically defined as ULP in the Code (Arts. reps. still. the final judgment would not be binding in t he criminal case. 1971 ) Interference and restraint of demonstrations held purely as an exercise of freedom of expression and right of assembly constitute ULP. the 2nd paragraph of Art. Phil Marine Officers Guild. The last paragraph of Art. or surveillance thereof constitutes ULP ( Insular Life Assurance Employees Assn v. Q: Is the commission of an unfair labor practice by an ER subject to criminal prosecution? Answer: Yes. 217(a)(1). The leaders of the workers’ association approached you and asked: What legal steps could they take to protect their security of tenure? What advice could you give them? Suggested Answer: I would advise them to register the worker’s association with the Department of Labor and Employment. The worker’s association prepared a petition for increasing the daily pay of its members in compliance with minimum wage rates for their sector in the region. (1) Interference.needs final judgment (in the civil case) that ULP was committed before criminal prosecution Who are criminally liable? If ULP of ER—only the officers and agents of corps who have actually participated in. Another Suggested Answer: . Insular Life Assurance. ( Phil Blooming Mills Employees Assn v Phil Blooming Mills. LC. restraint or coercion of EEs in their exercise of right to self-org— broadest of all the 9 proscriptions • Subjection by the company of its EEs to questionings regarding their union memberships or activities. Neither would such final judgment be considered as evidence in the criminal case. At best. 1965) Espionage by an ER of union activities. or agents or members of LOs or associations who have actually participated in. the workers became restless and anxious after the owner-manager threatened them with mass lay-off if the association would press for their demands. authorized or ratified ULPs shall be held criminally liable. and for granting benefits to which they are entitled under the law. 247. It has to be related to the right to selforg and to the observance of the CBA ULP of ERs Totality of Conduct Doctrine — culpability of an ER’s remarks is to be evaluated not only on the basis of their implications. 247 provides that no criminal prosecution for unfair labor practice may be made without a prior final judgment in an unfair labor practice administrative case (filed before the Labor Arbiter of the NLRC pursuant to Art. If ULP of LOs— only the officers. it would only serve as proof of compliance of the required prior exhaustion of administrative complaint. authorized or ratified ULPs shall be held criminally liable.

Art. an action for unfair labor practice can be filed (Sec. the fact that the EE is engaged in union activities will not prevent the ER from discharging the EE for cause. LC guarantee the right of workers to participate in policy and decision-making processes which affect their rights and benefits. there should be:  a clear and unequivocal statement that loss of good standing in the union is a cause for dismissal. (3) Contracting out services or functions being performed by union members to discourage unionism (subcontracting)  It is ULP when it is motivated by a desire to prevent his EEs from organizing and selecting a collective bargaining representative. an action for illegal dismissal is an available remedy. .It is discrimination favoring unionism.g.All EEs in the BU covered by a closed-shop agreement are subject to its term except: . dominate. Sec. 279. NLRC) (2001 Bar Question) (4) To initiate.  Union security clause— any form of agreement which imposes upon the EEs the obligation to acquire or retain union membership. including money value of benefits. When this right to security of tenure is violated. 279. XIII. without prior consultation. Sec 3 of the Constitution. It is a valid kind of discrimination. 3.LC). restrain. Is the union’s stand valid or not? For what reason/s? Suggested answer: The union’s stand is not valid. LC) guarantees of security of tenure. assist or otherwise interfere with the formation or administration of any labor org.To validly dismiss an EE under this. the company may no longer engage in contracting out these types of services. 1987 Constitution) and statutory (Art. Art 248 (c). Job contracting will undoubtedly and directly affect their rights. 243. the workers will be entitled to full backwages.The workers are entitled to the constitutional (Art XIII. If successful. The fact that a lawful cause for the dismissal is available is not a defense where the EE is actually discharged because of his union activities. LC). otherwise their employment will be terminated. including the giving of financial or other support to it or its organizers or supporters (company-domination of union) (5) Discrimination to encourage / discourage membership in any labor org  If the discrimination is to influence the union activity of EEs. management classifies jobs and grants them varying levels of pay of benefits) Test WoN dismissal is discriminatory : look at the reason. . task. But the discrimination is not the same as differentiation or classification (e. benefits and welfare.  Not ULP when it is for business reasons Q: company “A” contracts out its clerical and janitorial services. If they are dismissed because of union activities. . It is part of management prerogative to contract out any work. and reinstatement without loss of seniority (Art. In the negotiations of its CBA. (PAL v. Art. LC) Another suggested answer: The union’s stand that there must be a prior consultation by the employer with the union before contracting out can be effected is valid. Art XIII. or coerce employees in the exercise of their rights to selforganization. (2004 Bar Question) (2) To require as a condition of employment that a person or an EE shall not join a labor org or shall withdraw from one which he belongs ( yellow dog contract) – non-union membership or withdrawal from membership as a condition of employment. the discrimination is unlawful. 3. and Art 255. the union insisted that.But this union shop stipulation should be strictly construed. job or project that it is an unfair labor practice to contract out services or functions performed by union members when such will interfere with. and  ER must observe due process . henceforth. But if the dismissal was actually motivated by a lawful reason. which services the union claims to be necessary in the company’s business..

The above agreements are legal or they are expressly allowed by the Labor Code. ground for termination After due process is observed If disaffiliates from union. (a) Is the CBA provision valid? Suggested Answer: No. those who are not members of the BU) Hiring Union Shop EEs have access to labor market. The members of the sect protested and demanded that the wage increase be extended to them. An “agency shop agreement” is different from a closed shop agreement in that under the former. the employer binds itself to check off from those who are not union members of the collecting bargaining representative reasonable fee equivalent to the des and other fees paid by union members I the non-union members accept the benefits of the CBA. (1997 Bar Question) Q: A group of EEs in XYZ Factory belonging to a religious sect. Does it differ from an “agency shop agreement”? Are the above agreements legal? Answer: A “closed shop agreement” is that agreement embodied in a collective bargaining agreement (CBA) whereby the employer binds itself not to hire any person unless he is first a union member of the collective bargaining representative. V. The officers of the union countered by demanding their termination from the company pursuant to the “closed shop” provision in the just-concluded CBA. 8 SCRA 805 (1963)]. and (3) EEs excluded from the closed-shop agreement by express terms (also. refused to join the labor union in the factory. Instead. If not a member at anytime. San Miguel Brewey. Continued Employment After some time. Can be hired even if not union member. the employer does not bind itself not to hire a person unless he is first a union member of the collective bargaining representative. because to withhold the same from non-union members would be to discriminate against them.(1) An EE who at the time the closed-shop agreement takes effect is a bona fide member of a religious org which prohibits its members from joining labor unions based on religious grounds (2) EE already members of a union other than the majority at the time the closed-shop agreement took effect. [National Brewery & Allied Industries Labor Union of the Phils. EE must become a member Ground for Termination If the EE does not join the union after reasonable time. A provision therein stated that the wage increase would be paid to the members of the union only in view of a “closed shop” union security clause in the new agreement. The benefits of a CBA are extendible to all EEs regardless of their membership in the union. the CBA provision is not valid. otherwise ground for termination process is . grounds for termination After due observed Closed Shop/ Agency Shop Q: Describe a “closed shop agreement”. in conformity with the teachings and dictates of their religion. (b) Should the company comply with the union’s demand of termination the members of the religious sect? Closed Shop EE must become a member at the time of hiring Must be a member all through-out Maintenance shop Already a member at the time of hiring Must maintain membership. it will be a ground for termination After due process is observed. The labor union was able to negotiate a substantial wage increase in its collective bargaining agreement with the management.

1. YY and ZZ. According to the Labor Code [Art. AWOL. (2005 Bar Question) Q: FACTS: In a certification election conducted by the Department of Labor. the Union demanded the dismissal of 3 employees. Upon receipt of the notice that Francis Magallona failed to maintain his membership in good standing with AWOL. YY and ZZ had been recently promoted as supervisors and resigned from the Union. LTC summarily dismissed him from employment. won over Pangkat ng mga Manggagawa sa Laguna (PML). . 2. After signing of the 2000-2005 CBA. religious freedom takes a preferred position and the right to contract must yield.Suggested Answer: No. thereafter. rather. In the hierarchy of values. they shall be dismissed pursuant to the closed shop provision of the CBA. Yes. The collective bargaining agreement contained union shop security provisions. In the case of Victoriano v. Is the termination from employment of Francis Magallona by LTC lawful? Why? Suggested Answer: Pursuant to the closed shop provision of the CBA entered into by AWOL with LTC. the CBA provision which is contractual in nature must not prevail over the duty to respect the workers’ constitutional right to religious freedom. accordingly. Does the union security clause sufficiently justify the demand for dismissal of the three employees or not? May the Hotel Management validly refuse the Union’s demand? Suggested Answer: No. XX. a CBA was conducted by LTC and AWOL which provided for a closed shop. a closed shop provision cannot be applied to those EEs who are already members of another union at the time of signing of the CBA. Francis Magallona. pursuant to the union security clause in the CBA. Can Eddie Garciaa and all the PML members be required to become members of the AWOL pursuant to the closed shop provision of the CBA? Why? Suggested Answer: Eddie Garciaa and all the PML members can not be required to become members of AWOL pursuant to the closed shop provision of the CBA. The law does not require a promoted supervisor to resign upon promotion from their membership in the rank and file union. The union security clause does not justify the dismissal of the promoted supervisors who were formerly members of the rank and file union. the company should not comply with the union’s demand. then it was lawful for LTC to terminate Magallona. The Hotel Management may validly refuse to dismiss the supervisors. demanded that Eddie Garciaa and all the PML members be required to become members of AWOL as a condition for their continued employment. For one reason or another. religious freedom is superior to the freedom to contract. But according to the Union. Panel: The termination is unlawful (Ferrer v. said the union officers. Hence. For it appeared that XX. 248 (e)]. As long as the expulsion of Francis Magallona from AWOL was done in accordance with applicable provisions of law and with the Constitution and By-Laws of the AWOL. membership in AWOL has become a condition of employment in LTC. by operation of law. otherwise. It might even be construed as unfair labor practice. Shortly. That could be viewed as rewarding employees for their disloyalty to the union. As supervisors. Consequently. headed by Eddie Garciaa. was expelled from the union membership for acts inimical to the interest of the union. they can no longer continue their membership with the rank and file union. 2000. The union security clause of the CBA also provided for the dismissal of the EEs who have not maintained their membership in the union. AWOL was certified as the exclusive bargaining agent of the rank-and-file EEs of the Laguna Transportation Company (LTC). Elizalde Rope Workers’ Union. The Union argued that the Hotel Management could not skirt its obligation to respect and implement the union security clause by promoting the three employees. NLRC) (1999 Bar Question) Q: MPH Labor Union is the duly certified bargaining representative of the rank and file employees of MM Park Hotel since the 1970’s. 59 SCRA 54 (1974)]. Associated Workers Organization in Laguna (AWOL) headed by Cesar Montayo. a member of AWOL. the three submitted their resignations outside the freedom period after the 1996-2000 CBA expired on June 30. they are no longer covered by the CBA of the employer and the rank and file union. The Hotel Management replied that it was legally impossible to comply with the demand of the Union.

flagrant and malicious refusal to comply with the economic provisions of the CBA (cf. Strike [(Art. changing or arranging the terms and conditions of employment. discharge.e. regardless of whether the disputants stand in the proximate relation of ER and EE. However. a labor org shall have the right to prescribe its own rules re membership. violation must be gross.  The only difference is in the identity of the doer. It is a juicy deal between the ER and the bargaining agent. maintaining. ULP of Labor Orgs (1) To restrain or coerce EEs in their exercise of right to self-org. STRIKE/ LOCKOUT  The law treats strike and lockout similarly because both connote the temporary stoppage of work in relation to a labor dispute. PART 7 UNION CONCERTED ACTIVITIES (Arts. or form separate labor organizations of their own. i. 261). including discrimination on the basis of membership/ non-membership in the org (3) Violation of duty to bargain collectively (4) To cause an ER to pay money or other things of value. or otherwise prejudice or discriminate against and EE for having given or being about to give testimony under this Code. a CBA does not substantially improve the EEs’ wages and benefits.e. Not even the ten percent (10%) of your members will join the strike.Art. then it is not ULP. in the nature of an exaction. (2004 Bar Question) (6) To dismiss. then it is not ULP. or amount of time consumed.. 212 (l)]—— includes any controversy or matter concerning terms or conditions of employment or the association or representation of persons in negotiating. fixing. flagrant and malicious refusal to comply with the economic provisions of the CBA (cf. 212 (p)]—any temporary refusal of an ER to furnish work as a result of an industrial or labor dispute. to work on a particular job. Art. i. (7) To violate the duty to bargain collectively (8) To pay negotiation or atty’s fees to the union or its officers or agents as part of the settlement of any issue in collective bargaining or any other dispute (9) Violation of the CBA— to constitute ULP. If not gross.. * if not based on a labor dispute= illegal strike Lockout [(Art. 245 of the Labor Code provides that supervisory employees shall not be eligible for membership in a labor organization of the rank and file employees but may join. assist. Q: a division manager of a company taunted a union officer two days after the union submitted to the DOLE the result of the strike vote. including the demand for fee for union negotiations (featherbedding/ make-work schemes)—spreading or creating employment by unnecessarily maintaining or increasing the number of EEs used. 263-266) LABOR DISPUTE[(Art. 212 (o)]—any temporary stoppage of work by the concerted action of EEs as a result of an industrial or labor dispute. Art. violation must be gross. If not gross. (2) To cause ER to discriminate against an EE. (6) To violate a CBA—to constitute ULP. for services which are not performed. (5) To ask for or accept negotiations or atty’s fees from ERs as part of the settlement of any issue in CB or other dispute (sweetheart contract)— here. 261). The division manager said: “Your union threat of an unfair labor practice strike is phony or bluff.” To prove union .

g. An illegal strike is a cause for the union officer to be declared to have lost its employment status. [See Interphil Laboratories EEs Union-FFW v. LC) (2000 Bar Question) Q: Eaglestar Company required a 24-hour operation and embodied this requirement in the employment contracts of its EEs.. dismissal from employment of union officers) who files? the exclusive bargaining agent. the union may take action immediately (i. It is not contrary to law. Two hours after the walk-out the workers voluntarily returned to work. 2000 (Maundy Thursday). The above-mentioned agreement that the EEs voluntarily entered into is valid. 263) (1) Bargaining deadlock (economic strike) (2) ULP When ULP is found to have been actually committed. good customs. 263) *Note: ER or labor org must have first bargained collectively (1) filing notice of strike/ lockout (cooling-off period)  If bargaining deadlock—30 days before intended date who files? Only the exclusive bargaining agent If ULP— 15 days before intended date except in case of union busting (i. LC) Yes. Was the walkout a strike? And if so. the union officers and members who were supposed to be on duty did not report for work..e. The EEs agreed to work on Sundays and Holidays if their work schedule required them to do so for which they would be paid additional compensation as provided by law. the union filed a notice of strike. (Art 263 (c)(d)(e)(f). although found subsequently as not committed (“good faith strike”) Procedure (Art. (l). when the workers did not report for work when by agreement they were supposed to be on duty.e. Neither did they report for work on April 21 (Good Friday) and on April 22 (Black Saturday). Last March 2000. Suggested Answer: The contention of the union is NOT correct. Is the contention of the union correct? Explain briefly. the employer may discipline the union officer. it was a strike because there was a work stoppage by concerted action and there is an existing labor dispute. Interphil Laboratories Inc. It is provided in the agreement that if they will work Sundays or Holidays that they will be aid additional compensation as provided by law. it is clear that the EEs agreed to work on Sundays and Holidays of their work schedule required them to do so for which they would be paid additional compensation as provided by law. The union denied it had gone on a strike because the days when its officers and members were absent from work were legal holidays. there was a temporary stoppage of work by the concerted action of the EEs as a result of an industrial or labor dispute because they were on strike. public order or public policy. 2001] (2002 Bar Question) Valid grounds for strike or lockout (Art. Art 264 (a). but who likewise voluntarily led the workers back to work. e. they can disregard the 15-day cooling-off period) but only after the strike-vote is obtained and results submitted to the NCMB at least 7 days before the intended date of strike/ lockout (this 7day period cannot be disregarded)   . or if none. disrupting the factory’s operations and causing it huge losses.. On April 20. while conciliation meetings were pending. Upon Eaglestar’s petition. the Secretary of Labor certified the labor dispute to the NLRC for compulsory arbitrator. (Art 212 (o). Neither is the agreement contrary to morals. 19.members support for the strike. where existence of union is threatened. It was not a valid activity because the requisites for a valid strike were jot observed. or When the union/ ER believed in good faith that ULP was committed. be disciplined by the employer? Suggested answer: Yes. was it a valid activity? Can the union officer who led the short walkout. In the case. Thus. the union officer immediately instructed its members to crease working and walkout. Dec. the LLO affected by the ULP (remember: only a legitimate labor org can legally hold a strike) In case of union busting.

But for a union member to lose his employment status. the Supreme Court has ruled that noncompliance of the requirements of notice or a strike vote or of the waiting periods makes a strike an illegal strike. Oakwood illegally dismissed the union members. including Cesar Tinio. . all those who participated therein.obtained by secret ballot in meetings for that purpose › decision is valid for the duration of the dispute based on substantially the same ground as when the vote was taken. he should have committed illegal acts during the strike. like acts of violence. the cooling-off period and the 7-day period are counted separately) Q: Magdalo. The union members. coercion or intimidation or obstruction of ingress to or egress from the employer’s premises for lawful purposes or obstruction of public thoroughfares. No strike may be declared without first having filed a notice of strike or without the necessary strike vote having been obtained and reported to the National Conciliation and Mediation Board. Notice about a strike vote should be given seven days before the intended strike. Decision to declare a strike / lockout . (2003 Bar Question) Q: What are the statutory requisites for a valid strike by the workers? Should these requisites be complied with substantially or strictly? Suggested Answers: 1. the union officers were legally dismissed. No strike can be declared after assumption of jurisdiction by the Secretary of Labor and Employment or after certification or submission of the dispute to compulsory or voluntary arbitration ar during the pendency of cases involving the same grounds for the strike or lockout. a furniture manufacturing firm. Unable to agree despite efforts of the DOLE. including Cesar Tinio. Oakwood claimed that the strike being illegal. Thus. Violations of collective bargaining agreements. who led the “walk out. filed with the Department of Labor and Employment (DOLE) a notice of strike. Magdalo called a strike participated in by its officers and union members including Cesar Tinio. could be dismissed as. › The union or ER shall furnish the NCMB the results of the voting (strike-vote) at least 7 days before the intended strike or lockout. Thus. Statutory Requirements for a Valid Strike a. did not commit any of these acts.The statutory requisites for a valid strike are the following: A strike may be declared only in cases of bargaining deadlocks or unfair labor practices.” Oakwood filed a petition to declare illegal the strike which Magdalo staged without observing the seven-day ban under the Labor Code. subject to the cooling-off period (hence strike/ lockout should only be after the appropriate cooling-off period PLUS 7 days. Thus. The Labor Code provides that a union officer who knowingly participates in an illegal strike loses his employment status. A strike may actually take place only after a 30-day waiting period after notice was filed for a strike arising from a bargaining deadlock or after a 15-day waiting period for an unfair labor practice strike. shall not be considered unfair labor practice and shall not be strikeable. Suggested Answer: When Oakwood dismissed all the officers and members of the union who participated in the strike which was declared illegal because it was staged without observing the seven-day ban under the Labor Code. union may strike/ER may declare lockout. Decide the case. after failing in its negotiations with Oakwood.must be approved by a majority of the total union membership in the bargaining unit / majority of the board of directors of the corporation . including Cesar Tinio. Status of Striking UnionFor a ULP strike or bargaining deadlock strike. in fact. a rank and file employee. The DOLE summoned Magdalo and Oakwood for conciliation hearings to resolve the deadlock. a labor union in Oakwood. Another Suggested Answer: 1.(2) Observance of the cooling-off period  Duty of NCMB to exert all efforts at mediation and conciliation to effect a voluntary settlement.  If still unsettled after cooling-off period. except flagrant and/or malicious refusal to comply with its economic provisions. they were so dismissed by Oakwood. only duly-certified or recognized bargaining representative may declare such strike. No strike or lockout may be declared on grounds involving inter-union and intra-union disputes. The above requisites are to be complied with strictly. it would be illegal to dismiss them.

it has ruled that the defiance by workers of a return to work order of the Secretary of Labor issued when he assumes jurisdiction over a labor dispute is an illegal act and could be the basis of a legal dismissal. In a number of Supreme Court decisions. The management of Manila Airlines then declared all the EEs who participated in the strike dismissed from employment. of the Phils is not precluded from intervening at anytime and assuming jurisdiction over the dispute  Sec. the Pres. or VA shall decide within 30 days. all striking EEs shall immediately return to work and the ER shall immediately resume operations and readmit all workers under the same terms and conditions prevailing before the strike. (b) When the Secretary of Labor assumes jurisdiction over a strike. Compliance with all legal requirements is meant to be and should be mandatory.  If one has already taken place at the time of assumption. Decision of these or the Pres shall be final and executory 10 days from receipt of the parties. 263 (c-f). Observance of Cooling-off period: (a) ULP.The cause of a strike must be a labor or industrial dispute. of Labor/ Certification to NLRC for compulsory arbitration— in cases of labor dispute in an industry indispensable to national interest (as determined by the Pres. the return-to-work order is an integral part of the assumption of jurisdiction. Tuico. all striking or locked out EEs shall immediately return-to-work and the ER shall immediately resume operations and readmit all workers  Before or at any stage of the compulsory arbitration. whether a return-to-work order is issued or not. 1988) Q: The Secretary of Labor assumed jurisdiction over a strike in Manila Airlines and eventually issued a return-to-work order. The act of Manila Airlines’ management in dismissing the participants in the strike is valid. Cooling –off Period. (Art 212 (o). (Art. Notice of Intent. (Sarmiento v.15 days before the intended date of strike (b) Bargaining deadlock-30 days before intended date of strike 3. also. The return to work order imposes a duty. (a) Was the act of Manila Airlines’ management in dismissing the participants in the strike valid? (b) What are the effects of an assumption of jurisdiction by the Secretary of Labor upon the striking EEs and Manila Airlines? Answer: (a) Yes. • The moment there is Presidential (or by Secretary of Labor) assumption of jurisdiction. Procedural Requirements 1. the parties may opt to submit the dispute to voluntary arbitration (VA). The airline filed a Motion for Reconsideration of the Order and pending resolution of the motion deferred the implementation of the Order. after assumption of jurisdiction over a labor dispute in an airline issued a Return to Work Order. LC). Can the airline defer the implementation of the return to work Order pending the resolution of the motion of reconsideration? Suggested answer: The airline cannot defer the implementation of the Return to Work Order on the basis of there being a pending Motion for Reconsideration re: the assumption of jurisdiction by the Secretary of Labor and Employment of a labor dispute. Ovajera) (2004 Bar Question) Assumption of Jurisdiction by the Sec. Filing of Notice of Intent to Strike with the NCMB 2. (1997 Bar Question) Q: The Secretary of Labor and Employment. LC) 4. it must be discharged as a duty even against the workers’ will.b. Strike Vote and Filing of the same with the NCMB and the observance of seven (7) days strike ban. Cause. The Manila Airlines EEs Union defied the return-to-work order and continued with their strike. of the Phils) Effect of AJ or certification:  automatically enjoins the intended or impending strike or lockout as specified in the assumption or certification order.. . (National Federation of Sugar Workers v. NLRC.

local. (See Art 263 (g). Rule I. 263 (g). Rule I. LC). all striking or lockout employees shall immediately resume operations and readmit all workers under the same terms and conditions prevailing before the strike or lockout. Being executory in character. Elephant Island and Boracay Resort (5) LBC.” (underscoring supplied) (1998 Bar Question) Q: In a labor dispute. (Art. The country needs domestic sea transport due to our topography and for the smooth flow of business and government operations. Under Art. DHL and FedEx centers Justify your answer or choice. the Return to Work Order issued by the Secretary of Labor upon his assumption of jurisdiction over a labor dispute in an industry indispensable for the national interest is immediately executory. NLRC. the Secretary of Labor issued an “Assumption Order. The Secretary of Labor and Employment may seek the assistance of law enforcement agencies to ensure compliance with this provision as well as with such orders as he may issue to enforce the same. Couriers are essential to foreign and domestic government operations. 1991) . 264 of the Labor Code. Sec. LBC. If one had already taken place at the time of assumption.According to the Supreme Court.g. 263(g) of the Labor Code. NLRC (1995). (2003 Bar Question) Q: Which of the following may be considered among industries most vital to national interest as to be subject of immediate assumption of jurisdiction by the Secretary of Labor and Employment or certification for compulsory arbitration in case of strike or work stoppage arising from a labor dispute? (1) Bulletin daily newspaper publishing company (2) Local franchise of Jollibee and Starbucks (3) Shipping and port services in Cebu and Manila (4) Enchanted Kingdom. Book V. in Baguio Colleges Foundation v. Shipping and port services in Cebu and Manila. such assumption shall have the effect of automatically enjoining the intended or impending strike or lockout as specified in the assumption order. Bulletin Daily Newspsaper. disagreement over the union’s consti and by-laws or those arising from chartering or affiliation of union) [Book V. e. Sec. 1. Rule XXII. ruled: “xxx assumption and certification orders are executory in character and are to be strictly complied with by the parties even during the pendency of any petition questioning their validity. DHL. or otherwise are requirements for an informed citizenry 2. there was nothing for the parties to do but implement the same. as indispensable to national interest. (2004 Bar Question) Not valid grounds for strike/ lockout [RA 6727. 1 (x)] (2) Intra-union dispute— conflict between and among union members (violation of rights and conditions of membership. Sec. Another suggested answer: No. the airline cannot defer the implementation of a return to work order pending resolution of a Motion for Reconsideration. even if the directive to return to work is not expressly stated in the assumption order. 3. FedEx Center. LC) The Supreme Court. Suggested Answer: Certification of labor dispute for immediate assumption of jurisdiction by the Secretary of Labor and Employment. 1 (bb)] (3) Wage distortion. Foreign. per RA 6727 (Wage Rationalization Act) (Ilaw at Buklod ng Manggagawa v. 5] (1) Inter-union dispute— conflict between and among LLOs involving representation for purposes of CB or other conflict [Book V. no strike or lockout shall be declared after the assumption of jurisdiction by the Secretary. The mere issuance of an assumption order by the Secretary of Labor automatically carries with it a return-to-work order.” Give the legal implications of such an order. Access to information. Suggested Answer: Under Art. Those who violate the foregoing shall be subject to disciplinary action or even criminal prosecution.

Dismissal in a lawful ULP strike i. its members staged a strike. coercion. by force.taking any measure necessary to maintain peace and order. or after certification or submission of the dispute to compulsory or voluntary arbitration or during the pendency of cases involving the same grounds for the strike or lockout. giving third persons right to regulate the dispute) PROHIBITED ACTIVITIES (hence making it an illegal strike/ lockout/ picketing) (Art. Can ROSE Corporation refuse to admit all the strikers? Suggested Answer: Article 264 of the Labor Code provides that “mere participation of the worker in a lawful strike shall not constitute sufficient ground for termination of employment even if a replacement had been hired by the employer during such lawful strike. During the strike several employees committed illegal acts. or escorting in any manner. or 2. threats or intimidation. AFP or PNP officers / personnel bringing in. EEs who voluntarily went on strike because of such ULP— reinstatement only • Court has still the discretion. or the Sec. despite the finding of ULP. no pay”) b. Rule: Police shall keep out of the picket lines unless 1. or interfere with.” . Eventually. (6) Acts of violence. its members informed the company of their intention to return to work. WoN to grant backpay   Any worker or union officer who knowingly participates in the commission of illegal acts during a lawful strike—justified dismissal Mere participation of a worker in a lawful strike—not a ground for his dismissal. impede.actual violence or other criminal acts occur. or work in place of the strikers.PICKETING— walking and patrolling the vicinity of a place of business involved in a labor dispute (this may happen even if no strike or work stoppage) • Peaceful picketing is entitled to protection as an exercise of free speech but the courts are empowered to confine or localize the sphere of demonstration to the parties to the labor dispute. The company refused to give in to the union’s demands. Dismissal in a lawful economic strike— reinstatement (no backwages because “no work. any peaceful picketing by employees during any labor controversy or in the exercise of the right to self-organization or collective bargaining (strike-beaker). introducing. and/or enforce the law and legal order. coercion or intimidation or obstruct the free ingress to or egress from the employer’s premises for lawful purposes. violence. or shall aid or abet such obstruction or interference (4) Employment of strike-breaker/ employed as strike-breaker (5) Public official / employee. 264 (a)] Q: As a result of bargaining deadlock between ROSE Corporation and ROSE Employees Union. (this is the “innocent by-stander” rule. EEs who were discriminatorily dismissed because of union activities— reinstatement + backwages ii. CONSEQUENCES OF CONCERTED ACTIONS ON THE EMPLOYMENT STATUS (1) Lawful Strike/ Lockout a. 264) (1) Strike/ lockout without (a) Bargaining collectively first (b) Filing the notice required or (c) Obtaining the necessary strike or lockout vote and reporting it to the NCMB (2) Strike/ lockout after AJ by the Pres. even if a replacement had been hired by the ER during the lawful strike [ Art. (3) Obstruct. any individual who seeks to replace strikers in entering or leaving the premises of a strike area. Court may insulate establishments/ persons with no connection to the dispute. or obstruct public thoroughfares. protect life and property.

If prohibited activities were committed such as: . Mella Corp. Dismissal of EE in an unlawful strike i. the company admitted all the strikers. (1997 Bar Question) (2) Unlawful Strike/ Lockout a. Any worker or union officer who knowingly participates in the commission of illegal acts during an illegal strike—justified dismissal iii. Participation of a worker— not ground for dismissal. ROSE Corporation cannot refuse to admit all the strikers who inform the company of their intention to return to work. There must be proof that he committed illegal acts during the strike. can it refuse to admit the replaced workers? Suggested Answer: ROSE Corporation cannot refuse to admit the strikers if they did not commit any illegal acts during a lawful strike. ROSE Corporation hired replacements. can it later on dismiss those employees who committed illegal acts? Suggested Answer: Even if as its initial response.If not because of bargaining deadlock or ULP  Employing unlawful means . be obliged to reinstate the returning workers to their previous positions? Answer: Yes. Workers who go on strike do not lose their employment status except when. Mella Corp. Can Mella Corp. the same Article of the LC also provides: “Any worker or union officers who knowingly participates in the commission of illegal acts during a strike may be declared to have lost his employment status.g. 263  Validity of grounds . Note: The penalty imposable to erring strikers does not always have to be dismissal.If did not observe the procedural requirements in Art.If EEs do not have the right to strike (e. The Labor Code is very clear: Workers who went on strike have not lost their employment status even if the company had hired their replacements. It may be scaled down to suspension esp. the company is not estopped from afterwards dismissing those employees who committed illegal acts during the strike. Article 264 of the Labor Code expressly states that “any worker xxx who knowingly participates in the commission of illegal acts during strike may be declared to have lost his employment status. Union officer who knowingly participates in an illegal strike— justified dismissal ii. Q: Assuming the company admits all the strikers. can be obligated to reinstate the returning workers to their previous positions. 1997) WHEN IS A STRIKE ILLEGAL  Contrary to statutory prohibition . hired replacements for the workers who went on strike.” Because of the above-quoted provisions of the Labor Code.. except those workers who may have committed illegal acts during the strike who can be declared as having lost their employment status. while on strike.” Q: If due to the prolonged strike.On the other hand. (2006 Bar Question) Q: A strike was staged in Mella Corporation because of a deadlock in CBA negotiations over certain economic provisions. During the strike. Thereafter. Brilliantes. Dismissal of EE in an unlawful lockout— reinstatement + full backwages [ Art. The Labor Code expressly provides: Mere participation of a worker in a lawful strike should not constitute sufficient ground for the termination of his employment even if a replacement had been hired by the ER during such lawful strike. 264 (a)] b. they knowingly participated in the commission of illegal acts. the strikers decided to resume their employment. of there is a finding that both the ER and EEs contributed to the volatile atmosphere. (PAL v. govt EEs)  Violates a specific requirement of law (procedural requirements) .

trustees.LC) Another suggested answer: No. (1998 Bar Question) IMPROVED OFFER BALLOTING (Art. proceeded to present a list of demands to the management for purposes of collective bargaining. a multinational corporation engaged in the production of computer chips for export. or the partners holding the controlling interest vote and accept the improved/ reduced offer. a slowdown is no a valid form of strike activity. coercion or intimidation Obstruct the free ingress to or egress from the ER’s premises Obstruct public thoroughfares Coercing or threatening non-srtiking EEs (amounts to ULP by labor org)  If there is an injunction (in national interest strikes)  Violation of agreement of the parties . It can be said to be a violation of the duty to bargain collectively. among others. Was the strike illegal? Answer: Because what was declared is a “wildcat” strike. If workers are to strike. the workers shall immediately return to work and the ER shall thereupon readmit them upon the signing of the agreement. and declared a “wildcat” strike wherein means of ingress and egress were blocked and remote and isolated acts of destruction and violence were committed.If there is a no-strike clause in the CBA (applies only to economic strikes) Q: The day following the workers voluntary return to work. obtained by a secret ballot in meetings or referenda called for that purpose. a newly-formed labor union claiming to represent a majority of the workers in the Microchip Corporation. there should be temporary stoppage of work by the concerted action of employees as a result of an industrial or labor dispute. as a willful reduction in the rate of work by concerted action of workers for the purpose of restricting the output of the employer. The workers should resume operations under the same terms and conditions prevailing prior to the strike. the Company Production Manager discovered an unusual and sharp drop in workers’ output. the strike is illegal. in other words.” Like wise. as an activity by which workers. to do other work. a slowdown is not a valid form of concerted activity. the decision to declare a strike must be approved by majority of the total union membership in the bargaining unit concerned. A “wildcat” strike is one that is one declared by a group of workers without formal union approval.LC) € Another suggested answer: No. The Supreme Court in Ilaw at Buklod ng Manggagawa v. It was evidently clear that the workers are engaged in a work slowdown activity. Alternative Answers: . NLRC (1991) ruled: “The Court is in substantial agreement with the petitioner’s concept of a slowdown as a “strike on the installment plan”. or secretly. The union is guilty of bad faith. 265)— referendum by secret balloting involving the union members on the improved offer of the ER on or before 30th day of strike. absent a labor dispute between the parties. (See Art 212(o). Thus. alleging that they ha not as yet presented any proof of majority status. in relation to a labor dispute. (See Art 212 (o).    Violence. It is a prohibited activity. Is the work slowdown a valid form of strike activity? Suggested answer: A work slowdown is not a valid form of strike activity. declined to talk to union leaders. to the employers damage. because while the employees “continue to work and remain at their positions.  If at least majority of the union members/ BOD. Q: The Kilusang Kabisig. and accept wages paid to them”. The Kilusang Kabisig then charged Microchip Corporation with unfair labor practice. it is illegal because the Labor Code requires that for a strike to be legal. The Microchips Corporation. they work on their own terms. they at the same time select what part of their allotted tasks they care to perform of their own volition or refuse openly. without a complete stoppage of work retard production or their performance of their duties… The Court also agrees that such slowdown is generally condemned as inherently illicit and unjustifiable.

(2) with opportunity for cross-examination. intimidation or coercion and blockade of ingress-egress are not allowed. return on investment and to expansion and growth. (1997 Bar Question) Q: What is the rationale for the State regulation of strike activity and what are the interests involved that the State must balance and reconcile? Q: Cite two examples on how the law regulates the use of strike as a from of concerted activity Suggested answer: 1. these should be balanced with the right of the employer to reasonable. Except: Under Arts. it should be characterized by pervasive violence. namely those who blocked the ingress and egress and who committed acts of destruction and violence. and report of the strike vote. Lapanday Workers Union v. filing of notice of strike. 264 and 218 (e) Procedure for issuance of injunction (not ex parte) (1) Hearing of the testimony of witnesses. General welfare or the general peace and progress of society should also be considered. to protection of the law. to the effect: (a) That prohibited or unlawful acts have been threatened and will be committed and will be continued unless restrained (no injunction or TRO shall be issued except against those making the threat or committing the prohibited or unlawful act or actually authorizing or ratifying the same after actual knowledge thereof). (Art 263. But even if the strike is not illegal. The Labor Code imposes on an employer the duty to bargain collectively only with a legitimate labor organization designated or selected by the majority of the employees in an appropriate bargaining unit. taking of strike vote. if offered. there were only remote and violated acts of destruction and violence. observance of cooling-off period. and . A strike to compel the employer to recognize a union is not allowed by law. and report of the strike vote. It is not ULP for an employer to ask a union requesting to bargain collectively that such union first show proof of its being a majority union.254. as primary socio-economic force. This is why assumption of jurisdiction and certification to NLRC are allowed in “national interest”: cases. Q: Was the company guilty of unfair labor practice when it refused to negotiate with the Kilusang Kabisig? Suggested Answer: No. For the strike to be illegal because of violence. these strikers can be legally dismissed. (2) use of violence. (c) That greater injury will be inflicted upon complainant by the denial of relief than will be inflicted upon defendants by the granting of relief. NLRC (1995)) 2. 2) The strike is not illegal. 264) Issuing agency—NLRC Rule: No temporary or permanent injunction or restraining order in any case involving labor dispute. etc. Here. (b) That substantial and irreparable injury to complainants property will follow. LC. It is not an unfair labor practice (ULP) not to bargain wit the union which has not presented any proof of its majority status. those strikers who committed illegal acts.218 (e). to security of tenure. Examples: (1) procedural requirements should be observed. (3) and testimony in opposition thereto. namely. A third rationale is the police power of the State. The interests to be balanced are the rights of the workers. Another rationale is the Civil Code provision that the relations between employer and employee are imbued with public interest and are subject to the provisions of special law. and (4) only after a finding of fact by the commission. (Art 263 (b)(c)(f)(g). (d) That complainant has no adequate remedy at law. in support of the allegations of a complaint made under oath. LC) (2000 Bar Question) LABOR INJUNCTION ON LABOR DISPUTES (Arts. to concerted activities. the first rationale is the constitutional provision that the right to strike is to be exercised “ in accordance with law”. The Labor Code recognizes only one of two (2) grounds for a strike to be legal: bargaining deadlock or unfair labor practice.1) The strike is illegal.

CIR (1972)) (2000 Bar Question) SUMMARY OF JURISDICTION VOLUNTARY ARBITRATORS (VA) (Arts. days) Decision (final and executory in 10 cal. sufficient. 264 (prohibited activities). citing an American case. to resolve disputes except as otherwise provided in Arts 218 and 264 of the Labor Code. if unresolved within 7 days from submission voluntary arbitration (to be decided within 20 cal. if sustained.” Is there any statutory basis for the statement/ comment under Philippine law? Suggested answer: Yes. the TRO shall be effective for 20 days only. The statutory basis is Art 254 of the Labor Code. Unresolved grievances arising from the interpretation or enforcement of company personnel policies 3. [Art. expense or damage caused by the improvident or erroneous issuance of such order or injunction. an author of the textbook Commentaries on the Labor Code of the Philippines. 264 and 218 (e) differ only in the allegations] Conditions for Issuance of TRO ex parte 1. upon agreement of the parties Procedure Grievances submitted to the grievance machinery of the CBA. 218 (e)] Q: Professor Juan dela Cruz. the complainant shall first file an undertaking with adequate security in an amount to be fixed by the commission sufficient to recompense those enjoined for any loss. wrote: “It is said that the prohibition against the issuance of a writ of injunction in labor cases creates substantive and not purely procedural law. there is testimony under oath. 261-262) • supervised by the National Conciliation and Mediation Board (NCMB) Original and Exclusive jurisdiction 1. Unresolved grievances from the interpretation or implementation of the CBA except gross violation of the CBA (which is a ULP. Any other labor dispute. follow the same procedure. It prohibits issuance of injunction. (Caltex Filipino Managers and Supervisors Assn. daysfrom receipt of the parties) . V. (5) Personal notice to: all known persons against whom relief is sought to the Chief Executive and other public officials of the province or city within which the unlawful have been threatened or committed charged with the duty to protect complainant's property [Art. and 4.(e) That the public officers charged with the duty to protect complainants’ property are unable or unwilling to furnish adequate protection. a substantial and irreparable injury to complainant's property will be unavoidable 2. [Art. to justify the NLRC in issuing a temporary injunction upon hearing after notice 3. as a matter of policy. 218 (e)]  With regard to allegations under Art. hence under LA’s jurisdiction) 2.

and all matters in the award are thenceforth res judicata on the theory that the matter has been adjudged by the tribunal which the parties have agreed to make final as tribunal of last resort. Negotiations proved futile so the unresolved issues were referred to an Arbiter who rendered a decision on March 15. The award of voluntary arbitrators acting within the scope of their authority determines the rights of the parties. But in a case (Manila Electric Co. the union filed an unfair labor practice against the company alleging that the purported transfer of its union officials was unjust and in violation of the Collective Bargaining Agreement (CBA). good customs. to its plant offices.Q: State the cases when a labor dispute would fall under the jurisdiction of voluntary arbitrators or panel of voluntary arbitrators. (2003 Bar Question) Q: Company A and Union B had a 3-year CBA that expired on June 12. Such decisions on matter of fact or law are conclusive. (2001 Bar Question) NATIONAL CONCILIATION AND MEDIATION BOARD (NCMB) [created by EO 251 (1987)] • absorbed the conciliation. Exercising his compulsory arbitration power. upon agreement of the parties. the Arbiter could decide the issue of retroactivity in any way which is not contrary to law. it follows that what we is voluntary arbitration agreed upon by the parties. personnel policies (Art. is the Arbiter’s decision providing for retroactivity tenable or not? Why? Suggested answer: The referral of he unresolved issues of the collective bargaining negotiations to an Arbiter is not within the jurisdiction of the Arbiter. Suggested Answer: No. Another Suggested Answer: No. Answer: A labor dispute falls under the jurisdiction of a voluntary arbitrator or a panel of voluntary arbitrators if a labor dispute arises from an unresolved grievance which in turn arises from the interpretation or implementation of a CBA or of company personnel policies. morals. v. Another suggested answer: The retroactive Order of the Labor Arbiter is void for want of jurisdiction. 261. Pursuant to the terms of the CBA. mediation. LC) but also. the dispute was referred to a voluntary arbitrator who later ruled on the issues raised by the parties. the Arbiter’s decision providing for retroactivity is tenable. 262) (1997 Bar Question) Voluntary Arbitrator Q: The employer company. But assuming that the unresolved issues in the collective bargaining negotiations were properly referred to the Arbiter pursuant to the provision of the Labor Code (art 262) that states that a Voluntary Arbitrator may hear and decide any labor dispute. 261) . Quisumbing) the Supreme Court said that an arbitral award shall retroact to the first day after the six-month period following the expiration of the last day of the CBA that was being re-negotiated. A voluntary arbitrator chosen under the Grievance Machinery of a CBA can exercise jurisdiction not only on disputes involving interpretation/implementation of a CBA and/or company rules. 1990. he may deputize. (Volkschel Labor Union v. and voluntary arbitration functions of the Bureau of Labor Relations Functions (1) formulate policies/ guidelines pertaining to effective mediation and conciliation of labor disputes (2) perform preventive mediation and conciliation functions . 262. more specifically Art 217. a voluntary arbitrator or panel of voluntary arbitrators may also hear and decide all other labor disputes including unfair labor practices and bargaining deadlock. 98 SCRA 314 [1980]). public order or public policy. (Art. including those of the NLRC. including bargaining deadlocks. including a number of union officials. and their decisions have the same legal effects as a judgment of the Court. The order was opposed by the union. Ultimately. (Art. including determining the period or duration of a Collective Bargaining Agreement. in a directive to the union president. LC). ordered the transfer of some of its employees. Nowhere in the Labor Code. 1992 retroactive to December 1. 1990. Could it later be validly asserted that the “decision” of the voluntary arbitrator would have no “compulsory” effect on the parties? Explain. “all other labor disputes including unfair labor practice” (Art. NLRC. is the Labor Arbiter given jurisdiction over unresolved issues in collective bargaining. His decision is binding upon the parties and may be enforced through any of the sheriffs. Upon agreement of parties. As no objection was raised by any of the parties when “the dispute referred to a voluntary arbitrator who later ruled on the issues raised by the parties”. Jurisdiction is conferred by law.

hours of work. including questions involving the legality of strikes and lockouts .Termination disputes . 217. The NLRC has regional arbitration branches or RABS. and other terms and conditions of employment. grievance handling.Cases arising from Art.Claims for damages arising from ER-EE relationship . including those of persons in domestic or household service involving an amount exceeding P5. Regl Dir of DOLE has jurisdiction) Note: these cases may be under the jurisdiction of the VA based on the agreement of the parties (without clear agreement. rates of pay. shall be immediately executory (readmitted to work or reinstated in the payroll at the option of the ER). 218-219) (1) Power to make rules and regulations pertaining to its functions. voluntary arbitration. if accompanied with a claim for reinstatement .000 (if not exceeding P5. and decide disputes within its jurisdiction. maintain/ update a list of VAs (5) provide counseling and preventive mediation assistance NATIONAL LABOR RELATIONS COMMISSION (NLRC) (Arts.(3) formulate policies/ guidelines pertaining to the promotion of non-adversarial schemes. (7) Power to decide appealed cases Procedure Labor Arbiter [Note: a decision of the LA reinstating a dismissed EE. The labor arbiters or executive labor arbiters are the NLRC representatives in the country’s various regions. (2) Power to administer oath and issue subpoena and summons.ULP cases . and other voluntary modes of dispute settlements (4) administer the voluntary arbitration program. 213.Whether accompanied with claim for reinstatement . 264. pending appeal] appeal to the NLRC (within 10 calendar days from receipt of the decision) Commission shall decide (within 20 calendar days from receipt of answer of the other party) Finality of the decision of the Commission (after 10 calendar days from . all other claims arising from ER-EE relationship. Original and exclusive jurisdiction of the Labor Arbiter (LA)Compulsory Arbitration . (4) The power to hold persons in contempt. (5) The power to issue restraining orders and injunctions. (3) Power to investigate. LA has jurisdiction) Exclusive appellate jurisdiction of the Commission over all cases decided by the LA— not any more compulsory arbitration (Note: it is only in national interest strikes that the Commission conducts compulsory arbitration) Powers of the NLRC (Arts. hear. (6) Power to conduct ocular inspection.Cases involving wages. insofar as the reinstatement aspect is concerned.000. 223)— the country’s labor court (principal government agency that hears and decides labor-mgt disputes) .

Sec. NLRC). Martin Funeral Homes v. MR within 10 calendar days from receipt of the decision based on palpable or patent errors. (Book V. Appeal to Bureau (10 days from receipt of decision.g. election of officers of the union/ compliance with CBL/ violations of rights of union membership) Other related labor relations disputes between the union and the ER or any individual or group that is not a LO or worker’s assn (e.. 3) Pendency of an intra/ inter-union dispute and other related labor relations dispute is not a prejudicial question to any petition for CE nor is it a ground for dismissal of such petition. BUREAU OF LABOR RELATIONS (BLR) and the Labor Relations Divisions in the Regl Offices of DOLE (Art.) (appeal stays decision of Bureau Dir. DO 40-03) • Hearing Officer: Med-Arbiter in the BLR or Regl Office • Jurisdiction is largely confined to union matters. Rule XI. Special civil action for certiorari under Rule 65 not later than 60 days from receipt of notice of judgment.g. Bureau will decide within 20 days from receipt of records) Finality of decision of the Sec. CB registry. or 2. representation issue/ cancellation of registration) Intra-union conflicts (e. cancellation of registration of unions/ petition for interpleader) (added by DO 40-03)— may be filed by any party-in-interest Procedure File with DOLE Regl Office where registered (if independent union/chartered local) File with the BLR (if federation/national union) Regl Dir (if cancellation of registration) or Med-Arb (other dispute) (decide within 20 days from last hearing) Bureau Dir (20 days from last hearing within which to decide) Appeal to Sec.g..)   Relationships/ rights of the parties prior to the filing of the complaint or petition shall continue during pendency of the proceedings. 3) . filed with the CA (St.receipt of notice by the parties) Remedies available to challenge final decision 1. only 1 MR is allowed. Sec. Rule XI. 226-233. after 10 days from receipt of parties Finality of decision of the Bureau after 10 days from receipt of parties (appeal stays decision of Med-Arb/ Regl Dir.. and labor education because of the creation of NCMB (BLR no longer handles labor-mgt disputes) . Original and exclusive jurisdiction Inter-union/ Intra-Union disputes— may be filed only by a LLO Inter-union conflicts (e. (Book V.

and said motion was only acted upon after the reglementary period. LC reads: “In case of a judgment involving a monetary award. (2001 Bar Question) ADMINISTRATION AND ENFORCEMENT OF LABOR LAWS (Arts. A’s cash bond was filed beyond the ten day period. Aggregate claims of each EE or househelper does not exceed P5. 129— Summary Proceeding 4 Jurisdictional Requirements: 1.000. or which may be necessary to aid enforcement of the LC or any labor law or order 2.Q: The affected members of the rank and file elevated a labor arbiter’s decision to the NLRC via a petition for review filed after the lapse of the 10-day reglementary period for perfecting an appeal. in the interest of substantial justice. 2. Right to question any EE d. Right to copy records c. may still take cognizance of the appeal. Issue compliance orders to give effect to labor law regulations based on the findings of inspection and issue writs of execution for enforcement of the orders 3. Claim arises from ER-EE relationship 3. the NLRC.” In Aba v. or orders.000 (if there is a question of reinstatement or claim exceeds P5. However. Investigate any fact.” Another suggested answer: The NLRC may still entertain the appeal. then. 128)—no court/ entity can issue TRO or injunction against enforcement orders issued here 1. LA has jurisdiction) .the appeal may be perfected only upon the posting of cash or surety bond issued by a reputable bonding company duly accredited by the Commission in the amount equivalent to the monetary award in the judgment appealed from. If claimant is an EE or person in domestic or household service. the Supreme Court ruled: “An appeal bond is necessary…. NLRC (1999). substantial justice may be the basis for the NLRC to take cognizance of the appeal. Art 223. It is true that the Labor Code (in Art 223) provides that the appeal is perfected only upon the posting of a cash or surety bond. or orders of the Labor Arbiter are final and executory unless appealed to the Commission by any or both parties within (10) calendar days from receipt of such decisions. 128-129) Powers Visitorial and enforcement powers (Art. No claim for reinstatement. awards. Q: Company A within the reglementary period appealed the decision of the Labor Arbiter directing the reinstatement of an employee and awarding backwages. Should the NLRC entertain the appeal? Why? Suggested answer: No. an appeal by the employer may be perfected only upon the posting of a cash or surety bond… In the amount equivalent to the monetary award in the judgment appealed from. condition or matter which may be necessary to determine violations. Access to ER’s records and premises b. Art 223. Should the NLRC dismiss the petition outright or may the NLRC take cognizance thereof? Suggested answer: The NLRC should dismiss the appeal outright because the same was filed beyond the reglementary period of appeal. 4. as the same ws not perfected for failure to file a bond. LC reads: “Decisions. But if Company A filed a motion for the reduction of the bond. To order suspension of operations of an establishment whose non-compliance with law poses grave danger to workers Money Claims Adjudication under Art. But if there are good reasons that may justifiably explain why there was a delay in the filing of the appeal. awards. the NLRC should not entertain the appeal. Inspection a.” Another suggested answer: The NLRC could dismiss outright the appeal for being filed out of time.

The CBA was effective up to 20 June 1995. the dismissal of Pe is not a case of termination dispute which is under the jurisdiction of the NLRC.000 which each EE was to receive under the CBA. protested and refused to sign the authorization slip for the deduction. The contract had an automatic renewal clause which would allow the agreement after its expiry date to still apply until both parties would have been able to execute a new agreement. 129 Adjudication of money claims (labor standards only).) Appealable to Sec Art. (1996 and 1997 Bar Questions) Q: On 01 August 1992. Jonathan Pe filed with the NLRC a complaint for illegal dismissal with damages against New Wage claiming that he was dismissed without due process. 128 Inspection of establishments and issuance of orders to comply with labor legislation in general. (See Art. Resolve the motion.. Pro-Knit and Eagle Garments filed a motion to dismiss based on lack of jurisdiction. Suggested Answer: The complaint will not prosper before the Labor Arbiter because there is here an intra-union conflict which is under the jurisdiction of the Med-Arbiter. X Union then passed a resolution expelling Sergio from the Union. it having jurisdiction of the SEC. Suggested Answer: The Motion to Dismiss should be granted. it having jurisdiction over intra-corporate matters. 129 Nature Art. The next day. New Wage filed a Motion to Dismiss based on lack of jurisdiction. Inc. proceedings here are offshoots of the inspection) These do not apply here Sec. it was resolved to dismiss Jonathan as VP due to loss of trust and confidence. a corporation also engaged in the manufacture of textile garments. of Labor or duly authorized reps (may or may not be the DOLE Regl Dir. 226 and Rule V of Book V of the Rules and regulations Implementing the Labor Code). Thus. Inc. a corporation engaged in the manufacture of textile garments. (1996 Bar Question) Q: Mr. Jonathan Pe. was elected Vice-President of New Wage at a regular monthly meeting. Sergio. Pro-Knit suspended negotiations while Kamao Union sine Pro-Knit had entered into a merger with Eagle Garments.Difference between Art. proceedings are initiated by complaints See above Regl Dir or any Hearing Officer of DOLE Appealable to NLRC Jurisdictional requirements Who exercises power (officers designated) Appeal Q: the national council of X Union. a Union member.. His subsequent dismissal as such corporate officer is considered an intra-corporate matter. entered into a collective bargaining agreement with the Kamao Union in representation of the rank and fie employees of the corporation. The election of Jonathan Pe as VP of New Wave Beauty Shop. made him a corporate officer. Sergio filed a complaint before the Labor Arbiter for illegal deduction and expulsion from the union. How would you rule on the Motion to Dismiss? Answer: . called a general meeting and passed a resolution which provides that each union member was to be assessed P1. 128 and Art. Kamao filed a complaint with the Regional Trial Court for specific performance and damages with a prayer for preliminary injunction against Pro-Knit and Eagle Garments. Pro-Knit.000 to be deducted from the lump sum of P10. At a subsequent meeting of the Board of Directors. Instead it is under the jurisdiction of the Securities and Exchange Commission. a registered stockholder of New Wave Beauty Shop. the exclusive bargaining representative of all daily paid workers of Z Corp. On 20 May 1995 Kamao Union submitted to Pro-Knits management their proposals for the renegotiation of a new CBA. Eagle Garments assumed al the assets and liabilities of Pro-Knit. Will the complaint prosper? Explain.

cognizable by the “Labor Arbiters of the National Labor Relations Commission (NLRC)” who have the original and exclusive jurisdiction thereon. In such a situation. Mike Barela could file an intra-union case that may entail the act of the Secretary of Labor examining the financial records of the union. Drilon. As such. cannot sue before the Labor Arbiter. exemplary and other forms of damages”. the seaman who died on November 18. petitioning for an examination of the financial records of PWU. 10. Alternative Answer: Among the rights and conditions of membership in a labor organization is the right implied by the proviso of the Labor Code [Art. The act of Pro-Knit suspending the negotiations with Kamao Union could be an unfair labor practice. 1999. Mike Barela. Respondents moved to dismiss the complaint on the ground that the Labor Arbiter has no jurisdiction over the complaint for damages arising from illness and death of Capt. a militant member of the union. hence. Secretary of Labor and Employment. labor contracts being i n personam. She invoked the Labor Code provision which requires the employer to provide all necessary assistance to ensure the adequate and necessary medical attendance and treatment of the injured or sick employee in case of emergency. Capt. Is the Secretary of labor authorized by law to examine the financial records of the union? If so. the case is under the jurisdiction of a Labor Arbiter and not of a regular court. 274) to examine the financial records of the unions to determine compliance or non-compliance with the pertinent provisions of the Labor Code and to prosecute any violation of the law and the union constitution and by-laws. TROY abroad. labor contracts such as xxx collective bargaining agreements are not enforceable against a transferee of an enterprise. NLRC. 1. Hence. TROY complained against the local manning agent and its foreign principal before the Regional Arbitration Branch of DOLE. as under Sec. It could be a violation of the duty to bargain collectively. But this will not apply now. or arranging the terms and conditions of employment regardless of whether the disputants stand in the proximate relations of employer and employee. he was drenched with rainwater. 239 SCRA 117) . 1995). Art. 241(m)] stating that the books of accounts and other records of the financial activities of any labor organization shall be open to inspection by any officer or member thereof during office hours. TROY embarked on an ocean-going vessel in good health. changing. for actual and exemplary damages and attorney’s fees. 212 of the Labor Code. (2004 Bar Question) Q: FACTS: Polaris Drug Company had an existing CBA with Polaris Workers Union (PWU) which was due to expire on May 31. reads— “Labor dispute includes any controversy or matter concerning terms and conditions of employment or the association or representation of persons negotiating. and eventually died before a scheduled airlift to the nearest port. Subsequently. lost his appetite. 1992. the Company can claim that labor contracts are contracts in personam and do not generally bind successors in interest except under special circumstances. what we have is a claim “arising out of an employer-employee relationship or by virtue of any law or contract involving Filipino workers fro overseas deployment including claims for actual. fixing. One stormy night at sea.” In addition. PWU had a total membership of 100 rank-and-file EEs of the company. maintaining. Mike Barela prepared a sworn written complaint and filed the same with the Office of the Secretary of Labor on May 10. There is no labor dispute between the parties. the Supreme Court held that what we have in this case is a claim arising from tort or quasi-delict. the widow of Capt. he contracted fever which lasted for days. moral. RA 8042. what power? If not. Suggested Answer: In Tolosa v. thus binding only between the parties. suspected that the union officers were misappropriating union funds as no financial report was given to the general membership during the union’s general assembly. (1997 Bar Question) Q: Under a seaman’s contract of employment with a local manning agent of a foreign shipping company. (effective June 7. But this authority may be exercised only upon the filing of a complaint under oath and duly supported by the written consent of at least 20% of the total membership of the labor organization concerned. Resolve the motion with reasons.I will grant the motion to dismiss. (See La Tondeña Workers Union v. 1999. the Regional Trial Court has jurisdiction over the complaint. The following morning. He suffered loose bowel movement. the Court said: “The rule s that unless expressly assumed. As a union member. why not? Suggested Answer: The Secretary of Labor is expressly authorized by the Labor Code (in Art. Alternative Answer: I will deny the Union’s Motion to Dismiss. In Sundowner Development Corporation v.

Government Service Insurance Act of 1997 (RA 8291) (1) The national government. 200 SCRA 817 (1991)] (2002 Bar Question) SOCIAL LEGISLATION SALIENT FEATURES Social Security Act of 1997 (RA 8282) Any person. In this case. Suggested Answer: B. Each may proceed independently of each other. an action for reinstatement for injury to an EE’s rights prescribes in 4 years as provided in Art. The right to file an action for illegal dismissal is not dependent upon the outcome of the criminal case. Thus. The action for administrative aspect of illegal dismissal would be fled with the NLRC and governed by the procedural rules of the Labor Code. Suggested Answers: A. v. Guanzon. The criminal case is within the jurisdiction of the regular courts of law and governed by the rules of procedure in criminal cases. 291. The 2 cases. an examination or audit of the financial records of the union can not be ordered because for such examination or audit to take place. An action for illegal dismissal is an administrative case which is entirely separate and distinct from a criminal action. [Pepsi Cola Bottling Co. and procedures. are 2 separate and independent actions governed by different rules. Carnation Phil. In the case. (2002 Bar Question) B. 1999 which is within the freedom period of the current CBA which was to expire on May 31. CC. Under the facts given above. where the EE would be the complainant.Jurisdiction is a favorite bar question. Ople.. and the case for illegal dismissal. State your agreement or disagreement with the following statement and explain your answer briefly: A criminal case filed against an EE does not have the effect of suspending or interrupting the running of the prescriptive period for the filing of an action for illegal dismissal. International Harvester Macleod. A case of illegal dismissal filed by an EE who has been terminated without a just or authorized cause is not a money claim covered by Art. [Callanta v. the complaint was filed on May 10. Thus. LC. natural or juridical. in accordance with Art.2. State your agreement or disagreement with the following statement and explain your answer briefly: The period of prescription in Art. namely: the criminal case where the EE is the accused. Also. agencies or EMPLOYER . 291. 1146. Another Suggested Answer: I agree. LC applies only to money claims so that the period of prescription for other cases of injury to the rights of EEs is governed by the Civil Code. An EE who is unjustly dismissed from work is entitled to reinstatement and backwages. who carries on in the Philippines any trade. NLRC. v. 171 SCRA 250 (1989). branches. PRESCRIPTIVE PERIODS ULP 1 year Money Claims 3 years Offenses under LC 3 years Illegal Dismissal 4 years Q: A. 1999. could an examination or audit of the financial records of the union be ordered? Why? Suggested Answer: Under the facts given in the question. 1146. A case of illegal dismissal is based upon an injury to the right to security of tenure of an EE. it must be instituted within 4 years. I agree with the statement. the aforementioned requirement was not fulfilled. 172 SCRA 571 (1989)]. 145 SCRA 268 (1986). domestic or foreign. there should be a complaint under oath and duly supported by written consent of at least 20% of the total membership of the labor organization concerned. Inc. its political subdivisions. the Labor Code provides that an examination of the books of a union shall not be conducted during the 60-day freedom period nor within 30 days immediately preceding the date of election of union officials. business. venues. It was only a sworn written complaint by one union member that was filed. Guilt or innocence in the criminal case is not determinative of the existence of a just or authorized cause for dismissal. I agree. Baliwag Transit v. (1999 Bar Question) NB.

any other person designated by member as secondary beneficiary BENEFITS (1) (2) (3) (4) Monthly pension Dependents’ pension Retirement Death (if no beneficiary qualifies (1) All members (a) Life insurance (b) Retirement (c) Disability . and (d) Has not age of majority. and (b) Dependent children (a) Dependent parents. and illegitimate. due to mental or physical defect acquired prior to age of majority (3) Parent— who is dependent upon member for support (2) Secondary (a) Dependent spouse until remarriage. or if over the age of majority but incapacitated and incapable of self-support. legitimated.industry undertaking or activity of any kind and uses the services of another person who is under his orders as regards employment Exempt ERs: (1) Government and any of its political subdivisions. including GOCCs (2) Self-employed person who is both ER and EE at the same time (1) Any person who performs services for an ER in which either or both physical or mental efforts are used and who receives compensation for such services. is congenitally incapacitated or while still a minor has been permanently incapacitated and incapable of self-support. where there is an ER-EE relationship (2) Self-employed person who is both ER and EE at the same time (1) Spouse— legal spouse entitled by law to receive support from member (2) Child— (a) Legitimate. (2) Barangay officials. (c) Not gainfully employed. and (3) Sanggunian officials (1) Spouse— legitimate and dependent for support upon member or pensioner (2) Child— (a) Legitimate. in the absence or primary beneficiaries (a) Legal. irrespective of status of appointment. dependent spouse until remarriage. legally adopted. and (b) Legitimate descendants subject to restrictions on dependent children (3) Others Absent primary and secondary beneficiaries. legitimated. branches and instrumentality. physically or mentally (3) Parent— who is receiving support from the member BENEFICIARIES (1) Primary instrumentalities (2) GOCCs. (b) Not married. and (d) Has not reached 21 years of age. legally adopted. and illegitimate. and financial institutions with original charters (3) The Constitutional Commissions and the Judiciary EMPLOYEE DEPENDENT (1) Any person receiving compensation while in the service of an ER whether by election or appointment. and (b) Dependent legitimate and legitimated or legally adopted and illegitimate children Dependent parents. (b) Not married. or if over 21 years. (c) Not gainfully employed.

coaches.000 (3) Self-employed EEs as may be determined by the Commission. scriptwriters and news correspondents. Commissions— life insurance only All are tax-exempt All are tax-exempt COVERAGE (1) Compulsory (1) All EEs not over 60 years of age and their ERs (2) Domestic helpers with monthly income not less than P1. irrespective of employment status Members of Judiciary and Constitutional Commissions qualify for life-insurance only (2) Voluntary . but not limited to: (a) All self-employed professionals (b) Partners and single-proprietors of business (c) Actors and actresses. including. trainers and jockeys. (e) Individual farmers and fishermen Effectivity: For EEs—first day of employment For ERs—first day of his operation For self-employed—upon their registration with the SSS (1) Filipinos recruited by foreign-based ERs for employment abroad (2) EE under compulsory coverage is separated from employment (3) Self-employed— realizes no income in any given month (4) Spouse who devotes full time managing household and family affairs unless employed subject to mandatory coverage Any foreign government. who do not fall within definition of EEs (d) Professional athletes.(5) (6) (7) (8) under the Act. Compulsory for all EEs receiving compensation who have not reached compulsory retirement age. directors. benefits shall be paid to legal heirs in accordance with the law of succession) Permanent disability Funeral Sickness Maternity (but only for the 1st 4 deliveries or miscarriages) (d) Survivorship (e) Separation (f) Funeral (2) Judiciary and Const.owned instrumentality employing workers in the Philippines or employing Filipinos outside the Philippines may enter into agreement with Philippine govt for inclusion of such EEs in SSS except those already covered by their respective civil service retirement system. international organization or their wholly.

habitual intoxication. (1997 Bar Question) .(3) By arrangement EXCEPTIONS FROM COVERAGE BASIS OF CLAIM (1) Employment purely casual and not for purpose occupation. or business of ER (2) Service performed by an EE on or in connection with alien vessel. The Employees Compensation Commission shall ensure adequate coverage of Filipino EEs employed abroad. or any person compulsorily covered by the SSS are covered by the Employees Compensation Program. or willful intention to kill himself or another Q: State the respective coverages of (a) Social Security Law. (c) Coverage in the State Insurance Fund (Art. RA 8291) shall be compulsory for all permanent EEs below 60 years of age upon appointment to permanent status. 168. Provided. Coverage in the SSS shall also be compulsory upon all self-employed persons earning P1.800 or more per annum. substitute or contractual. whether elected or appointed. or international organizations. 3. emergency. subject to regulations as it may prescribe. if employed when such vessel is outside of Phils (3) EEs of Phil govt or instrumentality or agency thereof (4) Service performed in the employ of a foreign government. sickness. 170) Any person compulsorily covered by the GSIS including the members of the Armed Forces of the Philippines. maternity. (b) the Revised Government Service Insurance Act and (c) the Employees Compensation Acts. temporary. death and old age and other contingencies resulting in loss of income or financial burden (1) Members of the AFP (2) Members of the PNP (members of the judiciary and constitutional commissions— life insurance only) GSIS is exempt from liability where permanent disability due to his grave misconduct. 9. LC) shall be compulsory upon all ERs and their EEs not over 60 years of age. and any person employed as casual. or their wholly-owned instrumentalities (5) Services performed by temporary and other EEs excluded by SSS regulation (6) EEs of bona fide independent contractors shall not be deemed EEs of the ER engaging the services of an independent contractor Non-work connected disability. Any person. Answer: (a) Coverage of SSS (Sec. in the service of an ER is covered EE if he receives compensation for such service. that an EE who is over 60 years of age and paying contributions to qualify for the retirement or life insurance benefit administered by the System shall be subject to compulsory coverage. (Art. (b) Membership in the GSIS (Art. and for all elective officials for the duration of their tenure. RA 8282) shall be compulsory upon all EEs not over 60 years of age and their ERs. Filipinos recruited in the Philippines by foreign-based ERs for employment abroad may be covered by the SSS on a voluntary basis.

GSIS denied the claim stating that after Efrenia’s retirement. the Supreme Court cautioned against a too strict interpretation of the law which may be detrimental to the claimants and advised the GSIS of the constitutional mandate on protection to labor and the promotion of social justice. Her back hit the edge of a desk. She has been in the government service since 1951 up to Nov. as the case may be. 1985. The same law does not provide for separation fee from employment as a basis for denial of benefits. After an X-ray examination. Alternative Answers: a) No. the GSIS erred in denying the claim. the State Insurance Fund shall be liable for the income benefit of the new disability even after her retirement. disability or retirement? Please explain your answers briefly. Title II. . Reyes may be considered still as an EE so that she could receive additional benefits for the progression of her ailment. Suggested Answer: Considering that the disability of Reyes is work connected. she filed with the GSIS a claim for disability benefits under PD 626. Compassion for them is not a dole but a right. she accidentally slipped. or Book IV. or vice-versa. while she was teaching her Grade 1 pupils the proper way scrubbing and sweeping the floors. 205 SCRA 331 (1992). and the Golden Corporation Workers Union provides a package of welfare benefits far superior in comparison with those provided for in the Social security Acts of 1997. The welfare plan of the company is funded solely by the employer with no contributions from the employees. The company and the union jointly filed a petition with the Social security System for exemption from coverage. any progression of her ailment is no longer compensable. She later complained of weak lower extremities and difficult in walking. Was Reyes still an “employee” for the purpose of applying the above provision of the Labor Code? Liberally construing said provision. A humanitarian impulse dictated by no less than the Constitution itself under the social justice policy. When an EE is constrained to retire at an early age due to his illness and the illness persists even after retirement. After she underwent a surgical operation on her spine in Nov. The GSIS granted the claim and awarded Efrenia permanent partial disability benefits. we should caution against too strict interpretation of the rules that will result in the withholding of full assistance from those whose capabilities have been diminished if not completely impaired as a compensation of their service in the government. Said the Court: The GSIS and the ECC should be commended for their vigilance against unjustified claims that will only deplete the funds intended to b disbursed for the benefit only of deserving disabled EEs. In 1985. the provisions of the Labor Code dealing with EEs compensation should determine her right to benefits. resulting in his continued unemployment such condition amounts to total disability which should entitle him to the maximum benefits of the law. In the event the EEs transfer from the private sector to the public sector. (1996 Bar Question) Q: The Collective Bargaining Agreement of the Golden Corporation. as amended. A: The “portability” provisions of RA 7699 allow the transfer of funds for the account and benefit of the worker who transfers from one system to another. Is the GSIS correct in denying the claim? Explain. disability or retirement benefits. her condition worsened. if any EE under permanent partial disability suffers another injury which results in a compensable disability greater than the previous injury . This is advantageous to the SSS and GSIS members for purposes of death. calls for a liberal and sympathetic approach to the legitimate appeals of disabled public servants. Will the petition for exemption from coverage prosper? Reason. Nevertheless. it is the best welfare plan in the Philippines. b) No. (2005 Bar Question) Q: Efrenia Reyes was a classroom teacher assigned by the DECS in Panitan. Inc. for purposes of death. Note. their creditable employment services and contributions are carried over and transferred from one system to the other. Her disability which should entitle her to the maximum falls within the definition of permanent disability.Q: how are the “portability” provisions of RA 7699 beneficial or advantageous to SSS and GSIS members in terms of their creditable employment services in the private sector or the government. Efrenia filed with the GSIS a petition for conversion of her disability status to permanent total disabilities with corresponding adjustment of benefits. According to said provisions. GSIS. that the original claim and grant of benefits was based on PD 626. The worsening of the school teacher’s condition I a direct result. In 1990. In March. 1985 when she retired at 55 due to poor health. Capiz. 1982. she was founds to be suffering from Pott’s disease and was advised to undergo an operation. or a continuing result of the first injury which was deemed work-connected by the GSIS and hence compensable. In Diopenes vs. Admittedly. LC: Employees Compensation and State Insurance Fund.

because coverage under the SSS is compulsory where employer-employee relations exist however. Among others. he had his own schedule of work hours without any supervision from the company. carabao and other implements and his having his own schedule of work hours without any supervision from the company do not erase the element of control on the part of ABC & Co. harrow. Pablo should be under the control of ABC & Co.. NLRC) (2003 Bar Question) . as regards his employment. ABC & Co. be a valid defense against the petition? SUGGESTED ANSWER: ABC and Co. But the as such.Suggested answer: No. It is not necessary thus the same be exercised by the employer. without any supervision from the company. be directed to pay the premium contributions of Pablo and that his name be reported for SSS coverage. burrow. if the private plan is superior to that of the SSS. has a valid defense. v. payment of wages. ANOTHER SUGGESTED ANSWER: It is not a valid defense. he is an independent contractor and not an employee. would this factual setting advance by ABC & Co. An independent contractor is not under the compulsory coverage of the SSS. But the facts show that he was not under the control of ABC & Co. Inc. has no legal obligation to report Pablo for coverage under the SSS because ABC & Co. his widow filed a claim for burial grant and pension benefits with the Social Security System (SSS). as amended by RA 8282) (2000 Bar Question) Q: Pablo was a farm-hand in a plantation owned by ABC & Co. (Religious of the Virgin Mary v. The element of hiring. Pablo’s use of his plow. He may be covered as a self-employed person. countered that Pablo was hired to plow. Pablo’s widow filed a petition before the SSS asking that ABC & Co. SSS. harrow and burrow. RA 1161. the plan may be integrated with the SSS plan.. it is enough that such right to control exists. for fifteen years now. it is integration and not exemption from SSS law. (Philippine Blooming Mills Co. Thus. for Pablo could be considered an employee of ABC & Co. as regards his employment. power to dismiss and power to control are presumed from the fact that Pablo is working six days a week. To be an employee. using his own carabao and other implements and following his own schedule of work hours. If proven. ABC & Co. Pablo should be an employee of ABC & Co. is not Pablo’s employer. it is enough that the employer’s right to control exists. The claim was denied on the ground that Pablo had not been a registered member-employee. because under the “control test”. to be under the compulsory coverage of the SSS. Still. working approximately 6 days a week for a good 15 years. Upon Pablo’s death.