San Beda College of Law: Book Five

San Beda College of Law
MEMORY AID IN LABOR LAW
1. defect which is congenital or LABOR RELATIONS the interactions

acquired during minority between the employer and employees
2. legitimate spouse living with the and their representatives and the
employee mechanism by which the standards and
3. the parents of said employee wholly other terms and conditions of
dependent upon him for regular employment are negotiated, adjusted
support and enforced.
BENEFITS LABOR RELATIONS LAW those

1. for life to the primary beneficiaries, intended to stabilize the relations of
guaranteed for five years employees and their employers, adjust
2. for not more than 60 months to the differences between them through the
secondary beneficiaries in case there encouragement of collective bargaining,
are not primary beneficiaries and settle labor disputes through
3. in no case shall the total benefit be conciliation, mediation and arbitration.
less than P15,000.00
it defines the status, rights, and
BENEFICIARIES duties and the institutional
PRIMARY BENEFICIARIES mechanisms that govern the
A. dependent spouse until he individual and collective
remarries interactions of employers,
B. dependent children (legitimate, employees or their
legitimated, natural born or legally representatives.
adopted) Absent an employer-employee
relation, there is no labor
SECONDARY BENEFICIARIES relations to speak of.
A. illegitimate children and legitimate
descendants - Collective bargaining process is
B. parents, grandparents, possible only when there is a labor
grandchildren organization, i.e., (1) labor union
or (2) employee association.
TITLE III
MEDICARE POLICY is intended to install industrial
democracy centered on collective
(Repealed by National Health Insurance bargaining, leading to social justice as
Act of 1995) the end goal.
(See annex for PHILHEALTH)
PARTIES TO LABOR RELATIONS CASES:
PAG-IBIG Law- creates a provident 1. employees organization,
savings system for employees, public and 2. management, and
private, with housing as the primary 3. the public
investment. The public is always to be
considered in disputes between
labor and capital, and it has
BOOK FIVE been held that the rights of the
general public are paramount.
LABOR RELATIONS Labor relations policy under the LC is
embodied in Section 3 Article XIII of
TITLE I the 1987 Constitution which guarantees
to all workers their right among others
to:
POLICY AND DEFINITIONS
1. Self-organization,
ART. 211. DECLARATION OF POLICY
LABOR LAW COMMITTEE

CHAIRPERSON: Francis Benedict Rotutar ASSISTANT CHAIRPERSON: Juanito Lim, Jr. SUBJECT HEADS: Aimee Roselle
Sabilala(Labor Standards), Elsa Villaflor(Labor Relations), Maria Fe Taal (Special Laws) EDP: Flora Sherry Basquiez
ASST. EDPS: Jennifer Trinidad, Ma. Jasmine Isip, Emil Bien Ongkiko, Kareen Faye Pioquinto
2. Collective bargaining and regular employee and is not included in

negotiations, the definition of domestic helper.
3. Peaceful and concerted activities
including the right to strike in FELIX vs. BUENASEDA (240 SCRA 139):
accordance with law, and Residency or resident physician position
4. Participate in policy and in a medical specialty is not employment
decision-making processes but connotes training and temporary
affecting their rights and status. (No E-E relationship)
benefits as may be provided by
law.
WORKERS ASSOCIATION - any
ART. 212. DEFINITIONS association of workers organized for the
mutual aid and protection of its
EMPLOYER- one who employs the members or for any legitimate purpose
services of others; one for whom other than for collective bargaining.
employees work and who pays their
wages or salaries. INDEPENDENT UNION It refers to any
any person acting in the interest of an labor organization operating at the
employer, directly or indirectly. The enterprise level whose legal personality
term does not include a labor is derived through an independent action
organization or any of its officers and for registration with the Bureau of Labor
agents, EXCEPT when acting as an Relations (BLR) of the Department of
employer. Labor and Employment prescribed under
Art. 234. It may be affiliated with a
EMPLOYEE- one who works for an federation, national or industry union, in
employer; a person working for salary or which case it may also be referred to as
wages. an affiliate.
Shall not be limited to the
employees of a particular FEDERATION - any labor organization
employer, and it shall include with at least 10 locals/chapters or
any individual whose work affiliates each of which must be a duly
has ceased as a result of or in certified or recognized as the sole and
connection with any current exclusive collective bargaining agent of
labor dispute or because of any the employees of an appropriate
unfair labor practice IF he has bargaining unit.
not obtained any other:
1. Substantially equivalent LEGITIMATE WORKERS ASSOCIATION
and refers to an association of workers
2. Regular employment organized for mutual aid and protection
(Art.212f) of its members of for any legitimate
purpose other than collective bargaining
ICAWO vs. CIR (16 SCRA 562): The registered with the Department in
category of any employee is so broad accordance with Rule III, Sections 2-C
as to justify employee status for and 2-D of these rules.
supervisors, regular workers, casual
employees, emergency laborers, LABOR MANAGEMENT COUNCIL
substitute workers, seasonal workers, - Deals with the employer on
part-time workers and other special matters affecting the employees
work groups. rights, benefits and welfare.
- Purposes are to:
APEX MINING CO., vs. NLRC (196 SCRA a. promote gainful employment
251): Laundrywoman not actually b. improve working conditions and
serving the family of the employer but c. achieve increased productivity
working in the staff houses or within the (RA 6971)
premises of the employers business is a
LABOR LAW COMMITTEE

LABOR ORGANIZATION any union or coercion, restraint or

association of employees which exists in interference in unionization
whole in part for the purpose of efforts; reprisal or discrimination
collective bargaining with employers due to union activities; company
concerning terms and conditions of unionism]
employment. b. Representation disputes [e.g.,
determination of the collective
LEGITIMATE LABOR ORGANIZATION- bargaining unit; ULP strike;
any labor organization which is duly uncertainty as to determination
registered with the Department of Labor. of the sole and exclusive
The term includes a local/chapter of the bargaining agent of the
Bureau of Labor Relations directly employees in an appropriate
chartered by a legitimate federation or bargaining unit which is the
national union which has been duly majority union]
reported to the Department in c. Bargaining disputes [e.g., refusal
accordance with Rule VI, Section 2 of to bargain (ULP); bargaining
Book V of the Rules Implementing the deadlock; economic strike or
LC. lockout]
d. Contract administration or
LABOR DISPUTE includes any personnel policy disputes [e.g.,
controversy or matter concerning: noncompliance with CBA
provisions (ULP if gross
1. terms or conditions of employment noncompliance with economic
OR provisions); disregard of
2. the association or representation of grievance machinery; violation
persons in negotiating, fixing, no strike/no lockout agreement]
maintaining, changing or arranging e. Employment tenure disputes
the terms and conditions of [e.g., non regularization of
employment employees; illegal termination;
non-issuance of employment
REGARDLESS of whether the disputants contract]
stand in the proximate relation of
employer and employee. PARTIES TO A DISPUTE:
1. PRIMARY PARTIES employer,
The test employees, union
of whether a labor controversy comes 2. SECONDARY PARTIES voluntary
within the definition of a labor dispute arbitrator, agencies of DOLE (BLR,
depends on whether it involves or VAC), NLRC, Sec. of Labor, Office of
concerns terms, conditions of the President
employment, or representation.
TITLE II
TYPES OF LABOR DISPUTES:
1. Labor Standards Disputes
NATIONAL LABOR RELATIONS
a. Compensation [e.g.,
underpayment of minimum COMMISSION
wage; stringent output quota;
illegal pay deductions] CHAPTER I
b. Benefits [ e.g., nonpayment of
holiday pay, overtime pay or other CREATION AND COMPOSITION
benefits]
c. Working conditions [e.g., unrectified
ART. 213. NATIONAL LABOR
work hazards]
RELATIONS COMMISSION
2. Labor Relations Disputes
a. Organizational right dispute/ NLRC an administrative body with
unfair labor practice [e.g., quasi-judicial functions and the principal
government agency that hears & decides
LABOR LAW COMMITTEE

labor-management disputes; attached to 2. workers organizations-

the DOLE for program & policy nominated by the labor
coordination only. federation
3. employer and
POWERS of the NLRC as amended by management sector-
R.A. 6715 nominated by the Employers
Confederation of the
EN BANC Philippines (ECOP)
1. Promulgating rules & QUALIFICATIONS OF THE CHAIRMAN AND

regulations governing the THE COMMISSIONERS:
hearing & disposition of cases 1. must be a member of the
before any of its divisions and Philippine Bar;
regional branches and 2. must have been engaged in the
formulating policies affecting practice of law in the Philippines
its administration and for at least 15 years;
operations. 3. must have experience or
exposure in handling labor
2. Under R.A. 7700: to allow cases management relations for at
within the jurisdiction of any least 5 years; and
division to be heard and 4. preferably a resident of the
decided by any other decision region where he is to hold office.
whose docket allows the
additional workload. The appointment of the Chairman
and the Commissioners of the NLRC
DIVISION are not subject to confirmation by
the Commission on Appointments.
1. Exercises adjudicatory or
appellate power over decisions QUALIFICATIONS OF EXECUTIVE
of Labor Arbiters and Regional LABOR ARBITERS/LABOR ARBITERS:
Directors of the DOLE over 1. must be members of the
monetary claims not over Philippine Bar;
P5,000.00 and all other powers, 2. must have been engaged in the
functions and duties through its practice of law in the Philippines
divisions. for at least 7 years; and
3. must have experience or
TRIPARTISM exposure in handling labor
management relations for at
The NLRC is composed of five (5) least 3 years.
divisions.
TERM OF OFFICE OF THE CHAIRMAN,
Three (3) sectors are COMMISIONERS, AND LABOR ARBITERS:
represented in the composition
of the NLRC. They shall hold office during good
behavior until they reach the age of
Each division composed of three 65 unless removed for causes as
commissioners will have provided by law or become
representatives from the incapacitated to discharge the
following: function of his office.
1. from the public sector- A. EXCLUSIVE AND ORIGINAL

nominated by the Secretary JURISDICTION OF THE NLRC:
of Labor
LABOR LAW COMMITTEE

1. Cases certified to it for compulsory divisions. (St. Martins Funeral Homes

arbitration by the Secretary of Labor vs. NLRC; G.R. No. 130866)
under Art. 263 CERTIFIED CASES;
- Findings of facts of a labor tribunal
2. INJUNCTION CASES under Art. 218 are accorded the utmost respect by the
and 264; AND courts and are well-nigh conclusive if
3. CONTEMPT CASES supported by substantial evidence.
B. EXCLUSIVE APPELLATE JURISDICTION - Labor cases are not subject to

OF THE NLRC: Barangay Conciliation since ordinary
rules of procedure are merely suppletory
1.Cases DECIDED BY LABOR in character vis--vis labor disputes
ARBITERS under Art 217b of the which are primarily governed by labor
Labor Code and Sec 10 RA laws.
8012(Migrant Workers Act); and
- The failure of the petitioner to
2.Cases DECIDED BY THE REGIONAL file a motion for reconsideration of the
OFFICES OF DOLE IN THE EXERCISE decision of NLRC before filing a petition
OF ITS ADJUDICATORY FUNCTION for certiorari has in certain instances
under Art 129 of the Labor Code over been held not to be a fatal omission.
monetary claims of workers
amounting to not more that - In certain cases however the
P5,000.00 filing of a Motion for Reconsideration is
deemed a condition sine qua non for the
THE NLRC ONLY SITS EN BANC FOR filing of a Petition for Certiorari.
PURPOSES OF:
CHAPTER II
a. promulgating rules and regulations POWERS AND DUTIES
governing the hearing and disposition of
cases before any of its divisions and
regional branches, and ART. 217. JURISDICTION OF
LABOR ARBITERS AND THE COMMISSION
b. formulating policies affecting its
administration and operations. EXCLUSIVE AND ORIGINAL
The Commission may only sit JURISDICTION OF LABOR ARBITERS:
en banc for the determination
of policies and NOT for - Except as otherwise provided
purposes of adjudication. (RA under this Code the Labor Arbiters
6715) shall have original and exclusive
jurisdiction to hear and decide, within
Adjudication of cases certified 30 calendar days after the submission of
to the NLRC, or appealed to it the case by the parties for decision
from the decision of its Labor without extension, even in the absence
Arbiters are referred to and of stenographic notes, the following
decided by its five (5) divisions. cases involving all workers, whether
agricultural or non-agricultural:
-Petitions for certiorari (Rule 65)
against decisions of the NLRC should 1. ULP cases;
henceforth be initially filed with the
Court of Appeals in strict observance of 2. TERMINATION disputes;
the doctrine on the hierarchy of courts
as the appropriate forum for the relief 3. If accompanied WITH A
desired. The Court of Appeals is CLAIM FOR REINSTATEMENT,
procedurally equipped to resolve unclear those cases that workers may
or ambiguous factual finding, aside from file involving wages, rates of
the increased number of its component
LABOR LAW COMMITTEE

pay, hours of work and other a. Disputes on the

terms and conditions of interpretation or implementation of
employment; CBA and
4. Claims for actual, moral, b. those arising from the

exemplary and other forms of interpretation or enforcement of
DAMAGES arising from employer- company personnel policies.
employee relations;
The labor arbiter and the NLRC have
5. CASES ARISING FROM ANY no jurisdiction over claims filed by
VIOLATION OF ART 264 of this employees against international
Code, including questions agencies such as IRRI, WHO etc.
involving the legality of strikes unless they expressly waive their
and lockouts; immunity. (Lasco vs. UNRFNRE)
6. Except claims for Employees They also have no jurisdiction over

Compensation, Social Security, illegal dismissal cases of corporate
Medicare and maternity benefits, officers which fall under PD 902-A
ALL OTHER CLAIMS ARISING and now fall under the jurisdiction of
FROM EMPLOYER-EMPLOYEE the Regular Courts pursuant to the
RELATIONS, including those of New Securities Regulation Code.
persons in domestic or household [Formerly under the jurisdiction of
service, involving an amount the Securities and Exchange
exceeding P5,000.00 regardless Commission (SEC) (Dily-Daly Nakpil
of whether accompanies with a vs NLRC)]
claim for reinstatement;
7. MONETARY CLAIMS OF
OVERSEAS CONTRACT WORKERS
under the Migrant Workers Act of
1995; and
8. Claims of employees against

GOCCs if the latter does not
have an original charter and has
been incorporated under the
Corporation Code.
Although the provision speaks of

EXCLUSIVE AND ORIGINAL
JURISDICTION OF labor arbiters,
the cases enumerated may
instead be submitted to a
voluntary arbitrator by
agreement of the parties under
Art. 262. The law prefers
voluntary over compulsory
arbitration.
Cases which must be disposed of

by the labor arbiter by referring the
same to the grievance machinery and
voluntary arbitration:
LABOR LAW COMMITTEE

In the absence of service of threatened or committed

summons or a valid waiver charged with the duty to protect
thereof, the hearings and the complainants property.
judgment rendered by the labor
arbiter are null and void. c. RECEPTION AT THE HEARING OF
THE TESTIMONIES OF WITNESSES
COMPULSORY ARBITRATION: The with opportunity for cross-
process of settlement of labor disputes examination, in support of the
by a government agency which has the allegations of the complaint made
authority to investigate and make and under oath as well as testimony in
award binding to the parties. opposition thereto
The NLRC may conduct compulsory d. FINDING OF FACT of the Commission

arbitration only in national interest cases to the effect that :
referred to it by the DOLE secretary. prohibited or unlawful acts
have been threatened and will
Labor arbiters jurisdiction is be committed, or have been
employment related. committed and will be
continued unless restrained,
ART. 218. POWERS OF THE but no injunction or temporary
COMMISSION restraining order shall be
issued on account of any
POWERS OF THE NLRC: threat, prohibited or unlawful
a. R act, except against the
ule-making power [promulgation persons, association or
of rules & regulations governing organization making the threat
disposition of cases before any of or committing the prohibited
its divisions/regional offices] or unlawful act or actually
b. P authorizing or ratifying the
ower to issue compulsory same after actual knowledge
processes [administer oaths, thereof.
summon parties, issue That substantial and
subpoenas] irreparable injury to the
c. Power to investigate matters and complainants property will
hear disputes within its follow
jurisdiction [adjudicatory power That as to each item of relief
original & appellate to be granted, greater injury
jurisdiction over cases] will be inflicted upon
d. Contempt power [218] complainant by the denial of
e. Power to issue injunctions and the relief than will be inflicted
restraining orders upon the defendants by the
granting of the relief
PROCEDURE FOR THE ISSUANCE That complainants has no
OF RESTRAINING ORDER/ INJUNCTION: adequate remedy at law
a. filing of a verified PETITION That public officers charged
with the duty to protect
b. HEARING AFTER DUE AND PERSONAL complainants property are
NOTICE has been served in such manner unable or unwilling to furnish
as the Commission shall direct, to: adequate protection.
a. all known persons against
whom the relief is sought and e. Posting of a BOND
b. also to the Chief Executive
or other public officials of the IRREPARABLE INJURY: An injury
province or city within which the which cannot be adequately
unlawful acts have been compensated in damages due to the
LABOR LAW COMMITTEE

nature of the injury itself or the nature The procedural and

of the right or property injured or when substantial requirements of Art 218
there exists no pecuniary standard for (e) must be strictly complied with
the measurement of damages. before an injunction may issue in a
labor dispute.
ADEQUATE REMEDY: One that
affords relief with reference to the THE FOLLOWING CAN ISSUE
matter in controversy and which is INJUNCTIONS/ TRO IN LABOR DISPUTES:
appropriate to the particular
circumstances of the case. 1. President (ART. 263, g)
2. Secretary of Labor (ART. 263, g)
The power of the NLRC to enjoin or 3. NLRC (218)
restrain the commission of any or all 4. Labor Arbiters (ART. 217/RULE XI
prohibited or unlawful acts under Art. Sec. 1 of IR&R)
218 of the Labor Code can only be 5. Regional Directors
exercised in a labor dispute. 6. Med- Arbiters
REQUISITES BEFORE TRO MAY BE ART. 219. OCULAR INSPECTION

ISSUED EX PARTE:
1. The complainant shall ALLEGE The Chairman, any Commissioner,
THAT, unless a TRO is issued labor Arbiter or their duly authorized
without notice, a substantial representatives may, at anytime during
and irreparable injury to working hours:
complaints property will be a. Conduct an ocular inspection on
unavoidable; any establishment, building,
2. TESTIMONY UNDER OATH is ship, place or premises,
sufficient, if sustained, to justify including any work, material,
the Commission in issuing a implement, machinery,
temporary injunction upon appliance or any object therein;
hearing after notice; and
3. The complainant shall first FILE b. Ask any employee, laborer, or
AN UNDERTAKING WITH any person as the case may be
ADEQUATE SECURITY/BOND in for any information or date
an amount to be fixed by the concerning any matter or
Commission sufficient to question relative to the object of
recompense those enjoined for the investigation
any loss, expenses or damage
caused by the improvident or ART. 221. TECHNICAL RULES NOT
erroneous issuance of such order BINDING AND PRIOR RESORT TO
or injunction, including all AMICABLE SETTLEMENT
reasonable costs, together with The NLRC may disregard technical
a reasonable attorneys fee, and rules of procedure in order to give life to
expense of defense against the the constitutional mandate affording
granting of any injunctive relief protection to labor. (Principe vs.
sought in the same proceeding Philippine-Singapore Transport Services
and subsequently denied by the Inc.)
Commission.
The TRO shall be effective RES JUDICATA applies only to
for no longer than 20 days and shall judicial or quasi-judicial proceedings and
become void at the expiration of NOT to the exercise of administrative
said 20 days counted from the date powers.
of the posting of the bond.
It may be lifted or it may be APPROVAL OF AN AMICABLE
upgraded to a permanent injunction. SETTLEMENT BY A LABOR ARBITER
LABOR LAW COMMITTEE

An amicable settlement of a labor ATTORNEYS FEES:

dispute should be approved by the labor 1. Art. 111 Labor Code (simple
arbiter before whom the case is pending monetary claim)
after being satisfied that: The maximum amount to be
given a lawyer for his legal
a. it was VOLUNTARILY ENTERED into assistance rendered which is 10% of
by the parties and the total monetary award adjudged
the employees excluding the award
after having EXPLAINED for moral and exemplary damages.
TO THEM THE TERMS AND To demand more than this is
CONSEQUENCES thereof. unlawful.
PURPOSE: for the employees 2. Art. 222

protectionbecause the labor arbiter
before whom the case is pending would a. Attorneys fees for CBA
be in a better position than just any negotiations and conclusion shall
other person to personally determine the be in the amount agreed upon by
voluntariness of the agreement and the parties to be taken from the
certify its validity (Periquet vs. NLRC). union funds and not from
individual union members.
The Rules of Court are applied in a
suppletory character. b. This article prohibits the
payment of attorneys fees only
COMPROMISE, as a way of settling where the same is effected
disputes is encouraged through forced contributions
through compromise, the from the workers form their own
parties, by making reciprocal funds as distinguished from union
concessions, avoid litigation funds.
or put an end to one already
commenced. c. Neither the lawyer nor the
union itself may require the
ART. 222. APPEARANCES AND individual workers to assume the
obligation to pay the attorneys
FEES
fees from their own pockets.
Any agreement to the contrary
APPEARANCE OF NON-LAWYERS
shall be null and void.
BEFORE THE COMMISSION:
ARTICLE 211 VS ARTICLE 222
GENERAL RULE: ONLY lawyers can
appear before the NLRC or a Labor
ART. 211 ART. 222
Arbiter
Prohibits the Prohibits the
award of attorneys payment of
EXCEPTIONS: Non-Lawyers can fees which exceed attorneys fees only
appear ONLY in the following instances: 10% of the amount when it is effected
of wages through forced
1. if they represent recovered. contribution from the
themselves; workers from their
2. if they represent their own funds as
organization or members distinguished from
thereof; or union funds
PURPOSE: to PURPOSE: to
3. if he is a duly accredited
fix the limit on the prevent the
member of the legal aid office amount of imposition on the
duly recognized by the DOJ in attorneys fees. workers of the duty
cases referred thereto by the The victorious to individually
latter or by the IBP. party may recover contribute their
in any respective shares in
LABOR LAW COMMITTEE

San Beda College of Law 10
administrative or the fee to be paid to

It is the policy of the state to
judicial the attorney for his settle expeditiously labor
proceeding. services to the union. disputes.
The perfection of an appeal
CHAPTER III within the statutory/
reglementary period is not
APPEAL only mandatory but also
jurisdictional and failure to
ART. 223. APPEAL do so renders the questioned
decision final and executory
GROUNDS FOR APPEAL: as to deprive the appellate
court of jurisdiction to alter
1. If there is prima facie evidence the final judgment of the
of abuse of discretion on the part of RDs and LAs. (Aboitiz
the Labor Arbiter Shipping Employees
2. If the decision, order or award Association vs. Trajano)
was secured through fraud or REQUISITES FOR THE PERFECTION
coercion, including graft and OF AN APPEAL TO THE NLRC:
corruption; 1. Filing of A VERIFIED
3. If made purely on questions of MEMORANDUM OF APPEAL within
law; and the required period of appeal;
4. If serious errors in the findings of 2. In case of monetary award, when
facts are raised which would cause the appellee is the employer he
grave or irreparable damage or should file an APPEAL BOND
injury to the appellant. corresponding to the monetary
award excluding awards for moral
PERIODS WITHIN WHICH TO and exemplary damages and
APPEAL: attorneys fees.
Where the employer
A. decisions of the regional director: failed to post a bond to
perfect its appeal, the
within 5 calendar days from remedy of the employee is a
receipt of the order [129 LC motion to dismiss the
Recovery of wages and simple appeal, NOT a petition for
money claims of the amount not mandamus.
exceeding P5,000.00]. The intention of the
lawmakers is to make the
B. decisions of the labor arbiter: bond an indispensable
requisite for the perfection
within 10 calendar days from of an appeal by the
the receipt of the decision. employer.
The appeal must be under oath 3. Appeal fee of P150;
and must state specifically the 4. Proof of service - furnish the
grounds relied upon and the other party with a copy of the
supporting arguments. memo of appeal.
Where the 10th day falls on a
Saturday, Sunday or legal Failure to give a copy of
holiday, the appeal may be filed the appeal to the appellee
on the next business day. (Rules within 10 days is not fatal IF
of Procedure of NLRC) the latter was not
prejudiced by the delay in
PERIOD TO APPEALNOT the service of said copy of
EXTENDIBLE the appealtechnical rules
must yield to the broader
interest of substantial
LABOR LAW COMMITTEE

justice. (Modern Fishing WITH PAYMENT OF THE ACCRUED

Gear Labor Union vs. Noriel) SALARIES.
A mere notice of appeal Failure to exercise one
does not stop the running of of the foregoing options may
the reglementary period of be compelled under pain of
appeal. contempt and the employer
may be made to pay instead
EXECUTION PENDING APPEAL - the the salary of the employee.
decision of the labor arbiter ordering
the reinstatement of a dismissed or A petition for relief from the decision
separated employee shall be of the labor arbiter must strictly
immediately executory insofar as the comply with 2 reglementary periods:
reinstatement aspect is concerned and
the posting of an appeal bond by the 1. The petition must be filed within
employer shall not stay such 60 days from knowledge of the
execution. judgment; and
2. The petition must be filed within
There is no need for a a fixed period of 6 months from
motion for the issuance of entry of such judgment.
writ of execution on the Petitions filed beyond
reinstatement order as it is said period will no longer be
self-executory. (Pioneer entertained.
Texturizing Co. vs. NLRC)
APPEAL FROM THE DECISION OF THE
Perfection of appeal within the NLRC:
reglementary period is both MANDATORY
and JURISDICTIONAL. (ACDA vs NLRC; No law allows an appeal from a
Volkschel vs NLRC) decision of the Secretary of Labor, or the
NLRC, or of a voluntary arbitrator. In
Non-service of the copy of the these cases, the special civil action of
appeal/appeal memorandum to the certiorari, prohibition or mandamus
adverse party is not a jurisdictional under Rule 65 of the Rules of Court may
effect and does not justify dismissal of be lodged with the Court of Appeals.
the appeal. (St. Martins Funeral Home vs. CA)
No Motion for Reconsideration is
allowed for any order, decision
AMOUNT OF APPEAL BOND: amount or award of a Labor Arbiter.
equal to the monetary award exclusive However a Motion for
of damages (moral and exemplary) plus Reconsideration of a Labor
attorneys fees. Arbiters decision, award or
order which has all the elements
OPTIONS OF THE EMPLOYER IN of an appeal may be treated as
COMPLYING WITH AN ORDER OF appeal.
REINSTATEMENT WHICH IS IMMEDIATELY Only one Motion for
EXECUTORY: Reconsideration of the decision,
1. He can ADMIT THE DISMISSED award or order of the
employee back to work under the commission on appealed cases
same terms and conditions prevailing before it.
prior to his dismissal or separation or
to a substantially equivalent position ART 224. EXECUTION OF
if the former position is already DECISIONS, ORDER, OR AWARDS
filled up, OR
The decision of the Secretary of
2. He can REINSTATE THE Labor, the Commission, the Bureau or
EMPLOYEE MERELY IN THE PAYROLL Regional Director the Labor Arbiter, the
LABOR LAW COMMITTEE

Med-Arbiter or the Voluntary Arbitrator EXCLUSIVE AND ORIGINAL

shall be final and executory after 10 JURISDICTION OF THE BLR
calendar days from receipt thereof by
the parties and shall be executory -to act at its own initiative or upon
within ten (10) years. the request of either or both parties on
all:
The foregoing may, upon its 1. INTRA- union conflicts
own initiative or on motion of
any interested party, issue a 2. INTER- union conflicts
writ of execution on a
judgment within 5 years from 3. all DISPUTES, GRIEVANCES OR
the date it becomes final and PROBLEMS ARISING FROM OR
executory. AFFECTING LABOR MANAGEMENT
An independent action is RELATIONS IN ALL WORKPLACES
required for the execution of the WHETHER AGRICULTURAL OR NON-
final judgement within the next AGRICULATURAL.
of following 5 years [ Phil.
National Railways vs NLRC (177 The parties may however, by
SCRA740, Sept. 19, 1989)] agreement, settle their
The immediate execution of differences by submitting their
judgment should be undertaken case to a voluntary arbitrator
only when the monetary award rather than taking the case to
had been carefully and the BLR.
accurately determined by the
NLRC and only after the CASES WHERE THE BLR HAS NO
employer is given the JURISDICTION:
opportunity to be heard and to Those arising from the
raise objections to the implementation or interpretation of
computation. collective bargaining agreements which
shall be subject of grievance procedure
TITLE III and/or voluntary arbitration.
BUREAU OF LABOR RELATIONS
INTRA-UNION DISPUTES refers to any
conflict between and among union
ART. 226. BUREAU OF LABOR members, including grievances arising
RELATIONS from any violation of the rights and
conditions of membership, violation of or
Pursuant to E.O. 126, the NATIONAL disagreement over any provision of the
CONCILIATION AND MEDIATION BOARD unions constitution and by-laws, or
(NCMB) has absorbed the conciliation, disputes arising from chartering or
mediation and voluntary arbitration affiliation.
functions of the BLR.
MED-ARBITER- an officer in the
Jurisdiction over labor- regional office or bureau authorized to
management problems or hear, conciliate, and decide
disputes is also exercised by representation cases or assist in the
other offices such as the DOLE disposition of intra or inter-union
regional offices, and the Office disputes.
of the Secretary, NLRC, POEA,
OWWA, SSS-ECC, the regional COVERAGE OF INTER/INTRA-UNION
wage and productivity boards, DISPUTES (Sec. 1 Rule XI DO 40-03)
NWPC, and even the regular a. cancellation of registration of a
courts over intra-corporate labor organization filed by its
disputes. members or by any other labor
organization;
LABOR LAW COMMITTEE

b. conduct of election of union and 1. cancellation of registration

workers association of unions and workers
officers/nullification of election associations; and
of union and workers association 2. a petition for interpleader
officers;
c. audit/accounts examination of SPECIAL REQUIREMENTS AS TO THE
union or workers association FILING OF CASES:
funds; A. INVOLVING ENTIRE MEMBERSHIP
d. deregistration of CBA;
e. validity/invalidity of union 1.The complaint must be signed by
affiliation or disaffiliation; at least 30% of the entire
f. validity/invalidity of membership of the union and
acceptance/non-acceptance for 2.It must also show exhaustion of
union membership; administrative remedies.
g. validity/invalidity of
impeachment/ expulsion of B. INVOLVING A MEMBER ONLY - In such
union and workers association case only the affected member may
officers; file the complaint.
h. validity/invalidity of voluntary
recognition; Redress must first be sought
i. opposition to application for within the union itself in
union and CBA registration; accordance with its constitution
j. violations of or disagreements and by-laws EXCEPT under any
over any provision in a union or of the following circumstances:
workers association constitution a. futility of intra-union remedies
and by-laws; b. improper expulsion procedure
k. disagreements over chartering or c. undue delay in appeal as to
registration of labor constitute substantial injustice
organizations and CBAs; d. the action is for damages
l. violations of the rights and e. lack of jurisdiction of the
conditions of union or workers investigating body
f. action of the administrative
association membership; agency is patently illegal,
m. violations of the rights of arbitrary, and oppressive
legitimate labor organizations, g. issue is purely a question of law
except interpretation of CBAs; h. where the administrative agency
n. such other disputes or conflicts had already prejudged the
involving the rights to self- case
organization, union membership, i. where the administrative agency
and collective bargaining was practically given the
opportunity to act on the case but it
did not.
1. between and among
legitimate labor Imposition of fees by the union
organizations affects the entire membership,
2. between and among therefore it requires that the
members of a union or complaint should be signed by at
workers association least 30% of the membership of
the union.
EXTENDED COVERAGE (Section 2 Rule XI
DO 40-03)
Other related labor relations
disputes shall include any conflict
between a labor organization and the
employer or any individual, entity, or
group that is not a labor organization or
workers association. This includes:
LABOR LAW COMMITTEE

INTER-UNION DISPUTES -refers to any WHERE FILED Regional Office or to the

conflict between and among legitimate BLR, where the
labor organizations involving complaint originated
(records are transmitted
representation questions for purposes of
to the BLR or Sec.
collective bargaining or to any other Within 24 hours from
conflict or dispute between legitimate receipt of the
labor organizations based on any memorandum of appeal)
violations of their rights as labor
organizations.
WHO 1. For grounds under Sec. 1:
EFFECTS OF FILING/PENDENCY OF a. any LLO
INTER/INTRA-UNION DISPUTE AND b. member(s) thereof
specially concerned
OTHER LABOR RELATIONS DISPUTES 2. For grounds under Sec. 2any
(Section 3 Rule XI DO 40-03) party-in-interest
- The rights, relationships and obligations of WHERE 1. Regional Office that issued its
the parties litigants against each other and certificate of registration or
FILED
other parties-in-interest prior to the certificate of creation of
institution of the petition shall continue to chartered local- If it involves labor
unions with independent
remain during the pendency of the petition
registrations, chartered locals,
and until the date of finality of the decision workers association, its officers or
rendered therein. Thereafter, the rights, members
relationships and obligations of the parties 2. Directly with the BureauIf it
litigants against each other and other parties- involves a Federation/National
in-interest shall be governed by the decision Unions/Industry Unions, its
so ordered. officers or members
- The filing or pendency of any inter/intra- FORMAL 1. in writing
2. verified under oath
union disputes is not a prejudicial question to REQUIRE-
3. contains the following
any petition for certification election and MENTS averments
shall not be a ground for the dismissal of a a. name, address and other
petition for certification election or personal circumstances of the
suspension of proceedings for certification complainant(s) or petitioner(s);
election. b. name, address and other
personal circumstances of the
SUMMARY OF RULES ON INTRA/INTER- respondent(s) or person(s)
charged;
UNION DISPUTES (Rule XI DO 40-03) c. nature of the complaint or
petition;
MODES OF APPEAL IN INTRA/INTER- d. facts and circumstances
surrounding the complaint or
UNION DISPUTES (Rule XI DO 40-03) petition;
HOW (formal 1. Under oath e. cause(s) of action or specific
requirements) 2. Consist of a violation(s) committed;
memorandum of appeal f. a statement that the
3. Based on either of administrative remedies provided
the following grounds: for in the constitution and by-laws
a. Grave abuse of -have been exhausted or
-such remedies are not
discretion
readily available to the
b. Gross violation complainant(s) or
of the Rules petitioner(s) through no fault
4. With supporting of his/their own or
arguments and evidence -compliance with such
PERIOD Within 10 days from administrative remedies does
receipt of decision not apply to complainant(s) or
petitioner(s);
TO WHOM 1. Bureau of Labor
g. relief(s) prayed for;
APPEALABLE Relationsif the case h. certificate of non-forum
originated from the Med shopping; and
Arbiter/Regional i. other relevant matters
Director DETERMINATION OF EMPLOYER-
2. Sec. Of Laborif the
EMPLOYEE RELATIONSHIP:
case originated from the
Bureau
LABOR LAW COMMITTEE

- Since the BLR has the original and

exclusive jurisdiction to decide,
inter alia, all disputes, grievances or
problems arising from or affecting
labor-management relations in all FORMAL REQUIREMENTS OF A VALID
workplaces, necessarily, in the COMPROMISE AGREEMENT:
exercise of this jurisdiction over 1. in writing
labor-management relations, the 2. signed in the presence of the regional
Med-Arbiter has the authority, director or his duly authorized
original and exclusive, to representative.
determine the existence of an
employer-employee relationship. WITH vs. WITHOUT ASSISTANCE OF
(MY San Biscuits, Inc. vs. Laguesma DOLE-COMPROMISE AGREEMENTS
G.R. No. 9511, 22 April 1991) Without assistance With the
of DOLE assistance of
In cases where there is DOLE
overlapping of jurisdiction, a.
determine the principal issue. VALIDITY/BINDING
The agency that has jurisdiction EFFECT
thereon may decide on the - Valid and binding - Valid and binding
incidental issues. upon the parties upon the parties
b. REPUDIATION
ADMINISTRATIVE FUNCTIONS OF THE - Can be - Can no longer be
BLR: repudiated by the repudiated
1. The REGULATION OF parties by going to becomes final and
REGISTRATION of the labor unions; the Commission binding upon the
2. The KEEPING OF A REGISTRY of parties upon
labor unions; NOTE: ULP cases execution EXCEPT
3. The maintenance of a FILE OF are not subject to a. in case of non
CBAS. ART. 227. COMPROMISE compromise. compliance
AGREEMENTS; and with the
4. The maintenance of a file of all compromise
settlements or final decisions of the agreement;
Supreme Court, Court of Appeals, or
NLRC and other agencies on labor if there is
disputes. prima facie
evidence that the
REQUIREMENTS: settlement was
a. must be freely entered into; obtained through
b. must not be contrary to law, morals fraud,
or public policy; and misrepresentation,
c. must be approved by the authority or coercion
before whom the case is pending [see
discussion on article 221approval of OPTIONS WHEN COMPROMISE
labor arbiter of an amicable AGREEMENT IS VIOLATED:
settlement in a case before him. 1. enforce compromise by writ of
May be effected at any stage execution
of the proceedings and even 2. regard it as rescinded and insist upon
when there is already a final original demand.
executory judgment (2040 NCC).
Cannot be entered into when REQUIREMENTS OF A VALID
the final judgment is already in QUITCLAIM:
the process of execution.
(Jesalva vs. Bautista) 1. The quitclaim must be VOLUNTARILY
ARRIVED at by the parties;
LABOR LAW COMMITTEE

2. It must be WITH THE ASSISTANCE of parties regardless of whether or not the

the Bureau of Labor Standards, same has been certified by the BLR.
Bureau of Labor Relations or any
representative of the DOLE; and
3. The CONSIDERATION MUST BE ART 232. PROHIBITION ON
REASONABLE (required only when CERTIFICATION ELECTION
entered without the assistance of
DOLE) CONTRACT BAR RULE: provides that
while a valid and registered CBA is
Dire necessity is not an subsisting for a fixed period of 5 years ,
acceptable ground for annulling the Bureau is not allowed to hold an
the releases, especially in the election contesting the majority status
absence of proof that the of the incumbent union except during
employees were forced to the sixty (60) day period immediately
execute them. (Veloso vs. DOLE) prior to its expiration, which period is
called the freedom period.
WAIVER OF REINSTATEMENT like
waivers of money claims, a waiver of The existence of the CBA bars the
reinstatement must be regarded as a holding of an inter-union electoral
personal right which must be contest and the filing of the Petition for
exercised personally by the workers Certification Election except within the
themselves. (Jag & Haggar Jeans and freedom period.
Sportswear Corp. vs. NLRC)
PURPOSE: to minimize union
ART 231. REGISTRY OF UNIONS politicking until the proper time
AND FILE OF COLLECTIVE comes.
AGREEMENT
ART 233. PRIVILEGED
The CBA is more than a contract, COMMUNICATION
it is highly impressed with public
interest for it is an essential PRIVILEGED COMMUNICATION: Any
instrument to promote industrial statement of such privacy that the law
peace. exempts the person receiving the
Must be filed directly with the information from the duty to disclose it.
Bureau or the Regional Offices of
DOLE within thirty (30) days Information and statements made at
from execution. conciliation proceedings shall be treated
An UNREGISTERED CBA does not as privileged communication and shall
bar certification election not be used as evidence in the
[contract bar rule will not apply Commission.
in the absence of registration.
[See discussion on Arts. 253 & Conciliators and similar officials
253-A] may not testify in any court or
body regarding any matters
Registration of the CBA is not a taken up at conciliation
requisite for its validity. proceedings conducted by them.
LIBERTY FLOUR MILLS EMPLOYEES v.

LFM, INC. 180 SCRA 668
The certification of the CBA by the BLR
is not required to put a stamp of validity
to such contract. Once it is duly entered
into and signed by the parties, a CBA
becomes effective as between the
LABOR LAW COMMITTEE

labor against the unjust exactions of

capital
MODES OF ACQUIRING LEGITIMACY FOR

TITLE IV
LABOR ORGANIZATIONS
LABOR ORGANIZATIONS 1. Registration with the BLR
(Independent Union)
CHAPTER I 2. Affiliation with a legitimate labor
federation
REGISTRATION AND CANCELLATION
[REGISTRATION REQUIREMENTS FOR
LABOR ORGANIZATIONS (as amended by
ART. 234. REQUIREMENTS OF DO 40-03)]
REGISTRATION 3. Application for registration
LABOR ORGANIZATION - Any union or 4. Attachments
association of employees which exists in name of the applicant labor
whole or in part for the purpose of: union, its principal address;
a. collective bargaining or the name of its officers and their
b. of dealing with employer respective addresses;
concerning terms and conditions of
employment. o approximate number of
It is the agent of the employees in the bargaining
employees of an appropriate unit where it seeks to
bargaining unit. operate, with a statement
that it is not reported as a
PRINCIPLE OF AGENCY APPLIED chartered local of any
federation or national union;
Principal employees
o the minutes of the
Agent local/chapter
organizational meeting(s)
Agent of agent federation
and the list of employees
who participated in the said
LEGITIMATE LABOR ORGANIZATION or meeting(s);
LABOR UNION
o the name of all its members
any labor organization duly registered comprising at least 20% of
with the Department of Labor and the employees in the
Employment, and Bureau of Labor bargaining unit;
Relations.
o the annual financial reports
Not every legitimate labor if the applicant has been in
organization can act as existence for one or more
bargaining representative and be years, unless it has not
certified as such. This is true collected any amount from
only of a union that has won in the members, in which case
certification election or has been a statement to this effect
voluntarily recognized by the shall be included in the
employer. application;
o the applicants constitution

PURPOSE OF FORMATION OF LABOR and by-laws, minutes of its
UNIONS: for securing a fair and just adoption or ratification, and
wages and good working conditions for the list of the members who
the laborers; and for the protection of
LABOR LAW COMMITTEE

participated in it. The list of - After a labor organization had filed the
ratifying members shall be necessary papers and documents for
dispensed with where the registration, it becomes mandatory for
constitution and by-laws was the BLR to check if the requirements
ratified or adopted during under Article 234 have been sedulously
the organizational meeting. complied with. If its application for
In such a case, the factual registration is vitiated by falsification
circumstances of the and serious irregularities, especially
ratification shall be recorded those appearing on the face of the
in the minutes of the application and the supporting
organizational meeting(s). documents, a labor organization should
(These are called reportorial be denied recognition as a legitimate
requirements) labor organization. (Progressive
Development Corporation-Pizza Hut vs.
The application for registration of Laguesma et al., GR No. 115077, April
labor unions xxx, shall be certified under 18, 1997)
oath by its Secretary or Treasurer, as the
case may be, and attested by its PURPOSE OF REGISTRATION -
president. Registration with the BLR is the
operative act that gives rights to a labor
The attachments must now be in organization.
one(1) original copy and two (2)
duplicate copies which shall accompany It is the fact of being registered
the application or notice, and submitted with the DOLE that makes a
to the Regional Office or the Bureau. labor organization legitimate in
the sense that it is clothed with
A prescribed registration fee must be legal personality to claim
paid before the issuance of the representational and bargaining
certificate of registration rights enumerated in Article 242
or to strike or picket under
Where to file application for Article 263.
registration: The requirement of registration
is NOT a curtailment of the
1. For registration of independent labor right to association. It is merely
unions, chartered locals, workers a condition sine qua non for the
associations shall be filed with the acquisition of legal personality
Regional office where the applicant by labor organizations,
principally operates. It shall be associations or unions and the
processed by the Labor Relations Division possession of the rights and
at the Regional office. privileges granted by law to
labor organizations.
2. Applications for registration of A valid exercise of police power
federations, national unions or workers since the activities in which
associations operating in more than one labor organizations, associations,
region shall be filed with the bureau or or unions of workers are engaged
the regional offices, but shall be affect public interest, which
processed by the bureau. should be protected. (PAFLU vs.
Sec. Of Labor)
MINISTERIAL DUTY OF THE BLR
COMPELLABLE BY MANDAMUS- to review FEDERATION- any labor organization
the application for registration and not with at least 10 locals/chapters or
the issuance of a Certificate of affiliates each of which must be duly
Registration. certified or recognized as the sole and
exclusive collective bargaining agent of
the employer they represent.
LABOR LAW COMMITTEE

labor organizations of rank and file

REQUIREMENTS BEFORE A employees PROVIDED that:
FEDERATION CAN BE ISSUED A
CERTIFICATE OF REGISTRATION: a. the federation is not actively
involved in union affairs in the
Aside from the application, which company; and
must be accompanied with the b. the rank and file employees are not
requirements for registration of a labor directly under the control of the
registration, the application should also supervisors
be accompanied by the following: ONCE AFFILIATED, A LOCAL
1. Proof of affiliation of at least 10 UNION MAY DISAFFILIATE FROM THE
locals or chapters, each of which FEDERATION.
must be a duly recognized sole and
exclusive collective bargaining agent
in the establishment or industry in
which it operates, supporting the
registration of such applicant
federation or national union;
2. The names and addresses of the
companies where the locals or
chapters operate and the list of all
the members in each company
involved.
A LOCAL UNION MAY AFFILIATE WITH A

FEDERATION - The procedure of
affiliation would depend on whether the
union is independently registered or not.
REQUIREMENTS OF AFFILIATION (as

amended by DO 40-03)
1. Report of affiliation of independently
registered labor union
2. Attachments:
a. resolution of the labor unions
board of directors approving the
affiliation;
b. minutes of the general
membership meeting approving
the affiliation;
c. the total number of members
comprising the labor union and
the names of members who
approved the affiliation;
d. the certificate of affiliation
issued by the federation in favor
of the independently registered
labor union; and
e. written notice to the employer
concerned if the affiliating union
is the incumbent bargaining
agent.
A union of supervisory employees may

affiliate with a national federation of
LABOR LAW COMMITTEE

INDEPENDENTLY UNREGISTERED
INDEPENDENT REGISTERED
CHARTERING
REGISTRATION
a.HOW TO -by signing a contract of -by application of the union
Obtained
AFFILIATE A
affiliation duly with the federation for the
by union registered issuance of a charter
organizers federation/na certificate to be submitted to
in an tional union the Bureau accompanied by
enterprise issues a the following:
a. Copies of its constitution
through charter to a
and by-laws
their own union in an b. Statement of the set of
action enterprise officers and
and registers Books of accounts, all of
the charter which must be certified by
with the the Secretary/Treasurer and
regional attested to by the President.
office or the In such case, the union
BIR. becomes a local chapter of
the Federation.
Indepen- Chapter/local
dent
union
b. EFFECT OF - would not affect its being a upon severance, it would
DISAFFILIATION
With legal legitimate
No labor
legal organization cease to be a legitimate labor
TO THE UNION and therefore it would organization and would no
personalit personality of
[local] continue to have legal longer have legal personality
y of its its own and
personality as to possess all and the rights and privileges
own thelong as it
rights andhasprivileges of a granted by law to legitimate
not
legitimate availed
labor organization. organization, unless the local
itself of chapter is covered by a duly
independent registered collective
registration. bargaining agreement. In the
latter case, the local or
chapter will not lose its legal
Applicatio Charter
personality until the
n for certificate is expiration of the CBA. After
registratio issued by a the CBA expires it will lose its
n is filed federation or legal personality unless it
with and national registers as an independent
will be union is filed union.
acted with the
upon by regional
c. EFFECT OF
the DOLE - office
an existing
or BLR CBA would The CBA would continue to be
DISAFFILIATION continue to be valid as the valid. The local chapter will
regional with 30 days
TO THE CBA labor organization can not lose its personality until
office after
continue the
administering the the expiration of the CBA.
where the CBAissuance of After the CBA expires the
applicant the charter local union looses its
s principal certificate. personality, unless it registers
office is anew.
located.
LABOR LAW COMMITTEE

d. ENTITLEMENT -labor organization is entitled legitimate purpose

- union duesother
maythan
no collective
longer
WHEN
TO DUES to the union dues and notbargaining.
TO DISAFFILIATE
UNION the be collected as there would
AFTER federation from which the no longer any labor union that
GENERAL RULE: A labor
DISAFFILIATION labor union mayorganization
ART.is236. allowed
DENIALto OF collect such
REGISTRATION;
disaffiliated. union dues from the
disaffiliate from the mother union to APPEALemployees.
form an independent union only during Note: Follow the principle of
the 60-day freedom period - Decisions
agency of between
the BLR federation
denying the
immediately preceding the expiration of registration of a labor organization is
and local.
the CBA. appealable to the Secretary
Principal employeesof Labor
within 10 calendar
Agent days from receipt of
local/chapter
EXCEPTION: DISAFFILIATION BY the decision,
Agent ofon agent
grounds of:
federation
MAJORITY
a. grave abuse of discretion; or
This happens when there is a b. gross incompetence
substantial shift in allegiance on - even before the onset of the
the part of the majority of the freedom period, disaffiliation may
members of the union. In such still be carried out, but such
a case, however, the CBA disaffiliation must be effected by a
continues to bind the members majority of the union members in
of the new or disaffiliated and the bargaining unit.
independent union up to the
CBAs expiration date. decision of the regional office or the
bureau denying the application for
LIMITATION: disaffiliation should be in registration shall be:
accordance with the rules and 1. in writing
procedures stated in the Constitution 2. stating in clear terms the reason for
and by-laws of the federation. the decision
3. applicant union must be furnished a
A prohibition to disaffiliate in copy of said decision
the Federations constitution or ART. 238. CANCELLATION OF
by-laws is validintended for its REGISTRATION; APPEAL
own protection.
The certificate of registration of
REVOCATION OF CHARTER BY THE any legitimate labor organization shall
FEDERATION - by serving the be cancelled by the BLR if it has reason
local/chapter a verified notice of to believe, after due hearing, that the
revocation, copy furnished the Bureau on said labor organization no longer meets
the ground of disloyalty or such other one or more of the requirements
grounds as may be specified in its prescribed by law.
constitution or by-laws.
GROUNDS FOR CANCELLATION:
1. Failure to comply with any of the
requirements prescribed under
The revocation shall divest the Arts. 234 (requirements for
local chapter of its legal registration of a labor union) &
personality upon receipt of the 237 (addl. reqts. federation
notice by the Bureau, unless in registration) of the Code.
the meantime the local chapter
has acquired independent 2. Violation of any of the provisions
registration. (Rule VIII Section 5 of Art. 239 (grounds for
of the IRR) cancellation of union
registration) of the Code
WORKERS ASSOCIATION: Association of
workers for the mutual aid and 3. Commission of any of the acts
protection of its members or for any enumerated under Art. 241
(rights and conditions of
LABOR LAW COMMITTEE

membership) of the code- No

petition for cancellation based
on this ground 0may be granted
unless supported by at least 30%
of all the members of the EFFECT OF CANCELLATION OF
respondent labor organization or REGISTRATION IN THE COURSE OF
workers association. PROCEEDINGS
- Where a labor union is a party
A pronouncement as to in a proceeding and later it loses its
the illegality of the registration permit in the course or
strike is not within the during the pendency of the case, such
meaning of Art. 239 of union may continue as a party without
the Code which provides need of substitution of parties, subject
for the grounds for however to the understanding that
cancellation of union whatever decision may be rendered
registration. therein will be binding only upon those
members of the union who have not
signified their desire to withdraw from
the case before its trial and decision on
the merits. [Principle of Agency applied
the employees are the principals, and
the labor organization is merely an agent
of the former, consequently, the
cancellation of the unions registration,
would not deprive the consenting
member-employees of their right to
continue the case as they are the
considered as the principals]
ART 239. GROUNDS FOR
MODES OF APPEAL CANCELLATION OF UNION
REGISTRATION
DENIAL or CANCELLATION BY:
GROUNDS FOR CANCELLATION OF
A. Regional Office
UNION REGISTRATION:
transmit records within 24
hours from receipt of Memo of A. FRAUDULENT ACTS
Appeal
BUREAU decides within 20 1. Misrepresentation, False statement
days from receipt of records or Fraud in connection with
SUPREME COURT- Rule 65 [RATIFICATION OF CONSTI/BY-
B. Bureau LAWS]:
transmit records within 24
hours from receipt of memo a. the ADOPTION OR
of appeal RATIFICATION of the
SEC. OF DOLE decides within constitution and by-laws or
20 days from receipt of amendments thereto,
records b. the MINUTES of ratification,
SUPREME COURT- Rule 65 and
c. the LIST OF MEMBERS who took
*Appeal by memo of appeal part in the ratification.
within 10 days from receipt of
notice. 2. Misrepresentation, false statement
GROUNDS: or fraud in connection with the
1. Grave abuse of discretion [ELECTION PAPERS]:
2. Violation of rules as
amended. a. ELECTION of officers,
LABOR LAW COMMITTEE

b. MINUTES of the election of authorization of the members

officer and the list of voters, or [UNLAWFUL ASSESSMENTS];
c. failure to submit these
documents together with the list of CANCELLATION OF REGISTRATION
the newly elected/appointed officers A. FOR:
and their postal addresses within 30 1. Legitimate individual labor
days from election union.
2. Chartered local
B. INACTION OR OMISSION 3. Workers association
1. Failure to submit the following WHERE TO FILE

documents [RATIFICATION OF Regional Director who has
CONSTI/BY-LAWS]: jurisdiction over the place
a. the adoption or ratification of where respondent principally
the constitution and by-laws or operates (30 days to decide).
amendments thereto,
b. the minutes of ratification, and WHO MAY FILE
the list of members who took - Any party in interest, if ground
part in the ratification is:
*Within 30 days from adoption or a. Failure to comply with any of
ratification of the constitution and the requirements under Arts.
by-laws or amendments thereto. 234, 237 and 238 LC
2. Failure to submit the Annual Financial b. Violation of any provision under
report to the Bureau within 30 days Art. 239, LC
after the closing of every fiscal year Take note of the cancellation
and misrepresentation, false entries proceedings if violation is D and
and fraud in the preparation of the J of Art. 239, LC
financial report itself;
3. Failure to submit a LIST OF REPORTING REQUIREMENTS OF LABOR
INDIVIDUAL MEMBERS of the Bureau UNIONS AND WORKERS ASSOCIATIONS
once a year or whenever required by (Rule V DO 40-03)
the Bureau; and - It shall be the duty of every legitimate
4. Failure to comply with the labor union and workers association to
REQUIREMENTS UNDER ARTICLES submit to the Regional Office or Bureau
237. which issued its certificate of
registration or certificate of creation of
C. UNLAWFUL ACTS chartered local, as the case may be, two
1. Acting as a labor contractor or (2) copies of each of the following
engaging in the CABO SYSTEM, or documents:
otherwise engaging in any activity a. any amendment to its
prohibited by law; constitution and by-laws and the
2. Entering into collective bargaining minutes of adoption or
agreements which provide terms and ratification of such amendments,
conditions of employment below within 30 days from its adoption
minimum standard established by or ratification;
law [CBA-BELOW MINIMUM b. annual financial reports within
STANDARDS]; (Sweetheart 30 days after the close of each
Agreements) fiscal or calendar year;
3. Asking for or ACCEPTING ATTORNEYS c. updated list of newly-elected
FEES OR NEGOTIATION FEES from officers, together with the
the employers; appointive offices or agents who
4. Other than for mandatory activities are entrusted with the handling
under this Code, checking off special of funds, within 30 days after
assessment or any other fees without each regular or special election
duly signed individual written of officers, or from the
occurrence of any change in the
LABOR LAW COMMITTEE

B. FOR:
1. Federations
2. National or Industry unions
3. Trade union centers
WHERE TO FILE
- Bureau Director ( 30 days to
proof thereof to the Bureau
decide) within 10 days from receipt
thereof
WHO MAY FILE 2nd Notice
- Only the members of the Where no response is
Labor Organization concerned received by the Bureau
if grounds are actions within 30 days from the
involving violations of Art. release of the 1st notice,
another notice for
241, subject to the 39% rule
compliance shall be made
officers of agents of the labor by the Bureau, with warning
organization or workers that failure on its part to
association comply with the reportorial
requirements within the
d. updated list of individual
time specified shall cause
members of chartered locals, the continuation of the
independent unions and workers proceedings for the
associations within 30 days after administrative cancellation
the close of each fiscal year; and of its registration
e. updated list of its chartered 3rd Notice
locals and affiliates or member Where no response is again
organizations, CBAs executed received by the Bureau
and their effectivity period, in within 30 days from release
the case of federations or of the 2nd notice, the Bureau
shall cause the publication
national unions, within 30 days of the notice of cancellation
after the close of each fiscal of registration of the labor
year, as well as the updated list organization in 2
of their authorized newspapers of general
representatives, agents or circulation.
signatories in the different
regions of the country. When no response is
received by the Bureau
RULES ON ADMINISTRATIVE within 30 days from the
date of publication or when
CANCELLATION OF CERTIFICATE OF the Bureau has verified the
REGISTRATION OF LLOs DUE TO NON- dissolution of the labor
COMPLIANCE WITH THE REPORTORIAL organization, it shall order
REQUIREMENTS: the cancellation of
registration of the labor
WHEN Failure to comply with its organization AND cause its
PROPER legal duty to submit the de-listing from the roster of
documents required to legitimate labor
organizations
be submitted under Rule
V of DO 40-03 for 5
consecutive years
CHAPTER II
WHO MAY 1. Motu propio by the
FILE THE Bureau RIGHTS AND CONDITIONS OF
PETITION 2. Any party-in-interest MEMBERSHIP IN A LABOR
1st Notice ORGANIZATION
THREE- Bureau shall send by
NOTICE registered mail with return ART. 241. RIGHTS AND CONDITIONS
REQUIRE card notice for compliance
OF MEMBERSHIP IN A LABOR
indicating the documents it
MENT failed to submit and the ORGANIZATION
corresponding period in
which they were required, GENERAL GROUPINGS OF THE RIGHTS
with notice to comply with OF THE UNION MEMBERS:
the said reportorial
requirements and to submit
LABOR LAW COMMITTEE

1. Political right - the right to vote and 1. Subversives or those engaged in

be voted for, subject to lawful subversive activities [Art.241
provisions on qualifications and (e)]
disqualifications. 2. Persons who have been convicted of
a crime involving moral turpitude
2. Deliberative and Decision-Making shall not be eligible for election as
Right - the right to participate in union officer or for appointment to
deliberations on major policy any position in the union. [Art. 241
questions and decide them by secret (f)]
ballot.
In general, a union is free to
3. Rights Over Money Matters - the select its own members, and no
right of the members: person has an absolute right to
membership in a union.
a. against imposition of excessive
fees; LIMITATIONS [see discussion on union
b. right against unauthorized security arrangements under Art. 248]:
collection of contributions or
unauthorized disbursements; a. The labor org. cannot compel
c. to require adequate records of employees to become members of
income and expenses; their labor organization if they are
d. to access financial records; already member of rival union.
e. to vote on officers
compensation; b. persons mentioned in Art. 241(e)
f. to vote on special assessment; [subversives] of the labor code
g. to be deducted a special are prohibited from becoming a
assessment only with the member a labor organization.
members written authorization.
c. members of religious organization
4. Right to Information - the right to whose religion forbade
be informed about: membership in labor organization
a. the organizations could not be compelled into union
constitution and by- laws, membership.
b. the collective bargaining
agreement, and labor laws. REQUIREMENTS IN MAKING SPECIAL
ASSESSMENTS or OTHER
Any violation of the above rights EXTRAORDINARY FEES (Art. 241 [n]):
and conditions of membership
shall be a ground for 1. there must be a WRITTEN
cancellation of union registration RESOLUTION
or expulsion of an officer from 2. he resolution must have BEEN
office, whichever is appropriate. APPROVED BY A MAJORITY of all the
At least 30% of all the members members
of the union or any member or
members specifically concerned 3. the approval must be AT A
may report such violation to the GENERAL MEMBERSHIP MEETING
Bureau. DULY called for that purpose
PERSONS WHO ARE PROHIBITED FROM The secretary of the organization

BECOMING MEMBERS/OFFICERS OF A shall record the minutes of the
LABOR ORGANIZATION UNDER THE meeting including:
LABOR CODE (see also notes under Art.
243 on persons who are not granted the a.
right to self-organization): the list of all members present,
b.
the votes cast, and
LABOR LAW COMMITTEE

c. UNION DUES AGENCY FEE

the purpose of the assessment or a. DEDUCTED FROM - non-members of the
fees - members of a bargaining agent
union for the (union) for the
The record shall be attested by payment of union enjoyment of the
dues. benefits under the
the President. CBA.
b. CONSENT - May be deducted
Substantial compliance to the - May not be from the salary of
aforementioned procedure is not deducted from the employees without
enoughthe requirements must salaries of the union their consent.
be strictly complied with in view members without
of the fact that the special the written consent
of the workers
assessment will diminish the
affected
compensation of union members.
(Palacol et. al vs. Ferrer-Calleja
et. al) Agency fee cannot be imposed on
employees already in the service and are
CHECK-OFF - a method of deducting members of another union. If a closed
from an employees pay at prescribed shop agreement cannot be applied to
period, the amounts due to the union for them, neither may an agency fee, as a
fees, fines or assessments. lesser form of union security, be imposed
to them. (NABAILU vs. San Miguel
Brewery Inc)
NATURE AND PURPOSE OF CHECK-OFF:
to facilitate the collection of
EXCEPTION TO THE REQUIREMENT OF
dues necessary for the unions
INDIVIDUAL WRITTEN AUTHORIZATION:
life and sustenance.
1.For mandatory activities provided
Union dues are the lifeblood of
under the Code; and
the union.
2.When non-members of the union
REQUIREMENTS WITH REGARD TO avail of the benefits of the CBA.
CHECK-OFFS (Art. 241 [o]):
- said non-members may be assessed
- NO special assessment, attorneys union dues equivalent to that paid by
fees, registration fees or any other members
extraordinary fees may be checked off
from any amount due an employee - only by a Board Resolution
WITHOUT an individual written approved by majority of the members in
authorization duly signed by the a general meeting called for the purpose
employee.
Will the employees-members of
The authorization should specifically another union not be considered as
state the: free riders?
a. amount No since when the union bids to be the
b. purpose and the beneficiary bargaining agent, it voluntarily assumes
of the deduction. the responsibility of representing all
employees in the appropriate bargaining
Jurisdiction over check-off disputes is unit.
with the Regional Director of the DOLE,
not the Labor Arbiter SPECIAL ASSESSMENT vs. CHECK-OFF
SPECIAL CHECK-OFF
UNION DUES VS. AGENCY FEE ASSESSMENTS
LABOR LAW COMMITTEE

a. HOW APPROVED (Union Dues) ART. 243. COVERAGE AND

-by written resolution -by obtaining the
EMPLOYEES RIGHT TO SELF
approved by majority individual written
of all the members at authorization duly ORGANIZATION
a meeting duly called signed by the
for that purpose employee which must PERSONS/EMPLOYEES ELIGIBLE TO
specify:
a. amount
JOIN A LABOR ORGANIZATION FOR
b. purpose and PURPOSES OF COLLECTIVE
c. beneficiary of BARGAINING:
the deduction.
b. EXCEPTION TO (Agency Fees)
1. All persons employed in commercial,
SUCH REQUIREMENT -not necessary if:
-no exceptionwritten 1. For mandatory industrial and agricultural (CIA)
resolution is activities provided enterprises, and
mandatory at all under the Code; and
instances. 2. When non-members
2. In religious, charitable, medical or
of the union avail of
the benefits of the educational (RCME) institutions
CBA. Said non- whether operating for profit or not
members may be
assessed agency fees
PERSONS/EMPLOYEES ELIGIBLE TO
equivalent to that
paid by members only JOIN A LABOR ORGANIZATION FOR
by a Board Resolution MUTUAL AID AND PROTECTION
approved by majority (AIRSIW):
of the members in a
general meeting called
1. Ambulant,
for the purpose. 2. Intermittent,
3. Rural,
CHAPTER III 4. Self-employed people
5. Itinerant workers and
RIGHTS OF LEGITIMATE LABOR 6. Workers without any definite
ORGANIZATIONS employers,
PERSONS/EMPLOYEES WHO ARE NOT
GRANTED THE RIGHT TO SELF-
ART. 242. RIGHTS OF LEGITIMATE ORGANIZATION: (HEMACEN)
LABOR ORGANIZATIONS
1. High-level government employees
RIGHTS OF A LEGITIMATE LABOR (E.O. 180 Sec. 3) (MANAGERIAL
ORGANIZATION [USERFOE]: GOVERNMENT EMPLOYEES)
1.Undertake activities for benefit of

members
2.Sue and be sued
3.Exclusive representative of all
employees
4.Represent union members
5.Furnished by employers of audited
financial statements
6.Own properties
7.Exempted from taxes
TITLE V
COVERAGE
LABOR LAW COMMITTEE

GOVERNMENT GOVERNMENT 5. Confidential employees

OWNED OR OWNED OR (Metrolab vs. Confesor)
CONTROLLED CONTROLLED
CORPORATIONS WITH CORPORATIONS 6. Employees of cooperatives who
AN ORIGINAL WITHOUT are members (Benguet Elec. Coop.
CHARTER ORIGINAL vs Calleja)
CHARTER
a. LAW 7. Non-Employees (Rosario Bros. vs
- Employees cannot stage - The GOCC is
Ople)
strikes since they are created under
governed by the Civil Corporation Code,
Service Law. They are then employees are Foreigners validly working in the
enjoined by Civil Service covered by the Labor Philippines [with permit from DOLE]
Memorandum Circular Code. Therefore can form labor organizations, provided
No. 6, under pain of the employees have the same right to form, join or assist in
administrative sanctions the same rights as
from staging strikes, those as employees
the formation of labor unions is also
demonstrations, mass of private given to Filipinos in their country of
leaves, walkouts and corporations, one of origin. This embodies the principle of
other concerted which is the right to reciprocity.
activities. strike.
b. BARGAINING RIGHTS MAY SECURITY GUARDS FORM A LABOR
- Corporations with
original charters - The GOCC is
ORGANIZATION?
cannot bargain with created under YES. Under RA 6715, they may now
the government Corporation Code, freely join a labor organization of the
concerning the terms being governed by the rank-and-file or that of the supervisory
and conditions of Labor Code, they can union, depending on their rank. (Meralco
their employment. bargain with the vs. Secretary of Labor)
However, they can government
negotiate with the concerning the terms
government on those and EXTENT OF THE RIGHT TO SELF-
terms and conditions conditions of ORGANIZATION
of employment which their employment. 1. To form, join and assist labor
are not fixed by law. Thus, they have organizations for the purpose of
Thus, they have unlimited bargaining
collective bargaining through
limited bargaining rights.
rights. representatives of their own choosing
and
c.PURPOSE OF 2. To engage in lawful concerted
ORGANIZATION - Can form, join or
- Can only form, join or assist labor
activities for the same purpose- for
assist labor organization organization for their mutual aid and protection.
for purposes not contrary purposes of CBA, etc.
to law. ART. 244. RIGHTS OF EMPLOYEES IN
2. Employees of international THE PUBLIC SERVICE
organizations with immunities (ICMC vs.
Calleja) THE FOLLOWING ARE CONSIDERED
NEGOTIABLE IN GOCCs WITH ORIGINAL
3. Managerial employees CHARTER:
whose functions are normally 1. schedule of vacation and other
considered as policy-making or leaves
managerial 2. work assignment of pregnant
whose duties are of a highly women
confidential or highly technical 3. personnel growth and
in nature (212 LC) development
4. communication system lateral
4. Members of the Armed Forces of and vertical
the Philippines, including police 5. provision for protection and
officers, policemen, firemen and jail safely
guards (E.O. 180 Sec. 4); 6. provision for facilities for
handicapped personnel
LABOR LAW COMMITTEE

7. provision for first-aid medical by E.O. 180 has jurisdiction to hear

services for married women charges of ULP filed by government
8. annual medical/physical employees against their employer.
examination
9. recreational, social, athletic and REASONS WHY EMPLOYEES IN GOCCs
cultural activities and facilities INCORPORATED UNDER THE
(Rules implementing WO 180) CORPORATION CODE ARE ALLOWED TO
ORGANIZE:
THE FOLLOWING ARE CONSIDERED 1. they are not involved in public
NOT NEGOTIABLE: service
2. terms of employment are not fixed
1. Those which require appropriation of by law
funds, such as: 3. they are governed by the provisions
of the Labor Code not by the Civil
a. increase in salary Service Law
emoluments and other
allowance not presently ART. 245. INELIGIBILITY OF
provided for by law MANAGERIAL EMPLOYEES TO JOIN ANY
b. facilities requiring capital LABOR ORGANIZATION; RIGHT OF
outlays SUPERVISORY EMPLOYEES.
c. car plan
d. provident fund MANAGERIAL EMPLOYEE - one who is
e. special hospitalization, vested with powers or prerogatives to
medical and dental services lay down and execute management
f. rice/sugar/other subsidies policies and /or to hire, transfer,
g. travel expenses suspend, lay-off, recall, discharge,
h. increase in retirement assign or discipline employees.
benefits
MANAGERIAL EE UNDER LS AND LR
2. Those that involve the exercise of Managerial Managerial
management prerogatives, such as: Employees under Employees
Labor Standards under Labor
a. appointments Relations
b. promotion a. POWERS/DUTIES
c. assignments/details - primary duty consists - See definition
d. reclassification/upgrading of of the management of above
position the establishment in
e. revision of compensation which they are
structure employed or of a
f. penalties imposed as a result department or
of disciplinary actions subdivision
g. selection of personnel to - does not include
b. EXTENT
attend seminar, trainings, - includes the officers the managerial
study grants and members of the staff since they are
h. distribution of work load classified as
managerial staff
i. external communication supervisory
linkages employees [who
Government employees and may/may not be
eligible to join a
employees of government-owned labor union with
and controlled corporations with the rank and file
original charters may bargain, employees]
however, such bargaining power c. PURPOSE OF - to determine an
is limited. DEFINITION employees
- to determine w/n eligibility in
NOTE: The Public Sector Labor certain employees are joining/forming a
Management Council (PSLMC), created covered by Book III of labor union.
LABOR LAW COMMITTEE

the LC on Conditions of composed of the rank and file

Employment. employees.
Reason for ineligibility in the NOTE: It is the nature of the employees

collective bargaining process, functions and not the nomenclature or
managerial employees are the alter ego title given to his job which determines
of the employers and thus they are whether he has a rank and file or
supposed to be on the side of the managerial status. (Engineering
employer to act as its representatives, Equipment, Inc. vs. NLRC)
and to see to it that its interests are
well protected. The employer is not MAY THEY AFFILIATE WITH A
assured of such protection if these FEDERATION OF LABOR ORGANZATIONS
employees are union members. OF RANK AND FILE EMPLOYEES?
In the same manner, the labor
union might not be assured of YES. Provided that:
their loyalty to the union in a. the federation is not actively
view of the evident conflict of involved in union affairs in the
interest. company; and
The union can also become b. the rank and file employees are
company-dominated with the not directly under the control of
presence of managerial the supervisors (Adamson vs.
employees in Union Membership Adamson)
(Bulletin Publishing Co. Inc. vs.
Hon. Augusto Sanchez). EFFECT OF HAVING MIXED
MEMBERSHIP A union whose
SUPERVISORY EMPLOYEES - those who, membership is a mixture of the
in the interest of the employer, supervisors and the rank and file is not
effectively recommend such managerial and cannot become a legitimate labor
actions if the exercise of such authority organization. It cannot petition for a
is not merely routinary or clerical in certification election, much less ask to
nature but requires the use of be recognized as the bargaining
independent judgment. representative of employees.
MAY SUPERVISORY EMPLOYEES FORM, CONFIDENTIAL EMPLOYEES - by the

ASSIST, JOIN A LABOR ORGANIZATION? very nature of their functions, they
assist and act in a confidential capacity
YES, on their own and NOT with the to, or, have access to confidential
rank-and-file employees (RA 6715). matters of persons who exercise
managerial functions in the field of
The TEST IS: Do they exercise labor relations. Therefore, the rationale
independent judgment which is behind the ineligibility of managerial
not subject to evaluation of employees to form, assist or join a labor
other department heads/other union equally applies to them. (Philips
superiors? If in the affirmative, Industrial Devt Inc. Vs. NLRC)
then they may-must form a labor
organization of their own - they are entrusted with confidence on
[separate from the rank and file delicate matters, or with the custody,
employees] handling, or care and protection of the
employers property. Under the doctrine
If their responsibilities do not
of necessary implication, confidential
inherently require the exercise
employees are similarly disqualified
of discretion and independent
under Article 245. (Republic Planters
judgment [or merely
Bank vs. Torres)
routinary/clerical in nature]
NOTE: The phrase in the field of labor
then they may join the union
relations is important. It stresses labor
nexus, i.e., confidentiality of the
LABOR LAW COMMITTEE

position is related or linked to labor UNFAIR LABOR PRACTICES

relations matters.
Access to information which is CHAPTER I
regarded by the employer to be
confidential from the business CONCEPT
standpoint, such as financial
information or technical trade
secrets, will not render an ART. 247. UNFAIR LABOR PRACTICES
employee a confidential
employee. (SMC Supervisors &
NATURE OF UNFAIR LABOR
Exempt Union vs. Hon.
PRACTICES:
Laguesma, et al.)
Confidentiality is not a matter of
1. VIOLATE THE CONSTITUTIONAL
official rank, it is a matter of job RIGHT of workers and employees to
content and authority. It is not self-organization;
measured by closeness to or 2. are INIMICAL TO THE LEGITIMATE
distance from top management, INTERESTS of both
but by the significance of the labor and management, including
jobholders role in the pursuit of their right to bargain collectively
corporate objectives and and otherwise deal with each
strategies. other in an atmosphere of freedom
Every managerial position is and mutual respect
confidential because one does 3. DISRUPT INDUSTRIAL PEACE; and
not become a manager without 4. hinder the promotion of healthy and
having gained the confidence of stable labor-management relations
the appointing authority. But and mutual respect [LABOR-MNGT
not every confidential employee RELATIONS-UNSTABLE];
is managerial; he may be a
supervisory or even a rank-and- 2 ELEMENTS OF UNFAIR LABOR
file employee. PRACTICE:
1. employer-employee relationship
ART. 246. NON-ABRIDGEMENT OF between the offender and the
THE RIGHT TO SELF-ORGANIZATION offended
2. act done is expressly defined in
THE RIGHT TO SELF-ORGANIZATION the Code as an act of unfair
SHALL NOT BE ABRIDGED MEANS: labor practice
3. it is now considered a criminal
It shall be unlawful for any person to: offense triable by the criminal
court
a. restrain,
b. coerce, NOTE: Prohibited acts are all related to
c. discriminate against, or the workers' self-organizational right and
d. unduly interfere the the observance of a CBA, except Art.
248 (f) dismissing or prejudicing an
- with employees and workers in their employee for giving testimony under the
exercise of the right to self-organization. Code.
Any act intended to weaken or ULP has a technical meaning.

defeat the right is regarded by It is a practice unfair to labor,
law as an offense, which is although the offender may either
technically called unfair labor be an employer or a labor
practice. organization
TITLE VI It refers to acts opposed to
workers' right to organize.
LABOR LAW COMMITTEE

Without this, the act, no matter OF EMPLOYERS

how unfair, is not ULP.
It commonly connotes anti-
unionism. ART 248. ULP THAT MAY BE
It also refers to gross violation COMMITTED BY AN EMPLOYER (1-10)
of CBA provisions. Gross means the
act is malicious and flagrant.
1. To INTERFERE WITH, RESTRAIN OR
2 ASPECTS OF UNFAIR LABOR COERCE EMPLOYEES
PRACTICE: - in the exercise of their right
CIVIL CASE CRIMINAL CASE to self-organization;
A. PERSONS LIABLE
1. Officers and 1. Agents and officers INTERFERENCE
agents of who participated or
employer or authorized or ratified Examples:
2. Labor the act. - outright and unconcealed intimidation
organization, 2. Agents, - interrogation
officers and representatives, members employer must communicate to the
agents of the government board, employee the purpose of questioning
including ordinary
members
1. assure him that no reprisal would
take place
B. JURISDICTION
2. obtain employee participation
-Labor Arbiters of -MTC/RTC as the case
the NLRC may be. voluntarily
3. must be free from employer
C. QUANTUM OF PROOF NEEDED hostility to union organization
-substantial -beyond reasonable doubt 4. must not be coercive in nature
evidence [subject to prosecution
-intimidating expressions of opinion by
and punishment]
employer
D. PRESCRIPTIVE PERIOD
- one year from - one year from the TEST OF INTERFERENCE OR COERCION -
the accrual of the accrual of the ULP act, whether the employer has engaged in
ULP act. however it will be conduct which it may reasonably be said
suspended once the tends to interfere with the free exercise
administrative case has
been filed and would only
of the employees' right and it is not
continue running once the necessary that there be direct evidence
administrative case has that any employee was in fact
attained finality. intimidated or coerced by the
Final judgment in the statements of threats or the employer if
administrative there is a reasonable interference that
proceeding finding that the anti-union conduct of the employer
ULP has been committed does have an adverse effect of self-
is a prerequisite in filing organization and collective bargaining.
a criminal case for ULP
NOTE: Final judgment in
the administrative 2. TO REQUIRE AS A CONDITION FOR
proceedings shall not be EMPLOYMENT THAT A PERSON OR
binding in the criminal AN EMPLOYEE
case nor shall be - shall not join a labor
considered as an organization or
evidence of guilt but - shall withdraw from one to
merely as a proof of which he belongs;
compliance of the
requirements prescribed
by the Code. YELLOW DOG CONTRACT - A promise
CHAPTER II exacted from workers as a condition of
employment that they are not to belong
to, or attempt to foster, a union during
UNFAIR LABOR PRACTICES
LABOR LAW COMMITTEE

their period of employment. It is null discourage membership in any

and void because: labor organization.
- It is contrary to public policy
for it is tantamount to involuntary TEST OF DISCRIMINATION- whenever
servitude. benefits or privileges given to one is not
- It is entered into without given to the other under similar or
consideration for employees in identical conditions when directed to
waiving their right to self- encourage or discourage union
organization membership (see more discussions
- Employees are coerced to sign below)
contracts disadvantageous to their
family. 6. To DISMISS, DISCHARGE OR
Does Art. 248 (3) mean that an OTHERWISE PREJUDICE OR
employer cannot contract out work? DISCRIMINATE against an employee
- for having given or being about
NO. Contracting out services is not ULP
to give testimony under this
per se. It is ULP only when the following
Code; (The only ULP act which is
conditions exist:
not anti-unionism)
1. the service contracted- out
are being performed by
DISCRIMINATION BECAUSE OF
union members; and
TESTIMONY
2. such contracting-out
TEST: the subject matter of the
interferes with, restrains, or
coerce employees in the testimony can be anything under
exercise of their right to the Code
self-organization. what is ULP is the employer's
retaliatory act regardless of the
HOWEVER, when the contracting-out is subject of employee's complaint
being done to minimize expenses, then it or testimony
is a valid exercise of management
prerogative. 7. TO VIOLATE THE DUTY TO BARGAIN
COLLECTIVELY AS PRESCRIBED BY
3. To CONTRACT OUT SERVICES OR THIS CODE;
FUNCTIONS BEING PERFORMED BY
UNION MEMBERS 8. TO PAY NEGOTIATION OR
- when such will interfere with, ATTORNEYS FEES TO THE UNION OR
restrain or coerce employees in ITS OFFICERS OR AGENTS
the - as part of the settlement of any
- exercise of their right to self- issue in collective bargaining
organization; or any other disputes; or
4. To INITIATE, DOMINATE, ASSIST OR 9. To VIOLATE A COLLECTIVE

OTHERWISE INTERFERE BARGAINING AGREEMENT.(GROSSLY!)
- with the formation or - the violation must be gross and
administration of any labor with respect to the economic
organization, provision of the CBA (flagrant
- including the giving of financial or and with malice)
other support to it or its All the aforementioned acts (Nos. 1-
organizers or officers; (Formation 9) must have a relation to the
of Company Union) employees exercise of their to self-
organization. Anti-union or anti-
5. To DISCRIMINATE IN REGARD TO organization motive must be proved
WAGES, hours of work, and other because it is a definitional element
terms and conditions of of ULP.
employment in order to encourage or RUNAWAY SHOP - an industrial plant
moved by its owners from one location
LABOR LAW COMMITTEE

to another to escape union labor THREE COMPONENTS OF ART. 248(5)

regulations or state laws or to (DISCRIMINATION):
discriminate against employees at the
old plant because of their union 1.It prohibits discrimination in
activities. terms and conditions of
employment in order to encourage
COMPANY UNIONISM or discourage membership in the
1. Initiation of the company union union;
idea by: 2.It gives validity to union security
a. outright formation by agreements;
employer or his 3.It allows an agency shop
representatives arrangement whereby agency fees
b. employee formation on may be collected from non-union
outright demand or members.
influence by employer
c. managerially motivated SECURITY ARRANGEMENTS -
formation by employees
stipulations in the CBA requiring
2. financial support to the union by:
membership in the contracting union as
a. employer defrays union
a condition for employment or retention
expenses
of employment in the company.
b. pays attorney's fees to the
attorney who drafted the
Constitution or by laws of PRINCIPLES OF UNION SECURITY
the union ARRANGEMENTS:
3. employer encouragement and 1. Protection - To shield union members
assistance by immediate granting from whimsical and abusive exercise
of exclusive recognition as of management prerogatives.
bargaining agent without 2. Benefits - An additional membership
determining whether the union will insure additional source of
represents majority of the income to the union in the form of
employees union dues and special assessment.
4. supervisory assistance by soliciting 3. Self-preservation- It strengthens the
membership, permitting union union through selective
activities during work time or acceptance of new members on the
coercing employees to join the basis of commitment and loyalty.
union by threats of dismissal or
demotion. DIFFERENT KINDS OF UNION SECURITY
ARRANGEMENTS: (EXCEPTIONS TO ULP
DISCRIMINATION FOR OR AGAINST ON INTERFERENCE ON THE EMPLOYEES
UNION MEMBERSHIP EXERCISE OF THEIR RIGHT TO SELF-
ORGANIZATION)
TEST OF DISCRIMINATION: That the 1. CLOSED-SHOP AGREEMENT - the
discharge of an employee was motivated employer undertakes not to employ any
by his union activity. Such inference individual who is not a member of the
must be based on evidence, direct or contracting union and the said individual
circumstantial, not upon mere suspicion. once employed must, for the duration of
the agreement, remain a member of the
CONSTRUCTIVE DISCHARGE - ULP union in good standing as a condition for
where employer prohibits employees continued employment.
from exercising their rights under the - does not have any retroactivity
Code, on pain of discharge, and the - apply only to new hires
employee quits as a result of the
prohibition EXCEPTIONS:
a. employees belonging to any
religious sect which prohibit
LABOR LAW COMMITTEE

affiliation of their members with any This is directed against

labor organization are not covered FREE RIDER employees who
by such agreementThe free benefit from union activities
exercise of religious belief is without contributing support to
superior to contract rights the union, to prevent a situation
(Victoriano vs. Elizalde Rope of non-union members enriching
Workers). themselves at the expense of
b. members of the rival union are not union members.
covered by such arrangement.
Employee members of
SEMI-CLOSED SHOP AGREEMENT- has no another/rival union are not
requirement for the employee to considered free riders since
remain as member of the contracting when the union [agent] bids to
union in good standing as a condition be the bargaining agent, it
for continued employment. voluntarily assumed the
responsibility of representing all
2. UNION SHOP AGREEMENT the employees in the appropriate
-stipulation whereby any person can be bargaining unit.
employed by the employer but once
employed such employee must, within a
specific period, become a member of the REQUIREMENTS FOR A VALID
contracting union and remain as such in TERMINATION BY THE EMPLOYER OF
good standing for continued employment THE SERVICES OF AN EMPLOYEE
for the duration of the CBA [take note of PURSUANT TO A UNION OR CLOSED-
the exceptions in the preceding number.] SHOP AGREEMENT:
3. MAINTENANCE OF MEMBERSHIP 1. The agreement must be expressed in
CLAUSE - the agreement DOES NOT a CLEAR AND UNEQUIVOCAL way so
require non-members to join the as not to leave room for
contracting union BUT provides that interpretation because it is a
those who are members thereof at the limitation to the exercise of the
time of the execution of the CBA and right to self-organization.
those who may thereafter on their own Any doubt must be resolved
volition become members must for the
against the existence of a
duration of the agreement maintain their
closed-shop agreement.
membership in good standing as a
condition for continued employment in
2. The agreement can only have
the company for the duration of the
PROSPECTIVE APPLICATION and
CBA.
cannot be applied retroactively.
4. PREFERENTIAL SHOP AGREEMENT
3. It can only be exercised by giving the
an agreement whereby the employer
employee his right to DUE PROCESS.
merely agrees to give preference to the
- The employer has the right to
members of the bargaining union in
satisfy himself that there are
hiring, promotion or filing vacancies and
sufficient bases for the request
retention in case of lay-off. The
of the union.
employer has the right to hire from the
- The termination of the services
open market if union members are not
of the employee is not automatic
available.
upon the request of the union.
5. AGENCY SHOP AGREEMENT - an
4. It cannot be applied to employees
agreement whereby employees must
who are already MEMBERS OF THE
either join the union or pay to the union
RIVAL UNION or to the employees
as exclusive bargaining agent a sum
based on their religious beliefs.
equal to that paid by the members.
LABOR LAW COMMITTEE

CHAPTER III employer to pay or deliver or agree to

pay or deliver money or other things of
UNFAIR LABOR PRACTICES OF value, in the nature of exaction, for
LABOR ORGANIZATIONS services which are not performed or not
ART. 249. UNFAIR LABOR PRACTICES to be performed, as when a union
demands that the employer maintain
OF LABOR ORGANIZATIONS
personnel in excess of the latters
requirements.
a. To RESTRAIN OR COERCE employees
It is not featherbedding if the
in the exercise of their right to self-
organization. However, a labor work is performed no matter
organization shall have the right to how unnecessary or useless it
prescribe its own rules with respect may be.
to the acquisition or retention of
membership; SWEETHEART DOCTRINE considers it
b. To CAUSE OR ATTEMPT TO CAUSE ULP for a labor organization to ask for or
AN EMPLOYER TO DISCRIMINATE accept negotiation or attorneys fees
AGAINST AN EMPLOYEE, including from the employer in settling a
discrimination bargaining issue or dispute
c. To VIOLATE THE DULY OR REFUSE
TO BARGAIN COLLECTIVELY with the resulting CBA is considered a
employer provided that it is the sweetheart contract a CBA
representative of the employees; that does not substantially
d. TO CAUSE OR ATTEMPT TO CAUSE improve the employees wages
AN EMPLOYER TO PAY OR DELIVER and benefits.
OR AGREE TO PAY OR DELIVER ANY
MONEY or other things of value, in
the nature of an exaction, for
services which are not performed or TITLE VII
not to be performed, including the
demand for a fee for union COLLECTIVE BARGAINING AND
negotiations; (This is called ADMINISTRATION OF AGREEMENTS
FEATHERBEDDING)
e. To ASK FOR OR ACCEPT ART. 250. PROCEDURE IN
NEGOTIATION OR ATTORNEYS FEES COLLECTIVE BARGAINING
FROM EMPLOYERS as part of the COLLECTIVE BARGAINING negotiation
settlement of any issue in collective
by an organization or group of workmen,
bargaining or any other dispute; or
in behalf of its members, with the
f. To GROSSLY VIOLATE A COLLECTIVE
employer, concerning wages, hours of
BARGAINING AGREEMENT.
work and other terms and conditions of
- The violation must be gross and
employment and the settlement of
must be with respect to
disputes by negotiation between an
economic provisions of the CBA
employer and the representative of his
flagrantly and with malice.
employees.
Negotiation towards a collective
PERSONS CIVILLY LIABLE FOR
agreement.
ULP:
1. Officers and agents of employer
The mechanics of collective bargaining
2. Labor organization, officers and
agents is set in motion only when the following
3. Agents and officers who JURISDICTIONAL PRECONDITIONS are
participated or authorized or present:
ratified the act.
FEATHERBEDDING - refers to the 1. POSSESSION OF THE STATUS OF
MAJORITY representation by the
practice of the union or its agents in
employees representative in
causing or attempting to cause an
accordance with any of the means of
LABOR LAW COMMITTEE

selection or designation provided for 1. PRELIMINARY process - written

by the Labor Code; notice for negotiation which must
be clear and unequivocal
2. proof of MAJORITY 2. NEGOTIATION Process
REPRESENTATION (Certification of 3. EXECUTION Process signing of the
the BLR that the representative of agreement
the employees in the sole and 4. PUBLICATION for at least 5 days
exclusive bargaining agent having before ratification
won in a certification election); and 5. RATIFICATION by the majority of all
3. a DEMAND TO BARGAIN under the workers in the bargaining unit
Article 250 (a) of the Labor Code. represented in the negotiation (not
(Kiok Loy vs. NLRC) necessary in case of arbitral
award)
COLLECTIVE BARGAINING AGREEMENT 6. REGISTRATION Process
(CBA) - a negotiated contract between a Requisites for registration:
legitimate labor organization and the a. mandatory provisions
employer concerning: b. payment of P1, 000
a. wages, c. 5 copies of CBA
b. hours of work, and d. proof of ratification
c. all other terms and 7. ADMINISTRATION Process the CBA
conditions of employment in shall be jointly administered by
a bargaining unit, including the management and the
mandatory provisions for bargaining agent for a period of 5
grievances and arbitration years
machineries. 8. INTERPRETATION AND APPLICATION
Process
PROCEDURE IN COLLECTIVE
BARGAINING MANDATORY PROVISIONS OF THE CBA:
1. wages
1. Written NOTICE with statement 2. hours of work
of proposals 3. grievance machinery
2. REPLY by the other party within 4. voluntary arbitration
10 calendar days with counter 5. family planning
proposals 6. rates of pay
3. In case of differences, either 7. mutual observance clause
party may REQUEST FOR A
CONFERENCE which must be held In addition, the Bureau requires
within 10 days from receipt of that the CBA should include a
request. clear statement of the terms of
4. If not settled NCMB MAY the CBA.
INTERVENE AND ENCOURAGE the
parties to submit the dispute to a Note: Employers duty to bargain is
voluntary arbitrator limited to mandatory bargaining
5. If not resolved, the parties may subjects; as to other matters, he is free
go to where they want AND RESORT to bargain or not to bargain.
TO ANY OTHER LAWFUL MEANS
[either to settle the dispute or ART. 252. MEANING OF DUTY TO
submit it to a voluntary arbitrator]. BARGAIN COLLECTIVELY
During the conciliation
proceeding in the Board, the DUTY TO BARGAIN COLLECTIVELY -
parties are prohibited from doing the performance of a mutual obligation:
any act which may disrupt or
impede the early settlement of a. to MEET AND CONVENE promptly
the disputes (250[d] LC). and expeditiously in good faith for
8 STAGES IN THE NEGOTIATION FOR A the purpose of negotiating an
COLLECTIVE BARGAINING AGREEMENT: agreement with respect to wages,
LABOR LAW COMMITTEE

hours of work and all other terms

and conditions of employment An employer has been held not guilty of
including proposals for adjusting refusal to bargain by adamantly
any grievances or questions arising rejecting the union's economic demands
under such agreement and where he is operating at a loss, on a low
profit margin, or in a depressed industry,
b. EXECUTING A CONTRACT as long as he continues to negotiate.
incorporating such agreements if But financial hardship constitutes no
requested by either party. excuse for refusing to bargain
collectively.
LIMITATIONS:
ACTS NOT DEEMED REFUSAL TO
1. the duty to bargain collectively does BARGAIN:
not compel any party to: 1. adoption of an adamant bargaining
a. agree to a proposal; or position in good faith
b. make a concession.
No room for Take it or Leave it 2. refusal to bargain over demands for
posture. commission of ULP
2. the parties cannot stipulate terms 3. refusal to bargain during period of

and conditions of employment which illegal strike
are below the minimum requirements
prescribed by law 4. there is no request for bargaining
(Meaning of duty to bargain when there 5. union seeks recognition for an

exists a CBA, see discussion under Art. inappropriately large unit
253)
6. union seeks to represent some
Collective bargaining does not persons who are excluded from the Code
end with the execution of the
agreement. It is a continuous 7. the rank-and-file unit includes
process. The duty to bargain supervisors or inappropriate otherwise
imposes on the parties during
the term of their agreement the 8. the demand for recognition and
mutual obligation to meet and bargaining is made within the year
confer promptly and following a certification election in
expeditiously and in good faith which the clear choice was no union and
for the purpose of adjusting any no ad interim significant change has
grievances or question arising taken place in the unit
under such agreement. (Republic
Savings Bank vs. CA) 9. the union makes unlawful bargaining
demands
FOUR (4) FORMS OF ULP IN BARGAINING TO THE POINT OF
BARGAINING: DEADLOCK OR IMPASSE:
a. failure or refusal to meet and
convene 1. over a mandatory subject - party
b. evading the mandatory subjects may insist on bargaining and will not be
of bargaining construed as bargaining in bad faith
c. bad faith in bargaining
[boulwarism], including failure or REASON: duty to bargain requires
refusal to execute the CBA, if meeting and convening on the terms and
requested conditions of employment
d. gross violation of the CBA but does not require assent to the other
party's proposals.
Do economic exigencies justify refusal
to bargain?
LABOR LAW COMMITTEE

2. over a non-mandatory subject - ART. 253. DUTY TO BARGAIN

party may not insist on bargaining to the COLLECTIVELY WHEN THERE EXISTS A
point of impasse, otherwise, he will be COLLECTIVE BARGAINING AGREEMENT
construed as bargaining in bad faith.
GENERAL RULE: When there is an
EXAMPLE: The employer's insistence existing CBA, the duty to bargain
that the union should change its collectively shall also mean that neither
negotiator before bargaining can party shall TERMINATE nor MODIFY such
proceed to the employees' wage and agreement during its lifetime. It is the
benefits is an instance of bad-faith duty of both parties to:
bargaining because the composition of
the negotiating panel is not a mandatory a. keep the status quo and
subject of bargaining. b. to continue in the full force and
effect the terms and conditions of
Hence, if Party A insists on first settling a the existing CBA
non-mandatory subject before tackling a
mandatory subject, Party B may EXCEPTION: during the 60-day period
complain that Party A's posture is just an prior to its expiration, upon service of a
excuse to avoid bargaining on the written notice of a partys intention to
mandatory, essential subjects of terminate or modify the same, a party
bargaining; thus, Party B can charge that may choose to terminate or modify the
Party A is bargaining in bad faith or is non-representational aspect of the CBA
evading bargaining on terms and only after the expiration of CBA of fixed
conditions of employment - in short, duration.
Party A is committing ULP.
DUTY TO BARGAIN COLLECTIVELY
NOTE: What the rule forbids is the UNDER 253 AND 253-A/256
posture of making settlement of a non-
mandatory subject a pre-condition to the AUTOMATIC RENEWAL CLAUSE Art.
discussion or settlement of a mandatory 253 provides that the CBA shall remain
subject. effective and enforceable even after the
expiration of the period fixed by the
parties as long as no new agreement is
reached by them.
253 253-A/256
WHAT MAY BE DONE DURING THE
A.FREEDOM PERIOD 60-DAY FREEDOM PERIOD:
-the notice of intention to - representation
terminate, amend or alter aspect of the CBA
the provisions of the CBA
a. A labor union may DISAFFILIATE
shall be filed within the
shall be for a from the mother union to form a
sixty (60) day period, term of five (5). local or independent union only
immediately prior to the A petition for during the 60-day freedom period
expiration of the CBA. certification immediately preceding the
-the economic provisions election may be expiration of the CBA. [take note of
however may be entertained and the limitation-see discussions on
renegotiated not later than a certification registration of labor unions]
three (3) years. Those election may be b. either party can serve a written
economic provisions conducted within notice to TERMINATE OR MODIFY
entered within 6 months
the 60-day period the agreement at least 60 days prior
from the expiry of their
term as fixed in the CBA immediately to its expiration period [on re-
shall retroact to the day prior to the negotiable/non-representation
immediately following such expiration of the aspect of the CBAsee discussion on
date, if beyond 6 months CBA. 253]
the effectivity is by c. a petition for CERTIFICATION
agreement of the parties. ELECTION may be filed
B. WHAT MAY BE
CHANGED DURING THE 60- - representation
DAY FREEDOM PERIOD aspectit may be
LABOR LAW Cprovisions
-re-negotiable OMMITTEEof resolved by holding
the CBA particularly the certification
non-representation aspectMa.election
ASST. EDPS: Jennifer Trinidad, Jasmine Isip, Emil Bien Ongkiko, Kareen Faye Pioquinto
(ECONOMIC PROVISIONS
may be renegotiated not
later than three (3) years.
ART. 253A. TERMS OF A REASON: injunction contradicts the

COLLECTIVE BARGAINING AGREEMENT constitutional preference for voluntary
(CONTRACT BAR RULE) modes of dispute settlement
DURATION OF THE CBA: In cases of strikes/picketing, third

parties or innocent bystanders may
1. With respect to the secure a court (regular court)
representation aspect, the same injunction to protect their rights.
lasts for 5 years (PAFLU vs. CLORIBEL)
2. With respect to other provisions ART. 255. EXCLUSIVE BARGAINING

[economic provisions], the same may REPRESENTATION AND WORKERS
last for a maximum period of 3 years PARTICIPATION IN POLICY AND
after the execution of the CBA DECISION-MAKING
RULE ON RETROACTIVE EFFECTS OF WHAT IS THE MEANING OR EXTENT OF

OTHER ECONOMIC PROVISIONS WITH THE WORKERS RIGHT TO PARTICIPATE
FIXED TERM OR DATES OF EXPIRY AS IN POLICY AND DECISION-MAKING
PROVIDED IN THE CBA: PROCESSES?
a. Those made within 6 months after Such right refers ONLY to

the date of expiry of the CBA participation in grievance procedures
- Any agreement on such other and voluntary modes of settling disputes
provisions of the CBA made within 6 and NOT to formulation of corporate
months after the date of expiry of the programs and policies.
CBA is subject to AUTOMATIC
RETROACTION to the day immediately NOTE: An employer may solicit
following such date of expiry. questions, suggestions and complaints
from employees eventhough the
b. Those not made within 6 months the employees are represented by a union,
parties may agree to the DATE OF provided:
RETROACTION.
- This rule applies only if there 1. the collective bargaining
is an EXISTING AGREEMENT. If THERE IS representative executes an
NO EXISTING AGREEMENT, there is no agreement waiving the right to be
retroactive effect because the date present on any occasion when
agreed upon shall be the start of the employee grievances are being
period of agreement. adjusted by the employer and
NOTE: Article 253-A on retroaction does 2. employer acts strictly within the
not apply if the provisions were imposed terms of this waiver agreement.
by the Secretary of Labor by virtue of
arbitration. It applies only if the
agreement was voluntarily made by the
parties. ONE-UNION, ONE-COMPANY POLICY -
ART. 254. NO INJUNCTION RULE the proliferation of unions in an
employer unit is discouraged as a matter
No temporary or permanent of policy unless there are compelling
injunction or restraining order in any reasons which would deny a certain class
case involving or growing out of labor of employees the right to self-
disputes shall be issued by any court or organization for purposes of collective
other entity, except as otherwise bargaining.
provided in Articles 218 (Powers of the
Commission/NLRC) and 264 (Prohibited EXCEPTION:
Activities) of this Code.
LABOR LAW COMMITTEE

- supervisory employees who are of the wishes of the employees

allowed to form their own unions apart concerning their inclusion or
from the rank-and-file employees exclusion from a proposed
bargaining unit is inherent in the
- the policy should yield to the right of basic right to self organization
employees to form unions for purposes
not contrary to law, self-organization 2. the SUBSTANTIAL AND MUTUALITY
and to enter into collective bargaining INTEREST factor;
negotiations.
3. prior collective bargaining HISTORY;
two companies cannot be and
treated into a single bargaining unit
even if their businesses are related. 4. EMPLOYMENT STATUS, such as
a. temporary
subsidiaries or corporations b. seasonal, and
formed out of former divisions of a c. probationary employee
mother company following a
reorganization may constitute a THINGS TO CONSIDER IN
separate bargaining unit. DETERMINING THE COMMUNITY
OF INTEREST DOCTRINE:
LABOR MANAGEMENT COUNCILS -
deal with the employer on matters 1. similarity in the scale and manner of
affecting employees rights, benefits and determining earnings
welfare.
They may be formed even if there 2. similarity in employment benefits,
is already a union in the company. hours of work and other terms and
conditions of employment
ARTS. 256-259 PETITION FOR
CERTIFICATION ELECTION 3. similarity in the kinds of work
performed
BARGAINING UNIT- a group of
employees of a given employer, 4. similarity in the qualifications, skills
comprised of all or less than all the and training of the employees
entire body of the employees, which,
consistent with equity to the employer, 5. frequency of contract or interchange
indicate to be best suited to serve the among the employees
reciprocal rights and duties of the
parties under the collective bargaining 6. common supervision and
provision of the law. determination of labor-relations
policy
CERTIFICATION YEAR - refers to the
period wherein collective bargaining 7. history of previous collective
should begin, which is within 12 months bargaining
following the determination and
certification of employees' exclusive 8. desires of the affected employees
bargaining representative.
FOUR FACTORS IN DETERMINING THE 9. extent of union organization
MODES OF CHOOSING THE EXCLUSIVE
APPROPRIATE BARGAINING UNIT:
BARGAINING UNIT:
1. the EXPRESS WILL OR DESIRE of the
employees (Globe Doctrine); 1. SELECTION - certification election
2. DESIGNATION - voluntary recognition
the desires of all the employees
are relevant to the
A. CERTIFICATION ELECTION the
determination of the appropriate
process of determining by secret ballot
bargaining unit. The relevance
LABOR LAW COMMITTEE

the sole and exclusive bargaining agent VOLUNTARY RECOGNITION the process
of the employees in an appropriate whereby the employer recognizes a labor
bargaining unit, for purposes of organization as the exclusive bargaining
collective bargaining representative of the employees in the
appropriate bargaining unit after a
CERTIFICATION vs. CONSENT showing that the labor organization is
ELECTION supported by at least a majority of the
CERTIFICATION CONSENT employees in the bargaining unit.
ELECTION ELECTION
EFFECT OF VOLUNTARY RECOGNITION
A. NATURE BY THE EMPLOYER - through voluntary
- separate and distinct - a separate and recognition by the employer, the labor
from a consent distinct process organization is recognized by the
election and has nothing employer as the exclusive bargaining
to do with the agent which may collectively bargain
import and with such employer.
effect of a
certification
election C.E. IN AN ORGANIZED AND AN
UNORGANIZED ESTABLISHMENT
B. PURPOSE
- to determine the sole - to determine ORGANIZED UNORGANIZED
and exclusive the issue of
bargaining agent of all majority A. WHEN MANDATORY ON
the employees in an representation of THE PART OF BLR Upon:
appropriate bargaining all the workers - upon the filing of a a. the filing
unit for the purpose of in the verified petition by a
collective bargaining; appropriate legitimate labor
of a verified
collective organization questioning petition by a
bargaining unit the majority status of the legitimate
mainly for the incumbent bargaining labor
purpose of agent within the 60-day organization;
determining the freedom period before the or
administrator of expiration of a CBA. b. upon the
the CBA when - The petition must be filing of a
the contracting supported by the written petition by
union suffered consent of at least 25% of
massive the employer
ALL THE EMPLOYEES IN
disaffiliation but THE APPROPRIATE when such
not for the BARGAINING UNIT. employer is
purpose of - the employer cannot file requested by
determining the a petition for certification the
bargaining agent election; only a legitimate employees to
for purposes of labor organization can file bargain
collective such petition. collectively.
bargaining.
B. PERIOD FOR FILING THE

DIRECT CERTIFICATION - the process PETITION
whereby the Med-Arbiter directly a. when there is a CBA, - any time,
certifies a labor organization of an the labor organization can
subject
appropriate bargaining unit of a company file a petition for
certification election however to
after a showing that such petition is
within the 60-day freedom the ONE-
supported by at least a majority of the
period (CONTRACT-BAR ELECTION-
employees in the bargaining unit. IT IS
RULE) PER-YEAR
NO LONGER ALLOWED. (EO 111)
b. when there is no CBA, RULE.
then the labor organization
can file a petition for
LABOR LAW COMMITTEE

certification election at (d) the TOTAL VOTES FOR

any time, subject to the THE UNIONS IS AT LEAST 50%
Deadlock Bar Rule. of the votes cast;
(e) there is NO
REQUISITES BEFORE A LABOR UNION UNRESOLVED CHALLENGED
CAN BE DECLARED A WINNER (DOUBLE VOTES or election protest
MAJORITY RULE): which if sustained can
materially alter the results
1. Majority of the eligible voters cast
their votes AND (f) the two choices which
garnered the highest votes will
2. Majority of the valid votes cast is for be voted and the one which
such union. garners the highest number of
votes will be declared the
winner provided they get the
HOW TO DETERMINE THE DOUBLE majority votes of the total
MAJORITY RULE: votes cast
Who will participate in the run

1. In determining the eligible votes cast off?
[FIRST MAJORITY], include spoiled
ballots The unions receiving the highest
and second highest number of votes
2. In determining valid votes [SECOND cast.
MAJORITY], eliminate spoiled ballots
but include challenged votes Re Run Election vs. Run off
Election
RE RUN ELECTION RUN OFF
RUN-OFF ELECTION: ELECTION
Conducted when
A run-off election is proper if the Held in two none of the
following conditions exist namely: instances: choices, including
the choice of No
(a) a VALID ELECTION took Union, receives a
1. if one choice majority of the
place because majority of the receives a valid vote cast.
Collective Bargaining Unit plurality of vote This presupposes
members voted [FIRST and the no less than three
MAJORITY]; remaining competing choices.
choices results In this situation, an
(b) the said election in a tie; election is
presented at least THREE 2. if all choices conducted between
CHOICES, e.g., Union One, received the the union choices
Union Two, and No Union (Take receiving the
same number of
Note: No Union shall not be a largest and the
votes; second largest
choice in the run off In both number of the valid
election); instances, the votes cast.
NO UNION is also
(c) NOT ONE OF THE a choice
CHOICES OBTAINED THE
MAJORITY (50%+1-SECOND RULES WHICH PREVENT THE HOLDING
MAJORITY) of the valid votes OF A CERTIFICATION ELECTION [DONC]:
cast; 1. Deadlock bar rule- when there
is a deadlock in collective bargaining and
the same has been submitted to NCMB
for conciliation and mediation the same
LABOR LAW COMMITTEE

bars any petition or conduct of entering into a CBA until the issue of
certification election. representation is resolved
2. One year bar rule 7. Petition is filed during the 60-day
3. Negotiation bar rule freedom period
4. Contract bar rule
SUCCESSOR-IN-INTEREST DOCTRINE
1. CONTRACT-BAR RULE - while a valid When an employer with an existing CBA
and registered CBA of a fixed duration is is succeeded by another employer, the
subsisting, the BLR is not allowed to hold successor-in-interest who is a buyer in
an election contesting the majority good faith has no liability to the
status of the incumbent union during the employees in continuing employment
five year term of the CBA except during and the collective bargaining agreement
the sixty day period immediately prior to because these contracts are in personam
the expiration of the CBA.
EXCEPT:
REQUIREMENTS IN ORDER TO INVOKE a. when the successor-in-interest
CONTRACT-BAR RULE: expressly assumes the obligation or
b. the sale is a device to
1. Agreement is in WRITING AND circumvent the obligation or
SIGNED by all contracting parties. c. the sale or transfer is made in
2. It must contain THE TERMS AND bad faith
CONDITIONS of employment.
3. Covered employees in an appropriate SUBSTITUTIONARY DOCTRINE where
bargaining unit [ABU EES COVERED]. there occurs a shift in the employees
4. It is for a REASONABLE PERIOD or union allegiance after the execution of a
duration. collective bargaining contract with the
5. It must be RATIFIED. employer, the employees can change
6. It must be REGISTERED with the their agent (the labor union) but the
Bureau. collective bargaining contract which is
7. The violation of the contract bar rule still subsisting continues to bind the
or the existence of a duly registered employees up to its expiration date.
CBA must be specifically IMPLEADED They may, however, bargain for the
AS A DEFENSE. shortening of said expiration date.
EFFECT OF AN INVALID AND The employees cannot revoke

UNREGISTERED CBA- there is no bar and the validly executed collective
therefore a certification election may be bargaining contract with their
held. employer by the simple
expedient of changing their
NOTE: Registration of CBA only puts into bargaining agent. The new
effect the contract bar rule but the CBA agent must respect the contract.
itself is valid and binding even if (Benguet Consolidated, Inc. vs.
unregistered. Employees and Workers Union-
PAFLU)
EXCEPTIONS TO THE CONTRACT-BAR
RULE: LIMITATION AS TO ITS APPLICATION
it cannot be invoked to support the
1. CBA is not registered contention that a newly certified
2. CBA deregistered collective bargaining agent automatically
3. CBA was hastily concluded way assumes all the personal undertakings of
ahead of the freedom period the former agentlike the no strike
4. CBA is incomplete in itself clause in the CBA executed by the
5. CBA does not foster industrial peace latter (Benguet Consolidated Inc. vs. BCI
because of schism Employees and Workers Union-PAFLU).
6. CBA was concluded in violation of an
order enjoining the parties from
LABOR LAW COMMITTEE

2. DEADLOCK BAR RULE - a petition for rather than with the employees
certification election cannot be through the union.
entertained if, before the filing of the b. Employer submits its proposals
petition for certification election, a and adopts a take it or leave it
bargaining deadlock to which an stand. This is not negotiation
incumbent or certified bargaining agent because the take it or leave it stand
is a party, had been submitted to implies threat.
conciliation or arbitration or had become
the subject of a valid notice of strike or 3. Side Bar Technique
lockout.
DEADLOCK arises when there is an

impasse, which presupposes reasonable TITLE VII- A
effort at good faith bargaining which, (as incorporated by RA 6715)
despite noble intentions, did not
conclude in an agreement between the
parties.
GRIEVANCE MACHINERY AND
INDICATIONS OF A GENUINE VOLUNTARY ARBITRATION
DEADLOCK:
1. the submission of the deadlock ART. 260. GRIEVANCE MACHINERY
to a third party conciliator or AND VOLUNTARY ARBITRATION
arbitrator GRIEVANCE MACHINERY - a mechanism
2. the deadlock is the subject of for the adjustment of controversies or
a valid notice of strike or lockout disputes arising from the interpretation
or implementation of the CBA and the
3. NEGOTIATION BAR RULE - a petition interpretation or enforcement of
for certification election cannot be company personnel policies
entertained if, before the filing of the
petition for certification election, the GRIEVANCE - arises when a dispute or
duly recognized or certified union has controversy arises over the
commenced negotiations with the implementation or interpretation of a
employer in accordance with Art. 250 of CBA or from the implementation or
the Labor Code. enforcement of company personnel
policies, and either the union or the
4. CERTIFICATION YEAR RULE no employer invokes the grievance
petition for certification election may be machinery provision for the adjustment
filed within one year from the date of a or resolution of such dispute or
valid certification, consent, or run-off controversy.
election or from the date of voluntary
recognition NATURE OF GRIEVANCE PROCEDURE -
It is a must provision in any CBA and
EXAMPLES OF BAD FAITH no collective agreement can be
BARGAINING: registered in the absence of such
procedure.
1. Surface Bargaining occurs when It is a part of the continuous
employer constantly changes its process of collective bargaining intended
positions over the agreement. to promote a friendly dialogue between
2. Boulwarism occurs: labor and management as a means of
a. when the employer directly maintaining industrial peace.
bargains with the employee
disregarding the union. VOLUNTARY ARBITRATION -
contractual proceedings where parties to
The aim was to deal with the a dispute select a judge of their own
Union through the employees, choice and by consent submit their
controversy to him for determination.
LABOR LAW COMMITTEE

All grievances not settled within 7 implementation of the

days from the date of its submission to productivity incentive programs
the grievance machinery shall under RA 6071 .
automatically be referred voluntary
arbitration prescribed in the CBA. It is the labor arbiter and not the
Although the provision grievance machinery which has
mentions parties to a jurisdiction over dismissals pursuant
collective bargaining to the union security clause.
agreement, it does not violations of CBA, except those
mean that a grievance which are gross in character, shall no
machinery cannot be set up longer be treated as ULP and shall be
in a CBA-less enterprise. In resolved as grievances.
any work place where
grievance can arise, a GROSS VIOLATION flagrant and/or
grievance machinery malicious refusal to comply with the
(regardless of name) can be economic provisions of the CBA.
established.
In a unionized company, Art. 2. JURISDICTION BY AGREEMENT OF
255 allows an employee, THE PARTIES (Art. 262)
union member or not, to
raise a grievance directly to -all other disputes including ULP
the employer. and bargaining deadlocks
The disputes the parties may
ARBITRATION MAY BE INITIATED BY: submit to a Voluntary Arbitrator
can include any or all the
1. SUBMISSION AGREEMENT disputes mentioned in Art. 217
where the parties define the which otherwise fall under the
disputes to be resolved; or exclusive jurisdiction of a labor
2. DEMAND OR NOTICE invoking a arbiter.
collective agreement arbitration Voluntary arbitration may be
clause. viewed as a master procedure to
prevent or resolve labor disputes
ART 261. JURISDICTION OF GROUNDS FOR JUDICIAL REVIEW OF

VOLUNTARY ARBITRATORS OR PANEL DECISIONS OF VOLUNTARY
OF VOLUNTARY ARBITRATORS ARBITRATORS:
JURISDICTION OF VOLUNTARY 1. Lack of jurisdiction

ARBITRATORS: 2. Grave abuse of discretion
3. Violation of due process
1. EXCLUSIVE ORIGINAL JURISDICTION 4. Denial of substantial justice
CONFERRED BY LAW 5. Erroneous interpretation of the law
a)All grievances arising from the A voluntary arbitrator is a

interpretation or implementation quasi-judicial instrumentality (Sec 9
of the CBA. BP129 as amended by RA 7902);
b) Those arising from the hence, a petition for certiorari under
interpretation or enforcement of Rule 65 of the Rules of Court will lie
company personnel polices. where a grave abuse of discretion or
c)Hear and decide wage distortion an act without or in excess of
issues arising from the jurisdiction of the voluntary
application of any wage orders arbitrator is shown, which may be
in organized establishments. filed with the Court of Appeals.
d) Unresolved grievances arising
from the interpretation and TITLE VIII
LABOR LAW COMMITTEE

STRIKE AREA the establishment,

STRIKES AND LOCKOUTS AND warehouse, depots, plants or offices,
FOREIGN INVOLVEMENT IN TRADE including the sites or premises used as
UNION ACTIVITIES runaway shops of the employer struck
CHAPTER I against, as well as the immediate
vicinity actually used by picketing
STRIKES AND LOCKOUTS strikers in moving to an fro before all
points of entrance to and exit from said
ART. 263. STRIKES, PICKETING AND
establishment
LOCKOUTS SOME EXAMPLES OF STRIKES AND
THEIR VALIDITY
STRIKE - Any temporary stoppage A. SIT-DOWN STRIKE - is
of work by the concerted action of characterized by a temporary work
employees as a result of an industrial stoppage of workers who thereupon
or labor dispute. seize or occupy property of the employer
IMPORTANCE: it is the most or refuse to vacate the premises of the
effective weapon of labor in protecting employer. ILLEGAL- amounts to a
the rights of employees to improve the criminal act because the employees
terms and conditions of their trespass on the premises of the
employment. employer.
Government employees may form
B. WILDCAT STRIKE- is a work stoppage
labor unions but are not allowed to
that violates the labor contract and is
strike.
not authorized by the union. ILLEGAL- It
Only legitimate labor is not valid because it fails to comply
organizations are given the right to with certain requirements of the law, to
strike. wit: notice of strike, vote, and report on
Ununionized workers may hold a strike vote.
protest action but not a strike C. SYMPATHETIC STRIKES- are work
Not all concerted activities are stoppages of workers of one company to
strikes; they may only be protest make common cause with other strikers
actions. And they do not necessarily of other companies, without demands or
cause work stoppage by the grievances of their own against the
protesters. A strike, in contrast, is employer. ILLEGAL - because there is no
always a group action accompanied labor dispute between the workers who
by work stoppage. are joining the strikers and the latters
LOCKOUT - means the temporary employer.
refusal of an employer to furnish work as D. SECONDARY STRIKES- are work
a result of an industrial or labor dispute. stoppages of workers of one company to
exert pressure on their employer so that
PICKETING - the act marching to the latter will in turn bring pressure
and fro the employers premises, usually upon the employer of another company
accompanied by the display of placards with whom another union has a labor
and other signs making known the facts dispute. ILLEGAL- because there is no
involved in a labor dispute. This is an labor dispute involved.
exercise of ones freedom of speech.
IS A WELGA NG BAYAN LEGAL?
STRIKE-BREAKER - any person who NO. A welga ng bayan is illegal
obstructs, impedes or interferes by because it is a political strike and
force, violence, coercion, threats or therefore there is neither a bargaining
intimidation with any peaceful picketing deadlock nor any ULP. It is a political
by employees during any labor rally.
controversy affecting wages, hour or
conditions of work or in the exercise of GROUNDS FOR THE DECLARATION
the right to self organization or OF STRIKE:
collective bargaining
LABOR LAW COMMITTEE

1. deadlock in collective bargaining may constitute

(ECONOMIC); and/or union busting
where the
2. unfair labor practices (POLITICAL) existence of the
union is
threatened.
ECONOMIC STRIKE ULP STRIKE - BUT it must still

[POLITICAL] observe the
mandatory 7-day
A. NATURE period before it
- A voluntary strike - An involuntary can stage a valid
because the strike; the labor strike.
employee will organization is E. STRIKE DURATION PAY IN CASE OF A
declare a strike to forced to go on LEGAL STRIKE
compel management strike because of
to grant its demands. the ULP - not entitled to said - may be awarded
committed pay based on the the said paid in the
against them by principle that a fair discretion of the
the employer. It is authority deciding
days wage accrues the case.
an act of self- only for a fair days
defense since the labor
employees are
being pushed to CHARACTERISTICS OF STRIKES:
the wall and their 1. there must be an established
only remedy is to relationship between the strikers and the
stage a strike. person/s against whom the strike is
B. INITIATED BY: called
- The collective - either 2. the relationship must be one of
bargaining agent of a. Collective employer and employee
the appropriate bargaining agent 3. the existence of a dispute
bargaining unit can or between the parties and the utilization
declare an economic b. the legitimate by labor of the weapon of concerted
strike. labor organization refusal to work as a means of persuading
in behalf of its or coercing compliance with the working
members mens demands
C. COOLING OFF PERIOD 4. the contention advanced by the
-30 days from the workers that although the work ceases,
filing of the notice of the employment relation is deemed to
strike before the -15 days from the continue albeit in a state of belligerent
intended date of filing of the suspension
actual strike subject notice of strike. 5. there is work stoppage, which
to the 7-day strike stoppage is temporary
ban. 6. the work stoppage is done
D. EXCEPTION TO THE COOLING-OFF through the concerted action of the
PERIOD employees
- No exception - the cooling off 7. the striking group is a legitimate
mandatory. period may be labor organization, and in case of
dispensed with, and bargaining deadlock, is the employees
the union may take sole bargaining representative.
immediate action in
- Notice of strike case of dismissal
and strike vote TESTS IN DETERMINING THE
from employment of
maybe dispensed their officers duly LEGALITY OF A STRIKE:
with. They may elected in 1. Purpose Test
strike immediately. accordance with the 2. Compliance with Procedural and
unions Constitution substantive requirements of law
and By-laws, which 3. Means employed test
LABOR LAW COMMITTEE

least submit a report to the Department

1. PURPOSE TEST - The strike must be as to the result of the strike vote]
due to either intended to give the Department an
- bargaining deadlock and/or opportunity TO VERIFY whether the
- unfair labor practice. projected strike really carries the
imprimatur of the majority of the union
2. COMPLIANCE WITH PROCEDURAL & members in addition to the cooling off
SUBSTANTIVE REQUIREMENTS OF period before actual strike.
LAW to wit (a-d):
3. MEANS EMPLOYED TEST-A strike
a. notice of strike may be legal at its inception but
b. 30/15-day cooling-off period eventually be declared illegal if the
before the intended date of actual strike is accompanied by violence
strike subject to the 7-day strike ban. which violence is widespread,
pervasive and adopted as a matter of
COOLING OFF PERIOD - that period policy and not merely violence which
of time given the NCMB to mediate and is sporadic which normally occur in a
conciliate the parties. strike area [see prohibited activities
It is that span of time under art. 264].
allotted by law for the
parties to settle NOTE: The 3 tests must concur.
theirdisputes in a peaceful Non-compliance with any of the
manner, before staging a aforementioned requisites renders the
strike or lockout. strike illegal.
c. strike vote EFFECT OF GOOD FAITH OF

STRIKERS ON LEGALITY OF STRIKE - A
STRIKE VOTE - a requirement strike may be considered legal where the
wherein the decision to declare a strike union believed that the company
must be: committed ULP and the circumstances
1. approved by a MAJORITY of the warranted such belief in good faith,
total union membership in the although subsequently such allegations
bargaining unit concerned [not of ULP are found out as not true. (Bacus
of the whole bargaining unit], vs. Ople)
2. obtained by SECRET BALLOT
in MEETINGS OR TOTALITY DOCTRINE - the
REFERENDA called for the culpability of an employers remarks are
purpose. to be evaluated not only on the basis of
their implicit implications but are to be
PURPOSE OF A STRIKE VOTE: - to appraised against the background of and
ensure that the intended strike is a in conjunction with collateral
majority decision circumstances.
The report on the strike Under this doctrine expressions
vote must be submitted to the of opinion by an employer which, though
DOLE at least 7 days before innocent in themselves, frequently were
the intended strike subject to held to be culpable because:
the cooling-off period.
a. of the circumstances
under which they were uttered
b. the history of the particular
d. 7-day strike ban employers labor relations of
anti-union bias or
7-DAY STRIKE BAN it is the 7 day c. because of their connection
waiting period before the date of the with an established collateral
purported strike [within which the union plan of coercion or interference.
intending to conduct a strike must at
LABOR LAW COMMITTEE

WHEN CAN THE SEC. OF LABOR (St. Scholasticas College vs.

ASSUME JURISDICTION OVER A STRIKE? Torres; 29 June 1992)
1.there exists a labor dispute causing or
likely to cause a strike or lockout in a e. Secretary of Labor may subsume
INDUSTRY INDISPENSABLE TO THE pending labor cases before Labor
NATIONAL INTEREST, Arbiters which are involved in the
2.the Secretary of Labor and dispute and decide even issues
Employment may: falling under the exclusive and
a. decide it, or original jurisdiction of labor
b. certify the same to the NLRC for arbiters such as the declaration of
COMPULSORY ARBITRATION. legality or illegality of strike.
(Intl Pharmaceuticals vs. Sec of
NOTE: What constitutes Labor; 09 January 1992).
indispensable industry is based solely
upon the discretion of the Secretary of f. Power of Sec. of Labor is plenary
Labor. and discretionary. (St. Lukes
Medical Center vs. Torres; 29 June
EFFECTS OF THE ASSUMPTION OF 1993; reiterated in PAL vs.
JURISDICTION OF THE SECRETARY Confesor; 10 March 1994).
1. AUTOMATICALLY ENJOINS the IN CASE THE STRIKE IS DECLARED

intended or impending strike or LEGAL, ARE THE STRIKERS ENTITLED
lockout as specified in the TO STRIKE DURATION PAY?
assumption or certification order;
GENERAL RULE: Strikers are not
2. if one has already taken place at entitled to their wages during the period
the time of assumption or of a strike, even if the strike is legal.
certification, all striking or locked-
out employees shall IMMEDIATELY EXCEPTIONS:
RETURN TO WORK; and
1. In case of a ULP STRIKE, in the
3. the employer shall immediately discretion of the authority deciding
resume operations and READMIT ALL the case [see table for more
WORKERS under the same terms and distinction bet. Economic and ULP
conditions prevailing before the strike]
strike or lockout.
2. Where the strikers VOLUNTARILY
A motion for reconsideration AND UNCONDITIONALLY OFFERED
does not suspend the effects as the TO RETURN TO WORK, but the
assumption order is immediately employer refused to accept the
executory. offer [e.g. of an unconditional
offer: we will return tomorrow
ISSUES THAT THE SECRETARY OF and NOT willing to return
LABOR CAN RESOLVE WHEN HE provided]
ASSUMES JURISDICTION OVER A LABOR
DISPUTE: They are entitled to backwages from
the date the offer was made
c. Only issues submitted to the
Secretary may be resolved by him. 3. Where there is RETURN-TO-WORK
(PAL vs. Sec. of Labor, 23 January ORDER and the employees are
1991). discriminated against.
d. Issues submitted to the Secretary - They are entitled to backwages

for resolution and such issues from the date of discrimination.
involved in the labor dispute itself.
LABOR LAW COMMITTEE

RULE ON REINSTATEMENT OF
STRIKING WORKERS: without first having
bargained collectively in
GENERAL RULE : Striking employees accordance with Title VII of
are entitled to reinstatement, regardless this Book or
of whether or not the strike was the
consequence of the employers ULP without first having filed
REASON: because while out on the notice required in Art. 263
strike, the strikers are not considered to or
have abandoned their employment, but
rather have only ceased from their labor. without the necessary
strike or lockout vote first
The declaration of a strike is having been obtained and
NOT a renunciation of reported to the Department.
employment relation.
EXCEPTIONS - The following strikers NO strike or lockout shall be

are NOT entitled to reinstatement: declared:
1. Union officers who knowingly
participate in an illegal strike; and a. AFTER assumption of
2. any striker/union member who jurisdiction by the President
knowingly participates in the or the Secretary or
commission of illegal acts during the
strike. b. AFTER certification or
submission of the dispute to
Those union members who compulsory or voluntary
joined an illegal strike but have arbitration or
not committed any illegal act
shall be reinstated but without c. DURING the pendency of
any backwages. cases involving the same
grounds for the strike or
RULE IN STRIKES IN HOSPITALS lockout.
1. It shall be the duty of striking THIRD PERSONS

employees or locking-out employer to
provide and maintain an effective 2. NO person [3rd persons] all obstruct,
SKELETAL WORKFORCE of medical impede or interfere with by force,
and other health personnel for the violence, coercion, threats or
duration of the strike or lockout. intimidation
any peaceful picketing by
2. SECRETARY OF LABOR MAY employees
IMMEDIATELY ASSUME JURISDICTION
WITHIN 24 HOURS FROM during any labor
KNOWLEDGE of the occurrence of controversy or in the
such strike or lock-out or certify it to exercise of the right of self-
the Commission for compulsory organization or collective
arbitration. bargaining or
ART. 264. PROHIBITED shall aid or abet such
ACTIVITIES obstruction or interference.
LABOR ORGANIZATIONS EMPLOYERS
1. No labor organization or employer 3. NO employer shall use or employ

shall declare a strike or lockout any STRIKE-BREAKER nor shall any
LABOR LAW COMMITTEE

person be employed as a BALLOTING

strikebreaker.
1. a referendum 1. a
PUBLIC OFFICIAL OR EMPLOYEE conducted by the NCMB referendum
on or before the 30th day conducted by the
of the strike, for the NCMB for the
4. NO public official or employee,
purpose of determining purpose of
including officers and personnel of whether or not the determining
the New Armed Forces of the improved offer of the whether or not
Philippines of the Integrated employer is acceptable the reduced
National Police, or armed persons, to the union members. offer of the
union is
shall bring in, introduce or acceptable to
escort in any manner, any the board of
directors,
individual who seeks to
trustees or
replace strikes in entering partners.
or leaving the premises of a PURPOSE
strike area, or work in place 2. to determining 2. to
of the strikers. whether or not the determining
improved offer of the whether or not
The police force shall keep EMPLOYER is acceptable the improved
out of the picket lines to the union members. offer of the
to ascertain the UNION is
unless actual violence or
real sentiment of acceptable to
other criminal acts occur the union
the silent majority
therein: of the union members.
members on strike. to ascertain
Provided, That nothing herein shall the real
be interpreted to prevent any public sentiment of the
officers from taking any measure silent majority of
necessary to: the union
members on
strike.
a. maintain peace and order,
PERIOD OF FILING
3. on or before the 3. on or
b. protect life and property, 30th day of the strike before the 30th
and/or day of the
lockout
c. enforce the law and legal LIMITATION 4. applies
order. 4. applies only to only to economic
economic strikes strikes-deadlock
(deadlock) in bargaining
PERSONS ENGAGED IN PICKETING (lockout)
NO person engaged in PICKETING shall:
ART. 266. ARREST AND DETENTION
a. commit any act of violence,
coercion or intimidation or
General rule is that a police officer
b. obstruct the free ingress to or cannot arrest or detain a union
egress from the employers premises member for union activities without
for lawful purposes,or previous consultations with the
c. obstruct public thoroughfares Secretary of Labor EXCEPT on
grounds of:
ART. 265. IMPROVED OFFER vs. a. national security
REDUCED OFFER BALLOTING
b. public peace
IMPROVED OFFER REDUCED
BALLOTING OFFER c. commission of a crime
LABOR LAW COMMITTEE

proceedings (General Baptist Bible

College v. NLRC; 219 SCRA 549).
BOOK SIX
What happens if there is an order
POST EMPLOYMENT of reinstatement but the position is no
longer available?
The employee should be given a
TITLE I SUBSTANTIALLY EQUIVALENT POSITION. If
NO SUBSTANTIALLY EQUIVALENT POSITION
TERMINATION OF IS AVAILABLE, reinstatement should not
EMPLOYMENT be ordered because that would in effect
compel the employer to do the
ART. 279. SECURITY OF TENURE impossible. In such a situation, the
SECURITY OF TENURE - the employee should merely be given
constitutional right granted the SEPARATION PAY CONSISTING OF ONE
employee, that the employer shall not MONTH SALARY FOR EVERY YEAR OF
terminate the services of an employee SERVICE (1:1).
except for just cause or when authorized
by law. CIRCUMSTANCES WHEN COMPANY
RELIEFS AVAILABLE TO AN MAY NOT REINSTATE DESPITE ORDER OF
ILLEGALLY DISMISSED EMPLOYEE: REINSTATEMENT
1. TRANSFER OF BUSINESS OWNERSHIP
A. REINSTATEMENT - Restoration of -There is no law requiring a
the employee to the state from which he purchasing corporation to absorb the
has been unjustly removed or separated employees of the selling corporation.
without loss of seniority rights and other A fortiori, reinstatement of unjustly
privileges. dismissed employees CANNOT be
enforced against the new owner
FORMS OF REINSTATEMENT: UNLESS there is an express
1. ACTUAL OR PHYSICAL REINSTATEMENT agreement on the assumption of
- the employee shall be admitted liabilities by the purchasing
back to work corporation;
2. PAYROLL REINSTATEMENT 2. When reinstatement is rendered
- the employee is merely reinstated IMPOSSIBLE due to the abolition of
in the payroll. the position;
3. When the business has CLOSED
May a court order the DOWN;
reinstatement of a dismissed 4. PHYSICAL INCAPACITY of the
employee even if the prayer of the employee; and
complaint did not include such relief? 5. DOCTRINE OF STRAINED RELATIONS
- When the employer can no longer
YES. So long as there is a finding trust the employee and vice-versa,
that the employee was illegally reinstatement could not effectively
dismissed, the court can order the serve as a remedy. This doctrine only
reinstatement of an employee even if applies only to positions which
the complaint does not include a prayer require trust and confidence
for reinstatement, unless, of course, the
employee has waived his right to - Under the circumstances
reinstatement. By law, an employee who where the employment
is unjustly dismissed is entitled to relationship has become so
reinstatement, among others. The mere strained to preclude a
fact that the complaint did not pray for harmonious working
reinstatement will not prejudice the relationship, and that all hopes
employee, because technicalities of law at reconciliation are nil after
and procedure are frowned upon in labor reinstatement, it would be
more beneficial to accord the
LABOR LAW COMMITTEE

employee backwages and cause or when authorized by law. This

separation pay. limitation is because no less than the
constitution recognizes and guarantees
B. BACKWAGES the relief given to employees right to security of tenure.
an employee to compensate him for lost (Art. 279, Labor Code; Art. XIII, Sec. 3,
earnings during the period of his Constitution)
dismissal.
ART. 280. REGULAR AND CASUAL
PERIOD COVERED BY THE EMPLOYMENT
PAYMENT OF BACKWAGES - Backwages REGULAR EMPLOYMENT - one wherein
shall cover the period from the date of an employee is engaged to perform
dismissal of the employee up to the date activities which are usually necessary or
of actual reinstatement desirable in the usual business or trade
of the employer.
HOW COMPUTED - Under existing - He is a regular employee at the point
law, backwages is computed from the of hiring.
time of the illegal dismissal up to time of
actual reinstatement. Test of regularity: nature of
employment.
INCLUDED IN THE COMPUTATION
OF BACKWAGES CASUAL EMPLOYMENT one wherein an
1. transportation and emergency employee is engaged to perform
allowances activities which are not necessary or
2. vacation or service incentive leave desirable in the usual trade or business
and sick leave of the employer.
3. 13th month pay. - becomes a regular employee after
one (1) year of service.
NOTE: facilities such as uniforms, -
shoes, helmets and ponchos should NOT REGULAR EMPLOYEE VS.
be included in the computation of PROJECT EMPLOYEE
backwages.
REASON: said items are given free, PROJECT REGULAR
to be used only during official tour of EMPLOYEE EMPLOYEE
duty not for private or personal use.
A project employee is A regular
one whose employee is one
CIRCUMSTANCES THAT PREVENT employment is fixed engaged to perform
AWARD OF BACKWAGES: for a specific project activities which are
1. death of the employee or undertaking the usually necessary or
2. physical and mental incapacity completion of which desirable in the usual
3. business reverses has been determined business or trade of
4. closure of business at the time of the the employer
5. reinstatement of dismissed employee engagement of the
employee. (See Art.
confinement in jail
280 LC)
Which takes precedence in

conflicts arising between employers
MANAGEMENT PREROGATIVE and the
TEMPORARY EMPLOYMENT OR
employees right to security of tenure?
The employees right to security EMPLOYMENT FOR A FIXED SPECIFIC
of tenure. Thus, an employers PERIOD - one wherein an employee is
management prerogative includes the engaged to work on a specific project or
right to terminate the services of the undertaking which is usually necessary or
employee but this management desirable in the usual business or trade
prerogative is limited by the Labor Code of the employer, the completion of
which provides that the employer can which has been determined at the time
terminate an employee only for a just of the engagement of the employee.
LABOR LAW COMMITTEE

- He does not become a regular [COMPLIANCE WITH SPECIFIC

employee. The employment is REQUIREMENTS];
coterminous with the specific 2.if a particular time is prescribed,
period. the termination must be within such
time and if formal notice is
SEASONAL EMPLOYMENT - one required, then that form must be
wherein an employee is engaged to work used [WITHIN PARTICULAR
during a particular season on an activity PRESCRIBED TIME];
that is usually necessary or desirable in 3.the employers dissatisfaction must
the usual business or trade of the be real and in good faith, not
employer. feigned so as to circumvent the
Pakiao employees are considered contract or the law
employees as long as the [DISSATISFACTIONREAL AND IN
employer exercises control over GOOD FAITH]; and
the means by which such workers 4.there must BE NO UNLAWFUL
are to perform their work. DISCRIMINATION in the dismissal.
Employee is considered an GENERAL RULE: Probationary

regular employee insofar as the employment shall not exceed six months
season to which he was from the date the employee started
employed is concerned. working.
- during the off-season his
employment is merely EXCEPTIONS:
suspended not terminated 1. when it is covered by an
(Phil. Tobacco Flue Curring and apprenticeship agreement stipulating a
Drying Corp. vs. NLRC). longer period; or
2. when the parties to an
PROBATIONARY PERIOD OF employment contract agree otherwise,
EMPLOYMENT - the period needed to such as when the same is established by
determine the fitness for the job, i .e., company policy or when the same is
the time needed to learn the job. required by the nature of the work to be
It is the period during which the performed by the employee
employer may determine if the
employee is qualified for possible EFFECT IF PROBATIONARY
inclusion in the regular force. EMPLOYEE IS ALLOWED TO WORK
PURPOSE: To afford the employer an BEYOND 6 MONTHS
opportunity to observe the fitness of a
probationary employee at work. If the probationary employee is
NOTE:The standard which the allowed to work beyond the period of 6
probationary employee is to meet must months or the agreed probationary
be made known by the employer to the period, said employee becomes a regular
employee at the time of engagement. employee by operation of law.
The services of probationary employees Under the Labor Code, an
may be terminated for the same causes employee who is allowed to work after a
as in the case of regular employee, probationary period shall be considered
except that there is an additional ground a regular employee. (Art. 281.)
failure to meet the standard. ART. 282. TERMINATION BY
EMPLOYER
LIMITATIONS ON THE EMPLOYERS
POWER TO TERMINATE A PROBATIONARY SECURITY OF TENURE - An
EMPLOYMENT CONTRACT: employer CANNOT terminate the services
1. the power must be exercised in of an employee EXCEPT for a just cause
accordance with the specific or when authorized by law.
requirements of the contract GUIDELINES TO DETERMINE THE
VALIDITY OF TERMINATION:
1. Gravity of the offense
LABOR LAW COMMITTEE

2. Position occupied by the DUE PROCESS TO BE OBSERVED

employee BY THE EMPLOYER - For termination of
3. Degree of damage to the the employment based on the any of the
employer just causes for termination, the
4. Previous infractions of the same requirements of due process that an
offense employer must comply with are: (TWIN
5. Length of service NOTICES)
A. JUST CAUSES [MaNaBaCA]: 1. Written NOTICE should be served

1. Serious MISCONDUCT OR WILLFUL to the employee specifying the
DISOBEDIENCE by the employee of ground or grounds for termination
the lawful orders of his employer or and giving the said employee
representative in connection with his reasonable opportunity within
work; which to explain;
Misconduct- transgression of 2. A HEARING OR CONFERENCE
some established and definite should be held during which the
rule of action, a forbidden act, a employee concerned, with the
dereliction of duty, willful in assistance of counsel, if the
character, and implies wrongful employee so desires, is given the
intent and not mere error in opportunity to respond to the
judgment. (Dept. of Labor charge, present his evidence and
Manual, Sec. 4353.01) present the evidence presented
against him;
2. Gross and habitual NEGLECT by the 3. A WRITTEN NOTICE OF
employee of his duties; (Repeated TERMINATION, if termination is
absenteeism and tardiness) the decision of the employer,
should be served on the employee
3. FRAUD OR WILLFUL BREACH by the indicating that upon due
employee of the trust reposed in him consideration of all the
by his employer or duly organized circumstances, grounds have been
representative established to justify his
Fraud must be committed termination.
against the employer or his For termination of
representative and in connection employment based on
with the employees work. authorized causes, the
((Dept. of Labor Manual, Sec. requirements of due process
4353.01 [3]) shall be deemed complied with
upon service of a written notice
4. Commission of a CRIME OR OFFENSE to the employee and the
BY THE EMPLOYEE AGAINST THE appropriate Regional office of
PERSON OF HIS EMPLOYER or any the Department of Labor and
immediate member of his family or employment at least thirty days
his duly authorized representative; before the effectivity of the
and termination specifying the
Conviction or prosecution is not grounds for termination.
required.
NOTE: Under the so-called WENPHIL
5. Other causes ANALOGOUS to the DOCTRINE if the services of the
foregoing. employee was terminated due to a just
A cause must be due to the or authorized cause but the affected
voluntary or willful act or employees right to due process has been
omission of the employee. violated, the dismissal is legal but the
(Nadura v. Benguet employee is entitled to damages by way
Consolidated; G.R. No. L-17780) of indemnification for the violation of
the right.
LABOR LAW COMMITTEE

SERRANO vs. ISETANN et. al. redundancy, for purposes of the

abandoned the WENPHIL Labor Code, exists where the
DOCTRINE and ruled that if the services of an employee are in
employee is dismissed under excess of what is reasonably
just or authorized cause but the demanded by the actual
affected employees right to due requirements of the enterprise.
process has been violated, his (Wishire File Co. Inc. vs. NLRC)
dismissal becomes ineffectual.
Therefore, the employee is Reorganization as a cost-saving
entitled to backwages from the device is acknowledged by
time he was dismissed until the jurisprudence. An employer is not
determination of the justness of precluded from adopting a new
the cause of the dismissal. policy conducive to a more
economical and effective
AGABON vs. NLRC (Nov. 17, management, and the law does not
2004) abandoned the Serrano require that the employer should
doctrine and REINSTATED THE be suffering financial losses before
WENPHIL DOCTRINE. The he can terminate the services of
sanctions, however must be the employee on the ground of
stiffer than that imposed in redundancy (DOLE PHILIPPINES,
Wenphil. INC et al., vs. NATIONAL LABOR
RELATIONS COMMISSION et al.)
PREVENTIVE SUSPENSION when
there is an imminent threat to the lives 3. RETRENCHMENT to prevent losses
and properties of the employer, his (there is excess of employees and
family and representatives as well as the employer wants to prevent financial
offenders co-workers by the continued losses)
service of the employee then he may be
placed under preventive suspension CONDITIONS UNDER WHICH AN
pending his investigation, leading to EMPLOYER MAY RETRENCH:
termination. (a) substantial losses which are not
merely de minimis in extent;
preventive suspension should not (b) imminence of such substantial
last for more than thirty (30) losses;
days. The employee should be (c) retrenchment would effectively
made to resume his work after prevent the expected and additional
30 days. losses;
(d) the alleged losses and expected
- it can be extended provided the losses must be proven by sufficient and
employees wages are paid after the convincing evidence. (NDC-GUTHRIE
30 day period. PLANTATIONS, INC., vs. NATIONAL LABOR
RELATIONS COMMISSION, ET. AL)
ARTS. 283-284.
4. closing or CESSATION OF OPERATION
B. AUTHORIZED CAUSES OF of the establishment or undertaking
TERMINATION BY THE EMPLOYER: UNLESS the closing is for the purpose
of circumventing the provisions of
1. installation of labor-saving devices the Labor Code.
(AUTOMATION)
5. INSTALLATION of labor saving
devices(Automation, Robotics)
2. REDUNDANCY (superfluity in the

performance of a particular work) 6. DISEASE
LABOR LAW COMMITTEE

a. the disease is incurable one-half month pay for

within 6 months and the every year of service
continued employment of Closures or Equivalent to one
the employee is prohibited cessation of month pay or at least
by law or prejudicial to his operations not one-half month pay for
due to serious every year of service
health as well as to the
business losses or (If due to severe
health of his co-employees financial reverses financial losses, no
separation pay due.)
b. with a certification from Disease Equivalent to at
public heath officer that the least one-month salary
disease is incurable within 6 or to month salary
months despite due for every year of
medication and treatment. service, whichever is
greater, a fraction of at
least 6 months shall be
Before an employer could dismiss considered one (1)
an employee based on a disease, whole year.
Section 8 of Rule 1, Book VI of the
Omnibus Rules Implementing the
Labor Code requires a certification
by a competent public health NOTE: ARTICLE 283 governs the grant
authority that the disease is of such of separation benefits in case of
a nature or at such stage that it closures or cessation of operation of
cannot be cured within a period of 6 business establishments NOT due to
months even with proper medical serious business losses or cessation of
treatment. (Cathay Pacific Airways operation [North Davao Mining Corp. vs.
vs. NLRC and Martha Singson) NLRC, et al]. Therefore, the employee
is not entitled to such benefit if the
DISCRIMINATION IN ANY FORM closure was due to SERIOUS BUSINESS
FROM PRE-EMPLOYMENT TO POST- LOSSES.
EMPLOYMENT, INCLUDING HIRING,
PROMOTION OR ASSIGNMENT, BASED
ON THE ACTUAL, PERCEIVED OR When termination of employment
SUSPECTED HIV STATUS OF AN is brought by the failure of an employee
INDIVIDUAL IS PROHIBITED. to meet the standards of the employer in
TERMINATION FROM WORK ON THE case of probationary employment, it
SOLE BASIS OF ACTUAL, PERCEIVED shall be sufficient that a written notice
OR SUSPECTED HIV STATUS IS DEEMED is served the employee within a
UNLAWFUL. (SEC. 35, RA 8504, reasonable time from the effective date
HIV/AIDS LAW) of termination.
CAUSE OF SEPARATION PAY When termination is brought about

TERMINATION by the completion of the contract or
Automation Equivalent to at phase thereof, no prior notice is
least one month pay or required
at least one month pay
for every year of
service, whichever is
higher
Redundancy Equivalent to at
least one month pay or
at least one month pay
for every year of ART. 285. TERMINATION BY
service, whichever is EMPLOYEE
higher
Retrenchment Equivalent to one TERMINATION BY THE EMPLOYEE:
month pay or at least
LABOR LAW COMMITTEE

a. WITHOUT JUST CAUSE- by serving a Unless the parties provide for

WRITTEN NOTICE on the employer at broader inclusions, the term one half
least one month in advance. The (1/2) month salary shall mean:
employer upon whom no such notice was 15 days plus 1/12 of the 13th month
served may hold the employee liable for pay and
damages. the cash equivalent of NOT more
b. WITH JUST CAUSE - An employee may than 5 days of service incentive
put an end to establish WITHOUT leaves.
SERVING ANY NOTICE on the employer (22.5 days per year of service)
for any of the following just causes
[SUCA]: Under Section 26, R.A. No. 4670,
otherwise known as the Magna Carta for
1. SERIOUS INSULT by the employer Public School Teachers, public school
or his representative on the hour teachers having fulfilled the age and
and person of the employee; service requirements of the applicable
2. Inhuman and UNBEARABLE retirement laws shall be given ONE
TREATMENT accorded the RANGE SALARY RAISE upon retirement,
employee by the employer or his which shall be the basis of the
representative; computation of the lump sum of the
3. Commission of a CRIME OR retirement pay and the monthly benefit
OFFENSE by the employer or his thereafter.
representative against the
person of the employee or any of NOTE: Exempted from the payment
the immediate members of his of retirement pay are retail, service and
family; and agricultural establishments or operations
4. Other causes ANALOGOUS to any employing NOT more than ten (10)
of the foregoing. employees or workers.
ART. 287. RETIREMENT Age Retirement

60-65 Optional but the
RETIREMENT AGE - The age of employee must have served
retirement is that specified in the CBA or at least 5 years
in the employment contract. In the
absence of a retirement plan or 65 Compulsory (no need
agreement providing for retirement for five years of service)
benefits of employees in an
establishment, an employee upon
reaching the age of 60 years or more,
but not beyond 65 years which is hereby
declared as the compulsory retirement
age, who has served at least 5 years in
said establishment.
The rule is different with respect
to underground mining employees
whose optional retirement age is
50-60 provided they have at least
served for a period of 5 years (Art.
287 as amended by RA 8558).
BENEFITS- A retiree is entitled to BOOK SEVEN

a retirement pay equivalent to at least
month salary for every year of service,
a fraction of at least six (6) months being TRANSITORY AND FINAL PROVISIONS
considered as one whole year.
LABOR LAW COMMITTEE

Civil Code. Hence, REINSTATEMENT

TITLE II prescribes in 4 years.
PRESCRIPTION OF OFFENSES AND
CLAIMS VENUE: The Regional Arbitration Branch
where the workplace is located (NLRC
Rules of Procedure.
ART. 291. MONEY CLAIMS
PERIODS OF PRESCRIPTION
Cause Period of
Prescription
MONEY 3 years from the
CLAIMS accrual of the causes of
action
ULP 1 year from the
accrual of the cause of
action
ILLEGAL 4 years from the
DISMISSAL accrual of the cause of
action
REINSTA 4 years
TEMENT
NOTE: The period of prescription

mentioned under Article 292 of the Labor Appendices
Code refers to and is limited to money
claims, all other cases of injury to rights
of a workingman being governed by the
SPECIAL LAWS
LABOR LAW COMMITTEE

d. The private benefit plan

which the employer shall
SOCIAL SECURITY SYSTEM continue for his employees
RA1161 as amended by RA 8282 shall remain under the
employers managementand
COVERAGE: control unless there is an
existing agreement to the
Compulsory: contrary.
1. Compulsory upon all employees e. Nothing in this Act shall be
not over 60 years of age and construed as a limitation on
their employers the right of employers and
2. In case of domestic helpers, employees to agree on and
their monthly income should not adopt benefits which are
be less than one thousand pesos over and above those
Limitation: Sec. 9 (a) provided under this act
a. Any benefit already earned
by the employees under 3. Compulsory upon such self- employed
private benefit plans existing persons as may be determined by the
at the time of the approval Commission including but not limited to
of the Act shall not be the following (Sec 9-A): (APAPI)
discontinued, reduced or 1. All self employed
otherwise impaired professionals
b. Private plans which are 2. Partners and single
existing and in force at the proprietors
time of compulsory coverage 3. Actors and actresses
shall be integrated with the directors, scriptwriters and
plan of the SSS in such a way news correspondents who do
where the employers not fall within the definition
contribution to his private of the term employee in
plan is more than that Section 8 (d) of this Act
required of him in this Act, 4. Professional athletes,
he shall pay to the SSS only coaches, trainers, and
the contribution required of jockeys
him and he shall continue his 5. Individual farmers and
contribution to such private fishermen
plan less his contribution to
the SSS so that the Voluntary:
employers total contribution
to his benefit plan and and 1. Spouses who devote full time to
to the SSS shall be the same managing the household and
as his contribution to his family affairs, unless they are
private benefit plan before also engaged in other vocation or
any compulsory coverage. employment which is subject to
c. Any changes, adjustments, mandatory coverage, may be
modifications, eliminations covered by the SSS on a
or improvements in the voluntary basis.
benefits to be available 2. Filipinos recruited by foreign
under the remaining private based employers for employment
plan, which may be abroad may be covered by the
necessary to adopt by reason SSS on a voluntary basis
of the reduced contribution 3. Employees separated from
thereto as a result of the employment may continue to
integration shall be subject pay contributions to maintain his
to agreements between the right to full benefits (Sec. 11)
employers and the 4. Self-employed with no income
employees concerned (11-A)
LABOR LAW COMMITTEE

Self- employed person shall be

BY AGREEMENT: both the employer and employee at the
same time
Any foreign government,
international organization, or their EMPLOYEE
wholly-owned instrumentality employing
workers in the Philippines, may enter Any person who performs
into an agreement with the Philippine services for an employer in which either
government for the inclusion of such or both mental and physical efforts are
employees in the SSS except those used and who receives compensation for
already covered by their respective civil such services, where there is an
service retirement systems (Sec.8 (j (4)). employer- employee relationship.
Self- employed person shall be
EXCLUDED EMPLOYMENT (SEC. 8 (J)): both the employer and employee at the
1. Employment purely casual and not same time
for the purpose of occupation or
business of the employer DEPENDENTS:
2. Service performed on or in
connection with an alien vessel by 1. The legal spouse entitled by law
an employee if he is employed when to receive support from the
such vessel is outside the member
Philippines. 2. the legitimate, legitimated or
3. Service performed in the employ of legally adopted and illegitimate
the Philippine government or child who is unmarried, not
instrumentality or agency thereof. gainfully employed and has not
4. Service performed in the employ of reached 21 years of age or if 21
a foreign government, international years of age, he is congenitally
organization, or their wholly owned incapacitated or while still a
instrumentality; minor has been permanently
5. Services performed by temporary incapacitated and incapable of
employees, which may be excluded self- support, physically and
by regulation of the commission. mentally and
3. the parent who is receiving
EFFECTIVE DATE OF COVERAGE: regular support from the
1. Employer: It shall take effect on member
the first day of his operation
2. Employee: On the day of his BENEFICIARIES
employment
3. Self-employed: It shall take a. The dependent spouse until he
effect upon his registration with or she remarries, the
SSS dependent legitimate,
legitimated or legally adopted
Definition of Terms and illegitimate children who
shall be the primary
EMPLOYER beneficiaries of the member
Any person natural or juridical, b. PROVIDED that the dependent
domestic or foreign, who carries on in illegitimate children shall be
the Philippines, any trade business, entitled to 50% of the share of
industry undertaking or activity of any the legitimate, legitimated or
kind and uses the services of another legally adopted children.
person who is under his orders as regards c. PROVIDED FURTHER in the
the employment except the Government absence of the legitimated,
and any of its political subdivisions, legally adopted or legitimate
branches or instrumentalities, including children, illegitimate children
corporations owned or controlled by the shall be entitled to 100% of
Government the benefits.
LABOR LAW COMMITTEE

d. IN THEIR ABSENCE, the 5. Permanent disability benefits

dependent parents who shall
be the secondary 6. Funeral Benefit
beneficiaries. A funeral grant equivalent to Twelve
e. IN THE ABSENCE OF ALL of thousand pesos (P12, 000.00) shall
the foregoing, any person be paid, in cash or in kind, to help
designated by the covered defray the cost of funeral expenses
employee as secondary upon the death of a member,
beneficiary. including permanently totally
disabled member or retiree.
Benefits
7. Sickness benefit
1. Monthly pension Requirements:
a. A member must have paid at
2. Dependents pension least 3 monthly contributions
It shall be paid for each dependent in the twelve month period
child conceived on or before the immediately preceding the
date of the contingency but not semester of sickness or injury
exceeding five, beginning with the b. and is confined therefor for
youngest without substitution more than three days in a
PROVIDED that where there are hospital or elsewhere with the
legitimate and illegitimate children, approval of the SSS
the former shall be preferred.
8. Maternity Leave Benefit
3. Retirement benefits It shall be paid to a female
A member who has paid at least 120 employee who has paid at least 3
monthly contributions prior to monthly contributions in the twelve
the semester of retirement and month period immediately preceding
who: the semester of her childbirth or
a. has reached the age of miscarriage PROVIDED:
60 years and is already a. That the employee shall have
separated from notified her employer of her
employment or has pregnancy and the probable
ceased to be self- date of her childbirth which
employed notice shall be transmitted to
b. has reached the age of the SSS.
65 years, shall be b. The full payment shall be
entitled for as advanced by the employer
A covered member who is 60 years within 30 days from the filing
old not qualified under No. 1 of the maternity leave
shall still be entitled to application
retirement benefits PROVIDED, c. Payment of daily maternity
he is separated from benefits shall be a bar to the
employment and is not recovery of sickness benefits
continuing payment of d. The maternity benefits
contributions to the SSS on his provided under this section
own. shall be paid only for the first
4 deliveries or miscarriages
SUSPENSION OF MONTHLY PENSION: e. The SSS shall immediately
Upon the re-employment or reimburse the employer 100%
resumption of self-employment of the benefits advanced by
of a retired employee who is the latter
less than 65 years old. f. If no contributions were
remitted by the employer or
4. Death Benefits no notice was given to SS, the
employer shall be liable for
LABOR LAW COMMITTEE

damages equivalent to the Compulsory for all employees (as

benefits which said employee defined in Section 2 (d) of GSIS Law)
member would otherwise have receiving compensation who have not
been entitled to. reached the compulsory retirement age,
irrespective of employment status,
Non-transferability of benefits (Sec. EXCEPT MEMBERS OF THE ARMED
15) FORCES AND THE PNP, subject to the
Such benefits are not transferable condition that they must settle first their
and no power of attorney or other financial obligations with the GSIS and
document executed by those contractuals who have no employer and
entitled thereto, in favor of any employee relationship with the agencies
agent, attorney or any other person they serve.
for the collection thereof on their
behalf shall be recognized, except EXCEPT FOR THE MEMBERS OF
when they are physically unable to THE JUDICIARY AND CONSTITUTIONAL
collect personally such benefits. COMMISSIONS WHO SHALL HAVE LIFE
INSURANCE ONLY, all members of the
Sources of Fund GSIS shall have life insurance, retirement
1. Collection: and all other social security protection
Beginning on the last day of the such as disability, survivorship,
month when an employees separation and unemployment benefits.
compulsory coverage takes effect
and every month thereafter during COMPUTATION OF SERVICE
his employment, his employer shall The computation of service for
pay the employers contribution and the purpose of determining the amount
shall deduct and withhold from such of benefits payable shall be FROM THE
employees monthly salary the DATE OF THE ORIGINAL APPOINTMENT/
employees contribution. ELECTION INCLUDING PERIODS OF SERVICE AT
The same time of collection for self- DIFFERENT TIMES UNDER THE AUTHORITY OF
employed THE REPUBLIC OF THE PHILIPPINES AND THOSE
2. Remittance: THAT MAY BE PRESCRIBED BY THE GSIS IN
It shall be remitted within the first COORDINATION WITH THE CIVIL SERVICE
10 days of each calendar month COMMISSION.
following the month for which they All service credited for
are applicable or within such time retirement, resignation or separation for
as the Commission may prescribe. which corresponding benefits have been
For self-employed they shall awarded shall be EXCLUDED in the
remit their contributions quarterly computation of service in case of
on such dates and schedules as the reinstatement in the service of an
Commission may require. employer and subsequent retirement or
separation which is compensable.
(NOTE: SEE TABLE ON SOCIAL WELFARE
LEGISLATION FOR COMPARISON WITH Definition of Terms
GSIS)
Employer:
The national government, its
political subdivisions, branches,
agencies or instrumentalities
including GOCCs and financial
institutions with original charters,
GOVERNMENT SERVICE the constitutional commissions and
INSURANCE SYSTEM the judiciary
RA 8291
Employee or Member:
COMPULSORY MEMBERSHIP (Sec. 3) Any person receiving compensation
while in the service of an employer
LABOR LAW COMMITTEE

as defined herein, whether by Section 2 (Q) (defining disability) is

election or appointment, medically remote
irrespective of status appointment,
Temporary Total Disability
Dependents: Accrues or arises when impaired
1. The legitimate spouse dependent physical and/or mental faculties can
for support upon the member or be rehabilitated and/or restored to
pensioner their normal functions
2. The legitimate, legitimated
legally adopted child, including Permanent Partial Disability
the illegitimate child who is: Accrues or arises upon the
a. unmarried, irrevocable loss or impairment of
b. not gainfully employed, certain portion/s of the physical
c. not over the age of faculties, despite which the member
majority, is able to pursue a gainful
d. or is over the age of occupation.
majority but
incapacitated and Sources of Fund
incapable of self-support
due to a mental or Contributions
physical defect acquired 1. It shall be mandatory for the
prior to age of majority member and the employer to pay
3. Parents dependent upon the the monthly contributions.
member for support 2. The employer shall include in its
annual appropriation the
Primary Beneficiary necessary amounts for its share
The legal dependent spouse until of the contributions indicated
he/she remarries above PLUS any additional
premiums that may be required
Secondary Beneficiary on account of the hazards or
The dependent parents and subject risks of its employees
to the restrictions on dependent occupation.
children, the legitimate descendants 3. Failure to do so shall subject the
employers to penal or
Disability administrative sanctions.
Any loss or impairment of the normal
functions of the physical and/or Collection and Remittance
mental faculty of a member which 1. Collection: The employer shall
reduces or eliminates his/her report to the GSIS all pertinent
capacity to continue with his/her information regarding the
current gainful occupation or engage employee and shall deduct each
in any other gainful occupation. month from the salary or
compensation of each employee
Total Disability the contribution payable by him.
Complete incapacity to continue 2. Remittance: The employer shall
with his present employment or remit directly to the GSIS the
engage in any gainful occupation due employees and employers
to the loss or impairment of the contributions within the first ten
normal functions of the physical (10) days of the calendar month
and/or mental faculties of the following the month to which the
member contributions apply.
Permanent Total Disability Benefits
Accrues or arises when recovery
from impairment mentioned in 1. SEPARATION BENEFITS (SEC.
11):
LABOR LAW COMMITTEE

Separation benefits are given to

the: Specific conditions for
a. The member resigns or entitlement (Sec. 16):
separates from the service He shall receive monthly income
after he has rendered at benefit for life equal to the basic
least three (3) years of monthly pension effective from
service but less than fifteen the date of the disability.
(15) years or PROVIDED:
1. The member resigns or
separates from office after 1. He is in the service at the
he has rendered at least time of the disability
fifteen (15) years of service 2. IF SEPARATED FROM
and is below sixty (60) years SERVICE, he has paid at least
of age at the time of 36 monthly contributions
resignation or separation. within the 5 year period
immediately preceding the
Separation benefits likewise disability or has paid a total
include: of at least 180 monthly
contributions prior to the
UNEMPLOYMENT OR disability
INVOLUNTARY SEPARATION 3. IF HE WAS IN SERVICE AND
BENEFITS (Sec. 12): shall be HAS PAID A TOTAL OF AT
paid to a permanent employee LEAST 180 MONTHLY
who is involuntarily separated CONTRIBUTIONS, in addition
from the service due to the to the monthly income
abolition of his office or position benefit, he shall receive a
usually resulting from cash payment equivalent to
reorganization PROVIDED that 18 times his basic monthly
he has been paying integrated pension
contributions for at least one (1) 4. However, a member cannot
year prior to contributions. enjoy the monthly income
benefit for permanent
2. RETIREMENT BENEFITS: disability and the old age
retirement simultaneously.
Conditions for entitlement (Sec.
13-A): Unless the member has reached
Member has rendered at least 15 the minimum retirement age,
years of service disability benefits shall be
He is at least 60 years of age at SUSPENDED when:
the time of retirement
He is not receiving a monthly 1. He is reemployed
pension benefit from 2. He recovers from his
permanent total disability disability as determined by
the GSIS, whose decision
3. PERMANENT DISABILITY shall be final and binding
BENEFITS 3. He fails to present himself
General Conditions for for medical examination
Entitlement (Sec. 15): when required by the GSIS
The member must have suffered PERMANENT PARTIAL
permanent disability for reasons DISABILITY (Sec. 17):
NOT DUE to: He must satisfy specific
1. Grave misconduct conditions 1-3.
2. Notorious negligence 4. TEMPORARY DISABILITY
3. Habitual intoxication, or BENEFITS (Sec. 18)
willful intention to kill
himself or another.
LABOR LAW COMMITTEE

The member shall be entitled to at least 180 monthly

75% of the current daily contributions.
compensation for each day or
fraction thereof of temporary 2. SURVIVORSHIP PENSION PLUS A
disability benefit not exceeding CASH PAYMENT EQUIVALENT TO
120 days in one calendar year 100% OF HIS AVERAG`E
after exhausting all sick leave MONTHLY COMPENSATION FOR
credits and collective bargaining EVRY YEAR OF SERVICE
agreement sick leave benefits. PROVIDED: The deceased was in
PROVIDED: the service at the time of his
1. He is in service at the time death with at least three years of
of his disability service
2. If separated, he has
rendered at least 3 years of 3. SURVIVORSHIP PENSION PLUS A
service and has paid at least CASH PAYMENT EQUIVALENT TO
6 monthly contributions in 100% OF HIS AVERAGE MONTHLY
the 12- month period COMPENSATION FOR EVERY YEAR
immediately preceding the OF SERVICE HE PAID
disability CONTRIBUTIONS BUT NOT LESS
HOWEVER, a member cannot THAN P12, 000
enjoy temporary total disability benefit PROVIDED That the deceased has
and sick leave pay simultaneously rendered at least 3 years of
IN ADDITION, If the disability service prior to his death but does
requires more extensive treatment that not qualify under 1 and 2.
lasts beyond 120 days, the payment of
the temporary total disability benefit ORDER OF PAYMENT OF THE
may be extended by the GSIS but not to SURVIVORSHIP PENSION
exceed a total of 240 days
LASTLY, and in no case shall the 1. When the dependent spouse is
benefit be less than 70 pesos a day. the only survivor, he/shall
receive the basic survivorship
5. SURVIVORSHIP BENEFITS: pension for life or until he/she
For purposes of survivorship remarries.]
benefits, legitimate children
shall include legally adopted 2. When only dependent children
and legitimated children. are the survivors, they shall be
entitled to the basic
Death of a Member survivorship pension for as long
Upon the death of a member, the as they are qualified, plus the
primary beneficiaries shall be entitled dependent childrens pension.
to:
3. When the survivors are the
1. SURVIVORSHIP PENSION, dependent spouse and the
PROVIDED: dependent children, the
dependent spouse shall receive
a. Member was in service at the basic survivorship pension
the time of his death for life or until he/she
b. If separated from service, remarries, and the dependent
has rendered at least 3 children shall receive the
years of service and paid dependents pension.
36 monthly contributions
with the 5- year period
immediately preceding his
death or has paid a total of
LABOR LAW COMMITTEE

IN THE ABSENCE OF PRIMARY

BENEFICIARIES, THE SECONDARY
BENEFICIARIES SHALL BE ENTITLED
TO:
1. Cash payment equivalent to
100% of his average monthly
compensation for each year of
service he paid contributions,
but not less than P12,000
PROVIDED that the member is in
service at the time of his death
and has at least 3 years of
service.
2. In the absence of secondary
beneficiaries , the benefits
under this paragraph shall be
paid to the legal heirs
6. FUNERAL BENEFITS:
It shall not be less than twelve

thousand pesos (P12,000.00)
PROVIDED that it shall be
increased to at least eighteen
thousand pesos (P18,000.00)
after five years and shall be paid
upon death.
7. LIFE INSURANCE BENEFITS
All employees except members

of the AFP and the PNP shall be
compulsorily covered with life
insurance.
Adjudication of Claims and Disputes
PRESCRIPTION OF CLAIMS
Claims for benefits under the Act
except for life and retirement shall
prescribe AFTER 4 YEARS FROM THE
DATE OF THE CONTINGENCY.
JURISDICTION
GSIS shall have the exclusive and
original jurisdiction to settle any dispute
arising under the Act and any other laws
administered by the GSIS.
Appealable under Rule 43 and 45
Of the 1997 Rules of Civil Procedure. The
appeal shall not stay the execution of
the order or award unless ordered by the
Boards, CA, or SC and the appeal shall be
without prejudice to the special civil
action of certiorari when proper.
LABOR LAW COMMITTEE


San Beda College of Law: Book Five

Uploaded by

Document Information

Original Title

Copyright

Available Formats

Share this document

Share or Embed Document

Sharing Options

Did you find this document useful?

Is this content inappropriate?

Copyright:

Available Formats

San Beda College of Law: Book Five

Uploaded by

Copyright:

Available Formats

San Beda College of Law

MEMORY AID IN LABOR LAW

1. defect which is congenital or LABOR RELATIONS the interactions

BENEFITS LABOR RELATIONS LAW those

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

2. Collective bargaining and regular employee and is not included in

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

LABOR ORGANIZATION any union or coercion, restraint or

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

labor-management disputes; attached to 2. workers organizations-

1. Promulgating rules & QUALIFICATIONS OF THE CHAIRMAN AND

1. from the public sector- A. EXCLUSIVE AND ORIGINAL

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

1. Cases certified to it for compulsory divisions. (St. Martins Funeral Homes

B. EXCLUSIVE APPELLATE JURISDICTION - Labor cases are not subject to

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

pay, hours of work and other a. Disputes on the

4. Claims for actual, moral, b. those arising from the

6. Except claims for Employees They also have no jurisdiction over

8. Claims of employees against

Although the provision speaks of

Cases which must be disposed of

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

In the absence of service of threatened or committed

The NLRC may conduct compulsory d. FINDING OF FACT of the Commission

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

nature of the injury itself or the nature The procedural and

REQUISITES BEFORE TRO MAY BE ART. 219. OCULAR INSPECTION

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

An amicable settlement of a labor ATTORNEYS FEES:

PURPOSE: for the employees 2. Art. 222

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

administrative or the fee to be paid to

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

justice. (Modern Fishing WITH PAYMENT OF THE ACCRUED

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

Med-Arbiter or the Voluntary Arbitrator EXCLUSIVE AND ORIGINAL

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

b. conduct of election of union and 1. cancellation of registration

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

INTER-UNION DISPUTES -refers to any WHERE FILED Regional Office or to the

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

- Since the BLR has the original and

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW

2. It must be WITH THE ASSISTANCE of parties regardless of whether or not the

LIBERTY FLOUR MILLS EMPLOYEES v.

LABOR LAW COMMITTEE

MEMORY AID IN LABOR LAW