Professional Documents
Culture Documents
capital & labor, by providing for certain standards of terms & conditions of
EENT or providing a legal framework w/in w/c these terms & conditions & the
EENT relationship may be negotiated, adjusted & administered.
1. Labor Standards sets out the minimum terms, conditions & benefits of
EENT that EERS must provide or comply w/ & to w/c EES are entitled as a
matter of legal right.
2. Labor Relations defines the status, rights & duties and the institutional
mechanisms, that govern the indiv & collective interactions of EERS, EES, or
their representatives.
Labor physical toil although it does not necessarily exclude the application of
skill (thus skilled & unskilled labor)
Skill the familiar knowledge of any art/science, united w/ readiness & dexterity
in execution/performance or in the application of the art/science to practical
purposes.
Worker (broader than EE) may refer to self-employed people & those
working in the service & under the control of another, regardless of rank, title,
or nature of work.
Social justice humanization of laws & the equalization of social & economic
forces by the State so that social justice in its rational & objectively secular
conception may at leas be approximated
1987 Consti: protects the rights of workers & promote their welfare
1. to organize themselves
2. to conduct collective bargaining/negotiation w/ mgt;
3. to engage in peaceful concerted activities, including to strike in
accordance w/ law; and
4. to participate in policy & decision-making processes affecting rights &
benefits
Other Consti provisions that protect the Rs/promote the welfare of workers
Consti prol-labor, but recognizes the indispensable role of the private sector,
encourages private enterprise and provides incentives to needed investments
- the power of the govt to enact laws, w/in Constitutional limits to promote
the order, safety, health, morals & general welfare of society
- power inherent in govt to protect itself & all its constituents, & for this
purpose to hold the govt immune so far as necessary, from any limitatins
imposed in the past.
- An imposition of restraint upon liberty or property in order to foster the
common good.
Birth of the LC
Art 3. [Declaration of Basic Polici] The State shall afford protection to labor,
promote full EENT, ensure equal work opportunities regardless of sex, race
or creed, and regulate the relations bet workers & EERS. The State shall
assure the rights of workers to self-org, collective bargaining, security of
tenure, and just & humane conditions of work.
Concern for the Lowly Worker SC reaffirms its concern for the lowly worker
who, often at his EERs mercy, must look up to the law for his protection.
(Reason: the EER stands on higher footing than the EE: (1,) There is greater
supply than demand for labor; (2) the need for EENT by labor comes from
vital & even desperate necessity.)
Mgt Rights entitled to respect & enforcement in the interest of simple fair play.
Art 5. [Rules & Regulations] the DOLE & other govt agencies charged w/ the
administration & enforcement of this Code or any of its parts shall promulgate
the necessary IRRs. Such RRs shall become effective 15 days after
announcement of their adoption in the newspapers of gen. circulation.
Art 6. [Applicability] All Rs & benefits granted to workers under this Code shall,
except as may otherwise be provided herein, apply alike to all workers,
whether agricultural or non-agricultural.
In all cases, the landowners may retain an area of not more than 7
hectares if such landowner is cultivating such area or will now cultivate it.
Art 9. [Determination of Land Value] For the purpose of determining the cost of
the land to be transferred to the tentant-farmer, the value of the land shall be
equivalent to 2 & times the average harvest of 3 normal crop yrs
immediately preceding the promulgation of PD 27 (OCT 21, 1972).
The total cost of the land, including interest at the rate of 6% per annum,
shall be pd by the tenant in 15 yrs of 15 equal annual amortizations.
Art 11. [Implementing Agency] The Dept of Agrarian Reform shall promulgate the
necessary rules & regulations to implement the provisions of this Chapter.
*Land for the landless battlecry dramatizing the increasingly urgent demand of
the dispossessed for a plot of earth as their place under the sun.
*CARP Law signed by Cory, declaring full land ownership in favor of the
beneficiaries of the PD 27.
Share tenancy abolished, put the agricultural leasehold sys in its stead, geared
towards eventual ownership of land by its tillers
Consti - State shall undertake an Agrarian Reform Program, and encourage &
undertake the just distribution of all agri lands, subj to such priorities &
reasonable retention limits as the Congress may prescribe,
3. Livestock, poultry & Swine raising lands: Sec 2 of RA 6657 w/c includes
private agri lands devoted to commercial livestock, poultry & swine raising in
the definition of commercial farms is invalid. They are covered by the
agrarian reform prog of the State.
- an increased output invariably gives more work to more men, & never in
the history of the world has it more than temporarily, and then for only a
very short time, diminished by the number of men at work in any trade
- 2 kinds of funds: (1) the Revenue w/c is over & above what is
necessary for the maintenance; and (2) the Stock w/c is over & above
shat is necessary for the EENT of their masters.
- The demand for those who live by wages necessarily increases w/ the
increase of the revenue & stock of every country and cannot increase
w/o it. The increase of revenue & stock is the increase of national wealth.
Basis: the R of farmers & regular farm workers, who are landless, to own
directly or collectively the lands they till or, in the case of other farm workers,
to receive a share of the fruits thereof
The State:
- shall respect the R of small landowners & shall provide incentives for
voluntary land-sharing
- shall recognize the R of farmers, farm workers & landowners, as well as
cooperatives & other independent farmers org, to participate in the
planning, org, & mgt of the program & shall provide support to agriculture
though tech & research & financial, production, marketing & other support
services
- may resettle landless farmers & farm workers in its own agricultural
estates
- shall encourage the formation & maintenance of economic-sized family
farms to be constituted by indiv beneficiaries & small landowners
- shall protect the Rs of subsistence fishermen to the preferential use of
communal marine & fishing resources both inland & offshore
- shall provide support to such fishermen thru appropriate tech & research,
adequate financial, production & marketing assistance
- shall protect offshore fishing grounds of subsistence fishermen against
foreign intrusion. Fisherworkers shall redeive a just share from their labor
in the utilization of marine & fishing resources
- owners of agri land have the oblig to cultivate directly or thru labor
admin the lands they own & thereby make the land productive.
- Shall provide incentives to landowners to invest the proceeds of the
agrarian reform prog to promote industrialization, EENT & privatization of
pub sector enterprises
- May lease undeveloped lands of pub domain to qualified entities for the
devt of capital-intensive farms, traditional & pioneering crops esp those
for export (subj. to Rs of beneficiaries)
Definitions
Scope: all public & private agricultural lands, incl. other lands of the pub domain
suitable for agriculture
1. All alienable & disposable lands of the pub domain devoted to or suitable
for agriculture
2. All lands of the pub domain in excess to the specific limits as determined
by Congress
3. All other lands owned by the Govt devoted to or suitable for agri
4. All private lands devoted to or suitable for agri regardless of the agri
products raised/can be raised thereon
Retention Limits: no person may own or retain, directly, any pub or private
agricultural land, the size of w/c shall vary accdg to factors governing a viable
family-sized farm
Multinational Corps all lands of the pub domain leased, held, or possessed by
multi corps or assocs, and other lands owned by the govt, or govt-owned/-
controlled corps, assocs, institutions or entities, devoted to existing &
operational agribusiness or agro-industrial enterprises, operated by multicorps
shall be programmed for acquisition & distribution immediately upon effictivity
Ancestral Lands shall include, but not limited to, lands in the actual,
continuous & open possession & occupation of the community and its
members, provided that the Torrens System shall be respected
- shall be protected to ensure their economic, social & cultural well-being
- in the autonomous regions, the respective legislature may enact their own
laws on ancestral domain subj to the provisions of the Consti, this Act
and other national laws.
1. Lands actually, directly & exclusively used for parks, wildlife, forest
reserves, reforestation, fish sanctuaries and breeding grounds, watersheds
and mangroves
2. Private lands actually, directly & exclusively used for prawn farms &
fishponds (provided that said prawn farms & fishponds have not been
distributed and Cert of Land Ownership Award issued to ARP.
3. Lands actually, directly & exclusively used & found to be necessary for
national defense, school sites & campuses, incl experimental farm
stations operated by pub/private schools for educational purposes, seeds
and seedlings research and pilot production center, church sites &
convents apputenat therety, mosque sites & Islamic centers appurtenant
thereto, communal burial grounds & cemeteries, penal colonies & penal
farms actually worked by inmates, got & private research & quarantine
centers and all lands w/ 18% slope and over, except those already
developed
1. After having identified the land, the landowners & beneficiaries, DAR shall
send its notice to acquire the land to the owners;
2. w/in 30 days from date of receipt, landowners shall inform the DAR of
his acceptance/rejection of the offer;
a. if landowner accepts the offer, the LBP shall pay the landowner of
the purchase price of the land w/in 30 days after he executes &
delivers a deed of transfer in favor of the Govt and surrenders
the Cert of Title
b. in case of rejection or failure to reply, DAR shall conduct
summary admin proceedings to determine compensation of the
land
3. upon receipt of the landowner of the payment, or in case of rejection or
no response fr the landowner, upon the deposit w/ an accessible bank or
the compensation, the DAR shall take immediate possession of the land
& shall request the Register of Deeds to issue a TCT in the name of the
RP.
4. Any party who disagrees w/ the decision may bring the matter to the
court
Corporate Farms
Support Services
1. irrigation facilities
2. infrastructure devt & pub works projects
3. govt subsidies for the use of irrig facilities
RA 9700 Act Strengthening the CARP, extending the acquisition & distribution
of all agricultural lands, instituting necessary reforms, amending for the
purpose certain provisions of RA 6657
- State shall protect Filipino enterprises against unfair foreign competition &
trade practices
- State recognizes that there is not enough agricultural land to be divided
& distributed to each farmer & regular farmworker so that each one can
own his economic-size family farm.
- Answer: simultaneous industrialization aimed at developing a self-reliant &
independent national economy effectively controlled by Filipinos
- State may, in the interest of national welfare or defense, establish &
operate vital industries
- Implementation of the prog shall be community-based
- State shall recognize & enforce the Rs of rural women to own & control
land
- State shall provide incentives to landowners to invest the proceeds of the
agrarian reform prog to promote industrialization, EENT & privatization of
the pub sector enterprises
Added Definition
- Provincial, city & mun govt units acquiring private agri lands by expropriation to
be used for actual, direct & exclusive pub purposes, such as roads & bridges,
pub markets, school sites, resettlement sites, local govt facilities, pub parks &
brgy plazas or squares consistent shall not be subj to the 5-hectare retention
limit
Order of Priority
Landicho v Sia
Facts:
Held: A tenant is defined as a person who, himself and w/ the aid available
from w/in his immediate farm household, cultivates the land belonging to, or
possessed by another, w/ the latters consent for purposes of production,
sharing the produce w/ the landholder under the share tenancy system, or
paying to the landholder a price certain or ascertainable in produce or in
money or both, under the leasehold tenancy system
Issue 2: WON the respondents took advantage of Franciscos old age & illiteracy
and employed fraudulent schemes in order to deceive him into signing the
Kasulatans
Held: As the legal tenant of the lands, Francisco had voluntarily surrendered his
tenancy rights when he knowingly & freely executed the 1987 Kasulatan.
There was no showing of foul play, because the Kasulatan was in Filipino, a
language spoken & understood by Francisco and was couched in plain and
clear terms. Such kasulatan was also duly notarized and are considered as
public documents executed w/ all the legal formalities which afford it the legal
presumption of regularity and legality abent full, clear and convincing evidence
to the contrary.
Final ruling: Petitioners have no cause of action and the same has prescribed.
Facts:
Held: No.
Petitioner claims he was discriminated against as new hires were given higher
salaries than he was receiving.
While the state promotes the utmost protection of labor against capital, it does
not mean that the working class is upheld in all labor dispute. The law also
recognizes the rights of management.
PRE-EMPLOYMENT
The DOLE
The decisions of the regional offices of the BES if so authorized by the Sec
of DOLE shall be appealable to the NLRC upon the same grounds provided
in Art 233 hereof.
Minister of Labor has the power to impose & collect fees, based on rates
recommended by the BES. Such fees shall be deposited in the National
Treasury as a special acct of the General Fund, for the promotion of the
objectives of the BES, subj to the provisions of Sec 40 of PD 1177.
GR: No person/entity other than the public EENT offices, shall engage in the
recruitment & placement of workers.
: Exceptions
POEA has taken over the functions of the Overseas Employment Development
Board (OEDB) and the National Seamen Board (NSB)
OFW a Filipino worker who is to be engaged, is engaged or has been
engaged in a renumenerated activity in a country of which he/shee is not a
legal resident
2 Classifications
Regulatory Functions
Jurisdiction of POEA
COMPROMISE AGREEMENT
If EE is terminated before end of contract w/o just cause, EERS will be ordered
to pay their salaries corresponding to the unexpired portion of their EENT
contract
Permanent disability the inability of a worker to perform his job for more than
120 days, regardless of WON he loses the use of any part of his body
Agencies Given the Duty to promote the welfare & rights of migrant workers:
1. DFA
2. DOLE
3. POEA
4. OWWA Overseas Workers Welfare Administration provides social &
welfare services including insurance coverage, legal assistance, placement
assistance and remittance services to Filipino overseas workers. Under
RA8042, it shall provide the Filipino migrant worker & his faily assistance
in the enforcement of contractual obligs by agencies, entities and/or their
principals;
5. RPM - Re-Placement and Monitoring Center develops livelihood
programs for the returning workers to reintegrate the returning migrant
workers to the Ph society;
6. NLRC tasked w/ the settlement/adjudication of labor disputes
Art 18: BAN ON DIRECT HIRING
GR: Direct hiring of Filipino workers for overseas EENT is not allowed
Exceptions:
1. Members of Diplomatic corps;
2. International organizations;
3. Other employers as may be allowed by DOLE; and
4. Name hires individual workers who are able to secure contracts for
overseas EENT on their own efforts and representations w/o
assistance/participation of any agency. Their hiring nonetheless, shall pass
through the POEA for processing purposes
Rationale of the Prohibition
1. To assure the best possible terms & conditions of work to the EE; and
2. To assure the foreign EER that he hires only qualified Filipino workers
Jurisdiction
The DOLE Sec and the POEA Admin have concurrent jurisdiction to suspend or
cancel a license
Contract by Prncipal
Even if it was the principal of the manning agency who entered into
contract w/ the EE, the manning agent in the PH is jointly & solidarily
liable w/ the principal
Consequences of Conviction
1. Automatic revocation of license/authority;
2. Forfeiture of the cash & surety bonds;
3. Conviction for the crime of estafa, if found guilty thereof
Note: Max penalty if the person illegally recruited is less than 18 y/o or
committed by a non-licensee or non-holder of authority
Liability of Local EEnt agency solidarily liable w/ the foreigh principal for
unpaid salaries of a worker recruited. Before recruiting, the agency is required
to submit a doc containing its power to sue and be sued jointly and solidarily
w/ the principal or foreign-based EER for any of the violations of the
recruitment agreement and the contracts of EEnt
Middle-level Manpower
1. Those who have acquired practical skills & knowledge through formal or
non-formal educ & training equivalent to at least a secondary educ but
preferably a post-secondary educ w/ a corresponding degree/diploma; or
2. Skilled workers who have become highly competent in their trade or craft
as attested by industry.
Working Hrs shall not exceed the max number of hrs prescribed by law, if any,
for a worker of his age and sex. Time spent in compulsorily theoretical
instruction shall be considered hrs of work. An apprentice not otherwise
barred by law from working 8hrs may be requisted by his EER to work
overtime and paid accordingly.
FACTS:
Respondents did not deliver on their promise to make Serrano Chief Officer.
Hence, Serrano refused to stay on as second Officer and was repatriated to the
Philippines, serving only two months and 7 days, leaving an unexpired portion of
nine months and twenty-three days.
Upon complaint filed by Serrano before the Labor Arbiter (LA), the dismissal was
declared illegal.
ISSUES:
1. Whether or not the subject clause violates Section 10, Article III of the
Constitution on non-impairment of contracts;
2. Whether or not the subject clause violate Section 1, Article III of the
Constitution, and Section 18, Article II and Section 3, Article XIII on labor as a
protected sector.
HELD:
The answer is in the negative. Petitioners claim that the subject clause unduly
interferes with the stipulations in his contract on the term of his employment and
the fixed salary package he will receive is not tenable.
The subject clause may not be declared unconstitutional on the ground that it
impinges on the impairment clause, for the law was enacted in the exercise of
the police power of the State to regulate a business, profession or calling,
particularly the recruitment and deployment of OFWs, with the noble end in view
of ensuring respect for the dignity and well-being of OFWs wherever they may
be employed.
First, OFWs with employment contracts of less than one year vis--vis OFWs
with employment contracts of one year or more;
Second, among OFWs with employment contracts of more than one year; and
The subject clause singles out one classification of OFWs and burdens it with a
peculiar disadvantage.
Thus, the subject clause in the 5th paragraph of Section 10 of R.A. No. 8042 is
violative of the right of petitioner and other OFWs to equal protection.
The subject clause or for three months for every year of the unexpired term,
whichever is less in the 5th paragraph of Section 10 of Republic Act No. 8042
is DECLARED UNCONSTITUTIONAL.
FACTS:
Sometime in the months of January to February, 1996, representing to
have the capacity, authority or license to contract, enlist and deploy or transport
workers for overseas employment, did then and there, willfully, unlawfully and
criminally recruit, contract and promise to deploy, for a fee the herein
complainants, namely, Imelda D. Bamba, Geraldine M. Lagman and Alma E.
Singh, for work or employment in Los Angeles, California, U.S.A. in Nursing
Home and Care Center.
Prosecution presented three witnesses, namely Imelda Bamba, Geraldine
Lagman and Alma Singh.
According to Bamba, she met the appellant on a bus. She was on her
way to SM North Edsa where she was a company nurse. Appellant introduced
himself as a recruiter of workers for employment abroad. Appellant told her he
could help her get employed as nurse. Appellant gave his pager number and
instructed her to contact him is shes interested. Sometime in January 1996,
appellant fetched her at her office, went to her house and gave him the
necessary documents and handed to appellant the amount of US$300.00 and the
latter showed her a photocopy of her supposed US visa. However, the appellant
did not issue a receipt for the said money. Thereafter, appellant told her to
resign from her work because she was booked with Northwest Airlines and to
leave for USA on Feb, 1996. On the scheduled departure, appellant failed to
show up. Instead, called and informed her that he failed to give the passport
and US visa because she had to go to province because his wife died. Trying
to contact him to the supposed residence and hotel where he temporarily resided,
but to no avail.
Winess Lagman testified that she is a registered nurse. In January 1996,
she went to SM North Edsa to visit her cousin Bamba. At that time Bamba
informed her that she was going to meet to appellant. Bamba invited Lagman to
go with her. The appellant convinced them of his ability to send them abroad.
On their next meeting, Lagman handed to the latter the necessary documents
and an amount of US$300.00 and 2 bottles of black label without any receipt
issued by the appellant. Four days after their meeting, a telephone company
called her because her number was appearing in appellants cell phone
documents. The caller is trying to locate him as he was a swindler. She became
suspicious and told Bamba about the matter. One week before her scheduled
flight, appellant told her he could not meet them because his mother passed
away.
Lastly, Alma Singh, who is also a registered nurse, declared that she first
met the appellant at SM North Edsa when Imelda Bamba introduced the latter to
her. Appellant told her that he is an undercover agent of FBI and he could fix
her US visa. On their next meeting, she gave all the pertinent documents.
Thereafter, she gave P10,000 to the appellant covering half price of her plane
ticket. They paged the appellant through his beeper to set up another
appointment but the appellant avoided them as he had many things to do.
The accused Jamilosa testified on direct examination that he never told
Bamba that he could get her a job in USA, the truth being that she wanted to
leave SM as company nurse because she was having a problem thereat. Bamba
called him several times, seeking advices from him. He started courting Bamba
and went out dating until latter became his girlfriend. He met Lagman and Singh
thru Bamba. As complainants seeking advice on how to apply for jobs abroad,
lest he be charged as a recruiter, he made Bamba, Lagman and Singh sign
separate certifications, all to effect that he never recruited them and no money
was involved. Bamba filed an illegal recruitment case against him because they
quarreled and separated.
RTC rendered judgment finding accused guilty beyond reasonable doubt
of illegal recruitment in large scale.
ISSUE: Illegal Recruitment in a large scale?
HELD: Recruitment and placement" refers to any act of canvassing, enlisting,
contracting, transporting, utilizing, hiring, or procuring workers, and includes
referrals, contract services, promising or advertising for employment, locally or
abroad, whether for profit or not. Provided, That any person or entity which, in
any manner, offers or promises for a fee employment to two or more persons
shall be deemed engaged in recruitment and placement.
Illegal recruitment shall mean any act of canvassing, enlisting, contracting,
transporting, utilizing, hiring, or procuring workers and includes referring, contract
services, promising or advertising for employment abroad, whether for profit or
not, when undertaken by a non-licensee or non-holder of authority. Provided,
That any such non-licensee or non-holder who, in any manner, offers or
promises for a fee employment abroad to two or more persons shall be deemed
so engaged.
To prove illegal recruitment in large scale, the prosecution is burdened to
prove three (3) essential elements, to wit: (1) the person charged undertook a
recruitment activity under Article 13(b) or any prohibited practice under Article 34
of the Labor Code; (2) accused did not have the license or the authority to
lawfully engage in the recruitment and placement of workers; and (3) accused
committed the same against three or more persons individually or as a group.
As gleaned from the collective testimonies of the complaining witnesses which
the trial court and the appellate court found to be credible and deserving of full
probative weight, the prosecution mustered the requisite quantum of evidence to
prove the guilt of accused beyond reasonable doubt for the crime charged.
Indeed, the findings of the trial court, affirmed on appeal by the CA, are
conclusive on this Court absent evidence that the tribunals ignored,
misunderstood, or misapplied substantial fact or other circumstance.
The failure of the prosecution to adduce in evidence any receipt or document
signed by appellant where he acknowledged to have received money and
liquor does not free him from criminal liability. Even in the absence of money
or other valuables given as consideration for the "services" of appellant, the
latter is considered as being engaged in recruitment activities.
It can be gleaned from the language of Article 13(b) of the Labor Code
that the act of recruitment may be for profit or not. It is sufficient that the
accused promises or offers for a fee employment to warrant conviction for
illegal recruit
CONDITIONS OF EMPLOYMENT
WORKING CONDITIONS & REST PERIODS
EER-EE Relationship is not dependent upon the agreement of the parties. The
characterization by law prevails over that in the contract. the existence of
an EER-EE relshp is not a matter of stipulation but a question of law
d. depends on the facts of each case
Core/Non-core Jobs
e. EER-EE relship may comver core/non-core activities of the EERs
business.
f. The kind of work is not the definitive test of whether the worker
is an EE or not.
Employer any person, natural or juridical, domestic or foreign, who carries on
in the PH any trade, business, industry, undertaking or activity of any kind
and uses the services of another person who is under his order as regards
employment
Employee any person who performs services for an EER in w/c either or both
mental & physical efforts are used and who receives compensation for such
services, where there is an EER-EE relationship
2. The Economic Dependence Test observes the need to consider the existing
conditions bet the parties
Evidence of employment
i. id card
ii. vouchers of salaries
iii. sss registration
iv. memorandum
Purpose of 8-hr Labor law not only to safeguard the health & welfare of the
laborer/EE, but in a way to minimize unemployment by forcing ERs, in cases
where more than 8-hr operation is necessary, to utilize different shifts to
laborers/EEs working only for 8 hrs each
Part-time Work not prohibited. (What the law regulates is work exceeding 8hrs)
GR: Wage & benefits of a part-timer are in proportion to the number of hrs
worked.
Resident physicians customary practice to work for 24 hrs a day violates the
limitations in Art 83. when they are under training program/agreement bet
the residents and the hospital accredited by the govt
Hospital EEs are entitled to a full weekly salary w/ apid 2 days off if they
have completed the 40hr/5day workweek (7days pay for 5 days work)
Rest periods of short duration during work hrs shall be counted as hours
worked
Pre/Postliminary Activities
j. Preliminary (before work) and postliminary (after actual work)
activities are deemed performed during working hrs, where such
activities are controlled/required by the ER and are pursued
necessarily & primarily for the ERs benefit
Waiting Time
k. whether waiting time constitutes working time depends on the
circumstances on each particular case
l. controlling factor is WON time spent in idleness is so spent
predominantly for the ERs benefit or for the EEs
1. Engaged to Wait waiting time spent by EE shall
be considered as working time if waiting is
considered an integral part of his work or if the EE
is required/engaged by an ER to wait
2. Waiting to Engage idle time is not work time
On Call
n. although EE can rest completely and may not be actually at work,
if they are required to be in their place of work before/after the
regular working hrs and w/in the call of their ERs, the time they
stay in the place of work sould not be discounted from their
working hrs
o. EE cannot use the time effectively for his own purposes is
working while on call.
p. Not on call: EE is not required to remain on the ERs premises
but is merely required to leave work at his home or w/ company
officials where he may be reached
q. Public health workers On call status refers to a condition when
public health workers are called upon to respond to urgent or
immediate need for health/medical assistance or relief work during
emergencies such that he/she cannot devote the time for his/her
own use.
Travel Time time spent walking, riding, or traveling to/from place of work
a. Travel from home to work not worktime when EE receives an
emergency call outside his regular working hrs and is required to
travel to his regular place of business or some other
worksiteworking time
b. Travel that is all in a days work time spent by an EE in travel
as part of his principal activityhrs worked
c. Travel away from home travel that keeps an EE away from home
overnight worktime when it cuts across the EEs workday
Grievance Meeting time spent in adjusting grievance bet ER & Ee during the
time the EEs are required by the ER to be on the premiseshrs worked
if a bona fide union is involved depends on the CBA or the custom
practice under the CBA
Note: The 8-hr work period does not include the meal break. EEs may leave
the company premises as long as they return to their posts on time.
Overtime Pay additional compensation for work performed beyond 8hrs w/in
the workers 24-hr workday regardless whether the work covers 2 calendar
days
Basis cash wage only, w/o any deduction
Rates
1. OT on a regular work day at least 25% thereof
2. OT on a holiday or rest day at least 30% thereof
* CBA may stipulate higher OT pay rate
PALs Formula:
monthly salary x 12/365 days in a yr = Basic daily rate
basic daily rate/8 Basic hourly rate
Proposed Formula:
Monthly salary x 12/actual working days = BDR
BDR/8 = BHR
OT Work of Seamen whether or not the sailors are entitled to OT pay is not
whether they were on board and cannot leave ship beyond the regular 8
working hrs a day, but whether they actually rendered service in excess of 8
hrs
OT work must be proven by factual & legal basis
Waiver of OT Pay
GR: OT pay cannot be waived expressly or impliedly. Any contrary stipulation is
null and void.
Exeptions
1. When the waiver is made in consideration of benefits & privileges w/c may be
more than what will accrue to them in OT pay; and
2. Compressed workweek (CWW) the number of work days is reduced but the
number of work hrs in a day is increased to more than 8, but no OT pay
may be claimed.
Requisites of Compressed Workweek to be valid:
1. The scheme is expressly and voluntarily supported by majority of the EEs
affected;
2. In firms using substances, or operating in conditions that are hazardous to
health, a certification is needed from an accredited safety org or the
firms safety committee that work beyond 8hrs is w/in the limits/levels of
exposure set by DOLEs occupational safety & health standards;
3. The DOLE Regional Office is notified.
Illustrations of OT Computations
1. Regular Workdays
Reg Basic Wage + 25% thereof
2. Legal or Regular Holidays
Holiday Wage Rate (200%) + 30% thereof
3. Rest Days or Special Holidays
Rest day/Special Holiday wage rate (130%) + 30% thereof
4. Scheduled Rest Day w/c is also a Special Holiday
Rest day & special holiday wage rate (150%) + 30% thereof
5. Scheduled rest day w/c is also a legal or regular holiday
Rest day & legal holiday wage rate (260%) + 30% thereof
6. Double holiday
Double holiday wage rate (400%) + 30% thereof
EE will receive 200% of his regular daily wage when both regular
holidays fall on the same day and he does not work (Law provides
that he shall get his regular daily wage of each regular holiday)
100% of Araw ng Kagitingan, 100% Good Friday. If he works on
that day, he gets 400%
OT pay integrated in Basic Salary (composite/package pay/all-inclusive salary)
not illegal nor unusual for executives or managers
But for non-managerial EEs, there must be:
1. A clear written agreement
2. Agreed legal wage rate and OT pay computed separately are equal or
higher than the separate amounts legally due
FLEXIBLE WORK ARRANGEMENTS
- alternative work arrangements or schedules other than the traditional or
standard work hrs, workdays or workweek. ERs may adopt them after
due consultation w/ EEs, taking into acct the adverse consequence of the
situation on the performance and financial condition of the company.
- Its effectivity and implementation shall be temporary.
- Should be threshed out by the ER and EE
- DOLE Reg Ofc must be notified prior to implementation
- In addition to CWW, the FWAs include:
1. Reduction of workdays where normal workdays per week are
reduced but should not last for more than 6 months
2. Rotation of workers where the EEs are rotated/alternately
provided work w/in the workweek
3. Forced leave EEs are required to go on leave for several days
or weeks, utilizing their leave credits if there are any
4. Broken-time schedule the work schedule is not continuous but
the number of hrs w/in the day or week is not reduced
5. Flexi-holiday schedule Ees agree to avail themselves of the
holidays at some other days, provided that there is no diminution
of existing benefits as a result of such arrangement
Double Holiday Pay (Araw ng Kagitingan & Good Friday on the same day)
1. 200% of the basic wage
a. entitled even if said holiday is unworked
b. to give EE only 100% would reduce the number of holidays under
the law
2. 400% if he worked on 2 regular holidays falling on the same day
3. 520% if he worked on 2 regular holidays falling on the same day and at
the same time falling on a scheduled rest day
SIL VL/SL
Mandatory Art 95 Voluntary grant (ERs
policy or CBA)
Intended to alleviate the Intended to afford a
economic condition of laborer a chance to get
the workers for it acts a much needed rest to
as replacement for replenish his energy
regular income that and renew his efficiency
would not be earned
during such instance
Cannot be waived Must be demanded in
its opportune time;
silence is waiver
Commutable Not commutable
Pooled Tips
- where an establishment does not collect service charges but has a
practice/policy of pooling tips given voluntarily by its customers, the pooled
tips should be monitored, accounted for and distributed in the same manner
as the service charges
Title 2 WAGES
Ch 1
Art 97. Definitions
Person an individual, partnership, assoc, corp, business trust, legal rep, or any
organized group of persons
Employer any person acting directly/indirectly in the interest of an ER in
relation to an EE & shall include the Govt & all its branches, subd, &
instrumentalities, all govt-owned/-controlled corps & institutions, as well as
non-profit private institutions/orgs.
Employee - any indiv employed by an ER
Agriculture includes farming in all its branches, and among other things,
includes the cultivation & tillage of soil, dairying, the production, cultivation,
growing & harvesting of any agricultural & horticultural commodities, the
raising of livestock or poultry, and any practices performed by a famer on a
farm as an incident to or in conjunction with such farming operations, but
does not include the manufacturing or processing of sugar, coconuts, abaca,
tobacco, pineapples or other farm products.
Employ includes to suffer or permit to work
Wage paid to any EE; shall mean the renumeration or earnings, however
designated, capable of being expressed in terms of money, whether fixed or
ascertained on a time, task, piece, or commission basis, or other method of
calculating the same, w/c is payable by and ER to an EE under a
written/unwritten contract of ENT for work done or to be done, or for services
rendered and includes the fair and reasonable value, as determined by the
Sec of Labor, of board, lodging, or other facilities customarily furnished by the
ER ro the EE.
Includes commissions the recompense compensation/reward of an
agent, salesman, executor, trustee, receiver, factor, broker or bailee,
when the same is calculated as a percentage on the amt of his
transactions or on the profit of the principal
An ER may provide, for instance, food & housing to his EEs but he
may deduct their values from the EES wages to be determined by
the Sec of Labor.
Snacks
70% - deducted from wages (must be authorized in writing)
30% - subsidized by the ER
Fair rental value -shall be the reasonable cost of the operation &
maintenance.
FACILITIES SUPPLEMENTS
Include articles or
services for the benefit
of the EE or his family
but shall NOT include
tools of the trade or
articles or service
primarily for the benefit
of the ER or necessary
to the conduct of the
ERs business
Wage-deductible Not wage-deductible
Benefit/privilege part of Benefit/privilege given to
the laborers basic the EE w/c constitutes
wages, an extra renumeration
above & over his basic
or ordinary earning or
wage
The distinction bet a facility & a supplement is in
the purpose, (not the kind) of the item.
State Marine Corp & Royal Line, Inc. v Cebu Seamen s Assoc, inc: The
vessel crew were provided w/ free meals by the ship owners (petitioner), not
part of their wages but as a necessary matter in the maintenance of the
health & efficiency of the crew during the voyage. They should not be
deducted from their wages. The deductions should be returned to them.
Atok-Big Wedge Assoc v Atok-Big Wedge: Supplements constitute extra
renumeration or special privileges or wages, while facilities on the other hand,
are items of expense necessary for the laborers & his familys existence &
substinence, so that by express provision of law, they form part of the wage
and when furnished by the ER are deductible therefrom, since if they are not
so furnished, the laborer would spend and pay for them just the same.
A fair days wage for fair days labor. if there is no work performed by the
EE, there can be no wage or pay unless the laborer was able, willing and
ready to work but was prevented by the mgt or was illegally locked out,
suspended or dismissed.
Equal pay for equal work. EEs working in the PH, if they are performing
similar functions & responsibilities under similar working conditions, should be
paid under the principle of equal pay for equal work.
Agricultural Activities
Preparation of the soil, planting of ramie stalks and transporting them
to the stripping sheds, stripping the fibers w/ the use of decorticating
machines run by electricity, drying the wet fibers, passing them
through the brusher to cleanse them of impurities and baling the fiers
for the market
Planting & harvesting sugar cane & other chores incidental to ordinary
farming operations
Tillage of the soil, raising of crops including discovery of plant pests
and their eradication by means of insecticides
Fishpond business
farmhands employed to cultivate the vegetable garden of a non-
agricultural corp are not agricultural workers
Art 99. The minimum wage rates for agricultural and non-agricultural EEs and
workers in each and every region of the country shall be those prescribed
by the Regional Tripartite Wages and Productivity Boards
Statutory Minimum Wage the lowest wage rate fixed by law that an ER can
pay his workers. Compensation w/c is less than such minimum rate is
considered an underpayment that violates the law.
- determined for each region by the regional wage boards
- provided w/ margin to take care of contingencies, such as increase of
prices of commodities and increase in wants and to provide means for a
desirable improvement in EEs mode of living (A persons needs increase
as his means increase.)
Effects:
1. benefits all wage earners by setting a floor below w/c their pay cannot
fall
2. raises the standard of competition among ERs, since it would protect
the fair-minded ER from the competition of the ER who pays his
workers a wage below subsistence;
3. is a prereq to the adoption of the SSS, w/c requires contributions from
EEs themselves
Ability to pay immaterial
- ER cannot exempt himself from liability to pay minimum wages because of
poor financial condition of the company
- Lack of funds is not a valid defense because the payment of minimum
wage is a mandatory statutory obligation
EEs not estopped to sue for difference in amount of wages
- the acceptance by an EE of the wages paid him w/o objection does not give
rise to estoppel precluding him from suing for the difference bet the amt
received and the amt he should have received pursuant to a valid minimum
wage law
Exemptions to the coverage of the Rule on minimum wages
1. Household or domestic helpers, including family drivers and persons in
the personal service of another;
2. Homeworkers engaged in needle-work;
3. Workers employed in any establishment duly registered w/ the National
Cottage Industries and Devt Authority in accordance w/ RA 3470 provided
that such workers perform the work in their respective homes;
4. Workers in any duly registered cooperative when so recommended by the
Bureau of Cooperative Devt and upon approval by the Sec of DOLE,
provided however, that such recommendation shall be given only for the
purpose of making the cooperative viable and upon finding and
certification of said Bureau supported by adequate proof, that the
cooperative cannot resort to other remedial measures w/o serious loss or
prejudice to its operation except through its exemption from the
requirements of the Rules. The exemption shall be subj to such terms &
conditions and for such period of time as the Sec of Labor may prescribe.
5. Barangay Micro Business Enterprises (BMBE) (under RA 9178/BMBE
Law), provided that all EEs covered under this Act shall be entitled to
the same benefits given to any regular EE such as social security and
health care benefits. BMBEs are also exempt from income tax.
Food/Meal Allowance
Cebu Autobus Co v United Cebu Autobus EEs Assoc: the company
used to pay its drivers and conductors, aside from their regular salary,
a certain percentage of their daily wage, as allowance for food.
Discontinued by ER upon effectivity of Minimum Wage Law. CIR:
company practice
Nonconributory Retirement Plan
Nestle PH Inc. v NLRC: The fact that the retirement plan is
noncontributory, does not make it a nonissue in the CBA negotiations.
The EEs have a vested right over the existing benefits voluntarily
granted to them by their ER. The latter may not unilaterally withdraw,
eliminate or diminish such benefits.
Monthly Emergency Allowance
R. Tiangco & V. Tiangco v Hon. Leogardo: ERs, fishing operator and
fishbroker, discontinued paying the batillos (who work by unloading the
fish from the vessels dependent on arrival of the vessels, hence they
work only a few days a month averaging 4 hrs a day) a fixed monthly
emergency allowance (which they had been paid as a matter of
practice/verbal agreement) illegal.
Full 13th month pay
Arco Metal Products v Samahan ng Manggagawa: ER cannot shrink
away from its responsibility by merely claiming that its acts of giving full
13th month pay to EEs who have not worked for the full year is a
mistake. It has become practice.
2. If they are NOT integral part of the basic salary, then they shld be
excluded.
Proportionate 13thMP
- an EE who has resigned or was dismissed at any time before the time
for payment of the 13thMP is entitled to this monetary benefit in
proportion to the length of time he worked during the year . unless
otherwise stipulated in the CBA
Workers paid by results workers whose pay is calculated not on the basis of
time spent on the job but of the quantity & quality or the kind of work they
turn out. (nontime work).
- stress is placed on the unit of work produced or the quantity thereof
- a uniform amount is paid per unit accomplished
B. As to Rate of Payment
1. Those who are paid piece rates w/c are prescribed in Piece Rate Orders
issued by DOLE
# of pieces x rate per pc
- these workers are not covered by the Rule on Hours of Work (no
premium & OT pay)
2. Those who are paid output rates w/c are prescribed by the ER and are
not yet approved by the DOLE.
a.) If the resulting amt is than the statutory min daily rate in rel to
the # of hrs worked, the worker will rcv such amt.
b.) BUT, if the amt is less than the applicable legal rate, it is
possible that the rates per pc are not in accordance w/ the
standards. In that case, the ER is required by law to pay the
difference.
Entitlement of Piece-Rate Workers to NSD and SIL
a. Unsupervised no OT/SIL
b. Supervised entitled to OT/SIL
- The yearly commutation/cash conversion of the SIL should be based on their
average daily earnings earned during the yr by the actual number of working
days or the statutory min rate, whichever is higher.
GR: the amt earned during the year may exclude COLA, OT pay, and
premium pay, holiday pay, NSD and company fringe benefits there is
agreement to the contrary
Illustration of the computation
Total wages earned for 1 yr 12 = ave monthly
earning
AME 30*** = Daily Earnings
DE x 5 = five-day incentive pay
*** should be the actual days of work in a month
Entitlement to 13thMP
GR: PD 851 exempts from payment of 13thMP ERs of those who are paid a
fixed amt for performing specific work, irrespective of time consumed in the
perf thereof,
except where the workers are paid on piece-work basis (those who are paid a
standard amt for every pc/unit of work produced that is more/less regularly
replicated, w/o regard to the time spent in producing the same) in w/c case
the ER shall grant the 13thMP to such EEs.
The piece-rate worker should have rendered at least 1 month work/service
during the calendar yr.
GR:
1. At least once every 2 weeks; or
2. Twice a month at intervals not exceeding 16 days.
:
1. In case of force majeure or other circs beyond the ERs control, payment
must be made immediately after such occurrence has ceased.
2. If engaged to perform a task w/c cannot be completed in 2 weeks and in
the absence of CBA or arbitration award:
a. Payment shall be made at intervals not exceeding 16 days, in
proportion to the amt of work completed;
b. That final settlement is made upon completion of work.
Art 104. PLACE OF PAYMENT
GR: At or near the place of undertaking
:
1. When payment cannot be effected at or near the place of work by
reason of deterioration of peace & order conditions, or by reason of
actual or impending emergencies caused by fire, flood or other calamity
rendering paymt thereat impossible;
2. When the ER provides for free transpo to the EEs back and forth; and
3. Under any other analogous circs.
Prohibition: No ER shall pay his EEs in a bar, night or day club, drinking
establishment, massage clinic, dance hall or other similar places or in places
where games are played w/ stakes of money or thins representing money
except in the case of persons employed in such places.
Procedure
1) Claimants shall execute an affidavit attesting their relshp to the
deceased and the fact that they are his heirs, to the exclusion of
all others (Affidavit of Next of Kin);
2) In case of a minor heir, affidavit shall be executed on his behalf
by his natural guardian or next of kin;
3) Affidavit shall be presented to the ER who shall make paymt
through the Sec of Labor or his rep;
4) The rep shall act as referee in dividing the amt paid among the
heirs; and
5) Payment of wages under this Art shall absolve the ER of any
further liability w/ respect to the amt paid.
3. Payment through a family member of the workers family
- where the ER is authorized in writing by the EE to pay his wages to a
member of his family
Right to control refers to the right reserved to the person for whom the service
of the contractual workers are performed, to determine not only the end to be
achieved, but also the manner & means to be used in reaching that end
Insular life v NLRC: exclusive servicing esp springing from a
regulation issued by the Insurance Commission, and not from an intention by
the alleged ER, does not necessarily mean being under the control or ENT of
the entity being served. The relship may still be classified as independent
contractorship because the element of control is absent.
Note: The principal shall be deemed the ER of the contractual EE in any of the
ff cases as declared by competent authority:
1. Labor-only contracting; and
2. Contracting arrangement falling w/in the prohibitions
Art 107. INDIRECT ER any person, partnership, assoc or corp w/c not being
n ER, contracts w/ an independent contractor for the perf of any work, task,
job or proj.
2. a) Reimbursement the joint & several liability of the contractor & the
principal under Arts 106, 107 & 109 of the LC is mandated to assure
compliance of the provisions including the statutory min wage. The
contractor is made liable by virtue of his status as the direct ER; and
the principal is made the indirect ER of the contractors EEs for
purposes of paying the EEs their wages should the contractor fail to
do so.
- where no ER-EE Relshp exists bet the parties, as to
reimbursement bet the principal & the contractor, the RTC has
jurisdiction
Security of Tenure:
a. in cases of termination of ENT prior to the expiration of the contract bet
the principal & the sub/contractor, the R of the contractual EE to
separation pay or other related benefits shall be governed by applicable
laws & jurisprudence on termination of ENT.
b. Where the termination results from expiration of contract bet the principal
& the contractor, or from completion of the phase of the job for w/c the
EE is engagednot entitled to separation pay. however, this shall be
w/o prejudice to completion bonuses or other emoluments, incl retirement
pay as may be provided by law/contract bet the principal & the contractor.
Security of tenure requires procedural due process for termination of ENT.
Effect of Nonregistration:
GR: The absence of registration gives rise to the presumption that the contractor
is engaged in LOC,
But, if the contractor directly supervises the workers & imposes disciplinary
action, he qualifies as a legit contractor despite nonregistration w/ DOLE.
Conditions:
1. Formal declaration of insolvency or bankruptcy;
2. General judicial liquidation proceedings of the ERs business; and
3. Filing of claims by workers.