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San Beda College of Law 1

MEMORY AID IN LABOR LAW

1. defect which is congenital or acquired 9.


during minority 10. LABOR RELATIONS LAW those
2. legitimate spouse living with the intended to stabilize the relations of
employee employees and their employers, adjust
3. the parents of said employee wholly differences between them through the
dependent upon him for regular support encouragement of collective bargaining, and
settle labor disputes through conciliation,
1. BENEFITS mediation and arbitration.
1. for life to the primary beneficiaries,
guaranteed for five years it defines the status, rights, and
2. for not more than 60 months to the duties and the institutional
secondary beneficiaries in case there are mechanisms that govern the
not primary beneficiaries individual and collective interactions
3. in no case shall the total benefit be less of employers, employees or their
than P15,000.00 representatives.
2. BENEFICIARIES
Absent an employer-employee
relation, there is no labor relations
3. PRIMARY BENEFICIARIES
to speak of.
A. dependent spouse until he remarries
B. dependent children (legitimate,
- Collective bargaining process is
legitimated, natural born or legally
possible only when there is a labor
adopted)
organization, i.e., (1) labor union or
(2) employee association.
4. SECONDARY BENEFICIARIES
A. illegitimate children and legitimate
POLICY is intended to install industrial
descendants
democracy centered on collective bargaining,
B. parents, grandparents, grandchildren
leading to social justice as the end goal.
5. TITLE III
PARTIES TO LABOR RELATIONS CASES:
MEDICARE
1. employees organization,
2. management, and
(Repealed by National Health Insurance Act
3. the public
of 1995)
(See annex for PHILHEALTH) The public is always to be
considered in disputes between
PAG-IBIG Law- creates a provident savings labor and capital, and it has been
system for employees, public and private, held that the rights of the general
with housing as the primary investment. public are paramount.
Labor relations policy under the LC is
BOOK FIVE embodied in Section 3 Article XIII of the
1987 Constitution which guarantees to all
6. LABOR RELATIONS workers their right among others to:

7. TITLE I
1. Self-organization,
8. POLICY AND DEFINITIONS 2. Collective bargaining and
negotiations,
3. Peaceful and concerted activities
including the right to strike in
1.
accordance with law, and
ART. 211. DECLARATION OF POLICY 4. Participate in policy and decision-
making processes affecting their
LABOR RELATIONS the interactions rights and benefits as may be
between the employer and employees and provided by law.
their representatives and the mechanism by
which the standards and other terms and
1. ART. 212. DEFINITIONS
conditions of employment are negotiated,
adjusted and enforced.
EMPLOYER- one who employs the services
of others; one for whom employees work and
who pays their wages or salaries.
any person acting in the interest of an
employer, directly or indirectly. The term

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
San Beda College of Law 2

MEMORY AID IN LABOR LAW

does not include a labor organization or any collective bargaining agent of the employees
of its officers and agents, EXCEPT when of an appropriate bargaining unit.
acting as an employer.
LEGITIMATE WORKERS ASSOCIATION
EMPLOYEE- one who works for an refers to an association of workers organized
employer; a person working for salary or for mutual aid and protection of its members
wages. of for any legitimate purpose other than
11. Shall not be limited to the employees of collective bargaining registered with the
a particular employer, and it shall Department in accordance with Rule III,
include any individual whose work Sections 2-C and 2-D of these rules.
has ceased as a result of or in connection
with any current labor dispute or LABOR MANAGEMENT COUNCIL
because of any unfair labor practice IF - Deals with the employer on matters
he has not obtained any other: affecting the employees rights,
1. Substantially equivalent and benefits and welfare.
2. Regular employment (Art.212f) - Purposes are to:
a. promote gainful employment
ICAWO vs. CIR (16 SCRA 562): The category b. improve working conditions and
of any employee is so broad as to justify c. achieve increased productivity
employee status for supervisors, regular (RA 6971)
workers, casual employees, emergency
laborers, substitute workers, seasonal LABOR ORGANIZATION any union or
workers, part-time workers and other special association of employees which exists in
work groups. whole in part for the purpose of collective
bargaining with employers concerning terms
APEX MINING CO., vs. NLRC (196 SCRA 251): and conditions of employment.
Laundrywoman not actually serving the
family of the employer but working in the LEGITIMATE LABOR ORGANIZATION- any
staff houses or within the premises of the labor organization which is duly registered
employers business is a regular employee with the Department of Labor. The term
and is not included in the definition of includes a local/chapter of the Bureau of
domestic helper. Labor Relations directly chartered by a
legitimate federation or national union which
FELIX vs. BUENASEDA (240 SCRA 139): has been duly reported to the Department in
Residency or resident physician position in a accordance with Rule VI, Section 2 of Book V
medical specialty is not employment but of the Rules Implementing the LC.
connotes training and temporary status. (No
E-E relationship) LABOR DISPUTE includes any controversy
or matter concerning:

WORKERS ASSOCIATION - any association 1. terms or conditions of employment


of workers organized for the mutual aid and OR
protection of its members or for any 2. the association or representation of
legitimate purpose other than for collective persons in negotiating, fixing,
bargaining. maintaining, changing or arranging
the terms and conditions of
INDEPENDENT UNION It refers to any employment
labor organization operating at the enterprise
level whose legal personality is derived REGARDLESS of whether the disputants stand
through an independent action for in the proximate relation of employer and
registration with the Bureau of Labor employee.
Relations (BLR) of the Department of Labor
and Employment prescribed under Art. 234. The test
It may be affiliated with a federation, of whether a labor controversy comes within
national or industry union, in which case it the definition of a labor dispute depends on
may also be referred to as an affiliate. whether it involves or concerns terms,
conditions of employment, or representation.
FEDERATION - any labor organization with
at least 10 locals/chapters or affiliates each TYPES OF LABOR DISPUTES:
of which must be a duly certified or 1. Labor Standards Disputes
recognized as the sole and exclusive

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
San Beda College of Law 3

MEMORY AID IN LABOR LAW

a. Compensation [e.g., underpayment government agency that hears & decides


of minimum wage; stringent output labor-management disputes; attached to the
quota; illegal pay deductions] DOLE for program & policy coordination only.
b. Benefits [ e.g., nonpayment of
holiday pay, overtime pay or other POWERS of the NLRC as amended by R.A.
benefits] 6715
c. Working conditions [e.g., unrectified
work hazards] EN BANC

2. Labor Relations Disputes 1. Promulgating rules & regulations


a. Organizational right dispute/ unfair governing the hearing & disposition
labor practice [e.g., coercion, of cases before any of its divisions
restraint or interference in and regional branches and
unionization efforts; reprisal or formulating policies affecting its
discrimination due to union administration and operations.
activities; company unionism]
b. Representation disputes [e.g., 2. Under R.A. 7700: to allow cases
determination of the collective within the jurisdiction of any
bargaining unit; ULP strike; division to be heard and decided by
uncertainty as to determination of any other decision whose docket
the sole and exclusive bargaining allows the additional workload.
agent of the employees in an
appropriate bargaining unit which is DIVISION
the majority union]
c. Bargaining disputes [e.g., refusal to 1. Exercises adjudicatory or appellate
bargain (ULP); bargaining deadlock; power over decisions of Labor
economic strike or lockout] Arbiters and Regional Directors of
d. Contract administration or personnel the DOLE over monetary claims not
policy disputes [e.g., noncompliance over P5,000.00 and all other
with CBA provisions (ULP if gross powers, functions and duties
noncompliance with economic through its divisions.
provisions); disregard of grievance
machinery; violation no strike/no
lockout agreement] 2. TRIPARTISM
e. Employment tenure disputes [e.g.,
non regularization of employees; The NLRC is composed of five (5)
illegal termination; non-issuance of divisions.
employment contract]
Three (3) sectors are represented in
PARTIES TO A DISPUTE: the composition of the NLRC.
1. PRIMARY PARTIES employer,
employees, union
Each division composed of three
2. SECONDARY PARTIES voluntary
commissioners will have
arbitrator, agencies of DOLE (BLR, VAC),
representatives from the following:
NLRC, Sec. of Labor, Office of the
President
1. from the public sector-
nominated by the Secretary of
1. TITLE
Labor
II
2. workers organizations-
nominated by the labor
NATIONAL LABOR RELATIONS COMMISSION
federation
3. employer and
CHAPTER I
management sector- nominated
by the Employers
CREATION AND COMPOSITION
Confederation of the Philippines
(ECOP)
2. ART.
213. NATIONAL LABOR RELATIONS QUALIFICATIONS OF THE CHAIRMAN AND THE
COMMISSION COMMISSIONERS:
1. must be a member of the Philippine
NLRC an administrative body with quasi- Bar;
judicial functions and the principal

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
San Beda College of Law 4

MEMORY AID IN LABOR LAW

2. must have been engaged in the


practice of law in the Philippines for a. promulgating rules and regulations
at least 15 years; governing the hearing and disposition of
3. must have experience or exposure in cases before any of its divisions and regional
handling labor management branches, and
relations for at least 5 years; and
4. preferably a resident of the region b. formulating policies affecting its
where he is to hold office. administration and operations.
The Commission may only sit en
The appointment of the Chairman and banc for the determination of
the Commissioners of the NLRC are not policies and NOT for purposes of
subject to confirmation by the adjudication. (RA 6715)
Commission on Appointments.
Adjudication of cases certified to
QUALIFICATIONS OF EXECUTIVE LABOR the NLRC, or appealed to it from the
ARBITERS/LABOR ARBITERS: decision of its Labor Arbiters are
1. must be members of the Philippine referred to and decided by its five
Bar; (5) divisions.
2. must have been engaged in the
practice of law in the Philippines for -Petitions for certiorari (Rule 65)
at least 7 years; and against decisions of the NLRC should
3. must have experience or exposure in henceforth be initially filed with the Court
handling labor management of Appeals in strict observance of the
relations for at least 3 years. doctrine on the hierarchy of courts as the
appropriate forum for the relief desired. The
TERM OF OFFICE OF THE CHAIRMAN, Court of Appeals is procedurally equipped to
COMMISIONERS, AND LABOR ARBITERS: resolve unclear or ambiguous factual finding,
aside from the increased number of its
They shall hold office during good component divisions. (St. Martins Funeral
behavior until they reach the age of 65 Homes vs. NLRC; G.R. No. 130866)
unless removed for causes as provided by
law or become incapacitated to - Findings of facts of a labor tribunal are
discharge the function of his office. accorded the utmost respect by the courts
and are well-nigh conclusive if supported by
A. EXCLUSIVE AND ORIGINAL JURISDICTION substantial evidence.
OF THE NLRC:
- Labor cases are not subject to
1. Cases certified to it for compulsory Barangay Conciliation since ordinary rules of
arbitration by the Secretary of Labor under procedure are merely suppletory in character
Art. 263 CERTIFIED CASES; vis--vis labor disputes which are primarily
governed by labor laws.
2. INJUNCTION CASES under Art. 218 and
264; AND - The failure of the petitioner to file a
3. CONTEMPT CASES motion for reconsideration of the decision of
NLRC before filing a petition for certiorari
B. EXCLUSIVE APPELLATE JURISDICTION OF has in certain instances been held not to be a
THE NLRC: fatal omission.

1. Cases DECIDED BY LABOR ARBITERS - In certain cases however the filing of


under Art 217b of the Labor Code and a Motion for Reconsideration is deemed a
Sec 10 RA 8012(Migrant Workers Act); condition sine qua non for the filing of a
and Petition for Certiorari.

2. Cases DECIDED BY THE REGIONAL CHAPTER II


OFFICES OF DOLE IN THE EXERCISE OF POWERS AND DUTIES
ITS ADJUDICATORY FUNCTION under Art
129 of the Labor Code over monetary
claims of workers amounting to not more ART. 217. JURISDICTION OF LABOR
that P5,000.00 ARBITERS AND THE COMMISSION

THE NLRC ONLY SITS EN BANC FOR EXCLUSIVE AND ORIGINAL


PURPOSES OF: JURISDICTION OF LABOR ARBITERS:

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
San Beda College of Law 5

MEMORY AID IN LABOR LAW

Art. 262. The law prefers voluntary


- Except as otherwise provided under over compulsory arbitration.
this Code the Labor Arbiters shall have
original and exclusive jurisdiction to hear Cases which must be disposed of by
and decide, within 30 calendar days after the the labor arbiter by referring the same to
submission of the case by the parties for the grievance machinery and voluntary
decision without extension, even in the arbitration:
absence of stenographic notes, the following
cases involving all workers, whether a. Disputes on the
agricultural or non-agricultural: interpretation or implementation of CBA
and
1. ULP cases;
b. those arising from the interpretation
2. TERMINATION disputes; or enforcement of company
personnel policies.
3. If accompanied WITH A CLAIM
FOR REINSTATEMENT, those cases The labor arbiter and the NLRC have no
that workers may file involving jurisdiction over claims filed by
wages, rates of pay, hours of work employees against international agencies
and other terms and conditions of such as IRRI, WHO etc. unless they
employment; expressly waive their immunity. (Lasco
vs. UNRFNRE)
4. Claims for actual, moral,
exemplary and other forms of They also have no jurisdiction over illegal
DAMAGES arising from employer- dismissal cases of corporate officers
employee relations; which fall under PD 902-A and now fall
under the jurisdiction of the Regular
5. CASES ARISING FROM ANY Courts pursuant to the New Securities
VIOLATION OF ART 264 of this Regulation Code. [Formerly under the
Code, including questions involving jurisdiction of the Securities and
the legality of strikes and lockouts; Exchange Commission (SEC) (Dily-Daly
Nakpil vs NLRC)]
6. Except claims for Employees
Compensation, Social Security,
Medicare and maternity benefits,
ALL OTHER CLAIMS ARISING FROM
EMPLOYER-EMPLOYEE RELATIONS,
including those of persons in
domestic or household service,
involving an amount exceeding
P5,000.00 regardless of whether
accompanies with a 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

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
San Beda College of Law 6

MEMORY AID IN LABOR LAW

In the absence of service of summons opportunity for cross- examination, in


or a valid waiver thereof, the hearings support of the allegations of the complaint
and judgment rendered by the labor made under oath as well as testimony in
arbiter are null and void. opposition thereto

COMPULSORY ARBITRATION: The d. FINDING OF FACT of the Commission to


process of settlement of labor disputes by a the effect that :
government agency which has the authority to prohibited or unlawful acts have
investigate and make and award binding to the been threatened and will be
parties. committed, or have been committed
and will be continued unless
The NLRC may conduct compulsory restrained, but no injunction or
arbitration only in national interest cases temporary restraining order shall be
referred to it by the DOLE secretary. issued on account of any threat,
prohibited or unlawful act, except
Labor arbiters jurisdiction is against the persons, association or
employment related. organization making the threat or
committing the prohibited or
ART. 218. POWERS OF THE unlawful act or actually authorizing
COMMISSION or ratifying the same after actual
knowledge thereof.
POWERS OF THE NLRC: That substantial and irreparable
a. Rul injury to the complainants property
e-making power [promulgation of rules will follow
& regulations governing disposition of That as to each item of relief to
cases before any of its be granted, greater injury will be
divisions/regional offices] inflicted upon complainant by the
b. Po denial of the relief than will be
wer to issue compulsory processes inflicted upon the defendants by the
[administer oaths, summon parties, granting of the relief
issue subpoenas] That complainants has no
c. Power to investigate matters and hear adequate remedy at law
disputes within its jurisdiction That public officers charged with
[adjudicatory poweroriginal & the duty to protect complainants
appellate jurisdiction over cases] property are unable or unwilling to
d. Contempt power [218] furnish adequate protection.
e. Power to issue injunctions and
restraining orders e. Posting of a BOND

PROCEDURE FOR THE ISSUANCE OF IRREPARABLE INJURY: An injury which


RESTRAINING ORDER/ INJUNCTION: cannot be adequately compensated in damages
a. filing of a verified PETITION due to the nature of the injury itself or the
nature of the right or property injured or when
b. HEARING AFTER DUE AND PERSONAL NOTICE there exists no pecuniary standard for the
has been served in such manner as the measurement of damages.
Commission shall direct, to:
a. all known persons against whom ADEQUATE REMEDY: One that affords
the relief is sought and relief with reference to the matter in
b. also to the Chief Executive or controversy and which is appropriate to the
other public officials of the province particular circumstances of the case.
or city within which the unlawful acts
have been threatened or committed The power of the NLRC to enjoin or
charged with the duty to protect the restrain the commission of any or all prohibited
complainants property. or unlawful acts under Art. 218 of the Labor
Code can only be exercised in a labor dispute.
c. RECEPTION AT THE HEARING OF THE
TESTIMONIES OF WITNESSES with

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
San Beda College of Law 7

MEMORY AID IN LABOR LAW

REQUISITES BEFORE TRO MAY BE material, implement, machinery,


ISSUED EX PARTE: appliance or any object therein; and
1. The complainant shall ALLEGE THAT, b. Ask any employee, laborer, or any
unless a TRO is issued without notice, person as the case may be for any
a substantial and irreparable injury to information or date concerning any
complaints property will be matter or question relative to the
unavoidable; object of the investigation
2. TESTIMONY UNDER OATH is
sufficient, if sustained, to justify the ART. 221. TECHNICAL RULES NOT
Commission in issuing a temporary BINDING AND PRIOR RESORT TO AMICABLE
injunction upon hearing after notice; SETTLEMENT
3. The complainant shall first FILE AN The NLRC may disregard technical rules
UNDERTAKING WITH ADEQUATE of procedure in order to give life to the
SECURITY/BOND in an amount to be constitutional mandate affording protection to
fixed by the Commission sufficient to labor. (Principe vs. Philippine-Singapore
recompense those enjoined for any Transport Services Inc.)
loss, expenses or damage caused by
the improvident or erroneous issuance RES JUDICATA applies only to judicial
of such order or injunction, including or quasi-judicial proceedings and NOT to the
all reasonable costs, together with a exercise of administrative powers.
reasonable attorneys fee, and
expense of defense against the APPROVAL OF AN AMICABLE
granting of any injunctive relief sought SETTLEMENT BY A LABOR ARBITER
in the same proceeding and An amicable settlement of a labor dispute
subsequently denied by the should be approved by the labor arbiter before
Commission. whom the case is pending after being satisfied
The TRO shall be effective for no that:
longer than 20 days and shall become void
at the expiration of said 20 days counted a. it was VOLUNTARILY ENTERED into by
from the date of the posting of the bond. the parties and
It may be lifted or it may be
upgraded to a permanent injunction. after having EXPLAINED TO
The procedural and substantial THEM THE TERMS AND CONSEQUENCES
requirements of Art 218 (e) must be strictly thereof.
complied with before an injunction may
issue in a labor dispute. PURPOSE: for the employees protection
because the labor arbiter before whom the
THE FOLLOWING CAN ISSUE case is pending would be in a better position
INJUNCTIONS/ TRO IN LABOR DISPUTES: than just any other person to personally
determine the voluntariness of the agreement
1. President (ART. 263, g) and certify its validity (Periquet vs. NLRC).
2. Secretary of Labor (ART. 263, g)
3. NLRC (218) The Rules of Court are applied in a
4. Labor Arbiters (ART. 217/RULE XI Sec. suppletory character.
1 of IR&R)
5. Regional Directors COMPROMISE, as a way of settling
6. Med- Arbiters disputes is encouraged
through compromise, the parties,
ART. 219. OCULAR INSPECTION by making reciprocal concessions,
avoid litigation or put an end to
The Chairman, any Commissioner, labor one already commenced.
Arbiter or their duly authorized representatives
may, at anytime during working hours: ART. 222. APPEARANCES AND FEES
a. Conduct an ocular inspection on any
establishment, building, ship, place or APPEARANCE OF NON-LAWYERS
premises, including any work, BEFORE THE COMMISSION:

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
San Beda College of Law 8

MEMORY AID IN LABOR LAW

GENERAL RULE: ONLY lawyers can appear union funds


before the NLRC or a Labor Arbiter PURPOSE: to PURPOSE: to
fix the limit on the prevent the
EXCEPTIONS: Non-Lawyers can appear amount of imposition on the
ONLY in the following instances: attorneys fees. workers of the duty
The victorious to individually
1. if they represent themselves; party may recover contribute their
2. if they represent their in any respective shares in
organization or members thereof; or administrative or the fee to be paid to
3. if he is a duly accredited member of judicial the attorney for his
the legal aid office duly recognized by proceeding. services to the union.
the DOJ in cases referred thereto by
the latter or by the IBP. CHAPTER III

ATTORNEYS FEES: APPEAL


1. Art. 111 Labor Code (simple monetary
claim) ART. 223. APPEAL
The maximum amount to be given a
lawyer for his legal assistance rendered GROUNDS FOR APPEAL:
which is 10% of the total monetary award
adjudged the employees excluding the 1. If there is prima facie evidence of
award for moral and exemplary damages. abuse of discretion on the part of the
To demand more than this is unlawful. Labor Arbiter
2. If the decision, order or award was
2. Art. 222 secured through fraud or coercion,
including graft and corruption;
a. Attorneys fees for CBA negotiations 3. If made purely on questions of law;
and conclusion shall be in the amount and
agreed upon by the parties to be taken 4. If serious errors in the findings of facts
from the union funds and not from are raised which would cause grave or
individual union members. irreparable damage or injury to the
appellant.
b. This article prohibits the payment of
attorneys fees only where the same is PERIODS WITHIN WHICH TO APPEAL:
effected through forced contributions
from the workers form their own funds A. decisions of the regional director:
as distinguished from union funds.
within 5 calendar days from receipt
c. Neither the lawyer nor the union of the order [129 LCRecovery of
itself may require the individual wages and simple money claims of the
workers to assume the obligation to amount not exceeding P5,000.00].
pay the attorneys fees from their own
pockets. Any agreement to the B. decisions of the labor arbiter:
contrary shall be null and void.
within 10 calendar days from the
ARTICLE 211 VS ARTICLE 222 receipt of the decision.
The appeal must be under oath and
ART. 211 ART. 222 must state specifically the grounds
Prohibits the Prohibits the relied upon and the supporting
award of payment of arguments.
attorneys fees attorneys fees only Where the 10th day falls on a
which exceed 10% when it is effected Saturday, Sunday or legal holiday, the
of the amount of through forced appeal may be filed on the next
wages recovered. contribution from the business day. (Rules of Procedure of
workers from their NLRC)
own funds as
distinguished from PERIOD TO APPEALNOT EXTENDIBLE

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
San Beda College of Law 9

MEMORY AID IN LABOR LAW

It is the policy of the state to reinstatement of a dismissed or separated


settle expeditiously labor employee shall be immediately executory
disputes. insofar as the reinstatement aspect is
The perfection of an appeal concerned and the posting of an appeal bond
within the statutory/ by the employer shall not stay such
reglementary period is not only execution.
mandatory but also jurisdictional
and failure to do so renders the There is no need for a motion
questioned decision final and for the issuance of writ of
executory as to deprive the execution on the reinstatement
appellate court of jurisdiction to order as it is self-executory.
alter the final judgment of the (Pioneer Texturizing Co. vs.
RDs and LAs. (Aboitiz Shipping NLRC)
Employees Association vs.
Trajano) Perfection of appeal within the
REQUISITES FOR THE PERFECTION OF reglementary period is both MANDATORY and
AN APPEAL TO THE NLRC: JURISDICTIONAL. (ACDA vs NLRC; Volkschel vs
1. Filing of A VERIFIED MEMORANDUM OF NLRC)
APPEAL within the required period of
appeal; Non-service of the copy of the
2. In case of monetary award, when the appeal/appeal memorandum to the adverse
appellee is the employer he should file party is not a jurisdictional effect and does not
an APPEAL BOND corresponding to the justify dismissal of the appeal.
monetary award excluding awards for
moral and exemplary damages and
attorneys fees. AMOUNT OF APPEAL BOND: amount equal
Where the employer failed to to the monetary award exclusive of damages
post a bond to perfect its appeal, (moral and exemplary) plus attorneys fees.
the remedy of the employee is a
motion to dismiss the appeal, NOT OPTIONS OF THE EMPLOYER IN COMPLYING
a petition for mandamus. WITH AN ORDER OF REINSTATEMENT WHICH IS
IMMEDIATELY EXECUTORY:
The intention of the
1. He can ADMIT THE DISMISSED
lawmakers is to make the bond an
employee back to work under the same
indispensable requisite for the
terms and conditions prevailing prior to his
perfection of an appeal by the
dismissal or separation or to a substantially
employer.
equivalent position if the former position is
3. Appeal fee of P150;
already filled up, OR
4. Proof of service - furnish the other
party with a copy of the memo of
2. He can REINSTATE THE EMPLOYEE
appeal.
MERELY IN THE PAYROLL WITH PAYMENT
OF THE ACCRUED SALARIES.
Failure to give a copy of the
Failure to exercise one of the
appeal to the appellee within 10
foregoing options may be
days is not fatal IF the latter was
compelled under pain of contempt
not prejudiced by the delay in the
and the employer may be made to
service of said copy of the appeal
pay instead the salary of the
technical rules must yield to the
employee.
broader interest of substantial
justice. (Modern Fishing Gear
A petition for relief from the decision of
Labor Union vs. Noriel)
the labor arbiter must strictly comply with 2
A mere notice of appeal does reglementary periods:
not stop the running of the
reglementary period of appeal. 1. The petition must be filed within 60
days from knowledge of the judgment; and
EXECUTION PENDING APPEAL - the
decision of the labor arbiter ordering the

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
San Beda College of Law 10

MEMORY AID IN LABOR LAW

2. The petition must be filed within a employer is given the opportunity to


fixed period of 6 months from entry of be heard and to raise objections to the
such judgment. computation.
Petitions filed beyond said
period will no longer be TITLE III
entertained. BUREAU OF LABOR RELATIONS

APPEAL FROM THE DECISION OF THE NLRC:


ART. 226. BUREAU OF LABOR RELATIONS
No law allows an appeal from a decision of
the Secretary of Labor, or the NLRC, or of a Pursuant to E.O. 126, the NATIONAL
voluntary arbitrator. In these cases, the CONCILIATION AND MEDIATION BOARD (NCMB)
special civil action of certiorari, prohibition has absorbed the conciliation, mediation and
or mandamus under Rule 65 of the Rules of voluntary arbitration functions of the BLR.
Court may be lodged with the Court of Appeals.
(St. Martins Funeral Home vs. CA) Jurisdiction over labor-management
No Motion for Reconsideration is problems or disputes is also exercised
allowed for any order, decision or by other offices such as the DOLE
award of a Labor Arbiter. However a regional offices, and the Office of the
Motion for Reconsideration of a Labor Secretary, NLRC, POEA, OWWA, SSS-
Arbiters decision, award or order ECC, the regional wage and
which has all the elements of an productivity boards, NWPC, and even
appeal may be treated as appeal. the regular courts over intra-corporate
disputes.
Only one Motion for Reconsideration of EXCLUSIVE AND ORIGINAL JURISDICTION OF
the decision, award or order of the THE BLR
commission on appealed cases before
it. -to act at its own initiative or upon the
request of either or both parties on all:
ART 224. EXECUTION OF DECISIONS,
1. INTRA- union conflicts
ORDER, OR AWARDS
2. INTER- union conflicts
The decision of the Secretary of Labor, the
Commission, the Bureau or Regional Director
3. all DISPUTES, GRIEVANCES OR
the Labor Arbiter, the Med-Arbiter or the
PROBLEMS ARISING FROM OR AFFECTING
Voluntary Arbitrator shall be final and
LABOR MANAGEMENT RELATIONS IN ALL
executory after 10 calendar days from
WORKPLACES WHETHER AGRICULTURAL
receipt thereof by the parties and shall be
OR NON-AGRICULATURAL.
executory within ten (10) years.
The parties may however, by
The foregoing may, upon its own agreement, settle their differences by
initiative or on motion of any submitting their case to a voluntary
interested party, issue a writ of arbitrator rather than taking the case
execution on a judgment within 5 to the BLR.
years from the date it becomes final
and executory. CASES WHERE THE BLR HAS NO
An independent action is required JURISDICTION:
for the execution of the final Those arising from the implementation or
judgement within the next of interpretation of collective bargaining
following 5 years [ Phil. National agreements which shall be subject of grievance
Railways vs NLRC (177 SCRA740, Sept. procedure and/or voluntary arbitration.
19, 1989)]
The immediate execution of INTRA-UNION DISPUTES refers to any
judgment should be undertaken only conflict between and among union members,
when the monetary award had been including grievances arising from any violation
carefully and accurately determined of the rights and conditions of membership,
by the NLRC and only after the violation of or disagreement over any provision

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
San Beda College of Law 11

MEMORY AID IN LABOR LAW

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

EXTENDED COVERAGE (Section 2 Rule XI DO


40-03)

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
San Beda College of Law 12

MEMORY AID IN LABOR LAW

3. INTER-UNION DISPUTES -refers BLR, where the


complaint originated
to any conflict between and among legitimate
(records are transmitted
labor organizations involving representation
to the BLR or Sec.
questions for purposes of collective bargaining
Within 24 hours from
or to any other conflict or dispute between
receipt of the
legitimate labor organizations based on any
memorandum of appeal)
violations of their rights as labor organizations.
1. WHO 1. For grounds under Sec. 1:
EFFECTS OF FILING/PENDENCY OF a. any LLO
INTER/INTRA-UNION DISPUTE AND OTHER b. member(s) thereof
LABOR RELATIONS DISPUTES (Section 3 Rule XI specially concerned
DO 40-03) 2. For grounds under Sec. 2
- The rights, relationships and obligations of any party-in-interest
the parties litigants against each other and 2. WHERE 1. Regional Office that issued
other parties-in-interest prior to the institution FILED its certificate of registration or
of the petition shall continue to remain during certificate of creation of
the pendency of the petition and until the date chartered local- If it involves
of finality of the decision rendered therein. labor unions with independent
Thereafter, the rights, relationships and registrations, chartered locals,
obligations of the parties litigants against each workers association, its
other and other parties-in-interest shall be officers or members
governed by the decision so ordered. 2. Directly with the BureauIf
- The filing or pendency of any inter/intra- it involves a
union disputes is not a prejudicial question to Federation/National
any petition for certification election and shall Unions/Industry Unions, its
not be a ground for the dismissal of a petition officers or members
for certification election or suspension of 3. FORMAL 1. in writing
proceedings for certification election. REQUIRE- 2. verified under oath
MENTS 3. contains the following
SUMMARY OF RULES ON INTRA/INTER- averments
UNION DISPUTES (Rule XI DO 40-03) a. name, address and other
personal circumstances of the
MODES OF APPEAL IN INTRA/INTER-UNION complainant(s) or
DISPUTES (Rule XI DO 40-03) petitioner(s);
HOW (formal 1. Under oath b. name, address and other
requirements) 2. Consist of a personal circumstances of the
memorandum of appeal respondent(s) or person(s)
3. Based on either of charged;
the following grounds: c. nature of the complaint or
a. Grave abuse of petition;
discretion d. facts and circumstances
b. Gross violation surrounding the complaint or
of the Rules petition;
4. With supporting e. cause(s) of action or
arguments and evidence specific violation(s)
PERIOD Within 10 days from committed;
receipt of decision f. a statement that the
TO WHOM 1. Bureau of Labor administrative remedies
APPEALABLE Relationsif the case provided for in the
originated from the Med constitution and by-laws
Arbiter/Regional -have been exhausted or
Director -such remedies are not
2. Sec. Of Laborif the readily available to the
case originated from the complainant(s) or
Bureau petitioner(s) through no
WHERE FILED Regional Office or to the fault of his/their own or
-compliance with such
administrative remedies
does not apply to
complainant(s) or
LABOR LAW COMMITTEE
petitioner(s);
CHAIRPERSON: Francis Benedict Rotutar ASSISTANT CHAIRPERSON: Juanito Lim, Jr. SUBJECT HEADS: Aimee Roselle
g.
Sabilala(Labor Standards), Elsa Villaflor(Labor Relations), Maria Fe Taal (Special Laws) relief(s) prayed
EDP: Flora for;
Sherry Basquiez
h. certificate of non-forum
ASST. EDPS: Jennifer Trinidad, Ma. Jasmine Isip, Emil Bien Ongkiko, Kareen Faye Pioquinto
shopping; and
i. other relevant matters
San Beda College of Law 13

MEMORY AID IN LABOR LAW

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

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
San Beda College of Law 14

MEMORY AID IN LABOR LAW

3. The CONSIDERATION MUST BE prior to its expiration, which period is called


REASONABLE (required only when entered the freedom period.
without the assistance of DOLE)
The existence of the CBA bars the holding
Dire necessity is not an acceptable of an inter-union electoral contest and the
ground for annulling the releases, filing of the Petition for Certification Election
especially in the absence of proof that except within the freedom period.
the employees were forced to execute
them. (Veloso vs. DOLE) PURPOSE: to minimize union politicking until
the proper time comes.
WAIVER OF REINSTATEMENT like waivers 13.
of money claims, a waiver of 14. ART 233. PRIVILEGED COMMUNICATION
reinstatement must be regarded as a
personal right which must be exercised PRIVILEGED COMMUNICATION: Any statement
personally by the workers themselves. (Jag of such privacy that the law exempts the
& Haggar Jeans and Sportswear Corp. vs. person receiving the information from the duty
NLRC) to disclose it.

ART 231. REGISTRY OF UNIONS AND FILE Information and statements made at
OF COLLECTIVE AGREEMENT conciliation proceedings shall be treated as
privileged communication and shall not be
The CBA is more than a contract, it is used as evidence in the Commission.
highly impressed with public interest
for it is an essential instrument to Conciliators and similar officials may
promote industrial peace. not testify in any court or body
Must be filed directly with the Bureau regarding any matters taken up at
or the Regional Offices of DOLE within conciliation proceedings conducted by
thirty (30) days from execution. them.
An UNREGISTERED CBA does not bar
certification election [contract bar
rule will not apply in the absence of
registration. [See discussion on Arts.
253 & 253-A]

Registration of the CBA is not a requisite for


its validity.

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 TITLE IV
signed by the parties, a CBA becomes effective 1.
as between the parties regardless of whether 2. LABOR
or not the same has been certified by the BLR. ORGANIZATIONS

CHAPTER I
12. ART 232. PROHIBITION ON
CERTIFICATION ELECTION REGISTRATION AND CANCELLATION

CONTRACT BAR RULE: provides that while a


valid and registered CBA is subsisting for a ART. 234. REQUIREMENTS OF
fixed period of 5 years , the Bureau is not REGISTRATION
allowed to hold an election contesting the LABOR ORGANIZATION - Any union or
majority status of the incumbent union except association of employees which exists in whole
during the sixty (60) day period immediately or in part for the purpose of:
a. collective bargaining or

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
San Beda College of Law 15

MEMORY AID IN LABOR LAW

b. of dealing with employer concerning


terms and conditions of employment. o the minutes of the organizational
It is the agent of the employees of meeting(s) and the list of
an appropriate bargaining unit. employees who participated in
the said meeting(s);
PRINCIPLE OF AGENCY APPLIED
o the name of all its members
Principal employees comprising at least 20% of the
Agent local/chapter employees in the bargaining unit;
Agent of agent federation
o the annual financial reports if the
LEGITIMATE LABOR ORGANIZATION or applicant has been in existence
LABOR UNION for one or more years, unless it
has not collected any amount
any labor organization duly registered with from the members, in which case
the Department of Labor and Employment, and a statement to this effect shall be
Bureau of Labor Relations. included in the application;

Not every legitimate labor o the applicants constitution and


organization can act as bargaining by-laws, minutes of its adoption
representative and be certified as or ratification, and the list of the
such. This is true only of a union that members who participated in it.
has won in certification election or has The list of ratifying members shall
been voluntarily recognized by the be dispensed with where the
employer. constitution and by-laws was
ratified or adopted during the
organizational meeting. In such a
PURPOSE OF FORMATION OF LABOR UNIONS: case, the factual circumstances of
for securing a fair and just wages and good the ratification shall be recorded
working conditions for the laborers; and for the in the minutes of the
protection of labor against the unjust exactions organizational meeting(s).
of capital (These are called reportorial requirements)

The application for registration of labor


MODES OF ACQUIRING LEGITIMACY FOR unions xxx, shall be certified under oath by its
LABOR ORGANIZATIONS Secretary or Treasurer, as the case may be,
and attested by its president.
1. Registration with the BLR (Independent
Union) The attachments must now be in one(1)
2. Affiliation with a legitimate labor original copy and two (2) duplicate copies
federation which shall accompany the application or
notice, and submitted to the Regional Office or
[REGISTRATION REQUIREMENTS FOR LABOR the Bureau.
ORGANIZATIONS (as amended by DO 40-03)]
3. Application for registration A prescribed registration fee must be paid
4. Attachments before the issuance of the certificate of
name of the applicant labor union, its registration
principal address;
the name of its officers and their Where to file application for registration:
respective addresses;
1. For registration of independent labor unions,
o approximate number of chartered locals, workers associations shall be
employees in the bargaining unit filed with the Regional office where the
where it seeks to operate, with a applicant principally operates. It shall be
statement that it is not reported processed by the Labor Relations Division at the
as a chartered local of any Regional office.
federation or national union;

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
San Beda College of Law 16

MEMORY AID IN LABOR LAW

2. Applications for registration of federations, which must be duly certified or recognized as


national unions or workers associations the sole and exclusive collective bargaining
operating in more than one region shall be filed agent of the employer they represent.
with the bureau or the regional offices, but
shall be processed by the bureau. REQUIREMENTS BEFORE A FEDERATION
CAN BE ISSUED A CERTIFICATE OF
MINISTERIAL DUTY OF THE BLR REGISTRATION:
COMPELLABLE BY MANDAMUS- to review the
application for registration and not the Aside from the application, which must be
issuance of a Certificate of Registration. accompanied with the requirements for
registration of a labor registration, the
application should also be accompanied by the
- After a labor organization had filed the
following:
necessary papers and documents for
1. Proof of affiliation of at least 10 locals or
registration, it becomes mandatory for the BLR
chapters, each of which must be a duly
to check if the requirements under Article
recognized sole and exclusive collective
234 have been sedulously complied with. If
bargaining agent in the establishment or
its application for registration is vitiated by
industry in which it operates, supporting the
falsification and serious irregularities,
registration of such applicant federation or
especially those appearing on the face of the
national union;
application and the supporting documents, a
2. The names and addresses of the
labor organization should be denied recognition
companies where the locals or chapters
as a legitimate labor organization. (Progressive
operate and the list of all the members in
Development Corporation-Pizza Hut vs.
each company involved.
Laguesma et al., GR No. 115077, April 18,
1997)
A LOCAL UNION MAY AFFILIATE WITH A
FEDERATION - The procedure of affiliation
15. PURPOSE OF REGISTRATION - would depend on whether the union is
Registration with the BLR is the operative act independently registered or not.
that gives rights to a labor organization.
REQUIREMENTS OF AFFILIATION (as amended
It is the fact of being registered with by DO 40-03)
the DOLE that makes a labor 1. Report of affiliation of independently
organization legitimate in the sense registered labor union
that it is clothed with legal 2. Attachments:
personality to claim representational a. resolution of the labor unions board
and bargaining rights enumerated in of directors approving the affiliation;
Article 242 or to strike or picket under b. minutes of the general membership
Article 263. meeting approving the affiliation;
The requirement of registration is NOT c. the total number of members
a curtailment of the right to comprising the labor union and the
association. It is merely a condition names of members who approved the
sine qua non for the acquisition of affiliation;
legal personality by labor d. the certificate of affiliation issued by
organizations, associations or unions the federation in favor of the
and the possession of the rights and independently registered labor union;
privileges granted by law to labor and
organizations. e. written notice to the employer
A valid exercise of police power since concerned if the affiliating union is
the activities in which labor the incumbent bargaining agent.
organizations, associations, or unions
of workers are engaged affect public A union of supervisory employees may
interest, which should be protected. affiliate with a national federation of labor
(PAFLU vs. Sec. Of Labor) organizations of rank and file employees
PROVIDED that:
FEDERATION- any labor organization with at
least 10 locals/chapters or affiliates each of

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
San Beda College of Law 17

MEMORY AID IN LABOR LAW

a. the federation is not actively involved in


union affairs in the company; and
b. the rank and file employees are not
directly under the control of the
supervisors
ONCE AFFILIATED, A LOCAL UNION
MAY DISAFFILIATE FROM THE FEDERATION.

1.

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
San Beda College of Law 18

MEMORY AID IN LABOR LAW

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/nati certificate to be submitted to
in an onal union the Bureau accompanied by
enterprise issues a charter the following:
through to a union in an a. Copies of its constitution
their own enterprise and and by-laws
action registers the b. Statement of the set of
charter with officers and
the regional Books of accounts, all of
office or the which must be certified by
BIR. the Secretary/Treasurer and
attested to by the President.
Indepen- Chapter/local In such case, the union
dent union becomes a local chapter of
the Federation.
With legal No legal
personality personality of
of its own its own as long
as it has not
b. EFFECT OF - would
availednot affect
itself of its being a upon severance, it would
DISAFFILIATION legitimate
independent labor organization cease to be a legitimate labor
TO THE UNION andregistration.
therefore it would organization and would no
[local] continue to have legal longer have legal personality
Application personality
Charter and to possess all and the rights and privileges
for thecertificate
rights and isprivileges of a granted by law to legitimate
registratio legitimate
issued by labora organization. organization, unless the local
n is filed federation or chapter is covered by a duly
with and national union registered collective
will be is filed with bargaining agreement. In the
acted upon the regional latter case, the local or
by the office or BLR chapter will not lose its legal
DOLE with 30 days personality until the
regional after the expiration of the CBA. After
office issuance of the the CBA expires it will lose its
where the charter legal personality unless it
applicants certificate. registers as an independent
principal union.
office is
located.
c. EFFECT OF - an existing CBA would The CBA would continue to be
DISAFFILIATION continue to be valid as the valid. The local chapter will
TO THE CBA labor organization can not lose its personality until
continue administering the the expiration of the CBA.
CBA After the CBA expires the
local union looses its
personality, unless it registers
anew.

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
San Beda College of Law 19

MEMORY AID IN LABOR LAW

d. ENTITLEMENT -labor organization is entitled - union dues may no longer


TO UNION DUES to the union dues and not the be collected as there would
AFTER federation from which the no longer any labor union that
DISAFFILIATION labor organization is allowed to collect such
disaffiliated. union dues from the
employees.
Note: Follow the principle of
agency between federation
and local.
Principal employees
Agent local/chapter
Agent of agent federation

WHEN TO DISAFFILIATE WORKERS ASSOCIATION: Association of


workers for the mutual aid and protection of
GENERAL RULE: A labor union may its members or for any legitimate purpose
disaffiliate from the mother union to form an other than collective bargaining.
independent union only during the 60-day
freedom period immediately preceding the ART. 236. DENIAL OF REGISTRATION;
expiration of the CBA. APPEAL

EXCEPTION: DISAFFILIATION BY MAJORITY - Decisions of the BLR denying the


registration of a labor organization is
This happens when there is a appealable to the Secretary of Labor within
substantial shift in allegiance on the 10 calendar days from receipt of the
part of the majority of the members decision, on grounds of:
of the union. In such a case,
however, the CBA continues to bind a. grave abuse of discretion; or
the members of the new or b. gross incompetence
disaffiliated and independent union - even before the onset of the freedom
up to the CBAs expiration date. period, disaffiliation may still be carried
out, but such disaffiliation must be
LIMITATION: disaffiliation should be in effected by a majority of the union
accordance with the rules and procedures members in the bargaining unit.
stated in the Constitution and by-laws of the
federation. decision of the regional office or the
bureau denying the application for
A prohibition to disaffiliate in the registration shall be:
Federations constitution or by-laws 1. in writing
is validintended for its own 2. stating in clear terms the reason for the
protection. decision
3. applicant union must be furnished a copy
REVOCATION OF CHARTER BY THE of said decision
FEDERATION - by serving the local/chapter a ART. 238. CANCELLATION OF
verified notice of revocation, copy furnished REGISTRATION; APPEAL
the Bureau on the ground of disloyalty or
such other grounds as may be specified in its The certificate of registration of any
constitution or by-laws. legitimate labor organization shall be
cancelled by the BLR if it has reason to
believe, after due hearing, that the said
labor organization no longer meets one or
more of the requirements prescribed by law.
The revocation shall divest the local
chapter of its legal personality upon
GROUNDS FOR CANCELLATION:
receipt of the notice by the Bureau,
1. Failure to comply with any of the
unless in the meantime the local
requirements prescribed under Arts.
chapter has acquired independent
234 (requirements for registration
registration. (Rule VIII Section 5 of
of a labor union) & 237 (addl. reqts.
the IRR)
federation registration) of the Code.

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
San Beda College of Law 20

MEMORY AID IN LABOR LAW

2. Violation of any of the provisions of


Art. 239 (grounds for cancellation of
union registration) of the Code
EFFECT OF CANCELLATION OF
3. Commission of any of the acts REGISTRATION IN THE COURSE OF
enumerated under Art. 241 (rights PROCEEDINGS
and conditions of membership) of - Where a labor union is a party in a
the code- No petition for proceeding and later it loses its registration
cancellation based on this ground permit in the course or during the pendency
0may be granted unless supported of the case, such union may continue as a
by at least 30% of all the members party without need of substitution of parties,
of the respondent labor organization subject however to the understanding that
or workers association. whatever decision may be rendered therein
will be binding only upon those members of
A pronouncement as to the the union who have not signified their desire
illegality of the strike is not to withdraw from the case before its trial and
within the meaning of Art. decision on the merits. [Principle of Agency
239 of the Code which appliedthe employees are the principals,
provides for the grounds for and the labor organization is merely an agent
cancellation of union of the former, consequently, the cancellation
registration. 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 CANCELLATION
OF UNION REGISTRATION

GROUNDS FOR CANCELLATION OF UNION


REGISTRATION:

A. FRAUDULENT ACTS

1. Misrepresentation, False statement or


Fraud in connection with [RATIFICATION
MODES OF APPEAL OF CONSTI/BY-LAWS]:

4. DENIAL or CANCELLATION BY: a. the ADOPTION OR RATIFICATION of


5. the constitution and by-laws or
6. A. Regional Office amendments thereto,
transmit records within 24 b. the MINUTES of ratification, and
hours from receipt of Memo of c. the LIST OF MEMBERS who took
part in the ratification.
Appeal
BUREAU decides within 20 2. Misrepresentation, false statement or
days from receipt of records fraud in connection with the [ELECTION
SUPREME COURT- Rule 65 PAPERS]:
B. Bureau
transmit records within 24 a. ELECTION of officers,
hours from receipt of memo b. MINUTES of the election of officer
of appeal and the list of voters, or
c. failure to submit these documents
SEC. OF DOLE decides within together with the list of the newly
20 days from receipt of elected/appointed officers and their
records postal addresses within 30 days from
SUPREME COURT- Rule 65 election

*Appeal by memo of appeal 16. B. INACTION OR OMISSION


within 10 days from receipt of
notice. 1. Failure to submit the following documents
[RATIFICATION OF CONSTI/BY-LAWS]:
GROUNDS: a. the adoption or ratification of
1. Grave abuse of discretion
2. Violation of rules as
amended.
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
San Beda College of Law 21
B. FOR:
1. Federations
MEMORY AID IN LABOR LAW
2. National or Industry unions
3. Trade union centers
the constitution and by-laws or of Art. 239, LC
amendments thereto, WHERE TO FILE
b. the minutes of ratification, and - Bureau Director ( 30 days to
the list of members who took part decide)
in the ratification
*Within 30 days from adoption or
ratification of the constitution and by- WHO MAY FILE
laws or amendments thereto. - Only the members of the
2. Failure to submit the Annual Financial Labor Organization concerned
report to the Bureau within 30 days after if grounds are actions
the closing of every fiscal year and involving violations of Art.
misrepresentation, false entries and 241, subject to the 39% rule
fraud in the preparation of the financial
report itself;
3. Failure to submit a LIST OF INDIVIDUAL REPORTING REQUIREMENTS OF LABOR
MEMBERS of the Bureau once a year or UNIONS AND WORKERS ASSOCIATIONS (Rule
whenever required by the Bureau; and V DO 40-03)
4. Failure to comply with the - It shall be the duty of every legitimate
REQUIREMENTS UNDER ARTICLES 237. labor union and workers association to
submit to the Regional Office or Bureau
17. C. UNLAWFUL ACTS which issued its certificate of registration or
1. Acting as a labor contractor or engaging in certificate of creation of chartered local, as
the CABO SYSTEM, or otherwise the case may be, two (2) copies of each of
engaging in any activity prohibited by the following documents:
law; a. any amendment to its constitution
2. Entering into collective bargaining and by-laws and the minutes of
agreements which provide terms and adoption or ratification of such
conditions of employment below amendments, within 30 days from its
minimum standard established by law adoption or ratification;
[CBA-BELOW MINIMUM STANDARDS]; b. annual financial reports within 30
(Sweetheart Agreements) days after the close of each fiscal or
3. Asking for or ACCEPTING ATTORNEYS calendar year;
FEES OR NEGOTIATION FEES from the c. updated list of newly-elected
employers; officers, together with the
4. Other than for mandatory activities under appointive offices or agents who are
this Code, checking off special entrusted with the handling of
assessment or any other fees without funds, within 30 days after each
duly signed individual written regular or special election of
authorization of the members officers, or from the occurrence of
[UNLAWFUL ASSESSMENTS]; any change in the officers of agents
of the labor organization or workers
CANCELLATION OF REGISTRATION association
A. FOR: d. updated list of individual members
1. Legitimate individual labor union. of chartered locals, independent
2. Chartered local unions and workers associations
3. Workers association within 30 days after the close of
each fiscal year; and
WHERE TO FILE e. updated list of its chartered locals
Regional Director who has and affiliates or member
jurisdiction over the place where organizations, CBAs executed and
respondent principally operates (30 their effectivity period, in the case
days to decide). of federations or national unions,
within 30 days after the close of
WHO MAY FILE each fiscal year, as well as the
- Any party in interest, if ground is: updated list of their authorized
a. Failure to comply with any of the representatives, agents or
requirements under Arts. 234, 237 signatories in the different regions
and 238 LC of the country.
b. Violation of any provision under
Art. 239, LC RULES ON ADMINISTRATIVE
Take note of the cancellation CANCELLATION OF CERTIFICATE OF
proceedings if violation is D and J REGISTRATION OF LLOs DUE TO NON-

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
San Beda College of Law 22

MEMORY AID IN LABOR LAW

COMPLIANCE WITH THE REPORTORIAL the cancellation of


REQUIREMENTS: registration of the labor
18. organization AND cause its
19. WHE Failure to comply with its de-listing from the roster of
N PROPER legal duty to submit the legitimate labor
documents required to be organizations
submitted under Rule V of
DO 40-03 for 5 consecutive
years 1. CHAPTER II

WHO MAY 1. Motu propio by the RIGHTS AND CONDITIONS OF MEMBERSHIP IN


FILE THE Bureau A LABOR ORGANIZATION
PETITION 2. Any party-in-interest
1st Notice 2. ART.
THREE- Bureau shall send by 241. RIGHTS AND CONDITIONS OF
NOTICE registered mail with return MEMBERSHIP IN A LABOR ORGANIZATION
REQUIREM card notice for compliance
ENT indicating the documents it GENERAL GROUPINGS OF THE RIGHTS OF
failed to submit and the THE UNION MEMBERS:
corresponding period in
which they were required, 1. Political right - the right to vote and be
with notice to comply with voted for, subject to lawful provisions on
the said reportorial qualifications and disqualifications.
requirements and to submit
proof thereof to the Bureau 2. Deliberative and Decision-Making Right
within 10 days from receipt - the right to participate in deliberations
thereof on major policy questions and decide
2nd Notice them by secret ballot.
Where no response is
received by the Bureau 3. Rights Over Money Matters - the right of
within 30 days from the the members:
release of the 1st notice,
another notice for a. against imposition of excessive fees;
compliance shall be made b. right against unauthorized collection
by the Bureau, with warning of contributions or unauthorized
that failure on its part to disbursements;
comply with the reportorial c. to require adequate records of
requirements within the income and expenses;
time specified shall cause d. to access financial records;
the continuation of the e. to vote on officers compensation;
proceedings for the f. to vote on special assessment;
administrative cancellation g. to be deducted a special assessment
of its registration only with the members written
3rd Notice authorization.
Where no response is again
received by the Bureau 4. Right to Information - the right to be
within 30 days from release informed about:
of the 2nd notice, the Bureau a. the organizations constitution
shall cause the publication and by- laws,
of the notice of cancellation b. the collective bargaining
of registration of the labor agreement, and labor laws.
organization in 2
newspapers of general Any violation of the above rights and
circulation. conditions of membership shall be a
ground for cancellation of union
When no response is registration or expulsion of an
received by the Bureau officer from office, whichever is
within 30 days from the appropriate. At least 30% of all the
date of publication or when members of the union or any
the Bureau has verified the member or members specifically
dissolution of the labor concerned may report such violation
organization, it shall order to the Bureau.

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
San Beda College of Law 23

MEMORY AID IN LABOR LAW

c.
PERSONS WHO ARE PROHIBITED FROM the purpose of the assessment or
BECOMING MEMBERS/OFFICERS OF A LABOR fees
ORGANIZATION UNDER THE LABOR CODE
(see also notes under Art. 243 on persons who The record shall be attested by the
are not granted the right to self- President.
organization):
Substantial compliance to the
1. Subversives or those engaged in aforementioned procedure is not
subversive activities [Art.241 (e)] enoughthe requirements must be
2. Persons who have been convicted of a strictly complied with in view of the
crime involving moral turpitude shall fact that the special assessment will
not be eligible for election as union diminish the compensation of union
officer or for appointment to any members. (Palacol et. al vs. Ferrer-
position in the union. [Art. 241 (f)] Calleja et. al)
In general, a union is free to select CHECK-OFF - a method of deducting from
its own members, and no person has an employees pay at prescribed period, the
an absolute right to membership in a amounts due to the union for fees, fines or
union. assessments.
LIMITATIONS [see discussion on union
security arrangements under Art. 248]: NATURE AND PURPOSE OF CHECK-OFF:
to facilitate the collection of dues
a. The labor org. cannot compel employees
necessary for the unions life and
to become members of their labor
sustenance.
organization if they are already
member of rival union.
Union dues are the lifeblood of the
b. persons mentioned in Art. 241(e) union.
[subversives] of the labor code are
prohibited from becoming a member a REQUIREMENTS WITH REGARD TO CHECK-
labor organization. OFFS (Art. 241 [o]):

c. members of religious organization - NO special assessment, attorneys fees,


whose religion forbade membership in registration fees or any other extraordinary
labor organization could not be fees may be checked off from any amount
compelled into union membership. due an employee WITHOUT an individual
written authorization duly signed by the
REQUIREMENTS IN MAKING SPECIAL employee.
ASSESSMENTS or OTHER EXTRAORDINARY
FEES (Art. 241 [n]): The authorization should specifically state
the:
1. there must be a WRITTEN
RESOLUTION a. amount
2. he resolution must have BEEN b. purpose and the beneficiary of
APPROVED BY A MAJORITY of all the the deduction.
members
Jurisdiction over check-off disputes is with
3. the approval must be AT A GENERAL the Regional Director of the DOLE, not the
MEMBERSHIP MEETING DULY called for Labor Arbiter
that purpose
union dues vs. Agency fee
The secretary of the organization 1. 2.
shall record the minutes of the UNION DUES AGENCY FEE
meeting including: a. DEDUCTED FROM - non-members of the
- members of a bargaining agent
a. union for the (union) for the
the list of all members present, payment of union enjoyment of the
b. dues. benefits under the
the votes cast, and CBA.
b. CONSENT - May be deducted

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
San Beda College of Law 24

MEMORY AID IN LABOR LAW

- May not be from the salary of 2. (Union Dues)


deducted from the employees without a. HOW APPROVED -by obtaining the
salaries of the union their consent. -by written individual written
members without resolution approved authorization duly
the written consent by majority of all signed by the
of the workers the members at a employee which
affected meeting duly called must specify:
for that purpose a. amount
Agency fee cannot be imposed on b. purpose and
employees already in the service and are c. beneficiary of
members of another union. If a closed shop the deduction.
agreement cannot be applied to them, 3. (Agency Fees)
neither may an agency fee, as a lesser form b. EXCEPTION TO -not necessary if:
of union security, be imposed to them. SUCH 1. For mandatory
(NABAILU vs. San Miguel Brewery Inc) REQUIREMENT activities provided
-no exception under the Code;
written resolution is and
EXCEPTION TO THE REQUIREMENT OF mandatory at all 2. When non-
INDIVIDUAL WRITTEN AUTHORIZATION: instances. members of the
union avail of the
1. For mandatory activities provided under benefits of the CBA.
the Code; and Said non-members
may be assessed
2. When non-members of the union avail of agency fees
the benefits of the CBA. equivalent to that
paid by members
- said non-members may be assessed only by a Board
union dues equivalent to that paid by Resolution approved
members by majority of the
members in a
- only by a Board Resolution approved general meeting
by majority of the members in a general called for the
meeting called for the purpose purpose.

Will the employees-members of another 1. CHAP


union not be considered as free riders? TER III

No since when the union bids to be the RIGHTS OF LEGITIMATE LABOR


bargaining agent, it voluntarily assumes the ORGANIZATIONS
responsibility of representing all employees 2.
in the appropriate bargaining unit.
3. ART.
SPECIAL ASSESSMENT vs. CHECK-OFF 242.
SPECIAL 3. RIGHTS
ASSESSMENTS CHECK-OFF OF
LEGITIMA
TE LABOR
ORGANIZ
ATIONS

RIGHTS OF A LEGITIMATE LABOR


ORGANIZATION [USERFOE]:

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

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
San Beda College of Law 25

MEMORY AID IN LABOR LAW

5.
6.
TITLE V PERSONS/EMPLOYEES ELIGIBLE TO JOIN A
LABOR ORGANIZATION FOR MUTUAL AID
COVERAGE AND PROTECTION (AIRSIW):
1. Ambulant,
4. ART. 243. COVERAGE AND 2. Intermittent,
EMPLOYEES RIGHT TO SELFORGANIZATION 3. Rural,
4. Self-employed people
4. 5. Itinerant workers and
PERSONS/EMPLOYEES ELIGIBLE TO JOIN A 6. Workers without any definite
LABOR ORGANIZATION FOR PURPOSES OF employers,
COLLECTIVE BARGAINING: PERSONS/EMPLOYEES WHO ARE NOT
GRANTED THE RIGHT TO SELF-
1. All persons employed in commercial, ORGANIZATION: (HEMACEN)
industrial and agricultural (CIA)
enterprises, and 1. High-level government employees (E.O.
180 Sec. 3) (MANAGERIAL GOVERNMENT
2. In religious, charitable, medical or EMPLOYEES)
educational (RCME) institutions
whether operating for profit or not 2. Employees of international organizations
with immunities (ICMC vs. Calleja)

3. Managerial employees
whose functions are normally
GOVERNMENT OWNED GOVERNMENT considered as policy-making or
OR CONTROLLED OWNED OR managerial
CORPORATIONS WITH CONTROLLED whose duties are of a highly
AN ORIGINAL CHARTER CORPORATIONS confidential or highly technical in
WITHOUT nature (212 LC)
ORIGINAL
CHARTER 4. Members of the Armed Forces of the
a. LAW Philippines, including police officers,
- Employees cannot - The GOCC is policemen, firemen and jail guards (E.O.
stage strikes since they created under 180 Sec. 4);
are governed by the Corporation Code,
Civil Service Law. They then employees are 5. Confidential employees (Metrolab
are enjoined by Civil covered by the Labor vs. Confesor)
Service Memorandum Code. Therefore
Circular No. 6, under the employees have 6. Employees of cooperatives who are
pain of administrative the same rights as members (Benguet Elec. Coop. vs
sanctions from staging those as employees Calleja)
strikes, demonstrations, of private
mass leaves, walkouts corporations, one of 7. Non-Employees (Rosario Bros. vs
and other concerted which is the right to Ople)
activities. strike.
b. BARGAINING RIGHTS Foreigners validly working in the
- Corporations with Philippines [with permit from DOLE] can
original charters - The GOCC is form labor organizations, provided the same
cannot bargain with created under right to form, join or assist in the formation
the government Corporation Code, of labor unions is also given to Filipinos in
concerning the being governed by their country of origin. This embodies the
terms and conditions the Labor Code, they principle of reciprocity.
of their can bargain with the
employment. government MAY SECURITY GUARDS FORM A LABOR
However, they can concerning the terms ORGANIZATION?
negotiate with the and YES. Under RA 6715, they may now freely
government on conditions of join a labor organization of the rank-and-file
those terms and their employment. or that of the supervisory union, depending
conditions of Thus, they have on their rank. (Meralco vs. Secretary of
employment which unlimited bargaining Labor)
are not fixed by law. rights.
Thus, they have
limited bargaining
rights.
LABOR LAW COMMITTEE
c.PURPOSE
CHAIRPERSONOF: Francis Benedict Rotutar ASSISTANT CHAIRPERSON: Juanito Lim, Jr. SUBJECT HEADS: Aimee Roselle
Sabilala(Labor Standards), Elsa Villaflor(Labor
ORGANIZATION Relations),
- Can form, join or Maria Fe Taal (Special Laws) EDP: Flora Sherry
Basquiez
-Can
ASST.only
EDPSform, join
: Jennifer or assist
Trinidad, labor Isip, Emil Bien Ongkiko, Kareen Faye Pioquinto
Ma. Jasmine
assist labor organization organization for
for purposes not contrary purposes of CBA, etc.
to law.
San Beda College of Law 26

MEMORY AID IN LABOR LAW

f. penalties imposed as a result of


2. EXTENT OF THE RIGHT TO
disciplinary actions
SELF-ORGANIZATION
g. selection of personnel to attend
1. To form, join and assist labor organizations
seminar, trainings, study
for the purpose of collective bargaining
grants
through representatives of their own
h. distribution of work load
choosing and
i. external communication linkages
2. To engage in lawful concerted activities
for the same purpose- for their mutual aid Government employees and
and protection. employees of government-owned
and controlled corporations with
ART. 244. RIGHTS OF EMPLOYEES IN THE original charters may bargain,
PUBLIC SERVICE however, such bargaining power is
limited.
THE FOLLOWING ARE CONSIDERED
NEGOTIABLE IN GOCCs WITH ORIGINAL NOTE: The Public Sector Labor Management
CHARTER: Council (PSLMC), created by E.O. 180 has
1. schedule of vacation and other jurisdiction to hear charges of ULP filed by
leaves government employees against their
2. work assignment of pregnant women employer.
3. personnel growth and development
4. communication system lateral and REASONS WHY EMPLOYEES IN GOCCs
vertical INCORPORATED UNDER THE CORPORATION
5. provision for protection and safely CODE ARE ALLOWED TO ORGANIZE:
6. provision for facilities for 1. they are not involved in public service
handicapped personnel 2. terms of employment are not fixed by
7. provision for first-aid medical law
services for married women 3. they are governed by the provisions of
8. annual medical/physical the Labor Code not by the Civil Service
examination Law
9. recreational, social, athletic and
cultural activities and facilities (Rules ART. 245. INELIGIBILITY OF MANAGERIAL
implementing WO 180) EMPLOYEES TO JOIN ANY LABOR
ORGANIZATION; RIGHT OF SUPERVISORY
THE FOLLOWING ARE CONSIDERED NOT EMPLOYEES.
NEGOTIABLE:
MANAGERIAL EMPLOYEE - one who is
1. Those which require appropriation of vested with powers or prerogatives to lay
funds, such as: down and execute management policies
and /or to hire, transfer, suspend, lay-off,
a. increase in salary emoluments recall, discharge, assign or discipline
and other allowance not employees.
presently provided for by law
b. facilities requiring capital MANAGERIAL EE under LS and LR
outlays Managerial Employees Managerial
c. car plan under Labor Standards Employees under
d. provident fund Labor Relations
e. special hospitalization, medical a. POWERS/DUTIES
and dental services - primary duty consists - See definition
f. rice/sugar/other subsidies of the management of above
g. travel expenses the establishment in
h. increase in retirement benefits which they are employed
or of a department or
2. Those that involve the exercise of subdivision
management prerogatives, such as: b. EXTENT - does not include
- includes the officers the managerial
a. appointments and members of the staff since they are
b. promotion managerial staff classified as
c. assignments/details supervisory
d. reclassification/upgrading of employees [who
position may/may not be
e. revision of compensation eligible to join a
structure labor union with

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
San Beda College of Law 27

MEMORY AID IN LABOR LAW

the rank and file has a rank and file or managerial status.
employees] (Engineering Equipment, Inc. vs. NLRC)
c. PURPOSE OF - to determine an
DEFINITION employees MAY THEY AFFILIATE WITH A FEDERATION
- to determine w/n eligibility in OF LABOR ORGANZATIONS OF RANK AND
certain employees are joining/forming a FILE EMPLOYEES?
covered by Book III of labor union.
the LC on Conditions of YES. Provided that:
Employment. a. the federation is not actively involved
in union affairs in the company; and
Reason for ineligibility in the collective b. the rank and file employees are not
bargaining process, managerial employees directly under the control of the
are the alter ego of the employers and thus supervisors (Adamson vs. Adamson)
they are supposed to be on the side of the
employer to act as its representatives, and EFFECT OF HAVING MIXED MEMBERSHIP
to see to it that its interests are well A union whose membership is a mixture of
protected. The employer is not assured of the supervisors and the rank and file is not
such protection if these employees are union and cannot become a legitimate labor
members. organization. It cannot petition for a
In the same manner, the labor union certification election, much less ask to be
might not be assured of their recognized as the bargaining representative
loyalty to the union in view of the of employees.
evident conflict of interest.
The union can also become CONFIDENTIAL EMPLOYEES - by the very
company-dominated with the nature of their functions, they assist and act
presence of managerial employees in a confidential capacity to, or, have
in Union Membership (Bulletin access to confidential matters of persons
Publishing Co. Inc. vs. Hon. Augusto who exercise managerial functions in the
Sanchez). field of labor relations. Therefore, the
rationale behind the ineligibility of
SUPERVISORY EMPLOYEES - those who, in managerial employees to form, assist or join
the interest of the employer, effectively a labor union equally applies to them.
recommend such managerial actions if the (Philips Industrial Devt Inc. Vs. NLRC)
exercise of such authority is not merely
routinary or clerical in nature but requires - they are entrusted with confidence on
the use of independent judgment. delicate matters, or with the custody,
handling, or care and protection of the
MAY SUPERVISORY EMPLOYEES FORM, employers property. Under the doctrine of
ASSIST, JOIN A LABOR ORGANIZATION? necessary implication, confidential
employees are similarly disqualified under
YES, on their own and NOT with the rank- Article 245. (Republic Planters Bank vs.
and-file employees (RA 6715). Torres)
NOTE: The phrase in the field of labor
The TEST IS: Do they exercise relations is important. It stresses labor
independent judgment which is not nexus, i.e., confidentiality of the position is
subject to evaluation of other related or linked to labor relations matters.
department heads/other superiors? Access to information which is
If in the affirmative, then they may- regarded by the employer to be
must form a labor organization of confidential from the business
their own [separate from the rank standpoint, such as financial
and file employees] information or technical trade
If their responsibilities do not secrets, will not render an employee
inherently require the exercise of a confidential employee. (SMC
discretion and independent Supervisors & Exempt Union vs. Hon.
judgment [or merely Laguesma, et al.)
routinary/clerical in nature] then Confidentiality is not a matter of
they may join the union composed official rank, it is a matter of job
of the rank and file employees. content and authority. It is not
measured by closeness to or
NOTE: It is the nature of the employees distance from top management, but
functions and not the nomenclature or title by the significance of the
given to his job which determines whether he

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
San Beda College of Law 28

MEMORY AID IN LABOR LAW

jobholders role in the pursuit of 2 ELEMENTS OF UNFAIR LABOR


corporate objectives and strategies. PRACTICE:
Every managerial position is
confidential because one does not 1. employer-employee relationship
become a manager without having between the offender and the
gained the confidence of the offended
appointing authority. But not every 2. act done is expressly defined in the
confidential employee is managerial; Code as an act of unfair labor
he may be a supervisory or even a practice
rank-and-file employee. 3. it is now considered a criminal
offense triable by the criminal court

ART. 246. NON-ABRIDGEMENT OF THE NOTE: Prohibited acts are all related to the
RIGHT TO SELF-ORGANIZATION workers' self-organizational right and the the
observance of a CBA, except Art. 248 (f)
THE RIGHT TO SELF-ORGANIZATION SHALL dismissing or prejudicing an employee for
NOT BE ABRIDGED MEANS: giving testimony under the Code.

It shall be unlawful for any person to: ULP has a technical meaning.
It is a practice unfair to labor,
a. restrain, although the offender may either be
b. coerce, an employer or a labor organization
c. discriminate against, or It refers to acts opposed to workers'
d. unduly interfere right to organize. Without this, the
act, no matter how unfair, is not ULP.
- with employees and workers in their It commonly connotes anti-
exercise of the right to self-organization. unionism.
It also refers to gross violation of
Any act intended to weaken or CBA provisions. Gross means the act is
defeat the right is regarded by law malicious and flagrant.
as an offense, which is technically
called unfair labor practice. 2 ASPECTS OF UNFAIR LABOR PRACTICE:
TITLE VI CIVIL CASE CRIMINAL CASE
A. PERSONS LIABLE
UNFAIR LABOR PRACTICES
1. Officers and 1. Agents and officers
CHAPTER I agents of who participated or
employer or authorized or ratified
CONCEPT 2. Labor the act.
organization, 2. Agents,
officers and representatives, members
agents of the government board,
1. including ordinary
ART. 247. UNFAIR LABOR PRACTICES members
B. JURISDICTION
NATURE OF UNFAIR LABOR PRACTICES:
-Labor Arbiters of -MTC/RTC as the case
1. VIOLATE THE CONSTITUTIONAL RIGHT the NLRC may be.
of workers and employees to self- C. QUANTUM OF PROOF NEEDED
organization; -substantial -beyond reasonable doubt
2. are INIMICAL TO THE LEGITIMATE evidence [subject to prosecution
INTERESTS of both and punishment]
labor and management, including their
right to bargain collectively and D. PRESCRIPTIVE PERIOD
otherwise deal with each other in an
atmosphere of freedom and mutual
respect
3. DISRUPT INDUSTRIAL PEACE; and
4. hinder the promotion of healthy and
stable labor-management relations and
mutual respect [LABOR-MNGT
RELATIONS-UNSTABLE];

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
San Beda College of Law 29

MEMORY AID IN LABOR LAW

- one year from - one year from the tends to interfere with the free exercise of
the accrual of the accrual of the ULP act, the employees' right and it is not necessary
ULP act. however it will be that there be direct evidence that any
suspended once the employee was in fact intimidated or coerced
administrative case has by the statements of threats or the employer
been filed and would only if there is a reasonable interference that the
continue running once the anti-union conduct of the employer does
administrative case has have an adverse effect of self-organization
attained finality. and collective bargaining.
Final judgment in the
administrative 2. TO REQUIRE AS A CONDITION FOR
proceeding finding that EMPLOYMENT THAT A PERSON OR AN
ULP has been committed EMPLOYEE
is a prerequisite in filing - shall not join a labor
a criminal case for ULP organization or
NOTE: Final judgment in - shall withdraw from one to
the administrative which he belongs;
proceedings shall not be
binding in the criminal YELLOW DOG CONTRACT - A promise
case nor shall be exacted from workers as a condition of
considered as an employment that they are not to belong to,
evidence of guilt but or attempt to foster, a union during their
merely as a proof of period of employment. It is null and void
compliance of the because:
requirements prescribed - It is contrary to public policy for it
by the Code. is tantamount to involuntary servitude.
2. CHAPTER II - It is entered into without
consideration for employees in waiving
UNFAIR LABOR PRACTICES their right to self- organization
OF EMPLOYERS - Employees are coerced to sign
contracts disadvantageous to their
family.
2. ART Does Art. 248 (3) mean that an employer
248. ULP THAT MAY BE COMMITTED BY AN cannot contract out work?
EMPLOYER (1-10)
20. NO. Contracting out services is not ULP
per se. It is ULP only when the following
1. To INTERFERE WITH, RESTRAIN OR conditions exist:
COERCE EMPLOYEES 1. the service contracted- out are
- in the exercise of their right to being performed by union
self-organization; members; and
2. such contracting-out interferes
INTERFERENCE with, restrains, or coerce
employees in the exercise of
Examples: their right to self-organization.
- outright and unconcealed intimidation
- interrogation HOWEVER, when the contracting-out is being
employer must communicate to the done to minimize expenses, then it is a valid
employee the purpose of questioning exercise of management prerogative.
1. assure him that no reprisal would
take place 3. To CONTRACT OUT SERVICES OR
2. obtain employee participation FUNCTIONS BEING PERFORMED BY
voluntarily UNION MEMBERS
3. must be free from employer hostility - when such will interfere with,
to union organization restrain or coerce employees in the
4. must not be coercive in nature - exercise of their right to self-
-intimidating expressions of opinion by organization;
employer
4. To INITIATE, DOMINATE, ASSIST OR
TEST OF INTERFERENCE OR COERCION - OTHERWISE INTERFERE
whether the employer has engaged in - with the formation or administration of
conduct which it may reasonably be said any labor organization,

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
San Beda College of Law 30

MEMORY AID IN LABOR LAW

- including the giving of financial or employees at the old plant because of their
other support to it or its organizers or union activities.
officers; (Formation of Company
Union) COMPANY UNIONISM
1. Initiation of the company union idea
5. To DISCRIMINATE IN REGARD TO WAGES, by:
hours of work, and other terms and a. outright formation by
conditions of employment in order to employer or his
encourage or discourage membership representatives
in any labor organization. b. employee formation on
outright demand or influence
TEST OF DISCRIMINATION- whenever by employer
benefits or privileges given to one is not c. managerially motivated
given to the other under similar or identical formation by employees
conditions when directed to encourage or 2. financial support to the union by:
discourage union membership (see more a. employer defrays union
discussions below) expenses
b. pays attorney's fees to the
6. To DISMISS, DISCHARGE OR attorney who drafted the
OTHERWISE PREJUDICE OR Constitution or by laws of the
DISCRIMINATE against an employee union
- for having given or being about to 3. employer encouragement and
give testimony under this Code; (The assistance by immediate granting of
only ULP act which is not anti- exclusive recognition as bargaining
unionism) agent without determining whether
the union represents majority of the
DISCRIMINATION BECAUSE OF TESTIMONY employees
TEST: the subject matter of the 4. supervisory assistance by soliciting
testimony can be anything under the membership, permitting union
Code activities during work time or coercing
what is ULP is the employer's employees to join the union by threats
retaliatory act regardless of the of dismissal or demotion.
subject of employee's complaint or
testimony DISCRIMINATION FOR OR AGAINST UNION
MEMBERSHIP
7. TO VIOLATE THE DUTY TO BARGAIN
COLLECTIVELY AS PRESCRIBED BY THIS TEST OF DISCRIMINATION: That the
CODE; discharge of an employee was motivated by
his union activity. Such inference must be
8. TO PAY NEGOTIATION OR ATTORNEYS based on evidence, direct or circumstantial,
FEES TO THE UNION OR ITS OFFICERS OR not upon mere suspicion.
AGENTS
- as part of the settlement of any CONSTRUCTIVE DISCHARGE - ULP where
issue in collective bargaining or any employer prohibits employees from
other disputes; or exercising their rights under the Code, on
pain of discharge, and the employee quits as
9. To VIOLATE A COLLECTIVE a result of the prohibition
BARGAINING AGREEMENT.(GROSSLY!)
- the violation must be gross and with THREE COMPONENTS OF ART. 248(5)
respect to the economic provision of (DISCRIMINATION):
the CBA (flagrant and with malice)
All the aforementioned acts (Nos. 1-9) 1. It prohibits discrimination in terms
must have a relation to the employees and conditions of employment in order
exercise of their to self-organization. to encourage or discourage
Anti-union or anti-organization motive membership in the union;
must be proved because it is a 2. It gives validity to union security
definitional element of ULP. agreements;
RUNAWAY SHOP - an industrial plant 3. It allows an agency shop arrangement
moved by its owners from one location to whereby agency fees may be collected
another to escape union labor regulations or from non-union members.
state laws or to discriminate against

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
San Beda College of Law 31

MEMORY AID IN LABOR LAW

SECURITY ARRANGEMENTS - stipulations


in the CBA requiring membership in the 3. MAINTENANCE OF MEMBERSHIP CLAUSE
contracting union as a condition for - the agreement DOES NOT require non-
employment or retention of employment in members to join the contracting union BUT
the company. provides that those who are members thereof
at the time of the execution of the CBA and
those who may thereafter on their own
PRINCIPLES OF UNION SECURITY volition become members must for the
ARRANGEMENTS: duration of the agreement maintain their
1. Protection - To shield union members membership in good standing as a condition
from whimsical and abusive exercise of for continued employment in the company
management prerogatives. for the duration of the CBA.
2. Benefits - An additional membership will
insure additional source of income to the 4. PREFERENTIAL SHOP AGREEMENT an
union in the form of union dues and agreement whereby the employer merely
special assessment. agrees to give preference to the members of
3. Self-preservation- It strengthens the union the bargaining union in hiring, promotion or
through selective acceptance of new filing vacancies and retention in case of lay-
members on the basis of commitment and off. The employer has the right to hire from
loyalty. the open market if union members are not
available.
DIFFERENT KINDS OF UNION SECURITY
ARRANGEMENTS: (EXCEPTIONS TO ULP ON 5. AGENCY SHOP AGREEMENT - an
INTERFERENCE ON THE EMPLOYEES agreement whereby employees must either
EXERCISE OF THEIR RIGHT TO SELF- join the union or pay to the union as
ORGANIZATION) exclusive bargaining agent a sum equal to
1. CLOSED-SHOP AGREEMENT - the that paid by the members.
employer undertakes not to employ any
individual who is not a member of the
This is directed against FREE
contracting union and the said individual
RIDER employees who benefit
once employed must, for the duration of the
from union activities without
agreement, remain a member of the union in
contributing support to the union, to
good standing as a condition for continued
prevent a situation of non-union
employment.
members enriching themselves at
- does not have any retroactivity
the expense of union members.
- apply only to new hires
Employee members of
EXCEPTIONS:
another/rival union are not
a. employees belonging to any religious
considered free riders since when
sect which prohibit affiliation of their
the union [agent] bids to be the
members with any labor organization are
bargaining agent, it voluntarily
not covered by such agreementThe free
assumed the responsibility of
exercise of religious belief is superior to
representing all the employees in
contract rights (Victoriano vs. Elizalde
the appropriate bargaining unit.
Rope Workers).
b. members of the rival union are not
covered by such arrangement.
REQUIREMENTS FOR A VALID
TERMINATION BY THE EMPLOYER OF THE
SEMI-CLOSED SHOP AGREEMENT- has no
SERVICES OF AN EMPLOYEE PURSUANT TO
requirement for the employee to remain as
A UNION OR CLOSED-SHOP AGREEMENT:
member of the contracting union in good
standing as a condition for continued
1. The agreement must be expressed in a
employment.
CLEAR AND UNEQUIVOCAL way so as not
to leave room for interpretation because
2. UNION SHOP AGREEMENT -stipulation
it is a limitation to the exercise of the
whereby any person can be employed by the
right to self-organization.
employer but once employed such employee
must, within a specific period, become a Any doubt must be resolved against
member of the contracting union and remain the existence of a closed-shop
as such in good standing for continued agreement.
employment for the duration of the CBA
[take note of the exceptions in the preceding
number.]

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
San Beda College of Law 32

MEMORY AID IN LABOR LAW

2. The agreement can only have 2. Labor organization, officers and


PROSPECTIVE APPLICATION and cannot agents
be applied retroactively. 3. Agents and officers who participated
or authorized or ratified the act.
3. It can only be exercised by giving the FEATHERBEDDING - refers to the
employee his right to DUE PROCESS. practice of the union or its agents in causing
- The employer has the right to satisfy or attempting to cause an employer to pay or
himself that there are sufficient deliver or agree to pay or deliver money or
bases for the request of the union. other things of value, in the nature of
- The termination of the services of exaction, for services which are not
the employee is not automatic upon performed or not to be performed, as when a
the request of the union. union demands that the employer maintain
personnel in excess of the latters
4. It cannot be applied to employees who requirements.
are already MEMBERS OF THE RIVAL It is not featherbedding if the work
UNION or to the employees based on is performed no matter how
their religious beliefs. unnecessary or useless it may be.

CHAPTER III SWEETHEART DOCTRINE considers it


ULP for a labor organization to ask for or
UNFAIR LABOR PRACTICES OF LABOR accept negotiation or attorneys fees from
ORGANIZATIONS the employer in settling a bargaining issue or
ART. 249. UNFAIR LABOR PRACTICES OF dispute
LABOR ORGANIZATIONS
resulting CBA is considered a
a. To RESTRAIN OR COERCE employees in sweetheart contract a CBA that
the exercise of their right to self- does not substantially improve the
organization. However, a labor employees wages and benefits.
organization shall have the right to
prescribe its own rules with respect to
the acquisition or retention of
membership; TITLE VII
b. To CAUSE OR ATTEMPT TO CAUSE AN
EMPLOYER TO DISCRIMINATE AGAINST COLLECTIVE BARGAINING AND
AN EMPLOYEE, including discrimination ADMINISTRATION OF AGREEMENTS
c. To VIOLATE THE DULY OR REFUSE TO
BARGAIN COLLECTIVELY with the ART. 250. PROCEDURE IN COLLECTIVE
employer provided that it is the BARGAINING
representative of the employees; 21. COLLECTIVE BARGAINING negotiation
d. TO CAUSE OR ATTEMPT TO CAUSE AN by an organization or group of workmen, in
EMPLOYER TO PAY OR DELIVER OR behalf of its members, with the employer,
AGREE TO PAY OR DELIVER ANY MONEY concerning wages, hours of work and other
or other things of value, in the nature of terms and conditions of employment and the
an exaction, for services which are not settlement of disputes by negotiation
performed or not to be performed, between an employer and the representative
including the demand for a fee for union of his employees.
negotiations; (This is called Negotiation towards a collective
FEATHERBEDDING) agreement.
e. To ASK FOR OR ACCEPT NEGOTIATION
OR ATTORNEYS FEES FROM The mechanics of collective bargaining is
EMPLOYERS as part of the settlement of set in motion only when the following
any issue in collective bargaining or any JURISDICTIONAL PRECONDITIONS are
other dispute; or present:
f. To GROSSLY VIOLATE A COLLECTIVE
BARGAINING AGREEMENT. 1. POSSESSION OF THE STATUS OF
- The violation must be gross and MAJORITY representation by the
must be with respect to economic employees representative in accordance
provisions of the CBA flagrantly and with any of the means of selection or
with malice. designation provided for by the Labor
Code;
PERSONS CIVILLY LIABLE FOR ULP:
1. Officers and agents of employer

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
San Beda College of Law 33

MEMORY AID IN LABOR LAW

2. proof of MAJORITY REPRESENTATION Requisites for registration:


(Certification of the BLR that the a. mandatory provisions
representative of the employees in the b. payment of P1, 000
sole and exclusive bargaining agent c. 5 copies of CBA
having won in a certification election); d. proof of ratification
and 7. ADMINISTRATION Process the CBA
3. a DEMAND TO BARGAIN under Article shall be jointly administered by the
250 (a) of the Labor Code. (Kiok Loy vs. management and the bargaining agent
NLRC) for a period of 5 years
8. INTERPRETATION AND APPLICATION
COLLECTIVE BARGAINING AGREEMENT Process
(CBA) - a negotiated contract between a 2.
legitimate labor organization and the
employer concerning:
3. MANDATORY PROVISIONS OF
THE CBA:
a. wages,
1. wages
b. hours of work, and
2. hours of work
c. all other terms and conditions
3. grievance machinery
of employment in a bargaining
4. voluntary arbitration
unit, including mandatory
5. family planning
provisions for grievances and
6. rates of pay
arbitration machineries.
7. mutual observance clause

1. PROCEDURE IN COLLECTIVE In addition, the Bureau requires that


BARGAINING the CBA should include a clear
statement of the terms of the CBA.
1. Written NOTICE with statement of
proposals Note: Employers duty to bargain is limited to
2. REPLY by the other party within 10 mandatory bargaining subjects; as to other
calendar days with counter proposals matters, he is free to bargain or not to
3. In case of differences, either party bargain.
may REQUEST FOR A CONFERENCE
which must be held within 10 days from ART. 252. MEANING OF DUTY TO
receipt of request. BARGAIN COLLECTIVELY
4. If not settled NCMB MAY INTERVENE
AND ENCOURAGE the parties to submit DUTY TO BARGAIN COLLECTIVELY - the
the dispute to a voluntary arbitrator performance of a mutual obligation:
5. If not resolved, the parties may go
to where they want AND RESORT TO a. to MEET AND CONVENE promptly and
ANY OTHER LAWFUL MEANS [either to expeditiously in good faith for the
settle the dispute or submit it to a purpose of negotiating an agreement
voluntary arbitrator]. with respect to wages, hours of work
During the conciliation and all other terms and conditions of
proceeding in the Board, the parties employment including proposals for
are prohibited from doing any act adjusting any grievances or questions
which may disrupt or impede the arising under such agreement and
early settlement of the disputes
(250[d] LC). b. EXECUTING A CONTRACT
8 STAGES IN THE NEGOTIATION FOR A incorporating such agreements if
COLLECTIVE BARGAINING AGREEMENT: requested by either party.
1. PRELIMINARY process - written notice
for negotiation which must be clear LIMITATIONS:
and unequivocal
2. NEGOTIATION Process 1. the duty to bargain collectively does not
3. EXECUTION Process signing of the compel any party to:
agreement a. agree to a proposal; or
4. PUBLICATION for at least 5 days before b. make a concession.
ratification No room for Take it or Leave it
5. RATIFICATION by the majority of all posture.
the workers in the bargaining unit
represented in the negotiation (not 2. the parties cannot stipulate terms and
necessary in case of arbitral award) conditions of employment which are below
6. REGISTRATION Process

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
San Beda College of Law 34

MEMORY AID IN LABOR LAW

the minimum requirements prescribed by 8. the demand for recognition and


law bargaining is made within the year following
a certification election in which the clear
(Meaning of duty to bargain when there exists choice was no union and no ad interim
a CBA, see discussion under Art. 253) significant change has taken place in the unit

Collective bargaining does not end 9. the union makes unlawful bargaining
with the execution of the demands
agreement. It is a continuous BARGAINING TO THE POINT OF DEADLOCK
process. The duty to bargain OR IMPASSE:
imposes on the parties during the
term of their agreement the mutual 1. over a mandatory subject - party may
obligation to meet and confer insist on bargaining and will not be construed
promptly and expeditiously and in as bargaining in bad faith
good faith for the purpose of
adjusting any grievances or question REASON: duty to bargain requires meeting
arising under such agreement. and convening on the terms and conditions of
(Republic Savings Bank vs. CA) employment but does not
require assent to the other party's proposals.
FOUR (4) FORMS OF ULP IN BARGAINING:
a. failure or refusal to meet and convene 2. over a non-mandatory subject - party
b.evading the mandatory subjects of may not insist on bargaining to the point of
bargaining impasse, otherwise, he will be construed as
c. bad faith in bargaining [boulwarism], bargaining in bad faith.
including failure or refusal to execute
the CBA, if requested EXAMPLE: The employer's insistence that the
d. gross violation of the CBA union should change its negotiator before
bargaining can proceed to the employees'
Do economic exigencies justify refusal to wage and benefits is an instance of bad-faith
bargain? bargaining because the composition of the
negotiating panel is not a mandatory subject
An employer has been held not guilty of of bargaining.
refusal to bargain by adamantly rejecting the
union's economic demands where he is Hence, if Party A insists on first settling a
operating at a loss, on a low profit margin, or non-mandatory subject before tackling a
in a depressed industry, as long as he mandatory subject, Party B may complain
continues to negotiate. But financial that Party A's posture is just an excuse to
hardship constitutes no excuse for refusing to avoid bargaining on the mandatory, essential
bargain collectively. subjects of bargaining; thus, Party B can
charge that Party A is bargaining in bad faith
ACTS NOT DEEMED REFUSAL TO BARGAIN: or is evading bargaining on terms and
1. adoption of an adamant bargaining conditions of employment - in short, Party A
position in good faith is committing ULP.

2. refusal to bargain over demands for NOTE: What the rule forbids is the posture
commission of ULP of making settlement of a non-mandatory
subject a pre-condition to the discussion or
3. refusal to bargain during period of illegal settlement of a mandatory subject.
strike
ART. 253. DUTY TO BARGAIN
4. there is no request for bargaining COLLECTIVELY WHEN THERE EXISTS A
COLLECTIVE BARGAINING AGREEMENT
5. union seeks recognition for an
inappropriately large unit 4. GENERAL RULE: When there
is an existing CBA, the duty to bargain
6. union seeks to represent some persons
collectively shall also mean that neither
who are excluded from the Code
party shall TERMINATE nor MODIFY such
agreement during its lifetime. It is the duty
7. the rank-and-file unit includes supervisors
of both parties to:
or inappropriate otherwise

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
San Beda College of Law 35

MEMORY AID IN LABOR LAW

a. keep the status quo and independent union only during the 60-
b. to continue in the full force and day freedom period immediately
effect the terms and conditions of the preceding the expiration of the CBA.
existing CBA [take note of the limitation-see
discussions on registration of labor
EXCEPTION: during the 60-day period unions]
prior to its expiration, upon service of a b. either party can serve a written notice
written notice of a partys intention to to TERMINATE OR MODIFY the
agreement at least 60 days prior to its
2. 253 253-A/256 expiration period [on re-negotiable/non-
representation aspect of the CBAsee
A.FREEDOM PERIOD discussion on 253]
-the notice of intention to - representation c. a petition for CERTIFICATION ELECTION
terminate, amend or alter aspect of the CBA may be filed
the provisions of the CBA shall be for a term
shall be filed within the of five (5). A ART. 253A. TERMS OF A COLLECTIVE
sixty (60) day period, petition for BARGAINING AGREEMENT (CONTRACT BAR
immediately prior to the certification RULE)
expiration of the CBA. election may be
-the economic provisions entertained and a
however may be certification 5. DURATION OF THE CBA:
renegotiated not later than election may be
three (3) years. Those conducted within 1. With respect to the representation
economic provisions the 60-day period aspect, the same lasts for 5 years
entered within 6 months immediately prior
from the expiry of their to the expiration of 2. With respect to other provisions
term as fixed in the CBA the CBA. [economic provisions], the same may last
shall retroact to the day for a maximum period of 3 years after
immediately following such the execution of the CBA
date, if beyond 6 months
the effectivity is by RULE ON RETROACTIVE EFFECTS OF OTHER
agreement of the parties. ECONOMIC PROVISIONS WITH FIXED TERM
3. OR DATES OF EXPIRY AS PROVIDED IN THE
CBA:
4. B. WHAT MAY BE
CHANGED DURING THE 60- - representation
aspectit may be a. Those made within 6 months after the
DAY FREEDOM PERIOD
resolved by holding date of expiry of the CBA
5. -re-negotiable - Any agreement on such other provisions
provisions of the CBA certification of the CBA made within 6 months after the
particularly the non- election date of expiry of the CBA is subject to
representation aspect AUTOMATIC RETROACTION to the day
(ECONOMIC PROVISIONS immediately following such date of expiry.
may be renegotiated not
later than three (3) years. b. Those not made within 6 months the
terminate or modify the same, a party may parties may agree to the DATE OF
choose to terminate or modify the non- RETROACTION.
representational aspect of the CBA only after - This rule applies only if there is
the expiration of CBA of fixed duration. an EXISTING AGREEMENT. If THERE IS NO
EXISTING AGREEMENT, there is no
DUTY TO BARGAIN COLLECTIVELY retroactive effect because the date agreed
UNDER 253 AND 253-A/256 upon shall be the start of the period of
agreement.
AUTOMATIC RENEWAL CLAUSE Art. 253
provides that the CBA shall remain effective NOTE: Article 253-A on retroaction does not
and enforceable even after the expiration of apply if the provisions were imposed by the
the period fixed by the parties as long as no Secretary of Labor by virtue of arbitration. It
new agreement is reached by them. applies only if the agreement was voluntarily
made by the parties.
WHAT MAY BE DONE DURING THE 60- 22. ART. 254. NO INJUNCTION RULE
DAY FREEDOM PERIOD:
No temporary or permanent injunction or
a. A labor union may DISAFFILIATE from restraining order in any case involving or
the mother union to form a local or

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
San Beda College of Law 36

MEMORY AID IN LABOR LAW

growing out of labor disputes shall be issued contrary to law, self-organization and to
by any court or other entity, except as enter into collective bargaining negotiations.
otherwise provided in Articles 218 (Powers of
the Commission/NLRC) and 264 (Prohibited two companies cannot be treated
Activities) of this Code. into a single bargaining unit even if their
businesses are related.
REASON: injunction contradicts the
constitutional preference for voluntary subsidiaries or corporations formed
modes of dispute settlement out of former divisions of a mother
company following a reorganization may
In cases of strikes/picketing, third constitute a separate bargaining unit.
parties or innocent bystanders may
secure a court (regular court) LABOR MANAGEMENT COUNCILS - deal
injunction to protect their rights. with the employer on matters affecting
(PAFLU vs. CLORIBEL) employees rights, benefits and welfare.
They may be formed even if there is
ART. 255. EXCLUSIVE BARGAINING already a union in the company.
REPRESENTATION AND WORKERS
PARTICIPATION IN POLICY AND DECISION- ARTS. 256-259 PETITION FOR
MAKING CERTIFICATION ELECTION
23.
WHAT IS THE MEANING OR EXTENT OF THE 24. BARGAINING UNIT- a group of
WORKERS RIGHT TO PARTICIPATE IN employees of a given employer, comprised of
POLICY AND DECISION-MAKING PROCESSES? all or less than all the entire body of the
employees, which, consistent with equity to
Such right refers ONLY to the employer, indicate to be best suited to
participation in grievance procedures and serve the reciprocal rights and duties of the
voluntary modes of settling disputes and NOT parties under the collective bargaining
to formulation of corporate programs and provision of the law.
policies.
CERTIFICATION YEAR - refers to the
NOTE: An employer may solicit questions, period wherein collective bargaining should
suggestions and complaints from employees begin, which is within 12 months following
eventhough the employees are represented the determination and certification of
by a union, provided: employees' exclusive bargaining
representative.
1. the collective bargaining FOUR FACTORS IN DETERMINING THE
representative executes an agreement APPROPRIATE BARGAINING UNIT:
waiving the right to be present on any
occasion when employee grievances are 1. the EXPRESS WILL OR DESIRE of the
being adjusted by the employer and employees (Globe Doctrine);
the desires of all the employees are
2. employer acts strictly within the relevant to the determination of the
terms of this waiver agreement. appropriate bargaining unit. The
relevance of the wishes of the
employees concerning their inclusion
or exclusion from a proposed
ONE-UNION, ONE-COMPANY POLICY - the bargaining unit is inherent in the
proliferation of unions in an employer unit is basic right to self organization
discouraged as a matter of policy unless
there are compelling reasons which would 2. the SUBSTANTIAL AND MUTUALITY
deny a certain class of employees the right to INTEREST factor;
self-organization for purposes of collective
bargaining. 3. prior collective bargaining HISTORY; and
EXCEPTION: 4. EMPLOYMENT STATUS, such as
- supervisory employees who are allowed to a. temporary
form their own unions apart from the rank- b. seasonal, and
and-file employees c. probationary employee
- the policy should yield to the right of
employees to form unions for purposes not

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
San Beda College of Law 37

MEMORY AID IN LABOR LAW

THINGS TO CONSIDER IN
DETERMINING THE COMMUNITY OF B. PURPOSE
INTEREST DOCTRINE: - to determine the sole - to determine
and exclusive the issue of
1. similarity in the scale and manner of bargaining agent of all majority
determining earnings the employees in an representation of
appropriate bargaining all the workers
2. similarity in employment benefits, hours unit for the purpose of in the
of work and other terms and conditions collective bargaining; appropriate
of employment collective
bargaining unit
3. similarity in the kinds of work performed mainly for the
purpose of
4. similarity in the qualifications, skills and determining the
training of the employees administrator of
the CBA when
5. frequency of contract or interchange the contracting
among the employees union suffered
massive
6. common supervision and determination disaffiliation but
of labor-relations policy not for the
purpose of
7. history of previous collective bargaining determining the
bargaining agent
8. desires of the affected employees for purposes of
collective
9. extent of union organization bargaining.
MODES OF CHOOSING THE EXCLUSIVE
BARGAINING UNIT:

1. SELECTION - certification election DIRECT CERTIFICATION - the process


2. DESIGNATION - voluntary recognition whereby the Med-Arbiter directly certifies a
labor organization of an appropriate
A. CERTIFICATION ELECTION the process of bargaining unit of a company after a showing
determining by secret ballot the sole and that such petition is supported by at least a
exclusive bargaining agent of the employees majority of the employees in the bargaining
in an appropriate bargaining unit, for unit. IT IS NO LONGER ALLOWED. (EO 111)
purposes of collective bargaining
VOLUNTARY RECOGNITION the process
CERTIFICATION vs. CONSENT ELECTION whereby the employer recognizes a labor
CERTIFICATION CONSENT organization as the exclusive bargaining
ELECTION ELECTION representative of the employees in the
appropriate bargaining unit after a showing
that the labor organization is supported by at
A. NATURE
least a majority of the employees in the
- separate and distinct - a separate and
bargaining unit.
from a consent distinct process
election and has nothing
EFFECT OF VOLUNTARY RECOGNITION BY
to do with the
THE EMPLOYER - through voluntary
import and
recognition by the employer, the labor
effect of a
organization is recognized by the employer as
certification
the exclusive bargaining agent which may
election
collectively bargain with such employer.

C.E. IN AN ORGANIZED AND AN


UNORGANIZED ESTABLISHMENT

ORGANIZED UNORGANIZED

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
San Beda College of Law 38

MEMORY AID IN LABOR LAW

2. In determining valid votes [SECOND


A. WHEN MANDATORY ON MAJORITY], eliminate spoiled ballots but
THE PART OF BLR Upon: include challenged votes
- upon the filing of a a. the filing of
verified petition by a a verified
legitimate labor petition by a 1. RUN-OFF
organization questioning legitimate ELECTION:
the majority status of the labor
incumbent bargaining organization; A run-off election is proper if the following
agent within the 60-day or conditions exist namely:
freedom period before the b. upon the
expiration of a CBA. filing of a (a) a VALID ELECTION took
- The petition must be petition by the place because majority of the
supported by the written employer Collective Bargaining Unit
consent of at least 25% of when such members voted [FIRST MAJORITY];
ALL THE EMPLOYEES IN employer is
THE APPROPRIATE requested by (b) the said election presented
BARGAINING UNIT. the employees at least THREE CHOICES, e.g.,
- the employer cannot file to bargain Union One, Union Two, and No
a petition for certification collectively. Union (Take Note: No Union shall
election; only a legitimate not be a choice in the run off
labor organization can file election);
such petition.
(c) NOT ONE OF THE CHOICES
OBTAINED THE MAJORITY (50%+1-
B. PERIOD FOR FILING THE SECOND MAJORITY) of the valid
PETITION votes cast;
a. when there is a CBA, - any time,
the labor organization can subject (d) the TOTAL VOTES FOR THE
file a petition for however to the UNIONS IS AT LEAST 50% of the
certification election ONE- votes cast;
within the 60-day freedom ELECTION-PER-
period (CONTRACT-BAR YEAR RULE. (e) there is NO UNRESOLVED
RULE) CHALLENGED VOTES or election
b. when there is no CBA, protest which if sustained can
then the labor organization materially alter the results
can file a petition for
certification election at (f) the two choices which
any time, subject to the garnered the highest votes will be
Deadlock Bar Rule. voted and the one which garners
the highest number of votes will
be declared the winner provided
REQUISITES BEFORE A LABOR UNION they get the majority votes of the
CAN BE DECLARED A WINNER (DOUBLE total votes cast
MAJORITY RULE):
Who will participate in the run off?
1. Majority of the eligible voters cast their
votes AND The unions receiving the highest and
second highest number of votes
2. Majority of the valid votes cast is for cast.
such union.
Re Run Election vs. Run off
Election
HOW TO DETERMINE THE DOUBLE RE RUN ELECTION RUN OFF
MAJORITY RULE: ELECTION
Conducted when
Held in two instances: none of the
1. In determining the eligible votes cast choices, including
[FIRST MAJORITY], include spoiled 1. if one choice the choice of No
ballots receives a Union, receives a
plurality of vote majority of the
and the remaining valid vote cast.

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
San Beda College of Law 39

MEMORY AID IN LABOR LAW

choices results in
a tie;
This presupposes
no less than three
2. EXCEPTIONS TO THE
CONTRACT-BAR RULE:
2. if all choices competing choices.
received the same In this situation, an
number of votes; election is 1. CBA is not registered
In both instances, conducted between 2. CBA deregistered
the NO UNION is the union choices 3. CBA was hastily concluded way ahead of
also a choice receiving the the freedom period
largest and the 4. CBA is incomplete in itself
second largest 5. CBA does not foster industrial peace
number of the valid because of schism
votes cast. 6. CBA was concluded in violation of an
RULES WHICH PREVENT THE HOLDING OF order enjoining the parties from entering
A CERTIFICATION ELECTION [DONC]: into a CBA until the issue of
1. Deadlock bar rule- when there is representation is resolved
a deadlock in collective bargaining and the 7. Petition is filed during the 60-day
same has been submitted to NCMB for freedom period
conciliation and mediation the same bars any
petition or conduct of certification election. SUCCESSOR-IN-INTEREST DOCTRINE
2. One year bar rule When an employer with an existing CBA is
3. Negotiation bar rule succeeded by another employer, the
4. Contract bar rule successor-in-interest who is a buyer in good
faith has no liability to the employees in
1. CONTRACT-BAR RULE - while a valid and continuing employment and the collective
registered CBA of a fixed duration is bargaining agreement because these
subsisting, the BLR is not allowed to hold an contracts are in personam
election contesting the majority status of the
incumbent union during the five year term of EXCEPT:
the CBA except during the sixty day period a. when the successor-in-interest
immediately prior to the expiration of the expressly assumes the obligation or
CBA. b. the sale is a device to circumvent
the obligation or
REQUIREMENTS IN ORDER TO INVOKE c. the sale or transfer is made in bad
CONTRACT-BAR RULE: faith

1. Agreement is in WRITING AND SIGNED by SUBSTITUTIONARY DOCTRINE where


all contracting parties. there occurs a shift in the employees union
2. It must contain THE TERMS AND allegiance after the execution of a collective
CONDITIONS of employment. bargaining contract with the employer, the
3. Covered employees in an appropriate employees can change their agent (the labor
bargaining unit [ABU EES COVERED]. union) but the collective bargaining contract
4. It is for a REASONABLE PERIOD or which is still subsisting continues to bind the
duration. employees up to its expiration date. They
5. It must be RATIFIED. may, however, bargain for the shortening of
6. It must be REGISTERED with the Bureau. said expiration date.
7. The violation of the contract bar rule or
the existence of a duly registered CBA The employees cannot revoke the
must be specifically IMPLEADED AS A validly executed collective
DEFENSE. bargaining contract with their
employer by the simple expedient of
EFFECT OF AN INVALID AND changing their bargaining agent.
UNREGISTERED CBA- there is no bar and The new agent must respect the
therefore a certification election may be contract. (Benguet Consolidated,
held. Inc. vs. Employees and Workers
Union-PAFLU)
NOTE: Registration of CBA only puts into
effect the contract bar rule but the CBA
itself is valid and binding even if
unregistered.

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
San Beda College of Law 40

MEMORY AID IN LABOR LAW

25. LIMITATION AS TO ITS APPLICATION b. Employer submits its proposals and


it cannot be invoked to support the adopts a take it or leave it stand. This is
contention that a newly certified collective not negotiation because the take it or
bargaining agent automatically assumes all leave it stand implies threat.
the personal undertakings of the former
agentlike the no strike clause in the CBA 3. Side Bar Technique
executed by the latter (Benguet Consolidated
Inc. vs. BCI Employees and Workers Union-
PAFLU).
TITLE VII- A
2. DEADLOCK BAR RULE - a petition for (as incorporated by RA 6715)
certification election cannot be entertained
if, before the filing of the petition for
certification election, a bargaining deadlock GRIEVANCE MACHINERY AND VOLUNTARY
to which an incumbent or certified bargaining ARBITRATION
agent is a party, had been submitted to
conciliation or arbitration or had become the ART. 260. GRIEVANCE MACHINERY AND
subject of a valid notice of strike or lockout. VOLUNTARY ARBITRATION
1. GRIEVANCE
DEADLOCK arises when there is an impasse, MACHINERY - a mechanism for the
which presupposes reasonable effort at good adjustment of controversies or disputes
faith bargaining which, despite noble arising from the interpretation or
intentions, did not conclude in an agreement implementation of the CBA and the
between the parties. interpretation or enforcement of company
personnel policies
INDICATIONS OF A GENUINE DEADLOCK:
1. the submission of the deadlock to a GRIEVANCE - arises when a dispute or
third party conciliator or arbitrator controversy arises over the implementation
2. the deadlock is the subject of or interpretation of a CBA or from the
a valid notice of strike or lockout implementation or enforcement of company
personnel policies, and either the union or
3. NEGOTIATION BAR RULE - a petition for the employer invokes the grievance
certification election cannot be entertained machinery provision for the adjustment or
if, before the filing of the petition for resolution of such dispute or controversy.
certification election, the duly recognized or
certified union has commenced negotiations NATURE OF GRIEVANCE PROCEDURE - It is
with the employer in accordance with Art. a must provision in any CBA and no
250 of the Labor Code. collective agreement can be registered in the
absence of such procedure.
4. CERTIFICATION YEAR RULE no petition It is a part of the continuous process
for certification election may be filed within of collective bargaining intended to promote
one year from the date of a valid a friendly dialogue between labor and
certification, consent, or run-off election or management as a means of maintaining
from the date of voluntary recognition industrial peace.

VOLUNTARY ARBITRATION - contractual


1. EXAMPLES OF BAD FAITH proceedings where parties to a dispute select
BARGAINING: a judge of their own choice and by consent
submit their controversy to him for
1. Surface Bargaining occurs when determination.
employer constantly changes its positions All grievances not settled within 7 days
over the agreement. from the date of its submission to the
2. Boulwarism occurs: grievance machinery shall automatically be
a. when the employer directly bargains referred voluntary arbitration prescribed in
with the employee disregarding the the CBA.
union. Although the provision
mentions parties to a
The aim was to deal with the Union collective bargaining
through the employees, rather than agreement, it does not mean
with the employees through the that a grievance machinery
union. cannot be set up in a CBA-less
enterprise. In any work place

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
San Beda College of Law 41

MEMORY AID IN LABOR LAW

where grievance can arise, a -all other disputes including ULP and
grievance machinery bargaining deadlocks
(regardless of name) can be The disputes the parties may submit
established. to a Voluntary Arbitrator can include
In a unionized company, Art. any or all the disputes mentioned in
255 allows an employee, union Art. 217 which otherwise fall under
member or not, to raise a the exclusive jurisdiction of a labor
grievance directly to the arbiter.
employer. Voluntary arbitration may be viewed
as a master procedure to prevent or
ARBITRATION MAY BE INITIATED BY: resolve labor disputes

1. SUBMISSION AGREEMENT where


the parties define the disputes to 1. GROUNDS FOR JUDICIAL
be resolved; or REVIEW OF DECISIONS OF VOLUNTARY
2. DEMAND OR NOTICE invoking a ARBITRATORS:
collective agreement arbitration
clause. 27. Lack of jurisdiction
1. Grave abuse of discretion
2. Violation of due process
3. Denial of substantial justice
ART 261. JURISDICTION OF VOLUNTARY
4. Erroneous interpretation of the law
ARBITRATORS OR PANEL OF VOLUNTARY
ARBITRATORS
A voluntary arbitrator is a quasi-
judicial instrumentality (Sec 9 BP129 as
2. JURISDICTION OF amended by RA 7902); hence, a petition
VOLUNTARY ARBITRATORS: for certiorari under Rule 65 of the Rules
of Court will lie where a grave abuse of
26. EXCLUSIVE ORIGINAL JURISDICTION discretion or an act without or in excess
CONFERRED BY LAW of jurisdiction of the voluntary arbitrator
is shown, which may be filed with the
a) All grievances arising from the Court of Appeals.
interpretation or implementation of
the CBA. TITLE VIII
b)Those arising from the
interpretation or enforcement of STRIKES AND LOCKOUTS AND FOREIGN
company personnel polices. INVOLVEMENT IN TRADE UNION ACTIVITIES
c) Hear and decide wage distortion CHAPTER I
issues arising from the application of STRIKES AND LOCKOUTS
any wage orders in organized
establishments. 1.
d)Unresolved grievances arising from ART. 263. STRIKES, PICKETING AND
the interpretation and LOCKOUTS
implementation of the productivity
incentive programs under RA 6071 . STRIKE - Any temporary stoppage of
work by the concerted action of employees
It is the labor arbiter and not the as a result of an industrial or labor dispute.
grievance machinery which has IMPORTANCE: it is the most effective
jurisdiction over dismissals pursuant to weapon of labor in protecting the rights of
the union security clause. employees to improve the terms and
violations of CBA, except those conditions of their employment.
which are gross in character, shall no Government employees may form labor
longer be treated as ULP and shall be unions but are not allowed to strike.
resolved as grievances. Only legitimate labor organizations
are given the right to strike.
GROSS VIOLATION flagrant and/or Ununionized workers may hold a
malicious refusal to comply with the protest action but not a strike
economic provisions of the CBA. Not all concerted activities are
strikes; they may only be protest
1. JURISDICTION BY AGREEMENT OF THE actions. And they do not necessarily
PARTIES (Art. 262) cause work stoppage by the protesters.

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
San Beda College of Law 42

MEMORY AID IN LABOR LAW

A strike, in contrast, is always a group NO. A welga ng bayan is illegal


action accompanied by work stoppage. because it is a political strike and therefore
LOCKOUT - means the temporary there is neither a bargaining deadlock nor
refusal of an employer to furnish work as a any ULP. It is a political rally.
result of an industrial or labor dispute.
GROUNDS FOR THE DECLARATION OF
PICKETING - the act marching to and STRIKE:
fro the employers premises, usually 1. deadlock in collective bargaining
accompanied by the display of placards and (ECONOMIC); and/or
other signs making known the facts involved
in a labor dispute. This is an exercise of ones 2. unfair labor practices (POLITICAL)
freedom of speech.

STRIKE-BREAKER - any person who ECONOMIC STRIKE 1. ULP STRIKE


obstructs, impedes or interferes by force,
[POLITICAL]
violence, coercion, threats or intimidation
with any peaceful picketing by employees A. NATURE
during any labor controversy affecting wages, - A voluntary strike - An involuntary
hour or conditions of work or in the exercise because the employee strike; the labor
of the right to self organization or collective will declare a strike to organization is
bargaining compel management to forced to go on
STRIKE AREA the establishment, grant its demands. strike because of
warehouse, depots, plants or offices, the ULP committed
including the sites or premises used as against them by the
runaway shops of the employer struck employer. It is an
against, as well as the immediate vicinity act of self-defense
actually used by picketing strikers in moving since the employees
to an fro before all points of entrance to and are being pushed to
exit from said establishment the wall and their
SOME EXAMPLES OF STRIKES AND THEIR only remedy is to
VALIDITY stage a strike.
A. SIT-DOWN STRIKE - is characterized by B. INITIATED BY:
a temporary work stoppage of workers who - The collective - either
thereupon seize or occupy property of the bargaining agent of the a. Collective
employer or refuse to vacate the premises of appropriate bargaining bargaining agent or
the employer. ILLEGAL- amounts to a unit can declare an b. the legitimate
criminal act because the employees trespass economic strike. labor organization in
on the premises of the employer. behalf of its
B. WILDCAT STRIKE- is a work stoppage that members
violates the labor contract and is not C. COOLING OFF PERIOD
authorized by the union. ILLEGAL- It is not -30 days from the filing
valid because it fails to comply with certain of the notice of strike
requirements of the law, to wit: notice of before the intended -15 days from the
strike, vote, and report on strike vote. date of actual strike filing of the notice
C. SYMPATHETIC STRIKES- are work subject to the 7-day of strike.
stoppages of workers of one company to strike ban.
make common cause with other strikers of D. EXCEPTION TO THE COOLING-OFF
other companies, without demands or PERIOD
grievances of their own against the employer. - No exception - the cooling off
ILLEGAL - because there is no labor dispute mandatory. period may be
between the workers who are joining the dispensed with, and
strikers and the latters employer. the union may take
D. SECONDARY STRIKES- are work - Notice of strike immediate action in
stoppages of workers of one company to and strike vote maybe case of dismissal
exert pressure on their employer so that the dispensed with. They from employment of
latter will in turn bring pressure upon the may strike their officers duly
employer of another company with whom immediately. elected in
another union has a labor dispute. ILLEGAL- accordance with the
because there is no labor dispute involved. unions Constitution
and By-laws, which
IS A WELGA NG BAYAN LEGAL? may constitute
union busting

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
San Beda College of Law 43

MEMORY AID IN LABOR LAW

where the b. 30/15-day cooling-off period before


existence of the the intended date of actual strike subject to
union is the 7-day strike ban.
threatened.
COOLING OFF PERIOD - that period of
- BUT it must still time given the NCMB to mediate and
observe the conciliate the parties.
mandatory 7-day It is that span of time allotted
period before it by law for the parties to settle
can stage a valid theirdisputes in a peaceful
strike. manner, before staging a strike
E. STRIKE DURATION PAY IN CASE OF A or lockout.
LEGAL STRIKE
c. strike vote
- not entitled to said - may be awarded
pay based on the the said paid in the STRIKE VOTE - a requirement wherein
principle that a fair discretion of the the decision to declare a strike must be:
days wage accrues only authority deciding 1. approved by a MAJORITY of the
for a fair days labor the case. total union membership in the
bargaining unit concerned [not of
CHARACTERISTICS OF STRIKES: the whole bargaining unit],
1. there must be an established 2. obtained by SECRET BALLOT
relationship between the strikers and the in MEETINGS OR REFERENDA
person/s against whom the strike is called called for the purpose.
2. the relationship must be one of
employer and employee PURPOSE OF A STRIKE VOTE: - to ensure
3. the existence of a dispute between that the intended strike is a majority decision
the parties and the utilization by labor of the The report on the strike vote
weapon of concerted refusal to work as a must be submitted to the DOLE at
means of persuading or coercing compliance least 7 days before the intended
with the working mens demands strike subject to the cooling-off
4. the contention advanced by the period.
workers that although the work ceases, the
employment relation is deemed to continue
albeit in a state of belligerent suspension
5. there is work stoppage, which d. 7-day strike ban
stoppage is temporary
6. the work stoppage is done through 7-DAY STRIKE BAN it is the 7 day
the concerted action of the employees waiting period before the date of the
7. the striking group is a legitimate purported strike [within which the union
labor organization, and in case of bargaining intending to conduct a strike must at least
deadlock, is the employees sole bargaining submit a report to the Department as to the
representative. result of the strike vote] intended to give the
Department an opportunity TO VERIFY
TESTS IN DETERMINING THE whether the projected strike really carries
LEGALITY OF A STRIKE: the imprimatur of the majority of the union
1. Purpose Test members in addition to the cooling off period
2. Compliance with Procedural and before actual strike.
substantive requirements of law
3. Means employed test 3. MEANS EMPLOYED TEST-A strike may be
legal at its inception but eventually be
1. PURPOSE TEST - The strike must be due declared illegal if the strike is
to either accompanied by violence which violence
- bargaining deadlock and/or is widespread, pervasive and adopted as
- unfair labor practice. a matter of policy and not merely
violence which is sporadic which
2. COMPLIANCE WITH PROCEDURAL & normally occur in a strike area [see
SUBSTANTIVE REQUIREMENTS OF LAW prohibited activities under art. 264].
to wit (a-d):
NOTE: The 3 tests must concur. Non-
a. notice of strike compliance with any of the aforementioned
requisites renders the strike illegal.

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
San Beda College of Law 44

MEMORY AID IN LABOR LAW

EFFECT OF GOOD FAITH OF A motion for reconsideration does


STRIKERS ON LEGALITY OF STRIKE - A strike not suspend the effects as the
may be considered legal where the union assumption order is immediately
believed that the company committed ULP executory.
and the circumstances warranted such belief
in good faith, although subsequently such ISSUES THAT THE SECRETARY OF
allegations of ULP are found out as not true. LABOR CAN RESOLVE WHEN HE ASSUMES
(Bacus vs. Ople) JURISDICTION OVER A LABOR DISPUTE:

TOTALITY DOCTRINE - the culpability c. Only issues submitted to the Secretary


of an employers remarks are to be evaluated may be resolved by him. (PAL vs. Sec.
not only on the basis of their implicit of Labor, 23 January 1991).
implications but are to be appraised against
the background of and in conjunction with d. Issues submitted to the Secretary for
collateral circumstances. resolution and such issues involved in
Under this doctrine expressions of the labor dispute itself. (St.
opinion by an employer which, though Scholasticas College vs. Torres; 29
innocent in themselves, frequently were held June 1992)
to be culpable because:
e. Secretary of Labor may subsume
a. of the circumstances under pending labor cases before Labor
which they were uttered Arbiters which are involved in the
b. the history of the particular dispute and decide even issues falling
employers labor relations of anti- under the exclusive and original
union bias or jurisdiction of labor arbiters such as
c. because of their connection the declaration of legality or illegality
with an established collateral plan of strike. (Intl Pharmaceuticals vs.
of coercion or interference. Sec of Labor; 09 January 1992).
WHEN CAN THE SEC. OF LABOR
ASSUME JURISDICTION OVER A STRIKE? f. Power of Sec. of Labor is plenary and
1. there exists a labor dispute causing or discretionary. (St. Lukes Medical
likely to cause a strike or lockout in a Center vs. Torres; 29 June 1993;
INDUSTRY INDISPENSABLE TO THE reiterated in PAL vs. Confesor; 10
NATIONAL INTEREST, March 1994).
2. the Secretary of Labor and Employment
may: IN CASE THE STRIKE IS DECLARED
a. decide it, or LEGAL, ARE THE STRIKERS ENTITLED TO
b. certify the same to the NLRC for STRIKE DURATION PAY?
COMPULSORY ARBITRATION.
GENERAL RULE: Strikers are not entitled
NOTE: What constitutes indispensable to their wages during the period of a strike,
industry is based solely upon the discretion even if the strike is legal.
of the Secretary of Labor.
EXCEPTIONS:
EFFECTS OF THE ASSUMPTION OF
JURISDICTION OF THE SECRETARY 1. In case of a ULP STRIKE, in the
discretion of the authority deciding the
1. AUTOMATICALLY ENJOINS the intended case [see table for more distinction bet.
or impending strike or lockout as Economic and ULP strike]
specified in the assumption or
certification order; 2. Where the strikers VOLUNTARILY AND
UNCONDITIONALLY OFFERED TO
2. if one has already taken place at the RETURN TO WORK, but the employer
time of assumption or certification, all refused to accept the offer [e.g. of an
striking or locked-out employees shall unconditional offer: we will return
IMMEDIATELY RETURN TO WORK; and tomorrow and NOT willing to return
provided]
3. the employer shall immediately resume
operations and READMIT ALL WORKERS They are entitled to backwages from the
under the same terms and conditions date the offer was made
prevailing before the strike or lockout.

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
San Beda College of Law 45

MEMORY AID IN LABOR LAW

3. Where there is RETURN-TO-WORK ORDER


and the employees are discriminated without first having filed the
against. notice required in Art. 263 or

- They are entitled to backwages from without the necessary strike


the date of discrimination. or lockout vote first having been
obtained and reported to the
RULE ON REINSTATEMENT OF Department.
STRIKING WORKERS:

GENERAL RULE : Striking employees are NO strike or lockout shall be declared:


entitled to reinstatement, regardless of
whether or not the strike was the a. AFTER assumption of
consequence of the employers ULP jurisdiction by the President or
REASON: because while out on strike, the Secretary or
the strikers are not considered to have
abandoned their employment, but rather b. AFTER certification or
have only ceased from their labor. submission of the dispute to
compulsory or voluntary
The declaration of a strike is NOT a arbitration or
renunciation of employment
relation. c. DURING the pendency of cases
involving the same grounds for
EXCEPTIONS - The following strikers are the strike or lockout.
NOT entitled to reinstatement:
1. Union officers who knowingly THIRD PERSONS
participate in an illegal strike; and
2. any striker/union member who 2. NO person [3rd persons] all obstruct,
knowingly participates in the commission impede or interfere with by force,
of illegal acts during the strike. violence, coercion, threats or intimidation
any peaceful picketing by
Those union members who joined an employees
illegal strike but have not
committed any illegal act shall be during any labor controversy
reinstated but without any or in the exercise of the right
backwages. of self- organization or
collective bargaining or
RULE IN STRIKES IN HOSPITALS
shall aid or abet such
1. It shall be the duty of striking employees obstruction or interference.
or locking-out employer to provide and
maintain an effective SKELETAL EMPLOYERS
WORKFORCE of medical and other health
personnel for the duration of the strike or 3. NO employer shall use or employ any
lockout. STRIKE-BREAKER nor shall any person be
employed as a strikebreaker.
2. SECRETARY OF LABOR MAY IMMEDIATELY
ASSUME JURISDICTION WITHIN 24 HOURS PUBLIC OFFICIAL OR EMPLOYEE
FROM KNOWLEDGE of the occurrence of
such strike or lock-out or certify it to the 4. NO public official or employee,
Commission for compulsory arbitration. including officers and personnel of the
New Armed Forces of the Philippines of
ART. 264. PROHIBITED ACTIVITIES the Integrated National Police, or
armed persons,
LABOR ORGANIZATIONS
shall bring in, introduce or
1. No labor organization or employer shall escort in any manner, any
declare a strike or lockout individual who seeks to replace
strikes in entering or leaving
without first having bargained the premises of a strike area,
collectively in accordance with or work in place of the strikers.
Title VII of this Book or

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
San Beda College of Law 46

MEMORY AID IN LABOR LAW

The police force shall keep out sentiment of the


of the picket lines unless actual silent majority of
violence or other criminal acts the union
occur therein: members on
strike.
Provided, That nothing herein shall be PERIOD OF FILING
interpreted to prevent any public officers 3. on or before the 3. on or
from taking any measure necessary to: 30th day of the strike before the 30th
day of the
a. maintain peace and order, lockout
LIMITATION 4. applies
b. protect life and property, 28. 4. applies only to only to economic
and/or economic strikes strikes-deadlock
(deadlock) in bargaining
c. enforce the law and legal order. (lockout)

PERSONS ENGAGED IN PICKETING ART. 266. ARREST AND DETENTION


NO person engaged in PICKETING shall:
General rule is that a police officer
a. commit any act of violence, coercion or cannot arrest or detain a union member
intimidation or
for union activities without previous
consultations with the Secretary of Labor
b. obstruct the free ingress to or egress
EXCEPT on grounds of:
from the employers premises for lawful a. national security
purposes,or
c. obstruct public thoroughfares b. public peace
ART. 265. IMPROVED OFFER vs. c. commission of a crime
REDUCED OFFER BALLOTING
BOOK SIX
IMPROVED OFFER REDUCED
BALLOTING OFFER POST EMPLOYMENT
BALLOTING
TITLE I
1. a referendum 1. a
conducted by the NCMB referendum TERMINATION OF
on or before the 30th day conducted by the EMPLOYMENT
of the strike, for the NCMB for the
purpose of determining purpose of ART. 279. SECURITY OF TENURE
whether or not the determining SECURITY OF TENURE - the
improved offer of the whether or not constitutional right granted the employee,
employer is acceptable the reduced that the employer shall not terminate the
to the union members. offer of the services of an employee except for just cause
union is or when authorized by law.
acceptable to RELIEFS AVAILABLE TO AN ILLEGALLY
the board of DISMISSED EMPLOYEE:
directors,
trustees or A. REINSTATEMENT - Restoration of the
partners. employee to the state from which he has
PURPOSE been unjustly removed or separated without
2. to determining 2. to loss of seniority rights and other privileges.
whether or not the determining
improved offer of the whether or not FORMS OF REINSTATEMENT:
EMPLOYER is acceptable the improved 1. ACTUAL OR PHYSICAL REINSTATEMENT
to the union members. offer of the - the employee shall be admitted back to
to ascertain the UNION is work
real sentiment of acceptable to 2. PAYROLL REINSTATEMENT
the silent majority the union - the employee is merely reinstated in
of the union members. the payroll.
members on strike. to ascertain
the real

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
San Beda College of Law 47

MEMORY AID IN LABOR LAW

May a court order the reinstatement - Under the circumstances


of a dismissed employee even if the prayer where the employment
of the complaint did not include such relationship has become so
relief? strained to preclude a harmonious
working relationship, and that all
YES. So long as there is a finding that hopes at reconciliation are nil
the employee was illegally dismissed, the after reinstatement, it would be
court can order the reinstatement of an more beneficial to accord the
employee even if the complaint does not employee backwages and
include a prayer for reinstatement, unless, of separation pay.
course, the employee has waived his right to
reinstatement. By law, an employee who is B. BACKWAGES the relief given to an
unjustly dismissed is entitled to employee to compensate him for lost
reinstatement, among others. The mere fact earnings during the period of his dismissal.
that the complaint did not pray for
reinstatement will not prejudice the PERIOD COVERED BY THE PAYMENT
employee, because technicalities of law and OF BACKWAGES - Backwages shall cover the
procedure are frowned upon in labor period from the date of dismissal of the
proceedings (General Baptist Bible College v. employee up to the date of actual
NLRC; 219 SCRA 549). reinstatement

What happens if there is an order of HOW COMPUTED - Under existing law,


reinstatement but the position is no longer backwages is computed from the time of the
available? illegal dismissal up to time of actual
The employee should be given a reinstatement.
SUBSTANTIALLY EQUIVALENT POSITION. If NO
SUBSTANTIALLY EQUIVALENT POSITION IS INCLUDED IN THE COMPUTATION OF
AVAILABLE, reinstatement should not be BACKWAGES
ordered because that would in effect compel 1. transportation and emergency
the employer to do the impossible. In such a allowances
situation, the employee should merely be 2. vacation or service incentive leave and
given SEPARATION PAY CONSISTING OF ONE sick leave
MONTH SALARY FOR EVERY YEAR OF SERVICE 3. 13th month pay.
(1:1).
NOTE: facilities such as uniforms, shoes,
CIRCUMSTANCES WHEN COMPANY helmets and ponchos should NOT be included
MAY NOT REINSTATE DESPITE ORDER OF in the computation of backwages.
REINSTATEMENT REASON: said items are given free, to be
1. TRANSFER OF BUSINESS OWNERSHIP used only during official tour of duty not for
-There is no law requiring a purchasing private or personal use.
corporation to absorb the employees of
the selling corporation. A fortiori, CIRCUMSTANCES THAT PREVENT
reinstatement of unjustly dismissed AWARD OF BACKWAGES:
employees CANNOT be enforced against 1. death of the employee
the new owner UNLESS there is an 2. physical and mental incapacity
express agreement on the assumption of 3. business reverses
liabilities by the purchasing corporation; 4. closure of business
2. When reinstatement is rendered 5. reinstatement of dismissed employee
IMPOSSIBLE due to the abolition of the confinement in jail
position;
3. When the business has CLOSED DOWN; Which takes precedence in conflicts
4. PHYSICAL INCAPACITY of the employee; arising between employers MANAGEMENT
and PREROGATIVE and the employees right to
5. DOCTRINE OF STRAINED RELATIONS - security of tenure?
When the employer can no longer trust The employees right to security of
the employee and vice-versa, tenure. Thus, an employers management
reinstatement could not effectively serve prerogative includes the right to terminate
as a remedy. This doctrine only applies the services of the employee but this
only to positions which require trust and management prerogative is limited by the
confidence Labor Code which provides that the employer
can terminate an employee only for a just
cause or when authorized by law. This

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
San Beda College of Law 48

MEMORY AID IN LABOR LAW

limitation is because no less than the Pakiao employees are considered


constitution recognizes and guarantees employees as long as the employer
employees right to security of tenure. (Art. exercises control over the means by
279, Labor Code; Art. XIII, Sec. 3, which such workers are to perform
Constitution) their work.

ART. 280. REGULAR AND CASUAL Employee is considered an regular


EMPLOYMENT employee insofar as the season to
REGULAR EMPLOYMENT - one wherein an which he was employed is
employee is engaged to perform activities concerned.
which are usually necessary or desirable in - during the off-season his
the usual business or trade of the employer. employment is merely suspended
- He is a regular employee at the point of not terminated (Phil. Tobacco
hiring. Flue Curring and Drying Corp. vs.
NLRC).
Test of regularity: nature of
employment. PROBATIONARY PERIOD OF
EMPLOYMENT - the period needed to
CASUAL EMPLOYMENT one wherein an determine the fitness for the job, i .e., the
employee is engaged to perform activities time needed to learn the job.
which are not necessary or desirable in the It is the period during which the
usual trade or business of the employer. employer may determine if the employee is
- becomes a regular employee after one qualified for possible inclusion in the regular
(1) year of service. force.
- PURPOSE: To afford the employer an
REGULAR EMPLOYEE VS. opportunity to observe the fitness of a
PROJECT EMPLOYEE probationary employee at work.
NOTE:The standard which the
PROJECT probationary employee is to meet must be
REGULAR EMPLOYEE made known by the employer to the
EMPLOYEE
employee at the time of engagement. The
A project employee is A regular services of probationary employees may be
one whose employee is one terminated for the same causes as in the case
employment is fixed engaged to perform of regular employee, except that there is an
for a specific project activities which are additional ground failure to meet the
or undertaking the usually necessary or standard.
completion of which desirable in the usual
has been determined business or trade of LIMITATIONS ON THE EMPLOYERS
at the time of the the employer POWER TO TERMINATE A PROBATIONARY
engagement of the EMPLOYMENT CONTRACT:
employee. (See Art. 1. the power must be exercised in
280 LC) accordance with the specific
requirements of the contract
[COMPLIANCE WITH SPECIFIC
REQUIREMENTS];
TEMPORARY EMPLOYMENT OR 2. if a particular time is prescribed, the
EMPLOYMENT FOR A FIXED SPECIFIC PERIOD termination must be within such time
- one wherein an employee is engaged to and if formal notice is required, then
work on a specific project or undertaking that form must be used [WITHIN
which is usually necessary or desirable in the PARTICULAR PRESCRIBED TIME];
usual business or trade of the employer, the 3. the employers dissatisfaction must be
completion of which has been determined at real and in good faith, not feigned so as
the time of the engagement of the employee. to circumvent the contract or the law
- He does not become a regular employee. [DISSATISFACTIONREAL AND IN GOOD
The employment is coterminous with the FAITH]; and
specific period. 4. there must BE NO UNLAWFUL
DISCRIMINATION in the dismissal.
SEASONAL EMPLOYMENT - one
wherein an employee is engaged to work GENERAL RULE: Probationary
during a particular season on an activity that employment shall not exceed six months
is usually necessary or desirable in the usual from the date the employee started working.
business or trade of the employer.

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
San Beda College of Law 49

MEMORY AID IN LABOR LAW

EXCEPTIONS: Fraud must be committed against


1. when it is covered by an the employer or his representative
apprenticeship agreement stipulating a and in connection with the
longer period; or employees work. ((Dept. of Labor
2. when the parties to an employment Manual, Sec. 4353.01 [3])
contract agree otherwise, such as when the
same is established by company policy or 4. Commission of a CRIME OR OFFENSE BY
when the same is required by the nature of THE EMPLOYEE AGAINST THE PERSON OF
the work to be performed by the employee HIS EMPLOYER or any immediate member
of his family or his duly authorized
EFFECT IF PROBATIONARY representative; and
EMPLOYEE IS ALLOWED TO WORK BEYOND 6 Conviction or prosecution is not
MONTHS required.

If the probationary employee is 5. Other causes ANALOGOUS to the


allowed to work beyond the period of 6 foregoing.
months or the agreed probationary period, A cause must be due to the
said employee becomes a regular employee voluntary or willful act or omission
by operation of law. of the employee. (Nadura v.
Under the Labor Code, an employee Benguet Consolidated; G.R. No. L-
who is allowed to work after a probationary 17780)
period shall be considered a regular
employee. (Art. 281.) DUE PROCESS TO BE OBSERVED BY
ART. 282. TERMINATION BY THE EMPLOYER - For termination of the
EMPLOYER employment based on the any of the just
causes for termination, the requirements of
SECURITY OF TENURE - An employer due process that an employer must comply
CANNOT terminate the services of an with are: (TWIN NOTICES)
employee EXCEPT for a just cause or when
authorized by law. 1. Written NOTICE should be served to
GUIDELINES TO DETERMINE THE the employee specifying the ground or
VALIDITY OF TERMINATION: grounds for termination and giving the
1. Gravity of the offense said employee reasonable opportunity
2. Position occupied by the employee within which to explain;
3. Degree of damage to the employer 2. A HEARING OR CONFERENCE should
4. Previous infractions of the same be held during which the employee
offense concerned, with the assistance of
5. Length of service counsel, if the employee so desires, is
given the opportunity to respond to
A. JUST CAUSES [MaNaBaCA]: the charge, present his evidence and
1. Serious MISCONDUCT OR WILLFUL present the evidence presented
DISOBEDIENCE by the employee of the against him;
lawful orders of his employer or 3. A WRITTEN NOTICE OF
representative in connection with his TERMINATION, if termination is the
work; decision of the employer, should be
Misconduct- transgression of some served on the employee indicating that
established and definite rule of upon due consideration of all the
action, a forbidden act, a circumstances, grounds have been
dereliction of duty, willful in established to justify his termination.
character, and implies wrongful For termination of employment
intent and not mere error in based on authorized causes, the
judgment. (Dept. of Labor Manual, requirements of due process shall be
Sec. 4353.01) deemed complied with upon service
of a written notice to the employee
2. Gross and habitual NEGLECT by the and the appropriate Regional office
employee of his duties; (Repeated of the Department of Labor and
absenteeism and tardiness) employment at least thirty days
before the effectivity of the
3. FRAUD OR WILLFUL BREACH by the termination specifying the grounds
employee of the trust reposed in him by for termination.
his employer or duly organized
representative

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
San Beda College of Law 50

MEMORY AID IN LABOR LAW

NOTE: Under the so-called WENPHIL of an employee are in excess of what


DOCTRINE if the services of the employee is reasonably demanded by the actual
was terminated due to a just or authorized requirements of the enterprise.
cause but the affected employees right to (Wishire File Co. Inc. vs. NLRC)
due process has been violated, the dismissal
is legal but the employee is entitled to Reorganization as a cost-saving
damages by way of indemnification for the device is acknowledged by
violation of the right. jurisprudence. An employer is not
precluded from adopting a new policy
SERRANO vs. ISETANN et. al. conducive to a more economical and
abandoned the WENPHIL DOCTRINE effective management, and the law
and ruled that if the employee is does not require that the employer
dismissed under just or authorized should be suffering financial losses
cause but the affected employees before he can terminate the services
right to due process has been of the employee on the ground of
violated, his dismissal becomes redundancy (DOLE PHILIPPINES, INC et
ineffectual. Therefore, the al., vs. NATIONAL LABOR RELATIONS
employee is entitled to backwages COMMISSION et al.)
from the time he was dismissed until
the determination of the justness of 3. RETRENCHMENT to prevent losses (there
the cause of the dismissal. is excess of employees and employer wants
to prevent financial losses)
AGABON vs. NLRC (Nov. 17, 2004)
abandoned the Serrano doctrine and CONDITIONS UNDER WHICH AN
REINSTATED THE WENPHIL EMPLOYER MAY RETRENCH:
DOCTRINE. The sanctions, however (a) substantial losses which are not
must be stiffer than that imposed in merely de minimis in extent;
Wenphil. (b) imminence of such substantial losses;
(c) retrenchment would effectively
PREVENTIVE SUSPENSION when there prevent the expected and additional losses;
is an imminent threat to the lives and (d) the alleged losses and expected
properties of the employer, his family and losses must be proven by sufficient and
representatives as well as the offenders co- convincing evidence. (NDC-GUTHRIE
workers by the continued service of the PLANTATIONS, INC., vs. NATIONAL LABOR
employee then he may be placed under RELATIONS COMMISSION, ET. AL)
preventive suspension pending his
investigation, leading to termination. 4. closing or CESSATION OF OPERATION of
the establishment or undertaking UNLESS
preventive suspension should not the closing is for the purpose of
last for more than thirty (30) days. circumventing the provisions of the
The employee should be made to Labor Code.
resume his work after 30 days.
5. INSTALLATION of labor saving
- it can be extended provided the devices(Automation, Robotics)
employees wages are paid after the 30
day period.
6. DISEASE
ARTS. 283-284.
a. the disease is incurable within 6
B. AUTHORIZED CAUSES OF months and the continued
TERMINATION BY THE EMPLOYER: employment of the employee is
prohibited by law or prejudicial
1. installation of labor-saving devices to his health as well as to the
(AUTOMATION) health of his co-employees

b. with a certification from public


heath officer that the disease is
2. REDUNDANCY (superfluity in the incurable within 6 months
performance of a particular work) despite due medication and
treatment.
redundancy, for purposes of the
Labor Code, exists where the services

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
San Beda College of Law 51

MEMORY AID IN LABOR LAW

Before an employer could dismiss an


employee based on a disease, Section 8 NOTE: ARTICLE 283 governs the grant of
of Rule 1, Book VI of the Omnibus Rules separation benefits in case of closures or
Implementing the Labor Code requires a cessation of operation of business
certification by a competent public establishments NOT due to serious business
health authority that the disease is of losses or cessation of operation [North Davao
such a nature or at such stage that it Mining Corp. vs. NLRC, et al]. Therefore, the
cannot be cured within a period of 6 employee is not entitled to such benefit if
months even with proper medical the closure was due to SERIOUS BUSINESS
treatment. (Cathay Pacific Airways vs. LOSSES.
NLRC and Martha Singson)

DISCRIMINATION IN ANY FORM FROM When termination of employment is


PRE-EMPLOYMENT TO POST- brought by the failure of an employee to
EMPLOYMENT, INCLUDING HIRING, meet the standards of the employer in case
PROMOTION OR ASSIGNMENT, BASED ON of probationary employment, it shall be
THE ACTUAL, PERCEIVED OR SUSPECTED sufficient that a written notice is served the
HIV STATUS OF AN INDIVIDUAL IS employee within a reasonable time from the
PROHIBITED. TERMINATION FROM WORK effective date of termination.
ON THE SOLE BASIS OF ACTUAL,
PERCEIVED OR SUSPECTED HIV STATUS IS
DEEMED UNLAWFUL. (SEC. 35, RA 8504, When termination is brought about by
HIV/AIDS LAW) the completion of the contract or phase
thereof, no prior notice is required

CAUSE OF SEPARATION PAY


TERMINATION
Automation Equivalent to at
least one month pay or
at least one month pay
ART. 285. TERMINATION BY
for every year of
EMPLOYEE
service, whichever is
higher
TERMINATION BY THE EMPLOYEE:
Redundancy Equivalent to at
least one month pay or a. WITHOUT JUST CAUSE- by serving a WRITTEN
at least one month pay NOTICE on the employer at least one month
for every year of in advance. The employer upon whom no
service, whichever is such notice was served may hold the
higher employee liable for damages.
Retrenchment Equivalent to one b. WITH JUST CAUSE - An employee may put an
month pay or at least end to establish WITHOUT SERVING ANY
one-half month pay for NOTICE on the employer for any of the
every year of service following just causes [SUCA]:
Closures or Equivalent to one
cessation of month pay or at least 1. SERIOUS INSULT by the employer or
operations not one-half month pay for his representative on the hour and
due to serious every year of service person of the employee;
business losses or (If due to severe 2. Inhuman and UNBEARABLE
financial reverses financial losses, no TREATMENT accorded the employee
separation pay due.) by the employer or his
Disease Equivalent to at representative;
least one-month salary 3. Commission of a CRIME OR OFFENSE
or to month salary by the employer or his
for every year of representative against the person of
service, whichever is the employee or any of the
greater, a fraction of at immediate members of his family;
least 6 months shall be and
considered one (1) 4. Other causes ANALOGOUS to any of
whole year. the foregoing.

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
San Beda College of Law 52

MEMORY AID IN LABOR LAW

ART. 287. RETIREMENT

RETIREMENT AGE - The age of


retirement is that specified in the CBA or in
the employment contract. In the absence of
a retirement plan or agreement providing for
retirement 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. BOOK SEVEN
The rule is different with respect to
underground mining employees whose
optional retirement age is 50-60 TRANSITORY AND FINAL PROVISIONS
provided they have at least served for
a period of 5 years (Art. 287 as
amended by RA 8558). TITLE II
PRESCRIPTION OF OFFENSES AND CLAIMS
BENEFITS- A retiree is entitled to a
retirement pay equivalent to at least
month salary for every year of service, a ART. 291. MONEY CLAIMS
fraction of at least six (6) months being
considered as one whole year. PERIODS OF PRESCRIPTION

Unless the parties provide for broader Cause Period of


inclusions, the term one half (1/2) month Prescription
salary shall mean: MONEY 3 years from the
15 days plus 1/12 of the 13th month CLAIMS accrual of the causes of
pay and action
the cash equivalent of NOT more than ULP 1 year from the
5 days of service incentive leaves. accrual of the cause of
(22.5 days per year of service) action
ILLEGAL 4 years from the
Under Section 26, R.A. No. 4670, DISMISSAL accrual of the cause of
otherwise known as the Magna Carta for action
Public School Teachers, public school REINSTA 4 years
teachers having fulfilled the age and service TEMENT
requirements of the applicable retirement
laws shall be given ONE RANGE SALARY RAISE
upon retirement, which shall be the basis of
the computation of the lump sum of the
retirement pay and the monthly benefit
thereafter.

NOTE: Exempted from the payment of


retirement pay are retail, service and
agricultural establishments or operations
employing NOT more than ten (10) employees
or workers.

Age Retirement
60-65 Optional but the
employee must have served at
least 5 years

65 Compulsory (no need for


five years of service)

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
San Beda College of Law 53

MEMORY AID IN LABOR LAW

SOCIAL SECURITY SYSTEM


RA1161 as amended by RA 8282
NOTE: The period of prescription
mentioned under Article 292 of the Labor COVERAGE:
Code refers to and is limited to money
claims, all other cases of injury to rights of a Compulsory:
workingman being governed by the Civil 1. Compulsory upon all employees not
Code. Hence, REINSTATEMENT prescribes in over 60 years of age and their
4 years. employers
2. In case of domestic helpers, their
VENUE: The Regional Arbitration Branch monthly income should not be less
where the workplace is located (NLRC Rules than one thousand pesos
of Procedure. Limitation: Sec. 9 (a)
a. Any benefit already earned by
the employees under private
benefit plans existing at the
time of the approval of the Act
shall not be discontinued,
reduced or otherwise impaired
b. Private plans which are existing
and in force at the time of
compulsory coverage shall be
integrated with the plan of the
SSS in such a way where the
employers contribution to his
private plan is more than that
required of him in this Act, he
shall pay to the SSS only the
contribution required of him
and he shall continue his
contribution to such private
plan less his contribution to the
SSS so that the employers total
contribution to his benefit plan
and and to the SSS shall be the
same as his contribution to his
private benefit plan before any
compulsory coverage.
c. Any changes, adjustments,
modifications, eliminations or
improvements in the benefits to
be available under the
remaining private plan, which
may be necessary to adopt by
reason of the reduced
contribution thereto as a result
of the integration shall be
subject to agreements between
the employers and the
employees concerned
d. The private benefit plan which
the employer shall continue for
his employees shall remain
under the employers
managementand control unless
there is an existing agreement
to the contrary.
Appendices e. Nothing in this Act shall be
construed as a limitation on the
SPECIAL LAWS right of employers and
employees to agree on and

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
San Beda College of Law 54

MEMORY AID IN LABOR LAW

adopt benefits which are over 4. Service performed in the employ of a


and above those provided under foreign government, international
this act organization, or their wholly owned
instrumentality;
3. Compulsory upon such self- employed 5. Services performed by temporary
persons as may be determined by the employees, which may be excluded by
Commission including but not limited to the regulation of the commission.
following (Sec 9-A): (APAPI)
1. All self employed professionals EFFECTIVE DATE OF COVERAGE:
2. Partners and single proprietors 1. Employer: It shall take effect on the
3. Actors and actresses directors, first day of his operation
scriptwriters and news 2. Employee: On the day of his
correspondents who do not fall employment
within the definition of the 3. Self-employed: It shall take effect
term employee in Section 8 (d) upon his registration with SSS
of this Act
4. Professional athletes, coaches, Definition of Terms
trainers, and jockeys
5. Individual farmers and EMPLOYER
fishermen Any person natural or juridical,
domestic or foreign, who carries on in the
Voluntary: Philippines, any trade business, industry
undertaking or activity of any kind and uses
1. Spouses who devote full time to the services of another person who is under
managing the household and family his orders as regards the employment except
affairs, unless they are also engaged the Government and any of its political
in other vocation or employment subdivisions, branches or instrumentalities,
which is subject to mandatory including corporations owned or controlled by
coverage, may be covered by the the Government
SSS on a voluntary basis. Self- employed person shall be both
2. Filipinos recruited by foreign based the employer and employee at the same time
employers for employment abroad
may be covered by the SSS on a EMPLOYEE
voluntary basis
3. Employees separated from Any person who performs services
employment may continue to pay for an employer in which either or both
contributions to maintain his right to mental and physical efforts are used and who
full benefits (Sec. 11) receives compensation for such services,
4. Self-employed with no income (11-A) where there is an employer- employee
relationship.
BY AGREEMENT: Self- employed person shall be both
the employer and employee at the same time
Any foreign government, international
organization, or their wholly-owned DEPENDENTS:
instrumentality employing workers in the
Philippines, may enter into an agreement 1. The legal spouse entitled by law to
with the Philippine government for the receive support from the member
inclusion of such employees in the SSS except 2. the legitimate, legitimated or
those already covered by their respective legally adopted and illegitimate
civil service retirement systems (Sec.8 (j (4)). child who is unmarried, not gainfully
employed and has not reached 21
EXCLUDED EMPLOYMENT (SEC. 8 (J)): years of age or if 21 years of age,
1. Employment purely casual and not for he is congenitally incapacitated or
the purpose of occupation or business of while still a minor has been
the employer permanently incapacitated and
2. Service performed on or in connection incapable of self- support, physically
with an alien vessel by an employee if and mentally and
he is employed when such vessel is 3. the parent who is receiving regular
outside the Philippines. support from the member
3. Service performed in the employ of the
Philippine government or BENEFICIARIES
instrumentality or agency thereof.

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
San Beda College of Law 55

MEMORY AID IN LABOR LAW

a. The dependent spouse until he or employee who is less than 65 years


she remarries, the dependent old.
legitimate, legitimated or legally
adopted and illegitimate children 4. Death Benefits
who shall be the primary
beneficiaries of the member 5. Permanent disability benefits
b. PROVIDED that the dependent
illegitimate children shall be 6. Funeral Benefit
entitled to 50% of the share of the A funeral grant equivalent to Twelve
legitimate, legitimated or legally thousand pesos (P12, 000.00) shall be
adopted children. paid, in cash or in kind, to help defray
c. PROVIDED FURTHER in the the cost of funeral expenses upon the
absence of the legitimated, death of a member, including
legally adopted or legitimate permanently totally disabled member or
children, illegitimate children retiree.
shall be entitled to 100% of the
benefits. 7. Sickness benefit
d. IN THEIR ABSENCE, the Requirements:
dependent parents who shall be a. A member must have paid at
the secondary beneficiaries. least 3 monthly contributions in
e. IN THE ABSENCE OF ALL of the the twelve month period
foregoing, any person designated immediately preceding the
by the covered employee as semester of sickness or injury
secondary beneficiary. b. and is confined therefor for more
than three days in a hospital or
Benefits elsewhere with the approval of
the SSS
1. Monthly pension
8. Maternity Leave Benefit
2. Dependents pension It shall be paid to a female employee
It shall be paid for each dependent child who has paid at least 3 monthly
conceived on or before the date of the contributions in the twelve month period
contingency but not exceeding five, immediately preceding the semester of
beginning with the youngest without her childbirth or miscarriage PROVIDED:
substitution PROVIDED that where there a. That the employee shall have
are legitimate and illegitimate children, notified her employer of her
the former shall be preferred. pregnancy and the probable date
of her childbirth which notice
3. Retirement benefits shall be transmitted to the SSS.
A member who has paid at least 120 b. The full payment shall be
monthly contributions prior to the advanced by the employer within
semester of retirement and who: 30 days from the filing of the
a. has reached the age of 60 maternity leave application
years and is already c. Payment of daily maternity
separated from benefits shall be a bar to the
employment or has ceased recovery of sickness benefits
to be self-employed d. The maternity benefits provided
b. has reached the age of 65 under this section shall be paid
years, shall be entitled for only for the first 4 deliveries or
as miscarriages
A covered member who is 60 years old e. The SSS shall immediately
not qualified under No. 1 shall still reimburse the employer 100% of
be entitled to retirement benefits the benefits advanced by the
PROVIDED, he is separated from latter
employment and is not continuing f. If no contributions were remitted
payment of contributions to the SSS by the employer or no notice was
on his own. given to SS, the employer shall be
liable for damages equivalent to
SUSPENSION OF MONTHLY PENSION: Upon the benefits which said employee
the re-employment or resumption member would otherwise have
of self-employment of a retired been entitled to.

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
San Beda College of Law 56

MEMORY AID IN LABOR LAW

Non-transferability of benefits (Sec. shall have life insurance, retirement and all
15) other social security protection such as
Such benefits are not transferable and disability, survivorship, separation and
no power of attorney or other document unemployment benefits.
executed by those entitled thereto, in
favor of any agent, attorney or any other COMPUTATION OF SERVICE
person for the collection thereof on their The computation of service for the
behalf shall be recognized, except when purpose of determining the amount of
they are physically unable to collect benefits payable shall be FROM THE DATE OF
personally such benefits. THE ORIGINAL APPOINTMENT/ ELECTION INCLUDING
PERIODS OF SERVICE AT DIFFERENT TIMES UNDER THE
Sources of Fund AUTHORITY OF THE REPUBLIC OF THE PHILIPPINES
1. Collection: AND THOSE THAT MAY BE PRESCRIBED BY THE GSIS
Beginning on the last day of the month IN COORDINATION WITH THE CIVIL SERVICE
when an employees compulsory COMMISSION.
coverage takes effect and every month All service credited for retirement,
thereafter during his employment, his resignation or separation for which
employer shall pay the employers corresponding benefits have been awarded
contribution and shall deduct and shall be EXCLUDED in the computation of
withhold from such employees monthly service in case of reinstatement in the
salary the employees contribution. service of an employer and subsequent
The same time of collection for self- retirement or separation which is
employed compensable.
2. Remittance:
It shall be remitted within the first 10 Definition of Terms
days of each calendar month following
the month for which they are applicable Employer:
or within such time as the Commission The national government, its political
may prescribe. subdivisions, branches, agencies or
For self-employed they shall remit instrumentalities including GOCCs and
their contributions quarterly on such financial institutions with original
dates and schedules as the Commission charters, the constitutional commissions
may require. and the judiciary

(NOTE: SEE TABLE ON SOCIAL WELFARE Employee or Member:


LEGISLATION FOR COMPARISON WITH GSIS) Any person receiving compensation while
in the service of an employer as defined
herein, whether by election or
appointment, irrespective of status
appointment,

GOVERNMENT SERVICE Dependents:


INSURANCE SYSTEM 1. The legitimate spouse dependent for
RA 8291 support upon the member or
pensioner
COMPULSORY MEMBERSHIP (Sec. 3) 2. The legitimate, legitimated legally
Compulsory for all employees (as adopted child, including the
defined in Section 2 (d) of GSIS Law) illegitimate child who is:
receiving compensation who have not a. unmarried,
reached the compulsory retirement age, b. not gainfully employed,
irrespective of employment status, EXCEPT c. not over the age of
MEMBERS OF THE ARMED FORCES AND THE majority,
PNP, subject to the condition that they must d. or is over the age of
settle first their financial obligations with the majority but incapacitated
GSIS and contractuals who have no employer and incapable of self-
and employee relationship with the agencies support due to a mental or
they serve. physical defect acquired
prior to age of majority
EXCEPT FOR THE MEMBERS OF THE 3. Parents dependent upon the
JUDICIARY AND CONSTITUTIONAL member for support
COMMISSIONS WHO SHALL HAVE LIFE
INSURANCE ONLY, all members of the GSIS Primary Beneficiary

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
San Beda College of Law 57

MEMORY AID IN LABOR LAW

The legal dependent spouse until he/she 1.Collection: The employer shall
remarries report to the GSIS all pertinent
information regarding the employee
Secondary Beneficiary and shall deduct each month from
The dependent parents and subject to the salary or compensation of each
the restrictions on dependent children, employee the contribution payable
the legitimate descendants by him.
2. Remittance: The employer shall
Disability remit directly to the GSIS the
Any loss or impairment of the normal employees and employers
functions of the physical and/or mental contributions within the first ten
faculty of a member which reduces or (10) days of the calendar month
eliminates his/her capacity to continue following the month to which the
with his/her current gainful occupation contributions apply.
or engage in any other gainful 29. Benefits
occupation.
1. SEPARATION BENEFITS (SEC. 11):
Total Disability Separation benefits are given to
Complete incapacity to continue with his the:
present employment or engage in any a. The member resigns or
gainful occupation due to the loss or separates from the service after
impairment of the normal functions of he has rendered at least three
the physical and/or mental faculties of (3) years of service but less than
the member fifteen (15) years or
Permanent Total Disability 1. The member resigns or
Accrues or arises when recovery from separates from office after he
impairment mentioned in Section 2 (Q) has rendered at least fifteen
(defining disability) is medically remote (15) years of service and is
below sixty (60) years of age at
Temporary Total Disability the time of resignation or
Accrues or arises when impaired physical separation.
and/or mental faculties can be
rehabilitated and/or restored to their Separation benefits likewise include:
normal functions
UNEMPLOYMENT OR INVOLUNTARY
Permanent Partial Disability SEPARATION BENEFITS (Sec. 12):
Accrues or arises upon the irrevocable shall be paid to a permanent
loss or impairment of certain portion/s employee who is involuntarily
of the physical faculties, despite which separated from the service due to
the member is able to pursue a gainful the abolition of his office or position
occupation. usually resulting from reorganization
PROVIDED that he has been paying
Sources of Fund integrated contributions for at least
one (1) year prior to contributions.
Contributions
1. It shall be mandatory for the
member and the employer to pay
30. RETIREMENT BENEFITS:
the monthly contributions.
Conditions for entitlement (Sec. 13-
2. The employer shall include in its
A):
annual appropriation the necessary
Member has rendered at least 15
amounts for its share of the
years of service
contributions indicated above PLUS
He is at least 60 years of age at the
any additional premiums that may
time of retirement
be required on account of the
He is not receiving a monthly
hazards or risks of its employees
pension benefit from permanent
occupation.
total disability
3. Failure to do so shall subject the
employers to penal or administrative
2. PERMANENT DISABILITY BENEFITS
sanctions.
General Conditions for Entitlement
(Sec. 15):
Collection and Remittance

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
San Beda College of Law 58

MEMORY AID IN LABOR LAW

The member must have suffered temporary disability benefit not


permanent disability for reasons exceeding 120 days in one calendar
NOT DUE to: year after exhausting all sick leave
1. Grave misconduct credits and collective bargaining
2. Notorious negligence agreement sick leave benefits.
3. Habitual intoxication, or willful PROVIDED:
intention to kill himself or 1. He is in service at the time of
another. his disability
2. If separated, he has rendered at
Specific conditions for entitlement least 3 years of service and has
(Sec. 16): paid at least 6 monthly
He shall receive monthly income contributions in the 12- month
benefit for life equal to the basic period immediately preceding
monthly pension effective from the the disability
date of the disability. PROVIDED: HOWEVER, a member cannot enjoy
temporary total disability benefit and sick
1. He is in the service at the time leave pay simultaneously
of the disability IN ADDITION, If the disability
2. IF SEPARATED FROM SERVICE, requires more extensive treatment that lasts
he has paid at least 36 monthly beyond 120 days, the payment of the
contributions within the 5 year temporary total disability benefit may be
period immediately preceding extended by the GSIS but not to exceed a
the disability or has paid a total total of 240 days
of at least 180 monthly LASTLY, and in no case shall the
contributions prior to the benefit be less than 70 pesos a day.
disability
3. IF HE WAS IN SERVICE AND HAS 5. SURVIVORSHIP BENEFITS:
PAID A TOTAL OF AT LEAST For purposes of survivorship
180 MONTHLY benefits, legitimate children
CONTRIBUTIONS, in addition to shall include legally adopted
the monthly income benefit, he and legitimated children.
shall receive a cash payment
equivalent to 18 times his basic Death of a Member
monthly pension Upon the death of a member, the primary
4. However, a member cannot beneficiaries shall be entitled to:
enjoy the monthly income
benefit for permanent disability 1. SURVIVORSHIP PENSION, PROVIDED:
and the old age retirement
simultaneously. a. Member was in service at the
time of his death
Unless the member has reached the b. If separated from service, has
minimum retirement age, disability rendered at least 3 years of
benefits shall be SUSPENDED when: service and paid 36 monthly
contributions with the 5- year
1. He is reemployed period immediately preceding
2. He recovers from his disability his death or has paid a total of
as determined by the GSIS, at least 180 monthly
whose decision shall be final contributions.
and binding
3. He fails to present himself for 2. SURVIVORSHIP PENSION PLUS A
medical examination when CASH PAYMENT EQUIVALENT TO
required by the GSIS 100% OF HIS AVERAG`E MONTHLY
PERMANENT PARTIAL COMPENSATION FOR EVRY YEAR OF
DISABILITY (Sec. 17): SERVICE
He must satisfy specific PROVIDED: The deceased was in the
conditions 1-3. service at the time of his death with
4. TEMPORARY DISABILITY at least three years of service
BENEFITS (Sec. 18)
3. SURVIVORSHIP PENSION PLUS A
The member shall be entitled to 75% CASH PAYMENT EQUIVALENT TO
of the current daily compensation 100% OF HIS AVERAGE MONTHLY
for each day or fraction thereof of COMPENSATION FOR EVERY YEAR

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
San Beda College of Law 59

MEMORY AID IN LABOR LAW

OF SERVICE HE PAID to the basic survivorship pension for


CONTRIBUTIONS BUT NOT LESS as long as they are qualified, plus
THAN P12, 000 the dependent childrens pension.
PROVIDED That the deceased has
rendered at least 3 years of service 3. When the survivors are the
prior to his death but does not qualify dependent spouse and the
under 1 and 2. dependent children, the
dependent spouse shall receive the
ORDER OF PAYMENT OF THE basic survivorship pension for life or
SURVIVORSHIP PENSION until he/she remarries, and the
dependent children shall receive
1. When the dependent spouse is the the dependents pension.
only survivor, he/shall receive the
basic survivorship pension for life or
until he/she remarries.]

2. When only dependent children are


the survivors, they shall be entitled
IN THE ABSENCE OF PRIMARY arising under the Act and any other laws
BENEFICIARIES, THE SECONDARY administered by the GSIS.
BENEFICIARIES SHALL BE ENTITLED TO: Appealable under Rule 43 and 45 Of
1. Cash payment equivalent to 100% of the 1997 Rules of Civil Procedure. The appeal
his average monthly compensation shall not stay the execution of the order or
for each year of service he paid award unless ordered by the Boards, CA, or
contributions, but not less than SC and the appeal shall be without prejudice
P12,000 PROVIDED that the member to the special civil action of certiorari when
is in service at the time of his death proper.
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.

31. 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

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