Specific Laws

I. Right to hire

RA 7610 (Anti-Child Abuse Law) Art. 8, Section 12

- A child below 15 may be allowed to be employed provided that:

1.) The child works directly under sole responsibility of his parents or legal guardian and
only members of the employer’s family are employed. Provided, that the
employment will not endanger the child’s life, safety, health and morals.
2.) When the child’s employment in public and entertainment such as theatre,
television, radio and among others is essential. Provided, that the employment
contract was expressly agreed by the child. Provided further, that the employer shall
`ensure the protection, safety, health and morals of the child and he shall
implement a continuing program for training and skill acquisition of the child.

RA 7658 (amended Art. 8, Section 12 of RA 7610)

1. It included that the parent or legal guardian shall provide the child with the
prescribed primary and secondary education.

RA 9231 (further amended RA 7610)

1. Included new sections on the Art. 8 Section 12 of RA 7610

 Hours of Work of a working child
– A child below 15 may work 20 hrs a week but not more than 4 hrs per
day. They can’t also work between 8 pm to 6 am.
– A 15 years old child but bellow 18 years old shall not work for more
than 8 hrs a day and not more than 40 hrs a week. They can’t also work
between 10 pm to 6 am.
 Income of the child
– His income shall belong to him but it shall be administered by both of
his parent or guardian. And it shall be used primarily for his education
and skills acquisition and secondarily to the needs of the family
provided not more than 20% of child income will be used to the needs
of the family.
 Creation of trust fund to preserve at least 30% of the child’s income.
 Prohibitions against worst forms of child labor such as slavery, prostitution,
pornography, drug trafficking, and any other work that will endanger his
health, safety, and morals.
Included also a prohibition of child to work as models in any advertisement of
alcoholic beverages, tobacco, gambling etc.

RA 10361 – it shall be unlawful to employ a person below 15 years of age as domestic worker.
II. Nightwork Provisions

RA 10151 (Repealed Art. 130, 131 of the Labor code that prohibited night work of women
workers)

- 10 pm to 6 am
- It doesn’t apply to agriculture, land navigation etc.
- Which states that measures shall be taken to ensure that there is an alternative to night
work available for women workers before, during and after her childbirth.
- Required medical examination of the employee to determine whether they can work at
night
- Facilities

III. RA 7277 (An act providing for rehabilitation, self-development and self-reliance of disabled
Persons)

Sec. 4 – Disabled persons are those suffering from restriction to perform a normal activity
because of mental, physical or sensory impairment.

– Handicap refers to disadvantage of an individual to perform a normal activity because of

mental, physical or sensory impairment.

Sec. 5 – Equal opportunity of employment for a qualified disabled person.

Sec. 7 – Subject to the provision of the code that a disabled person shall be eligible as apprentice
or learner, provided that their disability or impairment does not affect his work.

Sec. 32 – Provides protection against discrimination of disabled persons on his employment

including promotion, benefits and other privileges.

Sec. 46 – Provides penalties for the first and subsequent violations of the act.

IV. Yellow Dog Contract

- It is an agreement between the employee and the employer wherein the employee agrees
not to become a member of a labor union in exchange for employment. It is basically used
to stop employees from organizing union protests and to provide a way for the employer to
pursue legal action against those employees who joined the protests. It is illegal because it
violates the right of the employee to self-organization.

V. RA 9208 (Anti Trafficking in Person Act)

Acts of trafficking:

1. To recruit, transport, or receive a person whether domestic or overseas employment for the
purposes of prostitution, pornography, slavery, drugs etc.
2. To offer or contract marriage to engage the victims to prostitution, pornography, slavery etc.
3. To undertake or organize tours and travel plans for the purpose of offering victims for xxx.
4. To hire a person to engage in prostitution or pornography.
 5. To recruit, hire or abduct person using force, violence, fraud, coercion or intimidation for
the purpose of the removal or sale of the organs of the victim.
6. To recruit or transport a child to engage in armed activities in the PH or abroad.

Cannot be justified as management prerogative because they are illegal.

VI. RA 7877 (Anti- Sexual Harassment Act of 1995)

- In a work-related environment, sexual harassment is committed when sexual favor is made

as a condition in the hiring, re-employment, or continued employment which in case of
refusal will result to discrimination or deprivation of employee’s privileges and
opportunities.
- In education and training environment, sexual harassment is committed when sexual favor
is made as a condition of a passing grade, honors or scholarship.

VII. RA 10911 (Anti Age Discrimination in Employment Act)

Management Prerogatives:

Right to hire
Right to promote
Right to demote
Right to transfer employee
Right to discipline
Limitations on Enactment of Labor Laws

1. Equal Protection Clause:

In the case of Duncan Association vs. Glaxo Wellcome Philippine, the court ruled that it is a
settled principle that the commands of equal protection clause are addressed only to the state
or those acting under its authority, and the equal protection clause erects no s hield against
merely private conduct, however, discriminatory or wrongful. The only exception occurs when
the state in any of its actions has been found to have become involved in the wrongful private
conduct.

Based from existing jurisprudence, equal protection clause has four requisites:

1. The classification rests on substantial distinctions

2. It is germane to the purposes of the law
3. It is not limited to existing conditions only
4. And it applies equally to all members of the same class.

2. Due Process Clause:

Art. III, Sec. 1 of the 1987 Constitution states that no person shall be deprived of life, liberty, or
property, without due process of law, nor shall any person be denied the equal protection of the
laws. That means that before a person can be deprived of his life, liberty or property, he must
be given an opportunity to defend himself.

3. Prohibition against involuntary Servitude

Article III, Sec. 18 Par. 2 states that no involuntary servitude in any form shall exist except as
punishment for a crime whereof the party shall have been duly convicted.

Under RA 10364 or the Expanded Anti-trafficking act in Persons Act, involuntary servitude refers
to a condition of enforced and compulsory service induced by means of any scheme, plan or
pattern, intended to cause a person to believe that if he or she did not enter into or continue in
such condition, he would suffer serious harm or other forms of abuses.

4. Non-impairment Clause

Article III, Sec. 10 states that no law impairing the obligation of contracts shall be passed.

That means that no subsequent law should be pass to change the terms of a contract between
the parties, which imposes new conditions, dispenses with those agreed upon or withdraws
remedies for the enforcement of the rights of the parties.
 However, under the existing jurisprudence, the freedom of contract is not absolute. The same is
subjected to reasonable legislative regulation aimed at the promotion of public health, morals,
safety and welfare.

5. Publication

Article 2, Civil Code states that laws shall take effect after fifteen days following the completion
of their publication in the Official Gazette, unless it is otherwise provided.

The rules are:

1. A law becomes effective on the date it so provides.

2. If the law does not state a date, we take the date of publication and count 15 days after the
publication.
3. If the law provides that it shall take immediately upon approval, it becomes effective on the
date of publication. (case of La Bugal-B’laan Tribal Association)
Recruitment and Placement of Workers

a. Definition (Art. 13)

Worker – means any member of the labor force, whether employed or unemployed.

Recruitment and Placement – any act of canvassing, enlisting, contracting, transporting,

utilizing, hiring or procuring workers for employment, locally or abroad, whether for
profit or not. Provided, that any person or entity, in any manner, offers or promises for a
fee employment to two or more persons shall be deemed engaged in recruitment and
placement.

Private fee-charging employment agency – means any person or entity engaged in

recruitment and placement of workers for a fee which is charged, directly or indirectly,
from the workers or employers or both.

License – a document issued by the DOLE authorizing a person or entity to operate a

private employment agency.

Private recruitment entity – means any person or association engaged in the

recruitment and placement of workers, locally or oversees without charging, directly or
indirectly, any fee from the workers or employers.

Authority – a document issued by the DOLE authorizing a person or association to

engage in recruitment and placement activities as private recruitment entity.

Seaman – means any person employed in a vessel engaged in maritime navigation.

Overseas employment – employment outside the Philippines.

Emigrant – any person, who emigrates to a foreign country by virtue of visa or resident
permit or its equivalent in the country of destination.

People v. Panis – The court ruled that the number of recruited persons is not an
essential element of the act of recruitment and placement of workers, the law merely
lays down a rule that where a fee is collected in consideration of a promise or offer of
employment to two or more, the person or entity who collected the same shall be
deemed to be engaged in recruitment and placement.

People v. Goce – The court ruled that to prove that the accused was engaged in
recruitment and placement activities, it must be shown that the accused gave the
complainant the distinct impression that she had the power or ability to send the
complainant abroad for work, such that the complainant was convinced to give her
money in order to be employed.
 Darvin v. CA and People of the Philippines – The court ruled that the lack of evidence to
prove that the accused offered a job to complainant cannot constitute as recruitment
and placement activities. Hence, the exact money given by the complainant to the
accused was for the payment of air fare and US visa and other expenses as indicated on
the receipt.

B. Domestic Recruitment vs. Overseas Recruitment

In pursuing social justice, Article 15, requires the DOLE to promote employment opportunities.

Hence, the creation of Bureau of Local Employment Services which replaced the Bureau of Employment
services.

Domestic Recruitment – means recruitment for local employment, which is being administered
by the Private Recruitment and Placement Agency (PRPA). PRPA secures license from DOLE
regional office which is not transferable to other persons or entities, and has the validity for 2
years (renewable).

Prior to the approval and issuance of license, an applicant for license to operate a private employment
agency for local employment shall post a cash bond and surety bond which are valid for 2 years and will
answer for all valid and legal claims arising from illegal use of license.

A licensed private recruitment and placement agency may charge a worker a placement fee which shall
not exceed 20% of the worker’s first month basic salary, which is chargeable after the actual
commencement of employment. They may also charge it to employer which shall not exceed 20% of the
worker’s annual salary, but it shall not be deducted from the worker’s salary.

The transportation expenses of the worker from the place of origin to the place of work shall be charged
against the employer and cannot be deducted to the worker’s salary.

New Kasambahay Law, RA 10361: Whether the domestic worker was hired through a private
recruitment agency or a third person, no share or finder’s fee shall be charged against the
domestic worker.

Creation of Public employment service office (PESO) in capital towns, cities and other strategic areas.
They are intended to serve as employment service and information center.
a) They obtain lists of job vacancies from employers and announces them.
b) Invites and evaluates applicants and refer them for probable hiring.
c) Provides training and educational guidance and employment counselling services.
d) Render special \services such as holding of job fairs.
e) Special credit assistance to placed overseas workers.
d) Special program for employment of students during summer or semestral breaks
e) Hiring of workers in infrastructure projects (WHIP) – is a program which requires the
Department of Public Works and Highways and private contractors to hire 30 percent of skilled and 50
percent unskilled laborers from the project area.

Qualifications: The applicant for license to operate a private employment agency must be:

1. For single proprietorship, the applicant must be a resident Filipino Citizen and a minimum
net worth of 1 million pesos.
For partnership or corporation, at least 75% of the authorized capital stock must be owned
and controlled by resident Filipino Citizens and a minimum paid-up capital of 1 million pesos
and that 75% of which must be owned by resident Filipino citizens.

Disqualifications: The applicant for license to operate a private employment agency is disqualified if:

1. Those who are convicted or have pending cases with probable cause for illegal recruitment,
trafficking in persons, anti-child labor law violation or crimes involving moral turpitude.
2. Those applicants whose licenses have been previously revoked or cancelled by the DOLE.
3. Cooperatives under Cooperative act.
4. Law enforcers and any official and employee of the DOLE.
5. Those who have current or existing private employment agency license.
6. Those who have licensed but engaged in job contracting or subcontracting activities.
(Means that the principal contract a job or service to the contractor through its contractor’s
workers, violated labor-only contracting, where the contractor is a mere agent of the
principal not laborer.)
7. They are also disqualified if the applicants are technical-vocational institutions or other
training institutions.

Also, the creation of Philippine Overseas Employment Administration (POEA) which absorbed or
consolidated the functions of Bureau of Employment Services, Overseas Employment Development
Board (OEDB, Art. 17) and the National Seaman Board (NSB, Art. 20)
D. Prohibited Practices/Illegal recruitment (Art. 38)

Illegal recruitment - any act of canvassing, enlisting, contracting, transporting, utilizing, hiring or
procuring workers for employment, locally or abroad, whether for profit or not when
undertaken by a non-license or non-holder of authority.

Prohibited practices (14) whether a license or authority holder or not.

1. To charge or accept fee which is greater than the amount prescribed by the secretary of
labor or to make the worker pay for his loan which is greater than what he actually received.
2. To furnish or publish any false notice in relation to recruitment or employment.
3. To give false info, document or testimony or any other misrepresentation for the purpose of
securing a license or authority.
4. To induce or attempt to induce a worker to quit from his job in order to offer him another,
unless the purpose is to liberate the worker from oppressive terms and conditions of his
employment.
5. To influence or attempt to influence any person or entity not to employ any worker.
6. To engage in recruitment and placement of workers on the jobs which are harmful to public
health, morality or dignity of the country.
7. To obstruct or attempt to obstruct inspection by the secretary of labor or his duly authorized
representative.
8. To fail to submit reports required by the Secretary of labor such as status of employment,
vacancies, remittance and among others.
9. To alter the employment contract to the prejudice of the worker which was approved by
and verified by the DOLE from the time of signing up to the time of its expiration, without
approval of the DOLE.
10. For an officer or agent of agency to become a member of the board of any corporation
engaged in travel agency.
11. To withhold or deny travel documents of the applicant workers for monetary or financial
consideration other than those authorized by the code.
12. Failure to deploy the worker without valid reason.
13. Failure to reimburse the expenses of the worker if the deployment does not take place.
14. To allow a non-filipino citizen to head or manage a licensed recruitment agency.

Elements:

To prove the illegal recruitment the following elements must concur:

1. It must be shown that the accused, without being duly authorized by law, gave the worker the
distinct impression that he had the power or ability to send them abroad for work.
2. That there must be at least a promise or offer of an employment.
Economic Sabotage- Illegal recruitment is considered as economic sabotage if it is committed by a group
of three or more persons conspiring with one another (syndicate), or when it is committed against three
or more persons (large scale).

Under RA 10022 the following are additional prohibited acts:

1. To grant loan to an overseas filipino worker with interest exceeding 8%.

2. Impose a compulsory arrangement where the filipino overseas worker is required to avail a loan
only from specifically designated institutions, persons or entities.
3. Impose a compulsory arrangement where the Filipino overseas worker is required to undergo
health examinations only from specifically designated institutions, persons or entities.
4. Impose a compulsory arrangement where the filipino overseas worker is required to undergo
training, seminar or schooling only from specifically designated institutions, persons or entities.
5. Refuse to renegotiate a loan by an overseas filipino worker after the latter’s employment has
been prematurely terminated without his fault.
6. For a recruitment agency to engage in any kind of recruitment activity while suspended.
7. For a recruitment agency or foreign employer to deduct the payment of insurance fees or any
insurance related charges to the worker’s salary.
Wage – refers to the thing paid by an employer to an employee for the compensation of the rendered
labor of the latter, which is capable of being expressed in terms of money.

The supreme court reached the conclusion that the term wage and salary are in essence synonymous.
However, in the case Rosario Gaa vs Court of Appeals, the court ruled that xxx.

Fair and reasonable Value – refers to price of the board, lodging or other facilities customarily furnished
by the employer to employee. Which shall not include or produce any profit to the employer or to any
person affiliated to the employer.

Facilities vs Supplements: (Mabeza vs. NLRC)

Facilities include articles or services for the benefit of the employee or his family and therefore they can
be deducted from the wage of the employee. While, supplements include tools of the trade, articles or
services primarily for the benefit of the employer or necessary to the conduct of the employer’s
business and therefore they cannot be deducted from the employee’s wage.