GROUP 1 Procedure and Jurisdiction

1 | LLAW: Procedure & Jurisdiction
Labor Arbiter
I. JURISDICTION
Article 224 (a) of the Labor Code of the Philippines confers upon Labor Arbiters
the power to exercise original and exclusive jurisdiction over the cases involving
all workers, whether agricultural or non-agricultural of the following:
a) Unfair Labor Practice

b) Termination disputes
c) Those involving wages, rates of pay, hours of work, and other terms
and conditions of employment, accompanied with a claim for
reinstatement.
d) Claims for actual, moral, exemplary and other forms of damages
arising from employer-employee relations
e) Cases arising from any violation of Art. 264, Labor Code including
questions involving the legality of strikes and lockouts.
f) Monetary claims of overseas contract workers arising from employer-
employee relations under the RA 10022 or Act Amending the Migrant
Workers and Overseas Filipinos Act of 1995.
g) Wage distortion disputes in unorganized establishments not
voluntarily settled by the parties pursuant to Wage Rationalization Act
or RA 6727.
h) Enforcement of compromise agreements when there is non-
compliance by any of the parties pursuant to Art. 227 of the LC, as
amended; and
i) Other cases as may be provided by law.
The Labor Arbiters have thirty (30) calendar days after submission of the case by
the parties for decision without extension, even in the absence of stenographic
notes. However, there are certain exceptions as to the exercise of original and
exclusive jurisdiction. The following cases may be submitted to a voluntary
arbitrator by agreement of the parties under Art. 262 of the Labor Code as the law
prefers voluntary over compulsory arbitration:

a) Assumed cases.
When the DOLE Secretary or the President exercises his power to assume
jurisdiction over national interest cases and decide them himself. 1
b) Certified cases.
When the NLRC exercises its power of compulsory arbitration over similar
national interest cases that are certified to it by the DOLE Secretary pursuant to the
exercise by the latter of his certification power.2
c) Cases arising from collective bargaining agreement (CBA)
When the cases arise from the interpretation or implementation of CBAs, and from
the interpretation or enforcement of company personnel policies which shall be
disposed of by the Labor Arbiter by referring the same to the grievance machinery
and voluntary arbitration, as may be provided in said agreements.3
d) Cases submitted for voluntary arbitration.
When the parties agree to submit the case to voluntary arbitration before a
Voluntary Arbitrator or a Panel of Voluntary Arbitrators, who also possessed
original and exclusive jurisdiction to hear and decide cases mutually submitted by
the parties for arbitration and adjudication. 4
The cases that the Labor Arbiter can hear and decide are employment related.
Where no employer-employee relationship exists between the parties and no issue
is involved which may be resolved by reference to the Labor Code, other labor
statutes, or any collective bargaining agreement, it is the Regional Trial that has
jurisdiction5.
1
Art. 278[g], Labor Code, as amended
2
Ibid
3
Par. c, Art. 224, Sec. 1, Rule V, 2011 NLRC Rules of Procedure
4
UST Faculty Union vs. UST, G.R. No. 203957, July 30, 2014
5
Lapanday Agricultural Dev’t. Corp v. CA, G.R. No. 112139, January 31, 2000

The Labor Arbiter has jurisdiction over controversies involving employers and
employees only if there is a “reasonable casual connection” between the claim
asserted and the employer-employee relations. Absent such link, the complaint is
cognizable by the regular court in the exercise of its civil and criminal jurisdiction.6
In one case, the Supreme Court ruled that if the seafarer had already signed POEA-
approved contract, but was not deployed overseas by the employer, such contract
created certain rights and obligations, the breach of which may give rise to a cause
of action against the erring party. Likewise, if the seafarer failed or refused to be
deployed as agreed upon, he could not have been liable for damages. 7 Despite the
absence of the employer-employee relationship between the seafarers and the
manning agency, the NLRC has jurisdiction because the jurisdiction of the Labor
Arbiter is not limited to claims arising from employer-employee relationships. 8
Cases not cognizable by the Labor Arbiter
The following cases do not fall under the jurisdiction of the Labor Arbiters:
i. Foreign governments9
ii. International agencies10
iii. Intra-corporate disputes which fall under P.D. 902-A and
now falls under the jurisdiction of the regular courts pursuant
to the new Securities Regulation Code11
iv. Executing money claims against government12
v. Cases involving GOCCs with original charters which are
governed by civil service law, rules or regulations13
vi. Local water district except where NLRC jurisdiction is
invoked
vii. The aggregate money claim does not exceed P5,000 and
without claim for reinstatement
6
Pepsi-Cola Distributors of the Phils., Inc. v. Hon. Gallang, G.R. No. 89261, 24 September 1991
7
Santiago v/ CF Sharp Crew Mgt., Inc., G.R. No. 162419, 10 July 2007
8
Ibid
9
JUSMAG-Phils. v. NLRC, G.R. No. 108813, December 15, 1994
10
Lasco v. NLRC, G.R. Nos. 109095-109107, February 23, 1995
11
Nacpil v. IBC, G.R. No. 144767, March 21, 2002
12
Dept. of Agriculture v. NLRC, G.R. No. 104269, November 11, 1993
13
1987 Constitution, Art. IX-B, Sec.2(1))

viii. Claim of Employee for cash prize under the Innovation
Program of the company, although arising from Employer-
Employee relationship, is one requiring application of
general civil law on contracts which is within the jurisdiction
of the regular courts
ix. Cause of action based on quasi-delict or tort which has no
reasonable connection with any of the claims enumerated in
Art.217 of Labor Code
x. Complaint arising from violation of training agreement.
Rules on venue of filing of cases
a.) All cases which the Labor Arbiters have authority to decide may be filed in
the Regional Arbitration Branch (RAB) having jurisdiction over the
workplace of the complainant petitioner. Workplace is understood to be the
place or locality where the employee is regularly assigned when the cause of
action arose. It shall include the place where the employee is supposed to
report back after a temporary detail, assignment or travel.
In case of field employees, as well as ambulant or itinerant workers, their

workplace is where they are: a.) regularly assigned; b.) supposed to regularly
receive their salaries and wages; c.) receive their work instructions from; and
d.) reporting the results of their assignment to their employer.
b.) Where two or more RABs have jurisdiction over the workplace, the first to
acquire jurisdiction shall exclude others.
c.) Where two or more RABs have jurisdiction over the workplace, the first to
acquire jurisdiction shall exclude others.
d.) Venue may be changed by written agreement of the parties or when the
NLRC or the LA so orders, upon motion by the proper party in meritorious
cases.
e.) For Overseas Contract Workers where the complainant resides or
where the principal office of the respondent Employer is located, at the
option of the complainant.

II. REQUIREMENTS TO PERFECT APPEAL TO
NLRC
Decisions or orders of the labor arbiter may be appealed to the NLRC by any or
both parties within ten (10) calendar days from the receipt of such decisions or
orders. Otherwise, it shall become final and executory upon the expiration of such
period which entitles the prevailing party, as a matter of right, to a writ of
execution and issuance thereof is a ministerial duty compellable by mandamus. 14
The appeal may be entertained only on any of the following grounds:
1. If there is prima facie evidence of abuse of discretion on the part

of the Labor Arbiter or Regional Director of t;
2. If the decision, award or order was secured through fraud or
coercion, including graft and corruption;
3. If made purely on questions of law; and/or
4. If serious errors in the findings of facts are raised which, if not
corrected, would cause grave or irreparable damage or injury to
the appellant15
An appeal by the employer may be perfected only upon posting of a cash or surety
bond, issued by a reputable bonding company duly accredited by the NLRC, in the
amount equivalent to the monetary award in the judgment appealed from16 It must
be verified and certified against forum shopping by the parties themselves 17 In all
cases, the appellant shall furnish a copy of the Memorandum of Appeal to the other
party, who shall file an answer not later than 10 calendar days from receipt
thereof.18
14
Abbot vs NLRC, 145 SCRA 206
15
NLRC 2011 Rules of Procedure, Rule VI, Sec. 2
16
Ibid
17
Antonio B. Salenga, et al. vs. CA, G.R. No. 174941, February 1, 2012.
18

If the motion is denied, the aggrieved party may file a petition for certiorari not
later than 60 days from notice of the judgment, order or resolution. In case a
motion for reconsideration or new trial is timely filed, whether such motion is
required or not, the 60 day period shall be counted from notice of the denial of said
motion. No extension of time to file the petition shall be granted except for
compelling reason and in no case exceeding 15 days.19
III. EXECUTION
The writ of execution shall issue in the name of the Republic of the Philippines
signed by Labor Arbiter ordering the Sheriff to execute the decision, order, or
award of the Labor Arbiter, and must contain the complete name of the party,
whether natural or juridical, against whom the writ of execution was issued, the
dispositive portion thereof, the amount, if any, to be demanded, and all legal fees
to be collected from the losing party or any other person required by law to obey
the same.
A writ of execution shall be effective for a period of five (5) years from date of
entry of judgment or issuance of certificate of finality. 20
IV. REINSTATEMENT PENDING APPEAL

In any event, the decision of the Labor Arbiter reinstating a dismissed or separated
employee insofar as the reinstatement is concerned, shall immediately be executory,
even pending appeal Unless there is a restraining order, it is ministerial upon the
LA to implement the Order of Reinstatement, and mandatory on the part of the
employer to comply therewith 21 The employee shall either be: (a) admitted back to
work under the same terms and conditions prevailing prior to his dismissal or
separation; or (b) At the option of the employer, merely reinstated in the payroll.
Posting of a bond by the employer shall not stay the execution for reinstatement. 22
19
Rules of Court, Rule 65, Sec. 4
20
Article 224 of the Labor Code as amended
21
Garcia vs. PAL, G.R. No. 164856, January 20, 2009
22
Ibid

Reversal of the Order of Reinstatement of the Labor Arbiter
Throughout the period of appeal until its reversal by a higher court, it is obligatory
on the part of the employer to: (a) Reinstate; and (b) Pay the wages of the
dismissed employee. If the employee has been reinstated during the appeal period,
and such reinstatement order is reversed with finality, he is NOT required to
reimburse whatever salary he received. He is entitled to such especially if he
rendered services during that period.23
When writ of execution of Labor Arbiter’s reinstatement order is still required, the
following are the instances when a writ of execution should still be issued
immediately, even pending appeal, by the Labor Arbiter to implement his order of
reinstatement24:
a. When the employer disobeys the prescribed directive to submit a

report of compliance within ten (10) calendar days from receipt of
the decision; or
b. When the employer refused to reinstate the dismissed employee.
V. PAYMENT OF BOND
a. Posting of an appeal bond required to perfect an appeal from a

Labor Arbiter’s decision involving monetary award
In case the decision of the Labor Arbiter or the RD involves a

monetary award, an appeal by the employer may be perfected only
upon the posting of a bond25.
The condition of posting a cash or surety bond is not a meaningless

requirement – it is meant to assure the workers that if they prevail
23
Garcia vs. Philippine Airlines Inc., G.R. No. 164856, January 20, 2009
24
2011 NRLC Rules and Procedures
25

in the case, they will receive the money judgment in their favor
upon the dismissal of the former’s appeal. Such aim is defeated if
the bond issued turned out to be invalid due to the surety
company’s expired accreditation26
b. Forms of the appeal bond
It shall either be in the form of cash deposit or surety bond equivalent

in amount to the monetary award, exclusive of damages and attorney's
fees27.
c. Issuance of a surety bond
It shall be issued by a reputable bonding company duly accredited

by the Commission or the SC,
d. Period within which a cash or surety bond shall be valid and

effective
From the date of deposit or posting, until the case is finally decided,
resolved, or terminated, or the award satisfied. This condition shall
be deemed incorporated in the terms and conditions of the surety
bond, and shall be binding on the appellants and the bonding
company.
e. McBurnie v. Ganzon Doctrine on motion to reduce bond28
The following guidelines shall be observed:
1. The filing of a motion to reduce appeal bond shall be entertained

by the NLRC subject to the following conditions:
26
Mount Carmel College Employees Union (MCCEU)/Romulo S. Bascar, et al. v. Mount Carmel College,
Incorporated, G.R. No. 187621, September 24, 2014
27
NLRC 2011 Rules of Procedure Rule VI, Sec. 6
28
McBurnie v. Gauzon, G.R. No. 178034, October 13, 2013

(1) there is meritorious ground; and
(2) a bond in reasonable amount is posted;
2. For purposes of compliance with condition no. (2), a motion
shall be accompanied by the posting of a provisional cash or
surety bond equivalent to ten percent (10%) of the monetary
award subject of the appeal, exclusive of damages and attorney’s
fees;
3. Compliance with the foregoing conditions shall suffice to
suspend the running of the 10-day reglementary period to perfect
an appeal from the Labor Arbiter’s decision to the NLRC;
4. The NLRC retains its authority and duty to resolve the motion to
reduce bond and determine the final amount of bond that shall
be posted by the appellant, still in accordance with the standards
of “meritorious grounds” and “reasonable amount”; and
5. In the event that the NLRC denies the motion to reduce bond, or
requires a bond that exceeds the amount of the provisional bond,
the appellant shall be given a fresh period of ten (10) days from
notice of the NLRC order within which to perfect the appeal by
posting the required appeal bond.

National Labor Relations and Commission
(NLRC)
I. JURISDICTION
The National Labor Relations and Commission or NLRC is an administrative body
with quasi-judicial functions, and the principal government agency that hears and
decides labor-management disputes. It is vested with exclusive jurisdiction over
the following cases:
a. Certified labor disputes causing or likely to cause a strike or lockout

in an industry indispensable to national interest, certified to it by the
SOLE or the President of the Philippines for compulsory arbitration;
b. Injunction in ordinary labor disputes to enjoin or restrain any actual or
threatened commission of any or all prohibited or unlawful acts or to
require the performance of a particular act in any labor dispute which,
if not restrained or performed forthwith, may cause grave or
irreparable damage to any party;
c. Injunction in strikes or lockouts under Art. 279 of the LC;
d. Contempt cases.
Under Art. 224 (b), the NLRC has an exclusive appellate jurisdiction over the
following:
a. All cases decided by the Labor Arbiter under Art. 224(b) of the LC
and Sec. 10 of RA 8042 (Migrant Worker’s Act);
b. Cases decided by the Regional Offices of DOLE in the exercise of
its adjudicatory function under Art. 129 of the LC over monetary
claims of workers amounting to not more than P5,000 and not
accompanied by claim for reinstatement;
c. Decision by the LA in Contempt cases.

II. EFFECT OF NLRC REVERSAL OF LABOR
ARBITER’S ORDER OF REINSTATEMENT
It is settled that if the order of reinstatement of the Labor Arbiter is reversed on
appeal, it is obligation of the employer to reinstate and pay the wages of the
dismissed employee during the period of appeals until its reversal by the NLRC, or
the CA or the SC, as the case may be. If the employee has been reinstated during
the appeal period and such reinstatement order is subsequently reversed on appeal
with finality, the employee is not required to reimburse whatever salaries he has
received for he is entitled to such, more so if he actually rendered services during
said period. 29
If the employee was reinstated:
The Bergonio Doctrine : After reversal of Labor Arbiter’s decision, the

employer’s duty to reinstate the dismissed employee in the actual service
or in the payroll is effectively terminated. The employee, in turn is not
required to return the wages that he had received prior to the reversal of
the LA’s decision.30
If there was only payroll reinstatement:
Wenphil Rule: The period for computing the backwages due to the
dismissed employees during the period of appeal should end on the
date that a higher court reversed the labor arbitration ruling of illegal
dismissal.31
If employee was neither reinstated to his former position:

Roquero Doctrine: When an employee is ordered reinstated by the LA and
the employer fails or refuses to obey the reinstatement order but initiates an
appeal, the employer‘s success in having the decision of the LA reversed on
appeal will not exculpate him from the liability to pay the reinstatement
29
Roquero vs PAL, GR No. 152329, 22 Apri; 2003; Air Phils. Corp vs Zamora, GR No. 148247, 7 August 2006
30
Bergonio Jr. vs South East Asian Airline, G.R. No. 195227, April 21, 2014
31
Wenphil Corporation v. Abing, April 7, 2014.

wages of the employee from the time he was reinstated until the date of
reversal on appeal.32
If employee was neither reinstated to his former position:
Garcia Doctrine: The test to determine the liability of the ER (who did not
reinstate the EE pending appeal) to pay the wages of the dismissed EE
covering the period from the time he was ordered reinstated by the LA to the
reversal of the LA‘s decision is two-fold:1. There must be actual delay or the
fact that the order of reinstatement pending appeal was not executed prior to
its reversal;and 2. Delay must not be due to the EE‘s unjustified act or
omission. 33
III. REMEDIES
Appeal
Judicial review of NLRC’s decision is available through a petition for certiorari

(Rule 65) which should be initially filed with the CA in strict observance of the
doctrine on the hierarchy of courts as the appropriate forum for the relief desired.
The CA is procedurally equipped to resolve unclear or ambiguous factual finding,
aside from the increased number of its component divisions.34
Extraordinary remedies
The extraordinary remedies are found under Rule XII of the 2011 NLRC Rules of
Procedure. It is equivalent to nor a substitute for appeal. It is directed against
“orders: or resolutions issued by the Labor Arbiter in the course of proceedings
before him where the remedy of appeal is not available.
In order to exercise of the Extraordinary remedies, the following grounds shall

exist:
a.) There is prima facie evidence of abuse of discretion on the part of LA;
b.) Serios errors in the findings of fact are raised which, if not correct would
cause grave or irreparable damage or injury to the petitioner
32
Roquero vs. PAL, G.R. No. 152329, April 22 2003.
33
(Garcia vs. PAL, G.R. No. 164856, January 20, 2009);
34
St. Martin Funeral Home v. NLRC, G.R. No. 130866, Sept. 16, 1998

c.) A party has been prevent from taking an appeal due to fraud, accident,
misyake or excusable negligence;
d.) Made purely questions of law
e.) Order or resolution will cause injustice if not rectified35
Verified Petition
A party aggrieved by any order or resolution of the Labor Arbiter, including a writ
of execution and others issued during execution proceedings, may file a verified
petition to annul or modify the same. The petition may be accompanied by an
application for the issuance of a temporary restraining order and/or writ of
preliminary or permanent injunction: a.) to enjoin the Labor Arbiter, or b.) any
person acting under his/her authority or to desist from enforcing said resolution,
order, or writ 36
IV. CERTIFIED CASES- PROCEDURE
1. Unless there is a necessity to conduct a clarificatory hearing, the Commission shall

resolve all certified cases within 30 calendar days from receipt by the assigned
Commissioner of the complete records, which shall include the position papers of the
parties and the order of the SLE denying the motion for reconsideration of the
certification order, if such motion has been filed.
2. Where a clarificatory hearing is needed, the Commission shall, within five days
from receipt of the records, issue a notice to be served on the parties through the
fastest means available, requiring them to appear and submit additional evidence, if
any.
3. Notwithstanding the necessity for a clarificatory hearing, all certified cases shall be
resolved by the Commission within 60 calendar days from receipt of the complete
records.
4. No motion for postponement or extension shall be entertained.37
35
Rule XII, Section 2, 2011 NLRC Rules of Procedure.
36
Sec. 1, Rule XII, 2011 NLRC Rules of Procedure, as amended by En Banc Resolution No. 07-14
37
Sec. 5, Rule VII, 2011 NLRC Rules of Procedure

Bureau of Labor Relations- Mediator-Arbiters
I. JURISDICTION
Mediator-Arbiter
The cases falling under the original and exclusive jurisdiction of the Med-Arbiters
are as follows:
1. Inter-union conflicts (also known as representation/certification election

conflicts);
2. Intra-union conflicts; and
3. Other related labor relations disputes. [IRR of Labor Code, Book V, Rule I,
Sec. 1(ii)]
An “inter-union dispute” refers to a case involving a petition for certification

election filed by duly registered labor organization which is seeking to be
recognized as the sole and exclusive bargaining agent of the rank-and-file
employees or supervisory employees, as the case may be, in the appropriate
bargaining unit of a company, firm or establishment 38
On the other hand, an “intra-union dispute”. “internal union dispute” or

organization dispute refers to any conflict between and among union members,
including grievances arising from any violation of the rights and conditions of
membership, violation of or disagreement over any provision of the union’s
constitution and by-laws or disputes arising from chartering or affiliation of a
union. 39
38
Rule III, NCMB Manual of Procedures for Conciliation and Preventive Mediation Cases
39
Ibid

Under Section 1 of Book V, Rule XI of DO No. 040-I-15, Inter/Intra – Union
Disputes shall include:
1. Cancellation of registration of a labor organization filed by its members or

by another labor organization
2. Conduct of election of union and workers’ association
3. Audit/accounts examination of union or worker’s association funds;
4. Deregistration of collective bargaining agreements;
5. Validity/invalidity of union affiliation or disaffiliation;
6. Validity/invalidity of acceptance/nonacceptance for union membership;
7. Validity/invalidity of impeachment/expulsion of union and workers
association officers and members;
8. Validity/invalidity of voluntary recognition;
9. Opposition to application for union and CBA Registration;
10.Violations of or disagreements over any provision in a union or workers’
association constitution and by-laws;
11.Disagreements over chartering or registration of labor organizations and
collective bargaining agreements;
12.Violations of the rights and conditions of union or workers’ association
membership
13.Violations of the rights of legitimate labor organizations, except
interpretation of collective bargaining agreements
14.Such other disputes or conflicts involving the rights to self-organization,
union membership and collective bargaining –
a. Between and among legitimate labor organizations
b. Between and among members of a union or workers’ association.
“Other related labor relations dispute” refers to any conflict between a labor union
and the employer or any individual, entity or group that is not a labor union or
workers’ association.
More specifically, it may refer to any of the following:

(a) Any conflict between:
(1) a labor union and an employer, or
(2) a labor union and a group that is not a labor organization; or
(3) a labor union and an individual who is not a member of such
union;

(b) Cancellation of registration of unions and workers’ associations
filed by individuals other than its members, or group that is not a labor
organization; and
(c) A petition for interpleader involving labor relations.
BLR Director
The BLR Director has original and exclusive jurisdiction over the following:
1. Complaints and petitions involving the registration or cancellation of

registration of federations, national unions, industry unions, trade union
centers and their local chapters, affiliates and member organizations; 40
2. Request for examination of books of accounts of said labor organizations 41
3. Intra-union disputes involving said labor organizations 42;
4. Notice of merger, consolidation, affiliation, and change of name of said
unions and/or petition for denial thereof 43;
5. Registration of multi-employer CBAs or petitions for deregistration thereof44;
and
6. Contempt cases45.
The BLR Director exercises exclusive appellate jurisdiction over:

1. All decisions of the Med-Arbiter in:
a. Inter/Intra-union disputes (Note: Complaints involving Federations,

National Unions, etc. pursuant to Rule XI Sec. 4, formerly Sec. 5, as
amended by D.O. 40-F-03).
b. Other related labor relations disputes.
2. All decisions from the DOLE Regional Director in the cases falling
under their original jurisdiction as enumerated. 46
40
IRR of Labor Code, Book V, Rule XIV, Sec. 1, as amended)
41
Labor Code, Art. 289
42
43
IRR of Labor Code, Book V, Rule IV, Sec. 5
44
IRR of Labor Code, Book V, Rule XI, Sec. 4
45
(IRR of Labor Code, Book V, Rule XXII, Sec. 1, as amended
46
Sec. 14, Rule XI, Book V, IRR

DOLE Regional Director
The cases under falling the original and exclusive jurisdiction of the DOLE
Regional Directors are as follows:
1. Petition for cancellation of registration of independent unions, local chapters

and worker’s association 47
2. Registration of CBAs or re-negotiated CBAs 48and
3. Request for examination of books of accounts of said labor organizations 49
II. REMEDIES
1. APPEALS END WITH BLR DIRECTOR AND DOLE
SECRETARY
Notably, the remedy of appeal involved in the cases contemplated

under Article 232 [226] is available only up to the level of either the
BLR Director or the DOLE Secretary, as the case may be. Appeal to
the CA from their decisions rendered in their respective appellate
jurisdictions is not available; the only remedy being the filing of an
original special civil action for certiorari under Rule 65 of the Rules of
Court.
In the case of decisions rendered by the BLR Director in his appellate
jurisdiction, they can no longer be appealed to the DOLE Secretary
because another appeal to the DOLE Secretary is not tenable anymore,
the BLR Director’s decisions thereon having already become final and
executory.
2. REMEDY FROM CA DECISIONS TO THE SUPREME

COURT.
There is only one mode to elevate labor cases from the CA to the
Supreme Court and that is, through Rule 45 petition for review on
certiorari.
47
IRR of Labor Code, Book V, Rule XIV, Sec. 1, as amended;
48
IRR of Labor Code, Book V, Rule XVIII, Sec. 4 and Sec. 8, as amended;
49

National Conciliation and Mediation Board (NCMB)
The National Conciliation and Mediation Board (NCMB) is the agency attached to
the Department of Labor and Employment principally in charge of the settlement
of labor disputes through conciliation, mediation, and of the promotion of
voluntary approaches to labor dispute prevention and settlement.50
I. NATURE OF PROCEEDINGS
The NCMB is not a quasi-judicial agency exercising quasi-judicial functions.

It is merely a conciliatory body for the purpose of facilitating settlement of
dispute between the parties. Hence, its decision cannot be elevated to the
Court of Appeals via a Rule 43 petition.51
II. CONCILIATION VS MEDIATION BOARD
Generally, both Conciliation and Mediation refer to a process whereby

a third person (a Conciliator for conciliation and Mediator for
mediation) intervenes in a dispute involving two (2) or more
conflicting parties for the purpose of reconciling their differences or
persuading them into adjusting or settling their dispute.52
The two processes slightly differ in the manner of intervention by the

neutral third party. In Conciliation, the Conciliator, who, relying on
their persuasive expertise, takes an active role in assisting parties by
trying to keep disputants talking, facilitating other procedural niceties,
carrying messages back and forth between parties, and generally being
a good fellow who tries to keep things calm and forward-looking in a
tense situation.53 On the other hand, in Mediation, the Mediator starts
advising the parties or offering solutions or alternatives to the
50
Rule III, 2017 Revised NCMB Manual of Procedures for Conciliation and Preventive Mediation Cases.
51
Tabigue v. International Copra Export Corporation, G.R. No. 183335, December 23, 2009.
52
Chan, 2019 Bar Reviewer on Labor Law.
53
Rule III (No. 4), 2017 Revised NCMB Manual of Procedures for Conciliation and Preventive Mediation Cases.

problems with the end view of assisting them towards voluntarily
reaching their own mutually acceptable settlement of dispute.54
Mediation is classified into two (2): (i) Facilitative Mediation, where
the Mediator does not make or offer any opinion; or (ii) Evaluative
Mediation, where the Mediator offers and opinion which is not
binding on the parties.55
In mediation, the Mediator is not empowered to impose his will on the

parties. In conciliation, however, the Conciliator is given more power
and authority. They may offer not only an opinion on the issues at
hand, but they may actually make a binding opinion, provided that the
parties stipulate in advance to that effect. It can thus be concluded that
Conciliation is more formal than Mediation.56
III. PREVENTIVE MEDIATION

Preventive Mediation, as a remedy, covers potential labor disputes that
are subject of a formal or informal request for conciliation and mediation
assistance sought by either or both parties or upon the initiative of the
NCMB to avoid the occurrence of actual labor disputes and in order to
remedy, contain, or prevent its degeneration into a full blown dispute
through amicable settlement.57
Preventive Mediation proceedings may be initiated in two (2) ways:58
1) By filing a notice or request of preventive mediation, as

distinguished from a notice of strike/lockout; or
2) By conversion of the ntice of strike/lockout into a preventive
mediation case.
54
Rule III (No. 22), 2017 Revised NCMB Manual of Procedures for Conciliation and Preventive Mediation Cases.
55
56
57
Rule III (No. 28), 2017 Revised NCMB Manual of Procedures for Conciliation and Preventive Mediation Cases
58

Procedurally, the filing of the notice of preventive suspension is the first
step to submit a case fort mediation. It is only after this step that a
submission agreement may be entered into by the parties concerned.59
As distinguished from a notice of strike/lockout, “notice of preventive

mediation” refers to the notification filed by either an employer or a duly
registered labor union with the NCMB-DOLE, informing the latter of its
desire to submit the issues between them for preventive mediation and
conciliation. The issues that may be submitted may either be strikeable or
non-strikeable.
In cases of strikeable issues, the parties may mutually agree that the same
be treated or converted into a preventive mediation case, in which event,
no strike or lockout may be legally and validly mounted based on the
same issues. The conversion had the effect of dismissing the notice of
strike/lockout and removing it from the docket of notices of
strike/lockout. On the other hand, in cases of non-strikeable issues raised
in a notice of strike/lockout, the NCMB may, motu propio, convert the
same into a preventive mediation case or, alternatively, refer said issues
to voluntary arbitration, if they are in the nature of unresolved grievances,
or to the Med-Arbiter, if they involved representation or inter-union
disputes.60
The NCMB has the authority to convert a notice of strike/lockout filed by

the union. employer into a preventive mediation case under any of the
following circumstances:
1) When the issues raised in the notice of strike/lockout are not

strikeable in character;
59
Insular Hotel Employees Union-NFL v. Waterfront Insular Hotel Davao; G.R. No. 174040-41, September 22,
2010.
60

2) When the party which filed the notice of strike/lockout voluntarily
asks for the conversion; or
3) When both parties to a labor dispute mutually agree to have it
subjected to preventive mediation proceeding.
Such authority is in pursuance of the NCMB’s duty to exert all efforts at
mediation and conciliation to enable the parties to settle their dispute
amicably and in line with the State policy of favoring voluntary modes of
settling labor disputes.
In converting a notice of strike or lockout to a preventive mediation case

the following guidelines shall be observed:
a. Clearly determine whether the issue/s raised is/are valid

ground/s for NS/L;
b. If conversion is warranted, a written recommendation from
the Conciliator-Mediator handling the case is required, after
due consultation with the Branch Director;
c. The written recommendation must be formally endorsed to
the Branch Director for approval;
d. The conversion shall be done before the cooling-off period
expires;
e. Parties concerned must be formally notified of the action
taken by the Regional Branch through a letter signed by the
Conciliator-Mediator handling the case and approved by the
Branch Director;
f. The notice shall be dropped from the dockets and to be
renumbered as a preventive mediation case; and
g. A conference shall be immediately set by the concerned
Conciliator-Mediator.61
61
Section 5, Rule V, 2017 Revised NCMB Manual of Procedures for Conciliation and Preventive Mediation Cases

IV. EXECUTION, NON-COMPLIANCE AND REMEDIES
Conciliation and mediation are non-litigious/non-adversarial. Under this
informal set-up, the parties find it more expedient to fully ventilate their
respective positions without running around with legal technicalities.
There is a wider latitude of possible approaches to the problem.
Furthermore, the parties to conciliation or mediation are bound to honor

any agreement entered into by them. Such agreement came into an
existence as a result of painstaking efforts among the union and the
Conciliator-Mediator. Therefore, it is only logical to assume that the
Conciliator assigned to the case has to follow-up and monitor the
implementation of the agreement.

DOLE Regional Directors
I. JURISDICTION
The DOLE Regional Directors shall have original and exclusive jurisdiction over
the following case:
a) Labor standards enforcement cases, as the duly authorized

representative of the SOLE62;
b) Small money claims from labor standards violations not exceeding

P5,000 and not accompanied with a claim for reinstatement63;
c) Operational safety and health conditions. The DOLE Regional

Directors can order stoppage or suspension of operations)64;
d) Registration of unions and cancellations thereof, cases filed against

unions and other labor relations related cases. This is applicable only
if against an independent labor union, chartered local or workers’
association65;
e) Complaints against private recruitment and placement agencies for

local employment66; and
f) Cases submitted to voluntary arbitration in their capacity as Ex Officio Voluntary

Arbiters67.
62
Art. 128
63
Art. 129
64
Art. 128; Bk. IV, Rule II, Sec. 8
65
Sec. 4, Rule XI (renumbered, D.O. 40-F-03)
66
Secs. 45/46, D.O. 141-14
67
D.O 83-07, Series of 2007

II. POWERS
The DOLE Regional Director shall have the following powers:
a) Visitorial And Enforcement Power
The Regional Director shall have access to employer’s records and

premises with right to copy or investigate to determine violations of
law).
The Regional Director can inquire into the financial activities of any
legitimate labor organization and examine their books and records to
determine compliance with the law if requested by at least 20% of
total membership
The appeal of decisions from visitorial and enforcement power to the

SOLE within 10 calendar days from receipt thereof [Rule IV, sec. 1,
Rules on Disposition of Labor Standard Cases in the Regional Offices]
b) Recovery And Adjudicatory Power
The Regional Director or any of his duly authorized hearing officers is

empowered through summary proceeding and after due notice, to hear
and decide cases involving recovery of wages and other monetary
claims and benefits, including legal interests.
Requisites For Regional Director To Decide Small Money Claims
The following requisites must be present before a Regional Director

Can Decide Small Money Claims: (a) Claim is presented by an
employee, or a person employed in domestic or household service, or
employer; (b) The claim arises from an EER; (c) The claimant does
not seek reinstatement; and (d) The aggregate money claim of each
claimant does not exceed PhP 5,000.

Appeal of Decision or Resolution From The Decision Of The Regional Director
Any decision or resolution of the Regional Director or hearing officer

pursuant to this provision may be appealed within five (5) calendar
days from receipt of a copy of the RD’s decision or resolution 68.
The appeal shall be filed with the National Labor Relations

Commission which shall resolve the appeal within ten (10) calendar
days from the submission of the last pleading required or allowed
under its rules.
On the tolling of reglementary period for filing an appeal
The Court has ruled that motions for reconsideration not served on the
adverse party do not toll the running of the reglementary period for
filing an appeal. Upon lapse of the reglementary period, the judgment
sought to be reconsidered becomes immutable. Rule I, Sec, 19 of the
Rules on the Disposition of Labor Standards Cases in the Regional
Offices allows an aggrieved party to file a motion for reconsideration
of the Order of the Regional Office.69.
Any decision or resolution of the Regional Director or hearing

officer must be filed within five (5) calendar days from receipt of a
copy of said decision or resolution.
Art. 129, par. 5

68
Alejandro Ceprado, Ir. et al vs. Nationwide Security and Allied Services, Inc
69

DOLE Secretary
I. POWERS
Article 128 of the Labor Code, as amended, enunciates the three kinds of power
which the DOLE Secretary and/or Regional Directors, his duly authorized
representatives, may exercise in connection with the administration and
enforcement of the labor standards provisions of the Labor Code and of any labor
law, wage order or rules and regulations issued pursuant thereto.
Visitorial Power
The Secretary of Labor and Employment or his duly authorized representative shall
have access to employer’s record and premises at any time of the day or night
whenever the work is being undertaken therein, and the right to copy therefrom, to
question any employee and investigate any fact, condition or matter which may be
necessary to determine violation of labor standards or may aid in the enforcement
of the Labor Code and of any labor law, wage order or rules and regulation issued.
70
Enforcement Power
Article 128 (b) of the Labor Code defines the enforcement power of the Secretary
of Labor and Employment or his duly authorized representative:
“Notwithstanding the provisions of Articles 129 and 217 of this Code to the
contrary, and in cases where the relationship of employer-employee still exists, the
Secretary of Labor and Employment or his duly authorized representatives shall
have the power to issue compliance orders to give effect to the labor standards
provisions of the Code and other labor legislation based on the findings of the
labor employment and enforcement officers or industrial safety engineers made in
the course of inspection. The Secretary or his duly authorized representatives shall
issue writs of execution to the appropriate authority for the enforcement of their
orders, except in cases where the employer contests the findings of the labor
employment and enforcement officer and raises issues supported by documentary
proofs which were not considered in the course of inspection”.
70
Sec. 4, Rule I, Rules on the Disposition of Labor Standard Cases, 16 September 1987

The following conditions must concur in the exercise of power to order compliance
or enforcement power:
a.) The employer-employee relationship still exists. The purpose is to assure the
worker the rights and benefits due him under labor standards laws, without
having to go through arbitration. The worker need not litigate to get what
legally belongs to him71
b.) The finding of labor regulation officers or industrial safety engineers were
made in the course of inspection72; and
c.) The employer does not contest such finding nor raise issues which cannot be
resolved without considering evidentiary matters that are not verifiable in
the normal course of inspection. A contest of this nature by employer may
divest the Regional Director of jurisdiction to exercise his enforcement
power 73
Power to suspend the effects of termination
Suspension of the effects of termination will necessarily result in the immediate

reinstatement of the terminated employees. An order of reinstatement pending
resolution of the case may thus be issued by the DOLE Secretary pursuant to this
power.
Power of the DOLE Secretary granted under Article 277(b) distinguished from his
power to assume or certify labor disputes involving industries indispensable to the
national interest under Article 263(g):
1.) The exercise of the power to suspend the effects of termination involves
only the issue of termination of employment which may cause a serious
labor dispute or is in implementation of a mass lay-off; while the power to
assume or certify labor disputes is applicable to all labor disputes,
irrespective of the grounds therefor, provided such labor disputes will cause
or likely to cause strikes or lockouts in industries indispensable to the
national interest.
71
Maternity Childre’s Hospital v Secretary of Labor, GR No. 78909, 30 june 1989
72
Policu Instruction No. 37; Dole
73
SSk Parts Corp vs Camus GR No. 85934, 30 January 1990

2.) The former requires the conduct of preliminary determination of the
existence of prima facie evidence that the termination may cause a serious
labor dispute or is in implementation of a mass lay-off to be conducted by
the appropriate official of the DOLE before whom the termination dispute is
pending; while the latter does not require such preliminary prima facie
determination. In fact, prior notice and hearing are not required before the
DOLE Secretary may issue an assumption or certification order.
3.) The “serious labor dispute” contemplated under the former may or may not
involve a strike or lockout; while the labor dispute referred to in the latter
will cause or likely to cause a strike or lockout.
4.) The former may be exercised in cases of termination of employment for as

long as any of the two (2) grounds mentioned in Article 277(b) exists,
irrespective of the nature of the business of the employer; while the latter
may only be exercised in industries indispensable to the national interest.
5.) The remedy under the former is immediate reinstatement pending resolution
of the termination case; while in the latter, the remedy is the automatic
return to work of the strikers or locked-out employees, if the strike or lock-
out is on-going at the time of the issuance of the assumption/certification
order or the enjoining of the strike or lockout, if one has not taken place,
pending the resolution of the issues raised in the notice of strike or lockout.
Assumption of Jurisdiction
The DOLE Secretary is granted the extraordinary police power of assuming

jurisdiction over a labor dispute which, in his opinion, will cause or likely to cause
a strike or lockout in an industry indispensable to the national interest, or the so-
called “national interest” cases. 74 Alternatively, he may certify the labor dispute to
the NLRC for compulsory arbitration.
74
Art. 263(g), Labor Code, as amended

The powers given to the DOLE Secretary under Article 263 (g) is an exercise of
police power with the aim of promoting public good.75 The scope of the powers is
limited to an industry indispensable to the national interest as determined by the
DOLE Secretary
The Secretary of Labor has original and exclusive jurisdiction over the following
cases:
1.) Petition to assume jurisdiction over labor disputes affecting industries

indispensable to the national interest (national interest cases);76
2.) Petition to certify national interest cases to the NLRC for compulsory
arbitration;77
3.) Petition to suspend effects of termination pending termination of
dispute; 78
- In the event of prima facie finding the appropriate DOLE official
before whom the case is pending that:
1) The termination may cause a serious labor dispute; and/or
2) The termination is in implementation of a mass lay-off.79
4.) Administrative Intervention for Dispute Avoidance (AIDA) cases;80
- Procedure-all request for Intervention should be made in writing and
filed with the Office of the DOLE Secretary. A request for
intervention shall state:
- Name and address of employer;
- Name of the certified bargaining agent or the employee
representative duly designated in writing by a majority of
the employees where there is no Collective Bargaining
Agent;
1) The number of employees affected by the potential or ongoing dispute;
and
2) A brief description of the potential or ongoing dispute.
75
Trans-Asia Shipping Lines, Inc.-Unlicensed Crews Employees Union-Associated Labor Union [TASLI- ALU] vs.
Court of Appeals, G.R. No. 145428, July 7, 2004
76
Paragraph g of Article 278(263), Labor Code
77
Id.
78
Paragraph b of Article 292(277), Labor Code
79
Paragraph b of Article 292(277), Labor Code, as amended by Sec 33, RA No 6715
80
DOLE Circular No. 1, Series of 2006 issued on August 11, 2006

A potential or on-going dispute refers to (a) a live and active
dispute (b) that may lead to a strike or lockout or to massive
labor unrest and (c)is not subject of any complaint or notice of
strike or lockout at the time a Request for Intervention is made.
Manifestation of parties as a pre-requisite to intervention:
3) They voluntarily submit their potential or ongoing dispute to

intervention by the Office of the DOLE Secretary;
4) There is no pending notice of strike or lockout or any related
complaint in relation to their potential or ongoing dispute;
5) They shall refrain from any strike or lockout or any form of work
stoppage or from filing any related complaint while the Secretary’s
intervention is in effect; and
6) They shall abide by the agreement reached, whose terms may be
enforced through appropriate writs issue by the DOLE Secretary.
5.) Voluntary arbitration cases; 81 and
6.) Contempt cases.82
The Secretary of Labor has appellate jurisdiction for the following cases:
1.) Decisions not appealable to the DOLE Secretary

a. Those rendered by LAS that are appealable to the NLRC which has
exclusive appellate jurisdiction thereover; 83
b. Those rendered by the NLRC since they can be elevated directly to
CA by way of Rule 65 certiorari petition;
c. Those rendered by the BLR Director in the exercise of his appellate
jurisdiction since they can be elevated directly to CA by way of Rule
65 certiorari petition;
d. Those rendered by DOLE RDs in simple or small money claims under
Art. 129 of the Labor Code since they are appealable to the NLRC;
81
DOLE Circular No. 1, Series of 2006 issued on August 11, 2006
82
Article 231(225), Labor Code
83
Artcle 224 (b) [217(b)], Labor Code

e. Those issued by DOLE RDs in their capacity as Ex-Officio Voluntary
Arbitrators since they can be elevated directly to CA by way of Rule
43; and
f. Those issued by Voluntary Arbitrators which are appealable directly
to CA by way of Rule 43.
2.) Office from which appeals to DOLE Secretary Originate
a. DOLE RDs;
b. Med-Arbiters;
c. BLR Directorl; and
d. POEA.
3.) Appeals from DOLE RDs

a. Visitorial (inspection) cases under Article 37;
b. Visitorial (inspection) and enforcement cases under Article 128 (either
routine or initiated through a complaint);
c. Occupational safety and health violations;
d. Cases related to private recruitment and placement agencies (PRPA)
for local employments such as:
i. Applications for license or denial thereof;
ii. Complaints for suspension or cancellation of license by reason
of administrative offenses;
iii. Complaints for illegal recruitment; and
iv. Petition for closure of agency.
4.) Appeals from Med-Arbiter – only decisions in inter-union disputes
5.) Appeals from BLR Director

a. Complaints and petitions involving application for registration,
revocation or cancellation of federations, national unions, industry
unions, trade union centers and their local chapters/chartered locals,
affiliates and member organizations;
b. Request examination of book of accounts of said labor organizations
under Article 289 (274) of the Labor Code;
c. Intra-union disputes involving said labor organizations;84
84
Article 232(226), Labor Code

d. Notice of merger, consolidation, affiliation and change of name of
said unions and/or petition for denial thereof;85
e. Registration of multi-employer CBAs or petitions for their
deregistration;86 and
f. Contempt cases.87
6.) Appeals from POEA

a. All cases which are administrative in character, involving or arising
out of violations of recruitment rules and regulations, including refund
of fees collected from land-based OFWs and seafarers and any
violation of the conditions for the issuance of license to recruit
OFWs.88
b. Disciplinary action cases against land-based OFW and seafarers and
principals/employers that are administrative in character, excluding
money claims.89
VOLUNTARY ARBITRATION POWERS
In line with the objectives of R.A. 9285, E.O. 523, and the mandate of the DOLE
to promote industrial peace, a voluntary settlement of labor disputes is established
under the DOLE Circular No. 01-06: Administrative Intervention for Dispute
Avoidance.
Officials or employees of the DOLE may mediate the disputes between the parties.
If such intervention fails, either or both parties may avail themselves of the
remedies provided under the Labor Code or alternatively, submit their dispute to
the Office of the Secretary for voluntary arbitration. Such voluntary arbitration
shall be limited to the issues defined in the parties’ submission to voluntary
85
Section 5, Rule IV, Book V, Rules to Implement the Labor Code, as amended by DO No. 40-03, Series of 200s
dated February 17, 2003 and dated as further amended by DO No, 40-D-05, Series of 2005 dated September 13,
2005
86
Section 4, Rule XI, Book V, , Rules to Implement the Labor Code, as amended by DO No. 40-F-03, Series of 2008
dated October 30, 2008
87
Section 1, Rule XXIII , Book V, Rules to Implement the Labor Code, as amended by DO No. 40-03, Series of 2003
dated February 17, 2003
88
Section 138, Rule I, Part VI, Revised POEA Rules and Regulations Governing the Recruitment and Employment
of Seafarers; Section 6, Rule X, Omnibus Rules and Regulations Implementing the Migrant Workers and Overseas
Filipino Act of 1995, as amended by RA No. 10022 issued on July 8, 2010; Section 28, Omnibus Rules and
Regulations Implementing Migrant Workers and Overseas Filipino Act of 1995 dated February 29, 1996
89
Ibid.

arbitration agreement, and shall be decided on the basis of the parties’ position
papers and submitted evidence. The Office of the Secretary shall resolve the
dispute within 60 days from the parties’ submission of the dispute for resolution.

Grievance Machinery and Voluntary Arbitration
I.SUBJECT MATTER OF GRIEVANCE
Grievance Machinery or procedure is the series of formal steps that parties to a

collective bargaining agreement agreed to take for the adjustment of grievances or
questions arising out of the interpretation or implementation of the CBA or
company personnel policies including voluntary arbitration as the terminal step.
The grievance procedure provides the parties a first crack in addressing problems
in the CBA administration and its use is an essential requisite before a voluntary
arbitrator can take cognizance of the unresolved grievance. It usually consists of a
multi-step procedure starting from or discussion of the grievance between the
employee and/or the Union Steward on the one-hand and the foreman and
supervisor on the other hand, and ending with the highest decision-making officials
of the company, reflecting the hierarchy of command or responsibility.90
Grievance procedure is an appeal procedure and is a “must” provision in every

collective agreement. It is that part of the agreement which provides for a peaceful
way of settling differences and misunderstanding between the parties.91
According to Article 273 of the Labor Code and Rule 1, Sec. 1, (v), DO 40-03,
grievance is any question either by the employer of the union regarding the:
a. The interpretation or implementation of the Collective Bargaining

Agreement
b. The interpretation or enforcement of company personnel policies
II.VOLUNTARY ARBITRATOR
“Voluntary Arbitration" refers to the mode of settling labor-management

disputes by which the parties select a competent, trained, and impartial third
person who shall decide on the merits of the case and whose decision is final
and executory.92
90
NCMB Primer on Grievance and Voluntary Arbitration, No. 12
91
Ibid.
92
Rule II, Sec. 1 (o), Revised Procedural Guidelines in the Conduct of Voluntary Arbitration Proceedings

Art. 219 (n) of the Labor Code provides that a “voluntary arbitrator” is any
person accredited by the [National Conciliation and Mediation Board] as
such, or any person named or designated in the Collective Bargaining
Agreement by the parties to act as their Voluntary Arbitrator, or one chosen,
with or without the assistance of the National Conciliation and Mediation
Board, pursuant to a selection procedure agreed upon in the Collective
Bargaining Agreement, or any official that may be authorized by the
Secretary of Labor and Employment to act as Voluntary Arbitrator upon the
written request and agreement of the parties to a labor dispute. The term
includes Panel of Voluntary Arbitrators.
The proceedings before a VA are non-litigious in nature. They are not

governed by technical rules applicable to court or judicial proceedings, but
they must, at all times, comply with the requirements of due process.93
A voluntary arbitrator, whether acting solely or in a panel, enjoys the status

of a quasi-judicial agency.94
Voluntary arbitrators have no tenure of office and are not politically

appointed or elected. Their primary function is to provide for a process for
the orderly disposition of disputes and a foundation for stable labor-
management relations
Jurisdiction
The Voluntary Arbitrator has original and exclusive original jurisdiction over the
following cases:
1. Unresolved grievances arising from the interpretation or implementation of

the CBA (art. 274)
2. Unresolved grievances arising from the interpretation or enforcement of
company personnel policies (Art. 274)
3. Violation of the CBA which are not gross in character (Art. 274 )
93
Rule VI, Sec. 1 Revised Procedural Guidelines in the Conduct of Voluntary Arbitration Proceedings
94
Luzon Development Bank v. Association of Luzon Development Bank Employees, GR No. 120319, October 6,
1995

4. Wage distortion arising from the application of any wage orders in organized
establishments (Art. 124)
5. Unresolved grievances arising from the interpretation and implementation of
productivity incentive programs under RA 6971, sec 9
Concurrent:
6. Other labor disputes, including unfair labor practices and bargaining

deadlocks, upon agreement of the parties. Before or at any stage of the
compulsory arbitration process, the parties may opt to submit their dispute to
voluntary arbitration (Art. 275)
7. National interest cases (Art. 278)
For this purpose, all grievances which are not settled or resolved within seven (7)
calendar days from exhaustion of the grievance machinery shall automatically be
referred to voluntary arbitration.
Cases falling within the exclusive and original jurisdiction of Voluntary Arbitrators
but filed either with the National Labor Relations Commission and its Regional
Arbitration Branches, or the Regional Directors of the Department of Labor and
Employment or with the Board and its Branches, shall be decided by the Voluntary
Arbitrator/Panel Voluntary Arbitrators. The NCMB, its Regional Offices and the
Regional Directors of the DOLE shall not entertain disputes, grievances or matters
under the exclusive and original jurisdiction of the Voluntary Arbitrator or panel of
Voluntary Arbitrators and shall immediately dispose and refer the same to the
grievance machinery or Voluntary Arbitration provided in the Collective
Bargaining Agreement. (Art. 274)
Procedure
1.) In an unresolved grievance:
a. when one party refused to submit to voluntary arbitration:

Notice to Arbitrate shall be served upon the unwilling party copy furnished
the named/designated Voluntary Arbitrator/Panel of Voluntary Arbitrators in
the CBA, if any, and the Board.

"Notice to Arbitrate" – refers to a formal demand made by one party to the
other for the arbitration of a particular dispute, in case of refusal of one party
in a CBA, to submit to arbitration.
Upon receipt of a Notice to Arbitrate and without any favorable response

from the unwilling party, after the lapse of seven (7) days, the
named/designated Voluntary Arbitrator/Panel of Voluntary Arbitrators in the
CBA shall immediately commence voluntary arbitration proceedings
b. when both parties agreed to submit to voluntary arbitration :

File a submission agreement.
'Submission Agreement" – refers to a written agreement by the parties

submitting their case for arbitration containing the issues, the chosen
arbitrator/panel of voluntary arbitrators, and stipulation to abide by and
comply with the resolution, including the cost of arbitration.
2.) within two (2) working days from acceptance of the Submission Agreement
or Notice of Selection, shall set the date, time and place of the initial
conference with due notice to the parties.
3.) Initial Conference

During the initial conference, the parties shall be encouraged to explore all
possible options for settlement of the dispute through conciliation and
mediation. Should the parties arrive at any settlement as to the whole or any
part of the dispute, the same shall be reduced in writing and signed by the
parties before the Voluntary Arbitrator/Panel of Voluntary Arbitrators. The
signed agreement shall form part of the conciliated/mediated decision.
In the absence of any settlement, the Voluntary Arbitrator/Panel of

Voluntary Arbitrators shall require the parties to enter into stipulation of
facts, limitations of issues, and admissions, leaving the presentation and
examination of evidence only to such facts that are still in dispute.
4.) Conciliation and Mediation

The Voluntary Arbitrator/Panel of Voluntary Arbitrators must see to it that
the issues are clarified/simplified, and shall assist the parties in the
formulation of the same, if necessary.
The parties and the Voluntary Arbitrator/Panel of Voluntary Arbitrators shall

jointly formulate and adopt rules on the following: 1. Schedule, frequency
and venue of conferences; 2. Period and manner of submission of position
papers and other pleadings subject to the provisions of Section 8; 3.
Determination of the necessity to conduct clarificatory conference; and, 4.
Cost of arbitration.
Effect of Non-Appearance:
a. In case of non-appearance of either party during conciliation and mediation

conference for two (2) consecutive times, despite due notice, the Voluntary
Arbitrator/Panel of Voluntary Arbitrators shall terminate such conference
and issue an Order requiring both parties to submit their respective position
papers within ten (10) calendar days from receipt of the said Order;
otherwise, the case will be deemed submitted for decision based on available
records.
b. In case of non-appearance by complainant for two (2) consecutive times
during conciliation-mediation conferences, the case shall be dismissed
without prejudice.
c. In the event that it is the respondent who failed to appear, the complainant
shall be required to submit a position paper, and the Voluntary
Arbitrator/Panel of Voluntary Arbitrators shall render a decision based
thereon, after due notice to respondent.
5.) Submission of Position Papers and Other Pleadings
The Voluntary Arbitrator/Panel of Voluntary Arbitrators shall direct the

parties to submit verified position papers and other pleadings on the dates
agreed upon during the initial conference, but not to exceed ten (10) calendar
days after the termination of the mandatory conciliation mediation.
The reply shall be submitted within ten (10) calendar days after the receipt
of the position paper.

The position papers and reply shall only cover issues and causes of action
agreed upon by the parties, accompanied by supporting evidence as well as
affidavits of witnesses which shall serve as their direct testimonies.
6.) Determination of the Need for a Clarificatory Conference or Conduct of

Ocular Inspection.
Immediately after the submission of the position papers and other pleadings,
the Voluntary Arbitrator/Panel of Voluntary Arbitrators shall determine the
need for holding a clarificatory conference or conducting an ocular
inspection. In both instances, the parties shall be duly notified.
When a clarificatory conference is necessary, the case shall be deemed

submitted for decision upon termination of the said conference; provided
that such clarificatory conference must be done within (ten) 10 calendar days
from the filing of the reply.
7.) Decision
The decision, which is the final arbitral disposition of issue/s submitted to

voluntary arbitration must state in clear, concise and definite terms the facts
and the law upon which it is based.
In case the decision of the Voluntary Arbitrator/Panel of Voluntary

Arbitrators involves monetary award, the amount granted and the formula
used in the computation, if any, shall be specified.
Remedies
1. Motion for Reconsideration
A party may file a motion for reconsideration of a decision, resolution or

order of the Voluntary Arbitrator/Panel of Voluntary Arbitrators based on
the ground of palpable or patent errors within ten (10) calendar days from
receipt of thereof, with proof of service on the adverse party. A Motion for
Reconsideration shall be resolved by the Voluntary Arbitrator/Panel of

Voluntary Arbitrators within ten (10) calendar days from receipt of the
Motion. A second motion for reconsideration from the same party shall be
deemed a prohibited pleading.The pendency of a motion for reconsideration
filed on time and by the proper party shall stay the execution of the decision,
resolution or order sought to be reconsidered.
2. Appeal to the CA by filing the petition for review under Rule 43 of the Rules
of Court within 15 days from notice pursuant to Section 4 of Rule 43
The petition for review shall be filed within 15 days pursuant to Section 4,
Rules 43 of the Rules of Court; the 10-day period under Article 276 of
the Labor Code refers to the filing of a motion for reconsideration vis-a-vis
the Voluntary Arbitrator's decision or award.The l0-day period stated in
Article 276 should be understood as the period within which the party
adversely affected by the ruling of the Voluntary Arbitrators or Panel of
Arbitrators may file a motion for reconsideration. Only after the resolution
of the motion for reconsideration may the aggrieved party appeal to the CA
by filing the petition for review under Rule 43 of the Rules of Court within
15 days from notice pursuant to Section 4 of Rule 43.95
Judicial Review of Labor Rulings

COURT OF APPEALS
Rule 65: Petition for Certiorari
It is a relief in a special civil action for certiorari, which is available only when the
following essential requisite concur:
1. The petition must be directed against a tribunal, board, or officer

exercising judicial or quasi-judicial functions
2. The tribunal, board, or officer must have acted without or in excess of
jurisdiction or with grave abuse of discretion amounting to lack or
excess of jurisdiction; and
3. There is no appeal nor any plain, speedy, and adequate remedy in the
ordinary course of law.
95
Guagua National Colleges v. CA, GR No. 188492, August 28, 2018

Generally, the only mode by which a labor case decided by DOLE Secretaary,
NLRC, and Director of Bureau of Labor Relations (BLR) may reach the Court of
Appeals is through petition for certiorari under Rule 65. By way of exception are
decisions, orders or awards issued by the Voluntary Arbitrator or panel of VAs
which may be elevated to the Court of Appeals by way of an ordinary appeal under
Rule 43 petition for review.
In addition, a motion for reconsideration should be filed before the DOLE

Secretary, NLRC, or BLR Director. Failure to file a motion for reconsideration
within the reglementary period prior to the filing of the petition for certiorari
renders the NLRC decision final and executory. (Michelin Asia Pacific Application
Support System v. Ortiz, G.R. No. 189861, 2014)
Rationale for the requirement of Motion for Reconsideration:
Motion for Reconsideration is the plain, speedy and adequate remedy from an
adverse decision of the DOLE Secretary, the NLRC, and the BLR Director.
Note: A second motion for reconsideration is prohibited under the NLRC Rules.
(G.R. No. 189861, 2014)
Grave abuse of discretion amounting to lack or excess of jurisdiction has been

defined as the capricious and whimsical exercise of judgement amounting to or
equivalent to lack of jurisdiction. There is grave abuse of discretion when the
power is exercised in an arbitrary or despotic manner by reason of “passion or
personal hostility, and must be so patent and so gross as to amount to an evasion of
a positive duty or to a virtual refusal to perform the duty enjoined or to act at all in
contemplation of law.96
In labor disputes, grave abuse of discretion may be ascribed to the NLRC when,
inter alia, its findings and the conclusions reached thereby are not supported by
substantial evidence. 97 The remedy of a party aggrieved by a decision of the
NLRC is to file a petition for certiorari (Rule 65) which should be initially filed
96
Don Orestes Romualdez Electronic Cooperative Inc. v. NLRC
97
Gadia, et al. v. Sykes Asia

with the CA in strict observance of the doctrine on the hierarchy of courts as the
appropriate forum for the relief desired. The CA is procedurally equipped to
resolve unclear or ambiguous factual finding, aside from the increased number of
its component divisions.98
Supreme Court
RULE 45: Petition for Review On Certiorari
Since the Court of Appeals has jurisdiction over the petition for certiorari under
Rule 65 that may be filed before it from the decisions of the NLRC, the DOLE
Secretary, or the BLR Director, any alleged errors committed by it in the exercise
of tis jurisdiction would be errors of judgment which are reviewable by means of
time appeal to the Supreme Court and not by a special civil action of certiorari.
Such appeal from a final disposition of the Court of Appeals is a petition for
review on certiorari under Rule 45, and not special civil action of certiorari under
Rule 65. The reglementary period to appeal is fifteen (15) days from notice of
judgment or denial of the motion for reconsideration.99
If the aggrieved party fails to do so within the reglementary period and the decision
accordingly becomes final and executory, he cannot avail himself of the writ of
certiorari, his predicament being the effect of his deliberate inaction. A petition for
certiorari under Rule 65 cannot be a substitute for a lost appeal under Rule 45. 100
Applicability of Rule 65 Petition for Certiorari to Supreme Court

Rule 65 may be filed if the CA acted with grave abuse of discretion, amounting to
excess or lack of jurisdiction and there is no plain, speedy, and adequate remedy in
the ordinary course of law. A remedy is considered plain, speedy, and adequate if it
will promptly relieve the petitioner from the injurious effect of the judgment and
the acts of the lower court.101
98
St. Martin Funeral Home v. NLRC, GR No. 130866, September 16, 1998
99
Asian Transmission Corporation vs. CA, G.R. No. 144664, 15 March 2004
100
Malayang Manggagawa ng Stayfast Phils, Inc. vs. NLRC, G.R. No. 155306, 28 August 2013
101
Tomas Claudio Memorial College, Inc. vs. CA, G.R. No. 152568, 16 February 2004

Generally, on appeal taken either to the Supreme Court or the CA by the wrong or
inappropriate mode shall be dismissed to prevent the party from benefiting from
one’s neglect and mistakes.102 Rule 65 petition is not proper when an appeal is not
only available but also a speedy and adequate remedy103. Failure to timely file an
appeal, the questioned decision of the CA had already become final and
executory.104
In case what is filed is a petition under Rule 65 instead of Rule 45, the SC may
treat the petition erroneously filed under Rule 65 as having been filed under Rule
45, but the same must comply with the reglementary period fro filing an appeal.
This requirement is not only mandatory but also jurisdictional because failure to do
so renders the assailed decision final and executory and deprives the SC of
jurisdiction to alter the final judgment, much less to entertain the appeal.105
A party cannot file a petition both under Rule 65 and Rule 45

Generally, a party cannot file a petition both under Rules 45 and 65 of the Rules of
Court because they pertain to different remedies and have distinct applications.106
In case where the petitioner denominated his petition for review under Rule 45 and
a petition for certiorari under Rule 65, the applicable rule is Rule 45. This remedy
is a continuation of the appellate process over the original case.107 Notwithstanding
the procedural infirmity, the SC may treat this as filed under Rule 45 only and
considered the alleged grave abuse of discretion on the part of the CA as an
allegation of reversible error.108
102
Almelor vs. RTC of Las Pinas, G.R. No. 190515, 6 June 2011
103
New Ever Marketing, Inc. vs. CA, G.R. No. 140555, 14 July 2005
104
Sea Power Shipping Enterprises, Inc. vs. CA, G.R. No. 138270, 28 June 2001
105
Tirazona vs. CA, G.R. No. 169 712, 13 March 2008
106
Nagkahiusang Mamumuo Sa Picop Resources, Inc. – Southern Philippines Federation of Labor vs. CA, G.R. No.
148839-40, 2 November 2006
107
Panganiban vs. Tara Trading Shipmanagement, Inc., G.R. No. 187032, 18 October 2010
108
Citing Pagoda Philippines, Inc. vs. Universal Canning, Inc., G.R. No. 160966, 11 October 2005

PRESCRIPTION OF ACTIONS
Money Claims (Article 306; LC) Three (3) years from the time the
(a) Money claims and benefits arising from cause of action accrued.
employer-employee relationship
(b) All other money claims of workers such
as those:
i. Money claims arising from the
CBA
ii. Incremental proceeds from tuition
increases
iii. Money claims of Overseas
Filipino Workers
All money claims accruing prior to the effectivity of
Labor Code (November 1, 1974):
● Shall be filed with the appropriate entities
established under this Code within one (1) year
from the date of effectivity
● Shall be processed or determined in accordance
with the implementing rules and regulations of
the Code
● Otherwise, they shall be forever barred.
Illegal Dismissal Four (4) years from the time the
cause of action accrued
Unfair Labor Practice (Article 305; LC) One (1) year from the time the acts
complained were committed
Offenses Penalized under the Labor Code and its Three (3) years from the commission
implementing rules and regulations (Article 305;LC) of criminal offense
Illegal recruitment Simple illegal recruitment-

five (5) years
Illegal recruitment involving

economic sabotage- twenty (20)
years

GROUP 1 Procedure and Jurisdiction

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GROUP 1 Procedure and Jurisdiction

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1 | LLAW: Procedure & Jurisdiction

a) Unfair Labor Practice

2 | LLAW: Procedure & Jurisdiction

c) Cases arising from collective bargaining agreement (CBA)

d) Cases submitted for voluntary arbitration.

3 | LLAW: Procedure & Jurisdiction

Cases not cognizable by the Labor Arbiter

4 | LLAW: Procedure & Jurisdiction

Rules on venue of filing of cases

In case of field employees, as well as ambulant or itinerant workers, their

5 | LLAW: Procedure & Jurisdiction

The appeal may be entertained only on any of the following grounds:

1. If there is prima facie evidence of abuse of discretion on the part

6 | LLAW: Procedure & Jurisdiction

IV. REINSTATEMENT PENDING APPEAL

7 | LLAW: Procedure & Jurisdiction

a. When the employer disobeys the prescribed directive to submit a

a. Posting of an appeal bond required to perfect an appeal from a

In case the decision of the Labor Arbiter or the RD involves a

The condition of posting a cash or surety bond is not a meaningless

8 | LLAW: Procedure & Jurisdiction

b. Forms of the appeal bond

It shall either be in the form of cash deposit or surety bond equivalent

c. Issuance of a surety bond

It shall be issued by a reputable bonding company duly accredited

d. Period within which a cash or surety bond shall be valid and

e. McBurnie v. Ganzon Doctrine on motion to reduce bond28

The following guidelines shall be observed:

1. The filing of a motion to reduce appeal bond shall be entertained

9 | LLAW: Procedure & Jurisdiction

10 | LLAW: Procedure & Jurisdiction

a. Certified labor disputes causing or likely to cause a strike or lockout

11 | LLAW: Procedure & Jurisdiction

If the employee was reinstated:

The Bergonio Doctrine : After reversal of Labor Arbiter’s decision, the

If there was only payroll reinstatement:

If employee was neither reinstated to his former position:

12 | LLAW: Procedure & Jurisdiction

Judicial review of NLRC’s decision is available through a petition for certiorari

In order to exercise of the Extraordinary remedies, the following grounds shall

13 | LLAW: Procedure & Jurisdiction

IV. CERTIFIED CASES- PROCEDURE

1. Unless there is a necessity to conduct a clarificatory hearing, the Commission shall

4. No motion for postponement or extension shall be entertained.37

14 | LLAW: Procedure & Jurisdiction

1. Inter-union conflicts (also known as representation/certification election

An “inter-union dispute” refers to a case involving a petition for certification

On the other hand, an “intra-union dispute”. “internal union dispute” or

15 | LLAW: Procedure & Jurisdiction

1. Cancellation of registration of a labor organization filed by its members or

More specifically, it may refer to any of the following:

16 | LLAW: Procedure & Jurisdiction

1. Complaints and petitions involving the registration or cancellation of

The BLR Director exercises exclusive appellate jurisdiction over:

a. Inter/Intra-union disputes (Note: Complaints involving Federations,

17 | LLAW: Procedure & Jurisdiction

1. Petition for cancellation of registration of independent unions, local chapters

Notably, the remedy of appeal involved in the cases contemplated

2. REMEDY FROM CA DECISIONS TO THE SUPREME

18 | LLAW: Procedure & Jurisdiction

The NCMB is not a quasi-judicial agency exercising quasi-judicial functions.

II. CONCILIATION VS MEDIATION BOARD

Generally, both Conciliation and Mediation refer to a process whereby