Labor Law Review

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Service incentive leave pay of industrial worker

- Five day leave with pay that can be enjoyed by employee who has rendered service for
one year
- It does not matter if it is continuous or staggered
- If this is not availed of for the particular year, there is a cash value of said unused leave
- Option for industrial worker to accumulate the service incentive leave pay cash value if
unused and can be availed when he wants to
- Prescriptive period (all money claims shall be filed within 3 years)
o Autobus transport case
 SIL is a curious animal because it does not become due when you earned
it
 It becomes due when the employee asked for convertion
 And prescription starts when the employer refused for cash conversion of
unused service incentive leave pay
 Domestic worker although entitled to SIL, Domestic worker does not
enjoy commutation
 If domestic worker did not avail, it is deemed waived.

Domestic workers
- Must be working in the household and not sporadically and occasional
- It must be regular work at the house of the employer consistently
o Otherwise he / she is not a domestic worker
- Rights found in R.A. 10361
o Unique feature
 Right of domestic worker to engage in self organization
 Not right to unionize but to join

Labor advisory 10 series of 2010 ( see also R.A. 10361)

- Domestic worker leave
o Maternity leave
o Paternity leabe
o Gyno leave
o Solo parents leave
o Leave for VAW-C

Domestic workers are included in R.A. 10361

- Those not included are deemed excluded
o One of those excluded are the family drivers
  Prior to R.A. 10361 family drivers are included in the definition of
Kasambahay and are under the labor code
 Saluta vs Atienza case
 R.A. 10361 excluded from their coverage the family drivers
 Therefore any dispute against employer will be tackled in the
court
 Civil code shall apply not the Labor Code

Security Guards
- Involved in a trilateral relationship
- Triangle
- Top is client, left is security agency, right is the security guard
- Relationship between client and security guard
o NO E-E relationship
- The moment they pass the probationary period they become regular employee of the
security agency
- The participation of the client is that it must honor the employer employee relationship
between security guard and the security agency.
- Both security agency and client are liable solidarily in claims
- Temporary lay-off
o There is no severance of employer employee relationship during this period
o Can only be on temporary lay-off if it can establish that no client is available
 Otherwise it can be tantamount to constructive dismissal
 Burden of proof belongs to the security agency not with the security
guard
 If it can be proven that no client available, can be off period for
maximum period of 6 months.
o Obligation to pay separation pay if still no client can be
found during the period
 Security guard palced on floating status,
 Furing first floating status notice was given to him
 Reported to office but client back out thus still under floating
status
 On the 6th month notice was given for possible employment
 Labor arbiter
 Can he file his case directly with the labor arbiter
o Party complainant cannot file directly before the labor
arbiter pursuant to r.a. 10396 (law requires parties with
labor cases no undergo mandatory concialiation or
mediation)
 Single entry approach of the department of labor
and all of its attached agencies
 Regional office of the department of labor, poeae,
owwa, rtwpb
 Single entry approach desk officer is given a period
of 30 days to conduct conciliation and mediation
 In the event it fails, a referral will be issued
to the parties and be brought to the office
of the labor arbiter or regional arbitration
branch
o Non compliance will result in the
dismissal of the complaint for
lacking of a condition sine qua-non
o Case was filed with the labor arbiter
 Rule in favor of the security guard
 6 months has already lapsed
 merely told to report to the office for possible
deployment only
 cannot be negligence or insubordination as
he is only acting on his right
 What kind of notice that will toll the 6 month
 DUTY DETAIL ORDER
o Notice addressed to the security
guard to report to a particular
assignment, amount to receive and
client specified therein
o If the security guard refused to the
duty detail order, he is liable for
insubordination and would lose
standing in court.
 Padilla vs airborne security case

Minors can be regular employees

- Provided minor is Atleast 15 years old

Homeworkers
- Legal Guidepost
o Art 151-153
o D.O. 05-92
 Rule 14 of rules implementing book 3 of employment of home workers
- Most neglected worker in the Philippines
o Out of sight, out of mind
o Rightly belong to category of special workers

Industrial Homeworker
 - Works within the confine of his or her home used for dwelling
- Decentralized form of production
- Art 106 to 109 do not associate
- D.O. 174 not covered
- This is covered by art. 151-153 of labor code on home workers
o Not labor only contracting or subcontractor
- Intermediaries role only of contractor and subcontractor in this case
- Employer is someone who provides work, done within the confines of the home
o Processing, packing, wrapping, handling etc.
- Labor code guarantees that homeworkers have the right to self organization

Compensation for homeworkers

- Not paid in accordance with the prevailing wage order
- Paid based on their output
- Workers paid by result / piece rate workers

Who fixes fixed rate of piece rate workers

- Done by the regional tripartite wages and productivity board
- D.O. 125-13
o Revised guidelines on the conduct on time and motion study
o Conducted by the regional tripartite wages and productivity board
 Appeal may be filed by employer before the national wages and
productivity commission
 Headed by the regional director of the rtwpb

Can the homeworkers salary be subject to deduction?

- G.R> No.
o Ecxcept when responsible for the damage
 Given opportunity regarding charge
 If deductions made, not more than 20%

Who has jurisdiction

- Money claim 5k and below
o Regional director has jurisdiction
- More than 5k
o Jurisdiction is with labor arbiter of NLRC

Can minors be employed as homeworkers

- Yes, provided they are 15 years old and not assigned to hazardous working places
o Manufacturing explosive,
o Fireworks, toxic substances
o Other articles processing of which involves toxic substances
Recent developments have shown
- Term homeworkers is now industrial outworkers
- Catering to the domestic chain unlike before when it only caters to international chain
- Evolved to include online workers
- Telecommuters
- Read telecommuting act of December 2018 (R.A. 11165)
o They do not go to office for work

Two kinds of online workers

- Banking and finance
- Freelancers
o People who are able to get clients online
o Independent contractors

Attractive features of homework

Field Personnel
- Non agricultural worker
- Hours of work cannot be determined with reasonable certainty
-