Labor Law 1

Atty. Ronic Treptor

Conditions of Employment –
Introduction
Module 4
Scope
• Coverage of provisions on conditions of employment:
• Art. 82. Coverage. The provisions of this Title shall apply to employees in all
establishments and undertakings whether for profit or not.
• XPNS:
• government employees
• managerial employees (including officers and members of the managerial staff and
supervisors, under implementing rules)
• field personnel
• members of the family of the employer who are dependent on him for support
• domestic helpers
• persons in the personal service of another, and
• workers who are paid by results as determined by the Secretary of Labor in appropriate
regulations.
Government Employees
• Government Employees:
• The terms and conditions of their employment are governed by the Civil
Service Law.
• In case of government-owned or controlled corporations with original
charters, terms and conditions of employment may be governed by such
legislated charters.
• Government-owned or controlled corporations without original charters and
created under the Corporation Code are governed by the Labor Code.
Managerial Employees and Managerial Staff
• Managerial Employees: as defined in the implementing rules
• 1. Their primary duty consists of the management of the establishment in
which they are employed or of a department or sub-division thereof.
• 2. They customarily and regularly direct the work of two or more employees
therein.
• 3. They have the authority to hire or fire employees of lower rank; or their
suggestions and recommendations as to hiring and firing and as to the
promotion or any other change of status of other employees, are given
particular weight (Sec. 2[b], Rule I, Book III, Rules Implementing the Labor
Code).
Managerial Employees and Managerial Staff
• Officers or Members of Managerial Staff:
• 1. Their primary duty consists of the performance of work directly related to
management policies of their employer;
• 2. They customarily and regularly exercise discretion and independent judgment; and
• 3. They regularly and directly assist a proprietor or -- a managerial employee whose
primary duty consists of the management of the establishment in which he is
employed or subdivision thereof; or execute under general supervision work along
specialized or technical lines requiring special training, experience, or knowledge; or
execute, under general supervision, special assignments and tasks; and
• 4. They do not devote more than 20 percent of their hours worked in a work week to
activities which are not directly and closely related to the performance of the work
described above (Sec. 2[c], Rule I, Book III, Rules Implementing the Labor Code).
Managerial Employees and Managerial Staff
• Officers or Members of Managerial Staff:
• Will include supervisors.
• Meaning supervisors are not covered by the provisions on conditions of employment.
• BUT under labor relations, supervisors are different from managers. Supervisors are not
considered part of the management and they are allowed to form unions, BUT they
cannot join rank-and-file unions.
Field Personnel
• Field personnel refers to non-agricultural employees who:
• 1. Regularly perform their duties away from the principal place of business or
branch office of the employer; and
• 2. Whose actual hours of work in the field cannot be determined with
reasonable certainty (Sec. 27, Rule II, Book III, Rules Implementing the Labor
Code).

• e.g. outside sales personnel, agents on commission basis, or insurance field

agents (San Miguel Brewery vs Democratic Labor Union, G.R. No. L-18353, 31
July 1963); meter readers, medical representatives(Duka, Labor Laws and
Social Legislation, A Barrister’s Companion, 2016, p. 118).
Field Personnel
• Bus drivers and conductors not considered field personnel. (Autobus
Transport System, Inc. V. Bautista, G.R No. 156367, 16 May 2005).
• Time of departure and arrival is known. (also during stop-overs)
• In every depot, there is always the dispatcher whose function is precisely to
see to it that the bus and its crew leave the premises at specific times and
arrive at the estimated proper time.
Members of the Family
• Members of the Family:
• They are exempted from the coverage, for the support given by the employer
may exceed the benefit for which an employee is entitled under appropriate
labor provisions. To cover them under Art.82, may create labor problems that
would eventually break-up the family, which is the evil sought to be
prevented.

• Note that the employee must be a member of the family of the employer and
he must be dependent on the employer for support.
Domestic Servants and Persons In The
Personal Service Of Another
• Domestic Servants/Persons In The Personal Service Of Another are
those who:
• 1. Perform such services in the employer's home which are usually necessary
or desirable for the maintenance and enjoyment thereof; or
• 2. Minister to the personal comfort, convenience, or safety of the employer as
well as the members of his employer's household (Sec. 2[d], Rule I, Book III,
Rules Implementing the Labor Code).

• Note: They are not covered by this Title because terms and conditions of
employment are governed by the provisions of R.A. 10361 (Kasambahay Law).
Domestic Servants and Persons In The
Personal Service Of Another
• Note under Kasambahay Law:
• Domestic worker or "Kasambahay" refers to any person engaged in domestic
work within an employment relationship such as, but not limited to, the
following: general househelp, nursemaid or "yaya", cook, gardener, or laundry
person, but shall exclude any person who performs domestic work only
occasionally or sporadically and not on an occupational basis.

• Domestic work refers to work performed in or for a household or households.

Domestic Servants and Persons In The
Personal Service Of Another
• Note that even if the NATURE of the work is “domestic” if it is not
performed in or for a household or not in the service of the family of
the employer, the worker may be considered as covered by the
provisions on conditions of employment. (and not under the
exclusion)

• A laundrywoman in staff houses of a company or within the premises

of the business of the employer, not actually serving the family of the
employer, is a regular employee. She is not included in the definition
of domestic servants. (Apex Mining Co. Inc. v NLRC, G.R. No. 94951,
22, April 1991).
Workers Paid By Results
• Workers Paid By Results
• Workers who are paid by results include those who are paid on piece-work,
"takay," "pakiao," or task basis.
• Payment of this type of worker is determined by the results of the work
performed or the number of units produced, not the number of hours used in
the completion of the job or the time spent in production (Poquiz, 2012, p.
175).
Workers Paid By Results
• Tailors and similar workers hired in the tailoring establishment,
although paid weekly wages on piece-work basis, are employees and
not independent contractors, and accordingly, as regular employees
paid on piece-rate basis, they are not entitled to overtime pay,
holiday pay, premium pay for holiday/rest day and service incentive
leave pay (Villaga v. NLRC, G.R. No. 75038, August 23, 1993).