1

GROUP 1:
Celeste, Venamay S.
Camomot, Irish B.
Baldecasa, Aileen
Naga, Hafizah
Amba, Quelton Rey
Ostan, Mark Homer
Albacete, Roger

LABOR RELATIONS
STRIKE & LOCKOUTS

TABLE OF CONTENTS

1. ART. 278- Strikes, picketing and lockouts ------------------------------------------------------ 2

2. PURPOSE OF STRIKE---------------------------------------------------------------------------------- 2
3. KINDS OF STRIKE-------------------------------------------------------------------------------------- 2
4. Six (6) categories of an illegal strike------------------------------------------------------------- 4
5. Instances when no strike or lockout may be declared------------------------------------- 5
6. Who may declare a strike or lockout ---------------------------------------------------------- 5
7. Procedural requirements for a lawful strike or lockout----------------------------------- 6
8. PURPOSES- 24-hour prior notice rule ---------------------------------------------------------- 7
9. PURPOSE- Strike Vote Report and Mandatory 7-day strike ban----------------------- 7
10. Purpose of the mandatory cooling-off period ---------------------------------------------- 8
11. Strike notice treated as preventive mediation case; its effect --------------------------- 8
12. Non-compliance of the requirements for a valid strike or lockouts; its effects -------- 10
13. Doctrinal rulings on legality of strikes ------------------------------------------------------------- 10
14. Doctrinal rulings on illegality of strikes -----------------------------------------------------------10
15. Lockout -----------------------------------------------------------------------------------------------------10
16. Grounds for lockout ------------------------------------------------------------------------------------10
17. Assumption of jurisdiction over national interest cases --------------------------------------12
18. Industries indispensable to national interest ----------------------------------------------------12
19. Operational guidelines pertaining to national interest disputes ---------------------------13
 2

Reporter: VENAMAY S. CELESTE

ART. 278- Strikes, picketing and lockouts

Nature of Industrial Disputes and its deleterious effect

Employer-employee relationship has an aspect of inherent and inevitable disharmony which

should be avoided. Disharmony may erupt into conflict which will bring consequences both
to the disputants, the public and the government.

Various facets of public interest in industrial dispute;

a. Inconvenience to the public
b. Damage to local or national economy
c. Threat to public health and safety
d. Injury to defense program
e. Ill-effects on the country’s prestige and foreign policy 1

SRIKE
- It is the most preeminent of the economic weapon of the workers which they unsheathe
to force management to agree to equitable sharing of the joint product of labor and
capital.
- It is any temporary stoppage of work by concerted action of employees as a result of any
industrial or labor dispute which includes slow-downs, sit-ins or sit downs, mass leaves,
group demonstration or any other group of concerted actions if directed against the
employer, attempts to damage, destroy or sabotage plant equipment and facilities and
similar activities.
- Stoppage of work must be temporary and a result of industrial dispute. 2

CONCERTED ACTIVITIES
It is a joint undertaking of workers designed to secure better terms and conditions of
employment through the machinery of collective bargaining and negotiations for their mutual
benefit and protection.3

PURPOSE OF STRIKE
 Put economic pressure upon the employer so that he will accede to the demands of the
union.
 It was maintained that employers pay only serious attention to union’s demands under
threat of economic loss.
 Therefore, strike is one of the militant, effective and legitimate weapon in the arsenal
employees, hence, it should be used in redress of just and lawful grievance.4

KINDS OF STRIKE
1. According to basis of initiation;

1
Lester economic of labor, 480
2
SamahangManggagawaSulpicio Lines-NAFLU v. Sulpicio Line Inc., Bucluran Ng Manggagawa Sa Clothman Knitting
Corp-Solidarity Unions in the Phil for empowerment
3
Art 278, infra
4
Lester, economics of employemtn; Interwood employees Ass.v. Int’l Hardwood and veneer co. of the Phil., 99
Phil.82
 3

a) Authorized – Strikes called upon or approved by the majority of the union

membership
b) Unauthorized (wild cat) – Called without the majority approval of the members of
the bargaining unit. Usually known as the “Wild Cat” because they take the form of
rebellion by the; 5
 rank-and-file members against the union leadership or
 part of the membership against the total membership

2. According to basis of the Scope;

a) General – Strike with wide coverage , most extensive type covers a wide range of
industries, which extreme radical envisage in order to wrest power and change the
economic system an example is Ex. Welgang Bayan. 6

b) Particular – Limited in scope and covers only a particular plant or a single

occupation or trade and is carried usually by single-union group

c) Quickie – Closely related to slowdown strike, characterized by an impromptu, brief

work stoppage in plant but stoppage is for period of few minutes or hours.

Slowdown
o An activity by which workers, w/o a complete stoppage of work, retart production
or their performance of duties and functions to compel management to grant their
demands. 7
o Generally condemned as inherently illicit and unjustifiable because while the
employees continue to work and remain their positions and accept wages due
them, they select what part of their task they care to perform or refuse to openly
or secretly to the employer’s damage.

d) Sitdown – workers remain in the plant but refuse to work and their machines and
tools remain idle its period though is much longer than quickie. 8

e) Ordinary – A common type that involves withdrawal on the part of the workers from
their place of employment to carry out objectives related to strikers themselves.

f) Sympathetic – Carried on by workers in sympathy to another group of workers.

They have no direct grievances against their employers. 9

g) Political – A kidn of strike which extreme radical envisage not to obtain concerssion
from the employer but to exert pressure upon the government.10 It is a form of cause-
oriented stike where workers join a march, rally or demonstration for the purpose of
making a political stand on national issues.

5
Dankert, An Intorduction to Labor)
6
BiflexPhils. Labor Union v. Filflex Industrial and Mfg. Corp, GR No. 155679, 19 Dec. 2006
7
IBM v. NLRC, GR No. 91980, June 27, 1991
8
Dankert, 323-324
9
Dee Chuan And Sons v. Kaisahan Ng mgaManggagawasaKahoy, 37 O.G 3467
10
Dankert, 324
 4

h) Legal – If the purpose and means used are legal, the strike is legal. The course of
strike may start legal but may do acts of violence which makes the strike illegal. Such
as union having initiated to commit acts of violence or ratified acts committed by
membership.11

i) Illegal – A strike done when there is law prohibiting it, such as in one in no-strike in
vital industries or when there is injunction or restraining order. Strikes called w/o
strike-notice and other requirements for lawful strike.

j) Unfair Labor practice- Strike staged as a result of employer or union’s unfair labor
practice.12Arises when right to self-organization is violated.

k) Economic –Staged to force wage or other concessions from the employer which he
is not required by law to grant. 13 It involves issues related to demand for higher
wagers, pensions, overtime rates, pension, profit, etc. It is also defined as one
arising from deadlock or standstill in bargaining process. 14

l) Temporary (Concise) stoppage of work – temporary and brief stoppage of work by

union during the working period is unwarranted and unjustified, hence, illegal.

m) Union Recognition Strike – Designed to compel the employer to recognize one’s

union as the employee’s bargaining agent to work out a CBA despite Union’s
doubtful majority status to merit recognition and lack of formal certification as the
exclusive representative in the bargaining unit.15

n) Lightning Strike – Characterized by the sudden stoppage of work by the concerted

action of the workers w/o compliance with the requirements for declaring a lawful
strike. It is an illegal strike.

Reporter: IRISH B. CAMOMOT

Six (6) categories of an illegal strike

(a) When it is contrary to a specific prohibition of law
- such as strike by employees performing governmental functions;
(b) When it violates a specific requirement of law
- such as Art. 278 of the Labor Code on the requisites of a valid strike
(c) When it is declared for an unlawful purpose
- such as including the employer to commit an unfair labor practice against non-
union employees
(d) When it employs unlawful means in the pursuit of its objective
- such as a widespread terrorism of non-strikers for example, prohibited acts under
Art. 279(e) of the Labor Code
(e) When it is declared in violation of an existing injunction
11
Maria Cristina fertilizer Plant Employees Ass. V. Tanduyag, GR No. L-33935, May 11, 1978
12
Cromwell Commercial v. CIR, 12 SCRA 124
13
Consolidated Labor v. Marsman, 11 SCRA 589
14
Master iron labor Union v. NLRC , GR no. 92009, Fen 17, 1993
15
Pasvil Liner v. NLRC, GR No. 124823, jul 28, 1999
 5

-such as injunction, prohibition, or order issued by the DOLE Secretary and the
NLRC under Art .278 of the Labor Code
(f) When it is contrary to an existing agreement
- such as a no strike clause or conclusive arbitration clause16

Instances when no strike or lockout may be declared

- A strike or lockout may be declared in cases of bargaining deadlocks and unfair labor
practices17
However, the following are the instances when no strike or lockout may be declared:

a.) Violations of Collective bargaining agreements

- except flagrant and malicious refusal to comply with its economic provisions18

b.) No strike or lockout may be declared on grounds involving inter-union and

intra-union disputes
- Or without the necessary strike or lockout vote having been obtained and reported
and reported to the NCMB.19

c.) Neither will a strike be declared after assumption of jurisdiction by the

Secretary of Labor and Employment or after certification or submission or
during the pendency of cases involving the same grounds for the strike or
lockout20

Who may declare a strike or lockout

1. Strike – any certified or duly recognized bargaining representative may declare a strike
in cases of bargaining deadlocks and unfair labor practices

2. Lockout – The employer may declare a lockout in the same cases

NOTE:
In the absence of a certified or duly recognized bargaining representative, any legitimate
labor organization in the establishment may declare a strike but only on the ground of ULP.

A group of employees without a union cannot stage a strike. Thus, an unregistered union
cannot comply with the requirements for staging a lawful strike.

Contents of notice of strike; Action on the notice

The notice shall state:
1. Names and addresses of the employer and the union involved;
2. The nature of the industry to which the employer belongs;
3. The number of union members and of the workers in the bargaining unit; and
4. Such other relevant data as may facilitate the settlement of the dispute.

16
Toyota Motors, Phils,Inc v. NLRC, GR. Nos. 158786 and 158789, 19 October 2007
17
Sec. 5, Rule XXII, Book V, Omnibus Rules Implementing the Labor Code in relation to Art. 278(c) [263(c)
18
Sec. 5, Rule XXII, Book V, Omnibus Rules Implementing the Labor Code in relation to Art. 27 4[261], Labor Code
19
Sec. 5, Rule XXII Book V Omnibus Rules Implementing the Labor Code in relation to Arts. 278 (b) [263 (b)J and
279(a), 264 (a)}, Labor Code
20
Sec. 5, Rule XXII Book V Omnibus Rules Implementing the Labor Code in relation to Arts.279(a), 264 (a)}, Labor
Code
 6

In cases of bargaining deadlocks:

1. The notice shall further state the unresolved issues in the bargaining negotiations;
2. Accompanied by the
a. Written proposals of the union
b. Counter-proposals of the employer; and
c. Proof for conference to settle the differences.

In case of unfair labor practices, the notice shall state the:

1. Acts complained of; and
2. Efforts taken to resolve the dispute amicably.

In case a notice does not conform with the requirements, the regional branch of the NCMB shall
inform the concerned party of such fact.

Upon receipt of the notice, the regional branch of the NCMB shall exert all efforts at mediation
and conciliation to enable the parties to settle the dispute amicably. The regional branch of the
NCMB may, upon agreement of the parties, treat a notice as a preventive mediation case. It
shall also encourage the parties to submit the dispute to voluntary arbitration.

Procedural requirements for a lawful strike or lockout

The requirements for a valid strike or lockout are as follows:
1. It must be based ONLY the following grounds:
a. Bargaining deadlocks; and
b. Unfair labor practices

2. Must be approved by a majority of the total membership of the union obtained by secret ballot
in meeting called for the purpose;

3. Strike or lockout NOTICE shall be filed with the NCMB at least (mandatory cooling-off
periods):
a. 15 days from the intended date thereof – for ULP;
b. 30 days from intended thereof – for bargaining deadlock21

Copy furnished the adverse party; failure to serve notice is a violation of due process.

21
FPFC v. NLRC, 318 SCRA 68)
 7

PURPOSE (Mandatory cooling-off period):

a. To afford the parties the opportunity to amicably resolve the dispute with the assistance of the
NCMB.

NOTE: In the event the result of the strike/lockout vote ballot is filed within the cooling-off
period, the 7-day requirement shall be counted from the day following the expiration of the
cooling-off period.

NOTE: In case of union busting, the time requirement for the filing of the Notice of Strike shall
be dispensed with but the strike vote requirement, being mandatory in character, shall in every
case be complied with. The 7 days should be added to the 15-day or 30-day cooling-off
periods.22

4. Compliance with the 24-hour prior notice rule on strike voting – the union is mandated to
notify the NCMB of the meeting for the conduct of strike vote, at least 24 hours prior to such
meeting;

PURPOSES (24-hour prior notice rule):

a. To inform the NCMB of the intent of the union to conduct a strike vote;
b. Give the NCMB ample time to decide whether or not there is a need to supervise the conduct
of the strike vote to prevent any acts of violence and/or irregularities attendant thereto; and
c. Should the NCMB decide motu proprio or upon the request of an interested party including
the employer, to supervise the strike vote, to give ample time to prepare for the deployment of
the requisite personnel.23

PURPOSES (Strike Vote):

b. To ensure that the decision to strike rests with majority of the union members in general and
not with a mere minority; and
c. To discourage wildcat strikes, union bossism and even corruption.24

5. A strike or lockout VOTE shall be reported to the NCMB-DOLE Regional Branch at least 7
days before the intended strike or lockout subject to the cooling-off period (mandatory 7-day
strike ban).

PURPOSE (Strike Vote Report and Mandatory 7-day strike ban):

a. To give the DOLE an opportunity to verify whether the projected strike really carries the
approval of the majority union members.

NOTE: In strikes and lockouts in hospital, it is the duty of the striking union or locking-out
employer to provided an effective skeletal workforce of medical and health personnel to insure
adequate protection of the life and health of the patients, particularly emergency cases during
the duration of the strike.

NOTE: Should the dispute remain unsettled after the lapse of the requisite number of days from
the filing of the notice of strike/lockout and of the results of the election required, the labor union
may strike or the employer may lock out its workers. The regional branch of the NCMB shall
continue mediating and conciliating

22
Sukhothai Cuisine v. C.A., G.R. No. 150437, 17 July 2006
23
Capitol Medical Center, Inc. v. NLRC, G.R. No. 147080, 26April 2005
24
Capitol Medical Center, Inc. v. NLRC, G.R. No. 147080, 26April 2005
 8

Reporter: AILEEN BALDECASA

Purpose of the mandatory cooling-off period

The 15 and 30 days requirement is known as the cooling-off period designed to afford the parties the
opportunity to amicably resolve the dispute with the assistance of the NCMB Conciliator/Mediator.
Should the dispute remain unsettled until the lapse of the required number of days from the mandatory
filing of notice, the labor union may strike or the employer may commence a lockout after having
complied with the seven-day requirement for the filing of the strike or lockout vote, as the case may be.

The purpose of notice is to provide an opportunity for mediation and conciliation. 25 Thus, a strike
declared without notice to the NCMB and the employer is illegal 26; violative of the constitutional
precepts of cue process.27

Notice of strike or lockout filed on the ground of unfair labor practice or collective bargaining
deadlock

The union/employer may not file a notice based on grounds other than ULP and CBD. Violations of
Collective Bargaining Agreements, except flagrant and/or malicious refusal to comply with its economic
provisions, shall not be strikeable and no strike or lockout may be declared on grounds involving inter-
union and internal union disputes or on issues brought to voluntary or compulsory arbitration including
legislated wage orders and labor standards cases.

Preventive Mediation case - refer to the potential labor disputes which are the 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. 28

Strike notice treated as preventive mediation case; its effect

Once the dispute has been converted into a preventive mediation case, the notice of strike is deemed
dropped from the dockets as if no notice of strike has been filed. Since there is no more notice of strike
to speak about, any strike subsequently staged by the Union is deemed not to have complied with the
requirements of a valid strike. The same rule applies in the case of lockout by an employer. 29

No strike could be legally declared during the pendency of preventive mediation proceedings. 30

Non-compliance of the requirements for a valid strike or lockouts; its effects

The requirements for valid strike or lockout are mandatory in character and non-compliance therewith
is sufficient ground to declare the strike or lockout illegal.

If a strike is declared illegal, the employer may be authorized to terminate the employment of union
officials who knowingly participated in the illegal strike and/or any worker or union officer who
knowingly participated in the commission of other illegal acts during the strike.

25
NFSW v. Ovejera, 114SCRA 354
26
Acda v. Minister of Labor, 137 SCRA 267
27
Filipino Pipe and Foundry Corp. u. NLRC, G.R. No. 115180 16 November 1999
28
Ncmb Manual of Procedures for Conciliation and Preventive Mediation Cases
29
PAL v. Secretary of Labor, G.R. No. 88210, 23 January 1991
30
SMC v. NLRC, G.R. No. 119293, 10 June 2003
 9

If lockout is declared illegal, any worker whose employment has been terminated as a consequence
thereof may be entitled to reinstatement including payment of full backwages and other benefits. 31

Jurisdiction over legality of strike or lockout

General rule – the LA in the appropriate Arbitration Branch of the National Labor Relations Commission
has the power to terminate questions involving the legality or illegality of a strike or lockout upon the
filing of a proper complaint and after due hearing. 32

Where the issue is raised in the dispute over which the Secretary of Labor and Employment assumed
jurisdiction or in disputes certified by the Secretary to the NLRC for compulsory arbitration, the same
may be resolved by the Secretary or the Commission, respectively. 33

If the issue is submitted by the parties to · voluntary arbitration, the question may be resolved by the
voluntary arbitrator or panel of voluntary arbitrators. 34

Doctrine of means and purposes

Well-settled is the rule that even if the strike were to be declared valid because its objective and
purpose is lawful, the strike may still be declared invalid where the means employed are illegal. 35

Prohibited activites under Article 279 of the Labor Code, particularly par. (e), which states that no
person engaged in picketing shall:

a) commit any act of violence, coercion, or intimidation

b) obstruct the free ingress to or egress from the employer's premises for lawful purposes

c) obstruct public thoroughness

The following acts have been held to be prohibited activities and therefore illegal:

(a) Non-strikers were mauled · and suffered physical injuries inflicted by the strikers
(b) Strikers circulated libelous statements against the employer which show actual malice or
shouting slanderous and scurrilous words
(c) Where the strikers formed a human cordon andblocked all the ways and approaches to the
launches andvessels of the vicinity of the workplace
(d) Where the strikers committed acts of violence byhurling stones which smashed glass
windows of the building ofthe company and headlights of the car
(e) Destruction of company property; and the use ofmolotov bombs thrown into the work
compound
(f) The breaking of the truck side and windows, andthrowing of empty bottles at non-strikers
(g) Where the strikers resorted to terrorism to prevent non-strikers from working

Doctrinal rulings on legality of strikes

31
NCMB Primer, as amended by DO 40-03
32
Article 224, infra
33
Article 278, infra
34
NCMB Primer
35
Association of Independent Unions in the Philippines [AIUP] v. National Labor Relations Commission, 364 Phil.
697, 707 [1999]
 10

The following are instances of a legal strike:

(a) Strike declared in good faith

(b) Strike was the consequence, of ULP
(c) Strike declared to seek better terms and conditions ofemployment
(d) Strike staged against ULP and discriminatory acts
(e) Strike declared for failure of employer to abide by theterms of the CBA
(f) Strike declared due to ULP

Illegality of a strike or lockout

A strike or lockout may declared illegal if any of the requirements for a valid strike or lockout is not
complied with.

It may also be declared illegal if it is based on non-strikeable issues already the subject of arbitration.

During a strike or lockout, when either of the parties commit prohibited acts or practices, the strike or
lockout may be declared illegal. 36

Doctrinal rulings on illegality of strikes

The following are instances of aillegal strike:

(a) Strike staged on non-strikeable ground

(b) Strike's purpose is trivial, unjust and unreasonable
(c) Strike staged for non-compliance of the legalrequirements.
(d) Strike staged in violation of the no-strike clause in the CBA.
(e) Strike becomes illegal if violence is pervasive andwidespread.
(f) Strike staged despite issuance of an assumptionor certification order.
(g) Strike staged without availing of the grievance machinery procedure and voluntary arbitration
clause in theCEA is illegal.
(h) Strike staged to circumvent CBA.
(i) Strike staged by a minority union.
(j) Strike staged in violation of ''preventive mediationorder."
(k) Strike staged for violation of Art. 270(e), infra.

Lockout

Lockout is one of the economic shields of the employer against employees. It takes place when an
employer temporarily refuses to furnish work as a result of an industrial or labor dispute. The term
comprises shutdowns, mass retrenchments and dismissals. The refusal to furnish work by the employer
is a weapon in an effort to get from the employees more desirable terms. 37

Reporter: HAFIZAH T. NAGA

Lockout and shutdown distinguished

36
NCMB Primer
37
Association of Independent Unions in the Phils. v. NLRC, 305 SCRA 219
 11

- In a lockout, continues its operations

- In shutdown, it ceases operations following a complete lockout 38; broader in scope
Note: All shutdowns are lockouts but not all lockouts constitute shutdown 39

Lockout and strike distinguished

-
Both constitute a suspension of employees service;
Both Coercive measures but only temporary in nature lasting only as no settlement is reached 40
-
-
Lockout is a mere suspension of operations by the employer to defeat or sidetrack the demands
of his employees or gain some advantage over them in relation to a prevailing or impending
labor dispute. Lockout is a weapon in the hands of the employers. While a strike is at the
command of the Labor force
Grounds for lockout

Lockout can be declared on the following grounds:

A. Collective bargaining deadlock

B. Unfair labor practice
Procedural requirement for lockout

The following are the requirements that should be complied with for declaring a lockout:

A. Notice of lockout
B. Lockout vote
C. Lockout vote report
Declaration of lockout

-If the dispute is not settled after the lapse of cooling-off period and the seven-day period from
the submission of the lockout vote report, the employer may declare a lockout
Note: An employer cannot declare a lockout on grounds involving inter-union or intra-union
disputes.41

Doctrinal Rulings on legal lockout

A. Economic reverses or financial losses are justifiable grounds for closure of establishment or lay-
off.42
B. Legitimate sale of the business which is a management prerogative is not lockout 43

38
Rothenberg, Labor Relations
39
Sta. Mesa Slipway Engineering VS CIR, 91 Phil. 764
40
Morabe, Lar on Strike, 202
41
Sec. 1, Rule XIII, Book V, Rules and Regulations Implementing the Labor Code
42
CDCP vs Leogardo, 125 SCRA 863
43
Central Azucarera vs CA., 137 SCRA 295
 12

C. Permanent closure of business is not lockout but it is must be bona fide44

D. Stoppage of business operations due to lack of raw materials is not a lockout
E. Closure of business due to strike is not lockout in order to prevent further “hemorrhaging of its
capital: or economic catastrophe\
Doctrinal rulings on Illegal Lockout

Lockout declared for non-compliance of the legal requirements 45

A.
B.
Lockout declared before the lapse of the cooling-off period and waiting periods
C.
Lockout declared in violation of the no-lockout clause in the CBA
Lockout declared on grounds involving inter-union or intra-union disputes 46
D.
Lockout declared in mala fide47
E.
Note: Any worker whose employment has been terminated as a consequence of an unlawful
lockout is entitled to reinstatement with full back wages

Assumption of jurisdiction over national interest cases by Sec. of Labor Employment

- The Secretary of Labor and Employment may assume jurisdiction over the dispute that is likely
to cause a strike or lockout in an industry indispensable to the national interest. He may decide
it or certify the same to the National Labor Relations Commission for compulsory arbitration
provided that any of the following conditions are present:
a. Both parties have requested the Secretary of Labor and Employment to assume
jurisdiction over the labor dispute
b. After a conference called by the office of the Secretary of Labor and Employment on the
propriety of its issuance, motu proprio or upon a request or petition by either parties to
the labor dispute.48

Industries indispensable to national interest.

- For the guidance of the workers and employers in the filing of a petition for the assumption of
jurisdiction, the following industries/services are recognized as indispensable to the national
interest”
a. Hospital sector;
b. Electric power industry;

44
Mobil Employees Association vs NLRC, 183 SCRA 737
45
Acda VS min. Of Labor, 137 SCRA 267
46
Sec 1, Rule XIII, Rules Implementing the Labor Code
47
Supra, note 7
48
Sec. 15, Rule XXII, Book V, Omnibus Rules Implementing the Labor Code, as amended by D.O. 40-H-13, series of
2013 in relation to Article 278 of the Labor Code
 13

c. Water supply services, to exclude small water supply services such as bottling and
refilling stations;
d. Air traffic control; and
e. Such other industries as maybe recommended by the National tripartite industrial peace
council49
f.
Operational guidelines pertaining to national interest disputes

The following are the guiding pertaining to disputes likely to cause a strike or lockout in an
industry indispensable to national interest:

1. Assumption and certification powers of the Secretary of Labor and Employment

2. Condition for a valid exercise of assumption and certification powers
3. Legal effects of assumption power
3.1. Such assumption shall have the effect or automatically enjoining an impending
strike or lockout;
3.2. If a strike/lockout has already taken place at the time of assumption, all striking or
locked out employees and other employees subject of the notice of strike shall
immediately resume operations and re-admit all employees under the same terms
and conditions prevailing before the strike or lockouts; and
3.3. Notwithstanding the foregoing, parties to the case may agree at any time to submit
the dispute to the Secretary of Labor or his/her duly authorized representative as
Voluntary Arbitrator or to a duly accredited Voluntary Arbitrator or to a panel of
Voluntary arbitration50
4. All remedies explored to peacefully settle vital industry disputes
4.1. Prior filing of a notice of strike or lockout
4.1.1. The Regional Coordinating Council, shall take the lead and explore all
remedies and avenues deemed necessary and feasible to peacefully settle
the dispute.
4.1.2. The Regional Tripartite Industrial Peace Council, concerned Industrial
Tripartite Councils, and National Tripartite Industrial Peace Council may be
accessed to explore all avenues for peaceful settlement of the dispute
4.1.3. Relevant agencies shall immediately facilitate the settlement or decision of
Pending issues or cases that may contribute to the settlement of the cases.
4.1.4. Plant level mechanisms on labor management cooperation, employee
grievances, and harmonious workplace relations may be utilized

49
Sec. 16, Rule XXII, Book V, Omnibus Rules Implementing the Labor Code, as amended by D.O. 40-H-13, series of
2013
50
Sec. 15, Rule XXII, Book V, Omnibus Rules Implementing the Labor Code, as amended by D.O. 40-H-13, series of
2013
 14

4.1.5. Preventive mediation and Single Entry Approach channels may be

accessed51
4.2. After Filing of a Notice of strike or lockout
4.2.1. The NCM Conciliator-Mediator, with the assistance of the Regional Branch
Director, shall maximize the cooling-off periods of fifteen days for inferring
labor practice/s and thirty days in the case of collective bargaining deadlock.
4.2.2. In instances where there is a possibility of settlement, the parties may agree
to extend the period of time beyond the lapse of the cooling-off period 52
4.3. Strike of Lockout vote results submitted
4.3.1. Upon submission of the strike or lockout vote results to the NCMB, the
office of the Secretary through the Undersecretary of Labor Relations shall
immediately be notified through written memorandum and text messaging
4.3.2. The NCMB Executive Director shall exhaust all available means to settle the
dispute for the entire duration of the strike ban. On the 3rd and 4th day of
the strike ban period, a last ditch effort to effect a settlement shall be
undertaken, if no settlement is reached and a strike or lockout is imminent,
the case shall be coordinated with the Office of the Secretary through the
undersecretary for Labor Relations for the conduct of mandatory
conferences.
4.3.3. Mandatory Conferences at the office of the Secretary level, either motu
proprio or upon request or petition by either party to the dispute shall be
determine the prosperity to assume jurisdiction over or certify a labor
dispute likely to cause a strike or lockout in an industry indispensable to the
national interest; and provide a venue to conciliate and mediate the
dispute.
4.3.4. When a labor dispute causes or is likely to cause a strike or lockout in an
industry indispensable to the national interest, the Secretary of Labor and
Employment may assume jurisdiction over the dispute and decide it or
certify the same to NLRC for compulsory arbitration when any of the
following conditions under Section 2 are present.
4.3.5. In instances where there is a possibility of settlement, the parties may agree
to extend the period of time beyond the strike ban period. 53
4.4. Decisions, final and executory ten (10) days after receipt by the parties.

51
Sec. 5(a), Operational Guidelines of D.O. 40-G-03, series of 2010
52
Sec. 5(b), Operational Guidelines of D.O. 40-G-03, series of 2010
53
Sec. 5(c), Operational Guidelines of D.O. 40-G-03, series of 2010