LABOR LAW (BAR TRENDS)

Non-residents alien may be hired if an Non-resident aliens may be hired if an employment permit is
GENERAL PRINCIPLES
PRINCIPLE OF CODETERMINATION
Is one which grants to the workers the right to participate in policy and decision making processes
affecting their rights and benefits.
LABOR STANDARDS - Prescribes the terms and conditions of employment as affecting wages or
monetary benefits, hours of work, cost of living allowances, and occupational health, safety and welfare
of the workers. It provides economic benefits to the workers. It provides economic benefits to the workers
who are actually working.
LABOR RELATIONS - Defines and regulates the status, rights and duties, and the institutional
mechanisms, that govern the individual and collective interactions or Ers, Ees or their representatives. It
is concerned with the stabilization of relations of Ers and Ees and seek to forestall and adjust the
differences between them by the encouragement of CB and the settlement of labor disputes through
conciliation, mediation, and arbitration.
SOCIAL LEGISLATION - All laws passed by the State to promote public welfare. It includes statutes
intended to enhance the welfare of the people even where there is no Er-Ee relationship. It provides
economic benefits to workers who are at work because of hazards of employment.
ARTICLE 4 LC - All doubts in the implementation and interpretation of the provisions of this Code,
including its implementing rules and regulations, shall be resolved in favor of labor.
QUANTUM OF EVIDENCE - an evidence required in a labor case, such amount of relevant evidence
which a reasonable mind might accept as adequate to justify a conclusion.
CALALANG vs WILLIAMS - Social justice is “neither communism, nor despotism, nor atomism, nor
anarchy,” but the humanization of laws and equalization of social and economic force by by the State so
that justice in its rational and objectively secular conception may at least be approximated.
GR: All rights and benefits granted to workers under the LC shall apply alike to all workers, whether
agricultural or non-agricultural.
XPN:
1. Government Employees
2. Ees of Government corporations created by special or original charter
3. Foreign Governments
4. International Agencies
5. Corporate officers/intra-corporate disputes which shall fall under P.D. 902-A and now fall under the
jurisdiction of the regular courts pursuant to the SRC
6. Local water district except where NLRC’s jusrisdiction is invoked.
7. As may otherwise be provided by the LC.
Note:
When a GOCC is created by SPECIAL CHARTER, it is subject to the provisions of the Civil Service Law
while those incorporated under the general Corporation Law is subject to the provisions of the Labor
Code.
Any person or entity which, in any manner, offers or promises for a fee employment to two or more
persons shall be deemed engaged in recruitment and placement (Art.13(b)LC)
(Note: regardless of Number)
PRIVATE FEE-CHARGING EMPLOYMENT PRIVATE RECRUITMENT AGENCY
AGENCY
Any person or entity engaged in the recruitment Any person or association engaged in the
and placement of workers for a fee which is recruitment and placement of workers, locally or
charged, directly or indirectly, from the workers or overseas, without charging, directly or indirectly,
Employers or both (LC art 13) any fee from workers or employeres. (LC
Art.13(e))
issued to a non-resident alien or to the applicant employer after a determination of the non-availability of
a person in the Philippines who is competent, able and willing at the time of application to perform the
services for which the alien desired (LC, Art. 40)
A Corporation can validly engage in recruitment and placement of workers, locally and overseas, at least
seventy-five percent (75%) of its authorized and voting capital stock must be owned and controlled by
Filipino citizens (LC Art.27)(BAR 2015)
Travel Agencies and sales agencies of airline companies are prohibited from engaging in the business of
recruitment and placement of workers for overseas employment whether for profit or not.(LC. Art. 26)
(BAR 2006)
SYNDICATED - an illegal recruitment committed by a syndicate if carried out by a group of three or more
persons in conspiracy or confederation with one another.
LARGE SCALE OR QUALIFIED - committed against three or more person individually or as a group.
Note: It is economic sabotage when complex illegal recruitment is committed, such it is syndicated or
done in a large scale.(LC,Art38(b))
ILLEGAL RECRUITMENT and ESTAFA cases may be filed simultaneously or separately. The filing of
charges for illegal recruitment does not bar the filing of estafa, and vice versa.
LIABILITY OF LOCAL RECRUITMENT AGENCY
Shall be jointly and solidarily liable with its principal or foreign-based employer for any violation of the
recruitment agreement and violation of contracts of employment.
BASIS IN COMPUTING AN EMPLOYEE’S COMPENSATION IN CASE OF PREMATURE
TERMINATION OF CONTRACT
The Migrant Workers Act provides that salaries for the unexpired portion of the employment
contract (or three months for every year of the unexpired term, whichever is less,) - DECLARED
UNCONSTITUTIONAL YEAR 2009…….. shall be awarded to the overseas FIlipino worker.
THE SECRETARY OF LABOR CANNOT ISSUE SEARCH WARRANTS OR WARRANTS OF ARREST
Under the 1987 Constitution, only judge may issue search warrants or warrants of arrest. Hence, Art.
38(c) of the LC is unconstitutional in as much as it gives the SLE the power to issue search warrants and
warrants of arrest. The labor authorities mus go through the judicial process.(Salazar v Achacoso)
GR: It shall mandatory for all OFWs to remit a portion of their exchange earnings to their families,
dependents, and/or beneficiaries ranging from 50%-80% depending on the worker’s kind of job.
XPNS:
1. The worker’s immediate family members, beneficiaries and dependents are residing with him abroad.
2. Immigrants and Filipino professionals and Ees working with the UN agencies or specialized bodies.
3. Filipino servicemen working in U.S. military installations.
NON-LAWYERS CAN APPEAR BEFORE THE NLRC or LABOR ARBITERS
1. If they represent themselves
2. If they represent their legitimate labor organization or members thereof
3. If they are duly accredited members of the legal aid office recognized by the DOJ or IBP (Art.222, LC)
Non-lawyers cannot charge attorney’s fee because the latter presuppose the existence of attorney-client
relationship which exists only if the representative is a lawyer.
LABOR STANDARDS
ART.18,LC
Provides that no employer may hire a Filipino worker for overseas employment except through the
boards and entities authorized by the DOLE except DIRECT HIRING by diplomatic corps, international
organizations and such other employers as may be allowed by the DOLE.

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 It is 5-days leave with pay for every Ee who has rendered at least 1 year of service. It is commutable to
Another exemption if NAME HIRE, which refers to a worker who is able to secure an overseas its money equivalent if not used or exhausted at the end of the year.
employment opportunity with the assistance or participation of any agency.

HOURS OF WORK ART 140, LC

With hours of work, weekly rest periods, holidays, service incentive leaves and service charges, cover all Provides that no employer shall discriminate against any person in respect to terms and conditions of
employees in all establishments, whether for profit or not(LC, Art. 82) employment on account of his age.

XPNS: MATERNITY LEAVE BENEFIT

1. Government Employees A covered female Ee, regardless of her civil status, is entitled to a daily maternity benefit equivalent to
2. Field Personnel 100% of her present basic salary, allowances and other benefits or the cash equivalent of such benefits
3. Managerial Employees or the cash equivalent of such benefits or the cash equivalent of such benefits for 60 days or 78 days in
4. Officers and members of the managerial staff case of caesarean delivery.
5. Members of the family of the employer who are dependent on him for support
6. Workers paid by results LEAVES FOR VICTIMS OF VIOLENCE AGAINST WOMEN and their CHILDREN (RA 9262)
7. Persons in the personal service of another A female Ee who is a victim of violence (physical, sexual, or psychological) is entitled to a paid leave of
8. Domestic Helpers 10 days in addition to other paid leaves. This is known as the battered woman leave.

The normal hours work of any Ee shall not exceed 8 Hours a day. SPECIAL LEAVE BENEFIT FOR WOMEN
XPN: Health Personne, Compressed Work Week A female Ee having rendered continuous aggregate employment service of at least 6 months for the last
12 months shall be entitled to a special leave benefit of 2 months with full pay based on her gross
Overtime Work monthly compensation following surgery caused by gynaecological disorders.
- During Regular Working day - 25%
- During Holiday or Rest Day - 30% RETIREMENT
1. Optional - upon reaching 60 years old provided that the Ee has rendered 5 years of service
Night Shift Differential 2. Compulsory - 65 years old, regardless of years
- 10% of RW
- A retiree is entitled to retirement pay equivalent to at least 1/2 month salary for every year of service, a
NO WORK, NO PAY PRINCIPLE fraction of at least 6 months being considered as 1 whole year.
(Fair day’s wage for a fair day’s labor)
GR: If there is no work performed by the Ee, without the fault of the Er, there can be no wage or pay. SUPERIORITY OF BENEFITS RULE
Burden of economic loss suffered by the Ee shall not be shifted to the Er. -Once the Ee retires, it is not Article 287 that is controlling but the retirement plan under the CBA or other
XPN: The laborer was able, willing and ready to work but was: applicable employment contract. Whichever is higher.
1. Prevented by Management
2. Illegally locked out NO-SPOUSE EMPLOYMENT POLICY
3. Illegally suspended GR: It may not facially violate Art 136 of the LC but it creates a disproportionate effect and the only way it
4. Illegally dismissed could pass judicial scrutiny is by showing that is reasonable despite the discriminatory and
5. Illegally prevented from working disproportionate effect.

NON-DIMINUTION OF BENEFITS XPN: BONA FIDE OCCUPATIONAL QUALIFICATION RULE (BFOQR)

GR: Benefits being given to Ees cannot be taken back or reduced unilaterally by the Er because the To justify BFOQR, the Er must prove two factors
benefit has become part of the employment contract, whether written or unwritten. 1. That the employment qualification is reasonably related to the essential operation of the job involved
XPN: 2. That there is a factual basis for believing that all or substantially all persons meeting the qualification
1. When diminution of benefits is to correct an error. would be unable to properly perform the duties of the job.
2. If the benefit being claim is contingent or conditional benefit, whose demandability depends on a
certain pre-conditions. EMPLOYMENT OF MINORS
GR:
HOLIDAY 1. No person under 18 years of age will be allowed to be employed in an undertaking which is hazardous
BASIS REGULAR HOLIDAY SPECIAL HOLIDAY or deleterious in nature.
If unworked Regular Pay No pay 2. No Er shall discriminate against any person in respect to terms and conditions of employment on
If worked 2x Regular pay + 30% premium pay of 100% account of his age.
RW
XPNS:
BASIS RH on Ee’s regular workday RH on Ee’s rest day BELOW 15 YEARS OLD
If unworked 100% 100% 1. The child works directly under the sole responsibility of his parents or legal guardian and where only
If worked (1st 8 hours) 200% 200% + 30% of 200% members of the family are employed.
2. The child’s employment or participation in public entertainment or information through cinema, theater,
If worked (OT)(excessof 8 230% 230% + 30%
radio or television is essential.
hours)
BELOW 15 BUT BELOW 18
SERVICE INCENTIVE LEAVE (SIL)
May be employed in any non-hazardous work.

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ABOVE 18 4. Power of control (the most important determinant)
No prohibition

ART. 139(c) LC - provides that a person below 18 years of age shall not be allowed to work in a
undertaking which is HAZARDOUS or DELETERIOUS in nature as determined by SLE. LABOR-ONLY CONTRACTING
Exists where the person supplying workers to an employer does not have substantial capital or
KASAMBAHAY LAW investment in the form of tools, equipment, machineries, work premises, among others, and the workers
recruited and placed by such persons are performing activities which are directly related to the principal
The kasambahay can avail the five day annual service incentive leave after 1 year service. If the business such emplyer.(LC, Art 106)
kasambahay fails to avail of any of his/her annual SIL, it shall be forfeited and cannot be converted to
cash. JAPAN ACTIVE CARBON CORP. Vs NLRC
A quitting because continued employment is rendered impossible, unreasonable or unlikeable; as an
The Kasambahay is entitled to 13 th month pay and they are also covered by SSS, PHILHEALTH and offer involving a demotion in rank and a diminution in pay.
Pag-IBIG after 1 month of service.
DISMISSAL FROM EMPLOYMENT
A househelper, a laundrywoman, a driver, houseboy or gardener working in staffhouses of a company
who attends to the needs of the company’s guests is not a househelper or domestic servant.He is an 1. JUST CAUSES
industrial worker who must be paid the industrial rate. Termination initiated by the Ee. Exercise of management prerogative, however must not be exercised
with abuse of discretion. GR: No separation pay
If the Kasambahay is unjustly dismissed, the domestic worker shall be paid the compensation already
earned plus the equivalent of 15 days work by way of indemnity. Procedural Requirements
1. Notice (two-notice rule)
JACKSON BLDG. CONDOMINIUM CORP. Vs NLRC 2. Hearing
Employees are entitled to the benefits regardless of their designation and irrespective of the method by 3. Judgment
which their wages are paid. Note: in authorized cause of dismissal, the above procedure is not applicable. Written notice served on
both the Ees and the DOLE at least 1 month prior to separation from work is the applicable procedure.
SANTOS Vs NLRC
In the computation of backwages and separaiton pay, account must be taken not only of basic salary but PEREZ vs PHILIPPINE TELEGRAPH AND TELEPHONE COMPANY
also her transportation and emergency living allowances. The Court held that a hearing or conference is not mandatory, as long as the employee is given “ample
opportunity to be heard”, i.e. any meaningful opportunity (verbal or written) to answer the charges against
MILLARES vs NLRC him or her and submit evidence in support of the defense, whether in a hearing, conference, or some
Seafarers as overseas Filipino workers are fixed term employees whose continued rehiring should not be other fair, just and equitable way.
interpreted as a basis for regularization but rather as a series of contract renewals.
Just causes for termination
LABOR-ONLY CONTRACT 1. SERIOUS MISCONDUCT OR WILLFUL DISOBEDIENCE by the Ee of the lawful orders of his Er or
Is a contract between an employer and a person who supplies workers to such employer where the representative in connection with his works.
person supplying the workers does not have substantial capital or investment in the form of tools,
equipment, machineries, work premises,among others, and workers recruited and placed by such person Requisites:
are performing activities which are directly related to the principal business of such employer. a. The employee’s assailed conduct must have been willful or international, the willfulness being
(Art.106,LC) characterized by a wrongful and perverse attitude.
b. The order violated must have have been reasonable, or lawful made known to the employee and must
pertain to the duties which he had been engaged to discharge.
TERMINATION OF EMPLOYMENT
PLDT vs NLRC 164 SCRA 671
Tabas vs. California Manufacturing Co. The award of separation pay is not proper because the employee was terminated for serious misconduct
An employment contract which stipulates that there is no Er-Ee relationship between the parties is and payment of separation pay will be to reward an employee for a wrong doing.
invalid. The existence of an Er-Ee relation is a question of law and being such , it cannot be made the
subject of agreement. 2. GROSS AND HABITUAL NEGLECT by the Ee of his duties.
3. FRAUD AND WILLFUL BREACH by the Ee of the trust reposed in him by his Er or duly authorized
Jardin vs NLRC and Goodman Taxi representative.
Taxi or jeepney drivers under the boundary system are Ee’s of the taxi or jeepney owners/operators; also 4. COMMISSION OF A CRIME OR OFFENSE by the Ee against the person of his Er or any immediate
the passenger bus drivers and conductors. member of his family or his duly authorized representative.
5. Other causes analogous to the foregoing.
Note: It is lawful for a PRIVATE SECURITY GUARD AGENCY to place its security guard on a floating
status if it has no assignment to give to said security guards. But if the security guards are placed on a 2. AUTHORIZED CAUSES
“floating status” for more than 6 months, the security guards may consider themselves as having been Initiated by the employer’s exercise of management prerogative, who shall be liable to pay separation
dismissed. pay as mandated by law. Does not require deliquency or culpability on the part of the employee.
FOUR-FOLD TEST 1. INSTALLATION OF LABOR SAVING DEVICE
1. Selection and engagement of the employee.
2. Payment of wages 2. REDUNDANCY
3. Power of dismissal Requisites:

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a. Written notice served on both the Ees and the DOLE at least 1 month prior to separation from work. - Position Paper - A position paper is valid alternative because not all cases are litigation concerns. It
b. Payment of separation pay equivalent to at least 1 month pay or at least 1 month pay for every year of should suffice in matters that only involve a question of law.
service, whichever is higher.
c. Good faith in abolishing redundant position NOTE: Failure to comply with the requirement of the 2 notices makes the dismissal illegal. The procedure
d. Fair and reasonable criteria in ascertaining what positions are to be declared redundant: is mandatory.
- Less preferred status, eg. Temporary employee
- Efficiency and REINSTATEMENT
- Seniority It is immediate and executory even pending appeal. The reversal of the decision of the appelleate court
will not lead to the reimbursement of wages received by the Ee during pending appeal.
3. REORGANIZATION
It is self-executory and does not require a writ of execution.(BAR 2009)
4. RETRENCHMENT
Causes of Retrenchment Pionner Texturizing Corp. vs NLRC
A. Lack of Work The posting of bond of the employer does not have the effect of staying the execution of the
B. Business Recession reinstatement aspect of the decision of the Labor Arbiter.
C. Fire
D. Consevatorship STRAINED RELATION RULE
It is when the Er can no longer trust the Ee and vice versa or there were imputations of bad faith to each
Requisites of a valid retrenchment other, reinstatement could not effectively serve as a remedy. This rule applies only to positions which
A. Written notice served of bot the Ee and the DOLE at least 1 month prior to the intended date of require trust and confidence.
retrenchment
B. Payment of separation pay equivalent to at least 1 month pay or at least 1/2 month pay for every year BACKWAGES
of service, whichever is higher. It refers to the relief given to an Ee to compensate him for the lost earnings during the period of his
C. Good faith dismissal. It presupposes illegal termination.
D. Proof of expected or actual losses
E. The Er used fair and reasonable criteria in ascertaining who would be retained among the Ee, such as The backwages shall, from the time that wages are unlawfully withheld until the time of actual
status, efficiency, seniority, physical fitness, age and financial hardship of certain workers. reinstatement or, if reinstatement is no longer feasible, until the finality of judgment awarding backwages,
cover the period form the date of dismissal of the Ee up to the date of:
5. CLOSING OR CESSATION OF OPERATION OF THE ESTABLISHMENT OR UNDERTAKING 1. Actual reinstatement, or if reinstatement is no longer feasible.
Fernando vs. Angat 2. Finality of judgment awarding backwages.
- A change of business ownership does not create an obligation on the part of the new owner to absorb
the employees of the previous owner, unless expressly assumed. Labor contracts being in personam, INCLUDED IN THE COMPUTATION OF BACKWAGES
are not enforceable against a transferee. 1. Transportation and emergency allowances
2. Vacation or SIL and sick leave
Requisites: 3. 13th month pay
A. Written notice served on both the Ees and the DOLE at least 1 month prior to the intended date of
closure. SERVICE INCENTIVE LEAVE
B. Payment of separation pay equivalent to at least one month pay or at least 1/2 month pay for every AUTOBUS vs BAUTISTA - the SC recognized that SIL is such a unique labor standard benefit, because
year of service, whichever is higher, except when closure is due to serious business losses it is commutable. An employee may claim his accrued SIL upon his resignation, retirement, or
C. Good faith termination. The SIL accrued at the time WHEN THE EMPLOYER REFUSEDTO PAY HIS RIGHTFUL
D. No circumvention of the law SIL BENEFITS.
E. No other option available to the Er.
Note: employees who are unsupervised like those who are paid under the “boundary system” are not
NATIONAL FEDERATION OF LABOR vs NLRC entitled to a 13th month pay(RandE transport vs Latag)
The SC ruled that there is no obligation to pay separation pay if the closure is not a unilateral and
voluntary act of the employer. PREVENTIVE SUSPENSION (BAR 2015)
The employer may place an employee under preventive suspension if his/her continued employment
6. DISEASE would pose a SERIOUS AND IMMINENT THREAT to the life or property of the employer or of his/her co-
- Must be incurable within six months and the continued employment is prohibited by law or prejudicial to employees. These requirements are not present here.
his health as well as to the health of his co-Ees. Certification from the competent public health authority
that the disease is incurable within six months is indispensable prior to the termination of the Ee. It should not last for more than 30 days. It can be extended provided that the Ee’s wages are paid after
the 30-day period.
TWIN REQUIREMENT OF PROCEDURAL DUE PROCESS
1. NOTICE - “twin-notice rule” FERRER vs NLRC
A. First Notice - Necessity of first notice to inform the worker of the violation and preparation for the Quoting Article 279, LC - under the above quoted provision, it became mandatory to award backwages to
defense (Pre-notice) illegally dismissed regular employees. The law specifically declared that the award of backwages was to
B. Last Notice - To give the worker a notice of the Er’s final decision (Post Notice) be computed from the time compensation was withheld form the employee up to time of his
reinstatement.
2. HEARING - Two fundamental rules:
A. Hearing means ample opportunity to be heard. MANAGEMENT PREROGATIVE
B. What the law prohibits is total absence of opportunity to be heard.
- If ample opportunity to be heard is given, there is no violation

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The employer ca exercise this prerogative without fear of liability as long as it is done in good faith for the
advancement of his interest, and not for the purpose of defeating or circumventing the rights of the
employees under special laws or agreements.
PROBATIONARY EMPLOYMENT
ART 281, LC - The services of an employee who has been engaged on a probationary basis may be
terminated when he fails to qualify as a regular employee in accordance with reasonable standards made
known to employee at the time of his engagement
A.M. ORETA AND Co.,INC vs NLRC
The law is clear to the effect that in all cases involving employees engaged on probationary basis, the
employee at the time he is hired, the standards by which he will qualify as a regular employee.
NOTE: The failure of the employer to inform the employee of the qualification for regularization is fatal.
The failure violates the rules of fair play which is a cherished concept in labor law.
PAGULO vs NLRC
Where a person thus engaged has been performing the job for at least one year, even the performance
is not continuous or is merely intermittent, the law deems the employment as regular with respect to such
activity and while such activity exist.
SOCIAL AND WELFARE LEGISLATION
SOCIAL SECURITY SYSTEM LAW (RA 8292)
Exlusion from coverage
1. Employment purely casual and not for the purpose of occupation or business of the Er. (BAR 2013)
2. Service performed on or in connection with an alien vessel if he is employed when such vessel is
outside the Philippines.
3. Service performed in the employ of the Philippine Government or instrumentality or agency thereof
4. Service performed in the employ of a foreign government or international organization or their wholly--
owned instrumentality.
5. Such other services performed by temporary and other Ees which may be excluded by regulation of
the Commission.
Benefits provided for in the SSS Law are not transferable and no power of attorney or other document
executed by those entitled thereto in favor of any agent, attorney, or any their behalf shall be recognized,
except when they are physically unable to collect personally such benefits.
What is important to enjoy the benefits under SSS Law is the membership and not the causal connection
of the work of the Ee to his injury or sickness.
(BAR TREND 2013 2015) If the question is asking if the member can claim the benefits. This is the
answer:
- The beneficiary can claim benefits provided he already “paid at least 3 monthly contributions in 12-
month period immediately preceding the semester of sickness.”
DYCAICO v. SSS
Section 12-B(d) of RA 8282 is declared unconstitutional, which provides that “ the primary beneficiaries
who are entitled to survivors pension are those who qualify as such as of the date of retirement of
deceased member.”
In this case, Bonifacio and Elena Dycaico lived together without the benefit of marriage. Bonifacio retired
and began receiving his pension in June 1989. Bonifacio was married to Elena on January 1997 until he
passed away on June 1997. Elena claimed the survivors pension but the SSS denied her claimed
asserting the provision stated above. The SC later declared the provision unconstitutional on a ground of
violation of due process.
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GSIS LAW (RA 8291)
Compulsory coverage of the GSIS
1. All Ees receiving compensation who have not reached the compulsory retirement age, irrespective of
employment status.
XPNS:
a. Uniform members of the AFP, PNP
b. Contractual Ees who have Er and Ee relationship with the agencies they serve.
2. Members of the judiciary and constitutional commissions for life insurance policy.
BAR TREND
About the beneficiary of the SURVIVORSHIP BENEFITS.
Answer: The legitimate spouse has the right to claim the benefits. The common law wife has no right at
all.
About the death of the beneficiary
Weather his death is work related or not, it is not necessary to entitle his beneficiary to claim the benefits.
LIMITED PORTABILITY RULE
A covered worker who transfers employment from one sector to another or is employed on both sectors,
shall have creditable services or contributions on both Systems credited to his system or contribution
record on each of the systems and shall be totalized for purposes of old age, disability, survivorship and
other benefits in either or both systems.(RA 7699, Sec 3)
LABOR RELATIONS
COLLECTIVE BARGAINING AGREEMENT
RIGHT TO SELF-ORGANIZATION
It is the right of workers and Ees to form, join or assist unions, organizations or associations for purposes
of CB and negotiation and for mutual aid and protection. It also refers to the right to engage in peaceful
concerted activities or to participate in policy and decision-making processes affecting their rights and
benefits.
An employee or a member of a cooperative cannot join a union and bargain collectively with his
cooperative for an owner cannot bargain with himself and his co-owners.
Supervisory Ees shall not be eligible for membership in a labor organization of the rank-and-file Ees but
may join, assist or form separate labor organizations of their own. The rank and file union and the
supervisors’ union operating within the same establishment may join the same federation or national
union (LC, Art 255)
Government employees have the right to organized, but they may be held liable for engaging in
concerted mass actions, it being prohibited activity under CSC LAW (E.O. 181) The right of Government
employees to organize is limited to the formation of unions or association without including the right to
strike.
PRINCIPLE OF CODETERMINATION
Is one which grants to the workers the right to participate in policy and decision making processes
affecting their rights and benefits.(Art.255, LC) The workers’ right do not include membership in the
Board of Directors of a Corporation.
SUBSTITUTIONARY DOCTRINE
This doctrine holds that the employees cannot revoke the validly executed collective bargaining contract
with their employer by the simple expedient of changing their bargaining agent. The new agent must
respect the contract. The employees, thru their new bargaining contract, except to negotiate with the
management for the shortening thereof.
MIXED MEMBERSHIP is not a ground for cancellation of a union’s registration, but said employees
wrongfully joined are deemed removed from said union.

CERTIFICATION ELECTION
Requires a petition for a Certification Election filed by a union or employer. A Med-arbiter grants the
petition and an election officer is designated by the regional director to supervise the election.
CONSENT ELECTION
Is held by agreement of the unions with or without participation of the med-arbiter.
RUN-OFF ELECTION
Takes place between the union who received the two highest number of votes where one of the unions
obtained the majority of the valid votes cast, provided that the total union votes is at least 50% of the
votes.
CLOSED SHOP AGREEMENT
Is that agreement embodied in a collective bargaining agreement (CBA) whereby the employer binds
itself not to hire any person unless he is first a union member of the collective bargaining representative.
CONTRACT BAR RULE
A certification cannot be held if there is in force and in effect a collective bargaining agreement that has
been duly registered with the Department of Labor and Employment except the freedom period of such
CBA which WITHIN 60-DAY PERIOD prior to the expiry date of the CBA.
DEADLOCK BAR RULE
A certification election can not be held if a bargaining deadlock to which an incumbent or certified
bargaining agent is a party had been submitted to conciliation or mediation or had become the subject of
a valid notice of strike or lockout.
AUTOMATIC RENEWAL CLAUSE
Requires that the parties maintain the status quo and continue the term and condition of an expired CBA
until a new agreement is reached.
GLOBE MACHINE vs STAMPING Co.
In GLOBE DOCTRINE the bargaining units may be formed through separation of new units from existing
ones whenever plebiscites had shown the worker’s desire to have their own representatives.
FREEDOM PERIOD
The time within which a petition for certification election to challenge the incumbent collective bargaining
agent may be filed is from 60 days before the expiry date of the CBA.
CHECK-OFF CLAUSE
Authorizes the company to deduct from the employees salary defined amounts for union dues and other
fees. It still needs individual written authorization (2013 BAR)
MARIWASA STAM CERAMICS v SECRETARY
To be ground for the cancellation of the union registration under the Labor Code, the nature of the fraud
must be GRAVE AND COMPELLING ENOUGH to vitiate the consent of the majority union members.
UNFAIR LABOR PRACTICE
The act complained of must have a proximate and causal connection with.
- Exercise of the Right to Self-organization
- Exercise to the Right of Collective Bargaining
- Compliance with CBA
ULP COMMITTED BY THE EMPLOYER
1. INTERFERENCE, RESTRAIN, COERCION
2. YELLOW DOG CONDITION
- It is to require, as a condition of employment that a person or an Ee shall not join a labor organization
attempt to organize one during their employment nor shall withdraw from one which he belongs
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3. CONTRACTING OUT OF SERVICES
- It is to contract out services for functions being performed by union members when such acts will
interfere with, restrain or coerce Ees in the exercise of their rights to self-organization.
4. COMPANY UNIONISM OR CAPTIVE UNIONISM
- PAR (d) of ART 248 LC - considers it ULP to initiate, dominate, assist or otherwise interfere with the
formation or administration of any labor organization, including the giving of financial or other support to it
or its organizers or supporters. Such union is called COMPANY UNION as its formation, function or
administration has been assisted by any act defines as ULP under LC Labor organization in which, in
whole or in part, is Er controlled or Er dominated.
5. DISCRIMINATION FOR OR AGAINST UNION MEMBERSHIP
6. DISCRIMINATION BECAUSE OF TESTIMONY
7. VIOLATION OF DUTY TO BARGAIN
8. PAYMENT BY THE ER OF NEGOTIATION FEES
9. GROSS VIOLATION OF CBA
ULP’s are not only violation of civil rights of both labor and management but are also criminal offenses
against the State which shall be subject to prosecution and punishment (LC, Art 247). However, the
criminal aspect can only be filed when the decision of the labor tribunals, finding the existence of the
ULP, shall have become final and executory.
COOLING-OFF PERIOD
It is the period given by the NATIONAL CONCILIATION AND MEDIATION BOARD (NCMB) to mediate
and conciliate the parties. It is span of time allotted by law for parties to settle their disputes in a peaceful
manner before staging a strike or lockout. The principles of improved offer and reduced offer balloting
apply during the cooling-off period.
EXCEPTION: If the dismissal constitutes union busting, the union may strike immediately.
- 15 days if the issues raised is UNFAIR LABOR PRACTICE
- 30 days if the issues raised is BARGAINING DEADLOCK
STRIKE VOTES
Art.263(f) - In every case, the union or the Er shall furnish the DOLE and the parties to exert the last
results of the voting at least 7 days before the intended strike. Purpose: to enable the DOLE and the
parties to exert effort to settle the dispute without strike action.
Note: an ordinary worker, may not be declared to have lost his employment status by mere participation
in the illegal strike, unless there is proof that he knowingly participated in the commission of illegal acts
during the strike. That worker is not entitled to any backwages even if they are reinstated.
WILDCAT STRIKE
Is one that is one declared by a group of workers without formal union approval.
ARELLANO UNIVERSITY EMPLOYEES vs CA
Article 264 of Labor Code distinguishes the effects of illegal strikes between ordinary workers and union
officers who participate therein. As an ordinary striking worker, may not be declared to have lost his
employment status by mere participation in an illegal strike, unless there is proof that he knowingly
participated in the commission of illegal acts during the strike.
JURISDICTION AND REMEDIES
The cases arising from the INTERPRETATION OR IMPLEMENTATION OF CBA handled and disposed
through the GRIEVANCE MACHINERY and if not resolved, through VOLUNTARY ARBITRATION.
ART 223, LC
- Decisions, awards, or orders of the Labor Arbiter are final and executory unless appealed to the
commission by any both parties within TEN (10) CALENDAR DAYS from receipt of such decisions,
awards, or orders.”
MED-ARBITER
Has jurisdiction over intra-union dispute/conflict. Conduct certification election.

Appellate authority over decisions of the REGIONAL DIRECTOR involving examination of union
accounts is expressly conferred on the BUREAU OF LABOR RELATIONS (BLR) under the Rule of
procedure on Mediation Arbitration.

Art 223, LC - In case of a judgment involving a monetary award, an appeal by the employer may be
perfected only upon the posting of cash or surety bond…In the amount equivalent to the monetary award
in the judgment appealed from.

SEC 10, RA 8042 - The Labor Arbiter has jurisdiction over a claim arising out of an employer-employee
relationship or by virtue of any law or contract involving Filipino workers for overseas deployment
including claims for actual, moral, exemplary and other forms of damages.

BARANGAY CONCILIATION through Lupon Tagapamayapa is not applicable in labor cases.

United Placement International vs NLRC

The review power of the NLRC in perfected appeals is limited only to those issues raised on appeal.
Hence, it is grave abuse of discretion for the NLRC to resolve issues not raised on appeal.

ART 263(g), LC/ Bangong Pagkakaisa ng mga Mangagawa vs Secretary

The power of Secretary of Labor under Article 263(g) is plenary. He can rule on all issues, questions or
controversies arising from the labor dispute, including the legality of the strike, even those over which the
Labor Arbiter has exclusive jurisdiction. (100%BARQUESTION)

QUITCLAIM
In ALBA PATIO DE MAKATI - a final and executory judgment cannot be compromised under a released
and quitclaim if it is clearly to the grave disadvantage of the affected employees by paying them much
lesser amounts than what they were entitled to receive under the judgment.