Week 3

Labor Standards

Part I. Mandatory Benefits

1. 8-Hour Work (Art. 83) Hours Worked

2. Meal Period (Art. 85)
3. Night Shift Differential (Art. 86)
4. Overtime Pay (Art. 87)
5. Weekly Rest Period (Art. 91)
6. Premium Pay (Art. 93)
7. Holiday Pay (Art. 94)
8. Service Incentive Leaves (Art. 95)

Article 83. Normal hours of work. The normal hours of work of any employee shall not
exceed eight (8) hours a day.

Purpose of the 8-Hour Labor Law

The Eight-hour Labor Law was enacted not only to safeguard the health and
welfare of the laborer or employee, but in a way to minimize unemployment by forcing
employers, in cases where more than 8-hour operation is necessary to utilize different
shifts of laborers or employees working only for 8 hours each.

Rationale of 8 hours of work:

1. To safeguard the health and welfare of the laborer; and
2. To minimize unemployment by utilizing different shifts (Manila terminal Co., Inc
vs. CIR)
Part-Time Work

Considering the purpose of the law, as mentioned above, it is not prohibited to

have “normal hours of work” of less than eight hours a day. What the law regulates is
work hours exceeding eight. It prescribes a maximum but not minimum. Art. 83 does
not say that the normal hours of work is or should be eight hours but that it shall not
exceed eight. Therefore, part-time work, or a day’s work of not less than eight hours, is
not prohibited.

It is not prohibited to have normal hours of work of less than eight hours a day.
What the law regulates is work hours exceeding eight - it prescribes the maximum but
not the minimum.

Art. 83 do not say that the normal hours of work is or should be eight hours but
that it shall not exceed eight.

Broken Hours

Minimum normal 8 working hours fixed by law need not be continuous to

constitute the legal working day. It may mean broken hours of say, 4 hours in the
morning and 4 hours in the evening or variation thereof provided the total of 8 hours is
accomplished within the work day.

Compressed workweek

It is a scheme where the normal workweek is reduced to less than 6 days but
the total number of work-hours of 48 hours per week shall remain.

The normal workday is increased to more than 8 hours but not to exceed 12
hours, without corresponding overtime premium. The concept can be adjusted
accordingly depending on the normal workweek of the company

Requisites:

1. The scheme is expressly and voluntarily supported by majority of the employees

2. In firms using substances, or operating in conditions that are hazardous to
health, a certification is needed from an accredited safety organization or the
firm’s safety committee that work beyond8 hours is within the limit or levels of
exposure set by DOLE’s occupational safety and health standards.
 3. The DOLE Regional office is duly notified.

Valid Compressed work week:

The validity of the reduction of working hours can be upheld when the
arrangement is:
1. Temporary
2. It is a more humane solution instead of a retrenchment of personnel;
3. There is notice and consultations with the workers and supervisors;
4. A consensus is reached on how to deal with deteriorating economic conditions;
and
5. It is sufficiently proven that the company was suffering from losses.

Conditions where a “Compressed workweek” schedule may be legally authorized as an

exception to the 8-hour a day requirement under the labor code:

1. The employee voluntarily agrees to it

2. There is no diminution in their weekly or monthly take home pay or fringe
benefits
3. The benefits are more than or at least commensurate or equal to what is due to
the employees without the compressed work week
4. Overtime pay will be due and dependable when they are required to work on
those days which should have ceased to be working days because of the
compressed work week schedule.
5. No strenuous physical exertion or that they are given adequate rest periods.
6. It must be for a temporary duration as determined by the DOLE.

Types of Flexible working arrangements

1. Reduction of workdays: Where the normal work days per week are reduced but
should not last for more than six (6) months.
2. Rotation of workers: where the employees are rotated or alternately provided
work within the workweek
3. Forced leave: where the employees are required to go on leave for several days
or weeks, utilizing their leave credits if there are any.
 4. Broken-time schedule: where the work schedule is not continuous but the
number of work hours within the day or week is not reduced.
5. Flexi-holiday schedule: where the employees agree to avail themselves of the
holidays on some other days, provided that there is no diminution of existing
benefits as a result of such arrangement.

Working Time:

Working time is one during which an employee is actually working. It may include an
instance when an employee is not actually working but he is required to be present in
the employer’s premises. Thus, the fact that he is required to be present although not
actually doing any work, is still deemed working time.

When Hours worked are Compensable:

1. Employee is required to be on duty or to be at a prescribed workplace;

2. Employee is suffered or permitted to work;
3. Rest periods of short duration during working hours which shall not be more
than 20 minutes; and
4. Meal periods of less than 20 minutes

Note: Travel time, when beneficial to the employer is compensable (Rada vs. NLRC)

Principles in determining hours worked:

1. All hours which the employee is required to give to his employer regardless of
whether or not such hours are spent in productive labor or involve physical or
mental exertion.

2. Rest period is excluded from hours worked, even if employee does not leave his
workplace, it being enough that:

a. He stops working
b. May rest completely
c. May leave his workplace, to go elsewhere, whether within or outside the
premises of the workplace.

3. All time spent for work is considered hours worked if:

 a. The work performed was necessary
b. If it benefited the employer
c. Or the employee could not abandon his work at the end of his normal
working hours because he had no replacement
d. Provided, the work was with the knowledge of his employer or immediate
supervisor

3. The time during which an employee is inactive by reason of interruptions in his

work beyond his control shall be considered working time:

a. If the imminence of the resumption of the work required the employees

presence at the place of work; or
b. If the interval is too brief to be utilized effectively and gainfully in the
employees own interest.

Rules on Hours Worked:

A. Waiting Time:

It shall be considered as working time if:

1. Waiting is an integral part of his work

2. The employee is required or engaged by the employer to wait; or
3. When an employee is required to remain on call in the employer’s premises or
so close thereto that he cannot use the time effectively and gainfully for his own
purpose.
Travel Time:

1. Travel from home to work

General Rule: Normal travel from home to work is not working time.

Exceptions:
a. Emergency call outside his regular working hours where he is required
to travel to his regular place of business or some other work site.
b. Done through a conveyance provided by the employer.
c. Done under the supervision and control of the employer.
d. Done under vexing and dangerous circumstances.

2. Travel that is all in a day’s work - time spent in travel as part of the employees
principal activity.

Example: Travel from job site to hob site during the work day, must be counted
as working hours.

Travel away from home

General Rule:

a. Travel that requires an overnight stay on the part of the employee when it
cuts across the employee’s workday is clearly working time.
b. The time is not only hours worked on regular workdays but also during
corresponding working hours on non-working days. Outside of these regular
working hours, travel away from home is not considered working time.

Exception: During meal period or when employee is permitted to sleep in

adequate facilities furnished by the employer.

Sleeping time

Whether sleeping time allowed an employee will be considered as per his

working time will depend upon the express or implied agreement of the parties.

In the absence of an agreement, it will depend upon the nature of the service
and its relation to the working time.
Compensable: If sleeping time is subject to serious interruption or takes place under
conditions substantially less desirable than would be likely to exist at the employer’s
home.

Not Compensable: If there is an opportunity for comparatively uninterrupted sleep

under fairly desirable conditions.

It is compensable working time if the nature of the employee’s work allows sleeping
without interrupting or prejudicing the performance of his work.

Power Interruptions

- Brownouts of short duration but not exceeding 20 minutes shall be treated as worked or
compensable hours whether used productively by the employees or not;
- Brownouts running for more than 20minutes may not be treated as hours worked
provided that any of the following conditions are present:

a. The employees can leave their work place or go elsewhere whether within or
without the work premises; or
b. The employees can use the time effectively for their own interest.