LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
CHAPTER IV - PROHIBITIONS REGARDING
WAGES
a. Non-interference
b. Wage Deduction
c. Deposit for Loss or Damage
d. Withholding
e. Reliatory Measures
f. False Reporting
RESTRICTIONS ARE FOR THE PROTECTION TO
EMPLOYEE'S RIGHT TO A LIVING WAGE
Art. 112 - NON-INTERFERENCE IN DISPOSAL OF
WAGE
 No employer shall limit or otherwise interfere
with the freedom of any employee to dispose
of his wages.
 He shall not in any manner force, compel, or
oblige his employees to purchase
merchandise, commodities or other property
from any other person, or otherwise make
use of any store or services of such
employer or any other person.
 The RIGHT TO A LIVING WAGE of an
employee is recognized under ARTICLE XIII,
SECTION 3, 1987 CONSTITUTION
 There are restrictions for the
protection to the employee's right to a
living wage.
 One's fruit of labor must be protected
 ATTY’S COMMENT: If you are asked if there
is a constitutional provision providing for
restrictions to protect employee's rights:
Section 3, Art. XIII, 1987 Constitution
CIVIL CODE PROHIBITIONS
Art. 1703 - No contract which practically amounts to
involuntary servitude, under any guise whatsoever,
shall be valid
Art. 1704 - In collective bargaining, the labor union
or members of the board or committee signing the
contract shall be liable for non-fulfillment thereof
Art. 1705 - The laborer's wages shall be paid in
legal currency
Art. 1706 - Withholding of the wages, except for a
debt due, shall not be made by the employer
Art. 1707 - The laborer's wages shall be a lien on
the goods manufactured or the work done
Art. 1708 - The laborer's wages shall not be subject
to execution or attachment, except for debts
incurred for food, shelter, clothing and medical
attendance
Art. 1709 - The employer shall neither seize nor
retain any tool or other articles belonging to the
laborer
INVOLUNTARY SERVITUDE: When a child of a
laborer is forced to work for the employee to pay his
parent's debt
CASE: PROPERTY EXEMPT FROM EXECUTION
GR No. 151325 June 27, 2005
D'ARMOURED SECURITY AND INVESTIGATION
AGENCY, INC VS ARNULFO ORPIA, ET AL
Section 13 of Rule 39 of the Rules of Court on
properties exempt from execution
Except as otherwise expressly provided by law, the
following property, and no other, shall be exempt
from execution:
(i) So much of the salaries, wages or earnings of the
judgment obligor for his personal services within the
four months preceding the levy as are necessary for
the support of his family.
The EXEMPTION under this PROCEDURAL RULE
should be read in conjunction with the CIVIL CODE,
the SUBSTANTIVE LAW which proscribes the
execution of the employee's wages.
Article 1708: The Laborer's wage shall not be
subject to execution or attachment, except for debts
incurred for food, shelter, clothing and medical
attendance.
Obviously, the exemption under Rule 39 of the
Rules of Court and Art. 1708 of the New Civil Code
is meant to FAVOR ONLY LABORING MEN OR
WOMEN WHOSE WORKS ARE MANUAL.
 Persons belonging to this class
usually look to the reward of a day's
labor for immediate or present support,
and such persons are much in need of
the exemption than any other.
 ATTY’S COMMENT: If the person is a
manager or part of the managerial staff, his
salary is NOT EXEMPT from execution
CASE: lABORER IS UNABLE TO PAY DEBTED
MOTORCYCLE; SMALL CLAIM IS NOW UP TO
P400K
ROSARIO A. GAA VS. CA
Article 1708 used the word WAGES and not
SALARY in relation to LABORER when it declared
what are to be exempted from attachment and
execution.
The term WAGWS as distinguished from SALARY
applies to the compensation for manual labor,
skilled or unskilled, paid at stated times, and
measured by the day, week, month, or season,
while SALARY denotes a higher degree of
employment, or a superior grade of services, and
implies a position of office: by contrast, the term
WAGES indicates considerable pay for a lower and
less responsible character or employment, while
SALARY is suggestive of a larger and more
important service.
The distinction between wages and salary was
adverted to in Bell vs. Indian Livestock Co. wherein
it was said: WAGES are the compensation given to
a hired person for service and the same is true of
SALARY. The words seems to be synonymous,
convertible terms, though we believe that use and
general acceptation have given to the word
SALARY a significance somewhat different from the
word WAGES in this: That the former is understood
to relate to position of office, to be the
compensation given for official or other service, as
distinguished from WAGES, the compensation for
labor.
We do not think that the legislature intended the
exemption in Art. 1708 of the New Civil Code to
operate in favor of any but those who are laboring
men or women in the sense that their work is
manual. Persons belonging to this class usually
look to the reward of a day's labor for immediate or
present support, and such persons are more in
need of the exemption than any others. Rosario
Gaa is not within that class.
 ATTY'S COMMENT:
 A NOTICE OF GARNISHMENT is a
notice from a sheriff compelling an
employer to withhold an employee's
salary to be delivered to the court for
proper disposition.
WAGE DEDUCTION
Art. 113 - Wage Deduction
 No employer, in his own behald or in behalf
of any person, shall make any deduction
from the wages of his employees, except:
A. In cases where the worker is insured with
his consent by the employer, and the
deduction is to recompense the employer for
the amount paid by him as premium on the
insurance.
B. For union dues, in cases where the right
of the worker or his union to check-off has
been recognized by the employer or
authorized in writing by the individual worker
concerned
C. In cases where the employer is
authorized by law or regulations issued by
the Secretary of Labor and Employment
IMPLEMENTING RULES
Amended by DO 195-18
Deductions with written authorization of the
employee for payment to the employer or a third
person and the employer agrees to do so, provided
that the latter does not receive any pecuniary
benefit directly to or indirectly from the transaction
Other allowable deductions:
1. Art. 114
2. Agency Fees
3. Union Service Fees
4. SSS, PhilHealth, Pag-ibig
5. Withholding Tax
6. Court Order
Can family support be deducted directly from
the salary of a laborer?
 No, the spouse/partner should seek a
court order before he/she may the
other to provide support to the
children
 If the laborer executed a Special
Power of Attorney asking the
employee to directly deduct family
support from his salary, it is allowed.
REDUCED PAY BECAUSE OF REDUCED WORK
DAYS
Right to Reduce Workdays: Resorted to reduce
further losses due to causes beyond the control of
the employer
Reduction of Wage/Allowance: If the worker
would only be paid for the number of days actually
worked, allowance may also be reduced based on
the principle of no work, no pay
CASE: PHIL GRAPHICS ART INC VS NLRC
Reduction of working days was valid because there
was a valid ground and the arrangement was
temporary
CASE: LA ROSA VS. AMBASSADOR HOTEL
Business reverses were not proved. It was
tantamount to constructive dismissal.
DEPOSIT FOR LOSS OR DAMAGE
Art. 114 - Deposit for Loss or Damage
No employer shall require his worker to make
deposits from which deductions shall be made for
the reimbursement of loss of or damage to tools,
materials, or equipment supplied by the employer,
except when the employer is engaged in such
trades, occupations or business where the practice
of making deductions or requiring deposits is a
recognized one, or is necessary or desirable as
determined by the Secretary of Labor and
Employment in appropriate rules and regulations.
DEDUCTION FOR LOSS OR DAMAGE
1. Employee is clearly shown to be responsible for
the loss or damage
2. Employee is given ample opportunity to show
cause why deduction should not be made
3. The amount of deduction is fair and reasonable
and shall not exceed the actual loss or damage
4. Deduction from the employee's wage does not
exceed 20% of the employee's wages in a week
CASE: NINA JEWELRY MANUFACTURING OF
METAL ARTS, INC. VS. MONTECILLO ET AL
Facts:
On August 13, 2004, Nina Jewelry imposed a policy
for goldsmiths requiring them to post cash bonds or
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
deposits in varying amounts but in no case
exceeding 15% of the latter's salaries per week.
The deposits were intended to answer for any loss
or damage which Nina Jewelry may sustain by
reason of the goldsmiths' fault or negligence in
handling the gold entrusted to them.
The deposits shall be returned upon completion of
the goldsmiths' work and after an accounting of the
gold received.
Nina Jewelry alleged that the goldsmiths were given
the option not to post deposits, but to sign
authorizations allowing the former to deduct from
the latter's salaries amounts not exceeding 15% of
their take home pay should it be found that they lost
the gold entrusted to them.
The respondents claimed otherwise insisting that
Nina Jewelry left the goldsmiths with no option but
to post the deposits.
The respondents alleged that they were
constructively dismissed by Nina Jewelry as their
continued employment were made dependent on
their readiness to post the required deposits.
Ruling:
Applying these provisions to the case at bar, before
[the] petitioners may be required to deposit cash or
agree to a salary deduction proportionate to the
value of gold delivered to them, the employer must
comply with the relevant conditions imposed by law.
Hence, the latter must prove that there is an existing
law or regulation authorizing it to impose such
burden on its employees. And, in case of deposit,
that it is engaged in a trade, occupation or business
where such requirement is a recognized practice.
Niña Jewelry obviously failed in this
respect.1âwphi1 Surely, mere invocation of
management prerogative cannot exempt it from
compliance with the strict requirements of law.
Accordingly, [w]e hold that Niña Jewelry's unilateral
imposition of cash deposit or salary deduction on
[the] petitioners is illegal. For that matter, when
Ni[ñ]a Jewelry refused to give assignment to [the]
petitioners or to admit them back to work because
they failed to give cash deposit or agree to a salary
deduction, it was deemed to have constructively
dismissed [the] petitioners. Obviously, such deposit
or salary deduction was imposed as a condition for
[the] petitioners' continuing employment.
Non-compliance indubitably meant termination of
[the] petitioners' employment. Suldao vs. Cimech
System Construction, Inc.12 enunciated:
Constructive dismissal or a constructive discharge
has been defined as quitting because continued
employment is rendered impossible, unreasonable
or unlikely, as an offer involving a demotion in rank
and a diminution in pay. There is constructive
dismissal when the continued employment is
rendered impossible so as to foreclose any choice
on the employee's part except to resign from such
employment.
CASE: FIVE J TAXI AND/OR JUAN S.
ARMAMENTO VS NLRC (Carwash and
Deficiency)
Facts:
Private respondents Domingo Maldigan and
Gilberto Sabsalon were hired by the petitioners as
taxi drivers and, as such, they worked for 4 days
weekly on a 24-hour shifting schedule.
Aside from the daily BOUNDARY of P700.00 for
airconditioned taxi or P450.00 for non-AC taxi, they
were also required to pay P20.00 fir car washing,
and to further make a P15.00 deposit to answer for
any deficiency in their BOUNDARY for every actual
working day.
Sometime in 1989, Maldigan requested petitioners
for the reimbursement of his daily cash deposits for
2 years, but petitioners told him that not a single
centavo was left of his deposits as these were not
even enough to cover the amount spent for the
repairs of the taxi he was driving.
This was allegedly the practice adopted by
petitioners to recoup the expenses incurred in the
repairs of their taxicab units.
When Maldigan insisted on the refund of his
deposits, petitioners terminated his services.
Sabsalon claimed that his termination from
employment was affected when he refused to pay
for the washing of his taxi seat covers.
Ruling:
The foregoing accounting shows that from
1987-1991, Sabsalon was able to withdraw his
deposits through vales or he incurred shortages,
such that he is even indebted to petitioners in the
amount of P3,448.00. With respect to Maldigan's
deposits, nothing was mentioned questioning the
same even in the present petition. We accordingly
agree with the recommendation of the Solicitor
General that since the evidence shows that he had
not withdrawn the same, he should be reimbursed
the amount of his accumulated cash deposits.
On the matter of the car wash payments, the labor
arbiter had this to say in his decision: "Anent the
issue of illegal deductions, there is no dispute that
as a matter of practice in the taxi industry, after a
tour of duty, it is incumbent upon the driver to
restore the unit he has driven to the same clean
condition when he took it out, and as claimed by the
respondents (petitioners in the present case),
complainant(s) (private respondents herein) were
made to shoulder the expenses for washing, the
amount doled out was paid directly to the person
who washed the unit, thus we find nothing illegal in
this practice, much more (sic) to consider the
amount paid by the driver as illegal deduction in the
context of the law."
Consequently, private respondents are not entitled
to the refund of the P20.00 car wash payments they
made. It will be noted that there was nothing to
prevent private respondents from cleaning the taxi
units themselves, if they wanted to save their
P20.00. Also, as the Solicitor General correctly
noted, car washing after a tour of duty is a practice
in the taxi industry, and is, in fact, dictated by fair
play.
NEWS FROM DOLE ON LABOR ADVISORY NO.
11, SERIES OF 2014 RE CASH BOND POSTED
BY SECURITY GUARD
 On top of the general rule, the advisory
provides that as to “cash deposit to answer
for loss or damage of tools, materials, or
equipment supplied by the employers… it is
only in private security agency where the
practice is only recognized and allowed.”
 In requiring such a cash bond, however, a
private security agency must first strictly
observe rules and standards to ensure its
validity and with due regard to social
protection and welfare of an employee
 To this end, the employer should first ensure
that any or all of the following attendant
conditions have been observed:
A. The employee concerned is clearly shown
to be responsible for the loss or damage
B. The employee is given reasonable
opportunity to show cause why deductions
should not be made
C. The amount of such deduction is fair and
reasonable and shall not exceed the actual
loss of damage
D. The deduction from the wages of the
employee does not exceed 20% of the
employee’s wages in a week
 The advisory emphasized that “in the event
that a private security agency requires a
cash deposit from its employees, the
maximum amount shall not exceed the
employee’s one month back salary.”
 It states that “the full amount of cash deposit
deducted shall be returned to the employee
within 10 days from his/her separation from
service.”
LIMITATIONS, WITHHOLDING, DEDUCTION TO
ENSURE EMPLOYMENT, RETALIATORY
MEASURES
Art. 115 - Limitations
No deduction from the deposits of an employee for
the actual amount of the loss or damage shall be
made unless the employee has been heard thereon,
and his responsibility has been clearly shown.
Art. 116 - Withholding of Wages and Kickbacks
Prohibited
It shall be unlawful for any person, directly or
indirectly for any person, directly or indirectly, to
withhold any amount from the wages of a worker or
induce him to give up any part of his wages by force,
stealth, intimidation, threat or by any other means
whatsoever without the worker’s consent.
Art. 117 - Deduction to Ensure Employment
It shall be unlawful to make any deduction from the
wages of any employee for the benefit of the
employer or his representative or intermediary as
consideration of a promise of employment or
retention in employment.
Art. 118 - Retaliatory Measures
It is unlawful for an employer to refuse to pay or
reduce the wages and benefits, discharge or in any
manner discriminate against any employee who has
filed any complaint or instituted any proceeding
under this Title or has testified or is about to testify
in such proceedings.
WAGE ORDER AND DISTORTION
WAGE STUDIES, WAGE AGREEMENTS AND
WAGE DETERMINATION
Notes from DOLE:
RA 6727 or the Minimum Wage Fixing Law
provides for methods for correcting wage distortions,
and companies and establishments should readily
avail of these methods to avoid unnecessary
disputes.
The DOLE cautioned that if the DISTORTION in the
salary rates of workers is not corrected, it could lead
to demoralization that, in turn, could disrupt the
harmonious work relationships between and among
workers and employers in the establishments.
The DOLE encourages employers and workers to
immediately work on correcting wage distortions to
avoid demoralization among workers as this could
affect productivity in the workplace.
In unionized firms, the employer and the union
should negotiate to correct the distortion using the
grievance procedures in the CBA, or if the dispute
remains unresolved, through voluntary arbitration.
In unionized firms, employers and workers should
also endeavor to correct the distortion. Any dispute
is settled by conciliation through the National
Conciliation and Mediation Board (NCMB), or if it
remains unresolved, by compulsory arbitration
through the National Labor Relations Commission
(NLRC).
PURPOSE OF CREATING THE RTWPB
CASE: EMPLOYERS CONFEDERATION OF THE
PHILIPPINES VS. NATIONAL WAGES AND
PRODUCTIVITY COMMISSION AND RTWPB
It is the Court’s thinking, reached after the Court’s
own study of the Act, that the Act is meant to
rationalize wages, that is, by having permanent
boards to decide wages rather than leaving wage
determination to Congress year after year and law
after law.
The Court is not of course saying that the Act is an
effort of Congress to pass the buck, or worse, to
abdicate its duty, but simply, to leave the question
of wages to the expertise of experts.
As Justice Cruz observed, “With the proliferation of
specialized activities and their attendant peculiar
problems, the national legislature has found it more
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
necessary to entrust to administrative agencies the The Commission shall determine the the employees within the framework of the national
power of subordinate legislation as it is called.” offices/headquarters of the respective RTWPB. economic and social development programs.

SAMPLE OF DIFFERENT MINIMUM WAGES  It is RTWPB that APPROVES a wage order, Why do we need a minimum wage?
Reference: National Wages and Productivity not NWPC  To promote productivity improvement and
Commission  Wage fixing order by the RTWPB DOES gain-sharing measures
NOT NEED PRIOR APPROVAL by the  To ensure a decent standard of living for the
Wage Order No. 22 NWPC workers and their families
 What needs prior approval is not the wage  To guarantee the rights of labor to its just
Non-Agri Plantation Non-Plantaion order but its IRR which the board has to share in the fruits of production
NCR P537 P500 P500 prepare within 10 days from the issuance of
R III P420 P345 P345 the wage order. METHODS OF FIXING THE MINIMUM WAGE
R VII P404 P394 P394  The Secretary of Labor under the RATES
recommendation of the commission may 1. Floor Wage
Wage Order No. 21 approve the implementation of the rules. a) Fixing of determinate amount that
would be added to the prevailing
Non-Agri Plantation Non-Plantaion POWER AND FUNCTIONS OF RTWPB statutory minimum wage
b) Example: WO P15.00 to be added
R XII P336 P315 P315
The Regional Boards shall have the following power c) If the floor is raised, workers below the
and functions in their respective territorial new elevation should also be raised
Wage Order No. 20
jurisdictions: so that they would not step on the
elevated floor
Non-Agri Plantation Non-Plantaion
A. To develop plans, programs and projects 2. Salary Cap or Salary Ceiling
R XI P396 P391 P391 relative to wages, incomes and productivity a) Wage adjustment is applied to
improvements for their respective regions employees receiving a certain
Wage Order No. 16 B. To determine and fix minimum wage rates denominated salary ceiling.
applicable in their regions, provinces or industries b) Example: WO P500.00 is specified as
Non-Agr Plantatio Non-Plantaio therein to issue the corresponding wage orders, the new minimum wage
i n n subject to guidelines issued by the Commission c) Only those earning below it shall be
CARAG P320 P320 P320 C. To undertake studies, research, and surveys entitled to wage increase
A necessary for the attainment of their functions,
objectives and programs, and to collect and compile WAGE DISTORTION (The salary of the new
Different Sectors/Industries in Wage Orders data on wages, incomes, productivity and other employee is higher than mine)
related information and periodically disseminate the
1. Non-Agriculture same CASE: BANKARD EMPLOYEES
2. Agriculture D. To coordinate with the other Regional Boards as UNION-WORKERS ALLIANCE TRADE UNION VS.
3. Industrial may be necessary to attain the policy and intention NLRC
4. Commercial of this Code
5. Retail/Service employing more than 10 workers E. To receive, process and act on applications for Upon the enactment of RA No. 6727 on June 9,
6. Retail/Service employing not more than 10 exemption from prescribed wage rates as may be 1989, the term “wage distortion” was explicitly
workers provided by the Wage Order defined as:
F. To exercise such other powers and functions as  A situation where an increase in
Under RA 6727, RTWB is mandated to conduct may be necessary to carry out their mandate under prescribed rates results in the
continuing studies of wage rates and to periodically this Code elimination or severe contraction of
assess the prevailing economic conditions in the intentional quantitative differences in
determination of the minimum wage applicable in NOTE: It is not automatic that Retail establishments wage or salary rates between and
the region or industry. employing less than 10 workers are exempt from among employee groups in an
the minimum wage order. They must apply. establishment as to effectively
POWER OF THE NATIONAL WAGES AND obliterate the distinctions embodies in
PRODUCTIVITY COMMISSION PROCEDURE IN THE ISSUANCE OF A WAGE such wage structure based on skills of
ORDER service, or other logical bases of
Art. 121 - The Commission shall have the following differentiation.
powers and functions: Art. 123 - Wage Order
FOUR ELEMENTS OF WAGE DISTORTION
A. To act as the national consultative and advisory Whenever conditions in the region so warrant, the
body to the President of the Philippines and Regional Board shall investigate and study all CASE: PRUBANKERS ASSOCIATION VS.
Congress on matters relating to wages, incomes pertinent facts; and based on the standards and PRUDENTIAL BANK AND TRUST COMPANY
and productivity criteria herein prescribed, shall proceed to
B. To formulate policies and guidelines on wages, determine whether a Wage Order should be issued. Four elements of wage distortion:
incomes and productivity improvement at the Any such Wage Order shall take effect after 15 days 1. An existing hierarchy of positions with
enterprise, industry and national levels from its complete publication in at least one corresponding salary rates
C. To prescribe rules and guidelines for the newspaper of general circulation in the region. 2. A significant change in the salary rate of a lower
determination of appropriate minimum wage and pay class without a concomitant increase in the
productivity measures at the regional, provincial, or In the performance of its wage-determining salary rate of a higher one
industry levels functions, the Regional Board shall conduct public 3. The elimination of the distinction between the
D. To review regional wage levels set by the hearings/consultations, giving notices to employees’ two levels
RTWPB to determine if these are in accordance and employers’ groups, provincial. City and 4. The existence of the distortions in the same
with prescribed guidelines and the national municipal officials and other interested parties. region of the country
development plans.
Any party aggrieved by the Wage Order issued by Normally, a company has a wage structure or
PERSONAL NOTE OF ATTY. BATA the Regional Board may appeal such order to the method of determining the wages of its employees.
Commission within 10 calendar days from the  In a problem dealing with “wage
 Some businessmen or trader or proprietor publication of such order. It shall be mandatory for distortion,” the basic assumption is
will not follow the minimum wage for the the Commission to decide such appeal within 60 that there exists a grouping or
following reasons: calendar days from the filing thereof. classification of employees that
1. They cannot afford established distinctions among them
2. The other businessmen will get mad at The filing of the appeal does not stay the order on some relevant or legitimate bases
him if he will offer higher salary than the unless the person appealing such order shall file to  Involved in the classification of
prevailing wage in a particular place. the Commission, an undertaking with a surety/ies employees are various factors such
satisfactory to the Commission for the payment of as the degrees of responsibility, the
Problem: If the establishment is inspected, these the employees affected by the order of the skills and knowledge required, the
reasons cannot be used as a defense. corresponding increase, in the event such order is complexity of the job, or other logical
affirmed as amended by RA No. 6727. basis or differentiation.
RTWPB  The differing wage rate for each of the
STANDARDS/CRITERIA FOR MINIMUM WAGE existing classes of employees depend
Art. 122 - Creation of Regional Tri[artite Wages FIXING to this classification
and Productivity Boards
Art. 124 - The regional minimum wages to be CAUSES OF WAGE DISTORTION
There is hereby created Regional Tripartite Wages established by the Regional Board shall be as
and Productivity Boards, hereinafter referred to as nearly adequate as is economically feasible to  Wage distortion is a factual and economic
Regional Boards, in all regions, including maintain the minimum standards of living necessary condition that may be brought about by
autonomous regions as may be established by law. for the health, efficiency and general well-being of different causes.
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
 In Metro Transit case, the reduction or
elimination of the normal differential between
the wage rates of rank-and-file and those of
supervisory employees was due to the
granting to the former of wage increase
which was, however, denied to the latter
group of employees
 The mere factual existence of wage distortion
DOES NOT, HOWEVER, IPSO FACTO
RESULT TO AN OBLIGATION TO RECTIFY
IT.
 Absent a law or other source of
obligation which requires its
rectification
WAGE DISTORTION IN ARTICLE 214 REFERS
TO ONE ARISING FROM COMPLIANCE WITH
WAGE ORDERS
 It does not apply to a distortion arising from a
revision of salary scale initiated by the
employer
 The formulation or revision of wage structure
is a matter of management judgment and
discretion
 Reason why Art. 124 does not apply to the
realignment or restructuring of salaries done
by employers
NOTE: If it is the employer who changes the
company’s salary scale, it is not wage distortion
under Art. 124. It should a wage distortion following
a Wage Order.
NEW EMPLOYEES HAVE HIGHER SALARY
THAN THE OLD ONES
 Question: Whether the unilateral adoption by
an employer of an upgraded salary scale that
increased the hiring rates of new employees
without increasing the salary rates of old
employees resulted in wage distortion within
the contemplation of Art. 124 of the Labor
Code?
 Answer: The company has wage structure or
salary scale of its employees. There exist a
grouping or classification of employees that
established distinctions among them. The
classification may involve factors such as the
degrees of responsibility, the skills and
knowledge required, the complexity of the
job or other logical basis of differentiation.
Different wage rates reflects the existing
classes of employees.
 The employees of the company have been
historically classified into levels (I to V) and
not on the basis of their length of service.
The entry of new employees ipso facto
places them under any of the levels stated in
the salary scale established by the company.
This salary scale of the company is part of its
management prerogative.
 Additional scheme of classification of
employees for compensation purposes is
properly a matter of management judgment
and discretion and ultimately, perhaps, a
subject matter for bargaining negotiation. It is
assuredly something that falls under the
concept of wage distortion under Art. 124.
 Wage distortion done through management’s
prerogative is a matter under the CBA and
not Art. 124.
SAMPLES OF POLICIES ON WAGE
ADMINISTRATION THAT MAY CAUSE
DISTORTION
1. Wage structure shall define the pay range for
each job category or group of jobs. It shall provide
sufficient differentiation between job categories in
term of pay ranges
2. Hiring rates may vary depending in the positions.
3. In recognition of individual performance, the
company grants rewards through merit increases.
The company shall determine the percent of the
merit increase to be granted depending on the
employees performance
EMPLOYED IN THE SAME COMPANY BUT
ASSIGNED IN DIFFERENT REGIONS
CASE: PRUBANKERS ASSOC VS PBTC
Wage distortion presupposes an increase in the
compensation of the lower ranks in an office
hierarchy without a corresponding raise for
higher-tiered employees in the same region of the
country, resulting in the elimination or the severe
diminution of the distinction between the two
groups.
Such distortion does not arise when a wage order
gives employees in one branch of a bank higher
compensation than that given to their counterparts
in other regions occupying the same pay scale, who
are not covered by said wage order.
In short, the implementation of wage orders in one
region but not in others DOES NOT IN ITSELF
necessarily result in wage distortion
The difference in wages between employees in the
same pay scale in different regions is not the
mischief sought to be banished by the law.
In fact, RA 627 recognizes existing regional
disparities in the cost of living.
A disparity in wages between employees with
similar positions in different regions is necessarily
expected. In insisting that the employees of the
same pay class in different regions should receive
the same compensation, petitioner has apparently
misunderstood both the meaning of wage distortion
and the intent of the law to regionalize wage rates.
It must be understood that varying in each region of
the country are controlling factors such as cost of
living, supply and demand of basic goods, services
and necessities, and the purchasing power of the
peso. Other considerations underscore the
necessity of the law.
Wages in some areas may be increased in order to
prevent migration to the NCR and to decongest the
m… Therefore, what the petitioner herein bewails is
precisely what the law promotes in order to achieve
its purpose.
WAYS TO CORRECT WAGE DISTORTION
UNDER ARTICLE 124 (NOT A STRIKABLE
ISSUE)
 IF ORGANIZED:
 A union represents a group of workers
 Where the application of any
prescribed wage increase by virtue
of a law or wage order issued by any
Regional Board results in distortions
of the wage structure within an
establishment, the employer and the
union shall negotiate to correct the
distortions.
 Any dispute arising from wage
distortions shall be resolved through
the
 Grievance procedure under
their CBA
 Voluntary Arbitration (if it
remains unresolved)
 Unless otherwise agreed by the
parties in writing, such dispute shall
be decided by the voluntary arbitrators
within 10 calendar days from the time
said dispute was referred to voluntary
arbitration.
 IF UNORGANIZED:
 No union which presents a group of
workers
 In cases where there are no collective
agreements or recognized labor
unions, the employers and workers
shall endeavor to correct such
distortions.
 Any dispute arising therefrom shall be
settled through the NCMB
 If it remains unresolved after 10
calendar days of conciliation, it shall
be referred to the appropriate branch
of the NLRC
 It shall be mandatory for the NLRC to
conduct continuous hearings and
decide the dispute within 20 calendar
days from the time said dispute is
submitted for compulsory arbitration
DIFFERENCE IN SALARY BETWEEN REGULAR
AND CASUAL WAS GONE
CASE: NATIONAL FEDERATION OF LABOR VS
NLRC
 Applying the above concept to the case at
bar, we note that there did exist a two-fold
classification of employees within the private
respondent Company: regular and casual
employees
 As can be seen from the figures referred to
earlier, the differential between these 2
classes of employees existing before Wage
Order No. 3 was reduced to zero upon the
effectivity of Wage Order No. 5 on June 16,
1984.
 Obviously, distortion (consisting of complete
elimination of the wage rate differential) has
occurred.
 It is also clear that 15 days later, upon the
effectivity of the wage increase stipulated in
the CBA between the parties, a gap of
differential of P1.84 was re-created.
 This restored differential persisted after the
effectivity of Wage Order No. 6. By operation
of the same CBA, the wage differential had
grown to P3.60
 From the above-quoted material, it well be
seen that the concept of wage distortion
assumes an existing grouping or
classification of employees which
establishes distinctions among such
employees on some relevant or legitimate
basis.
 This classification is reflected in a differing
wage rate for each of the existing classes of
employees.
 The wage distortion anticipated in Wage
Orders Nos. 3,4,5,6 was a distortion or
compression which ensured from the impact
of those WO upon the different wage rates of
the several classes of employees.
 Thus, the distortion ensued where the result
of implementation of one or another of the
several WO would result to the elimination or
the sever reduction of the differential gap or
gap existing between the wage rates of the
company’s employees.
FREEDOM TO BARGAIN, INJUNCTION AND NO
MINIMUM WAGE LOWER THAN WHAT IS
PRESCRIBED BY CONGRESS
Art. 125 - Freedom to Bargain
 No wage order shall be construed to prevent
workers in particular firms or enterprises or
industries from bargaining for higher wages
with their respective employers
Art. 126 - Prohibition Against Injunction
 No preliminary or permanent injunction or
temporary restraining order may be issued
by any court, tribunal or other entity against
any proceedings before the Commission or
the Regional Boards
Art. 127 - Non-diminution of Benefits
 No wage order issued by any regional board
shall provide for wage rates lower than the
statutory minimum wage rates prescribed by
Congress
ADMINISTRATION AND ENFORCEMENT
The objective of the Labor Inspection – is to further
strengthen the implementation of the visitorial and
enforcement powers under the Labor Code, as
renumbered towards securing a higher level of
compliance with labor laws and standards, and
ensuring continuity and sustainability of compliance
at workpalces.
Why is it important for the DoLE Secretary to
have access to employer’s records?
The Secretary of Labor or his duly authorized
representatives, including labor regulation officers,
shall have access to employer’s records and
premises at any time of the day or night whenever
work is being undertaken therein, and the right to
copy therefrom, to question any employee and
investigate any fact.
What is the role of DOLE in the Philippines?
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
The DoLE is the national government agency
mandated to formulate policies, implement,
programs and projects as well as serve as the
policy-coordinating arm of the Executive
Department in the field of labor and employment.
ENFORCEMENT AND ADJUDICATION
1. Labor laws are enforced and
administered largely through DOLE’s
regional offices.
2. Labor disputes are adjudicated at the
regional level.
3. Administrative orders or adjudications
are appealable.
What is visitorial and enforcement power of the
Secretary of Labor and Employment?
 These two complementary powers to
administer and to enforce the law are
conferred by the Labor Code of the
Philippines, as amended, on the
Secretary of Labor and Employment or
his duly authorized representatives, i.e.,
the DOLE Regional Directors.
 The visitorial grants to said DOLE
officials, including labor and
employment officers, access to
employer’s records and premises at any
time of the day or night whenever work
is being undertaken therein, and the
right to copy there from such records, to
question any employee and investigate
any fact, condition or matter which may
be necessary to determine violations or
which may aid in the enforcement of the
LC and of labor law, wage order or rules
and regulations issued pursuant thereto.
[Art. 128 (a)].
 Take note, visitorial powers
include:
a. access to employer’s
records;
b. access to premises at
any time of the day or
night;
c. the right to copy; and
d. question any employee
and investigate any
fact, condition or
matter xxx
 Based on the definition, once
the labor inspector is inside
the employer’s premises, he
has the power to see the
employment records of the
workers involved and copy
therefrom. He must talk to
the employees involved, see
the records and the
employer is obliged to see to
it or present to the inspector
the records of the workers.
 What if the employer refuses
to present the records as
demanded from him? The
labor inspector will make a
report that the employer
expressly or impliedly
refused to present such
records because, there may
have been no records that
was maintained by the
employer. He may probably
report that the workers are
underpaid based on
statement coming from the
workers.
ENFORCEMENT POWER
The enforcement power to issue compliance orders
to give effect to the labor standards provisions of
the LC and other labor legislation based on the
findings of labor and employment officers or
industrial safety engineers made in the course of
inspection, and to issue writs of execution to the
appropriate authority for the enforcement of their
orders, except in cases where the employer
contests the findings of the labor and employment
officers and raises issues supported by
documentary proofs which were not considered in
the course of inspection. [Art. 128 (b)]
 The enforcement power is to demand
the employers to rectify the errors, to
pay the correct wages, to obliged the
employer to pay or to release the
accrued benefits that are due to the
workers. If there is a finding that
employer is not complying with SSS
Laws, PhilHealth and PAGIBIG, the
employers will be ordered to comply and
SSS will be copy furnished of such
information.
 This gives meaning to the constitutional
provision “to protect and promote the
interest and welfare of the workers”
How does one initiate a complaint for violations
of labor standards laws, rules, and regulations?
 If the EER still exists, any aggrieved
employee may file a complaint,
regardless of the amount of monetary
claims, before the DOLE regional office,
or its provincial field offices, which has
territorial jurisdiction over the workplace.
 If EER no longer exists, either:
1.Before the DOLE RO, provided, that
the claim involves recovery of
wages and other monetary claims
and benefits, including legal
interest, provided further, the
following requisites are present:
(a)The claim is presented by an
employee, or a person
employed in domestic or
household service, or house
helper;
(b)The claim arise from EER;
(c)The claimant does not seek
reinstatement; and
(d)The aggregate money claim of
each claimant does not
exceed P5,000; or
2.Before the Regional Arbitration
Branch of the NLRC, the absence
of any of the above enumerated
requisites pursuant to Art. 217 of
the Labor Code, except claims for
employees’ compensation, social
security, medicare and other
benefits.
MEMORIZE
Art. 128. Visitorial and enforcement power.
The Secretary of Labor and Employment or his duly
authorized representatives, including labor
regulation officers:
1. Shall have access to employer’s
records and premises at any time of the
day or night whenever work is being
undertaken therein and the right to copy
therefrom,
2. To question any employee and
investigate any fact, condition or matter
which may be necessary to determine
violations or which may aid in the
enforcement of this Code and of any
labor law, wage order or rules and
regulations issued pursuant thereto…in
cases where the relationship of EE still
exists, the SOLE or his duly authorized
representatives shall have the power to
issue compliance orders to give effect to
the labor standards provisions of this
Code and other labor legislation based
on the findings of labor employment and
enforcement officers or industrial safety
engineers made in the course of
inspection.
3. Shall issue writs of execution to the
appropriate authority for the
enforcement of their orders except in
cases where the employer contests the
findings of the labor employment and
enforcement officer and raises issues
supported by documentary proofs which
were not considered in the course of
inspection. (as amended by RA 7730,
June 2, 1994)
What is a Notice of Inspection Results?
A “Notice of Inspection Results” refers to the
inspection form duly accomplished and issued by
the labor and employment officers or industrial
safety engineers to the employer/s or any
representative/s and the employee/s or any
representative/s after the completion of the
inspection.
The notice shall specify the violations discovered, if
any, together with the officer’s recommendation and
computation of the unpaid benefits due each worker
with notifications that said notice shall be posted
conspicuously in the premises of the workplace,
and removal thereof by the employer or by any of
the workers shall be penalized in accordance with
Art. 288, LC, as amended, and that any question on
the noted findings shall be submitted to the RO
concerned within five (5) working days from receipt
thereof, otherwise an order of compliance shall be
issued.
When can plant-level restitution be effected?
Where the employer has agreed to make the
necessary restitutions of violations discovered in
the course of inspection, such restitutions may be
effected at the plant-level within five (5) calendar
days from receipt of the inspection results by the
employer or his authorized representative.
Plant-level restitutions may be effected from money
claims not exceeding Fifty Thousand Pesos
(P50,000). A report of the restitutions shall be
immediately submitted to the RD for verification and
confirmation. In case the RD finds that the
restitutions effected at the plant-level are not in
order, he may direct the TSSD Chief to check the
correctness of the restitution report.
Restitutions in excess of the aforementioned
amount shall be effected at the RO or at the
worksite subject to the prior approval of the RD.
(Sec. 7, Rule II of the Rules on the Disposition of
Labor Standards Cases in the RO)
What is a valid compromise agreement/release,
waiver, or quitclaim?
Should the parties arrive at an agreement as to the
whole or part of the dispute, said agreement shall
be reduced in writing and signed by the part of the
dispute, said agreement shall be reduced in writing
and signed by the parties in the presence of the RD
or his duly authorized representative (Sec. 8, Rule II
of the Rules on the Disposition of Labor Standards
Cases in the Regional Office).
The law looks with disfavor on releases, waivers,
and quitclaims by employees who have been
inveigled or pressured into signing them by
unscrupulous employers seeking to evade their
legal responsibilities and frustrate just claims of
employees. However, in certain cases, the same is
given effect if the employer is able to prove the
following requisites, to wit:
(1) The employee executes a deed of
quitclaim voluntarily;
(2) There is no fraud or deceit on the part of
any of the parties;
(3) The consideration of the quitclaim is
credible and reasonable; and
(4) The contract is not contrary to law,
public order, public policy, good
customs, or prejudicial to a third person
with a right recognized by law.
When should hearing be conducted?
Where no proof of compliance is submitted by the
employer after seven (7) calendar days from receipt
of the inspection results, the RD shall summon the
employer and the complainants to a summary
investigation. In regular routine inspection cases,
however, such investigation shall be conducted
where no complete field investigation can be made
for reasons attributable to the fault of the employer
or his representatives, such as those but not limited
to instances when the field inspectors are denied
access to the premises, employment records, or
workers of the employer (Sec. 11, Rule II of the
Rules on the Disposition of Labor Standards Cases
in the RO).
LABOR LAW 1 TRANSCRIPTION - MIDTERM
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When should a compliance order be issued?
If the RD finds after hearing that violations have
been committed, he shall issue an Order directing
the employer to restitute other corrective measures
within 10 calendar days upon receipt of the Order
and to submit proof of compliance. The Order shall
specify the amount due each worker and shall
include the computations on which the Order was
based (Sec. 18, Rule II of the RDLSC in the RO)
Appeal to Secretary of Labor
An order issued by the duly authorized
representative of the SOLE under this Article may
be appealed to the latter.
In case said order involves a monetary award, an
appeal by the employer may be perfected only upon
the posting of a cash or surety bond issued by a
reputable bonding company duly accredited by the
Secretary of Labor and Employment in the amount
equivalent to the monetary award in the order
appealed from. (As amended by Republic Act No.
7730, June 2, 1994)
NOTE: NO MOTION FOR REDUCTION OF BOND
IS ALLOWED, BUT IN NLRC, MOTION FOR
REDUCTION OF BOND MAY BE ALLOWED ON
MERITORIOUS GROUNDS.
What are the requirements for filing an appeal?
What are the requirements for filing an appeal? The
appeal shall be filed within ten (10) calendar days
from receipt of a copy of the assailed
order/resolution and subject to the following
mandatory requirements:
(a) It shall be under oath and accompanied
by a memorandum of appeal which shall
state the date appellant received the
Order/Resolution, and the grounds
relied upon and the arguments in
support thereof (Section 4(a), Rule IV of
the Rules on the Disposition of Labor
Standards Cases in the Regional
Offices).
(b) In case said Order/Resolution involves
a monetary award, an appeal by the
employer may be perfected only upon
the posting of a cash or surety bond of
appeal bond is allowed under the Rules.
Stoppage of work by SOLE
The Secretary of Labor and Employment may
likewise order stoppage of work or suspension of
operations of any unit or department of an
establishment when noncompliance with the law or
implementing rules and regulations poses grave
and imminent danger to the health and safety of
workers in the workplace. Within twenty-four hours,
a hearing shall be conducted to determine whether
an order for the stoppage of work or suspension of
operations shall be lifted or not. In case the violation
is attributable to the fault of the employer, he shall --
the employees concerned their salaries or wages
during the period of such stoppage of work or
suspension of operation.
NO INJUNCTION FROM INFERIOR COURT
AGAINST SOLE ORDER
It shall be unlawful for any person or entity to
obstruct, impede, delay or otherwise render
ineffective the orders of the Secretary of Labor and
Employment or his duly authorized representatives
issued pursuant to the authority granted under this
Article, and no inferior court or entity shall issue
temporary or permanent injunction or restraining
order or otherwise assume jurisdiction over any
case involving the enforcement orders issued in
accordance with this Article.
Any government employee found guilty of violation
of, or abuse of authority, under this Article shall,
after appropriate administrative investigation, be
subject to summary dismissal from the service.
THREE KINDS OF POWERS UNDER ART. 128
[VEA]
1. Visitorial Power
2. Enforcement Power
3. Appellate Power or Power of Review
BENEFICIARY OF LABOR INSPECTION
RESULTS
In case of finding of violation of the labor standards,
the awards granted in the inspection case are not
confined to employees who signed the complaint
inspection but are equally applicable to all those
who were employed by the establishment
concerned at the time the complaint was filed. What
is inspected is the employer-establishment and not
the employees thereof.
ANOTHER VISITORIAL POWER UNDER
ARTICLE 37 AND 289 OF THE LABOR CODE
Art. 37. Visitorial Power. The Secretary of Labor or
his duly authorized representatives may, at any time,
inspect the premises, books of accounts and
records of any person or entity covered by this Title,
require it to submit reports regularly on prescribed
forms, and act on violation of any provisions of this
Title.
Article 274. Visitorial power. The Secretary of
Labor and Employment or his duly authorized
representative is hereby empowered to inquire into
the financial activities of legitimate labor
organizations upon the filing of a complainant under
oath and duly supported by the written consent of at
least twenty percent (20%) of the total membership
of the labor organization concerned and to examine
their books of accounts and other records to
determine compliance or noncompliance with the
law and to prosecute any violations of the law and
the union constitution and by-laws: Provided, That
such inquiry or examination shall not be conducted
during the sixty (60) day freedom period nor within
thirty (30) days immediately preceding the date of
election of union officials. (As amended by RA
6715)
THREE KINDS OF VISITORIAL POWERS UNDER
LABOR CODE
1. Art 128 - to inquire into the employer's
compliance with labor standards
prescribed under labor laws and social
legislation
2. Art. 37 - in relation to recruitment and
placement of workers for both local and
overseas employment
3. Art. 289 - to inquire into the financial
activities legitimate labor organizations.
ENFORCEMENT POWERS CONSIST OF
1. To issue compliance orders
2. To issue writs of execution
3. To order stoppage of work or
suspension of operations
4. To require employers to keep and
maintain such employment records as
may be necessary in aid of his visitorial
and enforcement powers.
Requisites for valid exercise of enforcement
powers
1. Employer-employee relationship still
exist at the time of the initiation of the
action
2. Findings in question were made in the
course of inspection, regardless of
whether it was initiated by complaint or
routine inspection
Note: Under RA 7730, the DOLE regional director
has jurisdiction despite the amount of the money
claims involved. The initiation of a case through a
complaint does not divest the dole regional director
of his jurisdiction.
CASE: PEOPLE'S BROADCASTING SERVICE
(BOMBO RADYO PHILS., INC.) vs. THE
SECRETARY OF THE DEPARTMENT OF LABOR
AND EMPLOYMENT, ET AL., G.R. No. 179652,
March 6, 2012
The determination of the existence of an
employer-employee relationship by the DOLE must
be respected.
The expanded visitorial and enforcement power of
the DOLE granted by RA 7730 would be rendered
nugatory if the alleged employer could, by the
simple expedient of disputing the
employer-employee relationship, force the referral
of the matter to the NLRC.
The Court issued the declaration that at least a
prima facie showing of the absence of an
employer-employee relationship be made to oust
the DOLE of jurisdiction. But it is precisely the
DOLE that will be faced with that evidence, and it is
the DOLE that will weigh it, to see if the same does
successfully refute the existence of an
employer-employee relationship.
Note: To deny DOLE RO of power to decide a case
may delay the right of the workers to get a favorable
result.
 What you should remember about this
case is that the SOLE will not be
divested of its jurisdiction simply by the
act of the employer in saying that there
is no EER and the case must be filed
with the LA.
 For example, there are workers who
filed a case with the RD for
non-payment of wages and other
benefits, so a complaint for
non-payment of wages and other
benefits under labor standard laws shall
be filed with the RD. Now, if the
employer will say that the complainants
are not our employees so the complaint
should not be lodged in the RD’s office.
What shall be the action of the RD? Can
the RD simply dismiss the case
because there is a question asked to
the existence of the EER? No. Under
this Bombo-Radyo case, the RD or the
SOLE or his authorized representative
has the power to determine whether or
not there is EER. If the RD finds that
there is EER, it will proceed to hear and
decide the case. If the RD finds no EER,
it will dismiss the case. But the SOLE or
RD has the power or authority to
determine the existence of EER.
If the DOLE makes a finding that there is an existing
employer-employee relationship, it takes
cognizance of the matter, to the exclusion of the
NLRC.
The DOLE would have no jurisdiction only if the
employer-employee relationship has already been
terminated, or it appears, upon review, that no
employer-employee relationship existed in the first
place.
The Court, in limiting the power of the DOLE, gave
the rationale that such limitation would eliminate the
prospect of competing conclusions between the
DOLE and the NRC. The prospect of competing
conclusions could just as well have been eliminated
by according respect to the DOLE findings, to the
exclusion of the NLRC, and this We believe is the
more prudent course of action to take.
RA 8188 amending the penalty on RA 6727
 Double indemnity - for failure to
comply with the wage orders.
 "The employer concerned shall be
ordered to pay an amount equivalent to
double the unpaid benefits owing to the
employees: Provided, That payment of
indemnity shall not absolve the
employer from the criminal liability
imposable under this Act.
NOT MORE THAN 5K COMPLAINT
Art. 129. Recovery of wages, simple money
claims and other benefits. Upon complaint of any
interested party, the Regional Director of the
Department of Labor and Employment or any of the
duly authorized hearing officers of the Department
is empowered, through summary proceeding and
after due notice, to hear and decide any matter
involving the recovery of wages and other monetary
claims and benefits, including legal interest, owing
to an employee or person employed in domestic or
household service or house helper under this Code,
arising from employer-employee relations: Provided,
That such complaint does not include a claim for
reinstatement: Provided further, That the aggregate
money claims of each employee or house helper
does not exceed Five thousand pesos (P5,000.00).
LABOR LAW 1 TRANSCRIPTION - MIDTERM
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Any decision or resolution of the Regional Director
or hearing officer pursuant to this provision may be
appealed on the same grounds provided in Article
223 of this Code, within five (5) calendar days from
receipt of a copy of said decision or resolution to the
National Labor Relations Commission which shall
resolve the appeal within 10 calendar days from the
submission of the last pleading required or allowed
under its rules.
DO 183-2017 IRR OF VISITORIAL POWERS OF
DOLE
 Revised Rules On The Administration
And Enforcement Of Labor Laws
Pursuant To Article 128 In Relation To
Article 303 Of The Labor Code As
Renumbered.
 Modes of implementation - the
visitorial power of the sole /duly
authorized representatives shall be
implemented through any of the
following:
a) routine inspection
b) complaint inspection
c) occupational safety and
health standards
investigations - see
definition of these
modes in Rule 1
Rules on Inspection under DO 183
 Under DO 183, establishments may be
subjected to a Routine Inspection,
Complaint Inspection or Occupational
Safety and Health Standards
Investigation, which shall be conducted
by Labor Inspectors, formerly called
Labor Law Compliance Officers
(LLCOs)
 Routine Inspection is the process of
evaluating a private establishment's
compliance with labor laws and social
legislation through a prescribed
Inspection Checklist
 Complaint Inspection where there is a
Single Entry Approach (SEnA) referral,
or a request in conciliation-mediation
proceedings at the National Conciliation
and Mediation Board (NCM) to validate
or verify violation of labor standards. If
anonymous complaints are received,
DO 187 also allows surprise visits to be
conducted to validate the reported
violation of labor laws.
 The refusal of access to records or
premises, even at the first instance,
shall -- responsible person to a criminal
action already. In fact, the new rules
even -- provision on undergoing a
mandatory conference prior to the filing
of the criminal action –
IMPLEMENTING RULES
 RULE IV - All establishments must
comply with the prescribed labor
standards, OSHS and social welfare
benefits for their employees including
compliance with the regulations on
contracting/subcontracting
arrangements, termination of
employment requirements, security of
tenure, right to self-organization and
other labor rights.
 ROUTINE INSPECTION (Rule V)
 In the presence of the representatives of
the employer and employees, the Labor
inspector shall 1) examine employment
records 2) interview employees 3)
inspect work premises to determine
compliance with labor laws and social
legislation.
 After conduct of inspection
a) Compliant establishment, the
labor inspector shall issue a
Notice of Results to the
representatives of the employer
and employee, etc. Showing
compliance with –
b) Non-compliant, labor inspector
shall issue a Notice of Results
indicating NO – VIOLATIONS
DOLE 183
 Correction period on general labor
standards and contracting and
subcontracting - establishments are
given a non-extendible period of ten
days to submit compliance on the
reported violations.
 Remediation on occupational safety and
health standards - will take this up later.
 RULE VI - complaint inspection shall be
undertaken when there is:
a) SENA referral
b) anonymous complaint
c)there is a request in a 
conciliation-mediation
proceedings at the NCMB to
validate the violations of labor
laws.
RULE X - MANDATORY CONFERENCE
A) in routine inspection, it shall be held
after the lapse of 10-day correction
period for violations of general labor
standards ...etc. Failure to correct OSH
VIOLATIONS WITHIN THE
REMEDIATION PERIOD SHALL
CAUSE THE IMMEDIATE ISSUANCE
OF COMPLIANCE ORDER.
B) in complaint inspection - AFTER THE
LAPSE OF THE TEN-DAY
CORRECTION PERIOD
RULE XI - Section 2
In case of Compliance Order issued by the
Regional Director includes a directive to regularize
workers, the employment of workers ordered to be
regularized shall not be terminated pending appeal
Employers shall submit a notarized commitment to
the regional director that workers to be regularized
shall not be terminated pending appeal
GROUNDS FOR APPEAL
RULE XII APPEAL
The COMPLIANCE ORDER may be appealed to
the SOLE by filing a Memorandum of Appeal with
ten days from receipt thereof.
Grounds for appeal:
1) prima face evidence of abuse of discretion on the
part of the regional director
2) pure questions of law
3) serious errors in the findings of facts were
committed which if not corrected would cause grave
or irreparable damage or injury to the appellant.
PERFECTION OF APPEAL
An appeal is deemed perfected upon filing of the
Memorandum of Appeal together with the appeal
bond within the prescribed period.
 Secretary of Labor vs. Panay Veteran's
Security and Investigation Agency, G. R.
No. 167708, August 22, 2008
 Yanson et al vs. SOLE G. R. No.
159026 - Reduction of Bond not allowed
on appeal to the DOLE
 Garcia et al. vs. KJ Commercial et al
G.R. No. 196830 February 29, 2012 -
Reduction of Bond allowed on Appeal to
NRC on meritorious grounds
SEARCH WARRANT VS INSPECTION
 Just because an employer has the right
to insist on a search warrant does not
necessarily mean it should require one.
 The law grants the Secretary of Labor or
his duly authorized representative to
enter places of employment to conduct
inspection.
 Is this not a violation of the right of the
employer to be free from unreasonable
searches as stated in the Constitution?
LAW RELATED TO ADMINISTRATION AND
ENFORCEMENT
RA 11058 requires employers to provide complete
safe work procedures; inform workers of hazards
associated with their specific jobs; provide
appropriate and personal protective equipment
which have passed the DOLE's required tests; and
provide access to mandatory OSH trainings as
prescribed by the DOLE.
OTHER STATUTORY BENEFITS
 13TH month pay
 Retirement pay
 Lactation pay
 Portability law
Leaves
READ: DOLE MANUAL OF STATUTORY
BENEFITS
Who are qualified to receive the 13th month pay?
 The 13th month bonus is mandatory in the
Philippines under the Labor Code and by PD
851
 It is a very popular employee benefit as it
allows locals to pay for the expenses of the
Christmas and New Year’s holidays
 It has to be paid out by December 24 or the
end of the contract, whichever is sooner.
 The only qualification to be entitled to a 13th
month pay is that the EMPLOYEE MUST
HAVE WORKED FOR AT LEAST ONE
MONTH DURING THE CALENDAR YEAR
 It is computed as the number of months
rendered by the employee which means
additional holiday pays and premiums WILL
NOT be included in the computation.
 The formula is total basic salary minus total
salary deductions including absences, lates,
and undertime over 12 months
PD 851 - 13TH MONTH PAY LAW
The 13th month pay is a form of monetary benefit
equivalent to the monthly basic compensation
received by an employee, computed pro-rata
according to the number of months within a year
that the employee has rendered service to the
employer
Who are required to pay the 13th month pay?
 All establishments regardless of the number
of employees are required to pay their
rank-and-file employees the 13th month pay
Who are entitled to receive 13th month pay?
 All rank-and-file employees regardless of the
nature of their employment, and irrespective
of the methods by which they are paid,
provided they worked for at least one month
during the calendar year
How is 13th month pay computed?
 It is computed based on 1/12 of the total
basic salary of an employee within a
calendar year, or basic monthly salary for the
whole year divided by 12 months
WHAT ARE THE COMPONENTS OF BASIC
SALARY?
 “Basic Salary” shall include all remunerations
or earnings paid by an employer to an
employee for services rendered
 DOES NOT INLCUDE allowances
and monetary benefits which are not
considered, or integrated, as part of
the regular, or basic salary, such as
the cash equivalent or unused
vacation and sick leave credits, OT,
premium, night differential and holiday
pay.
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
 Basic salary includes cost-of-living
allowances
 However, these salary-related
benefits should be included as part of
the basic salary in the computation of
the 13th month pay if, by individual or
collective agreement or company
practice or policy, the same are
treated as part of the basic salary of
the employees
OTHER ISSUED ON 13TH MONTH PAY
 Are maternity leave benefits included in the
computation of 13th month pay?
 No. Maternity leave benefits are not
included in the computation of 13th
month pay
 When shall 13th month pay be paid?
 The 13th month pay should be paid not
later than December 24 of each year
 Is there an option when a covered employer
should pay the 13th month?
 Yes. A covered employer may pay 1/2
of the 13th month pay before opening
of the regular school year
NOTE: SEVERAL SECURITY AGENCIES
RELEASE THE 13TH MONTH PAY EVERY
PAYROLL
WHO ARE ENTITLED TO 13TH MONTH PAY?
 Only rank-and-file employees are entitled to
13th month pay
 The Labor Code, as amended, distinguishes
a rank-and-file employee from a managerial
employee
 A managerial employee is one who is vested
with powers or prerogatives to lay down and
execute management policies and/or to hire,
transfer, suspend, lay off, recall, discharge,
assign, or discipline employees, or to
effectively recommend such managerial
actions.
 All employees not falling within this definition
are considered rank-and-file employees
ARE THERE EMPLOYERS EXEMPTED FROM
PAYING THE 13TH MONTH WAGE?
 The following employers are exempted to
pay 13th month under PD 851:
 Government and any of its political
subdivisions, including GOCCs,
except those corporations operating
essentially as private subsidiaries of
the Government
 Employers already paying their
employees 13th month pay or more in
a calendar year or its equivalent at the
time of this issuance
 Persons in the personal service of
another in relation to such workers
 Employer who are paid on purely
commission, boundary, or task basis,
and those who are paid a fixed
amount for performing a specific work,
irrespective of the time consumed in
the performance thereof, except
where the workers are paid on a
piece-rate basis in which case the
employer shall grant the required 13th
month pay to such workers.
13 MONTH PAY MAY NOT BE EQUIVALENT TO
YOUR BASIC SALARY
 According to the law, your basic calary
should only be earnings or primary payment
paid to an employee for services rendered.
 On the other hand, basic salary DOES NOT
INCLUDE:
1. Cash equivalent of unused vacation and
sick leave credits
2. CLOA granted pursuant to PD 525 or LOI
No. 174
3. Overtime
4. Premium
5. Night Differential
6. Holiday pay
 Your 13th month pay should be not less than
1/12 of the total basic salary you earned
within the calendar year.
 It means your 13th month pay is
monthly basic compensation
computed pro-rate according to the
number of months/days you have
worked in your company
CASE: ARIEL DAVID (YIELS HOG DEALER) VS.
JOHN MACASIO, JR.
 The governing law on 13th month pay is PD
851
 As with holiday and SIL pay, 13th month pay
benefits generally cover all employees.
 An employee must be one of those
expressly enumerated to be
exempted
 Section 3 of the IRR of PD 851 enumerates
the exemptions from the coverage of the 13th
month pay benefits
 Under Section 3 (e), employers of those who
are paid on task basis, and those who are
paid a fixed amount for performing a specific
work, irrespective of the time consumed in
the performance thereof are exempted
 Note that unlike the IRR of the Labor Code
on holiday and SIL pay, Section 3 (e) of the
Rules and Regulations Implementing PD 851
exempts employees “paid on task basis”
without any reference to “field personnel”
 This could only mean that insofar as
payment of the 13th month pay is concerned,
the law did not intent to qualify the exemption
from its coverage with the requirement that
the task worker be a field personnel at the
same time
14th, 15th, 16th MONTH PAY BASED ON CBA
CASE: EASTERN TELCO PHIL VS ET
EMPLOYEES UNION
 The company confirms that the 14th, 15th, and
16th month bonuses are granted
 A reading of the above provisions reveals
that the same provides for the giving of 14th,
15th, and 16th month bonus without
qualification.
 The wording of the provision does not allow
any other interpretation.
 There were no conditions specified in the
CBA Side Agreements for the grant of the
benefits contrary to the claim of ETPI that the
same is justified only when there are profits
earned by the company
 The provision does not state that the subject
bonuses shall be made to depend on the
ETPI’s financial standing or that their
payment was contingent upon the realization
of profits.
 Neither does it state that if the company
derives no profit, no bonuses are to be given
to the employees.
 In fine, the payment of these bonuses was
not related to the profitability of business
operations.
REPUBLIC ACT NO. 10028 (EXPANDED
BREASTFEEDING PROMOTION ACT OF 2009)
 Lactation Period Nursing employees are
entitled to paid break intervals in addition to
the unpaid regular one-hour meal period,
to breastfeed or express milk.
 There may be several lactation periods of
short duration during the work day
 Each lactation period should include the time
it takes a nursing employee to go to and from
the workplace lactation station
 The employer and nursing employee may
agree on the duration and frequency of the
lactation periods, provided the total length of
all the lactation periods is not less than 40
minutes for every 8-hour working
 SECTION 10 PROVISION OF FACILITIES
FOR BREASTMILK COLLECTION AND
STORAGE FOR HEALTH INSTITUTIONS
 The health institution adopting
rooming-in and breastfeeding shall
provide equipment, facilities, and
supplies for breastmilk collection,
storage and utilization
 The standards of whcih shall be
defined by the Department of Health
institutions are likewise encouraged to
set up milk banks for storage of
breastmilk donated by mothers and
which have undergone pasteurization
 The stored breastmilk will primarily be
given to children in the neonatal ICU
whose own mothers are seriously ill
LACTATION SECTIONS
 SECTION 11ESTABLISHMENT OF
LACTATION STATIONS
 It is hereby mandated that all health
and non-health facilities,
establishments or institutions shall
establish lactations stations.
 The lactation stations shall be
adequately provided with the
necessary equipment and facilities
 Lavatory for handwashing
 Unless there is an
easily-accessible
lavatory nearby
 Refrigeration or appropriate
colling facilities for storing
expressed breastmilk
 Electrical outlets for breast
pumps
 Small table
 Comfortable seats
 The standards of which shall be
defined by the Department of Health
 The lactation station shall not be
located in the toilet
 In addition, all health and non-health facilities,
establishments or institutions shall take strict
measures to prevent any direct or indirect
form of promotion, marketing, and/or sales of
infant formula and/or breastmilk substitutes
within the lactation stations
 Or in any event or circumstances which may
be conducive to the same
RETIREMENT LAW - REPUBLIC ACT NO. 7641,
DECEMBER 9, 1992
 Art. 287. Retirement
 Any employee may be retired upon
reaching the retirement age
established in the collective
bargaining agreement or other
applicable employment contract
 In case of retirment, the employee
shall be entitled to receive such
retirement benefits as he may have
earned under existing laws and any
collective bargaining agreement and
other agreements
 Provided, however, that an
employee’s retirement benefits under
any collective bargaining and other
agreements shall not be less than
those provided herein
 In the absence of a retirement plan or
agreement providing for retirement
benefits of employees in the
establishment, an employee upon
reaching the age of 60 years or more,
but not beyond 65 years which is
hereby declared the compulsory
retirement age
 Who has served at least 5 years in
the said establishment, may retire and
shall be entitled to retirement pay
equivalent to at least 1/2 month
salary for every year of service
 A fraction of at least 6 months being
considered as one whole year
 Unless the parties provide for broader
inclusions, the term “1/2 month
salary” shall mean 15 days plus 1/12
of the 13th month pay and cash
equivalent of not more than 5 days of
service incentive leave (Atty. Bata:
22 DAYS ALL IN ALL)
 Retail, service and agricultural
establishments or operations
employing not more than 10
employees are EXEMPTED from the
coverage of this provision
 Violation of this provision is hereby
declared UNLAWFUL and subject to
the penal provisions provided under
Article 288 of this Code
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
PRIVATE RETIRMENT BENEFIT
 An employee is entitled to receive such
retirement benefits as he may have earned
under existing laws and any collective
bargaining agreement and other agreements
 However, an employee’s retirement benefits
under any collective bargaining and other
agreements shall not be less than those
provided by the Labor Code
 An employee (Except an underground
mining employee) has the option to retire
and receive retirement pay upon reaching
the age of 60 years or more
 Provided he has served aat least five years
with his employer
 When the employee reaches the compulsory
retirement age of 65 years, his employer may
retire him and pay him retirment pay.
 In case of underground mining employee,
they may retire and receive retirement pay
upon reaching 50 years of age and
completing five years of service to their
employer, and their employer may retire
them and pay them retirment pay when they
reach 60 years
 Compulsory retirment age for
underground mining workers
COMPUTATION OF RETIREMENT PAY
 An eligible retiring employee is entitled to
retirement pay equivalent to at least his 1/2
month salary for every year of service
 A fraction of at least 6 months of service
being considered as one whole year
 The term “half-month salary” for retirment
pay purposes generally includes the 15-day
salary of the employee based on his latest
salary date, cash equivalent of five days of
service incentive leaves, 1/12 of the 13th
month pay due the employee, and all other
benefits that the employer and employee
may agree upon to be included in computing
the reirement pay.
 NO SEPARATION PAY TO RESIGNING
EMPLOYEE
CASE: SERRANO VS. SEVERINO SANTOS
TRANSIT (ComputationL 22.5 days per year of
service)
Facts:
 After 14 years of service or on July 14, 2006,
Serrano, a bus conductor applied for optional
retirement.
 He was required to sign a waiver under
protest and the amount of P75,277.45 which
he received as retirement pay, computed by
the company at 15 days per year of service
 The company did not include in the
computation of the 5-day SIL and pro-rated
13th month pay because he was paid on a
commission basis
Ruling:
 SC upheld the ruling of the Labor Arbiter
 “In the absence of a retirement plan or
agreement providing for retirement
benefits of employees in the
establishment, an employee upon
reaching the age of 60 years or more,
but not beyond 65 years which is
hereby declared the compulsory
retirement age, who has served at
least 5 years in the said establishment,
may retire and shall be entittled to
retirment pay equivalent to
 At least 1/2 month salary for
every year of service
 Fraction of at least 6 months
being considered as one whole
year
 1/2 month salary shall mean 15
days plus 1/12 of the 13 month
pay and cash equivalent of nor
more than 5 days of SIL
REPUBLIC ACT 7699 (AN ACT INSTITUTING
LIMITED PORTABILITY SCHEME IN THE
SOCIAL SECURITY INSURANCE SYSTEM BY
TOTALIZING THE WORKERS’ CREDITABLE
SERVICES OR CONTRIBUTIONS IN EACH OF
THE SYSTEMS
 Section 3: Provisions of any general or
special law or rules and regulations to the
contrary notwithstanding, a covered worker
who transfers employment from one sector
to another or is employed in both sectors
shall have his credible services or
contributions in both Systems credited to
his service or contribution record in each of
the Systems and shall be totalized for
purposes of
 Old-age
 Disability
 Survivorship
 And other benefits
 In case the covered member does not qualify
for such benefits in either or both Systems
without totalization
 PROVIDED, howeevr, that overlapping
periods of membership shall be CREDITED
ONLY ONCE for purposes of totalization
SSS PLUS GSIS CREDITS
 Under RA 7699 (PORTABILITY LAW),
government retirees who do not meet the
required number of years provided under PD
1146 and RA 8291 may still avail
themselves of retirment and other
benefits
 Under this law, retirees may combine their
years of service in the private sector
represented by contributions to the SSS with
their government service and contributions to
the GSIS to satisfy the required years of
service under PD 1146 and RA 8291
 However, if retirees have already satisfied
the required years of service under the GSIS
retirement option they have chosen, they
would not be allowed to incorporate their
contributions to the SSS anymore for
availment of additional benefits.
 Section 4: All contributions paid by such
member personally, and those that were paid
by his employers to both Systems shall be
considered in the processing of benefits to
be paid by one from either or both Systems
 PROVIDED, however, that the amount of
benefits to be paid by one System shall be in
propotion to the number of contributions
actually remitted to that System
 IN CASE OF DEATH, DISABILITY AND
OLD AGE, the periods of creditable services
or contributions to the SSS and GSIS shall
be added to entitle retirees to receive the
benefits under their PD 1146 or RA 8291
 If qualified under RA 8291, all the benefits
shall applt EXCEPT the cash payment
 The Portability Law provides that only
benefots common to both Systems
(GSIS and SSS) shall be paid
 Cash payment is NOT INCLUDED in
the benefits provided by the SSS
MANDATORY BENEFITS AND CONTRIBUTIONS
TO SSS, PAG-IBIG AND PHILHEALTH
 SSS - Provides private employees and their
families protection against disability,
sickness, old age, and death
 Home Development Mutual Fund/Pag-Ibig
Fund - a provident savings system supplying
housing loans to private and Philippine
government employees, and to
self-employed persosn who elect to join the
Fund
 Philippine Health Insurance
Corporation/PhilHealth - administered by
the Philippine Health Insurance Corporation,
and provides employees with a practical
means of paying for adequate medical care
in the Philippines.
SOLO PARENT LEAVE
WHO IS A SOLO PARENT
 Any individual who fall under any of the
following categories:
1. A woman who gives birth as a result of
rape and other crimes against chastity even
without a final conviction of the offender:
provided, that the mother keeps and raises
the child
2. Parent left solo or alone with the
responsibility of parenthood DUE TO DEATH
OF SPOUSE
3. Parent left dolo or alone with the
responsibility of parenthood while the
SPOUSE IS DETAINED OR IS SERVING
SENTENCE for a criminal conviction for at
least 1 year
4. Parent left solo or alone with the
responsibility of parenthood due to
PHYSICAL AND/OR MENTAL
INCAPACITY OF SPOUSE as cerified by a
public medical practitioner
5. Parent left solo or alone with the
responsibility of parenthood due to LEGAL
SEPARATION OF DE FACTO
SEPARATION from spouse for at least one
year, as long as he/she is entrusted with the
custody of the children
6. Parent left solo with the responsibility of
parenthood due to DECLARATION OF
NULLITY OR ANNULMENT OF MARRIAGE
as declared by a court or by a church as long
as he/she is entrusted with the custody of the
children
7. Parent left solo or alone with the
responsibility of parenthood due to
ABANDONMENT OF SPOUSE FOR AT
LEAST 1 YEAR
8. UNMARRIED MOTHER/FATHER who
has preferred to keep and rear her/his
child/children instead of having others care
for them or give them up to a welfare
institution
9. Any other person WHO SOLELY
PROVIDES PARENTAL CARE and support
to a child or children
10. ANY FAMILY MEMBER WHO
ASSUMES THE RESPONSIBILITY OF
HEAD OF FAMILY as a result of the death,
abandonment, disapperance or prolonged
absence of the parents or solo parent
VAWCHI LEAVE
 Battered Woman Leave: 10 days leave with
pay for Victims of Violence Against Women
and their Children is granted to women
employees who are victims of physical,
sexual, psychological harm or suffering, or
economic abuse
 The leave benefit shall cover the days that
the woman employee has to attend to
medical and legal concerns
 PROVIDED, that the victim woman
employee presents to her employer a
certification from the
1. Barangay chairman or
2. Barangay kagawad or
3. Prosecutor or
4. Clerk of Court
 That an action relative to the matter is
pending
BATTERED WOMAN SYNDROME
 People living with battered woman
syndrome may feel helpless
 This can cause them to wrongly
believe they deserve the abuse and
that they can’t get away from it
 In many cases, this is why people
don’t report their abuse to police or
loved ones
 If you believe you or someone
close to you is living with
battered woman syndrome,
know that it is possible to treat
this condition and lead a full life.
Read on to learn more about
the signs and symptoms of
battered woman syndrome, as
well as how it is treated
 Battered Woman
Syndrome/Battered Person
Syndrome can be the product
of long-term domestic abuse. It
is considered a
SUB-CATEGORY OF
POST-TRAUMATIC STRESS
DISORDER
MATERNITY AND PATERNITY LEAVE
 Maternity Leave: Under RA 11210, the
expanded maternity benefits are as follows:
 Maternity leave of 105 DAYS WITH
FULL PAY
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
 Whether the eligible female employee
gives birth via caesarian section or
natural delivery
 Allocation of 7 DAYS of maternity
leave credits to the child’s father or an
alternate caregiver
 7 Days of Paternity Leave With Pay
 For all married male employees in the
private sector regardless of status of
employment
 To allow the husband to lend support
to his wife during her period of
recovers and/or in nursing her
newborn child
 Provided he is:
1. An employee at the time of the
delivery of his child
2. Cohabiting with his spouse at the
time that she gives birth or suffers a
miscarriage
3. Applied for paternity leave with his
employer within a reasonable period
of time
4. His wife has given birth or suffered
a miscarriage
GYNECOLOGICAL DISORDERS AND SSS SICK
LEAVE
 Special Leave for Women of Maximum of
2 Months with Full Pay
 Who have rendered continuous
aggregate employment dervice of 6
months for the last 12 months
 Following surgery caused by
gynecological disorders under the
MAGNA CARTA OF WOMEN (RA
9710)
 A woman employee regardless of age
and civil status, can avail of special
leave benefits after she has
undergone surgery due to
gynecological disorder without
prejudice to an employer allowing her
to receive her pay before or during the
surgery
 SSS SICK LEAVE:
 A member can be granted sickness
benefit for a maximum of 120 days in
one calendar year
 Any unused portion of the allowable
120 days sickness benefit CANNOT
BE CARRIED FORWARD AND
ADDED TO the total number of
allowed compensable days for the
following year
FOR HUMAN RESOURCE PRACTITIONERS
In rare cases however, you may have concerns that
an employee is NOT BEING GENUINE about an
illness, in order to avoid work, do less work, or gain
financial beneft (company sick pay). This is known
as MALINGERING
 When an employee pretends to be ill in order
to escape duty or worl
 What to do if your suspect an employee is
faking illness?
1. Keep records of sickness absence
2. Return-to-work interviews
3. Ask for medical evidence
4. Be careful with social media
5. Conduct a thorough investigation
WOMEN WORKERS
Constitutional Provisions:
 Article I, Section 14 - The State
recognizes the role of women in
nation-building and shall ensure the
fundamental equality before the law of
women and men.
 Article XIII, Section 14 - The State
shall protect working women by
providing safe and healthful working
conditions, taking into account their
maternal functions, and such facilities
and opportunities that will enhance their
welfare and enable them to realize their
full potential in the service of the nation.
Art. 132. Facilities for women. The Secretary of
Labor and Employment shall establish standards
that will ensure the safety and health of women
employees. In appropriate cases, he shall, by
regulations, require any employer to:
a) Provide seats proper for women and
permit them to use such seats when
they are free from work and during
working hours, provided they can
perform their duties in this position
without detriment to efficiency;
b) To establish separate toilet rooms and
lavatories for men and women and
provide at least a dressing room for
women; (LGBT ISSUE?)
c) To establish a nursery in a workplace
for the benefit of the women employees
therein; and (LACTATION)
d) To determine appropriate minimum age
and other standards for retirement or
termination in special occupations such
as those of flight attendants and the like.
Ahead of Reproductive Law
Art. 134. Family planning services; incentives
for family planning.
a. Establishments which are required by
law to maintain a clinic or infirmary shall
provide free family planning services to
their employees which shall include, not
be limited to, the application or use of
contraceptive pills and intrauterine
devices.
b. In coordination with other agencies of
the government engaged in the
promotion of family planning, the
Department of Labor and Employment
shall develop and prescribe incentive
bonus schemes to encourage family
planning among female workers in any
establishment or enterprise.
DISCRIMINATION
Policy vs. Bona fide Occupational Qualification
Art. 135. Discrimination prohibited. It shall be
unlawful for any employer to discriminate against
any woman employee with respect to terms and
conditions of employment solely on account of her
sex. The following are acts of discrimination:
a. Payment of a lesser compensation,
including wage, salary or other form of
remuneration and fringe benefits, to a
female employees as against a male
employee, for work of equal value; and
b. Favoring a male employee over a
female employee with respect to
promotion, training opportunities, study
and scholarship grants solely on
account of their sexes.
c. Criminal liability for the willful
commission of any unlawful act as
provided in this Article or any violation of
the rules and regulations issued
pursuant to Sec. 2 hereof shall be
penalized as provided in Articles 288
and 289 of this Code: Provided, That
the institution of any criminal action
under this provision shall not bar the
aggrieved employee from filing an
entirely separate and distinct action for
money claims, which may include
claims for damages and other
affirmative reliefs. The actions hereby
authorized shall proceed independently
of each other. (As amended by Republic
Act No. 6725, May 12. 1989)
Other laws that prohibit discrimination against
women on account of their gender, and against
children on account of their age.
 The Magna Carta of Women
(Republic Act No. 9710, as amended)
prohibits discrimination against women
and expressly imposes liability for
damages on the person directly
responsible for such discrimination.
 The Anti-Age Discrimination in
Employment Act (Republic Act No.
10911) prohibits discrimination on
account of age, and imposes penalties
for violation of the Act.
 The Solo Parents' Welfare Act
(Republic Act No. 8972) prohibits an
employer from discriminating against
any solo parent employee with respect
to the terms and conditions of
employment on account of the
employee being a solo parent.
 The Indigenous Peoples' Rights Act
(Republic Act No. 8371) prohibits
discrimination against Indigenous
Cultural Communities or Indigenous
Peoples with respect to recruitment and
conditions of employment on account of
their descent.
 The Anti-Sexual Harassment Act
(Republic Act No. 7877) prohibits
sexual harassment in the workplace.
 The Mental Health Act (Republic Act
No. 11036) requires employers to
develop appropriate policies and
programs on mental health in the
workplace designed to, among others,
raise awareness on mental health
issues, correct the stigma and
discrimination associated with mental
health conditions, identify and provide
support for individuals at risk and
facilitate access of individuals with
mental health conditions to treatment
and psychosocial support.
 The Philippine HIV and AIDS Policy
Act (Republic Act No. 11166) also
prohibits the rejection of job application,
termination of employment, or other
discriminatory policies in hiring,
provision of employment and other
related benefits, promotion or
assignment of an individual solely or
partially on the basis of actual,
perceived or suspected HIV status. This
law also states that compiled that
policies and practices that discriminate
on the basis of perceived or actual HIV
status, sex, gender, sexual orientation,
gender identity and expression, age,
economic status, disability and ethnicity
are deemed inimical to national interest.
Background checks on applicants
From the internet: There is no law prohibiting
background checks on applicants, whether
conducted by the employer or a third party. There
are, however, specific laws that apply with respect
to applications and background checks.
The Anti-Age Discrimination in Employment Act
(Republic Act No. 10911) specifically prohibits
requiring the declaration of age or birth date during
the application process.
The implementing rules of the Data Privacy Act
(Republic Act No. 10173) also provide that the
applicant or data subject has a right to be informed
if personal data is being collected for purposes of
profiling, or for other forms of data processing.
Under this law, 'profiling' includes the automated
processing of personal data (defined as information
from which the identity of an individual is apparent
or can be ascertained) consisting of the use of such
personal data to evaluate certain personal aspects
relating to a natural person.
The Philippine HIV and AIDS Policy Act prohibits
the rejection of a job application solely or partially
on the basis of actual, perceived, or suspected HIV
status.
MEDICAL EXAMINATIONS
These apply to women and men workers.
The Philippine HIV and AIDS Policy Act prohibits
the rejection of a job application solely or partially
on the basis of actual, perceived, or suspected HIV
status.
Access to personal data relating to an employee's
hepatitis B status is bound by the rules of
confidentiality and is strictly limited to medical
LABOR LAW 1 TRANSCRIPTION - MIDTERM
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personnel or if legally required as stated in DOLE
Department Advisory No. 05-10.
Under the Magna Carta for Persons with Disability -
medical examination should not be used to deny
employment when it would constitute discrimination.
DRUG AND ALCOHOL TESTING ON
APPLICANTS
These apply to women and men works:
There are no restrictions against drug and alcohol
testing, and there is no law prohibiting an employer
from refusing to hire an applicant who refuses to
submit to a test. However, the DOLE has issued the
Guidelines for the Implementation of a Drug-Free
Workplace Policies and Programs for the Private
Sector (DOLE Department Order No. 053-03),
which states that only drug-testing centers
accredited by the Department of Health shall be
utilized for drug testing.
RA 9165 - Section 36. (d) Officers and employees
of public and private offices. - Officers and
employees of public and private offices, whether
domestic or overseas, shall be subjected to
undergo a random drug test as contained in the
company's work rules and regulations, which shall
be borne by the employer, for purposes of reducing
the risk in the workplace. Any officer or employee
found positive for use of dangerous drugs shall be
dealt with administratively which shall be a ground
for suspension or termination, subject to the
provisions of Article 282 of the Labor Code and
pertinent provisions of the Civil Service Law.
Can the policy of my employer in hiring young
laborers be considered in contravention with
the Age Discrimination Act?
Age as a qualification for employment is not always
considered as a violation of Republic Act (RA)
10911, or the "Anti-Age Discrimination in
Employment Act." In fact, under Section 6 of the
afore-stated rule, the following exemptions are
provided:
"It shall not be unlawful for an employer to set
age limitations in employment if:
"(a) Age is a bona fide occupational qualification
reasonably necessary in the normal operation of a
particular business or where the differentiation is
based on reasonable factors other than age;
"(b) The intent is to observe the terms of a bona fide
seniority system that is not intended to evade the
purpose of this Act:
"(c) The intent is to observe the terms of a bona fide
employee retirement or a voluntary early retirement
plan consistent with the purpose of this Act:
Provided, That such retirement or voluntary
retirement plan is in accordance with the Labor
Code, as amended, and other related laws; or
"(d) The action is duly certified by the Secretary of
Labor and Employment in accordance with
compiled pf this Act." Thus, age requirement is
allowed if the same is a bona fide occupational
qualification in the business of the employer.
Stipulation against marriage
Art. 136. Stipulation against marriage. It shall be
unlawful for an employer to require as a condition of
employment or continuation of employment that a
woman employee shall not get married, or to
stipulate expressly or tacitly that upon getting
married, a woman employee shall be deemed
resigned or separated, or to actually dismiss,
discharge, discriminate or otherwise prejudice a
woman employee merely by reason of her
marriage.
Zialcita vs. Pal - "Flight attendant-applicant must
be single and they shall be automatically separated
in the event they subsequently got married" null and
void.
STAR PAPER CORPORATION ET AL VS.
SIMBOL, ET AL. G.R. No. 164774 April 12, 2006
Petitioner contend that their policy will apply when
one employee marries a co-employee, but they are
free to marry persons other than co-employees. The
questioned policy may not facially violate Article 136
of the Labor Code but it creates a disproportionate
effect under the disparate impact theory, the only
way it could pass judicial scrutiny is a showing that
it is reasonable despite the discriminatory, albeit
disproportionate, effect. The failure of petitioners to
prove a legitimate business concern in imposing the
questioned policy cannot prejudice the employee’s
right to be free from arbitrary discrimination based
upon stereotypes of married persons working
together in one company.
In challenging the anti-nepotism employment
policies in the United States, complainants utilize
two theories of employment discrimination:
(1) the disparate treatment and
(2) the disparate impact.
Under the disparate treatment analysis, the
plaintiff must prove that an employment policy is
discriminatory on its face. No-spouse employment
policies requiring an employee of a particular sex to
either quit, transfer, or be fired are facially
discriminatory. For example, an employment policy
prohibiting the employer from hiring wives of male
employees, but not husbands of female employees,
is discriminatory on its face.
On the other hand, to establish disparate impact,
the complainants must prove that a facially neutral
policy has a disproportionate effect on a particular
class. For example, although most employment
policies do not expressly indicate which spouse will
be required to transfer or leave the company, the
policy often disproportionately affects one sex.
NO SPOUSE EMPLOYMENT POLICY
 These courts also find the no-spouse
employment policy invalid for failure of
the employer to present any evidence of
business necessity other than the
general perception that spouses in the
same workplace might adversely affect
the business.
 They hold that the absence of such a
bona fide occupational qualification
invalidates a rule denying employment
to one spouse due to the current
employment of the other spouse in the
same office.
 Thus, they rule that unless the employer
can prove that the reasonable demands
of the business require a distinction
based on marital status and there is no
better employee's spouse. This is
known as the bona fide occupational
qualification exception.
The concept of a bona fide occupational
qualification is not foreign in our jurisdiction. We
employ the standard of reasonableness of the
company policy which is parallel to the bona fie
occupational qualification requirement.
In the recent case of Duncan Association of
Detailman-PTGWO and Pedro Tacsonv Glaxo
Welcome Philippines, Inc., we passed on the
validity of the policy of a pharmaceutical company
prohibiting its employees from marrying employees
of any competitor company. We held that Glaxo has
a right to guard its trade secrets, manufacturing
formulas, marketing strategies and other
confidential programs and information from
competitors. We considered the prohibition against
personal or marital relationships with employees of
competitor companies upon Glaxo's employees
reasonable under the circumstances because
relationships of that nature might compromise the
interests of Glaxo. In laying down the assailed
company policy, we recognized that Glaxo only
dims to protect its interests against the possibility
that a competitor company will gain access to its
secrets and procedures.
The requirement that a company policy must be
reasonable under the circumstances to qualify as a
valid exercise of management prerogative was also
at issue in the 1997 case of Philippine Telegraph
and Telephone Company v. NLRC. In said case,
the employee was dismissed in violation of
petitioner's policy of disqualifying from work any
woman worker who contracts marriage. We held
that the company policy violates the right against
discrimination afforded all women workers under
Article 136 of the Labor Code, but established a
permissible exception, Viz.
Overweight employee
Armando Yrasuegui vs. Philippine Airlines, Inc.,
G.R. No. 168081, 17 October 2008. Yrasuegui was
an international flight steward who was dismissed
because of his failure to adhere to the weight
standards of the airline company, Philippine Airlines,
Inc.
The Supreme Court upheld the legality of his
dismissal. Obesity can be a ground for dismissal
under Article 282(e) of the Labor Code, viz:
"A reading of the weight standards of PAL would
lead to no other conclusion than that they constitute
a continuing qualification of an employee in order to
keep the job. Tersely put, an employee may be
dismissed the moment he is unable to comply
with his ideal weight as prescribed by the
weight standards. The dismissal of the
employee would thus fall under Article 282(e) of
the Labor Code.
PROBLEM ON OVERWEIGHT CABIN
ATTENDANT
"The business of PAL is air transportation. As such,
it has committed itself to safely transport its
passengers. In order to achieve this, it must
necessarily rely on its employees, most particularly
the cabin flight deck crew who are on board the
aircraft. The weight standards of PAL should be
viewed as imposing strict norms of discipline upon
its employees.
The biggest problem with an overweight cabin
attendant is the possibility of impeding passengers
from evacuating the aircraft, should the occasion
call for it. The job of a cabin attendant during
emergencies is to speedily get the passengers out
of the aircraft safely. Being overweight
necessarily impedes mobility. Indeed, in an
emergency situation, seconds are what cabin
attendants are dealing with, not minutes. Three
lost seconds can translate into three lost lives.
Evacuation might slow down just because a wide-
bodied cabin attendant is blocking the narrow aisles.
These possibilities are not remote." (Emphasis and
underscoring supplied.)
Yrasegui stands five feet and eight inches (5'8")
with a large body frame. The proper weight for a
man of his height and body structure is from 147 to
166 pounds, the ideal weight being 166 pounds, as
mandated by the Cabin and Crew Administration
Manual of PAL. He was overweight at 215 pounds,
which is 49 pounds beyond the limit.
MADE IN USA
BONA FIDE OCCUPATIONAL QUALIFICATION
(BFOQ)
There are situations where employment
discrimination is allowable under both federal and
NYS law. An employer can discriminate if the
employer establishes a lawful job-related reason for
the discrimination! This is called a bona fide
occupational qualification or BFOQ.
So how does BFOQ work? Here are some
examples found by the courts as acceptable
reasons to discriminate in hiring:
1. Mandatory retirement age requirements
were allowed for airline pilots because
safety was the primary concern and
airlines could show that older pilots
were significantly less safe once they
reached a certain age.
2. Male clothing designers were allowed to
legally advertise for male models only,
since female models wouldn't be able to
model men's clothing as intended.
3. Churches were allowed to legally hire
only members of their own church and
faith and reject clergy from other
religions.
LABOR LAW 1 TRANSCRIPTION - MIDTERM
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4. An airline was allowed to hire only pilots
of a certain religious background. Why?
Because one the countries that the
airline flew over prohibited, under
punishment of death, the presence of
people outside of a certain religion.
MORE ON BFOQ
Title VII permits discrimination on the basis of
"religion, sex, or national origin in those instances
where religion, sex, or national origin is a bona fide
occupational qualification reasonably necessary to
the normal operation of the particular business or
enterprise." This exception has also been extended
to discrimination based on age through the Age
Discrimination in Employment Act (ADEA). This
exception does not apply to discrimination based on
race. NYS has also adopted the federal rule that
race cannot be a justification for BFOQ
discrimination.
So, what if a role in movie or play calls for a black
male or female actress? Can a director discriminate
in hiring an actor to play the role by excluding white
actors? The answer is no. Title Vll and the NYS's
HRL make so exception for such situations.
However, a director can choose an actor based on
the actor's physical characteristics.
Some company policies may be interpreted as
discriminatory
The defense of the employer against such claim is
that it is Bona fide Occupational qualification
(BFOQ) .
"Employment in particular jobs may not be limited to
persons of a particular sex, religion, or national
origin unless the employer can show that sex,
religion, or national origin is an actual qualification
for performing the job. The qualification is called a
bona fide occupational qualification (BFOQ).
Test to determine validity of employment policy
In British Columbia Public Service Employee
Commission (BSPSERC) v. The British Columbia
Government and Service Employee's Union
(BCGSEU), the Supreme Court of Canada adopted
the so-called "Meiorin Test" - test in determining
whether an employment policy is justified. Under
this test:
(1) the employer must show that it adopted the
standard for a purpose rationally connected to the
performance of the job;
(2) the employer must establish that the standard is
reasonably necessary to the accomplishment of
that work-related purpose; and
(3) the employer must establish that the standard is
reasonably necessary in order to accomplish the
legitimate work-related purpose.
TO JUSTIFY A BFOQ
Star Paper Corporation v. Simbol, G.R. NO. 164774,
12 April 2006 - to justify a BFOQ, the employer
must prove that:
(1) the employment qualification is reasonably
related to the essential operation of the job involved;
and
(2) that there is factual basis for believing that all or
substantially all persons meeting the qualification
would be unable to properly perform the duties of
the job.
In short, the test of reasonableness of the company
policy is used because it is parallel to BFOQ. BFOQ
is valid "provided it reflects an inherent quality
reasonably necessary for satisfactory job
performance.
Two factors necessary to justify BFOQ
Capin-Cadiz vs. Brent Hospital and Colleges, Inc.
G.R. No. 187417. 24 February 2016
Two factors necessary to justify bona fide
occupational qualification, to wit:
"While a marriage or no-marriage qualification may
be justified as a "bona fide occupational
qualification," the company must prove two factors
necessitating its imposition, viz.:
(1) that the employment qualification is reasonably
related to the essential operation of the job involved;
and
(2) that there is a factual basis for believing that all
or substantially all persons meeting the qualification
would be unable to properly perform the duties of
the job."
No termination during pregnancy
Art. 137. Prohibited acts. It shall be unlawful for
any employer:
1. To deny any woman employee the benefits
provided for in this Chapter or to discharge any
woman employed by him for the purpose of
preventing her from enjoying any of the benefits
provided under this Code.
2. To discharge such woman on account of her
pregnancy, or while on leave or in confinement due
to her pregnancy;
3. To discharge or refuse the admission of such
woman upon returning to her work for fear that she
may again be pregnant.
CASE: DEL MONTE PHILIPPINES, INC., VS.
LOLITA VELASCO, G.R. NO. 153477 March 6,
2007
Petitioner's reliance on the jurisprudential rule that
the totality of the infractions of an employee may be
taken into account to justify the dismissal, is
tenuous considering the particular circumstances
obtaining in the present case. Petitioner puts much
emphasis on respondent's "long history" of
unauthorized absences committed several years
beforehand. However, petitioner cannot use these
previous infractions to lay down a pattern of
absenteeism or habitual disregard of company rules
to justify the dismissal of respondent.
The undeniable fact is that during her complained
absences in 1994, respondent was pregnant and
suffered related illnesses.
Again, it must be stressed that respondent's
discharge by reason of absences caused by legal
basis in considering these absences together with
her prior infractions as gross and habitual neglect.
The Court finds no cogent reason to disturb the
findings of the NRC and the CA that the respondent
was able to subsequently justify her absences in
accordance with company rules and policy; that the
respondent was pregnant at the time she incurred
the absences; that this fact of pregnancy and its
related illnesses had been duly proven through
substantial evidence; that the respondent attempted
to file leaves of absence but the petitioner's
supervisor refused to receive them; that she could
not have filed prior leaves due to her continuing
condition; and that the petitioner, in the last analysis,
dismissed the respondent on account of her
pregnancy, a prohibited act.
CASE: LAKPUE DRUG, INC., ET AL, VS, MA,
LOURDES BELGA, G.R. No. 166379 October 20,
2005
In the instant case, the alleged misconduct of Belga
barely falls within the situation contemplated by the
law. Her absence for 16 days was justified
considering that she had just delivered a child,
which can hardly be considered a forbidden act, a
dereliction of duty, much less does it imply wrongful
intent on the part of Belga, Tropical harps on the
alleged concealment by Belga of her pregnancy.
This argument, however, begs the question as to
how one can conceal a full-term pregnancy. We
agree with respondent's position that it can hardly
escape notice how she grows bigger each day.
While there may be instances where the pregnancy
may be inconspicuous, it has not been sufficiently
proven by Tropical that Belga's case is such.
Belga's failure to formally inform Tropical of her
pregnancy cannot be considered as grave
misconduct directly connected to her work as to
constitute just cause for her separation.
Tropical's ground for terminating Belga is her
alleged concealment of pregnancy It argues that
such non-disclosure is tantamount to dishonesty
and impresses upon this Court the importance of
Belga's position and the gravity of the disruption her
unexpected absence brought to the company.
Tropical also charges Belga with insubordination for
refusing to comply with its direction to report for
work and to explain her absence.
Night club workers - employees under Art 138
Art. 138. Classification of certain women
workers.
Any woman who is permitted or suffered to work,
with or without compensation, in any night club,
cocktail lounge, massage clinic, bar or similar
establishments under the effective control or
supervision of the employer for a substantial period
of time as determined by the Secretary of Labor and
Employment, shall be considered as an employee
of such establishment for purposes of labor and
social legislation.
REPUBLIC ACT NO. 10151
AN ACT ALLOWING THE EMPLOYMENT OF
NIGIIT WORKERS, THEREBY REPEALING
ARTICLES 130 AND 131 OF PRESIDENTIAL
DECREE NUMBER FOUR HUNDRED
FORTY-TWO, AS AMENDED, OTHERWISE
KNOWN AS THE LABOR CODE OF THE
PHILIPPINES
"Article 154. Coverage. - This chapter' shall apply
to all persons, who shall be employed or permitted
or suffered to work at night, except those employed
in agriculture, stock raising, fishing, maritime
transport and inland navigation, during a period of
not less than seven (7) consecutive hours, including
the interval from midnight to five o'clock in the
morning, to be determined by the Secretary of
Labor and Employment, after consulting the
workers representatives/labor organizations and
employers.
'Night worker' means any employed person whose
work requires performance of a substantial number
of hours of night work which exceeds a specified
limit. This limit shall be fixed by the Secretary of
Labor after consulting the workers'
representatives/labor organizations and employers.
Health assessment
"Article 155. Health Assessment. - At their
request, workers shall have the right to undergo a
health assessment without charge and to receive
advice on how to reduce or avoid health problems
associated with their work:
(a) Before taking up an assignment as a night
worker;
(b) At regular intervals during such an assignment;
and
(c) If they experience health problems during such,
an assignment which are not caused by factors
other than the performance of night work.
"With the exception of a finding of unfitness for night
work, the findings of such assessments shall not be
transmitted to others without the workers' consent
and shall not be used to their detriment."
Mandatory facilities for workers performing
night work
"Article 156. Mandatory Facilities. - Suitable first
aid facilities shall be made available for workers
performing night work, including arrangements
where such workers, where necessary, can be
taken immediately to a place for appropriate
treatment. The employers are likewise required to
provide safe and healthful working conditions and
adequate or reasonable facilities such as sleeping
or resting quarters in the establishment and
transportation from the work premises to the
nearest point of their residence subject to
exceptions and guidelines to be provided by the
DOLE."
Transfer of night workers
"Article 157. Transfer. - Night workers who are
certified as unfit for night work, due to health
reasons, shall be transferred, whenever practicable,
to a similar job for which they are fit to work.
"If such transfer to a similar job is not practicable,
these workers shall be granted the same benefits
as other workers who are unable to work, or to
secure employment during such period.
"A night worker certified as temporarily unfit for
night work shall be given the same protection
against dismissal or notice of dismissal as other
LABOR LAW 1 TRANSCRIPTION - MIDTERM
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workers who are prevented from working for
reasons of health."
"Article 158. Women Night Workers. - Measures
shall be taken to ensure that an alternative to night
work is available to women workers who would
otherwise be called upon to perform such work:
"(a) Before and after childbirth, for a period of at
least sixteen (16) weeks, which shall be divided
between the time before and after childbirth; "
“(b) For additional periods, in respect of winch a
medical certificate IS produced stating that said
additional periods are necessary for the health of
the mother or child:
"(1) During pregnancy;
"(2) During a specified time beyond the period, after
childbirth is fixed pursuant to subparagraph (a)
above, the length of which shall be determined by
the DOLE after consulting the labor organizations
and employers.
Continuation on night workers
'(i) A woman worker shall not be dismissed or given
notice of dismissal, except for just or authorized
causes provided for in this Code that are not
connected with pregnancy, childbirth and childcare
responsibilities,
'(ii) A woman worker shall not lose the benefits
regarding her status, seniority, and access to
promotion which may attach to her regular night
work position.
"Pregnant women and nursing mothers may be
allowed to work .at night only if a competent
physician, other than the company physician, shall
certify their fitness to render night work, and specify,
in the case of pregnant employees, the period of the
pregnancy that they can safely work.
"During the periods referred to in this article: "The
measures referred to in this article may include
transfer to day work where this is possible, the
provision of social security benefits or an extension
of maternity leave.
"The provisions of this article shall not leave the
effect of reducing the protection and benefit
maternity leave under existing laws.
NIGHT WORK SCHEDULES
"Article 161. Night Work Schedules.
Before introducing work schedules requiring the
services of night workers, the employer shall
consult the workers' representatives/labor
organizations concerned on the details of such
schedules and the forms of organization of night
work that are best adapted to the establishment and
its personnel, as well as on the occupational health
measures and social services which are required.
In establishments employing night workers,
consultation shall take place regularly.
REPUBLIC ACT NO. 10175
"Cybercrime Prevention Act of 2012".
Section 4. Cybercrime Offenses. The following
acts constitute the offense of cybercrime punishable
under this Act:
Libel
The unlawful or prohibited acts of libel as defined in
Article 355 of the Revised Penal Code, as amended,
committed through a computer system or any other
similar
Section 6. All crimes defined and penalized by the
Revised Penal Code, as amended, and special laws,
if committed by, through and with the use of
information and communications technologies shall
be covered by the relevant provisions of this Act:
Provided, That the penalty to be imposed shall be
one – degree higher than that provided for by the
RPC, as amended, and special laws, as the case
may be.
RA 10361 - AN ACT INSTITUTING POLICIES FOR
THE PROTECTION AND WELFARE OF
DOMESTIC WORKERS
Definitions
 Domestic Work: Refers to work performed
in or for a household/s
 Domestic Worker/Kasambahay: Any
perdon engaged in domestic work within an
employment relationship such as, but not
limited to, the following:
1. General househelo
2. Nursemaid/yaya
3. Cook
4. Gardener
5. Laundry person
 But shall EXCLUDE ANY PERSON
who performs domestic work ONLY
OCCASIONALLY or sporadically and
not an occupational basis
 The term shall not include children
who are under foster family
arrangement, and are provided
access to education and given an
allownce incidental to education (baon,
transportation, school projects, and
school activities)
Board, Lodging and Medical Assistance
 SEC. 5. STANDARD OF TREATMENT
 The employer or any member of the
household shall not subject a
domestic worker or kasambahay to
any kind of abuse nor inflict any form
of physical violence or harassment or
any act to degrade the dignity of a
domestic worker
 SEC. 6. BOARD, LODGING AND MEDICAL
ASSISTANCE
 The employer shall provide for the
basic necessities of the domestic
worker to include at least 3
ADEQUATE MEALS A DAY and
humane sleeping arrangements that
ensure safety
 The employer shall provide
appropriate rest and assistance to the
domestic worker in case of illnesses
and injuries sustained during service
without loss of benefits
 At no instance shall the employer
withdraw or hold in abeyance the
provision of these basic necessities as
punishment or disciplinary action to
the domestic worker
Right to Education and Training
 SEC. 9. RIGHT TO EDUCATION AND
TRAINING
 The employer shall afford the
domestic worker the opportunity to
finish basic education and may allow
access to alternative learning system
and, as far as practicable, higher
education or technical and vocational
training.
 The employer shall adjust the work
schedule of the domestic worker to
allow such access to education or
training wihtout hampering the
services required by the employer
 SEC. 10. PROHIBITION AGAINST
PRIVILEGED INFORMATION
 All communication and information
pertaining to the employer or
members of the household shall be
treated as privileged and confidential,
and shall not be publicly disclised by
the domestic worker during and after
employment
 Such privileged information shall be
inadmissible in evidence except when
the suit involves the employer or any
member of the household in a crime
against persons, property, personal
liberty and security, and chastity
 SEC. 11. EMPLOYMENT CONTRACT
 An employment contract shall be
executed by and between the
domestic worker and the employer
before the commencment of the
service in a language or dialect
understood by both the domestic
worker and the employer.
 The domestic worker shall be
provided a copy of the duly signed
employment contract which must
include the following:
A. Duties and responsibilities of the
domestic worker
B. Period of employment
C. Compensation
D. Authorized deductions
E. Hours of work and proportionate
additional payment
F. Rest days and allowable leaves
G. Board, lodging and medical
attention
H. Agreements on deployment
expenses, if any
I. Loan agreement
J. Termination of employment
K. Any other lawful condition agreed
upon by both parties
Weekly Rest Period
 SEC. 21 WEEKLY REST PERIOD
 The domestic worker shall be entitled
to at least 24 CONSECUTIVE
HOURS OF REST IN A WEEK
 The employer and the domestic
worker shall agree in writing on the
schedule of the weekly rest day of the
domestic worker
 PROVIDED that the employer shall
respect the preference of the
domestic worker as to the weekly rest
day when such preference is BASED
ON RELIGIOUS GROUNDS
 Nothing in this provision shall deprive
the domestic worker and the employer
from agreeing to the following:
A. Offsetting a day of absence with a
particular rest day
B. Waiving a particular rest day in
return for an equivalent daily rate of
pay
C. Accumulating rest days not
exceeding five days
D. Other similar arrangements
Payslip
 SEC. 26. PAYSLIP
 The employer shall at all times
provide the domestic worker with a
copy of the payslip containing the
amoung paid in cash every pay day,
and indicating all deductions made, if
any
 The copies of the payslip shall be kept
by the employer for a period of
THREE YEARS
 SEC. 27, PROHIBITION ON
INTERFERENCE IN THE DISPOSAL OF
WAGES
 It shall be unlawful for the employer to
interfere with the freedom of any
domestic worker to dispose of the
latter’s wages
 The employer shall not force, compel
or oblige the domestic worker to
purchase merchandise, commodities
or other properties from the employer
of from any other person, or otherwise
make use of any store or services of
such employer or any other person
Withholding of Wages and Leave
 SEC. 28. PROHIBITION AGAINST
WITHHOLDING OF WAGES
 It shall be unlawful for an employer,
directly or indirectly, to withhold the
wages of the domestic worker
 If the domestic worker leaves wihtout
any justifieable reason, any unpaid
salary for a period not exceeding 15
DAYS SHALL BE FORFEITED
 Likewise, the employer shall not
induce the domestic worker to give up
any part of the eages by force, stealth,
intimidation, threat or by any other
means whatsoever
 SEC. 29. LEAVE BENEFITS
 A domestic worker who has rendered
AT LEAST 1 YEAR OF SERVICE
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
shall be entitled to an annual service
incentive leave of five days with pay
 PROVIDED, that any unused portion
of said annual leave shall not be
cumulative or carried over to the
succeeding years
 Unused leaves shall not be converted
to cash
SSS, PHILHEALTH, PAG-IBIG
 SEC. 30. SOCIAL AND OTHER BENEFITS
 A domestic worker who has rendered
AT LEAST ONE MONTHE OF
SERVICEshall be covered by the SSS,
PhilHealth, and Pag-ibig, andd shall
be entitled to all the benefits in
accordance with the pertinent
provisions provided by law
 Premium payments or contributions
shall be shouldered by the employer
 However, if the domestic worker is
receiving a WAGE OF 5,000 and
above monthly, the domestic worker
shall pay the proportionate share in
the premium payments or
contributions, as provided by law
Termination of Service
 SEC. 32. TERMINATION OF SERVICE
 Neither the domestic worker nor the
employer may terminate the contract
before the expiration of the term
 EXCEPT for grounds provided for in
Sections 33 and 34 of this Act
 If the domestic worker is UNJUSTLY
DISMISSED, tje domestic worker
shall be paid the compensation
already earned PLUS the equivalent
of 15 DAYS WORK by way of
indemnity.
 If the domestic worker leaves without
justifiable reason, any unpaid salary
due NOT EXCEEDING THE
EQUIVALENT 15 DAYS WORK
SHALL BE FORFEITED
 In addition, the employer may recover
from the domestic worker costs
incurred related to the deployment
expenses, if any
 PROVIDED, that the service has been
TERMINATED WITHIN 6 MONTHS
from the domestic worker’s
employment
 If the duration of the domestic service
is not determined either in stipulation
or by the nature of the service, the
employer or the domestic worker may
give notice to end the working
relayionship 5 DAYS BEFORE THE
INTENDED TERMINATION OF THE
SERVICEB
 The domestic worker and the
employer may mutually agree upon
written notice to pre-terminate the
contract of employment to end the
employment relationship
Settlement of Disputes
 SEC. 37. MECHANISM FOR SETTLEMENT
OF DISPUTES
 All labor-related disputes shall be
elevated to the DOLE Regional Office
having jurisdiction over the workplace
without prejudice to the filing of a civil
or cirminal action in appropriate cases
 The DOLE Regional Office shall
exhaust all conciliation and mediation
efforts before a decision shall be
rendered
 Ordinary crimes or offenses
committed under the RPC and other
special penal laws by either party
shall be filed with the regular courts
CASE: APEX MINING COMPANY, INC. VS NLRC
AMD SINCLITICA CANDIDO
Issue: Is the househelper in the staff houses of an
indutrial company a domestic helper or a regular
employee of the said firm?
Facts:
 Private respondent Candido was employed
by petitioner Apex Mining Company, Inc on
May 18, 1973 to perform laundry services at
its staff house located at Masara, Maco,
Davao del Norte
 In the beginning, she was paid on a piece
rate basise
 However, on January 17, 1982, she was paid
on a monthly basis at P250.00 a month
which was ultimately increased to P575.00 a
month
 On December 18, 1987, while she was
attending to her assigned tas and she was
hanging her laundry, she accidentally slipped
and hit her back on a stone.
 She reported the accident to her immediate
supervisor and to the personnel officer.
Ruling:
 She is not a househelper but a regular
employee of the company
EMPLOYMENT OF HOME WORKERS
 ART. 153, REGULATION OF INDUSTRIAL
HOMEWORKERSb
 The employment of industrial
homeworkers and field personnel
shall be regulated by the government
through the appropriate regulations
issued by the Secretary of Labor and
Employment to ensure the general
welfare and protection of
homeworkers and field personnel and
the industries employing them
 ART. 155. DISTRIBUTION OF
HOMEWORK
 For purposes of this Chapter, the
“employer” of homeworkers includes:
 Any person
 Natural or artificial
 Who, for his account or benefit,
 Or on behalf of any person
residing outside the country
 Directly or indirectly or through
an employee, agent contractor,
subcontractor, or any other
person:
1. Delivers, or causes to be
delivered, any goods, articles
or matetials to be processed or
fabricated in or about a home
and thereafter to be returned or
to be disposed of or ditributed
in accourdance with his
directions
2. Sells any goods, articles or
materials to be processed or
fabricated in or about a home
and then rebuys them after
such processing or fabrication,
either by himself or through
some other person.
DO NO. 5, SERIES OF 1992
Definition:
 Industrial homework/homeworker
 Employer of homeworker
 Contractor/Subcontractor
Registration of Homeworkers Organization
Section 4, Rule XIV
 Entitled to the rights and privileges granted
by law to legitimate organizations
Payment of Homeworker
 SECTION 6: Immediately upon receipt of the
finished goods or articles, the employer shall
pay the homeworker or the
contractor/subcontractor as the case may
be… less corresponding homeworkers’
share of SSS Medicare and ECC premium
contributions
Standard Rates
 SECTION 7: Standard output rate or
standard minimum rate must be established
 The time and motion studies shall be
undertaken by the Regional Office
 SECTION 8: Deduction for the value of
materials which have been lost or damaged
 Due process must be observed
 Amount must be fair and reasonable
and not exceed the actual loss or
damage
Solidary Liability
 SECTION 11: The employer shall be
solidarily liable with the contractor if the
employees are not properly paid.
TITLE 3 CHAPTER II - EMPLOYMENT OF
MINORS
ART. 137. Minimum Employable Age.
(a) No child below fifteen (15) years of age shall be
employed, except when he works directly under the
sole responsibility of his parents or guardian, and
his employment does not in any way interfere with
his schooling.
(b) Any person between fifteen (15) and eighteen
(18) years of age may be employed for such
number of hours and such periods of the day as
determined by the Secretary of Labor and
Employment in appropriate regulations.
(c) The foregoing provisions shall in no case allow
the employment of a person below eighteen (18)
years of age in an undertaking which is hazardous
or deleterious in nature as determined by the
Secretary of Labor and Employment.
RA 9231 - against child abuse
Republic Act No. 9231 December 19, 2003 AN
ACT PROVIDING FOR THE ELIMINATION OF
THE WORST FORMS OF CHILD LABOR AND
AFFORDING STRONGER PROTECTION FOR
THE WORKING CHILD, AMENDING FOR THIS
PURPOSE REPUBLIC ACTNO. 7610, AS
AMENDED, OTHERWISE KNOWN AS THE
"SPECIAL PROTECTION OF CHILDREN
AGAINST CHILD ABUSE, EXPLOITATION AND
DISCRIMINATION ACT"
It provides for special protection to children from all
forms of abuse, neglect, cruelty, exploitation and
discrimination, and other conditions prejudicial to
their development including child labor and its worst
forms. The law provides for minimum employable
age; hours of work of a working child; prohibition on
the engagement of children in worst forms of child
labor; and provides administrative and criminal
sanctions for violations.
Policy on protection to children
"Sec. 2. Declaration of State Policy and
Principles. - It is hereby declared to be the policy of
the State to provide special protection to children
from all forms of abuse, neglect, cruelty, exploitation
and discrimination, and other conditions prejudicial
to their development including child labor and its
worst forms; provide sanctions for their commission
and carry out a program for prevention and
deterrence of and crisis intervention in situations of
child abuse, exploitation and discrimination. The
State shall intervene on behalf of the child when the
parent, guardian, teacher or person having care or
custody of the child fails or is unable to protect the
child against abuse, exploitation and discrimination
or when such acts against the child are committed
by the said parent, guardian, teacher, etc. having
care and custody of the same.
Definition of children and child labor
 Children - refers to persons below
eighteen (18) years of age or those over
but are unable to fully take care of
themselves or protect themselves from
abuse, neglect, cruelty, exploitation or
discrimination because of a physical or
mental disability/condition. (Section 3)
 Child labor - refers to the illegal
employment of children below the age
of fifteen (15), where they are not
directly under the sole responsibility of
their parents or legal guardian, or the
latter employs other workers apart from
their children, who are not members of
their families, or their work endangers
their life, safety, health and morals or
impairs their normal development
including schooling. This also extends
to the situation of children below the age
of eighteen (18) who are employed in
hazardous occupations.
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
Sec. 12. Employment of Children - Children below
fifteen (15) years of age shall not be employed
except
(1) When a child works directly under the sole
responsibility of his/her parents or legal guardian
and where only members of his/her family are
employed: Provided, however, That his/her
employment neither endangers his/her life, safety,
health, and morals, nor impairs his/her normal
development: Provided, further, That the parent or
legal guardian shall provide the said child with the
prescribed primary and/or secondary education; or
(2) Where a child's employment or participation in
public entertainment or information through cinema,
theater, radio, television or other forms of media is
essential: Provided, That the employment contract
is concluded by the child's parents or legal guardian,
with the express agreement of the child concerned,
if possible, and the approval of the Department of
Labor and Employment: Provided, further, That the
following requirements in all instances are strictly
complied with:
(a) The employer shall ensure the protection, health,
safety, morals and normal development of the child;
(b) The employer shall institute measures to prevent
the child's exploitation or discrimination taking into
account the system and level of remuneration, and
the duration and arrangement of working time; and
(c) The employer shall formulate and implement,
subject to the approval and supervision of
competent authorities, a continuing program for
training and skills acquisition of the child. "In the
above-exceptional cases where any such child may
be employed, the employer shall first secure, before
engaging such child, a work permit from the
Department of Labor and Employment which shall
ensure observance of the above requirements.
For purposes of this Article, the term "child" shall
apply to a child eighteen (18) years of age.
Working child
Child refers to any person less than 18 years of
age.
Working Child --
A) when the child is below 18 in work or
economic activity that is not a child labor
B) when the child below 15:
1) in a work where he is under the
responsibility of his parents/guardian
and where only members of the family
of the child are employed; or
2) in public entertainment or information
which refers to artistic, literary and
cultural performances, etc.
Prohibition on the employment of children
below 15, exceptions and conditions, General
rule; No child below 15 shall be employed,
permitted or suffered to work
Exceptions:
1) when the work under the responsibility of his
parents/guardians provided only members of the
family are employed;
2) when the child's employment or participation in
public entertainment or information is essential,
regardless of the extent of the child's role, Such
employment shall be strictly under the following
conditions (Dept, Order No, 65-04):
A) total number of hours worked shall
be in accordance with the Rules
B) does not endanger the child's life,
safety, health and morals, nor
impair the child's normal
development
C) the child is provided with at least
the mandatory and secondary
education
D) the employer secure work permit
for the child
Hours of Work of a Working Child
(1) A child below fifteen (15) years of age may be
allowed to work for not more than twenty (20) hours
a week: Provided, That the work shall not be more
than four (4) hours at any given day;
(2) A child fifteen (15) years of age but below
eighteen (18) shall not be allowed to work for more
than eight (8) hours a day, and in no case beyond
forty (40) hours a week;
(3) No child below fifteen (15) years of age shall be
allowed to work between eight o'clock in the
evening and six o'clock in the morning of the
following day and no child fifteen (15) years of age
but below eighteen (18) shall be allowed to work
between ten o'clock in the evening and six o'clock in
the morning of the following day."
Children are allowed to undertake work under
certain conditions
Children are allowed to undertake work under
certain conditions.
 A child below 15 years old can be
permitted to work if he/she is under
supervision by family senior/ parents
provided that the child works directly
under the sole responsibility of his/her
parents or legal guardian and where
only members of his/her family are
employed.
 The child's employment does not
endangers his/her life, safety, health,
and morals, or impairs his/her normal
development.
 The parent or legal guardian shall
provide the said child with the
prescribed primary and/or secondary
education.
 The employer first secures a work
permit for the child from the Department
of Labor and Employment (DOLE).
Children aged 15 to below 18 years of age are
permitted to work in any economic activity not
considered child labor, but not more than (8) hours
a day and in no case beyond forty (40) hours per
week. A child shall not be allowed to work between
10:00 P.M. and 6 following day, and employer
should provide the child -- at least elementary and
secondary education.
Hazardous work
 Chemical - work involves exposure to:
Dust (e.g. silica, dust, standing dust),
Liquid (e.g. oil, gasoline, mercury), Mist,
fumes, or vapors (e.g. paint,
insecticides or pesticide spraying), Gas
(e.g. oxygen, ammonia), etc.
 Physical - work involves exposure to:
Noise, Temperature or humidity,
Pressure, Inadequate illumination or
lighting, Slip, trip, or fall hazards,
Insufficient exit for prompt escape,
Congested lay-out Radiation, ultraviolet,
or microwave, etc.
 Biological - work involves exposure to:
Viral, Bacterial, Fungal, Parasitic (e.g.
drinking water affected with amoeba),
etc
Income of the child
Sec. 12-B. Ownership, Usage and
Administration of the Working Child's Income. -
The wages, salaries, earnings and other income of
the working child shall belong to him/her in
ownership and shall be set aside primarily for
his/her support, education or skills acquisition and
secondarily to the collective needs of the family:
Provided, That not more than twenty percent (20%)
of the child's income may be used for the collective
needs of the family.
"The income of the working child and/or the
property acquired through the work of the child shall
be administered by both parents. In the absence or
incapacity of either of the parents, the other parent
shall administer the same. In case both parents are
absent or incapacitated, the order of preference on
parental authority as provided for under the Family
Code shall apply.
Sec. 12-D. Prohibition Against Worst Forms of
Child Labor. - No child shall be engaged in the
worst forms of child labor. The phrase "worst forms
of child labor" shall refer to any of the following:
"d) Involves the use of dangerous machinery,
equipment and tools such as power-driven or
explosive power- actuated tools; or
"e) Exposes the child to physical danger such as,
but not limited to the dangerous feats of balancing,
physical strength or contortion, or which requires
the manual transport of heavy loads; or
"f) Is performed in an unhealthy environment
exposing the child to hazardous working conditions,
elements substances, co-agents or processes
involv radiation, fire, flammable substance
components and the like, or to extreme noise levels,
or vibrations; or xxx
Children in advertisement
Section 5. Section 14 of the same Act is hereby
amended to read as follows:
"Sec. 14. Prohibition on the Employment of
Children in Certain Advertisements. - No child
shall be employed as a model in any advertisement
directly or indirectly promoting alcoholic beverages,
intoxicating drinks, tobacco and its byproducts,
gambling or any form of violence or pornography.”
Sec. 12-C. Trust Fund to Preserve Part of the
Working Child's Income. - The parent or legal
guardian of a working child below eighteen (18)
years of age shall set up a trust fund for at least
thirty percent (30%) of the earnings of the child
whose wages and salaries from work and other
income amount to at least two hundred thousand
pesos (P200,000.00) annually, for which he/she
shall render a semi-annual accounting of the fund to
the Department of Labor and Employment, in
compliance with the provisions of this Act. The child
shall have full control over the trust fund upon
reaching the age of majority.
TRAINING AND EMPLOYMENT OF SPECIAL
WORKERS
REQUISITES FOR EMPLOYMENT OF
APPRENTICES
 Employer is engaged in a business that is
considered highly technical industry - one
that utilizes the application of advanced
technology
 ApprenticeMUST WORK apprenticeable
occupation
 Labor Code says 14 YEARS OLD (ART. 59)
 But RA 7610 as amended by RA 7658
 Explicitly prohibits employment
of children below 15 years of
age
CASE: NITTO ENTERPRISES V. NLRC
 Apprenticeship Agreement must first be
approved by TESDA before the apprentice
starts to work otherwise he shall be
considered as regular employee and as
such, entitled to all the rights and privileges
appurtenant thereto.
 No valid agreement
 The worker is considered a regular
employee and entitled to all rights and
benefits as such
 He is entitled to security of tenure as a
regular employee
LEARNERS
 Art. 73 - DEFINITION OF LEARNERS
 Learners are persons
 Hired as trainees in semi-skilled and
other industrial occupations
 Which are non-apprenticeable and
which may be learned through
practical training on the job
 In a relatively short period of time
 Which shall not exceed 3 months
 Art. 74 - WHEN LEARNERS MAY BE
HIRED
 Learners may be employed when no
experiences workers are available
 The employment of learners is
necessary to prevent curtailment of
employment opportunities, and
LABOR LAW 1 TRANSCRIPTION - MIDTERM
SUICO and CAUBANG
 The employment does not create
unfair competition in terms of labor
costs or impair lower working
standards
 The stipulated period through no fault of the
learners
 The learnership agreement shall be subject
to inspection by the
 Secretary of Labor and Employment
or
 His duly authorized representative
 ART. 75 - CONTENTS OF LEARNERSHIP
AGREEMENT
 The names and addresses of the
learners
 The duration of the learnership period,
which shall not exceed 3 months
 The wages/salary rates of the learners
which shall begin at not less than 75%
of the applicable minimum wage
 Commiment to employ the learners if
they so desire, as regular employees
upon completion of the learnership
 All learners who have been
allowed or suffered to work
during the first 2 months shall
be deemed regular
employees if training is
terminated by the employer
before the end of the stipulated
period through no fault of the
learners
DIFFERENCE BETWEEN APPRENTICESHIP
AND LEARNERSHIP
Read zucena Book
FROM TESDA
 Apprenticeship Program is a training and
employment program involving a contract
between an apprentice and an employer on
an approved apprenticeable occupation.
Generally, it aims to provide a mechanism
that will ensure availability of qualified skilled
workers based on industry requirements.
The period of apprenticeship covers a
minimum of four months and a maximum of
six months. Only companies with approved
and registered apprenticeship programs
under TESDA can be hire apprentices.
 Objectives:
1. To help meet the demand of the
economy for trained manpower;
2. To establish a national
apprenticeship program through the
participation of employers, workers
and government and non-government
agencies; and
3. To establish apprenticeship
standards for the protection of
apprentices.
 Learnership Program is a practical training
on-the-job for approved learnable
occupations, for a period not exceeding three
months. Only companies with TESDA
approved and registered learnership
programs can hire learners.
HANDICAPPED WORKERS
ART. 78
 Handicapped workers are those whose
earning capacity is impaired by age or
physical or mental deficiency or injury
ART. 80 - EMPLOYMENT AGREEMENT
 Any employer who employs handicapped
workers shall enter into an employment
agreement with them, which agreement shall
include:
A. The names and addresses of the
handicapped workers to be employed
B. The rate to be paid the handicapped
workers which shall be not less than 75% of
the applicable legal minimum wage
C. The duration of employment period
D. The work to be performed by
handicapped workers
 The employment agreement shall be subject
to inspection by the Secretary of Labor and
Employment or his duly authorized
representatives
MAGNA CARTA FOR DISABLED PERSONS
RA 7277 - An Act Providing for the
Rehabilitation, Self-Development and
Self-Reliance of Disabled Person and Their
Integration into the Mainstream of Society and
for Other Purposes
A. Disabled Persons:
 Those suffering from restriction of
different abilities, as a result of a
mental, physical or sensort
impairment, to perform an activity in
the manner or within the range
considered normal for a human being
B. Disability: Shall mean
a) Physical or mental impairment that
substantially limits one or more
psychological, physiological or
anatomical function of an individual or
activities of such individual
b) A record of such an impairment
c) Being regarded as having such an
impairment
C. Handicap:
 Refers to a disadvantage for a given
individual resulting from an
impairment or a disability that limits or
prevents the functioning of an activity,
that is considered normal given the
age and sex of the individual
Section 5 - EQUAL OPPORTUNITY FOR
EMPLOYMENT
 No disabled persons shall be denied
access to opportunities for suitable
employment
 A qualified disabled employee shall be
subject to the same terms and
conditions of employment and the
same
 Compensation
 Privileges
 Benefits
 Fringe benefits
 Incentives or allowances
As a qualified able-bodied person
 The 5% of all casual, emergency and
contractual positions in the DSWD
and Development, Health, Education,
Culture and Sports, and other
government agencies, offices or
corporations engaged in social
development shall be reserved for
disabled persons
OPPORTUNITIES AND NO DISCRIMINATION
SECTION 7 - APPRENTICSHIP
 Subject to the provision of the Labor Code as
amended
 Disabled persons shall be eligible as
apprentices or learners
 PROVIDED, that their handicap is not much
as to effectively impede the performance
of job operations in the particular
occupation for which they are hired
 PROVIDED FURTHER, that after the laps of
the period of apprenticeship, if found
satisfactory in the job performance, they
shall be eligible for employment
SECTION 32 - DISCRIMINATION ON
EMPLOYMENT
 No entity, whether public or private, shall
discriminate against a qualified disables
person by reson of disability in regard to
 Job application procedures
 Hiring
 Promotion
 Discharge of employees
 Employee compensation
 Job training
 Other terms, conditions, and
privileges of employment
 Dismissing or terminating the services of a
disabled employee by reason of his
disability unless the employer can prove
that he impairs the satisfactory
performance of the person involved to the
prejudice of the business entities
 PROVIDED HOWEVER, that the
employment sought provide reasonable
accommodations for disabled persons
SAME TERMS AND CONDITIONS TO QUALIFIED
DISABLED PERSONS
CASE: BERNARDO ET AL VS. NLRC
The Magna Carta for Disabled Persons mandates
 That qualified disabled persons be granted
the same terms and conditions of
employment as qualified able-bodied
employees.
 Once they have attained the status of regular
workers, they should be accorded all the
benefits granted by law, notwithstanding
written or verbal contracts to the contrary
 This treatmen is rooted not merely on charity
or accommodation, but on JUSTICE FOR
ALL
FACTS:
 43 complainants are deaf-mutes who were
hired on various periods from 1988 to 1994
by Far East Bank and Trust Co as Money
Sorters and Counters through a uniformly
worded agreement called Employment
Contract for Handicapped Workers
 Discaliming that complainants were regular
employees, the Bank maintained that they
are special class of workers
 Hearing-impaired employees
 Hired temporarily under a special
employment arrangement
 Out of an overtures made by some
civic and political personalities to the
respondent Bank
RULING
 At the outset, let it be known that this Court
appreciates the nobility of private
respondent’s effort to provide employment to
physically impaired individuals and to make
them more productive members of society.
 However, we cannot allow it to elude the
legal consequences of that effort, simply
because it noe deems their employment
irrelevant
 The facts, viewed in light of the Labore Code
and the Magna Carta for Disabled Persosn,
indubitably show that the petitioners should
be deemed regular employers
 The fact that the employees were qualified
diables persons necessarily removes the
employment contracts from the ambit of
Article 80
 Since the Magna Carta accords them the
rights of qualifed able-bodied persons, they
are thus covered by ARTICLE 280 OF THE
LABOR CODE
 The primary standard of determining
regular employment is the reasonable
connection between the particular activity
performed by the employee in relation the
usual trade or business of the employer
 The TEST is whether the former is
usually necessary or desirable in the
usual business or trade of the
employer
 The connection can be determined by
considering the nature or the work
performed and its relation to the
scheme of the particular business or
trade in its entirety.
 Without a doubt, the task of counting and
sorting bills is necessary and desirable to the
business and trade of the respondent Bank.
 With the exception of 16 of them, petitioners
performed these tasks for several months.