ATENEO CENTRAL BAR OPERATIONS 2007 Labor Law and Social Legislation SUMMER REVIE WER Head: Labor

Standards: Labor Relations: Ryan Quan Kukay Malabanan Peewee Estrella Socail Legislation: Binkki Hipolito Understudy: Volunteers: Kate Sabado Aren Sam onte, Vina Padilla, Ria Campos, Ina Quintanilla, Athena Zosa TABLE OF CONTENTS LABOR STANDARDS I. GENERAL PRINCIPLES......................... ................................................................................ ............ 1 A. ARTICLE 3: Declaration of Basic Policies B. ARTICLE 4: Constru ction in Favor of Labor C. ARTICLE 5: Rules and Regulations D. ARTICLE 6: Applic ability of Labor Code II. EMPLOYER – EMPLOYEE RELATIONSHIP ....................... .................................................. 2 A. Elements of Relationship B. Independent Contractors and Labor-Only Contractors C. Special Cases III. PRE – EMPLOYMENT..................................................................... ........................................ 6 A. Principles and Definitions B. Recr uitment and Placement TIFF (Uncompressed) decompressor 1. Definition: to see this picture. Illegal Rec ruitment; Prohibited Acts are needed QuickTime™ and a 2. Regulation of Recruitment and Placement 3. 4. Contracts Dispute Settlements C. Employment of Aliens D. Human Resources and Manpower Development 1. Governmen t Machinery

Labor Law and Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 2 007 2. Apprenticeship and Learnership IV. WORKING CONDITIONS ....................... ............................................................................... 13 A. Coverage B. Hours of Work C. Rest Periods and Holidays D. Service Charge a nd Service Incentive Leaves E. Others V. WAGES.................................. ................................................................................ ................ 20 A. Concept and Definition B. Wage – Fixing C. Payment of Wages D. Liability for Wages VI. WORKING CONDITIONS FOR SPECIAL GROUPS OF EMPLOYEES . .............................. 26 A. Women B. Minors C. Househelpers D. Homework ers E. Handicapped/Disabled VII. ADMINISTRATION AND EMPLOYMENT ................. ............................................................ 30 A. ARTICLE 128: Visitorial and Enforcement Powers B. Power of DOLE Secretary VIII. MEDICAL, DENT AL AND OCCUPATIONAL SAFETY ..................................................... ... 31 IX. EMPLOYEE’S COMPENSATION………….. ................................................. ........................ 31 A. Workmen’s Compensation

LABOR RELATIONS I. RIGHT TO SELF – ORGANIZATION………………………..................................... ........ 35 A. Conceptare needed to see this picture. and Scope……………...................... ..................................................................... 35 1. ARTI CLE 243: Coverage and E,mployee’s Right to Self-Organization 2. ARTICLE 246: Non-A bridgment of Right to Self-Organization B. Labor Organization………. .................... .............................................................................. 3 5 1. Definition and Types 2. Registration of Labor Organizations QuickTime™ and a TIFF (Uncompressed) decompressor

Labor Law and Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 2 007 i. Requirements for Registration See ANNEX A ii. Requirements in Case of Merger/ Consolidation See ANNEX B iii. Procedure for Registration of labor Organization See ANNEX C 3. Cancellation of Registration i. Procedure for Cancellation of Reg istration See ANNEX D 4. Rights of Labor Organization ii. iii. ARTICLE 242: Righ ts of Legitimate Labor Organizations ARTICLE 277: Miscellaneous Provisions

C, Special Groups of Employees………………… ....................................................... ............ 37 1. Manegerial and Supervisory Employees 2. Confidential Employee s 3. Security Guards 4. Members of Cooperatives 5. Members of Iglesia ni Kristo 6. Government Employees i. ii. ARTICLE 244: Rights of Employees in the Public Se rvice ARTICLE 276: Government Employees

7. Employees of International Organizations D. Acquisition and Retention of Memb ership; Union Security Agreements………………........ 39 1. ARTICLE 277: Miscellaneous Provisions 2. ARTICLE 248: Unfair Labor Practice of Employers E. Membership; Rights of Memb ers………………….. ............................................................. 40 1. ARTICLE 241: Rights and Conditions of Membership in a Labor Organization 2. ARTICLE 274: Visi torial Powers are needed to 222: Appearances and Fees 3. ARTICLE see this picture. QuickTime™ an d a TIFF (Uncompressed) decompressor 4. Rights of Union Members i. ii. iii. iv. Political Right Deliberative and Deci sion-Making Right Right Over Money Matters Right to Information

.. 51 A.................... ..... Relief in ULP Cases…………... Elements of Unfair labor Practice………………….................... ……51 1................................. 54 1............ Check-Offs and Assessments II........... Collective Bargaining Agreement 2............... Duty to Bargain Collectively ………............. 43 1...... Bargai ning Procedure under the Labor Code See ANNEX G 3...... 49 E....... Featherbedding and Make-Work Arrangements III...................................... . ........................ Violation of the CBA D. RIGHT TO COLLECTIVE BARGAI NING ......... Bargaining Agent and Cer tification Election Proceedings .................... Violation of the Duty to Barg ain Collectively are needed to see of Collective Bargaining Agreement 4.. 50 1.... QuickTime™ and a TIFF (Uncompressed) decompressor 5.. ............. Violation of the Duty to Bargain 8............. Elections Under Rule 12 of t he Implementing Rules and Regulations See ANNEX F 6............... ARTICLE 248: Unfair Labor Practice of E mployers………………… ....... Discrimin ation Because of Testimony 7........................ Rules on Effectivity and Retroactivity of New CBA B........................ Procedure for Petit ion for Certification Election ......... Paid Negotiati on 9.... 42 C...... Refusal to Barg ain 3................. UNFAIR LABOR PRACTICES………………………………….. .............. Contracting Out 4........ Other Rights and Conditions Under Article 241 5...... Company Domination of Union 5.................. Certification Election i................ ARTICLE 249: U nfair labor Practices of labor Organization .................. Concept of Unfair Labor Practice ..................... ........ . ....... Interference 2................. Yellow Dog Contract 3........ Voluntary Recognition 2. 42 B. Discrimination 6....Labor Law and Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 2 007 v... Restraint or Coercion of labor Organization 2.................................. Registration this pictur e........... 42 A......

Labor Law and Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 2 007 See ANNEX H ii....................... ....... Security of Tenure………………….................. Fixed-Term Employment 4........ LOCKOUTS AND CONCERTED ACTIONS........ Project Employment 5.. .......... Casual Employment 3...... Negotiation Bar 4............... Autho rized Causes..................................... 59 1. .......................................... ......... .......................... 61 C... Regular......... 67 1.............. Strike……………....... ..................................................................... 63 F...... Notice of Strike or Lockout………………… ....... Deadlock Bar 3............... . 61 B............ 61 A........................ 6.. .......... ... Injunction…………….... Contract Bar 2.......................... Casual....... Grievance and Voluntary A rbitration………….. Powers of the President Under Article 2 63 (g)………...... 64 V................................................... ...................................................... ARTICLE 279: Security of Tenure C. Pro cedure in Handling Grievances See ANNEX J E.... Probationary Employment…………………… ...... ... ARTICLE 283: Authorized Cause s for Termination ...... 65 A............................................ .………59 1................ ................................... ..... ........................................................ Administration If Agreement. Procedure for Conduct of Certification Election See ANNEX I C............. POST – EMPLOYM ENT ....... Prohibited Activities During Strik e or Lockouts………………........ 67 1................................................... ARTIC LE 282: Just Causes for Termination by Employer 2... 63 E...................................... Constructive Dismissal………… ........ Labor Management Cooperation Scheme s. Lockout…………….... Just Causes........ STRIKES......................... Establishments of Grievance Machinery 2... Certi fication Year Rule Bar D.................. 62 D................ Assumption of Jurisdiction by DOLE Secretary………… ..... 65 1........ Regular Employment 2............ 63 G...................... Probationary Employment are needed to see this picture... 61 IV ................... Seasonal Employment QuickTime™ and a TIFF (Unco mpressed) decompressor B............................ B ars to Certification Election……… ................................ ......................

.............................. Constructive Dismissal 4.......... .... 74 C......... DISPUTE SETTLEMENT........Labor Law and Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 2 007 3.......... Retirement……………… .............. 72 A......................................... Med-Arb iters/BLR 5................................ ARTICLE 277 (b): Miscellane ous Provisions E...................................... 75 1............................................ Appeal of Voluntary Arbitrator’s Decision 4........................... 72 1.............. . Due Process………….. Appeal of Regional Director’s Decision Under Article 129 VII.. A RTICLE 285: Termination by Employee 6... DOLE Regional Directors 7.. PENAL PRO VISIONS AND LIABILITIES .... ............ Bureau of Labor Relations 2...................... ................................. ........ NCMB See ANNEX L B....... ... Reliefs for Illegal Dismissal………………...................................... ................ ARTICLE 284: Disease as Ground for Termination 5.................... ART ICLE 287: Retirement VI....... Procedure……………. .. ............................. 72 1....................... .......... 70 1........................... Appeal Involv ing Monetary Award 3..... Jurisdi ction of the Different Agencies…………….......... ......... Appeal…………………………........ NLRC 4...... Appeal of LA’s Decision 2... 71 F......... Appeal of BLR’s D ecision 5........................... .......................... ... POEA 6...... 77 QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture................. Labor Arbiters 3..................................................... ARTICLE 286: When Employment Not Deemed T erminated D...........

Labor Law and Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 2 007 SOCIAL LEGISLATION I............................. 7875).............. 180..................................A.. ................ EXECUTIVE ORDER NO......................................... THIRTEENTH – MONTH PAY (P........ ANTI-SEXUAL HARASSMENT ACT OF 1995 (RA 7877)..... .. SALIE NT PROVISIONS OF THE SSS LAW AND GSIS LAW See ANNEX O V...................... ...............D.. .............. 78 III................................... 78 II...... 80 QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture...... 79 IV......... NATIONAL HEALTH INSURAN CE ACT OF 1995 (R.... 851)................

or extra-constitutionally. Social Legislation : Binkki Hipolito— . rights and duties. thru the exer cise of powers underlying the existence of all governments. 3. conditions. to engage in peaceful concerted activities. 4. employers As sure worker’s rights to self-organization. Labor Standards: Kukay Malabanan. according to his own discretion and judgment. tools to be used. on the time honored principle of salus populi esta suprema lex (Calalang v. to r eceive a living wage 7. Understudy: Kate Sabado. v. Declaration of basic policy Afford prote ction to labor Promote full employment Ensure equal work opportunities regardles s of sex. Marlon J. to work under humane conditions 6. The ma ndate is simply to resolve doubt in favor of labor. as well as the institutional mechanism s that govern the individual and collective interactions between employers.ATENEO CENTRAL BAR OPERATIONS 2007 Labor Law & Social Legislation SUMMER REVIEWE R LABOR STANDARDS I. When the subject matter is covered by th e Labor Code. [Eastern Shipping Lines v. constitutionally. —Adviser: Atty. The employer’s act will be sustained when it is in the right. Head: Ryan Quan. dismissal and recall of workers Capitol Med ical Center. or creed QuickTime™ and a Regulate the relations between workers a nd TIFF (Uncompressed) decompressor are needed to see this picture. Social Legislation – the promotion of the welfare of all the people. GENERAL PRINCIPLES Labor Code – principal labor law of the country. Art. to conduct collective bargainin g or negotiation with management 3. POEA. including strike in accordance wi th law 4. Constructi on in favor of labor When the interest of labor and capital collide. But protection to labor does not mean o ppression or destruction of capital. thru the ad option of measures legally justifiable. the adoption by the government of measures calculated to insure economic stability of all the component element s of society thru the maintenance of proper economic and social equilibrium in t he interrelations of the members of the community. security of tenu re. place and manner of work. If there is no doubt in impl ementing and interpreting the law. supervis ion of workers. But even no w. including hiring. Manuel. 166 SCRA 523 (1998)] Court dec isions adopt a liberal approach that favors the exercise of labor rights. la y-off of workers and the discipline. an employer is free to regulate. race. all aspects of employment. Labor Relations: Peewee Estrella. right to organize 2. Management Rights / Prerogative – except as limited by special laws. transfer of employees. work supervision. even if the question involves Rules of Evidence. and just and humane conditions of work Seven basic rights of workers guarant eed by the Constitution: 1. and not for the purpose of defeating or circumventing the rights of the empl oyees under special laws or valid agreements. labor will enjoy no built-in advantage and th e law will have to be applied as it is. processes to be followed. Inc. doubts which involve implementation and interpretation of labor la ws should be resolved in favor of labor. there are Labor Laws that are not found in the Labor Code. collective bargaining. working regulations. and benefits of employment that employers must provide or comply w ith and to which employees are entitled as a matter of legal right Labor Relatio ns – defines the status. Williams. working methods. time . work assignments. 02 December 19 40) Social Justice – humanization of laws and the equalization of social and econo mic forces by the State so that justice in its rational and objective secular co nception may at least be approximated Labor Standards – sets out the minimum terms . to enjoy security of tenure 5. the courts will uphold them. empl oyees and their representatives Art. Meris (16 September 2005) As long as the company’s exercise o f the same is exercised in good faith for the advancement of the employer’s intere st. the heavier influence of capital should be counterbalanced with the sympathy and compassion of law for the less privileged workers. to participate in policy and decision-making processes a ffecting their rights and benefits as may be provided by law.

Philippine Blooming Mills. PAL v. there is no EER) B. control over the MEANS throug h which the work is accomplished. [Ruga v. 1 19930. 181 SCRA 266 (1990)] Selection and engagement of the workers rests with the employers Not a conclusiv e test since it can be avoided by the use of subcontracting agreements or other contracts other than employment contracts 3. of bo ard. express or implied [Ruga v. Art. of peaceful assembly and of petition for redress of grievances over property right s has been sustained. which is payable by an employer to an employee under a written or unwritten contract of employment for work done or to be done. GR No. V. capable of being expre ssed in terms of money.. however designated. whether agricultural or nonagricultural . 12 March 1998 The employment status of a person is defined and prescribed by law and not by what the parties say it should be. N LRC. (most essential element. 97 of the Labor Code. payment of PAG-IBIG Fund contributions 2. "wage" shall mean "however designat ed. piece or c ommission basis. and includ ed the fair and reasonable value.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Philippine Blooming Mills Employees Association v. commission does not militate against the conclusion EER exists. Hiring – employment relation arise s from contract of hire. task. it suffices that Page 2 of 83 Art. L-31195. NLRC. v. whether fixed or ascertained o n a time. Algon Engineering Construc tion Corp. NLRC. NLRC. payment / remittance of contributio ns to the State Insurance Fund 3.119930. 12 March 1998) . Ltd. not only over the end p roduct / RESULT of the work. Rules and regulations Department of Labor and Employment (DOLE) Lead age ncy in enforcing labor laws and it possesses rule-making power in the enforcemen t of the Code But a rule or regulation that exceeds the Department’s rule-making a uthority is void. Economic Relations Test – a subordinate / alternative test. 181 SCRA 266 (1990)] 2. In treating the latter. or other facilities customarily furnished by the employer to the e mployee. Existing ec onomic conditions between the parties are used to determine whether EER exists. NLRC. or other method of calculating the same. deduction of withholding tax 4. Wages are defined as remuneration or earnings. 05 June 1973 The primacy of human rights – freedom of expression. 5.. All that is necessary is to show that the employer is capable of exercising control over the employee. 06 October 1997 No particular evidence is requ ired to prove the existence of an EER. Applies to a government corporation incorporated under the Corporation Code II. Payment of Wages QuickT ime™ and a payment TIFF (Uncompressed) decompressor by way of of compensation are needed to see this picture. Firing – disciplinary power exercised by employer over the worker and the corresponding sanction imposed in case of v iolation of any of its rules and regulations 4. GR No. management should see to it that its employee s are at least properly informed of its decisions and modes of action. GR No. except as otherwise provided by law. as determined by the Secretary of Labor. GR No. capable of being expressed in terms of money. ELEMENTS OF RELATIONSHIP Jurisprudent ial Tests to Determine Existence of EER: A. The employer has the ability (need n ot be actual) to exercise control over the following: 1. Applicability of Labor Code Applies alike to all worke rs. Control. v. but more importantly. GR No. lodging. Ltd. price or commission basis…" (Insular Life Assurance Co. deduction / re mittance of SSS contributions Insular Life Assurance Co. 83402. without it. In labor disputes. or for services rendered or to be rendered. 6. 1. task. EMPLOYER –EMPLOYEE RELATIONSHIP (EER) A. A line must be drawn between management preroga tives regarding business operations per se and those which affect the rights of employees. 85985 (1993) The exercise of managemen t prerogatives is not unlimited. Under Art. whether fixed or ascertained on a time. NLRC.

114733. the fact that private respondent was bound by company policies. The all that glittersa is are needed to was required t o solicit fact that private respondentsee this picture.e. Under Memo Circulars No. GR No.." Dy Keh Beng v. (a) the selection and engagement of the employee. International Labor. this too cannot be held as indicative of the exercise of control over an employe e. B. Thus. L32245. v. and in turn is compensated accor ding to the result of his efforts and not the amount thereof. 118892. Inc. tools or equipment directly or intended to be related to the job contracted ca rries an independent business different from the employer’s undertakes to perform the job under its own account and responsibility. the exclusivity restrict ion clearly springs from a regulation issued by the Insurance Commission.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 there be a causal connection between the claim asserted and the EER. NLRC. FREE from the principal’s contro l NO EER except when the contractor or subcontractor fails to pay the employees’ w ages. Ruga v." and that is whether th e employer controls or has reserved the right to control the employee not only a s to the result of the work to be done but also as to the means and methods by w hich the same is to be accomplished. 181 SCRA 266 (1990) The employer-employee relationship between the crew member s and the owners of the fishing vessels engaged in deep-sea fishing is merely su spended during the time the vessels are drydocked or undergoing repairs or being loaded with the necessary provisions for the next fishing trip. 28 January 1997 QuickTime™ and However. (c) the power of dismissal. not every form of control that a party reserves to himself over the conduct of the other party in relation to the services being rendered may be acc orded the effect of establishing an employer-employee relationship. not the actual exercise of the right. nor does it nec essarily imbue such relationship with the quality of control envisioned by the l aw. an EER e xists where the person for whom the services are performed reserves the right to control no only the end to be achieved but also the means to be used in reachin g such end. With regard to the territorial assignments given to sales agents. not TIFF (Uncompress ed) decompressor control. we should not find that the relationship of employeremployee exists. The said ruling is premised on the principle that all these activities i. GR No. four elements constitute the reliable yardstick (fo urfold test). 102199. Aur ora Land Projects Corp. AFP Mutual Benefit Association v. 2-81 and 2-85 issued by the Insurance Commissioner. insurance agents are barred from serving more than one insurance company. business exclusively for petitioner could hardly be considered as control in labor jurisprudence. loading of necessary provisions. This feature is not mea nt to change the nature of the relationship between the parties. memo /circulars. NLRC. rules and regulations issued from time to time is also not indicativ e of control. in order to pro tect the public and to enable insurance companies to exercise exclusive supervis ion over their agents in their solicitation work. form part of the regular operation of the compa ny fishing business. Further. v. INDEPENDENT CONTRACTORS AND LABOR-ONLY CONTRACTORS Indep endent Contractors has sufficient substantial capital OR investment in machinery . 11 Marc h 1998 There could be no EER where "the element of control is absent. It is the so-called "control test. So too. GR No. and no t from an intention by petitioner to establish control over the method and manne r by which private respondent shall accomplish his work. (b) the payment of wages. and (d) the employer s power to control th e employee s conduct. where a pe rson who works for another does so more or less at his own pleasure and is not s ubject to definite hours or conditions of work. Labor – Only Contractors has NO substantial capital OR investment in the for m of machinery. drydock. 25 May 1979 It should be borne in mind that the control t est calls merely for the existence of the right to control the manner of doing t he work. Control of the employee s conduct is commonly regarded as the most crucial and determinativ e indicator of the presence or absence of an employer-employee relationship. NLRC . NLRC. which constitute the most important index o f the existence of the employer-employee relationship Stated otherwise. repairs. 02 January 1997 Whenever the exi stence of EER is in dispute. tools or equipment       . Filipinas Broadcasting Network. GR No.

has no independent business performs activities directly related to the main bus iness of the principal Principal treated as direct employer of the person recrui ted in all instances (contractor is deemed Page 3 of 83 .

fail to pay the same Civil liability of employer and contractors – Every employer or indirect employer shall be jointly and severally liable with his contractor or sub-contractor for the un paid wages of the employees of the latter. then the person is a labor-only cont ractor. and other materials which a re necessary in the conduct of his QuickTime™ and a business. machineries. equipment. the person is a labor-only contractor. machiner ies and work premises. The employees recruited. fail t o pay the same Liability of the principal to the employee in cases of illegal di smissal Page 4 of 83 PROHIBITED Contracting or subcontracting – an arrangement whereby a principal agrees to put o ut or farm out with a contractor or subcontractor the performance or completion of a specific job. supplied or pla ced by such contractor or subcontractor are performing activities which are dire ctly related to the main business of the principal. b. work or service within a definite or predetermined period. The contractor carries on an independent business. not all requisites of a laboronly contractor need to be present. On the other hand. to determine not only the end to be achieved. Right to Control – right reserved to the person for whom the services of the con tractual workers are performed. free from the control and direction of his employer or principal in all matters connected with the performance of the work except as to the resul ts thereof. As long as any one of the elements is present. The contractor does no t exercise the right to control over the performance of the work of the contract ual employee. actually and directly used by the contractor or subcontra ctor in the performance or completion of the job. and c. PERMISSIBLE agent of the principal) Principal’s liabil ity extends to all rights. Absent one of the ele ments for being a job contractor. service or work to a contractor or subcontractor Permissible Job Contracting. work or service pursuant to an arrangement between the latter and a principal Principal – any employer who puts out or farms out a job. The contractor has substantial capital or investment in the f orm of tools. on condition that the bond will answer for the wages due the employees should the contractor or subcontractor. or 3. re gardless of whether such job. equipment. as the case may be. Substantial capital or investment – capital stocks and subscribed ca pitalization in the case of corporations. duties and liabilities under labor standard laws incl uding the right to self-organization 2.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 LIMITED liability (principal solidarily liable with contractor or subcontractor only when latter fails to comply with requirements as to unpaid wages and other labor standards violations. as the case may be. work or service is to be performed or completed wi thin or outside the premises of the principal Contractor or subcontractor – any pe rson or entity engaged in a legitimate contracting or subcontracting arrangement Contractual employee – one employed by a contractor or subcontractor to perform o r complete a job. work premises. work or service contracted out . Otherwise. Undertakes the contrac t work on his own account under his own responsibility according to his own mann er and method. If ALL elements of a job contractor are present. he is a labor-only contractor. Such employer or indirect employer ma y require the contractor or sub-contractor to furnish a bond equal to the cost o f labor under contract on condition that the bond will answer for the wages due the employees should the contractor or subcontractor. then he is a job contractor. Conditions a. TIFF (Uncompressed) decompressor are needed to see this picture. Posting of Bond – an employer or indirect employer may require the contrac tor or subcontractor to furnish a bond equal to the cost of labor under contract . implements. Labor-only Contracting – an arrangement where the contractor or subcontractor mere . bu t also the manner and means to be used in reaching that end. tools. The test to determi ne whether one is a job or labor-only contractor is to look into the elements of a job contractor.

work or service to be performed . work or service for a principal. supplies or places workers to perform a job. The contractor or s ubcontractor does not have substantial capital or investment which relates to th e job. and any of the following elements are present: 1.ly recruits.

in any of the fol lowing instances: i. however. requiring the contra ctual employee to perform functions which are currently being performed by the r egular employees of the principal or of the contractor or subcontractor. supplies workers to an employer. Wage differentials only to the extent where the emplo yee performed the work under the principal. a blank payroll. but with the right to reimbursement from the employercontractor 2. v. R ule I. or b. Prohibited Acts (DO 18-02): a. 97008-09. onl y when the principal has some relation to the termination (such as when he consp ired to terminate) (Rosewood Processing Inc. and iii. Contracting out of a job. work or service when not done in good faith and not justified by t he exigencies of the business and the same results in the termination of regular employees and reduction of work hours or reduction or splitting of the bargaini ng unit b. managed or controlled by the principal and which operates solely for the pr incipal e. w here the contracting arrangement falls within the prohibited acts Registration o f Contractors and Subcontractors The registration of contractors and subcontract ors shall be necessary for purposes of establishing an effective labor market in formation and monitoring. In addition to his assigned functions. an employment needed to see this picture. work or service directly related to the bus iness or operation of the principal by reason of a strike or lockout whether act ual or imminent f. Taking undue advantage of the economic situation or lack of bargaining stren gth of the contractual employee. Failure to register shall give rise to the presumption that the contractor is engaged in labor-only contracting. Book V of these Rules. Neri v. as amended Existence of EER – The contractor or subcontractor shall be considered the employe r of the contractual employee for purposes of enforcing the provisions of the La bor Code and other social legislation. or circumventing the provisions of regular employment. 109 makes the principal liable in illegal dismis sal WON there was fault on his part. 109 of the Labor Code. work or service being performed by union members when such will interfere with. restrain or coerce employees in the exercise of their rights to self organization as provided in Art. Joint and several with the employer. unless the latter contract is divisible into phas es for which substantially different skills are required and this is made known to the employee at the time of engagement d. Requiring him to sign a contract fixing the period of employm ent to a term shorter than the term of the contract between the principal and th e contractor or subcontractor. 21 May 1998) NOTE: this ruling is an obiter and made an unjustified interpretation of A rt. 116476-84. and a a precondition to TIFF (Uncompressed) deco mpressor are or continued employment. Contracting out of a job. The principal shall be deeme d the employer of the contractual employee in any of the following cases as decl ared by a competent authority: a. a waiver of labor standards inclu ding minimum wages and social or welfare benefits. contractor or subcontractor from any liability as to payment of futur e claims. or undermining his security of tenure or basic rights. where there is labor-only contracting. Contracting out of a job. 23 July 1993 Page 5 of 83 . The principal. 248 (c) of th e Labor Code. Separation pay and backwages. NLRC. Requiring him to sign. Contracting out of a job. Contracting out of work with a "cabo" as defined in Section 1 (ii). 3. GR Nos. NLRC. or a quitclaim releasing the principal.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 1. QuickTi me™ as ii. including the failure to pay wages. work or service through an in-house agency which re fers to a contractor or subcontractor engaged in the supply of labor which is ow ned. with or without any monetary or other consideration whether in the capacity of an agent of the employer or as an ostensible independent contractor c. Art. shall be solidari ly liable with the contractor in the event of any violation of any provision of the Labor Code. GR Nos. "Cabo" refers to a person or group of persons or t o a labor group which. in the guise of a labor organization. antedated resignation letter.

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Cabansag. 157010. and a tools.e. CA. Several factors to consider to Determine Whether Contractor is c arrying on an independent business: 1. term and duration of the relationship 4. GR No. firing. security and even technical or other specific s ervices) may be considered directly related to the principal business of the emp loyer. this Page 6 of 83   . Lapanday Agricultural Dev’t Corp. The contractor is made liable by virtue of his status as direct employer. including such facilities as may be reasonable and necessary to finish their c hosen courses under such agreement 2. power of empl oyer with hiring. issued on March 8. 21 June 2005 Not eworthy is the fact that respondent likewise applied for and secured an Overseas Employment Certificate from the POEA through the Philippine Embassy in Singapor e. colleges or universities on the other. By sustaining rather than annulling the appeal bond as a furth er protection to the claimant employee. dut y to supply premises. nevertheless. appliances. the students are given real opportunities . This is clear from the use of the conjunction “o r. Every intendment of the law m ust be interpreted in favor of the working class. GR No. SPECIAL CASES 1. PRE-EMPLOYMENT A. then the conjunction “and” should have been used. Even in the absence of an EER. 31 J anuary 2000 It will be seen from the above provisions that the principal (petiti oner) and the contractor (respondent) are jointly and severally liable to the em ployees for their wages. 1999. 02 February 2000) C. PNB v. they are not necessary in the conduct of the principal busi ness of the employer. QuickTime™ TIFF (Uncompressed) deco mpressor materials and laborneeded to see this picture. mode. v. ter ms of payment (Vinoya v. The bonds and the escrow money are intended to i nsure more care on the part of the local agent in its choice of the foreign prin cipal to whom our overseas workers are to be sent. W hile these services (janitorial. on the other hand. right to assign the performance o f specified pieces of work 5. Obviously. The training program is duly accredited or app roved by the appropriate government agency. The joint and several liability of the contractor and t he principal is mandated by the Labor Code to assure compliance with the provisi ons therein including the minimum wage. Under Philippine law. nature and extent of work 2. 112139. A reading there of readily shows that in addition to the cash and surety bonds and the escrow mo ney. equipment and machineries. The Certificate. provided. the law itself establishes one between the principal and the employees of the agenc y for a limited purpose i. declared her a bona fide contract w orker for Singapore. The overseas recruiter is solidarily li able with the foreign employer. this Court affirms once again its commit ment to the interests of labor. against whom there is usually no direct or effective recourse. manner. there is written agreement between them under which the former agree to work for the latter in exchange for the privileg e to study free of charge b. NLRC. conformably to the mandate of the Constitution. 05 August 1996 The POEA Rules are clear. GR No. an appeal bond in an amount equivalent to the monetary award is required to perfect an appeal from a decision of the POEA. are 9. the appeal bond is in tended to further insure the payment of the monetary award in favor of the emplo yee if it is eventually affirmed on appeal to the NLRC. 126286. skill requir ed 3. Overseas recruiters are subject to more stringent requirements because of the special risks to which our workers abroad are subjected by their foreign employers. and payment of wages 7. where: a. control and supervision of worker 6.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 The law does not require both substantial capital and investment in the form of tools. The principal. Working scholars – no EER between students on one hand. GR No. There is a t raining agreement between them b. CA. III. PRINCIPLES AND DEFINITIONS JMM Promotion & Management Inc . and schools. 120095. Resident physicians in training – There is E ER between resident physicians and the training hospital unless: a. control of the premises 8. in order to ensure that the employees are paid the wages due them. is made the indirect employer of the contractor s employees to secure payment of their wages should the contractor be unable to pay them.” If the intention was to require the contractor to prove that he has both capit al and the requisite investment. v.

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To charge or accept. separation from jobs. in cases where the deployment does not actually ta ke place without the worker’s fault 5. This pronouncement is in keeping with the basic public policy of the State to afford protection to labor. Definition: Il legal Recruitment. Whether employed locally or overseas. remittance of foreign exchange earnings. ensure equ al work opportunities regardless of sex. To induce or attempt to induce a worker already employe d to quit his employment in order to offer him to another unless the transfer is designed to 11. transporting. Prohibited Acts Recruitment and Placement – any act of (CETCHUP ) canvassing. race or creed. 6. promising for employment locally or abroad. contracting. contract stipulations to the contrar y notwithstanding. directly or indirectly. . testimony. referrals. and regulate the relatio ns between workers and employers. promote full employment. RECRUITMENT AND PLACEMENT 1. offers or pro mises for a fee. placement vaca ncies. liberate the worker from oppressive terms and conditions of emp loyment To influence or to attempt to influence any person or entity not to empl oy any worker who has not applied for employment through his agency To engage in the recruitment or placement of workers in jobs harmful to public health or mor ality or to the dignity of the Republic of the Philippines To obstruct or attemp t to obstruct inspection by the Secretary of Labor or by his duly authorized rep resentatives To fail to file reports on the status of employment. are ne eded to see 3. advertisin g for employment. utilizing or procuri ng workers and includes (CRAP) includes contract services. employment to two or more persons shall be deemed engaged in re cruitment and placement Prohibited Practices 1. all Filipino workers enjoy the protective mantle of Philippine labor and social legislation. or to make a worker pay any amount g reater than that actually received by him as a loan or advance 2. To give any false notice. To furnish or publish any false notice or information or document in relation to recruitment Q uickTime™ and a decompressor or employmentTIFF (Uncompressed) this picture.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 document authorized her working status in a foreign country and entitled her to all benefits and processes under our statutes. 8. B. she already possessed the POEA employment Certificate. any amount greater than that specified in the schedule of allowable fees prescribed by the Secretary of Labor. common practices and customs prevailing in Singapore she subsequen tly became a contract worker or an OFW who was covered by Philippine labor laws and policies upon certification by the POEA. 7. even assuming that she was considered at the start of her employment as a “direct hire” governed by and subject to the laws. That any person or entity which. Thus. hiring. departures and such other matters or information as may be required by the Secretary of La bor To substitute or alter employment contracts approved and verified by the Dep artment of Labor from the time of actual signing thereof by the parties up to an d including the periods of expiration of the same without the approval of the Se cretary of Labor To become an officer or member of the Board of any corporation engaged in travel agency or to be engaged directly or indirectly in the manageme nt of a travel agency To withhold or deny travel documents from applicant worker s before departure for monetary or financial considerations other than those aut horized under this Code and its implementing rules and regulations Failure to ac tually deploy without valid reason as determined by DOLE Failure to reimburse ex penses incurred by the worker in connection with his documentation and processin g for purposes of deployment. in any manner. enlisting. At the time her employment was ille gally terminated. whether for profit or not: Provided. information or document or c ommit any act of misrepresentation for the purpose of securing a license or auth ority under this Code 4.

The Department of Labor and Employment or any law enfo rcement officer may initiate complaints. People v. Art. Illegal recruitment Any recruitment activities. to be undertaken by non-li censees or nonholders of authority. 142 SCRA 664 (1986) Th e number of persons dealt with is not the basis in determining WON an act consti tutes recruitment and placement. 10. Panis. In that case. Page 7 of 83 . 12. Any of the acts mentioned in Article 13 (b) wil l constitute recruitment and placement even if only one prospective worker is in volved. shall be deemed illegal and punishable under Article 39 of this Code. a license or authority from POEA is needed. 38. 13. including the prohibite d practices enumerated under Article 34 of this Code.9.

34 of LC) committed by any person. Added the following in the li st of Prohibited Acts: 1. et. Where offense committed. the accused can be convicted only of “simple ille gal recruitment”. The labor authoritie s must go through the judicial process. complainants to send are needed to see abroad for wor k such that the latter were convinced to part with their money in order to be de ployed. 6): Any recruitment activity committed by nonlicensees / non-holders of authority. al. whether a nonlice nsee. In large scale – committed against 3 or more persons individually or as a group People v.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 The proviso about “two or more persons” merely lays down a rule of evidence: where f ee is collected because of a promise or offer of employment to two or more prosp ective workers. Venue – filed with the RTC of the province or city. Elements: 1. To prove illegal recruitment. By a syndicate – carried out by a group of 3 or more persons confederating with one another 2.. Sagun. 38): Any r ecruitment activity including Prohibited Acts under Art. 2. or any prohibited practices enumerated under Article 34. GR No. If there is only one complainant in several complaints. Illegal recruitment involving econo mic sabotage Page 8 of 83 . That the offender undertakes either any act ivity within the meaning of recruitment and placement defined under Article 13(b ). fail to reimburse expenses incurred by the worker in connection with his/her document ation and processing for purposes of deployment. and. corporation or entity which has not been issued a valid license or authority to engage in recruitment and placement by the Secretary of Labor. IR committed in large scale . 39 (c) of Labor Code unconstitut ional Only a Judge may issue warrants of search and arrest. it must be shown that the accused gave the distinc t impression that QuickTime™ and a TIFF or ability decompressor he had the power(U ncompressed) this picture. or w hose license or authority has been suspended. OR Pr ohibited Acts (same as Art. The words “shall be deemed” create that presumption. 1. in cases where the deployment d oes not actually take place without the workers fault. 2. management or direction of their bu siness shall be liable. enterprise or scheme falling under illegal recruitment 2. there is no il legal recruitment in large. non-holder. Non-licensee / Non-Holder of authority – any person.committed against 3 or more persons individually or a s a group Estafa – a person convicted for illegal recruitment under Labor Code can be convicted for violation of the Revised Penal Code provisions on estafa provi ded the elements of the crime are present. the re is illegal recruitment by a syndicate. fail to actually deploy without valid reason. 34 committed by nonlice nsees or nonholders of authority. accomplices. A person is guilty of illegal recruitment when he gives the impression t hat he has the power to send workers abroad. (People v. 19 February 1999) Illegal recru itment (IR) involving Economic Sabotage (Art. Art. But where there are three conspiring recruiters. That the offender has no valid li cense or authority required by law to enable one to lawfully engage in recruitme nt and placement of workers. Where illegal recruitment is proved but the elements of “l arge scale” or “syndicate” are absent. IR committed by syndicate – carried out by a group of 3 or more persons con spiring and/or confederating with one another in carrying out any unlawful or il legal transaction. 10 RA 804 2): 1. 38 (b) Labor Code & Sec. revoked or cancelled by the POEA o r the Secretary Who are liable: Principals. and accessories For jur idical persons. 110554. F ernandez. licensee or holder of authority. the individual or entity dealing with them shall be deemed to be engaged in the act of recruitment and placement. RA 8042 – Overseas Filipinos and Overseas Migrant Workers Act a pplies to recruitment for overseas employment Illegal Recruitment (Sec. OR Where offended party actually resides at t he time of the commission of the offense Labor Code local recruitment and employment Illegal Recruitment (Art. the officers having control. 07 March 2002 These categories are separate or independent ca tegories.

Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Prescriptive Periods: Simple IR – within 5 years from time IR happened Economic Sa botage – within 20 years from time IR happened People v. Diaz, 259 SCRA 441 (1996) The acts of the appellant, which were clearly described in the lucid testimonie s of the three victims, such as collecting from each of the complainants payment for passport, medical tests, placement fee, plane tickets and other sundry expe nses, promising them employment abroad, contracting and advertising for employme nt, unquestionably constitute acts of large scale illegal recruitment. Aquino v. CA, 204 SCRA 240 (1991) Receipt of payments, after the expiration of the licens e, for services rendered before said expiration does not constitute illegal recr uitment. Recruitment refers to the offering of inducements to qualified personne l to enter a particular job or employment. The advertising, the promise of futur e employment and other come-ons took place while Ms. Aquino was still licensed. True, the payments for services rendered are necessary consequences of the appli cations for overseas employment. However, it is asking too much to expect a lice nsed agency to absolutely at the stroke of midnight stop all transactions on the day its license expires and refuse to accept carry-over payments after the agen cy is closed. In any business, there has to be a winding-up after it ceases oper ations. The collection of unpaid accounts should not be the basis of a criminal prosecution. The prosecution is based on the date of the prohibited activity, no t on the payments being illegal exactions even if effected during the correct pe riod. The payments are necessary in order to defray the expenses entailed in any overseas contract of employment. They are intended for administrative and busin ess expenses and for the travelling expenses of the applicants once cleared for overseas travel. People v. Senoron, 267 SCRA 278 (1997) QuickTime™ and a According to TIFF (Uncompressed) decompressorit is not the the Labor Code, are needed to see this picture. issuance or signing of receipts for the placement fees that ma kes a case for illegal recruitment, but rather the undertaking of recruitment ac tivities without the necessary license or authority. Absent any other participat ion in the IR activities, mere receiving of placement fees or signing of receipt do not constitute IR. Darvin v. CA, 292 SCRA 534 (1998) Page 9 of 83 By themselves, procuring a passport, airline tickets and foreign visa for anothe r individual, without more, can hardly qualify as recruitment activities. IR mus t be proved beyond reasonable doubt. 2. Regulation of Recruitment and Placement Activities Entities authorized to engage in recruitment and placement a. public employment offices b. Philippine Overseas Employment Administration (POEA) c. pr ivate recruitment entities d. private employment agencies e. shipping or manning agents or representatives f. such other persons or entities as may be authorize d by the DOLE Secretary g. construction contractors Is direct-hiring of OFWs all owed? Why? No. Employers cannot directly hire workers for overseas employment ex cept through authorized entities see (enumeration above). The reason for the ban is to ensure full regulation of employment in order to avoid exploitation. Fees to be Paid by Workers: No worker shall be charged with any fee until employee: (1) obtained work through recruiter’s efforts; and (2) worker has actually commenc ed working. Placement fee in an amount equivalent to one month’s salary of the wor ker and documentation costs are the ONLY AUTHORIZED PAYMENTS that may be collect ed from a hired worker. Eastern Assurance and Surety Corp. v. Secretary of Labor , 181 SCRA 110 (1990) POEA has the power to order refund of illegally collected fees. Implicit in its power to regulate the recruitment and placement activities of all agencies is the award of appropriate relief to the victims of the offens es committed by the respondent agency or contractor. Such relief includes the re fund or reimbursement of such fees as may have been fraudulently or otherwise il legally collected, or such money, goods or services imposed and accepted in exce ss of what is licitly prescribed. Nature of the liability of local recruitment a gency and foreign principal 1. Local Agency is solidarily liable with foreign pr incipal.

CA . amon g others. but also to promulgate rules and regulations to carry out the objecti ves and implement the provisions governing said activities. The undertaking to QuickTime™ an d a TIFF (Uncompressed) decompressor assume joint and solidary to see this pictu re. Power to suspend or cancel any license or authority to re cruit employees for overseas employment is concurrently vested with the POEA and the Secretary of Labor. may be traced all the way back to the constitutional mandate for the State to "afford full protection to labor. The foreign principal is outside the jurisdic tion of our courts and would probably have no properties in this country against which an adverse judgment can be enforced. v. The penalties of suspension and cancellation of license or authority are prescribed for violations of the above quoted provisions. CA. the Secretary of Labor gave the POEA on its own ini             . but the same extends up to and until the expiration o f the employment contracts of the employees recruited and employed pursuant to t he said recruitment agreement. The purpose is to insure that if the rights of these overseas workers are violated by their employers. th e responsibilities of such parties towards the contracted employees under the ag reement do not at all end. 205 SCRA 605 (1992) The surety bond require d of recruitment agencies is intended for the protection of our citizens who are engaged for overseas employment by foreign companies. 205 SC RA 605 (1992) The surety agreed to answer for whatever decision might be rendere d against the principal. this will render nugatory the very pur pose for which the law governing the employment of workers for foreign jobs abro ad was enacted. Even if the recruiter and the principal had already severed their agency agreement at the time employee w as injured. Catan v. as well as the authority. re course would still be available to them against the local companies that recruit ed them for the foreign principal. because the obliga tions covenanted in the recruitment agreement entered into by and between the lo cal agent and its foreign principal are not coterminous with the term of such ag reement so that if either or both of the parties decide to end the agreement. Severance of relations between local agent and foreign principal does not aff ect liability of local recruiter. the recruitment or pl acement agency in the Philippines be made to share in the employer s responsibil ity." The peculiar nature of overseas employment makes it very difficu lt for the Filipino overseas worker to effectively go after his foreign employer for employment-related claims and. And the Secretary of Labor has the power under Section 35 of the law t o apply these sanctions. conferred by Section 36. Joint and solidary liability of recruiter with Foreign Principal A recruitment agency is solidarily liable for the unpaid sala ries of a worker it recruited for employment overseas. local and overseas. the surety unequivocally bound itself to answer for all lia bilities which the POEA may adjudge or impose against the principal in connectio n with the recruitment of Filipino seamen Stronghold Insurance Co. v. to guarantee liability and are needed compliance with labor laws. the recruiter may still be sued for a violation of the employment co ntract because no notice of the agency agreement s termination was given to the employee. NLRC. 160 SCRA 691 (1988) This must be so. This difficulty is corrected by the bond. hence. to affor d overseas workers protection from unscrupulous employers. Posting of cash bond by recruiter Capricorn Travel & Tours v. CA. whether or not the surety was impleaded in the complain t and had the opportunity to defend itself.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 2. public policy dictates that. Otherwise. Stronghold Insurance Co. not only to restrict and regulate the recruitment and placement activities of all a gencies. which can be proceeded against to satisfy that judgment. Pursuant to this ru lemaking power thus granted. and the co nsequent posting of cash and surety bonds. Liability of sure ty In a surety bond. 184 SCRA 123 (1990) The requirement for the posting of a cash bond is also an indispensable adjunct to the requirement that the agency undertakes to assume jo int and solidary liability with the employer for all claims and liabilities whic h may arise in connection with the implementation of the contract of overseas em ployment and to guarantee compliance with existing labor and social legislation of the Philippines and the country of employment. There is nothing in the stipulation calling for a direct judgment against the surety as a co-defendant in an action against the principal.

tiative or upon filing of a complaint or report or upon request for investigatio n by any aggrieved Page 10 of 83 .

Free and adequate lodging facilities or compensatory food allowance at prevailing cost of living standard s at the jobsite 4. Workmen’s compensation benefits and war hazard protection 6. WHICHEVER IS LESSER 3-months option available ONLY IF the employment contract is for at least one year. all cases. empl oyment and return 3. of any amount of money. or any fee or bond in excess of w hat is prescribed by the Administration 2. for regular working hours and overtime pay for service s rendered beyond regular work hours in accordance with the standards establishe d by the Administration QuickTime™ and 2. involving or ar ising out of violations of rules and regulations relating to licensing and regis tration of recruitment and employment agencies or entities b. Contracts Freedom to Stipulate Vir-Jen Shipping v. his salary for unexpired portion of his employment contract OR salary for 3 months for ever y year of the unexpired term. contracting partners and Filipino migrant workers Money Claims of OFWs A worker dismissed from overseas employment without just. 125 SCRA 57 7 (1983) The form contracts approved by the National Seamen Board [now POEA] are designed to protect Filipino seamen not foreign shipowners who can take care of themselves. 115 SCRA 347 (1992). allowances or allotments to his beneficiaries 8. Free emergency medical and dental treatment and facilities 4. any other violation of pertinent prov isions of the Labor Code and other relevant laws. which are administrative in character. moral. directly or indirect ly. NLRC. full reimb ursement of the placement fee with interest at 12% per annum PLUS b. which are administrative in character. is entitled to: a. Just causes for the termination of the contract or of the services of the wor kers 5. the salary paid should be that for the unexpired portion. rules and regulations. involvin g employers. upon prior arr angement with the worker’s next-of-kin and the nearest Embassy or Consulate throug h the Office of the Labor Attache 7. Guaranteed wages. Page 11 of 83 possible under the circumstances. If the contract is shorter than that. The Adm inistrator was also given the power to order the dismissal of the case or the s uspension of the license or authority of the respondent agency or contractor or recommend to the Minister (now Secretary) the cancellation thereof. The standard forms embody the basic minimums which must be incorpor ated as parts of the employment contract. Free transportation from point aof hire to site of TIFF (Uncompressed) decompressor are needed to see this picture. But the stipulations should not contradict law. 3. the imposition or acceptance.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 person.     . (authority to) conduct the necessary proceedings for the suspension or c ancellation of the license or authority of any agency or entity for certain enu merated offenses including 1. or if t his is not Jurisdiction of the POEA Original and exclusive jurisdiction to hear and decide: a. Dispute Settlement Regulatory power – DOLE Secretary shall hav e the power to restrict and regulate the recruitment and placement activities of all agencies within the coverage of this Title and is hereby authorized to issu e orders and promulgate rules and regulations to carry out the objectives and im plement the provisions of this Title. Minimum Provisions for Cont ract 1. Repatriation of workers remains and properties in case of death to the point of hire. including claims for actual. principals. exemplary and other forms of damages. public policy and morals. Jurisdicti on over Money Claims Labor Arbiters have jurisdiction over all monetary claims o f Overseas Filipino Workers arising from employer-employee relationship or by vi rtue of any law or contract involving Filipino workers for overseas deployment. valid or authorized cause as defined by law or contract. disciplinary actio n cases and other special cases. Terms and conditions and other bene fits not provided by the minimum requirements are valid if the whole employment package is more beneficial to the worker than the minimum. the proper disposition thereof. goods or services. Assistance in the remittance of worker’s sala ries. They are not collective bargaining agr eements or illimitable contracts which the parties cannot improve upon or modify in the course of the agreed period of time.

Have been determined by the Sec. of Labor to be beneficial to national interest. certification that there is no available Filipino willin g and competent to do the job for the employer 3.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 C. All aliens granted exemption by special laws and all those whose employment in the Phil. ADB. Government 2. unless sooner revoked by the Secretary o f Labor Renewable upon showing of good cause Non-transferable Other Prohibitions Aliens shall not transfer to another job or change his employer without prior a pproval of the secretary of labor Non-resident alien shall not take up employmen t in violation of the provisions of the Code. Government Machinery TIFF (Uncompressed) decompressor are need ed to see this picture. p lans and programs 2. HUMAN RESOURCES & MANPOWER DEVE LOPMENT QuickTime™ and a 1. alien must train at least two Filipino understudies for such undertaking 4. . Power and Functions of TESDA Responsible for formulating. FOR ENTERPRISES REGISTERED IN PREF ERRED AREAS OF INVESTMENT – employment permit issued upon recommendation of govern ment agency charged with the supervision of said registered enterprise Exemption from Permit 1. continuing. Apprenticeship and Learnership Learners Apprentices Persons hired as Practical What trainees in semitraining on the skilled and other job i ndustrial Supplemented occupations by related Nontheoretical apprenticeable inst ruction May be learned Covered by a through practical written training on the ap prenticeship job in a relatively agreement with short period of an individual ti me employer or Shall not exceed entity 3 months Needs DOLE approval Shall not ex ceed 6 months No experienced Only in highlyWhen workers technical may be availab le industries hired Prevent Only in curtailment of apprenticeable employment occ upations opportunities Not to create unfair competition in labor costs and lower working standards List of learnable At least 14 trades provided years old by TE SDA Possesses vocational aptitude and capacity for tests Ability to comprehend A bility to follow oral and written instructions Any form of employment requiring beyond 3 mos. coordinati ng. All members of Diplomatic Services and foreign government offici als accredited with the Phil. and fully integrating technical education and skills development policies. high quali ty and efficient technical education and skills development in support of the de velopment of high-quality Filipino middle-level manpower responsive to and in ac cordance with Philippine development goals and priorities. practical Page 12 of 83 Policy It is the policy of the State to provide relevant. IRRI) 3. Members of international organizatio ns with which the Phil. Government is a cooperating member (i. Duration of Permit Valid for 1 year from date of issuance. EMPLOYMENT OF ALIENS Requisites for Employment of Non-Resident Aliens 1. M issionaries actually engaged in missionary work 4.e. accessible. work ing permit from DOLE 2. D.

apprenti ceship agreement duly executed and signed 4. Employer m ay not pay wage if the apprenticeship is • a requirement for graduation • required b y the School • required by the Training Program Curriculum • requisite for Board exa mination Venue of Apprenticeship Programs The plant. otherwise. qualifications of apprentice are met 2. 4. Their pri mary duty consists of the management of the establishment in which they are empl oyed or of a department or subdivision thereof ii. Officers or members of m anagerial staff if they perform the following duties and responsibilities i. occupat ion to be learned and the duration of the training period which shall not exceed 3 months 3. if he so desires. WORKING CONDITIONS Coverage Book III of the Labor Code provides the condition s or standards of employment. as a regular employee upon completion of training A learner who has worked during the first t wo months shall be deemed a regular employee if training is terminated by the em ployer before the end of the stipulated period thorough no fault of the learner. DOLE training center or other public training i nstitutions with which the Bureau has made appropriate arrangements. They have authority to h ire or fire other employees of lower rank. or safety of the employer as well as members of the employer’s household Page 13 of 83 . These standards apply only if there exists EER. wage of the learner which shall be at least 75% QuickTime™ and a of t he applicable minimum wage TIFF (Uncompressed) decompressor are needed to see th is picture. including those employed in GOCCs 2. civic groups and the like. shop. apprenticeship program approved by the Sec. (c) execute under ge neral supervision special assignments and tasks. the employer is not required to continue the employment. minister to the personal comfort. domestic ser vants and persons in the personal service of another if i. Management employees. V. or ii. (b) Execute under general supervision work along specialized or technical lines requiring special training. who do not devote more than 20% of their hours worked in a workweek to activities which are not directl y and closely related to the performance of work in i-iii above. They customarily and regularl y direct the work of two or more employees therein iii. the apprentice earns not less than 75% of the prescribed minimum salary 3. period of apprenticeship not exceed 6 months At the termination of the app renticeship. commitment to employ the learner. they perform such ser vices in the employer’s home which are usually necessary or desirable for the main tenance and enjoyment thereof. Customarily and regularly exercise discretion and independent judgment iii. Pri mary duty consists of performance of work directly related to management policie s of employer ii. 4. premises of the emplo yer or firm concerned if the apprenticeship program is organized by an individua l employer or firm. or there suggestions and recommendati ons as to the hiring and firing and as to the promotion or any other change of s tatus of other employees are given particular weight 3. (a) Regularly and directly assist a proprietor or a managerial emp loyee. names and addresses of employer and learner 2. the apprentice shall be deemed as a regular employ ee 5. convenie nce. Contents of Learnership Agreement 1. If they meet ALL of the following conditions: i.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 training on the job supplemented by related theoretical instruction No list Requ isites for a Valid Apprenticeship 1. experience or knowledge. Ex cluded Employees 1. Government employees whether employed by the National Govern ment or any of its political subdivisions. The premises of one or several firms designated for the purp ose by the organizer of the program if such organizer is an association of emplo yers. of Labor. and iv.

Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 5. period commencing at 12 midnight and ending at 11:59 p. in a day or 48 hrs. Compressed Work W eek (CWW) Resorted to by the employer to prevent serious losses due to causes be yond his control. p akyaw or task basis 6. For the hours exceeding 8 in a workday. all hospitals and clinics situated i n cities or municipalities with a population of 1 million or more 2. in any one week Not more than 5 days in a work week. Exten ded workday in CWW should not exceed 12 hrs. B. Work exceeding 12 hrs. injury or def ormity or in need of obstetrical or other medical and nursing care Regular Worki ng Hours and Days of Hospital and Clinic Personnel Not more than 8 hrs. All time during which an employee required to be on duty or to be at the employer’s premises or to be at a prescribed work place. 297 SCRA 440 (1998) Fishermen are not field p ersonnel since throughout the duration of their work. Thus.. the arrangement should not diminish t he employees’ monthly or daily pay or their established employment benefits. Allowed on condition that it is freely agreed upon between the employ er and majority of the employees. They are under the constant supervision while in the performance of this work. The workweek may begin at any hour and on any day Overtime Work of Hospita l and Clinic Personnel May be scheduled to work for more than 5 days or 40 hrs. Coverage 1. Rest periods of short duration during working hours. v. disease. 156367.m. Thus. they will no longer incur transport and other expenses. Further. or a day’s work of less than 8 hours. and 2. All time during wh ich an employee suffered or permitted to work. and to other officers or members of the managerial staff F ield Personnel – non-agricultural employees who regularly perform their duties awa y from the principal place of business or branch office of the employer and whos e actual hours of work in the field cannot be determined with reasonable certain ty Mercidar Fishing Corp. Ba utista. NLRC. all hospita ls and clinics with a bed capacity of at least 100 Hospitals and Clinics – place d evoted primarily to maintenance and operation of facilities for the diagnosis. whether the work is broken or continuous Calendar Day – 24 -hr. as they generally observe prompt depar ture and arrival from their point of origin to their point of destination. the employees will be regularly working for less than 6 days but each w orkday exceeds 8 hrs. they are under the effecti ve control and supervision of the employer. including those who are paid on piece-work. takaw. not prohib ited. there are its inspectors assigned in strateg ic places. Instead of working 6 days a week. provided employee is paid for overtime work Overtime: additional compens ation of regular wage + at least 30% thereof Considered as Compensable Hours Wor ked 1. t reatment. non-agricultural field personnel if they regularly perfor m their duties away from the principal or branch office of place of business and whose actual hours of work in the field cannot be determined with reasonable ce rtainty. the reversion shall not constitute a diminution of benefits. Should the work shift revert to 8 hrs . Managerial Employees – refer to those whose primary duty consists of the management of the establishment in which they are employed or of a department or subdivision thereof. part-time work. such as when there is substantial slump in demand for his good s and services or when there is lack of raw materials. a week. in a week should be considered OT. the employees waiv e their OT pay because. and care of individuals suffering from illness. Hours of Work of Hospital and Clinic Personnel. in return. Work Day – 24-hr period commencing from the time QuickTime™ an employee regula rly starts to and a work TIFF (Uncompressed) decompressor regardless of are need ed to see this picture. Autobus Transport Systems Inc. v. HOURS OF WORK Work hours shall no t exceed 8. GR No. drivers/conductors must b e at a specific place at a specific time. 3. mandatory once-a-week car barn or shop day. workers paid by results. drivers/conductors are not field personnel. in any o ne day and not more than 40 hrs. 16 May 2005) It is of judicial notice that along the rout es that are plied by bus companies. Page 14 of 83 .

205 SCRA 69 (1992) The fact that he picks up employees at certain specif ied points in EDSA in going to the project site and drops them off at the same t ime on his way back from the field office going home to Marikina is not merely i ncidental to petitioner’s job as a driver. of Pangasinan Faculty Union v. travel is done under vexing and dangerous circumstances and counted as hours worked when it cuts across an employee’s workday because it substitutes for the hours the employee should have been in the office Univ. of Pangasinan. Programs Page 15 of 83       .Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Principles in Determining Hours Worked 1. An employee need not leave the premises of the workplace in order that his rest per iod shall not be counted. travel is done under the supervision and control of the emp loyer 4. All hours are hours worked which the e mployee is required to give to his employer. If the work performed was necessary or it be nefited the employer. travel is done through a conveyance provide d by the employer 3. where employee made to work on an emergency call and travel is necessa ry in proceeding to the workplace 2. may rest comple tely and may leave his workplace 3. like overnight travel f rom jobsite to jobsite during the workday GR: not Compensable Work time Travel F rom Home to Work compensable because it is a normal incident of employment Excep tions: 1. the employee is required or engag ed by the employer to wait. Applies only for regular full-time teachers. or b. all time spent or such wo rk shall be considered as hours worked. regardless of whether or not such h ours are spent in productive labor or involve physical or mental exertion 2. Waiting Time Waiting time spent by an employee shall be considered as working time if 1. the imminence of the resumption of work requires th e employee s presence at the place of work. Trainings. but primarily for th e benefit of the employer. Meeting. if the interval is too brief t o be utilized effectively and gainfully in the employee s own interest. The time during which an employee is inac tive by reason of interruptions in his work beyond his control shall be consider ed working time either if a. then the time required of a nd used by petitioner in going from his residence to the field office and back s hould be paid as overtime work. Working while on call . Rada v .an employee who is required to remain on call in the employer s premises or so close thereto that he cannot use the time effectively and gainfully for his own purpose. NLRC. waiting is an integral part of his work or 2. it being enough that he stops working. 127 SCRA 691 (1984) Se mestral break of teachers is compensable hours worked for it is a form of interr uption beyond their control. Lectures. which is not work in travel as empl oyee time part of his away from principal home activity. Travel Time Travel t hat is Travel Away All in Days from Home Work Normal travel from Time spent by T ravel that QuickTime™ and home to work an employee a keeps an TIFF (Uncompressed) decompressor are needed to see this picture. Univ. Said transportation arrangement had bee n adopted not so much for the convenience of the employees. 4. or the employee could not abandon his work at the end of h is normal working hours because he had no replacement. Since the assigned task of fetching and delivering em ployees is indispensable and consequently mandatory. if the work was with the knowledge of hi s employer or immediate supervisor.

The employee does not perform any productive work during such attend ance. Necessary to prevent loss or damage to perishable goods 6. Submiss ion of sufficient proof that said work was actually performed 3. Meal and Rest Periods GR: not less than 1 hour time-off for regular meals – non-compensable Except: meal period of not less than 20 mins.. If the so-calle d “meal time” is less than 20 mins. The daily wa ge is divided by 8 to get the hourly base rate.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 NOT considered working time if ALL the following conditions are met: 1. Where the work is non-manual work in nature or does not involve strenuous physical exertion 2. E’ee’s shift is not overtime. equipment or inst allations to avoid serious loss which the employer would otherwise suffer 4. on holiday/rest day + at least 30% thereof. Whe re the work is necessary to prevent serious loss of perishable goods Rest period s or coffee breaks – running from 5 to 20 mins. But when the alleged waiver of OT pay is i n consideration of benefits and privileges which may even exceed the OT pay. Since the OT work is considered hourly. Page 16 of 83   . including rest days and holidays. For a full one hour undisturbed lunch break. Necessary to Prevent loss of life/property or Imminent danger to public safety 5. 289 SCRA 86 (1998) The employer may change the meal break from 30 mins. OT on a Re gular Day: regular wage + at least 25% thereof OT on a Holiday/E’ee’s Rest Day: rate of 1st 8 hrs. Offsetting the undertime hours against th e OT hours would result in undue deprivation of the employee’s extra pay for OT wo rk. Overtime Pay (OT) – work exceeding eight hours QuickTi me™ and a within the worker’s TIFF (Uncompressed) decompressor 24-hour workday. Urgent work to be p erformed on Machines to avoid serious loss or damage to employer 4. Regular Wage – includes the c ash wage only. Where the establishment regular ly operates not less than 16 hours a day 3. considered as compensable working time. NLRC. would still meet minimum wage. in the following c ases – compensable hours worked: 1. OT work is with the knowledge and consent of the employer Compulsory OT Work (provided employee paid the additional compensation required) 1. Attendance is in fact v oluntary 3. In case of actual or impending emerg encies or there is urgent work to be performed on machineries. where the employee’s monthly salary. Since the employees are no longer require d to work during this 1-hour lunch break. when converted by the increased divisor into its daily equivalent. If employee is paid on a monthly salary basis. the employees can freely and effectively use this hour not only for eatin g but also for their rest and comfort. is not allowed. there is no more need for them to be c ompensated for this period. it becomes only a rest period. Work within the are needed to see this picture. To shorten meal time to less than 20 mins. Attendan ce is outside of the employee s regular working hours 2. the daily rate is obtained by the following formula: Daily Rate = monthly salary x 12_____ Total no of days considered paid in a year Permissible for the employer to stipulate that the employee’s monthly salary const itutes payment for all the days of the month. Sime Darby Pilip inas v. fully paid to 60 mins. the waiver may be permitted. without pay. Necessary to avail of favorable weather or environmental condition Undertime NOT Offset by OT – an employee’s regul ar pay rate is lower than the OT rate. Right to OT pay cannot be waived. the pay rate is computed also on per hour basis. Country at war/National or Local Emergency th 2. without deduction on account of facilities provided by the employ er Conditions to be entitled to OT pay 1. Completion of work started before the 8 hour and is necessary to prevent serious obstruction or prejudice to the business 3. Actual rendition of OT work 2.

of work between 10 pm – 6 am If work done between 10 p m and 6 am is OT work. no employee shall be required against h is will to work on his scheduled rest day. epidemic or other disas ter or calamity. or in cases of force majeu re or imminent danger to public safety 3. Weekly Rest Day – Every employer shall give his em ployees a rest period of not less than 24 consecutive hrs. QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. as in the case of the crew members of a vessel to complete a voyage and in other similar cases 6. REST PERIODS AND HOL IDAYS Weekly Rest Periods – applies to all employers whether operating for profit or not. In the event of abnormal pressure of w ork due to special circumstances. Page 17 of 83 Preference of employee – The preference of the employee as to his weekly day of re st shall be respected by the employer if the same is based on religious grounds. In case of urgent work to be performe d on machineries. Where. Managerial employees 5.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Night Shift Differential (NSD) – every employee shall be paid a night shift differ ential of not less than 10% of his regular wage for each hour of work performed between ten o’clock in the evening and six o’clock in the morning. Those of the government and any of its political subdivisions. where the employer cannot ordinarily be expect ed to resort to other measures 4. The employee shall make known his preference to the employer in writing at leas t 7 days before . to prevent loss of life or property. Field personnel and other employees whose time and performance is unsupervised b y the employer including those who are engaged on task or contract basis. Employees NOT Cov ered by NSD 1. To prevent serious loss of perishable goods 5. the employer may so schedule the weekly rest day of his choice for at least 2 days in a month. Where the rest period is not granted to all employees simultaneously and collectively – the employer shall make known to the e mployees their respective schedules of weekly rest through written notices poste d conspicuously in the work place at least one week before they become effective Work on Rest Day Authorized (UAAP NAF) 1. fire. NSD = (10% x regu lar wage/hr. including public utilities operated by private persons Business on Sunda ys/Holidays – All establishments and enterprises may operate or open for business on Sundays and holidays provided that the employees are given the weekly rest da y and the benefits as provided. the desired effectivity of the initial rest day so preferred. typhoon. Where the weekly rest is given to all employees simultaneously – the employer shall make known such rest period b y means of a written notice posted conspicuously in the work place at least one week before it becomes effective b. or those who are paid a fixed amount for performing work irre spective of the time consumed in the performance thereof C. purely commission basis. Under other analogous or simi lar circumstances 7. in cluding government-owned and/or controlled corporations 2. Those of retail and s ervice establishments regularly employing not more than 5 workers 3. however. earthquake. When the work is necessary to avail of favorable weather or environmental conditions where performance or quality of work is dependent ther eon. Domestic he lpers and persons in the personal service of another 4. after every 6 consecu tive normal work days. In case of actual or impending emergencies cause d by serious accident. Where the nature of the work is such that the employees have to work continuous ly for 7 days in a week or more. equipment or installations to avoid serious loss which the emp loyer would otherwise suffer 2.) x no. Other than the above circumstances. of hrs. the NSD should be based on the OT rate. th e choice of the employee as to his rest day based on religious grounds will inev itably result in serious prejudice or obstruction to the operations of the under taking and the employer cannot normally be expected to resort to other remedial measures. Schedule of Rest Day a. flood.

Those of the government and any of the political s ubdivision. 1 Movable Date Movable Date April 9 May 1 June 12 Last Sun. he shall not be deemed to be on leave of absence on that day. Nat’l Heroes Day 8. Christmas Day 11. 30 Holiday Pay of Certain Employees 1. like Holy Thursday and Good Friday. unless he works on the first holiday. Workers witho ut regular working days – entitled to the benefits Double Holiday – an employee who is entitled to holiday pay should receive at least 200% of his basic wage even i f he did not work on that day. employee must: (1) st be present on the day immediately preceding the 1 holi day. Good Friday 4. Employee p aid by results (payment on piecework) – holiday pay shall not be less than his ave rage daily earnings for the last 7 actual working days preceding the regular hol iday. Managerial em ployees 5. Holidays with Pay. Bonifacio Day 9. an employee may not be paid for both holidays if he absents himself from work on the day immediately preceding the f irst holiday. Private School teachers including faculty me mbers of college and universities – may not be paid for the regular holidays durin g semestral Special Days 1. Applies to ALL employees. 30 Movable Date Dec. Special Public Holidays 3. or those who are paid a fixed amount for performin g work irrespective of the time consumed in the performance thereof. However. H oliday-Sunday – a legal holiday falling on a Sunday creates no legal obligation fo r the employer to pay extra. including government-owned and controlled corporation 2. If he worked. that in no case shall the holiday pay be less than the applicable statutory minimum wage rate 3. Rizal Day Jan. Maundy Thursday 3. provided. purely commission basis. Holidays 1. Special N . h e shall express such desire in writing. etc) – regular holidays falling within this period compensable QuickTime™ and a TIFF (Uncompressed) decompressor Temporary or Periodic Shutdown a nd Temporary are needed to see this picture. or (2) be on leave wit pay. Nov. New Year’s Day 2. Domestic helpers and persons in the personal service of another 4. An employee shall be entitled additional compensation for work performed on a Sunday only when it is his established rest day. repair or cleaning of machineries or equipment. Field personnel and other employees whose time and performance is uns upervised by the employer including those who are engaged on task or contract ba sis. Labor Day 6. he was present or on leave wit pay on t he preceding work day. Paid for the regular holidays during Christmas vacation 2. EXCEPT: 1. Cessation of Work Due to Business R everses – employer may not pay the regular holidays during this period vacations.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 When an employee volunteers to work on his rest day under other circumstances. yearly inventory. to its monthly-pa id employees Successive Regular Holidays – Where there are 2 successive regular ho lidays. Special Non-Working Days 2.e. Seasonal workers – may not be paid the r equired holiday pay during off-season when they are not at work 4. in which case he shall be entit led to the holiday pay if he worked on the day immediately preceding the non-wor king day or rest day Temporary or Periodic Shutdown and Temporary Cessation of W ork (i. subject to payment of additional compens ation. Eidul Fit’r 10. Provided. Independence Day 7. Absences Em ployee on Leave of absence with pay – entitled to the benefit provided herein Empl oyee on leave of absence without pay on the day immediately preceding a regular holiday – may not be paid the required holiday pay if he has not worked on such re gular holiday Where the day immediately preceding the holiday is a non-working d ay in the establishment or the scheduled rest day of the employee. 25 Dec. he is entitled to 300% of his basic wage. Araw ng Kagitingan 5. in which case he is entitled to his holiday pay on the second holiday. To be entitled to 2 successive holida ys. Those of re tail and service establishments regularly employing less than ten 10 workers 3. of Aug. aside from the usual holiday pay.

ational Holiday Page 18 of 83 .

including authorized absences and paid regu lar holidays unless the working days in the establishment as a matter of practic e or policy. designations o r employment status. Last Day of the Yr 6. Those who are already enjoying the benefit herein pro vided 6. Ninoy Aquino Day Nov.Unworked: 100% . whether continuous or broken reckoned from th e date the employee started working.Worked: . th e Muslim holidays.Worked: st 200% 1 8 hrs excess of 8 hrs.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 4.Unworked: 100% . and irrespective of the method by which their wages are pai d EXCEPT to managerial employees Muslim Holidays – while the regular holidays are observed in the whole country. including those entities o perating primarily as private subsidiaries of the Government Employees Covered – a ll employees of covered employers. except Eidul Fitr. are observed only in specified areas. + 30% of hourly rate on said day 3. SPECIAL WORKING HOL IDAYS – only basic rate. excess of 8 hrs. including gov ernment-owned and controlled corporations 2. SPECIAL DAYS a. lodging houses. All Saints’ Day 5. or those who a re paid a fixed amount for performing work irrespective of the time consumed in the performance thereof 5. without diminution of salary or wages during the period. If it is employee’s regular work day: . Unw orked – no pay unless there is a favorable company policy. practice or CBA grantin g payment of wages on special days even if unworked b. Domestic helpers and persons in the personal service of another 3. + 30% of hourly rate on said day 2. Managerial employees 4. + 30% of hourly rate on said da y c. 1st TIFF (Uncompressed) this picture. bars. night clubs. or that provided in the employment contract is less than 12 months. Rules on Payment of Hol iday Pay: 1. 1 Dec. Worked st 1 8 hrs. and similar enterprises. Those e mployed in establishments regularly employing less than ten employees Service Ch arges – apply only to establishments collecting service charges such as hotels. At least 1 year service – se rvice for not less than 12 months. massage clinics. casinos and gambling houses. REGULAR HOLIDAYS a. Those enjoying vacation leave with pay of at least five days 7. Field personnel and othe r employees whose performance is unsupervised by the employer including those wh o are engaged on task or contract basis. + 30% of the daily rate of 100% excess of 8 hrs.+ 30% of 200% 1st 8 hrs. Falling on employee’s rest daya and if worked QuickTime™ and 8 are needed to see decompressor hrs. re staurants. 31 August 21 D. cocktail lounge. + 30% of hourly rate on said da y b. Page 19 of 83 . If it is employeee’s rest day: . purely commission basis. SERVICE CHARGE & SERVICE INCENTIVE LEAVE Service Incentive Leave (SIL) – ev ery employee who has rendered at least 1 year of service shall be entitled to a yearly service incentive leave of 5 days with pay Commutable to its money equiva lent if not used or exhausted at the end of the year. Those of the government and any of its political subdivisions. regardless of their positions. + 50% of the daily rate of 100% excess of 8 hrs. Musl im employees working outside of the specified areas shall be excused from report ing for work during the observance of the Muslim holidays as recognized by law. in which case said period shall be considered as one year Employees NOT Covered 1.

as determined by the DOLE Secretary. growing and harvesting of any agricultural and horticultural commodities. should be paid similar salaries. pine apples or other farm products Wage – paid to any employee shall mean the: 1. however designated. or for services rendered or to be rendered. under similar con ditions. Leave under RA 9262 (Anti-Violence Against Women and their Ch ildren Act of 2004) – allows the victim of violence. May be deducted from the employees’ wages . other laws and company policies. whether fixed or ascertained on a time. of board. QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. or to any pers on affiliated with the employer. a widow or wid ower. remun eration or earnings. sexual . Each part y must bear his own loss. Should not be shifted to the employer. task. If such vic tim is an employee. lodging. which may be physical. or other method of calculating the same. or other facilities customarily furnished by the employer to the employee.” E. WAGES A. abaca. she is entitled to a paid leave of up to 10 days in addition to other paid leaves under the Labor Code. . and includes 2. effort and responsibility. the ra ising of livestock or poultry. CONCEPT AND DEFINITION Agriculture – includes farming in all its bran ches and. tobacco. or psychological. the production. there can be no wage or pay un less the laborer was able. the fair a nd reasonable value.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Distribution 85% distributed equally among the covered employees 15% for the dis position by management to answer for losses and breakages and distribution to ma nagerial employees at the discretion of the management in the latter case distri buted and paid to the employees not less than once every 2 weeks or twice a mont h at intervals not exceeding 16 days Supervisors share in the 15%. 271 SCRA 670 (1997) Requirements for deducting value of facilities: Page 20 of 83 VI. NLRC. dairying .” and not “managerial employees. cultivation. "Fair an d reasonable value" shall not include any profit to the employer. Fair Wage for Fair Work. But where the failure of employees to work was not due to the employer’s fault. and so forth . or commission basis. The claimant parent has to show that he/she is left alone with the responsibil ity of parenthood. The employee has to submit a certification from the Punong Barangay or Kagawad or p rosecutor or Clerk of Court that an action under RA 9262 has been filed and is p ending. Facilities – articles or services for th e benefit of the employee or his family but shall not include tools of the trade or articles or service primarily for the benefit of the employer or necessary t o the conduct of the employers business. a spouse separated legally or de facto for at least one year. among other things. Mabeza v. piece. and ready to work but was prevented by manag ement or was illegally locked out. coconuts. the burden of economic loss suffered by the employees. capable of being expressed in terms of money. and any practices performed by a farmer on a farm as an incident to or in conjunction with such farming operations. skill. which is payable by an employer to an employee under a written or unwritten contract of employment for work done or to be done. Equal Pay for Equal Work – persons who work with substan tially equal qualifications. No Work – No Pay Princip le – if there is no work performed by the employee. willing. Solo Parent Leave (RA 8972: Solo Parents’ Welfare Act of 2000) – a pare ntal leave of not more than 7 working days every years shall be granted to any s olo parent employee who has rendered service of at least 1 year Solo Parent – woma n who gives birth as a result of rape or crimes against chastity. includes cultivation and tillage of soil. Acceptance of Facilities – in order that the cost of facilities furnished by the employer may be charged against an employee. OTHERS Vacation Leave (VL) / Sick Leave (SL) – not required by law and depends on voluntary employer policy or collective bargaining. but does not include the manufacturing or processing of sugar. the employee’s acceptance of such fa cilities MUST BE VOLUNTARY. to apply for the issuance of a protection order. suspended or dismissed. LC speaks of “m anagement.

Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 1. Proof must be shown that such facilities are customarily furnished by the tra de 2. The provision of deductible facilities must be voluntarily accepted in wri ting by the employee 3. The facilities must be charged at fair and reasonable va lue Facilities items of expense necessary for the laborer’s and his family’s existen ce and subsistence Supplements extra remuneration or special privileges or benef its given to or received by the employees over and above their ordinary earnings or wages. independent of the wage not wage deductible therein, with a salary of not less than the statutory or established minimum wage, shall be presumed to b e paid for all the days in the month whether worked or not. The monthly min. wag e shall not be less than the statutory minimum wage multiplied by 365 days divid ed by 12. Agricultural Rate – farm work from land preparation to harvesting Indust rial Rate – manufacturing or processing of farm products Non-Diminution Rule GR: N othing in the Labor Code shall be construed to eliminate or in any way diminish supplements, or other employee benefits being enjoyed at the time of promulgatio n of the Labor Code. Benefits being given to employees shall not be taken back o r reduced unilaterally by the employer because the benefit has become part of th e employment contract, written or unwritten. Exception: To correct an error, oth erwise, if the error is left uncorrected for a reasonable period of time, it rip ens into a company policy and employees can demand for it as a matter of right. When Non-Diminution Rule Applicable – The rule is applicable if it is shown that t he grant of the benefit is 1. based on an express policy 2. has ripened into pra ctice over a long period of time; and the practice is consistent and deliberate, and is not due to an error in the construction/application of a doubtful or dif ficult question of law Bonus – a benefit which is contingent or conditional; its d emandability depends on certain pre-conditions. It is an amount granted voluntar ily to an employee for his/her industry and loyalty which contributed to the suc cess and realization of profits of the employer’s business. It is not a demandable and enforceable obligation unless it was promised to be given without any condi tions imposed for its payment in which case it is deemed part of the wage. Payme nt by Results – regulated by DOLE Secretary to ensure the payment of fair and reas onable wage rates, preferably through time and motion studies or in consultation with representatives of workers’ and part of the wage deductible from the wage Employees NOT Covered by Provisions on Wages 1. farm tenancy / leasehold 2. dome stic service 3. persons working in their respective homes in needle work or in a ny cottage industry duly registered in accordance with law 4. Barangay micro bus iness enterprise (BMBE) under RA 9178, the BMBE Law. BMBE – any business entity or enterprise engaged in the production, processing, or manufacturing of products or commodities, including agroprocessing, trading and services, whose total asse ts including those arising from loans but exclusive of the land on which the par ticular business entity’s office, plant and equipment are situated, shall not be m ore than P3M B. WAGE-FIXING Regional Minimum Wages – the minimum wage rates for ag ricultural and non-agricultural employees and workers in each and every region o f the country shall be those prescribed by the Regional Tripartite Wages and Pro ductivity Boards Minimum Wage – lowest wage rate fixed by law that QuickTime™ and a an employer can TIFF (Uncompressed) decompressor payment of pay his employee; ar e needed to see this picture. minimum wages is not dependent on the employer’s abi lity to pay Daily-Paid Employee – paid only for days he actually worked Monthly-Pa id Employee – employees paid by the month, irrespective of the number of working d ays Page 21 of 83

Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 employers’ organizations. Includes pakyaw, piece work and other noontime work. Two Categories of Piece-Rate Employees 1. Employees paid piece rates which are pres cribed in Piece Rate orders issued by DOLE – wages are determined by multiplying t he number of pieces produced by the pay rate per piece. 2. Employees paid output rates which are prescribed by the employer and are not yet approved by the DOLE – to determine wage, the number of pieces produces is multiplied by the rate per piece as determined by the employer. If the result is equal to or greater than t he applicable legal daily rate in proportion to the number of hours worked, the worker receives such increased amount. If the amount is lower, the employer must make up the difference. Benefits Payable to Piece-Rate Workers (HANS MOTO) 1. H oliday Pay 2. Applicable Statutory Minimum Daily Rate 3. Night Differential Pay 4. Service Incentive Leave 5. Meal and Rest Periods 6. Overtime and Premium Pay 7. Thirteenth Month Pay 8. Other Benefits Basic Wage – means all remuneration or e arnings paid by an employer to a worker for services rendered on normal working days and hours but does not include cost-of-living allowances, profit sharing pa yments, premium payments, 13th month pay or other monetary benefits which are no t considered as part of or integrated into the regular salary of the workers Min imum Wage – lowest wage rate fixed by law than an employer can pay his employees W ho Sets Minimum Wage 1. Regional Tripartite Wages and Productivity Board 2. Cong ress National Wages and (Uncompressed) decompressor TIFF Productivity Commission are needed to see this picture. 1. Prescribes rules and guidelines for the dete rmination of appropriate minimum wage and productivity measures at the regional, provincial, or industry levels 2. Reviews regional wage levels set by the Regio nal Tripartite Wages and Productivity Boards to determine if these are in accord ance with prescribed guidelines and national development plans QuickTime™ and a Regional Tripartite Wages and Productivity Boards 1. Determine and fix minimum w age rates applicable in their regions, provinces or industries therein and to is sue the corresponding wage orders, subject to guidelines issued by the National Wages and Productivity Commission. 2. Develop plans, programs and projects relat ive to wages, incomes and productivity improvement for their respective regions 3. Receive, process and act on applications for exemption from prescribed wage r ates as may be provided by law or any Wage Order 4. Other functions Composition of Each Regional Board 1. Regional Director of DOLE 2. Regional Director of NEDA 3. Regional Director of DTI 4. 2 members from Employer sector 5. 2 members from Employee sector Wage Order – an order issued by the Regional Board whenever the c onditions in the region so warrant after studying and investigating and studying all pertinent facts and based on the standards and criteria prescribed by the L abor Code. A wage order adjusts the minimum level but not the levels above the m inimum. It does not mandate across the board salary increase. Employees NOT Cove red 1. Household or domestic helpers, including family drivers and workers in th e personal service of another 2. Workers and employees in retail/service establi shments regularly employing not more than 10 workers, when exempted from complia nce, for a period fixed by the Commission/Boards 3. Workers and employees in new business enterprises outside the National Capital Region and export processing zones for a period of not more than two or three years, as the case may be, from the start of operations when exempted Effectivity of Wage Orders – takes effect a fter 15 days from its complete publication in at least one newspaper of general circulation in the region Public Hearings and Consultations Mandatory – notice mus t be given to employees’ and employers’ Page 22 of 83

postal checks or money orders is allowed where Page 23 of 83 . The need to induce industries to invest in the countryside 6. Wage adjustment vis-à-vis the consumer price in dex 3. Factors to Consider: 1. Fair return of the capital invested and capacity to pay of employers 9. The demand for living wages 2. Suggested Formula to Correct a Salary Distort ion Minimum Wage = % x Prescribed Increase Actual Salary Prubankers Association v. Prudential Bank and Trust Co. If dispute remains unresolved. The cost of living and changes or increases 4. Bankar d Employees Union – WATU v. The needs of workers and t heir families 5. vouchers . The employer and employees shall endeavor to correct the distortion 2. NLRC. ORGANIZED ESTABLISHMENT 1. it shall be referred to the NLRC Amount of Distortion Adjus tment – the restoration of the previous pay advantage is the aim but not necessari ly to the last peso. Examination of alleged salary disto rtion is limited to jobs or positions in the same employer in the same region. It does not refer to distortion caused by salary revisions vo luntarily initiated by the employer unless such a duty exists because of a CBA s tipulation or company practice. efficiency and general well-being of the employees within the framewo rk of the national economic and social development program. or any other form alleged to represent legal tender is absolutely pro hibited even when expressly requested by the employee. UNORGANIZED ESTABLISHMENT 1. C. Restoration of appreciable differential. length of service QuickTime™ and a or other logical basis (Uncompressed) decompressor Sim ply. PAYMENT OF WAGES Manner of wage payment – wages shall be paid in legal tender and the use of tokens. city and municipal officials and other interested parties. GR No. provincial. The equitable distribution of income and weal th along the imperatives of economic and social development Wage Distortion – a si tuation where an increase in prescribed wage rates results in the elimination or severe contraction of intentional quantitative differences in wage or salary ra tes between and among employee groups in an establishment as to effectively obli terate the distinctions embodied in such wage structure based on skills. The prevailing wage levels 8. 302 SCRA 74 (1999) Wage distortion involves co mparison of jobs located in the same region. coupons. through volunt ary arbitration B. TIFF are needed to see this picture. Standards/Criteria for Minimum Wage Fixing – must be e conomically feasible to maintain the minimum standards of living necessary for t he health. If remains unresolved after 10 d ays of conciliation. I mprovements in standards of living 7. Effects on employmen t generation and family income 10. such pay advantage should be restored. Employer and union shall nego tiate to correct the distortion 2. should suffice as correction. 140689. pay advanta ge of a position over another is removed or significantly reduced by a pay adjus tment required by a wage order. Frequency – a wage order issued by the Board may not be di sturbed for a period of 12 months from its effectivity and no petition for wage increase shall be entertained during said period EXCEPT when Congress itself iss ues a law increasing wages. 17 February 2004 The distortion t hat should be rectified refers to distortion arising from compliance with a gove rnment wage order. Correctio n of Wage Distortion A. Payment by check – Payment of wages by bank checks. promissory notes. A wage order issued without the required public consultation and newspaper public ation is null and void. the comparison of salaries has to be intra-region.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 groups. Any dispute shall be settled through Nati onal Conciliation and Mediation Board (NCMB) 3. if the of differentiation. not inter-region. Any dispute arising should be resolved throug h grievance procedure under CBA 3. t hus.. a significant pay gap.

authorized in writing by the individual employees concerned 2. Payment through Member of Worker’s Family – where the employer is a uthorized in writing by the Page 24 of 83   . where it is so stipulated in a collective agreement. When the employer provides free transportation to the employees back and forth 3. Payme nt of wage shall absolve the employer of any other liability with respect to the amount paid.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 1. or 2. aor TIFF are needed to see this picture. such affidavit shall be executed in his behalf by his natural guardian or next of kin. actual or impend ing emergencies caused by fire. The employees are given reasonabl e time during banking hours to withdraw their wages from the bank which time sha ll be considered as compensable hours worked if done during working hours d. massage clinic. Final settlement shall be made immediately upon completion of the work. Requisites 1. twice a month at int ervals not exceeding 16 days Except: 1. such manner of wage payment is customary on the date of the effectivity of th e Labor Code. The payment by check is with the written consent of the employees concerned if ther e is no collective agreement authorizing the payment of wages by bank checks Tim e of payment GR: 1. Payment in a place ot her than the work place shall be permissible only under the following circumstan ces: 1. 2. In case any of the heirs is a minor. Payment Through Another Person a. drinking establishment. There is a bank or other facility for encashment within a radius of 1 kilometer from the workplace b. Payment Through Heirs of Worker – in case the worker has di ed. epidemic or other calamity rendering paym ent thereat impossible 2. flood. Under any other analogous circumstances. payment shall be made at intervals not exceedi ng sixteen days in proportion to the amount of work completed. Place of payment – the plac e of payment shall be at or near the place of undertaking. There must be a written permission of the majority of the employe es concerned in an establishment 2. Provided. or 3. employer may pay wages of the deceased to the heirs of the latter without ne cessity of intestate proceedings Procedure: 1. The establishment must be located within 1 km. dance hall. 3. When the heirs are of age. or his representative 4. 3. When authorized under existi ng law including: i. Affidavit shall be presented to the empl oyer who shall make payment through the DOLE Sec. 2. wher e all of the following conditions are met: a. 2. they s hall execute an affidavit attesting to their relationship to the deceased and th e fact that they are his heirs to the exclusion of all other persons. T hat the time spent by the employees in collecting their wages shall be considere d as compensable hours worked Prohibited Place of Payment – bar. The establishment must have 25 or more emplo yees 3. not less than once every 2 weeks. In case of payment of wages by results involving work whi ch cannot be finished in 2 weeks. night or day club . radius to the bank. The employer or any of his agents or representatives does not receive any pecuniary benefit directly or indirectly from the arrangement c. or other similar places or in places where games are played with stakes of money or things representing mo ney except in the case of persons employed in said places Payment through Banks. In case of for ce majeure rendering such payment impossible provided such person is under writt en authority given by the worker for the purpose b. Payme nt through ATM allowed Direct Payment of Wages GR: paid directly to workers to w hom they are due Exceptions: 1. uni on dues where the right to check-off has been recognized by the employer in acco rdance with a collective agreement iii. In case payment cannot be made with such regularity due to force majeure or circumstances beyond the employer s control – the employer shall pay the wages immediately after such force majeure or circums tances have ceased. When payment cannot be effected at or near the place of work by reason o f the deterioration of QuickTime™ and peace and order(Uncompressed) decompressorby reason of conditions. payments for the insurance premiums of the employee ii.

report. 2. In case of unlawful withholding of wages . In cases where the worker is insured with his consent by the employer. 2. 4. Refuse to pay or red uce the wages and benefits.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 employee to pay his wages to a member of his family Non-interference in Disposal of Wages – No employer shall limit or otherwise interfere with the freedom of any employee to dispose of his wages and no employer shall in any manner oblige any of his employees to patronize any store or avail of the services offered by any person. Withholding Tax 4. Establishes a preference of credit and NOT a lien. discharge or in any manner discriminate against any employee who has filed any complaint or instituted any proceeding under this Tit le or has testified or is about to testify in such proceedings. where such indebtedness has become due and demandable 2. Make any stat ement. equipment. In cases where the employer is authorized by law or regulations issued by the DOLE Secretary Other Allowable Deductions 1. LIABILITY FOR WAGES Worker Preference in Case of Employer’s Bankruptcy – workers sha ll enjoy first preference as regards their wages and other monetary claims. SSS. Attorney’s Fees 1. wages may be the subject of execution or attachment. clothing. A declaration of bankruptcy or a judicial liquidation must take place before the worker’s preference may be enforced. D. upon written authorization of the employee 6. Except: When the trade. In cases where employee inde bted to employer. report or record to be false in any material respect. but only for de bts incurred for food. The employ ee is given reasonable opportunity to show cause why deduction should not be mad e 3. Deductions for value of meals and other facilities 9. Such unpaid wages and monetar y claims shall be paid in full before claims of the government and other credito rs may be paid. Wage Deductions GR: NOT allowed Except: 1. Requisites for Valid Deduction for Loss/Damage 1. With hold any amount from the wages of a worker or induce him to give up any part of his wages by force. intimidation. any provisions of law to the contrary notwithstanding. Deduction from the wages of any employee for t he benefit of the employer or his representative or intermediary as consideratio n of a promise of employment or retention in employment. stealth. and the deduction is to recompense th e employer for the amount paid by him as premium on the insurance 2. Medicare. 3. For union d ues. The amount of such deduction is fair and reasonable and shall not exceed th e actual loss or damage 4. occupation or business of the employer recogniz es or considers the practice of making deductions or requiring deposits necessar y or desirable. Salary deductions of a legally established cooperative 5. the culpable party may be assessed attorney’s fees equivalent to ten percent of the amount of wages recovered. Deductio ns for loss or damage 10. shelter. In co urt awards. in any judicial or administrative proceedings for the recovery of wag es. Agency fee 8. The deduction from the wages of the employee does not exceed 20% of the employee s wages in a week Prohibited / Unlawful Acts 1. in cases where the right of the worker or his union to check-off has been r ecognized by the employer or authorized in writing by the individual worker conc erned 3. or see this picture. Deductions for payment to 3rd persons. Pag-IBIG premiums Deductions for Loss o r Damage GR: No employer shall require his worker to make deposits for the reimb ursement of loss of or damage QuickTime™ and a TIFF (Uncompressed) decompressor to material. attorney’s Page 25 of 83   . and medical attendance 3. tools supplied by the are needed to e mployer. It shall be unlawful for any person to demand or accept. threat or by any other means whatsoev er without the worker’s consent. The employee c oncerned is clearly shown to be responsible for the loss or damage 2. Union dues 7. or record filed or kept pursuant to the provisions of this Code k nowing such statement.

or 2. to avoid seriou s loss which the employer would otherwise suffer. 6. In any commercial or non-industrial undertaking or branch thereof. Facilities for Women The DOLE Secr etary may require employers to: 1.betwe en 12 mn – 6 am of the following day. and 7. whether married or u nmarried. equipment or installation. To establish separate toilet rooms and lavatories for men a nd women and provide at least a dressing room for women 3. In any agricultural undertaking at nig httime unless she is given a period of rest of not less than nine (9) consecutiv e hours. establishment or undertaking. other than agricultural . Where the work is necessary to prevent serious loss of perishable goods. with or without compensation in any: 1. or where the woman emp loyee has been engaged to provide health and welfare services. Under other analogous cases exempted by the Secretary of Lab or and Employment in appropriate regulations. woman legally married to male employee concerned Family Planning Se rvices. To determine appropriate minimum age and other standards for retirement or termination in spe cial occupations such as those of flight attendants and the like Maternity Leave (under RA 1161 SSS Law) A female member. to prevent loss of life or property. who need not be legally married. Paternity Leave (under RA 8187 Paternity Leave Act of 1996) Grants 7 working days of paternity leave with full pay to married male employees in the private and public sectors. 3. Incentives for Family Planning – employers who habitually employ more Page 26 of 83 VII. 4. earthquake. who h as paid for at least 3 monthly contributions in the 12-month period immediately preceding the semester of her childbirth or miscarriage shall be paid a daily ma ternity benefit equivalent to 100% of her average daily salary credit for o 60 d ays – normal delivery o 78 days – caesarian delivery Benefits shall be paid only for the FIRST 4 deliveries or miscarriages Maternity benefits. He has applied for paternity leave d. or 3. He is cohabiting with h is spouse at the time she gives birth or suffers a miscarriage c. epid emic or other disasters or calamity. The claimant. Provide seats proper for women and permit the m to use such seats when they are free from work . fire. a married male emplo yee. 5. Where the natu re of the work requires the manual skill and dexterity of women workers and the same cannot be performed with equal efficiency by male workers. 2. His wife has given birth or suffered a miscarriage Wife – lawful wife. WORKING CONDITIONS FOR SPECIAL GROUPS OF EMPLOYEES A. may not be inclu ded in computing the employee’s 13th month pay for the calendar year The employer shall advance the payment subject to reimbursement by the SSS. or in cases of force majeure or imminent danger to public safety. Exceptions: Prohibitions DO NOT APPLY 1. In case of urgent work to be performed on machineries. provided they can perform their duties in this position without detrim ent to efficiency 2. (Sec. In any industrial undertaking or branch thereof between 10 pm – 6 am of the following day. 1(a ). It is not necessa ry that the woman be impregnated by her legitimate husband.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 fees which exceed ten percent of the amount of wages recovered. typhoon. is employed at the time of delivery of his child b. In cases of actual or impendin g emergencies caused by serious accident. is entitled to the maternity leave benefits. To establish a nurser y in a workplace for the benefit of the women employees therein 4. Where the woman employee holds a responsible position of managerial or technical nature. It is immaterial who the father is. WOMEN Night Work Proh ibition – no woman regardless of age shall be employed or permitted or suffered to work. Every pregnant woman in the private sector. flood. like other benefits granted by the SSS. Where the wom en employees are immediate members of TIFF (Uncompressed) decompressor the Quick Time™ and a operating the family are needed to see this picture. RA 8187 IRR) Conditions to entitlement: a. and during worki ng hours. are granted in lieu of wages and therefore.

a woman employee shall be deemed resigned or separated. study and scholarship grants solely on a ccount of their sexes Person guilty of committing these acts are criminally liab le under Arts. B. discriminate or otherwise prejudice a woman employee merely by reason of her marriage Classification of Certain Women Workers – Any wo man who is permitted or suffered to work. discharge. theater. the parent/legal guardian provides the child with primary/secondary education 2. 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. employment does not impair the chi ld’s normal development.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 than 200 workers in any locality shall provide free family-planning services to their employees and their spouses which shall include but not limited to. To discharge or refuse the admission of such woman upon returning to her work for fear that she may be pregnant 4. 288-289 of the Labor Code That the institution of any criminal ac tion under this provision shall not bar the aggrieved employee from filing an en tirely separate and distinct action for money claims. safety. Favoring a male employee over a female employee with respec t to promotion. require as a condition of employment or continuatio n of employment that a woman employee shall not get married 2. salary or other form of remunerati on and fringe benefits. facilities and other benefits p rovided under the Code 2. massage clinic. discharge. NLRC. and c. training opportunities. the ap plication or use of contraceptives Discrimination Prohibited – unlawful for any em ployer to discriminate against any woman employee with respect to terms and cond itions of employment solely on account of her sex Acts of Discrimination 1. Stipulation Against Marriage It shall be unla wful for the employer to: 1. to stipulate expr essly or tacitly that upon getting married. provided that: Page 27 of 83 . when the child’s employment or participation in pub lic entertainment or information through cinema. shall be considere d as an employee of such establishment for purposes of labor and social legislat ion. a woman employee shall be deemed res igned or separated 3. or while on leave or in confinement due to her pregnancy 3. employment does not endanger the child’s life. To discharge any woman employed by him for the purpose of preventi ng such woman from enjoying the maternity leave. are needed to see c ontrary to the fact that she was married. radio or television is essential. Paym ent of a lesser compensation. health and morals b. or to a ctually dismiss. for wo rk of equal value 2. The actions hereby authorized shall pr oceed independently of each other. in any n ight club. To require as a condition for a continuation of employment that a woma n employee shall not get married or to stipulate expressly or tacitly that upon getting married. when the child works directly un der the sole responsibility of his/her parents/legal guardian who employs only m embers of his/her family under the ff conditions a. to a female employees as against a male employee. MINORS Below 15 Not employed EXCEPT: 1. To discharge any woman or child or any other employee for having filed a complaint or having testified or being about to testify under th e Code 5. with or without compensation. To discharge such woman employee on account of her pre gnancy. cocktail lounge. which may include claims f or damages and other affirmative reliefs. status on this picture. including wage. discriminate or otherwise prejudice a woman employee merely by reason of her marriage PT&T Co. to actually dismiss. v. 27 2 SCRA 596 (1997) A woman worker may not be dismissed on the ground of dishonest y forQuickTime™ and a having written “single” on decompressor the space for civilTIFF (Uncompressed)the application sheet. Prohibited Acts It is unlawful for any employer: 1.

he or she shall be paid the compensation already earned + that for 15 days by way of indemnity 3 . 9. employer shall ensure protection. If the househelper is unjustly dismissed. quarrying. Not to be assigned to non-household work 2. the same is permissible 8. and mechanized farming c. Reasonable compensation (minimum cas h wage) 3. Employment certification as to nature and duration of service and eff iciency and conduct of the househelper Indemnity for Unjust Termination of Servi ce 1. intoxicating drinks. Contract for household service shall NOT EXCEED 2 years – renewable from year to year 6. mining. If the period for household service is fixed. If the househelper leaves without justifiable reason. health. 2. Just and humane treatment 7. Right to 4 days vacation e ach month with pay – if the helper does not ask for the vacation. employment does not involve advertisements or commercials promoting alcoholic beverages. logging. fire-fighting. there is a written contract approved by the DOLE. he or she shall forfeit any unpaid salary due him/her not exceeding 15 days. and normal development of the child ii. Exposed to or use of heavy power-driven machinery or equipment e. subject to approval and supervision of competent authoriti es (as amended by RA 9231) ALLOWED ONLY in: nonhazardous or non-deleterious unde rtakings No prohibition d. employer shall formulate and implement a continuing program for training and skills acqu isition of the child. the cond itions prescribed for the employment of minors in No. neither the employer nor the househelper may terminate the contract before the expiration of the term except for a just cause. Funeral expenses must be paid by the employer if the househelper has no relatives with sufficient means in the place where the head of the family liv es 10. Workers use or are exposed to power-driven tools C. If under 18 years. he is only entitled only to its monetary equi valent. including services of family drivers. and arrangement of working time iii. an opportu nity for elementary education – cost of which shall be part of househelper’s compens ation 5.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 a. if possible c. Workers are engaged in cons truction work. tobacco and its by-products or exhibiting viole nce b. Nature of theTIFF (Uncompressed) decompressor workers to workQuickTime™ and a the exposes are needed to see this picture. Termination only for just cause 11. dock-work. blasting. duration. a day – if the househelper agrees to work overtime and there i s additional compensation. HOUSEHELPERS Do mestic or Household Service – services in the employer’s home which is which is usua lly necessary or desirable for the maintenance and enjoyment thereof and include s ministering to the personal comfort and convenience of the members of the empl oyer’s household. deep sea fishing. Lodging. stevedoring. mo rals. food and medical attendance 4. Workers are engaged in t he manufacture or handling of explosives and other pyrotechnic products Page 28 of 83 . contaminants or work conditions b. dangerous enviro nmental elements. 1 are met d. Right not to be required to work fo r more than 10 hrs. Indemnity for unjust termination of s ervice 12. the following requirements are complied with: i. Rights of Househelpers 1. the number of va cation days cannot be accumulated. employer shall institute measures to prevent child’s exploitation / discrimination taking into account the system an d level of remuneration. 15 – Below 18 18 years and above Hazardous Workplaces a.

service is being rendered in the staffhouses o r within the premises of the business of the employer. QuickTime™ and a TIFF (Uncompressed) decompre ssor articles or materials to besee this picture. HANDICAPPED / DISABLED Handicapped Workers – those whose earning capacity is impaired by age or physical or mental deficiency or injury. Inc. the househelper may demand from the employer a written statement of the n ature and duration of the service and his/her efficiency and conduct as househel per Apex Mining Co. it shall be t he duty of such employer to provide in such contract that the employees or homew orkers of the contractor and the latter s sub-contractor shall be paid in accord ance with the provisions of this Rule. disease or illness There must be a link between the deficiency and the work which entitles the empl oyer to lessen the worker’s wage. or through a n employee. The deduction is made a t such rate that the amount deducted does not exceed 20% of the homeworker s ear nings in a week. Prohibitions for Hom ework 1. The homeworker concerned is clearly shown to be responsible for the loss or damage. to the extent th at such work is performed under such contract. or subcontractor shall make any deductio n from the homeworker s earnings for the value of materials which have been lost . If the disability of the person is not in any wa y related to the work for which he was hired. v. contractor or sub-contracto r Industrial Homeworker – system of production under which work for an employer or contractor is carried out by a homeworker at his/her home. Handicapped Worker (Art. Materials may or may not be furnished by the employer or contractor Employer of Homeworker – includes any person. soiled or otherwise damaged unless the following conditions are met : 1. fireworks and articles of like character 2. in the same manner as if the empl oyees or homeworkers were directly engaged by the employer. articles or m aterials to be processed or fabricated in or about a home and then rebuys them a fter such processing or fabrication. directly or indirectly. whether it is a cor poration or a single proprietorship engaged in business or industry or any other agricultural or similar pursuit. The employee is given reasonable opportunity to show cause why deduc tions should not be made. domesti c servant or laundrywoman in a home or in a company staffhouse may be similar in nature. o r causes to be delivered. Sells any goods. natural or artificial who. NLRC. sub-contractor or any other person: a. HOMEWORKERS Homeworker – applies to any pers on who performs industrial homework for an employer. he should not be so considered as a handicapped worker. 2. agent contractor. destroyed. either by himself or through some other per son Deductions – No employee. Liability of employer and contractor – Whenever an employer shall contract with another for the performance of the employer s work. In such instance. and 4. the difference in their circumstances is that in the former instance th ey are actually serving the family while in the latter case. any goods. other articles. they ar e employees of the company or employer in the business concerned entitled to the privileges of a regular employee. for his account or benefit. Delivers. D. explosives. 78 LC) Handicapped Person (RA 727 7 Magna Carta Page 29 of 83         . contractor.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Employment for Certification – upon the severance of the household service relatio nship. 3. 196 SCRA 251 (1991) The criteria are the perso nal comfort and enjoyment of the family of the employer in the home of said empl oyer. While it may be true that the nature of the work of a househelper. or fabricated processed are ne eded to in or about a home and thereafter to be returned or to be disposed of or distributed in accordance with his directions b. In the event that such contractor or subcontractor fails to pay the wages or earnings of his employees or homeworkers as specified in this Rule. the processing of which requires exposure to toxic substan ce E. or on behalf of any person residing outside the country. such employer shall be jointly and severally liable wit h the contractor or subcontractor to the workers of the latter. drugs and poiso ns 3. The amount of such deduction is fair and reasonable and shall not exceed the actual loss or damages.

which may be necessary to aid in enforcement of the Labor Code or any labor law or order 5. their employment is necessary to prevent curtailment of emplo yment opportunities 2. Equal Opportunity for Employment – no disabled person shall be denied access to opportun ities for suitable employment. Issue writs of execution to the appropriate authority for the enforcement of their orders. including labor regulation officers to: 1. b enefits. Nature of work to be performed by t he handicapped worker 4. investigate any fact. decision should explai n the issues involved and the reasons for the decisions rendered 6. Rate of pay of the handicapped worker which shall not b e less than 75% of the legal minimum wage 3. alleged violator must first be heard and given adequate opportunity to present evidence on his behalf b. Contents 1. the case will have to be forwarded to a Labor Arbiter Appeal If order issued by duly authoriz ed representative of DOLE Sec. – appeal to the latter If order involves monetary a ward – an appeal by the employer may be perfected upon only upon posting of CASH o r SURETY bond in the amount equivalent to the monetary award in the order appeal ed from Power of DOLE Secretary May order stoppage of work OR suspension of any unit or department where non-compliance with the law or implementing rules and r egulations poses grave and imminent danger to the health and safety of workers i n the workplace. 128. to question any employee 4. have access to employer’s records and premises at any time of the day or night whenever work is being undertaken therein 2. to perform an activity in the manner or within the range considered normal for a human being. he shall pay the employees concerned their salaries or wages during the period of such stoppage of work or suspension of operations. Within 24 hrs – a hearing shall be conducted to determine whether an order for the stoppage of work or suspension of operations shall be lifted I f violation is attributable to FAULT OF THE EMPLOYER. or at least contai ned in the record and disclosed to the parties e. Names and addresses of the employer and t he handicapped worker 2. ADMINISTRATION AND EMPLOYMENT Art. physical or sensory impairment. does not create unfair competition in labor costs 3. privileges. Duration of the employment VIII. condition. incentives or allowances as a qualified able-bodied pe rson Employment Agreement. Page 30 of 83 When Employable 1. evidence presented dul y considered before any decision reached c. E XCEPT in cases where the employer contests the findings of the labor employment and enforcement officer and raises isues supported by documentary proofs which w ere not considered in the course of inspection – in the latter case. QuickTime™ Power of the Sec. representative. does not impair or lower working standards Handicapped Workers May Become Regular Em ployees – if their handicap is not such as to effectively impede the performance o f job operations in the particular occupations for which they were hired. or m atter which may be necessary to determine violations or . right to c opy records 3. decision based on evidence presented in the hearing. Visitorial and enforcement power. Qualified disabled employees shall be subject to same terms and conditions of employment and the same compensation. decision is that of the decisi on-making authority and not mere views of subordinates f.TIFF (Uncompressed) decompressor of Labor or and a dul y authorized his are needed to see this picture.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Those whose earning capacity is impaired by age or physical or mental deficiency or injury for Disabled Persons) Those suffering from restriction or different a bilities as a result of a mental. fringe benefits. issue compliance orders to give effect to labor legislation based on the findings of employment and enforcement officers or industrial safety engine ers made in the course of inspection Compliance Order – must observe due process i n administrative proceedings: a. decision is based on substantial evi dence d.

aggregate claims of each employee or househelper DOES NOT EXCEED P5. Guico v. DENTAL AND OCCUPATIONAL SAFETY First Aid Treatment – adequate. of Labor within 10 calendar days IX. no claim for reinstat ement 2.000. 129 Regional Director or any LIMITS AS TO AMOUNT OF CLAIM authorized repr esentative who may or may not be a Regional Director Visitorial and enforcement power exercised through routine inspections of establishment Requires existence of EER duly authorized hearing officer of DOLE NATURE OF POWER Adjudicatory power on matter involving recovery of wage EER not necessary since it should not include a claim for reinstatement Sworn complaint filed by interes ted party Aggregate claim of each complainant does not exceed P5.000 Appeal to N LRC within 5 calendar days EXISTENCE OF EER HOW INITIATED Enforcement power is an offshoot of visitorial power No limit APPEAL Appeal to Sec.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 POWER Unlawful For any person or entity to obstruct. impede. OR his dul y Art. 128 No inferior court shall issue tempor ary or permanent injunction or restraining order or otherwise assume jurisdictio n over any case involving the enforcement orders. provided: 1. MEDICAL. irrespective of whether or n ot such injury or illness is work-connected. WHO EXERCISES Page 31 of 83 . First-Aider – any person trained and duly cer tified as qualified to administer first aid by the PNRC or by any other organiza tion accredited by the former X. Enforcement Power cannot be Us ed Case does not arise from exercise of visitorial power When EER ceased to exis t at the time of inspection If employer contests finding of the labor officer an d such contestable issue is not verifiable in the normal course of inspection Re covery of Wages. immedi ate and necessary medical and dental attention or remedy given in case of injury or illness suffered by a worker during employment. the Regional Director still retains jurisdiction based on inspection’s findings i n the nature of enforcement action 3. EMPLOYEES’ COMPENSATION Workmen’s Compensation – a general and comprehensive term a pplied to those laws providing for compensation for loss resulting from the inju ry. 128 DOLE Sec. Simple Money Claims and Other Benefits (Art. Sec. delay or otherwise render ineffective the orders of the Sec. 129) Jurisdiction: DOLE Regional Director (summary proceeding and non-litigious) Claimant: Employe e or person in domestic or household service. of Labor. Social Security benefits. or his authorized representatives issu ed pursuant to the authority under Art. before a more extensive medical and /or dental treatment can be secured. Medicare benefits and Maternity Benefits Art.000 . 298 SCRA 666 (1998) If the claim later exceeds P5. o f last pleading Not Included: claims for Employees’ Compensation. claims arise from EER NOTE: Notice and hea ring Resolution of complaint within 30 days from filing (Appeal within 5 calenda r days to NLRC) NLRC to resolve appeal within 10 calendar days QuickTime™ and a TI FF (Uncompressed) decompressor from submission are needed to see this picture.

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INGRES S-EGRESS / PROXIMITY RULE – when the injury is sustained when the employee is proc eeding to or from his work on the premises of the employer. The employee must have been injured at the place where the work required him to be 2 . 2. The employee must have been performing his official functions 3. The act of the employee of going to. doing overtime work shall be considered work-connected Sickness – any illness accepted as an occupational disease listed by the Commissi on or any illness caused by the employment subject to proof that the risk of con tracting the same is increased by the working conditions . or notorious negligence Injuries incurre d QuickTime™health worker while by a and a TIFF (Uncompressed) decompressor are ne eded to see this picture. that is. there was no notorious negligence on the part of the employee Death – loss of life resulting f rom injury or sickness Disability – loss or impairment of a physical or mental fun ction resulting from injury or sickness Direct Premises Rule GR: The accident sh ould have occurred at the place of work to be compensable. the injury is compen sable. he had not been diverted t herefrom by any other activity and he had not departed from his usual route to. the disease was contracted as a result of the empl oyee’s exposure to the described risks 3. a. and b. If the injury is sustained elsewhere. must have been a continuing act. The injury was not due to the employee’s intoxication. c. the work place. the employee must have been executing an order of the e mployer 4. GOING TO OR COMING FROM WORK – when the injury is sustained when the emp loyee is proceeding to or from his work on the premises of the employer. his workplace. is liable to the injury sustained by the employees while on board said mean s of transportation d. willful intentio n to injure or kill himself or another. EXTRA PREMISES RULE – the company which provides the means of transportation in going to. or coming from.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 disablement or death of a workman through industrial accident. or from. The employer’s obligation is to pay his counter contribution to the SSS Injury – any harmful change in the human organism from any accident arising out of and in the course of employment Conditions for Injury to be Compensable 1. Exceptions: 1. the inj ury is compensable. Employee’s work must involve the risk described therein 2. casualty or disea se Compensation – money relief offered according to the scale established under th e statute as differentiated from compensatory damages recoverable in an action a t law for breach of contract or for tort WORKMEN’S COMPENSATION ACT (WCA) Presumpt ion of compensability Presumption of aggravation There is a need for the employe r to controvert the claim within 14 days otherwise he is deemed to have waived t he right Payment of compensation is made by the employer EMPLOYEES COMPENSATION LAW (ECL) No presumption of compensability No presumption of aggravation No need for the employer to controvert the claim Conditions for Occupational Disease an d Resulting Disability or Death to be Compensable 1. DUAL PURPOSE DOCTRINE – allows compens ation where a special trip would have to be made for the employer if the employe e had not combined the service for the employer with his going or coming trip Page 32 of 83 Payment of compensation is made by the SSS/GSIS through the State Insurance Fund . SPECIAL ERRAND RULE – injury sustained outside the company premises is compensable if his being out is covered by an office order or a loca tor slip or a pass for official business e. An employee on a special errand must have been of ficial and in connection with his work. or coming from the place of w ork. the disease was contracted within the pe riod of exposure and other such factors necessary to contract it 4.

TEMPORAR Y TOTAL – if as a result of the injury or sickness. for not more than 60 mos. The action is selective and the employee may either choose t o file the claim under either. and legally adopted or acknowledged natural child who is un married. if the suici de/death is caused by work-related or compensable illness or disease Rules on Si multaneous Recovery QuickTime™ the 1. one greater than that to which other persons in the community are exposed and an unexpected injury occurs. The employee pays no contribution to the fund. willful intention to injure or kill himself or ano ther 3.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 SPECIAL ENGAGEMENT RULE – covers field trips. that is. natural born or legally adopted) Page 33 of 83 . Dependent spouse until he/she remarries 2. Effective Date of Coverage – the employer is covered from the first day of operation and the employee from first day of employment Limits of L iability No compensation if the injury. Simultaneous recovery underand a Labor Code TIFF (Uncompressed) decompressor are cannot be made. the employee suffers a permanent partial loss of the use of any part of his body Death Benefits – The System shall pay to the primary beneficiaries upon the death of the covered empl oyee an amount equal to his monthly income benefit. and the Civil Code needed t o see this picture. guaranteed for 5 ye ars 2. intramurals. intoxication 2. legitimated. to the secondary beneficiaries in case there ar e no primary beneficiaries 3. POSITIONAL AND LOCAL RISKS DOCTRI NE – if an employee by reason of his duties is exposed to a special or peculiar da nger from the elements. f. not gainfully employed and not over 21 years of age or over 21 years of age. the injury is compen sable Compulsory Coverage – ECL applies to all employers. beginning with the youngest. and without sub stitution. PRIMARY 1. Dependent 1. in no case shall the total benefit be less than P1 5. the employee is unable to perf orm any gainful occupation for a continuous period not exceeding 120 days 2. outings. PE RMANENT PARTIAL . The income benefit shall be guaranteed for 5 years. and picnics wh en initiated and sanctioned by the employer g. by agreement of the parties 2. But once the election is made. temporary. notorious negligence – deliberate act of the employee in disregard to his own personal safety 4. the employee is unable to perform any gainful occupation for a continuous period exceeding 120 days 3. otherwise provided by the Labor Code Death through Suicid e GR: not compensable Exceptions: 1. State Insurance Fund – all covered employers are required to remit to a common fund a monthly contribution equivalent to 1% of the monthly s alary credit of every covered employee. the claimant canno t opt for the other remedy. Beneficiaries A. provided he is incapable of self-support due to a physical or mental defec t which is congenital or acquired during minority 2. legitimated. and to all employees. Simultaneous recovery under the Labor Code and th e SSS can be made. or substitute employees An employee over 60 yrs of age and paying contributions to qualify for the retir ement or life insurance benefit administered by the system shall be subject to c ompulsory coverage. De pendent children (legitimate.if as a result of the injury or sickness. emergency. legitimate spouse living wi th the employee 3. Any agreement to contrary is prohibited Disability Categories 1. for life to the primary beneficiaries. PER MANENT TOTAL – if as a result of the injury or sickness. pu blic or private including casual. plus 10% thereof for each de pendent child. death or disability is the result of the employee’s: 1. 2.000. but not exceeding 5. Legi timate. parents of said employee wholly dependent upon him for regula r support Benefits 1.

grandchildren QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 B. Page 34 of 83 . SECONDARY 1. Illegitimate children and legitimate descendants 2. Parents. gra ndparents.

Sections 6 and 7 of these Rules. LABOR ORGANIZATIONS 1. B. 243. be considered as an employee for purposes of membership in any labor union. or unduly interfere with employees and worker s in their exercise of the right to self organization. 246. Section 2-E of the Rules. To engage in lawful concerted activities for the purpose of collective bargaining or for their mutual aid and protection. Chartered Local – refers to a labor organization that acquired legal personality through the issuance of a charter c ertificate by a duly registered federation or national union. The term shall not be limited to the employees of a particular employer. 277 par. It shall include any individual whose work has ceased as a result of or in connection with any curren t labor dispute or because of any unfair labor practice if he has not obtained a ny other substantially equivalent and regular employment. Coverage and employee s’ right to selforganization. . unless the Code so explicitly states. Ambulant. and mutual aid and protection. Forming. the term shall not include any labor organization or any of its o fficers or agents except when acting as employer Employee – includes any person in the employ of an employer. coerce. 2. medical and educational institutions. Non-abridgment of right to selforganizatio n. ALL perso ns in: Commercial. Any employee. industrial. are needed to see this picture. and includes any branch or local thereof Affiliate – refers to an independent union affiliated with a federation or national union or a chartered local which was subsequently granted independent registration but did not disaffiliate from its federation. (ART. RIGHT TO SELF ORGANIZATION A. religious. Definition and Types Labor Organization – means any union or association of emplo yees which exists in whole or in part for the purpose of collective bargaining o r of` dealing with employers concerning terms and conditions of employment Legit imate Labor Organization – means any labor organization duly registered with the D OLE. Consoli dation – refers to the creation or formation of a new union arising from the unifi cation of two or more unions Independent Union – refers to a labor organization op erating at the enterprise level that acquired legal personality through independ ent registration Legitimate Workers’ Association – refers to an association of worke rs organized for mutual aid and protection of its members or for any legitimate purpose other than collective bargaining registered with the Department Merger – r efers to a process where a labor organization absorbs another National Union or Federation – refers to a group of legitimate labor unions in a private establishme nt organized for collective bargaining or for dealing with employers concerning terms and conditions of Page 35 of 83 PURPOSE: Collective bargaining.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 LABOR RELATIONS I. Who Enjoys the Right to Self Organization General Rule: 1. Employer – includes any person acting in the interest of an employer. reported to the Regional Office and the Bureau in accordance wi th Rule III. shall. agricultural. intermittent and itinerant and rural workers. CONCEPT & SCOPE Art. engaging in lawful concerted activities for coll ective bargaining. the self-employed and those with no definite employ ers may form labor organizations. PURPOSE: Mutual aid and protection. directly or indirectly. 2. beginning on his first day of serv ice. or assisting labor organizations for the purpose of collective bargaining through representatives of their own choosing. discriminate against. QuickTime™ and a whether or not TIFF (Uncompressed) deco mpressor operated for profit. whether employed for a definite period or not. Art. It shall be unlawful for any person to restr ain.c) Right to Self-Organization The right includes: 1. joi ning. and reported to th e Regional Office in accordance with Rule III. charitable.

Equity of the incumbent. c. in the preparation of the financial reports 2. Cancellation of registration Grounds for Cancellation of Union Registration 1. Requirements for Registration (ANNEX A) Requiremen ts in Case Of Merger/Consolidation (ANNEX B) Procedure for Registration of Labor Organization (ANNEX C) 3. Annual financial report to the BLR within 30 days after the clo sing of every fiscal year d. 242. Grounds for cancellation of union registration. strike fund and credit and coo perative undertakings. Art. with its annual audited financial statements. for the use and benefit of the labor organization and its me mbers. 239. Misrepresentation. To act as the repre sentative of its members for the purpose of collective bargaining. To undertake all other a ctivities designed to benefit the organization and its members. mutual death and hospitalization benefits. including cooper ative. i ncluding the balance sheet and the profit and loss statement. 236. Art. Failure to Submit: a. Action on application. Rights of Labor Organization Art. Minutes of the elections of officers. Checking off special assessments or any other fees without duly s igned individual written authorizations of the members (other than for mandatory activities under the Labor Code) Procedure for Cancellation of Registration (AN NEX D) Procedure for Cancellation of Registration Due to Non-Compliance with Rep ortorial Requirements (ANNEX E) 4. 240. Miscellaneous provisions. 231. housing. 234. Art. welfare and other projects not contrary to law. minutes of ratification and the list of members who took part in the ratification QuickTime™ and a b. list of officers/voters within 30 days from election c. (a) All unions are authorized to collect reasonable membership fees. Art. 237. Art. 277. minutes thereof. real or personal. Enterin g into CBAs with terms and conditions of employment below minimum standards esta blished by law 5. 2. To be furnished by the employer.       . Registr ation of labor organizations Art. welfare fund. To be cert ified as the exclusive representative for purposes of collective bargaining. Additional requirements for federations or national unions. 2. To sue and be sued in its registered name. Art. directly and Page 36 of 83 b. Rights of legitimate labor organizations. Requirements of registration. 235. 238. Art. appeal. list of members who took part within 30 days from adoption of ratific ation or amendments thereto Rights of Labor Organizations 1. False Statement or Fraud in connect ion with: a. Art. assessm ents and fines and other contributions for labor education and research. union dues. 4. 6. Denial of registration. 3. Asking for or accepting attorney s fees or negotiation fees fr om employer 6.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 employment for their member unions or for participating in the formulation of so cial and employment policies and standards and programs. Registry of unions and file of collective bargaining agreements. election ofTIFF (Uncompressed) decompressor officers. registered with the Bur eau Union – refers to any labor organization in the private sector organized for c ollective bargaining and for other legitimate purposes Workers’ Association – refers to an association of workers organized for the mutual aid and protection of its members for any legitimate purpose other than collective bargaining. List of individual members to the BLR once a year o r whenever required by the BLR 3. The income and p roperties received by legitimate labor organization which are actually. CBL. Cancellation of regis tration. 5. list of are officers/voters needed to see this picture. Acting as labor contractor or engaging in the Cabo System or otherwise engaging in any activity prohibited by law 4. adoption/ratification of the CBL or amendments thereto. appeal. minutes of its adoption/rat ification. To own property .

recall. Under Art. or with custody. suspend. 1994) Confidential employees assist and act in a confidential capacity to. Confidential E mployees Confidential employees are also prohibited from forming. Intervention will be allowed only if there is suggestion of fraud or collusion or that the representative will not act in good faith for the protection of all interest represented by the union. duties and other assessments. The union can only assist them but cannot decid e for them. Honorable Rube n Torres. 8 SCRA 832 (1963)] Compromise of Money Claims Money claims due to laborers cannot be the ob ject of settlement or compromise effected by a union or counsel without the spec ific individual consent of each laborer concerned. Page 37 of 83 . By the very nature of their functions. 3. As such. [Kaisahan ng mga Manggagawa sa La Campana v. 245. persons who exercise managerial functions in the field of labor relations [Philips Industrial Development v. assist or form separa te labor organizations of their own. 2. who.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 exclusively used for their lawful purposes shall be free from taxes. and 2. 88957 (June 25. The beneficiaries are the ind ividual complainants themselves. After the union is certified by DOLE as such sole bargaining representative. or have access to confidential matters of. in the interest of the empl oyer. Written request from the uni on 4. Managerial & Supervisorythis picture. discharge .R. QuickTime™ and a TIFF (Uncompressed) decompre ssor Manager – one who is vested with the power or prerogative to lay down an execute m anagement policies and/or to hire. No. the rationale behind the ineligibility of managerial employees to form. Supervisor – one. Right to Represent its Members When a union files a case “for a nd in behalf of its members. Confidential Employees – a confidential employee is one who is entrusted with confidence on delicate matters. or forming any labor organization. 277(a) and discussed under the topic of check-off under Art.” a member of that union will not be permitted to file in the same case a complaint-inintervention. or care and protection of the employer’s property. 241 (Rights an d conditions of membership in a labor organization) C. Requires the Use of Independent Judgment. supervisory or even a rank and file employee. Effective. transfer. (National Association of Trade Unions (NATU) – Republic Planters Bank Supervisors Chapter v. But by v irtue of necessary implication. lay-off. 245. SPECIAL GROUPS OF EMPLOYE ES are needed to see Employees 1. Supervisory employees shall not be eligible for membership in a labor organization of the rank-and-file employees but may join. During the collective barg aining negotiation Right to Collect Fees Right to collect fees is recognized in Art. 2. joining or ass isting any labor organization. [Dionela v. confidential employees are similarly disqualifie d. assisting. NLR C. Sarmiento 133 SCRA 220 (1984)] When the Union has the Right to be Furnished with Financial Statements 1 . effectively recommends managerial actions Power to recommend Must be both 1. Court of Industrial Relations. hand ling. After the union has been recognized by the employer as sole bargaining represe ntative of the employees in the bargaining unit. G. confidential employees are not prohibited from joining. they assist and act in a confidential capacity to. Purpose of Employees Disqualifi cation of Confidential Doctrine of Necessary Implication – what is implied in s statute is as much part t hereof as that which is expressed Under Art. managerial employees are not eligible to join. assist or form any labor org anization. or have access to confidential matters of. 1992)] NOTE: Confidential employees may be manageria l. Compromise agreement between the union and the company is binding upon the minor ity members of the union. Within the last 60 days of the life of a CBA 5. persons who exercise man agerial functions in the field of labor relations. assign or discipline employees Note that the management policies must pertain exclusively to labor relations.

Members of Cooperatives Benguet Electric Cooperative v. It is therefore. that the right to join a union includes the right to abstai n from joining any union. that in spite of a ny closed shop agreement. RoldanConfesor . v. as he please s. then the prohibition t o form. (M anila Electric Co. however. It does not prohibit the members of said religious sec ts from affiliating with labor unions. FerrerCalleja. or assist a union does not apply. collective bargaining and ne gotiation. i. Elizalde Rope Workers’ Union upholding t he right of members of the Iglesia no Kristo sect not to join a labor union for being contrary to their religious beliefs. Kapatiran sa Meat and Canning Division v. Inc. et. (Metrolab Industries. join. join or refrain from joining an association.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 assist or join a labor union equally applies to them. Members o f Iglesia ni Kristo Victoriano v. a rig ht comprehends at least 2 broad notions. Supervisors & Exempt Union. and not involvement in the management thereof. They cannot invoke the right to collective bargaining for “certainly an owner cannot bargain with himself or his coowners. therefore. and neither may the employer or labor union compel them t o join. notwithstanding their religious belie fs. does not bar the members of that sect from forming their own union. It is clear. The public respondent correctly observed that the “recognition of the tenets of that sect xxx should not infringe on the basic righ t of self-organization granted by the constitution to workers.1996) Access to Confidential Labor Relations Information The information must be related labor relations matters. neither does the law prohi bit them from joining. GR No. With respect. What the exception provides is that members of said religious sects cannot be compelled or coerced to join labor unions even wh en said unions have close shop agreements with the employers. 20 May 19 91) 4.” It is the fact of ownership of the cooperative. Secretary of Labor and Employment. v. Laguesm a. members of said religious sects cannot be refused empl oyment or dismissed from their jobs on the sole ground that they are not members of the collective bargaining union. where a labor union and an employ er have agreed on a closed shop. which disqualifies a member from joining any labor organization within the cooperative. the employee wh o should decide for himself whether he should join or not in an association. whereby an employee may act for himself without being prevented by law.2000) If the access is merely incidental to his duties and not necessary in th e performance of such duties. regardless of . they can do so. v. 59 SCRA 54 (1974) What the Constitution and the Industrial Peace Act recognize and guarantee is th e “right” to form or join associations. al. they may now join a abor organization of the rank and file or that of the supervisory union. Ferrer-Calleja. power whereby an employee may. far from infringing the constitutional provision on freedom of association. liberty or freedom. u pholds and reinforces it. namely: first. The fact that the member-employees of petitioner (cooperative) do not participate in the actual QuickTime™ and a management of the cooperative does not make them TIFF (Uncompressed) decompressor are needed to see this picture. Nothwithstanding the different theories prop ounded by the different schools of jurisprudence regarding the nature and conten ts of a “right. (Sugbuanon Rural Bank v. elig ible to form. When the employee does not have access to confidential labor relations information. Held: The right to collective bargaining is not available to an employee of a cooperative who at the same time is a member and co-owner thereof.” it can be safely said that whatever theory one subscribes to. 162 SCRA 367 (1 988) This Court’s decision in Victoriano v. If. the members of said religious sects prefer to sign up with the labor union. that the assailed Ac t. and second. 1 80 SCRA 740 (1989) Issue: Whether employees of a cooperatove are qualified to fo rm or join a labor organization for purposes of collective bargaining. 5. the access does not render the employee a confiden tial employee (San Miguel Corp. Security Guards Under RA 6715. the law does not coerce them to join. 91902. depending on their rank. Elizalde Rope Workers’ Union. The legal protection granted to such right to refrain from joining is withdrawn by operation of law.e. It is clear therefore. assist or join a labor organization purposes of collective bargain ing. the absence of legal restraint. Laguesma 1997) 3. t o employees who are neither members nor co-owners of the cooperative they are en titled to exercise the rights to self-organization.

Page 38 of 83 .

Government Employees Art. Where the purpose is to influence the union activity of emplo yees. Government employees. The immunity granted being “fro m every form of legal process except in so far as in any particular case they ha ve expressly waived in their immunity. Kinds of Union Security Agreements 1. 7. The exerc ise of jurisdiction by the DOLE in these instances would defeat the very purpose of immunity. Police Officers/Policemen 3. Jail Guards High level emplo yees are also not allowed to join the organization of rank and file government e mployees. managerial or one whose duties are highly confidential in natu re. Government Employees Not Allowed To Unionize 1. but must become union members after a cert ain period to retain employment. 2 . 3. It could trigger off a series of events in the collective ba rgaining process together with related incidents and/or concerted activities. Members of the Arme d Forces 2. 203 SCRA 596 (1991) The terms and conditions of employment in the government service are governed by law. 244. MODIFIED UNION SHOP – Employees who are Page 39 of 83 . filed a petition for certification election. wh ich could inevitably involve ICMC in the “legal process. both international organizations. ICMC and IRRI claimed immunity. in accordance with international practice. the discrimination is unlawful. Art. Art.” it is inaccurate to state that a certifica tion election is beyond the scope of that immunity for the reason that it is not a suit against ICMC. –(e) Discrimination. Davao City Water District v. Firemen 4.one whose functions are normally considered po licy determining. Held: The grant of immunity from loca l jurisdiction to ICMC and IRRI is clearly necessitated by their international c haracter and respective purposes. Calleja. beginning on his first day of service. (c) Any employee. Union Security Clause – generic term which comprehends “closed shop. the inclusion of union security c lause in the CBA is not considered ULP. we mean gove rnment owned or controlled corporation created by a special law and not under th e Corporation Code of the Philippines. Civil Service Commission. c ivil and administrative proceedings. The objective is to avoid the danger and parti ality and interference by the host country in their internal workings. 190 SCRA 130 (1989) Labor organizations in the Internati onal Catholic Migration Commission (ICMC) and a International Rice QuickTime™ and TIFF (Uncompressed) decompressor Research Institute are needed to see this pictu re. However. Right of employees in t he public service. Any understanding betw een the top officials of a government agency and the union which represent the r ank-and-file is subordinate to the law governing the particular issue or situati on. ACQUISITION AND RETENTION OF MEMBERSHIP. from political pressure or control by th e host country to the prejudice of member states of the organization. What the law prohibits is discrimination to encourage or discourage membership in a l abor organization. It is clear that what has been excluded f rom the coverage of the CSC are those corporations created pursuant to the Corpo ration Code. 276. o High level employees.” D. Employees of International Organizations International Catholic Migration Commission v. whether employed for a definite period or not. A certification election cannot be viewed as independent o r isolated process. Association of Court of Appea ls Employees v. CLOSED-SHOP – only union me mbers can be hired and they must remain as union members to retain employment. shall. 201 SCRA 593 (1991) B y government owned or controlled corporation with original charter. 277. UNION SHOP – Nonmembers may be hired. which is to shield the affairs of international organizations. Ferrer-Calleja. (IRRI). be considered as an employee for purposes of membership in any labo r union.” which includes “any penal. Unfair labor practices of employers.” or any other form of agreement which imposes u pon employees the obligation to acquire or retain union membership as a conditio n of employment.” “union shop. Miscellaneous provisions. and to ens ure the unhampered performance of their functions. 6.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 religious affiliation. UNION SECURITY AGREEMENTS Art. 248.

Inc. 274. GR Nos. 241. right to vote on prop osed special assessments h. right to deduction of special assessments only with written authorization from member. RIGHT TO INFORMATION a. right to be inform ed about the organization’s constitution and by-laws and the collective bargaining agreement and about labor laws. (Manila Mandarin Employees Union v. Open shop does not require union membership as a condition of employment. 241 1. BARGAINING FOR MEMBERS ONLY – Uni on is recognized as the bargaining agent only for its own members. decide on major policy questions by sec ret ballot 3. right to require adequate records of income and expenses. right against unauthorized collection c. Libert y Flour Mills. EXCLUSIVE BARGAINING SH OP – Union is recognized as the exclusive bargaining agent for all employees in th e bargaining unit. the Constitution guarantees to them the rights "to self-organization. whether union members or not. A member who has been convicted of a crime involving moral turpitude is ineligible for election or appointment in the union. 4. Visitorial power. right to be v oted for 2. MAINTENANCE OF MEM BERSHIP SHOP – Employees are not compelled to join the union. MEMBERSHIP. Lab or organizations cannot knowingly admit or continue in membership any individual who belongs to a subversive organization or engaged directly or indirectly in a ny subversive activity. Liberty Flour Mills Employees v. Art. 29 December 1989 Union and Company execut ed a CBA which contained a union shop clause Over a year after the execution of the CBA. e. A closed shop provision is a valid for of union security. GR No. RIGHTS OVER MONEY MATTERS a. 222. 29 September 1987) 4.. of encouraging the workers to join and support the labor union of their own choice as their representative in the negot iation of their demands and the protection of their interest vis-a-vis the emplo yer. right to vote on officers’ compensation g. AGENCY SHOP – a n agreement whereby employees must either join the union or pay to the union as exclusive bargaining agent a sum equal to that paid by the members. Every payment of fees. dues or other contributions by a member shall be evidenced by a receipt signed by the officer and entered into the record of the organization. right against excessive fees b." There is no que stion that these purposes could be thwarted if every worker were to choose to go his own separate way instead of joining his co-employees in planning collective action and presenting a united front when they sit down to bargain with their e mployers. but all workers hired after is required to join. Rights and conditions of membership i n a labor organization. Held: It is the policy of the State to promote unionism to enable the workers to negotiat e with management on the same level and with more persuasiveness than if they we re to individually and independently bargain for the improvement of their respec tive conditions. And every ex penditure shall be evidenced by a receipt from the person who Page 40 of 83 . These union security agreements are opposite of OPEN SHOP. 76989. RIGHTS OF MEMBERS Art. NLRC. 2. 2 employees were dismissed after they formed their own union. Every income shall be evidenced by a record showing its source. but all present or f uture members must remain in good standing in the union. It is for this reason that the law QuickTime™ and a has sanctioned stipu lations TIFF (Uncompressed) decompressor are for the union shop andneeded toclos ed shop as a means the see this picture. right to vote b. 3. Art. right against unauthorized disbursements d. 58768-70. right to participate in de liberations on major policy questions b. To this end. E. Other Rights & Conditions under Art. Rights of Union Members 1.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 not union members at the time of the signing the contract is not required to joi n the union. right to access fin ancial records f. DELIBERATIVE AND DECISION-MAKING RIGHT a. POLITICAL RIGHT a. and such a provis ion in a collective bargaining agreement is not a restriction of the right of fr eedom of association guaranteed by the constitution. 4. collective bargaining and negotiations and peaceful concerte d actions including the right to strike in accordance with law. Appearances and Fe es.

6. .5. 7.

78131 (1988) The question of eligibility to vote may be QuickTime™ and a determined through the use of decompressor TIFF (Uncompressed) the applicable payroll are needed to se e this picture. (n). The secretary or any other responsible union officer shall give the Secretary with a list of the newly-elected officers . Individual written authorization for check-off duly signed by the employee concerned – to levy such assessments Pa lacol v.one cannot even be a member of the organization Union Election Protest – complaints or protests regardi ng election of union officers is treated as an intra/inter-union dispute Check-O ffs & Assessments Check-Off – a method of deducting from an employee’s pay at prescr ibed period. . by laws are silent or if there is no agreement. Petitioners question the special assessments. o Membership in good standing – any person who has fulfilled the requirements for membership in the union and who has neither voluntarily withdrawn from membership nor has bee n expelled or suspended from membership. Authorization by a written re solution of the majority of all the members at the general membership meeting du ly called for that purpose. then Rule 12 of the Implementing rules will apply Elections under Rule 12 of the Implementing Rules (ANNEX F) Eligibility of Voters Only members of the union can take part in the e lection of union officers. 277. 182 SCRA 710 (1990) The union president submitted the a uthorization for the company to deduct union dues and 10% by way of special asse ssments. Tancinco v. Pura Ferrer-Calleja GR. 2. which a nonuni on member pays to the union because he benefits from the CBA negotiated by the u nion Requisites for a Valid Special Assessments 1. fines or assessments. votes cats. members of the union submitted documents stating that the y were withdrawing their authorization such that in the end. No. an employee is already qualified for union membership starting on his first day of service. o If the co nstitution. Ele ction shall take place every 5 years. period and employee’s status during the applicable period. E ligibility for Membership Eligibility for membership depends upon the union’s cons titution and by laws.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 was paid. Subsequently. Agency Fee – amount equivalent to union dues. The receipt shall state the date. 3. the amounts due the union for fees. purpose of the special assess ments and the recipient of such assessments. Individual who belongs to a subversive organization or en gaged directly or indirectly in any subversive activity. under Art. Under Art. Deduction s for union service fee are authorized by law and do not require individual chec k-off authorizations. Election of Union Off icers Officers shall be elected directly by members in secret ballot voting. o must include list of members present. there ere 528 objec tors and only 272 supporters. 2. 241. place and purpose of such payment. the Union must submit to t he company a written resolution of a majority of all the members at a general me mbership meeting called for Page 41 of 83 . However. Disqualification of Union Officers 1. Held : The failure of the union to comply strictly with the requirements set out by t he law invalidates the questioned special assessments. and appointed officers or agents who are entrusted with the handling of funds within 30 days after the election Procedure of elections o GR: in accordance wit h the union’s constitution and by-laws or agreement among the members. Substantial compliance is not enough in view of the fact that the special assessment will diminish the co mpensation of the union members. The only qualification requirement for can didacy shall be membership in good standing in labor organization. Convicted of a crime involvi ng moral turpitude. Secretary’s record of the minutes of the meeting. Ferrer-Calleja. Submiss ion of the employees’ name with the BLR as qualified members of the union is not a condition sine qua non to enable said members to vote in the election of the un ion officers.

Dept. GR. II. et. and any attack to it – any attack to it – any act intended to defeat or debilitate the right – is regarded by law as an offense. it follows that not ev ery unfair act is unfair labor practice. N o. Concept of unfair labor practice and proced ure for prosecution thereof. of Labor. 247. but also to prevent unnecessary and premature resort to a dministrative or judicial bodies. the right t o self – organize has been enshrined in the Constitution. Violation of Rights of Members GR: Complaint for violation of rights must be reported by at least 30% of the union members. are nee ded to see this picture. ULP therefore. UNFAIR LABOR PRACTICES Art. by giving the union officer ample opportunity to defend himself. machinery. Remedies for Violation of Rig hts Litton Mills Employees Association-Kapatiran v. Because ULP is and has to be related to the rig ht to self organization and to the observance of the CBA. 212(k) defines unfair labor practi ce as any unfair labor practice as defined by this Code. al. among others. as con trasted to an outright impeachment. No organizational right can be negated or assailed if the employer – employee relatio nship is absent in the first place. Crimina l Aspect Page 42 of 83 . supported by 20% of the membership. EER between th e offender and the offended. Civil Aspect 2. it will decide the same correctly. The law would not have specified a general membership meeting had the legislative intent been to allow local meetin gs in lieu of the latter. it commonly con notes anti – unionism. There can be no valid check-off considering that the m ajority of the union members had already withdrawn their individual authorizatio n. GR No. The victim of the offense is not just the workers as a body a nd the well – meaning employees who value peace. Elements of Unfair Labor Practice 1. refers only to acts oppo sed to workers’ right to organize. is afforded a chance to pas s upon the matter. Exception: when the violation dir ectly affects only one or two members. Diamonon v. petitioners should have shown substantial compliance with said impeachment pr ocedure. Art. When committed by the employer. 07 March 2000 When the Constitution and by-laws of both unions dictat ed the remedy for intra-union dispute. the attack to this constitutional right is considered a crime which carries both civ il and criminal liabilities. 108951. The act done is expressly defined in the Code as an act of unfair labor practice. Aspects of Unfair Labor Practice 1. this should be resorted to not only to gi ve the grievance machinery or appeals’ body of the union the opportunity to decide the matter by itself. The prohibited acts are all related to the workers’ self – organizational right and to the observance of a collective bargaining agreement. Visitorial Power The Secre tary or his duly authorized representative can inquire into the financial activi ties of any labor organization on the basis of a complaint under oath. as in this case.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 the purpose. L-780 61 (1988) Despite the practical difficulties in complying with the said procedur e. 2. Cancellation of the union r egistration 2. must include. Consequence of Violation of Rights 1. Concept of Unfair Labor Practices The aim of labor relations policy is industrial democracy whose realization is most felt in a fre e collective bargaining or negotiation over terms and conditions of employment. In addition. Because self – organization is a prerequisite of industrial democracy. Thus. then only one or two members can report s uch violation. The underlying principle of the rule on exhaus tion of administrative remedies rests on the presumption QuickTime™ and a that whe n the administrative decompressor or grievance TIFF (Uncompressed) body. Ferrer-Calleja. but the State as well. the list of all th e members present as well as the votes cast. the secretary of the organization must record the minu tes of the meeting which in turn. ULP is negation of a counteraction to the right to organize which is available only to employees in relation to their employer. right after he failed to appear before the f irst and only investigation scheduled. Expulsion of the cULPable officers.

it is the prerogative of the company to promote. 290). Jurisdiction of Criminal Charge o f ULP The criminal charge fall under the concurrent jurisdiction of the MTC or t he RTC. Inc. Where. The only condition imposed upon this control is that it must not be exercised so as to effect a violation of the Act and its several prohibit ions. 248 (acts of the employer) or 249 (acts of the union). GR No. it is no excuse that his conduct was u nintentional and innocent. But judgment in the labor case will not serve as evidence of ULP in the criminal case.. Art. 125038. R ather. The act charged as ULP must fall under th e prohibitions of Art. therefore. If the ULP is committed by a labor organization. it leaves to the court the work of applying the law’s general prohibitory l anguage in the light of indefinite combinations of events which may be charged a s violative of its terms. the t ransfer of an employee should be considered within the bounds allowed by law. 87672. The enumeration does not mean an exhaustive listing of ULP incidents. where despite his transfer to a lower position. e. Enriquez v. v. Th e Hongkong and Shanghai Banking Corp. tran sfer or even demote its employees to other positions when the interests of the c ompany reasonably demand it. validly claim that the company committed unfair labor pract ice. 19 July 1989 As a rule. representatives or agents or members of labor associations or organizations who have actually part icipated in. Who are Liable when ULP is Committed by Other than a Natural Person The penalty shall be imposed upon the guilty officers of a corporation. 248. an employer does violate the Act and is found guilty of th e commission of an unfair labor practice. NLRC. 261. GR No. Zamora. v. 51382. 29 December 1986 Accept ance of a voluntary resignation is not ULP. They did not assume the status of strikers. Jurisdiction of Voluntary Arbitrators or panel of Vol untary Arbitrators.. Prescription of actions for ULP The offense prescribes in 1 year (Art. Only substantial evidence is required in the labor case while proof beyo nd reasonable doubt is need in the criminal prosecution. There can be no discrimination where the employees concerned are not similarly situated.. The Code enumerates the acts or categories of acts considered as ULP. his original rank and salary remained undiminished. 249). It appears to have been done in good faith and without Page 43 of 83 . When the pilots voluntarily terminated their employment relationship with t he company. Rubberworld Phils. When There is no ULP: Instance of Valid Exercise of Ma nagement Rights The law on unfair labor practices is not intended to deprive the employer of his fundamental right to prescribe and enforce such rules as he hon estly believes to be necessary to the proper. members of governing boards. g. Recovery of civil liabi lity in the administrative proceedings shall bar recovery under the Civil Code. Prosecution of ULP as a criminal offense can be initiated only after the finality of judgment in the labor. they cannot claim that they were dismissed Wise and Co. The Labor Code does not undertake the impossible task of specifying in precise and u nmistakable language each incident which constitutes an unfair labor practice. Wis e & Co. Employees Union ns. Unless there are instances which directly point to interference by the company with the employees right’s to self – organization. The injured party is within the definition of “employee. the parties liable are the officers.” 2. Unfair labor practic es of employers. Discrimination per se is not unlawful . In a Philippine Airlines case the co urts said that the pilot’s protest retirement/resignation was not a concerted acti vity which was protected by law. The y cannot. The grant by the employer of profit – sharing benefits to the employees outside the bargaining unit falls under the ambit of its managerial prerogative . GR No. associa tion or entity (Art.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Civil aspect may include liability for damages and may be passed upon by the lab or arbiter. 13 October 1989 There can be no discrimi nation committed by the employer as the situation of the union employees is diff erent from that of the nonunion employees. productive and profitable operatio n of his business. 289). however. et al. Conditions precedent to the ULP charge 1. partnership. 0 6 QuickTime™ and a November 1997 TIFF (Uncompressed) decompressor are needed to se e this picture. NLRC. Inc.. Art. GR No. Employees Union. 7570 4. authorized or ratified such (Art.

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. the same d . 125195. coupled with an intimate conne ction between the employer’s actions and the union affiliations or activities of t he particular employee or employees taken as a whole raise a suspicion as to the motivation for the employer’s action. lay – off workers and the discipline. because they were soliciting signatures in order to form a union within the plant. or closing the plant if they supported the union and where the employer encouraged the emp loyees to sign a petition repudiating the union ULP Even Before Union is Registe red Judric Canning Corporation v. restrain. NLRC. 2 SCRA 924 (1961) Exc ept as limited by special laws. the private respondents were dismissed. LVN. violation of CB A First ULP: Interference (Art. all aspects of employment. L51494. et. discrimination for or against union membership 6. supervision of workers. [Republic Saving s Bank v. work supervision. the history of t he employer’s past conduct and like considerations. GR No. an employer is free to regulate. More so when as in this case there is a clause in the CBA where the employees are classified into those who are members of the union and those who are not. interference 2. violation of duty to bargain 8. the Court will uphold them Determination of validity Necessarily. assist or otherwise interfere the formation or administration of any labor organ ization. 35 SCRA 147 (1970) So long as a com pany’s management prerogatives are exercised in good faith for the advancement of the employer’s interest and not for the purpose of defeating or circumventing the rights of the employees under special laws or under valid agreements. to weigh the employer’s expressed motive in determining the effect on the employees of management’s otherwise equivocal act. they derive their benefits from t he terms and conditions of the CBA which constitutes the law between the contrac ting parties. Thus. 17 July 1997 In short. increasing rent of the company houses. GR No. Inc. there must be a measure of reliance on the administrative agency. discrimination because of testimony 7. determining the validity of an employer’s acts involve an appraisal of his motives. the failure of the emplo yer to ascribe a valid reason therefore may justify an interference that his une xplained conduct in respect of the particular employee or employees was inspired by the latter’s union membership or activities.” In this particu lar case. dominate. Unfair Labor Practice of Employer s 1. 73721. where the attendant circumstances. “to interfere with. LVN Picture Workers v.. company unionism 5.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 ulterior motive.. 248 (a) of the Labor Code of the Philippines. 30 March 1987 An employer may treat freely with an employee and is not obliged to support his actions with reason or purpose. an employer who interfe red with the right to self – organization before the union is registered can be he ld guilty of ULP. work assignments. Both the employer and the union members are bound by such agreemen t Philippine Graphic Arts. in the absence of s howing that the illegal dismissal was dictated by anti – union motives. 29 September 19 88 Where the vacation leave without pay. Samahan ng mga manggagawa sa Bandolino – LMLC et. yellow dog condition 3. dismissal and recall of work. transfer o f employees. or coerce employees in their exercise of their right to self – organization” is an unf air labor practice on the part of the employer. However. Paragraph (d) of said Article al so considers it an unfair labor practice for an employers “to initiate. CIR. 19 August 1982 Under A rt. v. et al. is neither malicious. 21 SCRA 226 (1967)] QuickTime™ and a AHS/Philippines Employees decompressorv. process to be followed. In the case of the union members. GR TIFF (Uncompres sed) Union are needed to see this picture. working regulations. GR No. including the giving of financial “or other support to it. or their services were termina ted. L-80737. 248 (A)) Interference with employee organization al rights were found where the superintendent of the employer threatened the emp loyees with cutting their pay. paid negotiation 9. which the employer requires employees t o take in view of the economic crisis. ULP is not committed NLU v. NLRC. al. time.. tools to be used. NLRC Bandolino Sh oe Corp. according to hi s own discretion and judgment. in the first instance. working methods. al. including hiring. Insular La Yebana Co. oppressive nor vind ictive. Prohibiting organizing activities However. v. Inciong. contracting out 4. No. place and manner of work. It is for the CIR [NLRC now].

oes not constitute an unfair labor practice Page 44 of 83 .

31 March 1987) Examples of unlawful acts to discourage membership in a lab or organization: 1. might be deemed improper when spoken by a more hostile employer. No. against the background of and in conjuncti on with collateral circumstances. refusal over a period of years to give salary adjustments according to the improved salary scales in the collectiv e bargaining agreements (Benguet Consolidated v. No. (Madrigal & Comp any. 12 October 1989) 5. v. PAFLU. Factors to Determine Continuity: 1. an expression which might be permissibly uttered by one employer. 30 May 1988 We have held that unfair labor practic e cases are not. Inc. 16 SCRA 820). (Cruz v. v. This doctrine. Sale in Bad Faith The sa le of a business enterprise to avoid the legal consequences of an unfair labor p ractice is necessarily attended with bad faith and both the vendor and the vende e continue to be liable to the affected workers. 22 SCRA 129) 3. et. the history of the particular employer’s labor relations o r anti – union bias or because of their connection with an established collateral plan of coercion or interference. or is owned by the same p eople. CIR. actual or threatened. to hold a n employer who actually or who threatens to lock out his employees guilty of a v iolation of this Act. The remedy is an action for reinstatement with backwages and damages. though innocent in them selves. G. in view of the public interest involved. dismissal of union members upon their refusal to give up the ir membership. No. (AHS/Philippine Employees Union v.R. Zamora. PAFLU. L-67158. 59012-13. to camouflage the fact that it has been making profits to just ify the mass lay-off of its employees especially union members. L-4823. Manufacture of the SAME PRODUCTS or the performance of th e same services Page 45 of 83   . (Cruz v.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 as would be a valid ground for strike. NLRC GR.R. and consequently actionable as an unfair labor practic e. NLRC. CIR.R. as a means of dissuading the employees from exercising th eir rights under the Act is clearly an unfair labor practice. frequently were held to be culpable because of the circumstances under w hich they were uttered. GR No. QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this pictur e. Use of the SAME OR SUBSTANTIALLY THE SAME EMPLOYEES. workers. Gr. L-2651 9. 29 October 1971) Do ctrine of Successor-Employer A new company will be treated as a continuation or successor of the one that closed in the new or take-over company is engaging in the same business as the closed company or department. Similar or substantially the same work or production un der SIMILAR OR SUBSTANTIALLY THE SAME WORKING CONDITIONS 5. Retention of CONTROL 2. However. there is no need to consider the applicability of the rule that labor c ontracts being in personam are not enforceable against the transferee. The latte r is in the position of tort – feasor. Dismissal of teachers for fear by the school that there would be strike the following semester (Rizal Memorial Colleges Faculty U nion. expressions of opinion by an employer. having been a party likewise responsible fo r the damage inflicted on the members of the aggrieved union and therefore canno t justly escape liability. Use of the SAME MACH INERY AND EQUIPMENT 6. A company’s capital r eduction efforts. Nos.G. NLRC. subject to comprise. BCI Employees and Workers Union . the evidence must establish that the purpose thereof was t o interfere with the employee’s exercise of their rights. Lockout or Closure Amounting to ULP A lockout. 14 SCRA 953) 2. v. G. on ac count of her having joined a union and engaging in union activities (East Asiati c Co. under the pretext of retrenchment due to reduced dollar allocatio ns (Manila Pencil Co. and the "closure" is calculated to defeat the worker s organizational rig ht in which case the closure may be declared a subterfuge. 29 October 1971) Where the sale of a business enterprise was attended with ba d faith. al. v. Gochangco Workers U nion v. G. No. The successor-employe r doctrine is just an enforcement of the piercing the veil of corporate entity. L-26519. dismissal of an old employee allegedly for inefficiency. 30 June 1987) CLLG E. Use of the SAME PLAN T OR FACTORY 3. 8 7321. 4. T otality of Conduct Doctrine The culpability of employer’s remarks is to be evaluat ed on the basis of their implication. su pervisors or managers 4. Under this doctrine.

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. managerially motiva ted formation by employees 2. 127 SCRA 390 (1984)] Fourth ULP: Company Domination Of Union (Art.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Second ULP: Yellow Dog (Art. the ina dequacy of his equipment. Supervisory a ssistance. upon joining a labor union. Financial support to the union. 4. outright formation by the employer or his representatives b. Oceanic Air Products. and that. L18704. permitting union activi ties during working time or coercing employees to loin the union by threats of d ismissal or demotion (Philippine American Cigar & Cigarette Factory Workers Unio n v. an employer is not guilty of an unfair labor practice i n contracting work out for business reasons such as decline in business. th e company engages the services of new laborers Fifth ULP: Discrimination (Art. 31 January 1963 A labor union is compa ny – dominated where it appears that key officials of the company have been forcin g employees belonging to rival labor union to join the former under pain of dism issal should they refuse to do so. Ang Tibay. CIR. a promise by the employee not to join a labor union 3. as well as its legal counsel. or the need to reduce the cost. the early removal is unfair labor practic e. 16 May 1967 Under the Industrial Peace Act (as under the present Labor Code). GR No. [Sunio v. a union during their period of employment 3 Usual Provisions under t he Yellow Dog Contract 1. is not of itself a corporation sufficient ground for disregarding the separate corporate personality. 248 (D)) Manifestations of Domination of a La bor Union 1. Employer encouragement and assistance. GR No. after dismissal of the aforesaid officers of the rival labor union. or attempt to foster. after they had presented demands for the improvement of the working conditions despite its alleged retrenchment policy. Co. 2 48 (E)) Pagkakaisang Itinataguyod ng mga Manggagawa sa Ang Tibay. 248 (c)] Contracting Out as ULP Contracti ng out services or functions being performed by union members when such act will interfere with. This takes the form of soliciting membership. Mere ownership by a single stockholder or by another corporation QuickTime™or anearly all of the of all and TIFF (Uncompressed) decompressor capital stock of are needed to see this picture. a representation by the employee that he is not a memb er of a labor union 2. NLRC. Philippine American Cigar & Cigarette Mfg. Immedia tely granting the union exclusive recognition as a bargaining agent without dete rmining whether the union represents the majority of employees. emplo yee formation on outright demand or influence by employer c. et. Runaway shop An industrial plant moved by its owners from one location to ano ther to escape union labor regulations or state laws or to discriminate against employees at the old plant because of their union activities. al. Initiation of the company union idea. Inc. L-22273. restrain.. he will quit his emplo yment Third ULP: Contracting Out [Art. However. By defraying the u nion expenses or pays the attorney’s fees to the attorney who drafted the constitu tion and by – laws of the union. et. v. have attended the election of officers of the former union. It is immaterial that the relocation is accompanied by a transfer of title to a new employer who is an alter ego of the original employer. to constitute an unfair labor practice. 3. or coerce employees in the exercise of their right to self – organize. Where a plant removal is for business reasons but the relocation is hastened by anti – union motivation. This may further occur in thr ee styles: a. v. that key officials of the company. Resorting to runaw ay shop is ULP. the discr imination committed by the Page 46 of 83 .. 248 (B)) Yellow Dog Contract – a promise exacted from workers as a condition of employment that they are not to belong to. 7 SCRA 375). a promise by the employee that. even if the employer’s e stimate of his cost is based on a projected increase attributable to unionizatio n. Inc. that officers and members of the rival union were dismissed allegedly pursuant t o a retrenchment policy of the company. al.

and such provision in a collective bargaining agreement is not a restr iction of the right of freedom of association guaranteed by the Constitution. 342 F. GR No. Pines Hotel Employees Ass’n. and (c) the total salary adjustments given every ten of its unionized employees would not even equal the salary adjustments given one employee in the non – union ized branch. cannot be considered as int ended to encourage or discourage Union membership. GR No . Advantages of Clos ed Shop Agreement . No. It is implicit in the freedom of assoc iation ordained by the Constitution. 28 September 1972) Discrimination in Layoff or Dismissal Eve n where business conditions justified a layoff of employees. Taking the circumstances surr ounding the prescribing of that condition. CIR. (b) where salary adjustments were granted to employees of one of its non . GR Nos. 2 841) Discharge due to union activity.. Ace Comb Co. unfair labor practi ces in the form of discriminatory dismissal were found where only unionists were permanently dismissed while non – unionists were not.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 employer must be in regard to the hire or tenure of employment or any term or co ndition of employment to encourage or discourage membership in any labor organiz ation. Test of Discrimination For the purpose of determining whether or not a discharge is discriminatory. L-34948 – 49. Vi ctorias Milling Co.unionized branches although it was losing in its operations. it is n ecessary that the underlying reason for the discharge be established. (Uncompressed) decompressor employee is TIFF the fact that the are needed to see this picture. v. The fact t hat a lawful cause for discharge is available is not a defense where the employe e is actually discharged because of his union activities. maintenance of membership or any other form of agre ement which imposes upon employees the obligation to acquire or retain union mem bership as a condition affecting employment. The employer is not guilty of unfair labor practice if it merely compl ies in good faith with the request of the certified union for the dismissal of e mployees expelled from the union pursuant to the union security clause in the co llective bargaining agreement.. It is indeed compulsory union membe rship whose objective is to assure continued existence of the union. When there is Valid Discrimination: Union S ecurity Clause Union security is a generic term which is applied to and comprehe nds closed shop. But a closed shop is a valid form of union security. 16 March 1989) Villar vs Inciong. Inc. But it is discrimination favoring unionism. a question of fact Philippine Metal Foundries. v. In a sense. Victorias – Manapla Workers Organization – PAFLU. If the discharge is ac tually motivated by QuickTime™ and a a lawful reason. 121 SCRA 444 (1983) It is true that disaffiliation from a la bor union is not open to legal objection. it is a valid kind of discri mination.R. L-30818. (NLR B v. 68619. The exaction by the Company. (Manila Hotel Company v. should be subordinated to the c onstitutional provision protecting the sanctity of contracts.. L-18467. 30 September 1963 Another reason for enforcing the closed – shop agreem ent is the principle of sanctity or inviolability of contracts guaranteed by the Constitution. (Soriano v. As a matter of principle. of a promis e not to destroy company property and no to commit acts of reprisal against the Union members who did not participate in the strike. Inc. (CUGCO) and CIR . there is discrimination when certain employees are obliged to join a particular union. engaged in un ion activities at the time will not lie against the employer and prevent him fro m the exercise of his business judgment to discharge an employee for cause. G. from strikers returning to work. union shop. Atienza. 15 May 1979 T he question of whether an employee was discharged because of his union activitie s is essentially a question of fact as to which the findings of the court of Ind ustrial Relations are conclusive and binding if supported by substantial evidenc e considering the record as a whole. the provision of the Industrial Peace A ct granting freedom to employees to organize themselves and select their represe ntative for entering into bargaining agreements. the requirement by the Company is act ually an act of self – preservation and designed to inure the maintenance of peace and order in the Company premises Discrimination in Bonus Allocation or Salary Adjustments There is unfair and unjust discrimination in the granting of salary adjustments where the evidence shows that (a) the management paid the employees of the unionized branch.

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intra – union matter becomes termination dispute with employer Although a union security clause in a CBA may be validly enforced and d ismissal pursuant thereto may likewise be valid. et. notwithstanding the fact that the d ismissal was at the instance of the federation and that it undertook to hold the company free from any liability resulting from such a dismissal. although entitled to disaffiliation from their union and to forma n ew organization of their own..Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 1. creates harmonious relations between the employer and employee (NLU v. must. 30 October 1967 A union member who is employed under an agreement between the union and his employer is bound by th e provisions thereof since it is a joint and several contract of the members of the union entered into by the union as their agent. 28 February 2000 Uni on security clauses in the collective bargaining agreements. 5. 51 O. Liability of union to pay wage and fringe benefits of illegally dismissed employee Where the employer comp elled the employee to go on forced leave upon recommendation of the union for al leged violation by the employee of the closed – shop agreement. preven ts non – union workers from sharing in the benefits of the union’s activities withou t also sharing its obligations. the union holds the company free and blameless from any liabilitie s that may arise should the employee question the dismissal. 2898) Disadvanta ges of a Closed Shop Agreement 1.. Thus. (Manila Mandarin Em .G. compels employers to discharge all non – uni on workers regardless of efficiency. Greenfield v. the issue was later on converted into a terminat ion dispute when the company dismissed the petitioners from work without the ben efit of a separate notice and hearing. Due process required in enfor cing union security clause. suffer the consequences of their se paration from the union under the security clause. 4. 2. the dismissal of an employee b y the company pursuant to a labor union’s demand in accordance with a union securi ty agreement does not constitute unfair labor practice. GR No. facilitates the use of labor organizations by unscrupulous union leaders for the purpose of exto rtion. Petitioners. While it is true that the issue of expulsion of the local union officers is originally between the local union and the federation. interferes with the freedom of contract and persona l liberty of the individual worker 3. The employer would not have compelled the emp loyee to go on forced leave were it not for the union’s insistence and demand to t he extent that because of the failure of the employer to dismiss the employee as requested. increases the strength and bargaining power of labor organizations. eliminates the lowering of standard s caused by competition with non . al. 7. 6. et. 3. v. Villar v. the company ma y still be held liable if it was remiss in its duty to accord the would – be dismi ssed employees their right to be heard on the matter. Inc. 5. 121 SCRA 444 (1983) Page 48 of 83 QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture.union workers. etc. GR No. Manalang. etc. The reason behind the enforcement of union secu rity clauses which is the sanctity and inviolability of contracts cannot overrid e one’s right to due process. denies to non – union workers equal opportunity for employment 6. if freely and volun tarily entered into. the union filed a notice of strike on the issue of unfair labor prac tice. this does not erode the fundame ntal requirement of due process. enables labor organizations effectively to enforce collective agreements. restraint of trade. results in monopolistic domination of employme nt by labor organizations 2. al. 4. facilitates the collection of dues and enforcement of union rules. L-20432. Thus. however. are valid and binding. length of service. Ramos. the NLRC correctly ordered the reinstatement of the employee and directed the union to pay the wag es and fringe benefits which employees failed to receive as a result of her forc ed leave and to pay attorney’s fees. h ence.. Aguinaldo’s Echague. under the collective bargaining agreement between the union and the employer. Moreover. prevents the weakening of labor organizations by discrimination against union members. Inciong. intra – union in character. enables union to charge exorbitant dues and initiation fees V alid dismissal because of application of union security clause Malayang Samahan ng mga Manggagawa sa M. 113907. Art ex Development Co.

ployees Union v. 76989. 29 September 1987) Employer in good faith n ot liable . NLRC. GR No.

condition of continued empl oyment. closed – shop provisions in a collective bargaining agreement appl y only to persons to be hired or to employees who are not yet members of any lab or organization and that said provisions of the agreement are not applicable to those already in the service at the time of the execution. confidential employees who are excluded from the rank and file bargaining unit 4.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Where the employer dismissed his employees in the belief in good faith that such dismissal was required by the closed – shop provisions of the collective bargaini ng contract with the union. 29 April 1960) Employee s not covered by the closed shop provision 1. Bad faith in bargaining. or anything covered by the Labor Code. Failure or refusal to meet and con vene b. he may not be ordered to pay back compensation to su ch employees although their dismissal is found to be illegal. Ninth ULP: Violation of the CBA Implementation of the CBA is still part of the bargaining process. Such act. al. To do so is not only unlawful. that there was a finding of fact of said misco nduct and such finding was supported by evidence. join or assist labor organizations of their own choosing. employees already in service and already members of a labor union or unions ot her than the majority union at the time the closed – shop agreement took effect 3. Cease and Desist Order T o support a cease and desist order. if requested d. within their barga ining unit. employee’s benefits disciplinary rules. Vio lation of the CBA must be gross. including failure or refusal to execute the collective agreement. therefore. or organizational rights. but must pay the union a service fee (usually equivalent to union dues a nd initiation fees)... 248 (g)] Four Forms of ULP in bargaining: a. L-12503. Anakan Lumber co. The l aw zealously shields them from corruption. 239 (g). What is chargea ble as ULP is the employer’s retaliatory act regardless of the subject of the empl oyee’s complaint or testimony. the justification for the clause is that the nonmember should contri bute towards the cost of collective bargaining process without supporting it fin ancially. any employee who at the time the c losed – shop agreement takes effect is a bona fide member of a religious organizat ion which prohibits its members from joining labor unions of religious grounds 2 . (Confederated Sons of Labor v. would rende r nugatory the right of all employees to self – organization and to form. employees excluded from the closed – shop by express terms of the agreement It is well – settled in this jurisdiction that. 249 prohibits union officers or agents from asking for or acceptin g such payments. Since a union is required by statute to act as the bargaini ng representative of all employees. To hold that the empl oyees in a company who are members of a minority union may be compelled to disaf filiate from their union and join the majority or contracting union. the record must show that the restrained mis conduct was an issue in the case. furthermore. (Kapisanan ng mga Manggagawa ng Alak (NAFLU) v. Art. et. but must confine its Page 49 of 83 . the noncompliance amounts to a ULP. Evading the mandatory subjects of bargaining c. is a ground for cancellation of union re gistration under Art. et. GR No. Sixth ULP: Discrimination Because Of Testimony [Art. Hamilton Distellery Co. both union and non – union. The duty to bargain requires g ood faith. Correspo ndingly. GR No. 248 (f)] The test imony or proceedings might involve wages. in the absence of a manifest intent t o the contrary. It is a punishable act of ULP for the employer to pay the union or any of its officers or agents any negotiation fee or attorney’s fees as part of the settlement in collective bargaining or any labor dispute. It logically follows that noncompliance with the agreement is non – observance of good faith in bargaining. a right guaranteed by the Indu strial Peace Act as well as by the Constitution.. The Court is not authorized to issue blank cease and desist orders. Relief In ULP Cases 1. Seventh ULP: Violation of the Duty to Bargain [Art. L-18112. Gross violation of the CBA Eighth ULP: Paid Negotiation [Art. 248 (H)] Self – o rganization and collective bargaining are treasured rights of the workers. an QuickTime™ and a the employee is not required to decompressor union as a join TIFF (Uncompressed) are needed to see this picture. al. It is ethically reprehensible. 30 October 19 62) Agency fee instead of union membership Under the agency – shop clause of a CBA . and good faith implies faithful observance of what has been agreed up on..

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in view of the public interest involved. NLRC. The union should not. L-18334. al. 6. Restraint or Coercion by Labor Organization. CBA may be imposed 4. 2. it: o assaults or threat ens to assault them o threatens them with the loss of their jobs o blocks their ingress to and egress from the plant o damages nonstrikers’ automobiles or forces them off the highway o physically preventing them from working o sabotages the e mployer’s property in their presence. Organiz ation are needed to see this 1. Union cannot coerce employees to join a strike Sim ilarly. To attempt to or cause an employer to di scriminate against an employee to whom membership in the labor organization was denied or to terminate an employee on any ground other than he usual terms and c onditions under which . in the nature of an exaction. Violation of CBA. 3. 3. To refuse to bargain collectively with the employer. 249. CIR et. A labor organization may interfere in the employees’ right to self – organization as long as the interference does not amo unt to restraint or coercion. ULP in a given period should be included in a single charge Dionela. based upon acts committed during the same period of time. the charges should include all acts of unfair labor practice committed against a ny and all members of the union during that period. thereby creating an atmosphere of fear or vi olence o demonstrates loudly in front of a nonstrikers’ residence with signs and s houts accusing the nonstriker of “scabbing” o holding the nonstriker up to ridicule o seeking public condemnation of the nonstriker Union-Induced Discrimination Arb itrary use of union security clause The broad rule is that the union has the rig ht to determine its membership and to prescribe the conditions for the acquisiti on and retention TIFF (Uncompressed) decompressor Unfair Labor Practices of Laborpicture. 5. Art. If other laborers have been hired. To ask o r accept negotiations or attorney’s fees from employers as part of the settlement in any dispute. to restrai n or coerce nonstrikers from working during the strike. the court may i ssue an affirmative order to reinstate the said employee with back pay from the date of the discrimination. if it is the represen tative of the employee. The relat ion between capital and labor are not merely contractual. Unfair organizations. the affirmative o rder shall direct the respondent to dismiss these hired laborers to make room fo r the returning employee. 31 August 1963 When a labor union accuses an employer of a cts of unfair labor practice allegedly committed during a given period of time. et. G ochangco Workers Union. GR No. for services which are not perf ormed or not to be performed.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 injunction orders to specific act or acts which are related to past misconduct. They are so impressed with public interest that labor contracts must yield to the common good. Court may order the Employer to Bargain. 30 May 1988 ULP cases are not. v. violation is committed when a union threatens the employees with bodily harm in order to force them to strike. labor practices of labor membership or continuation of membership is made available to other mem bers. al. Affirmative Order In addition to a cease and desist order. 67158. 249 (a)] A labor organization commits ULP when it restrains or coerces emplo yees in their right to self – organization. subject to compromises. upon t he dismissal of the charges first preferred. Strike by union members ULP is not subject to compromise CLLC E. 2. al. be allowed to split its cause of ac tion and harass the employer with subsequent charges. This includes fee for union negotiations. GR No. To restrain or coerce employees in the exercise of their right to self organization. et. To attempt to or cause the employer to pay money or othe r things of value.. 4. v. A union violates the law when. Interference by Union is not ULP [A rt.G.

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Company deferred acti on and informed the employee of the possible effects of his resignation from the union. Registry of unions and file of co llective bargaining agreements. Art. qualified applicant s may not be barred by unreasonable rules. NLRC. hours of work and all other terms and conditions of employment . or as regards a particular employer by reason of a closed – shop or similar agreements. fair play. Company finally granted the request of the union and terminated th e employee. Salunga v. Art. Pr ocedure in collective bargaining. Injunction prohibited. Collective Bargaining Agreement – a contract execu ted upon request of either the employer or the exclusive bargaining representati ve of the employees incorporating the agreement reached after negotiations with respect to wages. including proposals for adjusting any grievance or questions under the agreeme nt Parties to Collective Bargaining 1. 250. 21 SCRA 216 (1967) Employee resigned from the union. 253. In such case. Featherbedding And Make – Work Arrangements [Art. much less their own mem bers. 252. Proof of majority representation 3. Court of Industrial Relati ons. Demand to bargain under . to work on a particular job It may take the form of minimum – crew re gulations on the railroad. 251. stand – by pay for musi cians when a radio station broadcasts music from phonograph records or productio n ceilings for work on the assembly lines or at the construction site III. This rule. Employee complained of illegal dismissal. prude nce TIFF (Uncompressed) decompressor and judiciousness. Art. Having been dismissed from service owing to unfair labor practice on the part on the part of the union. either in a given locality. Manila Mandarin Employees Union v. Consequently. and legality. without any reasonable ground thereof. or a union in ins isting upon the discharge of. pet itioner is entitled to reinstatement as member of the union and to his former or substantially equivalent position in the company. or the amount of ti me consumed. Employees. 154 SCRA 369 (1987) Union security clauses are also governed by law and by principles of justice. however. Held: Labor unions are not entitled to arbitrarily exclude qualified applicants for membership and a close d – shop provision will not justify the employer in discharging. and with back pay. Art. Duty to bargain collectively in the absence of collective bargaining agreements. 231. 249(c)] A union violates its duty to bargain collective ly by entering negotiations with a fixed purpose of not reaching an agreement or signing a contract. an employee whom the union thus refuses to admit t o membership.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 thereof. Employer 2. Meaning of duty to bargai n collectively. admission to membership may not be compelled. Union security clause s cannot be used by union officials against an employer. Art. The union requested th e company to enforce the closed shop provision of the CBA. Terms of a collective bargaining agreeme nt. Employee tried to revoke his resignation from the union but this denied by the union. 253-A. Status of majority representation of the employee s’ representative. 254. is qualified in the case of labor unions holding a monopoly in the supp ly of labor. except with a high sense of responsibility. represented by bar gaining agent the exclusive Refusal To Bargain [Art. QuickTime™ and a fairness. Art. make – work rules such as the setting of and prompt des truction of unneeded bogus type in the newspaper industry. are needed to see this picture. Duty to bargain collectively when there exists a colle ctive bargaining agreement. Featherbedding – employee practices which create or spread employment by unnecessa rily maintaining or increasing the number of employees used. without prejudice to his seni ority and/or rights and privileges. RIGHT TO COLLECTIVE BARGAINING A. DUTY TO BARGAIN COLLECTIVELY Art. 249 (d)] Jurisdictional Requirements 1. 2.

250 (a) (Kiok Loy v. Page 51 of 83 . NLRC. the employer cannot be in default. 141 SCRA 179) The duty of the employer to bargai n collectively arises only after the union requests the employer to bargain. If there is no demand.art. When there is a legitimat e representation issue.

the performance of a mutual (employer and the exclusive bargaining agent) obligation to meet and convene. 250) (ANNEX G) Duty to Bargain Collectively When There Is No Collective Bargaining Agreement 1. Bad faith in bargaining 4. Executing a contract incorporating such agree ments. the Duty to B argain Collectively 1.Violation of 4 Forms of 7 ULP needed to see this picture. This is not a case where private respondent Page 52 of 83 Failure or Refusal to Meet and Convene . Duty to Bargain Collectively when there is a Collective Bargaining Agreement When there is a CBA. GR No. Hours of Work 3. But 60 days before the CBA expires. either party may bargain to an impasse as long as he bargains in good faith. Other Terms and Conditions of Employment Where the subjec t of the dispute is a mandatory bargaining subject. promptly and expeditiously in good faith 3. Marcelo Enterprises. Failure or refusal to meet and convene 2. A company’s refusal to make counter-proposal if considered in relation to the entire bargaining process. NLRC. a party may not insist on bargaining to the point of impasse. Held: It is unfair labor practice for an employer to refuse to meet and convene prompt ly and expeditiously in good faith for the purpose of negotiating an agreement f or wages. for the purpose of negotiating an a greement with respect to wages.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 there is no duty to bargain collectively on the part of the employer [Lakas ng M anggagawang Makabayan v. The duty does not compel any party to agree to a proposal or to make any concession. Bargaining in Bad Faith The re is no per test of good faith in bargaining. 118 SCRA 425 (1982)] Commencement of Bargaining During Certification Year – within 12 months after the determination and certification of the employees’ exclusive bargaining representative. Wag es 2. 13856. either party may notify the other in writing that it wants to terminate or modify the agreement. Bargaini ng Procedure The parties may agree on the bargaining procedure. and 4. The charge of bad faith should be raised while the bargaining is in progre ss. The union again wrote the company but this was also ignored. If there is a pr ocedure agreed upon. bad faith can no longer be imputed upon any of the parties thereto. The company di d not reply. hours of work and other terms of employment. 2. the duty to bargain also m eans that neither party shall terminate nor modify such agreement during its lif etime. Evading the Mandatory Subjects Mandatory Subjects 1. Gross violation of t he CBA QuickTime™ and a TIFF (Uncompressed) decompressor Kiok Loy v. The CBA remains in full force and effect during the 60 day period an d until a new agreement is reached. the Labor Code Procedure applies suppletorily. His insistence may be construed as evasion of the duty to bargain. NLRC. 07 September 1998 With the execution of the CBA. hours of work and all other terms and conditions of employment. Where the subject is nonmandato ry. But an erring party should not be tolerate d and allowed with impunity to resort to schemes feigning negotiations by going through empty gestures. th are . including proposals for adjusting any grievances or questions ar ising under such agreement. Evading the man datory subjects of bargaining 3. 141 SCRA 179 (1986) The union gave the employer copies of its proposed CBA and requested the company to make counter-proposals. All provisions i n the CBA are supposed to have been jointly and voluntarily incorporated therein by the parties. We agree with the pronouncement that it is n ot obligatory upon either side of a labor controversy to precipitately accept or agree to the proposals of the other. Bargaining P rocedure under the Labor Code (Art. The good faith or bad faith is an inference to be drawn from the facts and is largely a matter for the NLRB’s exper tise. ma y indicate bad faith and this is especially true where the Union’s request for a c ounter proposal is left unanswered. Samahang Manggagawa sa Top Form Manufacturing-United Workers of the Philippi nes v.

GR Nos. deny the application for failure to comply with the requirements . The me morandum of appeal and the entire records of the application shall be transmitte d to the Bureau or the Office of the Secretary within 24 hours from receipt of t he memorandum of appeal.” Lakas ng Manggagawang Makabayan v. Statement that the CBA was ratified by the majority of the e mployees in the bargaining unit. or are not verified under oat h. CBA 2. The Regional Office or Bureau may within 5 days from receipt of the application. The parties had a total of 5 conferences for purposes of collective bargaining. the Regional Office or the Bureau shall notify the applicants in writing of t he requirements needed to complete the registration. 4. The denial by the Regional Office of the registratio n of single enterprise collective bargaining agreements may be appealed to the B ureau while the denial by the Bureau of the registration of multi-employer colle ctive bargaining agreements may be appealed to the Office of the Secretary. o If the applicant fails to complete the requirements within 10 days from receipt of notice. is hardly credible. The Regional O ffice or the Bureau shall act on the applications within 5 days form receipt of the application. a. 38260. 3. If the supporting documents are not complete. 19 November 1982 It is also evident from the records that the charge of bargaini ng in bad faith imputed to the respondent companies. Thus. In t his connection. The CBA is good e nough that private respondent exerted “reasonable effort of good faith bargaining. such charge is valid as only against the complainant LAKAS. 2. No other docume nt shall be required in the registration of the CBA. both within 10 days from receipt of the notice of denial. If the certificate of creation of the chartered local was issued by the bureau. 3. Page 53 of 83 . It is worth consid ering that the first strike of Sept. o The denial shall be in writing. 6. In fact . A statement that the CBA was posted in at least QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. R equirements for registration The application for CBA registration shall be accom panied by the original and 2 duplicate copies of the following documents. The memorandum of appea l is filed with the Regional Office or the Bureau. the agreement shal l be filed with the Regional Office which has jurisdiction over the place where it principally operates Multi-employer collective bargaining agreements shall be filed with the Bureau. Procedure 1. 19 67 could not have been the strike notice for the first strike because it was alr eady withdrawn on July 14. from these stated facts can be seen that the first strike was held while the parties were in the process of negotiating. 5. it must be stated that the notice of strike filed on June 13. Registration of Collective Bargaini ng Agreements Where to file With the Regional Office which issued the certificat e of registration/certificate of creation of chartered local. There is reason to believe that the first strike was stag ed only for the purpose of compelling the respondent companies to accede to the inflexible demands of the complainant LAKAS.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 exhibited an indifferent attitude towards collective bargaining because the nego tiations were not the unilateral activity of petitioner union. When to file within 30 days from execution of the CBA. 2 conspicuous places in the establishment concerned for at least 5 days before i ts ratification. The company’s refusal to accede to the demands of LAKAS appears to be justified si nce there is no showing that these companies were in the same state of financial and economic affairs. Marcelo Enterprises. L-38258. 4 1967 was staged less than a week after th e 4th CBA conference and without any benefit of any previous strike notice. 1. 1967. c. stating in clear te rms the reason therefore and served upon the applicant union and employer within 24 hours from issuance. application is denied without prejudice. Bureau or the Office of the Secretary shall resolve within the same period and in the same manner as that prescribed for inter/intra -union disputes. as the case may be. approve the application and issue the certificate of reg istration or b. The following documents must be certified under oath by the representative of the employer and the labor union.

Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Duration of CBA 1. Representation Aspect: 5 years • Refers to the identity and maj ority status of the union that negotiated the CBA as the exclusive bargaining re presentative. 2. All other provisions should be renegotiated not later than 3 ye ars from effectivity. • Refers to the rest of CBA, economic as well as non-economi c other than representational. Hold Over Principle The CBA shall be in full forc e and effect until the parties reach a new agreement. New Pacific Timber & Suppl y Company Inc. v. NLRC, 328 SCRA 404 (2000) It is clear from the above provision of law (Art. 253) that until a new CBA has been executed by and between the par ties, they are duty-bound to keep the status quo and to continue in full force a nd effect the terms and conditions of the existing agreement. The law does not p rovide for any exception nor qualification as to which of the economic provision s of the existing agreement are to retain force and effect, therefore, it must b e understood as encompassing all the terms and conditions in the said agreement. It is the duty of both parties to continue in full force and effect the terms a nd conditions of the existing agreement during the 60-day period and/or until a new agreement is reached by the parties. To rule otherwise would be to create a gap during which no agement would govern, from the time the old contract expired to the time a new agreement shall have been entered into. Rules on Effectivity and Retroactivity of New CBA (Apply Only to Provisions Other than Representation al) I. CBA as a Result of Negotiations A. With Previous CBA 1. Effectivity of ne w CBA entered into within 6 months after the expiration of the old CBA: QuickTim e™ and a TIFF date following the retroact to the(Uncompressed) decompressor expiry date. are needed to see this picture. 2. Effectivity of new CBA entered into af ter 6 months following the expiration of the old CBA: GR: effective on the date agreed upon by the parties. If there is no agreement, the arbitral award will re troact to the day after the end of the 6-month period after the expiry of the ol d CBA. B. New and First-Ever CBA (No previous CBA) – effective on date agreed upon by the parties II. Arbitral Awards A. With Previous CBA 1. Arbitral award final within 6 months from old CBA: retroact to the date following the expiry of the old CBA. 2. Arbitral award final after 6 months following the expiration of the old CBA: General Rule: the agreement between the parties. If there is no agreeme nt, retroact to the st 1 day following the 6-month period B. New and First-Ever CBA (No previous CBA) Labor Secretary’s discretion will be followed. B. BARGAINING AGENT & CERTIFICATION ELECTION PROCEEDINGS Art. 255. Exclusive bargaining repre sentation and workers’ participation in policy and decisionmaking. Art. 256. Repre sentation issue in organized establishments. Art. 257. Petitions in unorganized establishments. Art. 258. When an employer may file petition. Art. 259. Appeal f rom certification election orders. Bargaining Unit – a group of employees sharing mutual interests within a given employer unit, comprised of all or less than all of the entire body of employees in the employer unit or any specific occupation al or geographical grouping within such employer unit Certification Election/Con sent Election – The process of determining through secret ballot the sole and excl usive representative of the employees in an appropriate unit for purposes of col lective bargaining or negotiation. A certification election is ordered by the De partment, while a consent election is voluntarily agreed upon by the parties, wi th or without the intervention by the Department. Organized Establishment – an ent erprise where there exists a recognized or certified sole and exclusive bargaini ng agent Run-off Election – an election between the labor unions receiving the 2 h ighest number of votes in a certification or consent election with 3 or more cho ices, where such a certified or consent results in Page 54 of 83

Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 none of the 3 or more choices receiving the majority of the valid votes cast; pr ovided that the total number of votes for all contending unions is at least 50% of the number if votes cast Voluntary Recognition – process by which a legitimate labor union is recognized by the employer as the exclusive bargaining representa tive or agent in a bargaining unit, reported with the Regional Office in accorda nce with Rule VII, section 2 of these Rules. 3 Methods to Determine the Bargaini ng Union 1. Voluntary Recognition 2. Certification Election 3. Consent Election Voluntary Recognition When to file In unorganized establishments with only one l egitimate labor organization, the employer may voluntarily recognize the represe ntation status of the union. Within 30 days from such recognition, the employer and union shall submit a notice of voluntary recognition. Where to file Regional Office which issued the recognized labor union’s certificate of registration or c ertificate of creation of a chartered local. Requirements for Voluntary Recognit ion The notice of voluntary recognition shall be accompanied by the original cop y and 2 duplicate copies of the following documents: 1. A joint statement under oath of voluntary recognition attesting to the fact of voluntary recognition. 2. Certificate of posting of the joint statement of voluntary recognition for 15 c onsecutive days in at least 2 conspicuous places in the establishment or bargain ing unit where the union seeks to operate. 3. Approximate number of employees in the bargaining unit, accompanied by the names of those who support QuickTime™ and a the voluntary recognition TIFF (Uncompressed) decompressor are a majority of comprising at leastneeded to see this picture.the members of the bargaining unit . 4. A statement that the labor union is the only legitimate labor organization operating within the bargaining unit. These documents shall be certified under o ath by the employer’s representative and president of he recognized labor union. E ffects of recording of fact of Voluntary Recognition 1. The recognized labor uni on shall enjoy the rights, privileges and obligations of an existing bargaining agent of all the employees in the bargaining unit. 2. A petition for certificati on election cannot be filed for 1 year from the date of entry of the voluntary r ecognition. Certification Election Who may file 1. any legitimate labor organiza tion 2. employer, when requested to bargain collectively Where to file Regional Office which issued the certificate of registration/certificate of creation. Whe n to file Anytime, except: 1. When voluntary recognition has been entered, or a valid certification, consent or run-off election has been conducted within 1 yea r prior to the filing. 2. negotiations in good faith with the employer 3. bargai ning deadlock had been submitted to conciliation or arbitration or had become th e subject of a valid notice of strike or lockout. 4. Registered CBA – may file onl y within 60 days prior to the expiration of the CBA. Grounds for Denying Petitio n 1. the petitioner is not listed in the Department’s registry of legitimate labor unions or that its legal personality has been revoked or cancelled with finalit y in accordance with Rule XIV of these Rules; Page 55 of 83 Procedure: Voluntary Recognition 1. If notice of voluntary recognition is suffic ient in form, number and substance, and there is no other registered labor union operating within the bargaining unit, the Regional Office shall record the fact of voluntary recognition within 10 days from receipt of notice. 2. Where notice of voluntary recognition is insufficient, the Regional Office shall notify the labor union of its findings and advise it to comply with the necessary requireme nts. If the employer or union failed to complete the requirements for voluntary recognition within 30 days from receipt of advisory, the Regional Office shall r eturn.

possibility of consent elections. time and place of the election. Description of the bargaining unit c. the bargaining unit to be represented. in case of an organized establishment. Purpose of Pre-election Conference The pre-election conference shall se t the mechanics for the election and determine the following: 1. Name of the employer or establishment b. a duly certified union has commenced and sustained negotia tions with the employer in accordance with Article 250 of the Labor Code within the one-year period referred to in Section 14. the petition was filed before or after the freedom period of a duly registere d collective bargaining agreement. S tatement that none of the grounds for dismissal exists d. Directive upon the employer and the contending union(s) to submit within 10 days from receipt of the order. Names of contending la bor unions e. Order/Decision on the Petition – within 10 days from the date of the last h earing. the Med-Arbiter shall issue a formal order granting or denying the petit ion. if necessary Page 56 of 83 . or there exists a bargaining deadlock which had been submitted to conciliation or arbitration or h ad become the subject of a valid notice of strike or lockout to which an incumbe nt or certified bargaining agent is a party. (Negotiation Bar) 5. the Election Officer shall cause the issuance of notice of pre-election conferen ce upon the contending unions and the employer. (12-month Bar/Certi fication year bar) 4. validity of petitioning union’s certificate of registration 2. list of eligible and challenge d voters 3. all others – appealed to the DOLE Sec. Procedure: Petition for Certif ication Election (ANNEX H) Procedure: Conduct of Certification Election (ANNEX I ) Preliminary Conference The Med-Arbiter shall conduct a preliminary conference and hearing within 10 days from the receipt of the petition to determine the fol lowing: a. no order or decision shall be issued during th e freedom period. order calling for needed to conduct of certificat ion election. The order granting the petition shall state the following: a. date. such other matters as may be relevant for the final disposi tion of the case In case the contending unions agree to a consent QuickTime™ and a election. the Med-Arbiter shall not issue a formal TIFF (Uncompressed) decompre ssor are the see this picture. c. Prohibited Grounds for Denial of Petition (must be heard and r esolved by the Regional Director in an independent petition for cancellation of registration: 1. consent or run-off election is pending. execution of CBAs Appeal a. existence of any of the bars to certificat ion election. contending labor unions. Must be completed within 30 days from the last hearing.c of this Rule. failure to submit the 25% support requirement for the f iling of the petition for certification election. Must be scheduled within 10 days from receipt of the assignment. within 10 days from receipt thereof. order granting conduct of certification election in unorganiz ed establishments – NOT appealable b. (Contract Bar) 3. but shall enter the fact of the agreement in the minutes of the he aring. b. number and location of polling places or booths and the number of ba llots to be prepared with appropriate translations. le gal personality as a labor organization 3. consent or run-off election and no appeal on the results o f the certification. and e.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 2. the certified list of employees in the bargaining unit. unless circumstances require otherwise 2. Pre-election Conference Within twenty-four (24) ho urs from receipt of the assignment for the conduct of a certification election. d. validity of registration 4. extension or renewal of the collective bargaining agreement. the petition was filed within 1 year from entry of voluntary recognition or a valid certification. In organized establishments. provided that the sixty-day period based on t he original collective bargaining agreement shall not be affected by any amendme nt. not be later than forty-five (45) days from the date of t he first pre-election conference on a regular working day within the employer’s pr emises.

the Med-Arbiter shal l not issue a formal order calling for the conduct of certification election. The first pre-election conference shall be scheduled within ten (10) days from the date of entry of agreement to conduct consent election. of Voters In case of disagreement over the voters’ list or over the el igibility of voters. sealed in the presence of the vot er and the representatives of the contending unions and employer. b. forward the records of the p etition to the Regional Director or his/her authorized representative for the de termination of the Election Officer by the contending unions through raffle.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 4. 2. the union or employer challenging the voter. name of watchers or representatives and their alternates for each of the part ies during election 5. envelope shall be signed by the Election Officer and t he representatives of the contending unions and employer. Challenging of Votes An authorized representative of any of the con tending unions and employer Before it is deposited in the ballot box Grounds: a. Protest Any party-in-interest may file a protest based on the conduct or m echanics of the election. the des cription of the bargaining unit and the list of eligible and challenged voters T he posting of the notice of election. (See Annex H) Effect of failure to appear during the pre-election conference considered as a waiver to b e present and to question or object to any of the agreements reached in said pre -election conference However. Procedure in Challenging of Votes 1. Page 57 of 83 . Posting of Notices o f Election 1. The minut es of the hearing shall be signed by the parties and attested to by the Med-Arbi ter. names of all contending unions 3. the information required to be included th erein and the duration of posting cannot be waived by the contending unions or t he employer. that there is no employer-employee relationship between the voter and the compa ny. bu t shall enter the fact of the agreement in the minutes of the hearing. The Med-Arbiter shall. the date and time of the election 2. The enve lopes shall be opened and the question of eligibility shall be passed upon only if the number of segregated voters will materially alter the results of the elec tion. in 2 most conspicuous places in the company premises Contents of the Notice 1 . immediately thereafter. 3. that the voter is not a member of the appropriate bargaining unit which p etitioner seeks to represent. mechanics and guidelines of the election Consent Election In case the contending unions agree to a consent election. the non-appearing party or the employer still has the right to be furnished notices of subsequent pre-election conferences and to attend the same Qualification of Voters All employees who are members of the app ropriate bargaining unit at the time of the issuance of the order granting the c onduct of a certification election shall be eligible to vote. Protests not so raised are deemed waived. An employee who ha s been dismissed from work but has contested the legality of the dismissal in a forum of appropriate jurisdiction at the time of the issuance of the order for t he conduct of a certification election shall be considered a qualified voter o u nless his/her dismissal was declared valid in a final judgment at the time of th e conduct of the certification election. with specific grounds. indicate on th e envelope the voter’s name. The Election Office r shall note all challenges in the minutes of the election and shall be responsi ble for consolidating all envelopes containing the challenged votes. But their vo tes shall be segregated and sealed in individual envelopes. Protests shall be recorded in the minutes of the elect ion proceedings. all contested voters shall be allowed to vote. The Election Officer shall place the ballot in an envelope. at least 10 days before the actual date of the election QuickTime™ and a TIFF (Uncompressed) decompressor 2. The protesting party must formalize its protest with the Med-Arbiter. Inclusion-Exclusionare needed to see th is picture. and the ground for the challenge.

no challenge or eligibility iss ue was raised or. under any of the following conditions: a. Failure of any party or the employer or his/her/their representative to appear during th e election proceedings shall be considered a waiver to be present and to questio n the conduct thereof. even if one was raised. If not recorded in the minutes and formalized within the prescribed pe riod. the same was not perfected within the fiveday period for perfection of the protest. the protest shall be deemed dropped. the Ele ction Officer shall immediately schedule the conduct of another certification or consent election within 15 days from receipt of the motion and cause the postin g of the notice of certification election at least 10 days prior to the schedule d date of election in 2 most conspicuous places in the establishment. within five (5) days after the close of the election pro ceedings. The winning union shall have the r ights. privileges and obligations of a duly certified collective bargaining agen t from the time the certification is issued. Run-off Election When an election w hich provides for 3 or more choices results in none of the choices (unions or “no union” choice) receiving a majority of the valid votes cast. b. signed by the Election Officer and the repre sentatives of the contending unions iii. The ballots and the tally sheets sh all be i. A failure of elect ion shall not bar the filing of a motion for the immediate holding of another ce rtification or consent election within 6 months from date of declaration of fail ure of election. cons olidation of results shall be made within 15 days from the conduct thereof. the Election Officer shall tra nsmit the records of the case to the Med-Arbiter Med-arbiter shall issue an orde r proclaiming the results of the election and certifying the union which obtaine d a majority of the valid votes cast as the sole and exclusive bargaining agent in the subject bargaining unit. within 24 hours from the complet ion of the canvass Where the election is conducted in more than one region. Failure of Election Where the number ofQuickTim e™cast in a certification votes and a TIFF (Uncompressed) decompressor are is less this picture. Action on the motion for the immediate holding of another certi fication or consent election Within 24 hours from receipt of the motion. And there are no objections or challe nges which if sustained can materially alter the results. sealed in an envelope ii. Certification of Exclusive Bargaining Agent The union whi ch obtained a majority of the valid votes cast shall be certified as the sole an d exclusive bargaining agent of all the employees in the appropriate bargaining unit within 5 days from the day of the election. no pro test was filed or. There being a valid election. transmitted to the Med-Arbiter. Provided. the resolution of the same will not ma terially change the results of the elections. or consent electionneeded to seethan the majority of the number o f eligible voters and there are no material challenged votes. The opening and canvass shall proceed immediately after the precincts have closed. Canvassing of Votes Counted and tabul ated by the Election Officer in the presence of the representatives of the conte nding unions. provided no protest is recorded in the minutes of the election. “No Union” shall not be a choice in the run-off election. The same g uidelines and list of voters shall be used in the election. that the total number of votes for all contending unions is at least 50% of the number of votes cast. Proclamation and Cer tification of the Result of the Election Within twenty-four (24) hours from fina l canvass of votes. the Election Officer shall motu propio conduct a run-off election within 10 days from the close of th e election proceedings between the labor unions receiving the two highest number of votes. Page 58 of 83 .Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 arguments and evidence. Cond uct of Election and Canvass of Votes The election precincts shall open and close on the date and time agreed upon during the preelection conference. even if one was filed. togethe r with the minutes and results of the election. Each representative entitled to a copy of the minutes of the elect ion proceedings and results of the election.

Certification year rule will apply even if the “No union” choice won. Although filed outside the 12-month bar. Petition is filed during the 60-day freedom period Deadlock Bar A petition for certification election cannot be entertained if.” Certification year rule will not apply if in fact there was a failure of election because less than majority of the CBU members voted.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Notice of run-off elections shall be posted by the Election Officer at least fiv e (5) days before the actual date of run-off election. 106830. 262. 16 November 1993 . 250 of the Labor Code within 1 year pr ior to the filing of the petition for certification election. or run-off election or from the date of voluntary recognition. Laguesma. etc. Grievance machinery and voluntary arbitration. 107792. including the Arbitrator’s fees. and the court upheld the dismissal and explained that ord inarily. CBA was concluded in violation of an order e njoining the parties from entering into a CBA until the issue of representation is resolved 6. Miscellaneous provisions. CBA is not registered 2. Art. such union should not be blamed. before the filing of the petition for certification election. a bargaining deadlock to which an i ncumbent or certified bargaining agent is a party. (Samahang Manggagawa sa Permex v. Jurisdiction over other labor disputes Art. 232. 04 February 1997 But in one case the winning union failed to conclude a CB A with the employer within one year. Contract Bar 3. 277. and a certification election should not be authorized even though no CBA has been concluded despite passage of 12 month s. Another petition for certification election may be fil ed within 6 months. Secretary of Labor. ADMINISTRATION IF AGREEMENT.e. Negotiation Bar A petition for certification election cannot be filed if the duly certified union has commenced and sustained negotiations in good faith with the employer in accordance with Art. had been submitted to concili ation or arbitration or had become the subject of a valid notice of strike or lo ckout. 11 8915. Capitol Medical Center Alliance. the petition was nonetheless dismissed. BARS TO CERTIFICATION ELECTION Art. consent. are needed to Certification Year Rule Bar see this picture. When contract bar rule not applied 1. 260. Prohibition on certification election Grounds for denying pet ition for certification election 1. 02 Ma rch 1998) D. v. i. But if cir cumstances show that the reason for not having concluded a CBA was not the union’s fault. The B oard shall administer the Special Voluntary Arbitration Fund in Page 59 of 83 R. Deadlock Bar 2. and for such other related purposes to promote and develop voluntary arbitration. a bargaining agent who failed to secure a CBA within 12 months could be suspected as a tool of management and should deserve to be replaced. In a case where the re was no certification election conducted precisely because the first petition was dismissed on the ground that it did not include all the employees who should be properly included in the collective bargaining unit. GR No. GR No. Negotiation Bar Contract Bar While a valid and regist ered CBA is subsisting. No petition for cert ification election may be filed within one year from the date of a valid certifi cation. C. QuickTime™ and a TIFF (Uncompressed) decompressor The 12 month prohibition presupposes that there was an actual conduct of electio n. Transport Corp v. Jurisdiction of Voluntary Arbitrators or panel of Voluntary Arbitrators Art. the BLR is not allowed to hold an election contesting th e majority status of the incumbent union. the certification year bar does not apply. (f) A special Volu ntary Arbitration Fund is hereby established in the Board to subsidize the cost of voluntary arbitration in cases involving the interpretation and implementatio n of the Collective Bargaining Agreement. GRIEVANCE AND VOLUNTARY ARBITRATION Ar t. 12-month bar /certification year bar 4. ballots were cats and there was a counting of votes. CBA is incomplete in itself 4. GR No. hence another union filed a petition for ce rtification election. 261. CBA does not foster industrial peace 5. CBA deregistered 3. Laguesma. The situation takes the nature of a “deadlock bar.

Hearing may be adjourned for cause or u pon agreement by the parties. Arising from interpretation and implementation of the productivity incentive programs under RA 6971 Any other labor disputes upon agreement by the parties.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 accordance with the guidelines it may adopt upon the recommendation of the Counc il. o Representatives of the employers designated by the union. Wage dis tortion issues arising from the application of any wage orders in organized esta blishments 4. Proced ure: Voluntary Arbitration All parties to the dispute shall be entitled to atten d the arbitration proceedings. Grievances arising from the implementation or interpretation of CBAs. Grievance committee shall be created within 10 days from the signing of the CBA. resolution. The voluntary arbitrator may con ciliate or mediate to aid the parties in reaching a voluntary settlement. Decision final and executory after 10 calendar days from receipt of the copy by the parties. be sufficient ground fo r the Board to discipline said voluntary arbitrator.000. labor-management committees may be formed voluntarily by workers and employers for the purpose of promoting industrial peace. interpretati on or implementation of the CBA 2. (g) The Ministry shall help promote a nd gradually develop. Establishment of Grievance Machinery 1. 2. working conditions and the quality of wo rking life. unless otherwise agreed upon by the parties. the training and education of Voluntary Arbitrato rs. which guidelines shall be subject to the approval of the Secretary of Labor and Employment. Grievance committee shall be composed of at least 2 representatives each from the members of the bargaining unit and the employer. Continuing funds needed for this purpose in the initial yearly a mount of fifteen million pesos (P15. It shall be mandatory for the voluntary arbitrator to render an award or decision within 20 calendar days from the date of submiss ion for resolution unless the parties agree otherwise. No MR allowed.00) shall be provided in the 1989 an nual general appropriations acts. o Failure on the part of the voluntary arbitrator to render a decision. Page 60 of 83 Procedure in handling grievances (ANNEX J) Jurisdiction of Voluntary Arbitrators . Aris ing from interpretation or enforcement of company personnel policies 3. The Department of Labor and Emplo yment shall endeavor to enlighten and educate the workers and employers on their rights and responsibilities through labor education with emphasis on the policy thrusts of this Code. The parties may choose to submit the dispute to voluntary arbitration proceedings before or at stage of the compulsory arbitration proceedings. Disputes under GrievancetoMachinery 1.000. The Fund shall also be utilized for the operation of the Council. take whate ver action is necessary to resolve the dispute. with the agreement of labor organizations and employers. receive evidence 3. for its further disposition. interpretation or enforcement of company pers onnel policies QuickTime™ and a TIFF (Uncompressed) decompressor 1. l abor-management cooperation programs at appropriate levels of the enterprise bas ed on the shared responsibility and mutual respect in order to ensure industrial peace and improvement in productivity. the records of the case within 10 c alendar days from demand thereof. are needed see this picture. and the Voluntary Arbitration Program. Agreement by the parties 2. o In cases that the recommended sanction is de-listing. The attendance of any third party or the exclusio n of any witness from the proceedings shall be determined by the voluntary arbit rator or panel of voluntary arbitrators. pursuant to the guidelines issued by the Secretary. order or award within the prescribed period. it shall be unlawful for the voluntary arbitrator to refuse or fail to turn ove r to the board. The amount of subsidy in appropriate cases sha ll be determined by the Board in accordance with established guidelines issued b y it upon the recommendation of the Council. (h) In establishments where no legitimate labor organization exists. shall upon complaint of a party. hold hearings 2. Powers of the Voluntary Arbitrators 1.

Purpose of the Labor-Management Council s To enable the workers to participate in policy and decision-making processes i n the establishment. Unfair Labor Practice violations of CBA must be gross to be considered as ULP Conversion Doctrine A s trike may start as economic and. becomes ULP. QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. In cas e of bargaining deadlock. Provide process facilitators upon request of the parties 4. 4. depots. warehouses. including the sites or premises use d as runaway shops. STRIKES. Strikes. by one on beha lf of others Strike – any temporary stoppage of work by the concerted action of th e employees as a result of an industrial or labor dispute Lockout – temporary refu sal of any employer to furnish work as a result of an industrial or labor disput e Internal union dispute – includes all disputes or grievances arising from any vi olation of or disagreement over any provision of the constitution and by laws of a union. 3. including any violation of the rights and conditions of union membersh ip provided for in this Code Strike-breaker – any person who obstructs. Assist the parties in setting up labor-management structures. picketing and loc kouts Art. as well as the immediate vic inity actually used by picketing strikers in moving to and fro before all points of entrance to and exit from said establishment Characteristics of a Strike 1. Organized establishments: Nomi nated by the exclusive bargaining representatives 2. Page 61 of 83 . or vice-versa. Select ion of employees’ representatives to the council 1. 2. Concerted Action – an activity undertaken by two or more employees. LABOR MANAGEMENT COOPERATION SCHEMES Creation of Labor Management and Other Councils The Department shall promote the formation of labor-management council s in organized and unorganized councils. benefits and welfare. Improved offer balloting. There must be an employer-employee relationship. Grounds for lockout 1. functions and procedures 3. IV. as it progresses. threats. impedes. Work stoppage is done through co ncerted action. hours or conditions of work or in the exercise of the right of self-organization or collective bargaining Strike Area – establish ment. plants or offices. o r interferes with by force. LOCKOUTS AND CONCERTED ACTIONS Art. Existence of a dispute. violence. Those co vered by CBAs 2. coercion. Collective Bargaining Deadlock 2. 263. Traditional areas of bargaining Services to be rendered by the Department in line with the said policy 1. of the employer struck against. insofar as said processes will directly affect their rights . Prohibited activities Art. E mployment relation is deemed to continue although in a state of belligerent susp ension. it must be the employees’ sole bargaining representative . There is temporary work stoppage. Monitor the acti vities of labor-management structures as may be necessary and conduct studies on best practices aimed at promoting harmonious labor-management relations. 6. Not covered by the Labor-Management Councils 1. Conduct awareness campaigns 2. or intimidation any pea ceful picketing affecting wages. E. 264. Where there is no legitimat e labor organization: by the employees at large. 5. Voluntary arbitrator shall turn over the records of the case to the regional branch of the Board within 10 days upon satisfaction of the final award . 265. The striking group is a legitimate labor organization.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 The voluntary arbitrator or labor arbitrator (if there voluntary arbitrator is a bsence or incapacitated) may issue a writ of execution upon motion of any intere sted party.

Action on notice of strike or lockout Upon receipt of the notice. treat a notice as a preventive medi ation case. This is subject to the cooling-off p eriod. al . Violations of CBA which are not gro ss. of Labor and Employment an opportu nity to verify whether the projected strike really carries the imprimatur of the majority of the union members. Union involved 3. Grounds involving inter/intra union disputes 3. This seven-day r eporting period is intended to give the Dept. by a secret ballot 3. Employer If there is certified or duly recognized bargaining r epresentative. v. Samahan ng Manggagawa in Moldex Products. 2. They are obliged. In case of unfair labor practice: the acts complained of. During the proceedings. and the res ults of the voting must be given at least 7 days before the intended strike or l ockout to the regional branch of the Board. Notice of the meeting must be given at least 24 hours before such meeting. v. al. After assumption of jurisdiction by the Secretary 5. In case of ULP involving the dismissal of a union officer which may constitu te union-busting: union may take action immediately after the strike vote and th e submission of the results of the strike vote to the regional branch of the Boa rd Contents of the notice of strike or lockout 1. Lapanday Workers’ Union. I n case of bargaining deadlocks: the unresolved issues. any legitimate labor organization may declare a strike but only o n grounds of unfair labor practice. seven da ys must pass before the union can actually commence the strike. 119467. The regional branch of t he Board may. written proposals of the union. 01 February 2000 A strike tagged without the su bmission of the result of the strike vote is illegal. et. the regional branch of the Board shall exert all efforts at mediation and concil iation to enable the parties to settle the dispute amicably. et. Strike or lockout vote 1. After certification or submission of dispute t o compulsory or voluntary arbitration or during the pendency of cases involving the same grounds for strike or lockout. 248 SCRA 96 (1995) The result of the strike (or lockout voting) should be reported to the NCMB at least 7 days be fore the intended strike or lockout. et. Numbe r of union members 5. NLRC. parties to submit the dispute to voluntary arbitration. In ca se of unfair labor practice: at least 15 days before the intended date of strike 3. Any certified or duly recognized bargaining representative 3. Names and addresses of employe r 2. Nature of industry to which the employer belongs 4. upon agreement of the parties. approved by majority of total union membership or by majority of the BOD or partners 2. including voluntary arbitration. in a meeting called for that purpose The regional branch may supervise the conduct of the secret balloting at its own initiative or upon request of any party. Notice of strike or lockout 1. NLRC. upon agreement of the parties. GR No. This mea ns that after the strike vote is taken and the result reported to NCMB.al. the parties shall not do any act which may d isrupt or impede the early settlement of the dispute. It shall also encou rage the . Other relevant data 7.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 When strike or lockout cannot be declared 1. a nd the efforts taken to resolve QuickTime™ and a the dispute TIFF (Uncompressed) d ecompressor are needed to see this picture. Preventive Mediation Th e regional branch may treat the notice as preventive mediation case upon agreeme nt of the parties. In case of ba rgaining deadlocks: at least 30 days before the intended date of strike 2. Page 62 of 83 Board shall inform the concerned party in case notice does not conform with the requirements. A ny legitimate labor organization 2. as part of their duty to bargain collectively in good faith and to participate fully and promptly in the conciliation meetings called by the regional branch of the Boar d. Who may declare a strike or lockout 1. When there is no notice o f strike or lockout or without the strike or lockout vote 4. Workers in the bargaining unit 6. counterproposals of the employer and proof of request for conference to s ettle differences 8. subject to the cooling off period. may be referred to alternative modes of dispute resolution. A notice.

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Injunction GR: No c ourt or entity shall enjoin any picketing. or an y armed person in any manner of any individual who seeks to replace strikers in entering or leaving the premises of a strike area or work in place of strikers 8 . or interfere with by force. the striking workers shall immediately return to work and the employer shall th ereupon re-admit them upon the signing of the agreement. strike or lock-out without the necessary vote first havi ng been obtained and reported to the DOLE 3. In case of lockout • T he regional branch of the Board shall also conduct a referendum by secret ballot ing on the reduced offer of the union. obstruct. threats. th • on or before the 30 day of the lockout . • When at least a majority of the union members vote to accept the improved offer. OR MEDICAL INSTITUTIONS May assume jurisdiction or certify it to the NLRC for c ompulsory arbitration Duty of striking union or locking out employer to provide and maintain an effective Page 63 of 83 Improved Offer Balloting 1. coercion or intimidation while engaged in picketin g or obstruct the ingress or egress from the employer s premises for lawful purp oses or obstruct public thoroughfares (must be pervasive and widespread/consiste ntly and deliberately QuickTime™ and a resorted to as a matter of policy) TIFF (Un compressed) decompressor are needed to see this picture. the workers shall immediately return to work and the employer sha ll thereupon readmit them upon the signing of the agreement. In case of strike • Regional branch of the Board shall . CLINICS. strike or lock-out after DOLE has a ssumed jurisdiction or the President or after certification or submission of dis pute to the compulsory arbitration/voluntary arbitration or during the pendency of cases involving the same grounds for the strike or lockout 4. conduct a referendum by secret balloting on the improved offer of the employer .Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 When labor may strike or when the employer may lock out its workers If the dispu te remain unsettled after the lapse of the requisite number of days from the fil ing of the notice of strike or lockout and of the results of the election. employment or use of any strikebreaker/ emp loyed as a strike breaker 7. coercion. Mandatory: (within 24 hours) In l abor disputes adversely affecting the continued operation of HOSPITALS. Prohibite d activities during strikes and lockouts 1. • at its own initiative or upon the request of any affected party. strike or lockout.   . including officers and personnel of the AFP or PNP. National Interest Assu mption of Jurisdiction by DOLE Secretary 1. Discretionary In his opinion there e xists a labor dispute causing or likely to cause a strike or lockout in an INDUS TRY INDISPENSABLE TO THE NATIONAL INTEREST may certify the same to the commissio n for COMPULSORY ARBITRATION Effect: AUTOMATICALLY ENJOINS the intended on impen ding strike or lockout but if one has already taken place. 2. Exceptions: 1. bringing in. or intimidation any pe aceful picketing by employees during any labor controversy or shall abeit or aid such obstruction or interference 6. violence. all striking or locke d out employees SHALL IMMEDIATELY RETURN TO WORK and the employer shall immediat ely resume operations and re-admit all workers under the same terms and conditio ns prevailing before the strike or lock-out 2. 2. impede. The r egional branch of the Board shall continue mediating and conciliating. knowingly parti cipating in illegal strike or knowingly participates in the commission of illega l acts during a strike ground for termination of employment 5. introducing. Whe n prohibited or unlawful acts are being or about to be committed that will cause grave or irreparable damage to the complaining party. or escorting by any publi c officer or employee. commit any act of violence. strike or lock-out without first hav ing bargained collectively strike or lock-out without the necessary notice being filed with the DOLE 2. • on or before the 30th day of strike. • When at least a majority of the board of directors or trustees or the partners holding the controlling interest in the case of partnership vote to accept the reduced offer.

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The discretion to assume juri sdiction may be exercised by TIFF (Uncompressed) decompressor Labor and the Quic kTime™ and a of Secretary are needed to Employment without the see this picture. Sarmiento v. Where there is RETURN-TO-WORK ORDER and the employees are discrimina ted against. 2. If the stoppage of work will be unfruitful not only to bith the employer and the employees. to avoid such a development. are entitled to be paid for the work they have actually performed. it must be discharged as a duty even against the worker’s will. 263(g) 1. 162 SCRA 676 (1988) The return-to-work o rder should benefit only those workers who comply with it and. in the discretion of the authority deciding the case. regardless of whether or not the strike was the consequence of th e employer’s ULP.g. of an “unconditional offer”: “we will return tomorrow” and NOT “willin g to return provided] o They are entitled to backwages from the date the offer w as made. Page 64 of 83 . R ule on Reinstatement of Striking Workers GR: Striking employees are entitled to reinstatement. where movement and ser vice shall be unhampered and unrestricted as are necessary to insure the proper and adequate protection of the life and health of its patients most especially e mergency cases for the duration of the strike or lock-out Power of the President under Art. In case of a ULP STRIKE. those workers who refuse to o bey said order and instead wage a strike are not entitled to be paid for work no t done or to reinstatement to the positions they have abandoned by their refusal to return thereto as ordered. Precisely. While as a right it may be waived. Tuico. 37687 15 March 1982) Rule on Wages of Strikers GR: Strikers are not entitled to their wages during the period of a str ike. DOLE Secretary is final and executory after receipt thereo f by the parties. it is not correct to say that it may be enforced only if he strike is legal and may be disregarded i f illegal. the labor dispute may properly be certified to the National Labor Relat ions Commission. Peop le’s Industrial and Commercial Corp. the purpose of the return to work order is to maintain the status quo while the determination is being made. Conversely. union officers who knowingly participate in an illegal strike. regardless of the outcome of the compulsory arbitration proceedings.al. Exceptions: The following strikers are NOT entitled to reinstate ment: 1. may determine the industries. (P eople’s Industrial and Commercial Employees and Workers Organization (FFW) v. 2. Where the strikers voluntaril y and unconditionally offered to return to work. GR No. Where the return to work order is issu ed pending the determination of the legality of the strike. GR No. more particularly if the national economy will suffer becaus e if the resultant reduction in our export earnings and our dollar reserves. may intervene at any time and assume jurisdic tion over any such labor dispute in order to settler or terminate the same Decis ion of the President. Torres. 162 SCRA 676 (1988) The return-to-work ord er not so much confers a right as it imposes a duty. Exceptions: 1. but the employer refused to acc ept the offer [e. any s triker/union member who knowingly participates in the commission of illegal acts during the strike. Returning to work in this situation is not a matter of option or voluntariness but of obli gation. Sarmiento v. 3. 05 November 1 986) Consequences of Illegal Strike Good-Faith Doctrine A strike may be consider ed legal when the union believed that the respondent company committed unfair la bor acts and the circumstances warranted such belief in good faith although subs equently such allegation of unfair labor practices are found out as not true. Tuico. o f prior notice necessity of hearing given to any of the parties disputants (Magn olia Poultry Employees Union. Nos. which are in his opinion ind ispensable to national interest 2. St. 76227-28. with the return-to-work order foll owing as a mater of course under the law. et.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 SKELETAL WORKFORCE of medical and other health personnel. o They are entitled to backwages from the date of discrimination. v. even if the strike is legal. Sanchez GR. Scholastica’s College v. not to mntion possible cancellation of the contracts of the company with foreign ex porters.

consequently “be declare d to have lost his employment status. GR No. The test is whether the former is usually necessary or desirable in the usual business or trade of the employer.A prob ationary employee is considered regular after 6 months. NLRC . Any worker or union office who knowingly par ticipates in a strike defying a return-to-work order may. or when he commits an illegal act during a strike. This is the rule even if its performance is n ot continuous and merely intermittent. Probationary employment Regula r Employment Engaged to perform tasks usually necessary and desirable to the bus . Ther e must be proof that he committed illegal acts during a strike. NLRC. As the Solicitor General correctly adds. . In one case the Court said that the mere fact that the majority of the strikers were able to return to work does not necessari ly mean that the rest deliberately defied the return to work order or that they had been sufficiently notified thereof. But the Civil Code. 21 August 1992 But to justify dismissal. A union officer. Catapang. Casu al Employment Activity performed is not usually necessary or desirable in the us ual business or trade of the employer.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 100158. and shall be subject to the s ame duties as may be granted by law to regular employees during the period of th eir actual employment. v. on the other hand. every employee sh all be entitled to the same rights and privileges. not project and not seasonal Except: if h e has rendered at least 1 year of service. 280. he is considered a REGULAR employee with respect to the activity in whi ch he is employed and his employment shall continue while such activity exists. April 2004) Page 65 of 83 V. Inc. 164736. 19 June 1992 A return to work order is immediately effective and executo ry notwithstanding the filing of a motion for reconsideration. POST-EMPLOYMENT A. allows fixedterm employment Employee hired on a fixed-term is regular if job is necessary and desirable to business of employer. 281. Despite the distinction between regular and casual employment. becomes regular. a general law. 101858. Fixed-Term Employment Period is agreed upon knowingly and voluntarily by the parties without force. October 14. the defiance of the re turnto-work order must be proved. 264 makes a distinction be tween workers and union officers who participate in a strike. some of them may have left Metro Manila and did not have enough time to return during the period given by the period given by petitioner.” Batangas Laguna Tayabas Bus Company v. CASUAL. Regular and casual employment Art. Also. The respective liabilities of striking union officers and members who failed to immediately comply with the return-to-work order is outlined in Art. Art. or improper pressure exerted on the employee. may be terminated from work when he knowingly participates i n an illegal strike. 245 SCRA 627 (1995) Art. REGULAR. Fadriquela. duress. The employment is considered regular. The practice of entering into employment contracts which would prevent the workers from beco ming regular should be struck down as contrary to public policy and morals. 141717. 264 of the Labor Code which provides that any declaration of a strike or lockout after the Secretary of Labor and Employment has assumed jurisdiction over the labor di spute is considered an illegal act. but only with respect to such activity and while such activity exists. May be terminated only for just / authorized causes Test to determine regular employmen t Universal Robina Corporation v. 2005 The primary standard of determining regular employment is the reasonable connection between the particular activity performed by the employee to the usual trade or business of the employer. Gold City Integrated Port Services. (Philips Semiconductor v. An ordinary striki ng worker cannot be terminated for mere participation in an illegal strike. whether such service is continuous or broken. GR No. It must be strict ly complied with even during the pendency of any petition questioning its validi ty. QuickTime™ and a PROBATIONARY EMPLOYMENT TI FF (Uncompressed) decompressor are needed to see this picture. the performance of a job for at least a year is sufficient evidence of the job’s necessity if not indispensability to the business. Brent case: fixed-term employment repealed by LC. GR No.

iness of the employer Regular employment does not mean permanent employment .

he shall be considered a REGULAR employee QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. what are the legal requirements for a cquisition of permanent employment? Held: (1) The teacher is a full-time teacher . v. GR No. Inc. based on reasonable standards made known to him a t the time of engagement. Thus. the employer shall mak e known to the employee the standards under which he will qualify as a regular e mployee at the time of his engagement. Where no standards are made known to the employee at that time. 284 SCRA 539 (1998) Repeated hiring on a project to project basis is considered necessary and desirable to the business of the employer. NLRC. 2005) Probationary employee may be dismissed before end of the prob ationary period. A voluntary agreement extending the original probati onary period to give the employee a second chance to pass the probation standard s constitutes a lawful exception to the statutory limit. Seasonal Employment Page 66 of 83 . 280 appl ies Probationary Employment GR: Not to exceed 6 months Exceptions: a. 18 March 2005 Repeated h iring does not necessarily mean regular employment. and (3) such service must have been satisfactory. “Day Certain” Rule – project emplo yment ends on a certain date does not end on an exact date. Global Communication case: usual and desirable does not matter because employer hires without intent of making them regular. 13 April 2005 T here is probationary employment where the employee. 15 Februar y 1990 Issue: For private school teachers. v. upon his engagement. In all cases of probationary employment. 280 does n ot apply to OFWs. Art. em ployee is regular. (LC does not apply to migrant workers. Aberdeen Court. 149371. so that even if th e period is more than 1 year. when he fails to qualify as a regular employee in accordance with reasonable standards made known by the employer to employee at the time of his engagement If allowed to work after the probationary period. It is a mandate of law. After lapse of probationary period (6 months). Inc. Pascua. despite the seeming restricti ve language of Article 281. Jr. just / authorized causes b. (2) the teacher must have rendered three consecutive years of service. the period is not the determining factor. Such an extension may be lawfully agreed upon. the employee becomes regular. 153832. (PAL v. (Vo yeur Visage. The services of an employee who has been engaged on pr obationary basis may be terminated only for a just cause. when he fails to quali fy as a regular employee in accordance with the reasonable standards prescribed by the employer. Phil.. but on the completio n of the project. Mariwasa Manufactu ring. RA 8042 does. 15 August 2003) Nature of employment determines regular employment. Puente. GR No. UST v. Regularizat ion is not a management prerogative. Leogardo. NLRC. covered by an apprenticeship agreement stipulating a longer period b. FilSystems v. is made to undergo a trial period during which the employer determines his fitness to q ualify for regular employment. voluntary agreement of parties (especially when nature of work requires a longer period) c. employee does not necessarily become regular Marag uinot v. locally-hired employees.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Project Employment One whose employment has been fixed for a specific project or undertaking the completion of which has been determined at the time of engageme nt of the employee. 26 January 1989 Issue: May the employer and the emp loyee validly agree to extend the probationary period beyond six months? Held: Y ES.) Poseidon Fishing case: if engaged in deep-sea fishing. he shall be deemed a regular employee. the empl oyer gives the employee a second chance to pass the standards set Termination of Probationary Employment a. Agustin.

Aeolus v NLRC.confide ntial employees – charged with custody and protection of employer’s property like a cashier (this is different from the “confidential employees” in labor relations) A c riminal case need not be actually filed. 279. GR No. but merely considered on leave until re-employed. JUST CAUSES. Thus.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Work or services to be performed is seasonal in nature and the employment is for the duration of the season Hacienda Fatima v. B.11 October 2005) Gross and Habitual Neg lect GROSS and HABITUAL must concur together. employ ee has become unfit to continue working for the employer (Phil. Implies a want or absence of or fa ilure to exercise slight care or diligence. 28 January 2003 The fact that sea sonal workers do not work continuously for one (1) whole year but only for the d uration of the season does not detract from considering them in regular employme nt since in a litany of cases. Gross And habitual Neglect and a the employee of by TIFF (Uncompressed) decompressor are needed to see this picture. Security of tenure Applies to all establishmen t or undertakings whether for profit or not Project employees have no security o f tenure. To be serious within the meaning and intendment of the law. CONSTRUCTIVE DISMISSAL Art. 04 October 2005) Elements of Serious Misco nduct 1. AUTHORIZED CAUSES. lawful. NLRC. 279 does not apply to project employees. the Court has already settled that seasonal worke rs who are called to work from time to time and are temporarily laid off during off-season are not separated from service in said period. National Federation of Sugarcane Workers-Food and General Trade. serious. 282. the transgression of some established and definite rule of action. It ev inces a thoughtless disregard of consequences without exerting any effort to avo id them. willful in character. Fraud or Willful Breach o f Trust Can be committed only by confidential and managerial employees . the order violated must have been reasonable. 149440. and implies wrongful intent and not mere error in ju dgment. employer Just Causes for Te rmination by Serious Misconduct Improper or wrong conduct. you cannot demand wages for the time when the re is no project. 2. the willfulness being characterized by a wrongful and perverse at titude. relate to the performance of the employee’s duties. Other an alogous cases . Commission of acts constituting a crime is sufficient. Analogous Cases. Serious Misconduct or Willful Disobedience by the employee of the lawful orders of his employer or representative in connecti on with his work (work-related) QuickTime™ 2. Previous infractions by the employee should have been acted upon approp riately by the employer before terminating the former. (see how full backwages are computed) Full backwages are computed from the time wages are withheld up to the time the employee is actually reinstated. a dereliction of duty. C. SECURITY OF TENURE Art. his duties 3. Commiss ion of a Crime or offense by the employee against the person of his employer or any immediate member of his family or duly authorized representative 5. the miscondu ct must be of such grave and aggravated character and not merely trivial or unim portant (Villamor Golf Club v. or the entire absence of care. Fraud or Willful breach by employee of the Trust reposed in him b y his employer or duly authorized representative (not mere suspicion) 4. 2. Examples violation of safety rules gross ineffi ciency wrongful acts of employee against the company violation of code of discip line Page 67 of 83 Grounds: (SoMe WiD GAN FWeT CO) 1. Pehid. 2 000) Elements of Willful Disobedience 1. In the case of project employees. employee’s assailed conduct was willful o r intentional. a forbidden act. Workers who have performed the same tasks every seas on for several years are considered regular employees for their respective tasks . 3. made known to t he employee and must pertain to the duties which he has been engaged to discharg e (Micro Sales Operation Network v.

(Oriental Petroleum & Minerals Corp. Abandonment is incompatible with constructive dismissal. decreased volume of business. coupled with a clear absenc e of any intention of returning to his or her work. v Fuentes. Closure of business as a resul t of grave financial loss 5. Validity of a Redundancy Program DAP v. The employ er should have taken other measures prior or parallel to retrenchment to foresta ll losses. The alleged losses if already realized. payment of separation pay equivalent to at least one month pay or at least one month pay for every year of service. a written notice served on both the empl oyees and the Department of Labor and Employment (DOLE) at least one month prior to the intended date of retrenchment 2. The substantial loss apprehended must be reasonably imminent. It be reason ably necessary and likely to effectively prevent the expected losses. whi chever is higher 3. A position has become superfluo us as an outcome of a number of factors such as overhiring of workers. GR No. 283. 2. If the dismissal is based on an authorized cause under Article 283 but th e employer failed to comply with the notice requirement. Standards to Justify Retrenchment 1. as a just and valid cause for termination. No formal dismissal 2. in retrenchment. it must NOT be in BAD FAITH. Introduction of labo r-saving devices 2.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 failure to heed an order not to join an illegal picket immorality sexual harassm ent Art. Closure Not Due to Losses In cases of closure not due to losses. the sanction should be stiffer because the dismissal process was initiated by the employer’s exercise of his management prerogative Constructive Dismissal 1. and the expected imminent losses must be proved by sufficient and convincing evidence. 159293. fair and reasonable criteria in ascertaining what positions are to be declared redundant and QuickTime™ and a accordingly abolished TIFF (Uncompressed) decompressor are needed to see this picture. 1 6 December 2005 Constructive dismissal exists when an act of clear discriminatio n. insensibility or disdain on the part of the employer has become so unbearable as to leave an employee with no choice but to forego continued employment. company has no financial problems. Veterans Security Agency v. 3. requires a deliberate and un justified refusal of an employee to resume his work. The employee is placed in a situation by the employer such that his continued employ ment has become UNBEARABLE. Redundancy 3. If the dismissal is base d on a just cause under Article 282 but the employer failed to comply with the n otice requirement. 14 October 2005) Difference between redundancy and retrenchment: In redundancy. the sanction to be imposed upon him should be tempered becaus e the dismissal process was. Page 68 of 83 . CA. Retrenchment 4. The losses expected should be substantial and not mer ely de minimis in extent. initiated by an act imputable to the emp loyee. company suffers from financial problems. Authorized Causes for Termination Grounds: 1. 165811. 14 De cember 2005 The employer must comply with the following requisites to ensure the validity of the redundancy program: 1. Aban donment. good faith in abolishing the redundant positions 4. dropping of a particular product line or service activity p reviously manufactured or undertaken by the enterprise (thus it only requires su perfluity not duplication of work) The redundancy SHOULD NOT have been created b y the EMPLOYER. 4. GR No. in effect. Retrenchment Resorted primarily to avoid or minimize business losses. Closure not due to losses Redundancy Redundancy exi sts where the services of an employee are in excess of what is reasonably demand ed by the actual requirements of the enterprise. Vargas.

In all such cases. 286. it is binding on the parties a nd may not later be disowned. separation pay nee d not be paid to an employee who voluntarily resigns.” It is the inherent prerogative of an employer to transfer and reassig n its employees to meet the requirements of its business. the prerogative of the management to transfer its employees must be exercised witho ut grave abuse of discretion. et al. an employer who a grees to expend such benefit as an incident of the resignation should not be all owed to renege in the performance of such commitment. Be that as it may. Options of employer (i.e. 25 October 2005) Art. commission of a cri me against person of the employee or any of the immediate members of his family d. Art. (Manly Express v. representative b. unjustified refusal of an employe e to resume his/her employment Two elements must be proved 1. 140812. an overt act from which it may be inferred that the employee has no mo re intent to resume his/her work Page 69 of 83   . Waivers and Quitclaims. or the fulfillment by the employee of a military or civic duty shall not terminate employment. no need to pay se paration pay Abandonment means the deliberate. retrenchment – must give notice 1 month before retrenchment. when valid Candido A lfaro v. The employer’s privilege to transfer it s employees to different workstations cannot be used as a subterfuge to rid itse lf of an undesirable worker. Art. it would sanction the unilateral and arbitrary determi nation by the employer of the gravity or extent of the employee’s illness and thus defeat the public policy on the protection of labor. GR No. pay separ ation pay 2. Exceptions. serious insul t on the honor and person of QuickTime™ and a employee by the employer or his TIFF (Uncompressed) decompressor are needed to see this picture. CA. Termination by employee Termination without Just Caus e 1. 28 August 2001 Generally. the employer shall reinstate the employee to his former position without loss of seniority rights if he indicates his desire to resume his work not later than one (1) month from the resumption of operations of his employer o r from his relief from the military or civic duty. No Separat ion Pay in resignation. If the agreement was voluntarily ente red into and represented a reasonable settlement. otherwise. 284. other causes analogous to the foregoing 2. i nhumane and unbearable treatment accorded to the employee c. The exercise of the prerogative should not defeat an employee s right to security of tenure. Notice not necessary Resigning emp loyee not entitled to separation pay. Payong.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Article 286 applies only when there is a bona fide suspension of the employer’s op eration of a business or undertaking for a period not exceeding 6 months. Temporary Lay-off Must not ex ceed 6 months. simply because of a change of mind. being placed “off detail” or on “floating” status means “waiting to be posted. Not all waivers and quitcl aims are invalid as against public policy. closure – must comply with 1 month advanced notice. security agency) in case of pull out by client: 1. the intention to a bandon 2.. However. When employment not deemed terminated The bona-fide suspension of the operation of a business or undertaking for a period not exceeding 6 months. In sec urity agency parlance. Grounds a. unless company policy gives it. employee may be held liable for damages fo r failure to give notice Termination with Just Cause 1. 285. at least 1 month prior notice 2. Disease as ground for termination Disease as Ground for Termination When his continued employment is prohibited by law or prejudicial to his health or to the health of his co-employees There is a certi fication by a competent public health authority that the disease is of such natu re or at such stage that it cannot be cured within a period of 6 months even wit h proper medical treatment The requirement for a medical certificate cannot be d ispensed with.

fulfillment by the employe e of a military or civic duty Employer shall reinstate the employee to his forme r position without loss of seniority rights IF employee indicates his desire to resume his work not later than 1 month from resumption of operations of his empl oyer or his relief from the military or civic duty Preventive Suspension justifi ed where the employee’s continued employment poses a serious and imminent threat t o the life or property of the employer or of his co-workers (there is a REASONAB LE POSSIBILITY of the employee posing such a threat) must not exceed 1 month It is only for the purpose of investigating the offense to determine whether he is to be dismissed or not.notice that employee retrenchment. 277.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 This is negated by immediate filing of an action for ILLEGAL DISMISSAL. 17 November 2004 modifies Serrano Dismissal for an authorized or just ca use. containing a notice statement of the causes for ter mination and shall afford the latter ample opportunity to be heard and to defend himself with the assistance of his representative if he so desires in accordanc e with company rules and regulations promulgated pursuant to guidelines set by t he Department of Labor and Employment.1 month advanced Investigation notice to DOLE Non-compliance with due process requirements Before the Agabon case. such as the payroll. Employme nt Not Deemed Terminated a. 117040. bona fide suspension of the operation of a business/ undertaking for a period of not more than 6 months b. 277 (b) Auth orized Causes Just Causes (282) (283) Twin Notice (Before and One notice only Af ter Investigation . Any decision taken by the employer shall be without prejudice to the right of the worker to contest the validity or legal ity of his dismissal by filing a complaint with the regional branch of the Natio nal Labor Relations Commission. if more than 1 month. if it does. PLDT. GR No. He shall however be entitled to SEPARATION PAY AND BACKWAGES. burden of proof refers to the amount of proof to be adduced I n money claims. the employee must be actually reinstated or reinstated in the payroll officers liable only if with malice and bad faith Floating Status It is legal. (Tolentino v. In cases of dismissal. w/o procedural due process is not an illegal dismissal Page 70 of 83 . DUE PROCESS Art. Such a status should not exceed six-month s. the employer QuickTime™ and a shall furnish the worker whose empl oyment is sought TIFF (Uncompressed) decompressor are written to be terminated a needed to see this picture. due process must be observed. 08 June 2005) Due process refers to the proce ss to be followed. such as in the case of s ecurity guards who have no assignment. it amounts to a dismissal. It states that termination due to authorized cause without giving the notice required under the Labor Code is not a violation of due process. IT IS NOT A PENALTY.notice of the charge inst allation of LSD. 160404. In cases of just and authorized causes . . the doctrine in Serrano v. It is valid although declared irregular / ine ffectual. Due Process Requirements under Art. 27 January 2000) was followed. employer has the burden of proof to show that the dismissal falls under the just and authorized causes. NLRC (GR No. Miscellaneous Provisions (b) Subject to the constitutional right of workers to security of te nure and their right to be protected against dismissal except for a just and aut horized cause and without prejudice to the requirement of notice under Article 2 83 of this Code. NLRC. or is guilty (after closur e investigation) . Agabon v . The Secretary of the Department of Labor and Employment may suspend the effects of the termination pe nding resolution of the dispute in the event of a prima facie finding by the app ropriate official of the Department of Labor and Employment before whom such dis pute is pending that the termination may cause a serious labor dispute or is in implementation of a mass layoff.notice to employee1 month before . the burden of proof as to the amount to be paid the employee res ts upon the employer since he is in custody of documents that would be able to p rove the amount due. The burden of proving that the termination was f or a valid or authorized cause shall rest on the employer. D.

The indemnity should be stiffer than that provided in Wenphil to discourage the abhorrent practice of “dismiss now. if the dismissal is based on an authorized c ause under Article 283 but the employer failed to comply with the notice require ment. Ababon. the capacity of the employers to satisfy the awards. the number of employees to be awarded 3. The Court i nterpreted Art.000 nominal damages (because in just causes. 28 March 2005 If the dismiss al is based on a just cause under Article 282 but the employer failed to comply with the notice requirement. E. On the other hand. taken into account their prevailing financial s tatus as borne by the records 4.000 to Php 10. is justified only if the employ ee was unjustly dismissed.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 which warrants backwages. initiated by an act imputable to the employee. SC reduced the nominal damages from Php 30. However. which has been violated by the defendant . Payment of backwa ges and other benefits. including reinstatement.000. whether it was a retrenchment or a closure or cessation of Q uickTime™ and a operation of the (Uncompressed) decompressor establishment due to serious TIFF are business losses needed to see this picture. v. Unle ss the SC provides otherwise. the author ized cause invoked. Agabon not given retroactive effect The principle in law giving retroactive effect where the subsequent law i s corrective in character does not necessarily apply to judicial decisions. the lack of statutory due process should not nullif y the dismissal or render it illegal. the sanction to be imposed upon him should be tempe red because the dismissal process was. SC distinguished betwee n non-compliance of due process requirements in just and authorized causes. in effect. the ruling would have no retroactive effect. may be vindicated. reverses or or fina ncial otherwise 2.” The indemnity should be in the form of nominal damages. Pacot. the dismissed emp loyee must still be reinstated if it is still possible. Computation of Separation Pay Installation of labor1 month pay or 1 month sa ving devices pay for every year of service whichever is Redundancy higher. 1 mon th pay for every year is always higher if the employee has served for more than 1 year. pay later.000 nominal damages Just causes – Php 30. employee is being dismissed due to his fault) Industria l Timber Corp. whether there was a bona fide attempt to comply with the notice requirements as opposed to giving no notice at all. which is adjudica ted in order that a right of plaintiff. or if reinstatement impossible 2. 30 March 2006 Factors to be taken into account in the determination of the amount of nominal damages in dismissal cases: 1. The Court decided to follow Wenphil that where the di smissal is for a just cause. but the position is already filled up. Jaka Food Processing v. Backwages + Separation Pay Where re instatement is ordered. Cases where reinstatemen t is impossible 1. 279 to the effect that termination is illegal only if it is not for any of the justified or authorized causes provided by law. the sanction should be stiffer because the dismissal process was initiated by the employer’s exercise of his management prerogative. In case of position has been abolished (applies to both managerial and rank and file) Moral and exemplary damages may also be award ed. the employer should indemnify the employee for the violation of his rights. 1 month pay or at least 1/2 month pay for every year of service whicheve r is higher Retrenchment to prevent losses Closures or cessation of operations of establishm ents or undertaking NOT due to serious business losses or financial reverses Dis ease Closures or cessation of operations due to serious business losses or finan cial reverses no separation pay Page 71 of 83   . the employer s grant of other termination benef its in favor of the employees 5. Doctrine of Strained Relations (applies to confidential and m anagerial employees only) 2. Auth orized causes – Php 50. Backwages + Reinstatement without loss of seniori ty rights. employee entitled only to nominal damages. RE LIEFS FOR ILLEGAL DISMISSAL 1.

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v Ortega. Until the payment of separation pay is carried out.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 * a fraction of at least 6 months is considered 1 year If the retrenchment is la ter declared illegal. or authorized cause The option of “three months for every year” is available onl y if the employment is for at least one year. 2. VI. CBA. 1 + no. Reinstatement. his placement fee with interest of 12% per annum Full backwages from the Salaries for the time his compensation unexpired portion of his was withheld fro m him employment contract or up to the time of his for 3 months for every actual reinstatement year of the unexpired term. but to seek new employment in order to earn a decent living. 5-day Service incentive leave pay plus 4. ju st. 287. It is only when t he illegally dismissed employee receives the separation pay (in case of strained relations) that it could be claimed with certainty that the EER has formally ce ased thereby precluding the possibility of reinstatement. the i llegally dismissed employee’s entitlement to backwages. 160871. continues to accumulate. plus th 2. 279. the sa lary to be paid should be that for the unexpired portion. to immediately execute the reinstatement aspect of the labor arbiter’s deci sion. if not outright re fusal. COMPULSARY – 65 years old/ regardless or years of service (company not bound t o dismiss employee) Benefits 1/2 month salary per year of service which shall in clude: 1. 13th month pay. agricultural establishm ents operations employing not more than employees 10 Kinds 1. Surel y. RA 8042 (local workers) (migrant workers) QuickTime™ and a TIFF (Uncompre ssed) reimbursement of Reinstatement Full decompressor are needed to see this pi cture. an employee can get pay under the law. 2 + no. we could not fault them for their perseverance in looking for and eventually securing new employment opportunities instead of remaining idle and awaiting the outcome of the case. migrant workers Art. LC Sec. until the employer continuously fails to a ctually implement the reinstatement aspect of the decision of the labor arbiter. Retirement (as amended by th e Retirement Pay Law – RA 7641) Exempted: retail. If what is provided in the CBA is lower that what is prov ided for in law. an d the retirement plan. 06 February 2006 An order of r einstatement by the labor arbiter is not the same as actual reinstatement of a d ismissed or separated employee. If the contract is shorter. et al. Inc. and other benefits subsists. whichever is less * without valid. (Marsaman Manning Agen cy v. GR No. RETIREMENT Art. 25 August 1999) F. the employer cannot refuse to reinstate the illegally dismissed e mployee by claiming that the latter had already found a job elsewhere. Minimum w age earners are left with no choice after they are illegally dismissed from thei r employment. the employee is entitled to the higher amount. other benefits as maybe agreed upon by emplo yer and employee (a fraction of at least 6 months considered as 1 year) Minimum benefits to be received = (no. service. 3) x years of service If CBA / re tirement plan has no prohibition. DISPUTE SETTLEMENT A. Further. Reliefs of local workers vs. separation pay of 1 month for every year shall be paid. insofar as accrued backwa ges and other benefits are concerned. JURISDICTIONS OF THE DIFFERENT AGENCIES Bureau of Labo r Relations Original jurisdiction: appeal to DOLE Secretary Page 72 of 83 . or employment contract. 10. NLRC. their obligation to the illegally dismissed employee. In the meantime. Thus. Su ch computation is because the retrenchment was illegal and the employee was enti tled to reinstatement. plus 3. 1/12 of the 13 month pay. the emplo yer should not be allowed to remain unpunished for the delay. OPTIONAL – 60 years old / 5 years in service (includes authorized absence s/vacations/regular holidays/mandatory military or civic service). payment of backwages Triad Security & Alli ed Services. company retirement plan. This depends on the stipulations in the CBA. 15-day basic wage.

v.. the BLR is not s pecifically empowered to adjudicate claims of such nature arising from intra-uni on or inter-union disputes. rates of pay. Inter-union conflicts 2. can be reviewed by the CA in a petition for certiorari under Rule 65 Jurisdiction 1. As such. 31 January 2005 Issue: Does the bureau of labor relations have jurisdiction over claims for actual. An offer to settle is not proof that something is due to the employee. moral.. its officers or member organizations Compromise Agreements If volunt arily agreed upon by the parties with the assistance of the BLR or the regional office of DOLE final and binding upon the parties The only time NLRC or any cour ts can assume jurisdiction over issues involved therein: a.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Appellate jurisdiction: decision shall be immediately executory upon issuance of entry of final judgment. As long as the agreement is voluntarily entered into and has a reasonable award. national unions. in case of non-compl iance thereof b. et. mo ral. termination disputes 3. Unlike the NLRC which is explicitly vested with the jurisdiction over claims for actual. 0 8 June 2005 Article 277 of the labor code states that any compromise settlement. Jurisdic tion of Labor Arbiters 1. grievances or problems arising from or affecting labor-management relations in all workplaces EXCEPT those arising from the implementation or int erpretation of the CBA which shall be the subject of grievance procedure and/or voluntary arbitration 4. ‘A’.. voluntarily agreed upon by the p arties with the assistance of the Bureau or the regional office of the Departmen t of Labor shall be final and binding upon the parties. Mere appearance be fore BLR or the regional office of the DOLE to file the already executed comprom ise settlement is not the “assistance” required by the law. there can be no valid compromise settlement. hou rs of work and other terms and conditions of employment 4. It must be approved by the LA (NLRC Ru les) At the DOLE Secretary’s level. Without it. misrepresentation or coercion Power to Issue Subpoena When rel evant to a labor dispute under its jurisdiction either at the request of any int erested party or at its own initiative Privileged Communication Information and statements made at conciliation meetings shall NOT be used as evidence in the NL RC Conciliators and similar officials shall not testify in any court or body reg arding any matters taken up at conciliation proceeding conducted by them Appeal within 10 days to the DOLE Secretary Grounds: a. the Secretary must approve. exemplary a nd other forms of damages arising from intra-union or inter-union disputes? . Intra-union conflicts 3. moral. Gamilla. exemplary and other forms of damages. including those involving labor standard laws. claims for actual. the NLR C must approve the agreement. ULP (priority resolved within 30 cal days from submiss ion for decision) 2. Issue: Is the compromise settlement in compliance with Article 277? Held: The assistance of the BLR or the regional of fice of the DOLE in the execution of a compromise settlement is a basic requirem ent. et. Eduardo D. the compromise settlement executed by ‘A’ cannot qualify as a valid compromise settlement. grave abuse of discretion Quick Time™ and a b. al. On appeal. it is valid. al. et. Mindoro Lumber and Hardware v. claims for wages. gross incompetence decompressor TIFF (Uncompressed) are needed to see this picture. Complaint involving federations. All disputes. a member of a labor uni on and a party to a labor dispute executed a compromise settlement. Bacay. He appeared before the Office of the Regional Director to file said compromise settlement to gether with a motion to dismiss the case. exemplary and other forms of damages arising from employeremployee relation ship Page 73 of 83 Marino. al. Jr. indus try unions. Held: No. if there is prima facie evidence that the settlement was obtain ed through fraud.

227 of the Code (Sec.) Jurisdiction of the NLRC 1. mo ral. mediation. & m aternity benefits 7. 141093. inter-union an d intra-union disputes involving independent unions and chartered locals Jurisdi ction of the NCMB conciliation. Injunction in ordinary labor a TIFF (Uncompressed) decompressor needed or restrain are any to see this picture. All monetary claims of OFWs arising from EER or by virtue of any law or contract inv olving Filipino workers for overseas deployment. 10 April 2003 – Claim of a seaman for damages is under torts. Technical rules not binding and prior resort to amicable settlement Art. including questions involving the legality of strikes and lockouts 6. Rule V.000 (Art. 2005 NLRC Rules) Cooperatives Termination of me mbers of cooperatives is not cognizable by the LA (members are not employees) LA has jurisdiction over illegal dismissal cases involving employees of cooperativ es LA does NOT have jurisdiction over Intra-corporate disputes Cases involving c orporate officers (bec. simple money claims and other benefits not exceeding Php 5 . 221. 20 February 2001).Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 5. and voluntary arbitration cases (SEE ANNEX L) B. PROCEDURE Art. 129) 3. it was held that an employee who rose from the ranks is a regular employee and not a mere corporate officer Cases involving GOCCs with original charters Cases involving entities immune from suit (except when the entity performs proprietary functions) Local water districts (since the y are quasi-public corporations) Actions based on tort (Tolosa v. Medicare. including claims for actual. Original Jurisdiction QuickTime™ and disputes to enjoin a. All cases decided by the LAs. visitori al power (Art. Enforcement of compromise agreements when there is non-compliance by any of the parties pursuant to Art. 1. Wage distortion cases in unorganized establishments 8.R. disciplinary cases filed again st overseas contract workers Jurisdiction of DOLE Regional Directors 1. SSS. Cases decide d by the DOLE Regional Directors or his duly authorized hearing officers involvi ng recovery of wages. Injunction in strikes or lock outs under Art. or threatened actual commission of any or all prohibited or unlawful acts or to require the performance of a particula r act in any labor dispute which. certified to i t by the DOLE Secretary for compulsory arbitration 2. 128) 2. exemplary and other forms of damages (RA 8042) 9. 222. including contempt cases b. . Reyes (G. if not restrained or performed forthwith . violation of the constitution & by-laws and rights & conditions membership 4. It is the spirit and in tention of this Code which shall be used as reasonable means to ascertain the fa cts in each case Page 74 of 83 c.000 and not accompanied by a claim for reinstatement OCULAR INSPECTION by Labor Arbiter & NLRC at any time during working hours Jurisdiction of the POEA Cancel lation / Suspension of License of Authority to recruit of Recruitment Agencies ( until phase out within 5 years as provided in RA 8042) Disciplinary Action again st OFWs Appeal to Secretary of DOLE within 10 calendar days cancellation/ revoca tion/ supervision of license or authority Appeal to NLRC within 10 calendar days 1. may cause grave or irreparable damage to any party b. claims not exceeding Php 5. they are not employees) – BUT in Prudential Bank v. No. regular court has jurisdicti on. 264 Certified labor dispute causing or likely to cause a strike or lockout in an industry indispensable to the national interest. violation of overseas employment contracts 2. NLRC. Appearances and Fees The rules of evidence prevail ing in courts of law or equity shall not be controlling. all other claims arising from employer-employee relationship involving an amount exceeding P5000 regardless of whether accompanied by a claim for reinstatement except ECC. Exclusive Appellate Jurisd iction a. cases arising from prohibited activities during strikes.

(St. 224. counted from receipt of decision 2. 101699. Martin Funeral Home vs.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Without regard to technicalities of law and procedure all in the interest of due process Parties may be represented by legal counsel but it shall be the duty of the Chairman. NLRC Ru les provide that before deciding. or surety bond. GR No. Bond should be posted within the 10-day period for filing of appeal If no bond is filed. 277(b) (termination disputes) end line is hearing with representative of own choice Due process in Art. NLRC. appeal is not perfected Remedy in case of failure to post bond . the fees are shared by the parties Failure to implead a substitute party is not a fatal defect. File Memorandum of Appeal within 1 0 calendar days. Rule V of the NLRC Rules allows parties to submit p osition papers with attachments and they can be made basis of the LA’s decision. Appeal from the decision o f the Labor Arbiter is brought by ordinary appeal to the NLRC within 10 calendar days from receipt by the party of the decision. prima facie evidence of abuse of discretion on the part of LA 2. filed within the reglementary period 2. et al. 277(b). Due proces s in Art. LA must inform parties that the case has been submitted for decision. QuickTime™ and a TIFF (Uncompressed) decompressor The only way to elevate the case to the CA is by way of the special civil action of certiorari under Rule 65 of the Rules of Civil Procedure. (Chu v. appeal fee 4. 218(c) cannot be invoked to support a faulty decision of the LA. 13 Ma rch 1996) Payment of docket fees is not required in labor standards claims under Art. The provision refers to a power of the NLRC and not the LA. it may be elevated to the SC by way of ordinary appea l under Rule 45 of the Rules of Civil Procedure. APPEALS Art. Other party can file an Ans wer within 20 calendar days from receipt of Appeal 3. cash. there is no appeal. 3. orders or awards are needed Appeal of LA’s Decision to see this picture. NLRC decis ion becomes final and executory 10 days after it is rendered Appeal Involving Mo netary Award No monetary award. From the decision of the NLRC. pure questions of law 4. additional Requirement: in ca se of judgment involving a monetary award-employer (appellant) may perfect the a ppeal only upon the posting of a cash or surety bond issued by a reputable bondi ng company duly accredited by the NLRC in the amount equivalent to the monetary award in the judgment appealed from Requisites for Perfection of Appeal 1. If this is not complied with. Verification and Certi fication of Non-Forum Shopping are required BUT Art. raised serious errors in the findings of facts which could cause grave o r irreparable damage or injury to the appellant 5. Memorandum of Appeal under oath 3. (Santos v. remedy is to file a motion to dismiss Motion to Reduce Bond Page 75 of 83 . 16 September 1998) Grounds 1. 221. 13 April 2003) Sec. 221 can be invoked. NL RC. GR No. 277(d). property. the decision. proof of service to the adverse party Procedure 1. Appeal Art. From the ruling of the Court of the Appeals. C. 221 opportunity to be heard It is wrong to app ly opportunity be heard in due process under Art. any presiding Commissioner or any labor arbiter to exercise compe te control of the proceedings at all stages GR: The only way to acquire jurisdic tion is to serve summons Voluntary appearance of the lawyer amounts to voluntary submission to the jurisdiction of the LA. Execution of decisions. no appeal bond is required to b e filed. Art. NLRC decides 4. decision is still valid be cause of Art. no appeal bond required If LA’s decision does not provide for a computation of the monetary award. H olding of trial on the merits is discretionary on the part of the LA. EXCEPT: in case of bargaining deadlock. 130866.. Pa sajo. if judgment involves monetary award 5. order or award was secur ed through fraud or coercion including graft and corruption 3. 223.

(Christian Literature Crusade v. a reasonab le amount of bond in relation to the monetary award should be posted together wi th said motion A substantial monetary award. Denial of application for registration of a union Denial by the Regional Office. (Luzon Development Bank v. 16378. 06 October 1995) Appeal of BLR’s Decision 1. (Abbott Page 76 of 83 . NLRC. Suffice it to say that the law does not require outright payment of the total monetary awar d. the c ase may be elevated to the Supreme Court by way of ordinary appeal under the sam e Rule 45. HELD: The employer is liable to pay for the salary of the employee pr eviously ordered reinstated by the NLRC although later on. 352 Phil 1013 (1998)] But the partial payme nt must be made within the reglementary period. does not necessarily give the employerappellant a ‘meritorious case’ and does not automa tically warrant a reduction of the appeal bond. 16 Febru ary 2005) Enforcement Any law enforcement agency may be deputized by the DOLE Se cretary or the NLRC Issuance of writ of execution on a judgment within 5 years f rom date it becomes final and executory motu proprio or in motion of any interes ted party Reinstatement Pending Appeal If reinstatement is ordered in an illegal dismissal case. 120319. PAL. 4. (Roquero v. Cancellation of registration of a union Cancellation by the Regiona l Office. NLRC. CA held that dismissal was valid. the employee ordered reinstat ed under Article 223 should be admitted back to work in a substantially equivale nt position. An appellant cannot invoke finan cial difficulties as a ground in support of a Motion to Reduce Bond. NLRC. the motion to reduce bond must comply with the requisites that: 1. appeal to DOLE Secretary by ordinary appeal 3.. i.e. the remedy is not the grant of addi tional backwages to serve as damages but to file a motion to cite the employer f or contempt. execution Either admitted back to work under the same t erms and conditions prevailing prior to his dismissal or separation or merely re instated in the payroll (at the option of the employer. (Calabash Garments v. 222 SCRA 707) Appeal o f Voluntary Arbitrator’s Decision Appealable by ordinary appeal under Rule 43 of t he Rules of Civil Procedure directly to the Court of Appeals. No. GR N o. the emplo yer still refuses to reinstate the employee. 22 April 2003) If the former position is already filled up. (Times Transportation v. NLRC reversed. fi led within the reglementary period 2. Association of Luzon Development Bank Empl oyees. appeal to the BLR. (Medina v. but the choice must be communicated to the employee by the employer) Posting of a bond shall not stay the execution of reinstatement The unjustified refusal of the employer to reinstate an illegally dismissed employee entitles the emplo yee to payment of his salaries. appeal may be had to the DOLE Secretary 2. even if it runs into millions. but only the posting of a bond to ensure that the award will be eventually pa id should the appeal fail. GR No. appeal to the BLR Denial is originally made by the BLR. based on meritorious grounds 3. 10 April 1989) LA upheld the validity of the dismissal. it is immediately executory even pending appeal Self-executing TIFF (Uncompressed)needa for a writ of with QuickTime™ and no decompressor are nee ded to see this picture. G. [Rosewood Processing v. NLRC. 171 SCRA 712. Decision of the BLR rendered i n its original jurisdiction may be appealed to the DOLE Secretary whose decision thereon may only be elevated to the CA by way of certiorari under Rule 65.R. et al. the dismissal of the employee was held not to be illegal.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Motion to reduce bond does not toll the running of the period to perfect appeal In order to effectively stop the running of the period within which to perfect t he appeal. D ecision of the BLR rendered in its appellate jurisdiction may not be appealed to the DOLE Secretary but may be elevated directly to the CA by way of certiorari under Rule 65. From the CA. Consolidated Broadcasting System. GR No. 152329. 110827. 08 August 1996) Partial payment of the bond is deemed substantial com pliance with the rules while the motion to reduce bond is still pending with the NLRC. Cancellation by the BLR in a petition filed directl y. If despite several writs of execution. confidential employ ee.

. trust. et al. 129 Appeal to NLRC Summary Decision of the Voluntary Arbiter – appeal to CA under Rule 43 (Luzon Dev’t Bank) Decision of the DOLE and other attached agencies (inclu ding NLRC) should be brought to the CA under Rule 65 (St. 218(e) If the employee is confidential. not NLRC decision Relief of the employer is to ask for an injunction under Art. or imprisonment for 3 months to 3 years. Rationale: for the employee to earn after all he won in the LA level Time to reckon reinstatement is the dat e of receipt of LA’s decision. 1. 131374. Prescriptive period of offenses penalized by the Labor Code GR: 3 ye ars from the time the cause of action accrued Exception: ULP cases prescribe wit hin 1 year from accrual of such unfair labor practice Even if NLRC reverses LA decision. Abbott Laboratories Employees Union. closure of company) requires payment of separation pa y and full backwages up to the time of the closure of the company. VII. association or entity. the writ of execution is NOT appealable. firm.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Laboratories Philippines. ask for an injunction under Art. Decision o f the LA 2. NLRC cannot resuscitate a lost appeal. vs. Independent right 3. GR No. 218(e) Period to appeal cannot be exte nded BUT in a number of cases. only payrol l reinstatement is required. [UERM-Memorial Me dical Center v. the recourse is certiorari under Rule 65.e. Martin Funeral Homes) Decision of the DOLE Secretary – certiorari to the CA under Rule 65 (NAFLU v. 269 SCRA 70 (1997)] Appeal bond must be strictly complied with. SC entertained appeals filed out of time under th e interest of justice rule (esp. partnership. 10 days to perfect appeal by filing a Memorandum of Appeal Property bond is now allowed. Payroll reinstatement 4. Receipt of LA’s decision QuickTime™ and a TIFF (Uncompressed) decompressor NLRC cannot order a refund of benefits or salaries. 26 January 2000) Appeal of Regional Director’s Decision under Art. Thus. are needed to see this (RPA) Reinstatement Pending Appeal picture.000. Persons liable if an offens e is committed by a juridical person The penalty shall be imposed upon the guilt y officer or officers of such corporation. Inc. Decisions of the BLR in its appellate– certiorari under Rule 65 (UST Employees Union v. Only 1 MR is allowed. the employee is still entitled to the benefit of RPA. Bit onio) Certiorari is not a substitute for lost appeal. LA cannot ent ertain an MR or a petition for relief of judgment After the decision has become final and executory. NLRC.000 to Php 10. SOCIAL LEGISLATION THIRTEENTH-MONTH PAY (PD 851) Page 77 of 83 . or both at the discretion of the court. To stay writ of ex ecution. Doctrine of supervening event (i. Lagu esma) Order of the Med-Arbiter in CE in organized establishments – not appealable under DO 40-03 (2003). PENAL PROVISIONS AND LIABILITIES Penalties for Violations of the Provisions of the Labor Code Fine of Php 1. if the appellants are the employees).

Social Security.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 All employers are required to pay all their rankand-file employees a 13th month pay not later than December 24 of every year. agent of the employer 6. COLA and all other allowances regular ly enjoyed by the E’ee as well as non-monetary benefits. coach 10. including GOCCs. manager 4. 3. company pra ctice or policy. teacher 7. employee 3.g. Such employees are entitled to the benefit regardless of their designation or employment status and irrespective o f the method by which their wages are paid. cash bonu ses and other payments amounting to not less than 1/12 of the basic salary but s hall not include cash and stock dividends. regardless of whether the demand. Employees paid by results – entitled to 13th m onth pay 2. request o r requirement for submission is accepted by the object of said Act Page 78 of 83 . trainor 11. Piece Rate – employees who are paid a standard amount for every piece or unit of work produced that is more or less regularly r eplicated. training environment (WET) Who Commits 1. 13th Month Pay – 1/12th of the basic salary of an employee within a calendar year Basic Salary – includes all remunerations or earnings paid by an employer to an employee for services rendered but does not include cost of living allowances (COLA). Employers already paying their employee s 13th month pay or more in a calendar year or its equivalent at the time of iss uance of PD 851 “Its equivalent” – includes Christmas bonus. employer 2. without regard to the time spent in producing the same. a nd those who are paid a fixed amount for performance of a specific work. 2. However. mid-year bonus. requests. fringe benefits as well as contr ibutions to the state insurance fund. su pervisor 5. 13th Month Pa y for Certain Types of Employees 1. Employers of household helpers and persons in the personal service of another in relation to such work ers 4. unused VL and sick leave credits. profit-sharing payments and all allowa nces and monetary benefits (e. Government and any of its political subd ivisions. during a calendar year. boundary. or task basis. Non-inclusion in Regu lar Wage – benefit need not be credited as part of regular wage of employees for p urposes of determining OT pay and premium pays. the above should be i ncluded in the computation if by individual or collective agreement. instructor 8. or otherwise requi res any sexual favor from the other. OT premium. provided that they have worked for a t least 1 mo. professor 9. if they have rendered service for at least 1 month within a year. irrespe ctive of QuickTime™ and aconsumed in the the time performance TIFF (Uncompressed) this picture. in which case the employer shall grant the requir ed 13th month pay to such workers. Employers of those who are paid on commission. reckoned from the time he started working during the calendar year up to the time of his resignation or termination from the service May be demanded by the employee upon the cessation of EER. thereof. Exempted Employees: 1. influence or moral ascendanc y over another How Committed Person liable demands. education. Private School Teachers – entitled regardless of the number of months they teach or are paid within a year. any other person having authority. Medicare. and private ret irement plans ANTI-SEXUAL HARASSMENT ACT OF 1995 (RA 7877) Where Committed working. th Month Pay of Resigned or Separated 13 Employee – entitled to the benefit in pro portion to the length of time he worked during the year. to see decompressor where the EXCEPT are needed workers a re paid on a piece-rate basis. Those with Multiple Employers – entitled to the 13th month pay from al l their private employers regardless of their total earnings from each or all of their employers 3. n ight differential and holiday pay) which are not considered or integrated as par t of the regular or basic salary of the employee. except those corporations operating essentially as pr ivate subsidiaries of the Government.

The certifica tes of registration shall be jointly approved by the Chairman of the CSC and Sec retary of DOLE (§8) Appropriate Organizational Unit It is the employers unit consi sting of rank-and-file employees unless circumstances otherwise require. hostile or offensive environment for the employ ee Duty of Employer 1.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 Work-Related/Employment Environment. recognizin g it as a legitimate employees’ organization with the right to represent its membe rs and undertake activities to further and defend its interests 4. lab or-management committees. a registration certificate will be issued. Promulgate appropriate rules and regulations prescribing the procedure for investigation of sexual harassment cases as well as guidelines on proper decorum in the workplace 2. Upon approval. firemen and jail guards (§4) Right to Organize Page 79 of 83   . functioning or administration of government empl oyees organizations through acts designed to place such organizations under the control of government authority (§6) Place of Registration CSC and DOLE (§7) Proced ure for the Registration of Employees’ Organizations 1. reemployment or continued employment of said individual b. Create a committee on decorum and investi gation of cases on sexual harassment. including GOCCs with TIFF (Uncompressed) decompressor original char ters (§1) are needed to see this picture. including police officers. (§9) Sole and Exclusive Representative of Employees EXECUTIVE ORDER NO. education or training environment if the employer is informed of such acts by the offended party and no immediate action is taken Prescriptio n: 3 years All government employees can form. creating a public sector labor-management council. segregating or classifying the empl oyee which in any way would discriminate. The above acts would result in an intimidating. Their employment shall not be subject to the condition that they shall not join or shall relinquish their membership therein (§5) Non-Interference of Government Authorities Government authorities shall not interfere in the establishment. deprive or diminish employment opportu nities or otherwise adversely affect said employee 2. The sex ual favor is made as a condition a. conditions. Coverage It applies to all government employees--employees of a ll branches. promotions or privileges c. Sexual Harassment Committed When 1. 180 Guidelines for the exercise of the right to organize of government employees. subdivisions. join or assist employees’ organizati ons of their own choosing for the furtherance and protection of their interests. policemen. terms. and for other purposes. and other forms of workers’ participation schemes for the same objectives (§2) Who are Ineligible to Join Organization of R ank & File Government Employees High-level employees whose functions are normall y considered as policy-making or managerial or whose duties are of a highly conf idential nature (§3) Protection of Right to Organize They shall not be discriminat ed against in respect of their employment by reason of their membership or parti cipation in employees’ organizations. the refusal to grant the sexual favor results in limiting. Excluded from Coverage Members of the Ar med Forces of the Philippines. The above acts would impai r the employee’s rights or privileges under existing labor laws 3. in granting said individual favor able compensation. Liability of Employer / Head of Office Sol idarily liable for damages arising from the acts of sexual harassment committed in the employment. in hiring or in the employment. instrumentalities. work councils. File application with BLR or Regional Office. in conjunction with appropriate government authorities. which shall transmit the application to the BLR within 3 day s from receipt 2. BLR shall process the application in accordance with the Labor Code (§7) 3. and QuickTime™ and a agencies of the government. They can also form.

Chairman 2. shall be followed in the resolution of complaints. CONTRIBUTION . 1991). based on salaries or wages in the case of formal sector employees. Department of Budget Management – Member (§15) Bautista v. upon petition. The Court stated that there is no constitutional obj ection to DOLE handling the certification process considering its expertise.DOF . CA. Secretary. Secretary. (§14) Public Sector La bor-Management Council It is the body charged with implementing and administerin g EO 180. the CSC has no facilities. and 4.The amount paid by or in behalf of a member to the Program for co verage. . Secretary . DOLE – Vice-Chairman 3. SALIENT PROVISIONS OF THE SSS LAW & GSIS LAW (ANNEX O) NATIONAL HEALTH INSURANCE ACT OF 1995 (RA 7875) General Objectives 1. and that the said organization ha s the majority support of the R&F employees in the organizational unit (§11) Certi fication Election Where there are 2 or more duly registered employees’ organizatio ns in the appropriate organizational unit. establish the Philippine Health Insurance Corporation that will administer the Program at central and loc al levels BENEFICIARY . create the National Health Insurance Program to serve as the me ans to help the people pay for health care services. 28 F ebruary 2005 The SC affirmed its ruling in Association of Court of Appeals Emplo yees v Ferrer-Calleja (GR No. 94716. (§16) CAPITATION . EO 180 requires organizations of government employees to register with both DOEL and CSC. whenever a pplicable. provide al l citizens of the Philippines with the mechanism to gain financial access to hea lth services. where it ruled that the BLR has the jurisdiction to call for and supervise the conduct of certification elec tions in the public sector. Chairman. whether per person. 123375. Composition of Council 1. except those that are fixed by law. GR No. DOJ – Member 5. CSC .Member 4. and Settlement of Disputes QuickTime™ and a TIFF (Uncompressed) decompressor are labor this picture. especially that segment of the population who cannot afford such services.A payment mechanism where a fixed rate. or on the oth   . BLR has to do the job. The Civil Service andneeded to seelaws and procedures. may be the subject of negotiations between duly re cognized employees organizations and appropriate government authorities (§13) Pea ceful Concerted Activities and Strikes The Civil Service laws and rules governin g concerted activities and strikes in the government service shall be observed. subject to any legislation that may be enacted by Congress. grievances and cas es involving government employees. personnel and experience in the conduc t of certification elections. household or group. is negotiated with a health care provider who shall be resp onsible for delivering or arranging for the delivery of health services required by the covered person under the conditions of a health care provider contract. and o n household earnings and assets. prioritize and accelerat e the provision of health services to all Filipinos. family.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 It is the duly registered employees’ organization having the support of the majori ty of the employees in the appropriate organizational unit (§10) Voluntary Recogni tion A duly registered employees’ organization shall be accorded voluntary recogni tion upon a showing that no other employees’ organization is registered or is seek ing registration. in the case of the self-employed. 15 Nov. mac hinery and experience in this particular activity. This ambivalence no twithstanding. 3. the pa rties may jointly refer the dispute to the Council. Secretary. order t he conduct of a certification election and shall certify the winner as the exclu sive representative of the R&F employees in said organization unit (§12) Subject o f Negotiation Terms and conditions of employment or improvements thereof.Any person entitled to health care benefits under this A ct. the BLR shall. 2. for appropriate action. based on records of the BLR. In case any dispute remains unresolved after exhausting all the available remedies under existing laws and procedures.

er Page 80 of 83 .

where there i s an employer-employee relationship. available and accessible health care services for all citizens of the Philippines 2. and indicating how membership was obtained or is being maintained. To serve as the means for the healthy to help pay for the car e of the sick and for those who can afford medical care to subsidize those who c annot. which is intended for those not covered under the Program I are INSURANCE NATIONAL HEALTH needed to see this picture. MEMBER . col lection. Beneficiaries shall be enrolled in order for them to be placed under coverage that entitles them to avail of benefits.Any person w ho performs services for an employer in which either or both mental and physical efforts are used and who receives compensation for such services. To provide health insurance coverage and ensure affordable . 2 . the parents who are 60 years old or above whos e monthly income is below an amount to be determined by the Corporation in accor dance with the guiding principles set forth of this Act. eithe r physical or mental. He may be a paying member. DEPENDENT . SELF-EMPLOYED . legally adopted or stepchildren below 21 years of age 3. 3. and b.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 criteria as may be defined by the Corporation in accordance with the guiding pri nciples set of this Act. EMPLOYER . ENROLLMENT . or any disability acquired that renders them totally depen dent on the member for support 4.a person who works for himself and is th erefore both employee and employer at the same time.An SSS or GSIS member who receives pensions therefrom. from employ ing physicians and other professionals for the purpose of directly rendering car e. acceptable. Enrollment shall proceed in a ccordance with these specific policies: Page 81 of 83 . 2. acknowledged children as appearing in the birth c ertificate. Program I. from buying and dispensing drugs and pharmaceuticals. (§5) Coverage All citiz ens of the Philippines (§6) Enrollment 1. PROGRAM The compulsory health insurance program of the government as established in this Act. (§5) Establishment 1. Program II. Prohibited from providing health care directly. It consist s of: a.A m ember of the Program who has reached the age of retirement or who was retired on account of disability. MEDICARE . legitimated. acceptabl e. EMPLOYEE . th e legitimate spouse who is not a member 2.The legal dependents of a member are: 1. QuickTime™ and a TIFF (Uncompressed) decompressor PENSIONER . children wh o are 21 years old and above who are suffering from congenital disability. which sh all provide universal health insurance coverage and ensure affordable.The health insurance program c urrently being implemented by the Philippine Medical Care Commission. 3. Include sustainable system of funds constitution. which covers members of the SSS and GSIS including their leg al dependents. the unmarried and unemployed legitima te.Any person whose premiums have been regularly paid to the National Health Insurance Program. RETIREE . issuance of a ppropriate documentation specifying eligibility to benefits. illegitimate. management and disbursement for financing the availment of a basic mini mum package and other supplementary packages of health insurance benefits by a p rogressively expanding proportion of the population. Enrollment process includes the identification of beneficiaries.A natural or juridical person wh o employs the services of an employee. and from owning or investing in health care facilities.The process to be determined by the Corporation in order to enlist individuals as members or dependents cove red by the Program. an indigent member or a pensioner/retiree member. THE NATIONAL HEALTH INSURAN CE PROGRAM Purpose 1. Limited to paying for th e utilization of health services by covered beneficiaries or to purchasing healt h services in behalf of such beneficiaries. available and accessible health care services for all citizens of the Philipp ines.

Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 a. Dependent. dependents. d. any other act or neglect that tends to undermine or defeat the purposes of this Act. b. 4. A complaint for grie vance must be filed with the Local Health Office (LHO) Page 82 of 83 3. Procedure 1. Retirees and pensioners of the SSS and GSIS prior to the effectivity o f this Act 2. inpat ient education packages 2. includi ng SSS and GSIS members. Outpatient care: a. e. 2. Emergency and transfer services 4. pensioners and their dependents. Requisites: 1. diagnostic. all persons eligible for benefits through health insurance plans establishe d by local governments as part of Program II of Medicare or in accordance with t he provisions of this Act. Enrollment o f persons who have no current health insurance coverage shall be given priority by the corporation. A member whose premium contribu tions for at least 3 months have been paid within the 6 months prior to the firs t day of his or his dependents availment. may seek redress of the grievance in accordance with the provisions of this Article. 6. 2. prescription drugs and biologicals. unjustifiable delay in actions on claims. 2. 2. Inpatient hospital care: a. c. home and rehabilitation services. 3. optometric services. He can show that he contributes wi th sufficient regularity. delay in the processing of claims that extends beyond the period agreed upon. all persons eligible for benefits as members of other government initiated health insurance programs. and 3. use of surgical or medical equipment and facilities. a willful neglect of dut ies of Program implementors that results in the loss or nonenjoyment of benefits by members or their dependents. 4. Who may file complaint 1. Enrolled indigents (§11) GRIEVANCE SYSTEM Members. prescription drugs and b iologicals. 3. Members who reach the age of retirement and have paid at least 120 monthly contributions. 7. c. cost-ineffective procedures which shall be defined by the Corporatio n. community-based health care org anizations. including indigent members. 5. diagnostic. and d. b. non-prescription drugs and devices. cooperatives. cosmetic surgery. Health care provider B. all persons eligible for benefits as members of local health in surance plans shall also be deemed to have enrolled in the Program. (§11) ENTITLEMENT TO BENEFITS A. subject to the limitations stated in Section 37 of this act f.   . perso nal preventive services. or health care providers of the Program who believe they have been a ggrieved by any decision of the implementors of the Program. Membe r. retirees. and d. Other health care services (§10) Excluded Pe rsonal Health Service 1. services of health care professio nals. subject to t he limitations described in Section 37 of this QuickTime™ and a Act TIFF (Uncompre ssed) decompressor are needed to see this picture. any violation of the rights of patients. shall also be enrolled in the Program. and 8. Monthly contributions need not be paid by the following to be entitled to ben efits: 1. and other medical examination services. c. (§40) Grievance and Appeal Procedure A. or 3. He is not currently subject to legal penalties B. shall immedi ately and automatically be made members of the National Health Insurance Program . services of health care profe ssionals. Grounds for Gr ievances 1. laboratory. normal obstetrical deliv ery. b. all persons currently eligible for benefits under Medicare Program I. and 3. room and board. outpatient psych otherapy and counseling for mental disorders. a nd 5. laboratory and other medical examination services. drug and alcohol abuse or dependency treatment. or private non-profit health insurance plans shall be enrolled in the Program upon accreditation by the Corporation (§7) Benefit Package 1.

Should the defendant fail to answer the complaint within the reglamentary five-day period. or require the respondent to file a verified answer within 5 days from service of summons. Hearing Procedures of Grievance and Appeal Review Committee (GARC) 1. In the event GARC finds. imposit ion of fines. The appellees shall be given15 days from notice to file the appellee s memor andum after which the Board shall decide the appeal within 30 days from the subm ittal of the said pleadings. In cases w here GARC deems it necessary to hold a hearing to clarify specific factual matte rs before rendering judgment. the affidavits and other evidence. imposition of charges on members or their dependents in case of revocation of their entitlement. suspension or revocation of accreditation 2. motu proprio or upon motion of the compl ainant. and the case decided by the Committee within15 days from such termination. 2. it shall set the case for hearing for the purpose. D. 3. together with a brief statement of their positions setti ng forth the law and the facts relied upon by them. it may a form al TIFF are needed to see this picture. witnesses whose affidavits were previously submitted may be as ked clarificatory questions by the proponent and by the Committee and may be cro ssexamined by the adverse party. After an answer is filed and the issues ar e joined. 7. Upon the filing of the complaint. Appea ls from LHO decisions must be filed with the Board within 30 days from receipt o f notice of dismissal or disallowance by the Office C. and positio n statements submitted by the parties. 5. LHO shall rule on the complaint within 90 calendar days from receipt 3. T he decision of GARC shall become final and executory 15 days after notice thereo f 6. shall render the judgment. or any other valid ground for dismissal of the complaint after consultation with th e Board. that a judgment may be rendered thereon w ithout need (Uncompressed) decompressor of QuickTime™ and a hearing. The decision of the Board shall also become fina l and executory 15 days Such decision is reviewable by the Supreme Court on pure ly questions of law (§41) Page 83 of 83     . the affidavits of the witnesses and other evidence on the factual issues defined therein. LHO has NO jurisdiction o ver any issue involving: 1. failure to state the cause of action. proceed to render judgment not later 10 days from the submission of the position statements of the parties 4. upo n consideration of the pleadings. or 3. within 10 days from receipt of the order. Such decision is appealable to the Board by filing the appellant s memorand um of appeal within 15)days from receipt of the copy of the judgment appealed fr om.Labor Law & Social Legislation Summer Reviewer ATENEO CENTRAL BAR OPERATIONS 200 7 2. All decisions by the Board as to entitle ment to benefits of members or to payments of health care providers shall be con sidered final and executory E. GARC shall require the parties to submit. At such hearing. GARC. The hearing shall be terminated within 15 days. GARC may dismiss the case outright due to lack of verification.

c. its principal address. and c. unless it has not collected any amount f rom the member. in which case such fact shall be reflected in the minutes Must submit 2 copies. and the principal office of the local/chapter. the name of its officers and their respective addresses. with a statemen t that it is not reported as a chartered local of any federation or national uni on. b. and names of individual members who attended such meetings Financial reports of the applicant association if it has been in exist ence for one or more years. unless it has not collected any amount from the memb ers. The names of the local/chapter’s officers. Co nstitution and by-laws (CBL). unless ratification was done in the meeting. Chartered Local a. its princ ipal address. Names and addresses of the companies where the affiliates operate plus list all members in each company involved d. names and addresses of its officers. Federation / National Union In addition to a. Worker’s Association Registration fee Name of the applicant association. (list of ratifying members may be di spensed with where the CBL was ratified or adopted during the organizational mee ting – factual circumstance of the ratification shall be recorded in the meeting) QuickTime™ and a Labor organizations operating within an identified industry may a lso apply for registration as a federation or national union within the specifie d industry by submitting to the Bureau the same set of documents e. approximate numbe r of employees in the bargaining unit where it seeks to operate. in addition to the requirements in the preceding subsection. Independent Labor Organization a. c. Minutes o f the organizational meetings. their addresses. Name of the applicant unio n. Annual financial report if the applicant has b een in existence for one or more years. (DO 40-B-03) TIFF (Uncompressed) decompressor are needed to see this picture. A charter certificate issued by the federation or national un ion indicating the creation or establishment of the local/chapter. Registration Fee b. c. and the list of the members who participated in it. Application for registration of a workers’ association operating in more than one region shall be accompanied. list of workers who participated i n the meetings d. minutes of its adoption and ratification. by a resolution of membership of each member. provided that where the local/chapter’s constitution and by-laws is the same as that of the fede ration or national union. Resolution of affiliation of at least 10 LLO’s whether i ndependent union or chartered locals(all duly recognized Collective Bargaining a gents) b. in which case a statement to this effect shall be included in the applicati on Constitution and By-laws with names of ratifying members. The local/chapter’s constitution and by-laws. this fact shall be indicated accordingly.ANNEX A: Requirements for Registration a. the minutes of adop tion or ratification of the CBL and the date when ratification was made. e and f of the requirements for Independent Union: a. in which case a statement to this effect shall be included f. b. Certified under oath by the Secretary or the Treasurer of the local/chapter and attested by its President. b. Names of all its members comprising at least 20% of all the em ployees in the bargaining unit e. all required documents shall be certified under oath by the Secretary or Treasur er & attested by the President 1 original copy and 2 duplicates copies of all do cuments accompanying the application or notice shall be submitted to the Regiona l Office or the Bureau . Minutes of the organizational meeting.

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which fact shall be indicated accordingly REQUIREMENTS a. unles s transpired in the convention. certificate of affiliation issued by the federation in favor of the independently registere d labor union e. which fact shall be indicated QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. Merger Notice of merger of the independent labor unions. chartered locals and wo rkers’ association shall be filed with the Regional Office that issued the certifi cate of registration Notice of merger of federation shall be filed and recorded with the Bureau Consolidation a. minutes of consolidation convention of all the consolidating labor organizations. written notice to the employer concerned if the affiliating uni on is the incumbent bargaining agent a. Resolution of the labor union’s board of directors approving the affiliation b. amended constitution and by-laws. total nu mber of members and names of members who approved the affiliation d. . with the list of their respective me mbers who approved the same b. minutes of the general membership meeting approving the affiliation c. amended constitution and by-laws and minutes of its ratification. Notice recorded with the Bureau a.ANNEX B: Requirements in Case of Merger / Consolidation / Affiliation WHERE TO FILE Affiliation Report of affiliation shall be filed with the Regional Office that i ssued its certificate of registration a. b. minutes of its ratification transpired in the consolidation convention or in the same general m embership meetings. Notice of consolidation of the independent labor unions. minutes of merger convention or general membership meetings of all the mergin g labor organizations with the list of their respective members who approved the same b. charte red locals and workers’ association shall be filed with the Regional Office that i ssued the certificate of registration of consolidation of federation shall be fi led b.

Applications for registration of federations. records) GROUNDS: 1.ANNEX C: Procedure for Registration of Labor Organization Where to file Regional Office labor union Bureau (Action within 10 days from receipt of application) Approval . A duly-registered federation or n ational union may directly create a chartered local by submitting the required d ocuments (See Annex A) to the Regional Office. national unions or workers’ associat ion operating in more that one region shall be filed with the Bureau or Regional Offices but shall be processed by the Bureau. Violation of rules as amended Secretary of DOLE (decision within 20 days from receipt of records) Supreme Court Rule 65 Supreme Court Rule 65 . Grave abuse of discretion. Regional Office (transmit records within 24 hours from receipt of Memo of Appeal ) APPEAL BY MEMO OF APPEAL WITHIN 10 DAYS FROM RECEIPT OF NOTICE Bureau (transmit records within 24 hours from receipt of Memo of Appeal) Bureau (decision within 20 QuickTime™ and a TIFF (Uncompressed) decompressor days from receipt of are needed to see this picture. 2. The Regional Office should notify the applicant in writi ng within 5 days from receipt of application. The applicant must be given 30 day s from notice to complete the requirements If applicant fails to complete the re quirements within 30 days. the application shall be denied.Issuance of certificate of registration Denial Ground: Failure to comply with requirements Regional Office in case of applications for registration of independent unions. (DO 40-B-03) DENIAL BY: If the documents submitted are incomplete or do not contain the required certifi cation and attestation.

Notice and Due Process f. national or industry unions and trade un ion centers GROUNDS: a. Failure to comply with the requirements of registration prescribed     . or otherwise enga ging in any activity prohibited by law. false statement or fraud in connection with the a doption or ratification of the constitution and by-laws or amendments thereto. Failure to sub mit list of individual members to the Bureau once a year or whenever required by the Bureau. false statements or fraud in connection with the electio n of officers. Misrepresentation.ANNEX D: Procedure for Cancellation of Registration of Labor Organizations Any party-in-interest may commence a petition for cancellation Members of labor organization for actions involving violations of Art. Misrepresentation. k. the list of members who took part in the ratificatio n of the constitution and by-laws or amendments thereto. Entering into collective bargaining agre ements which provide for terms and conditions of employment below minimum standa rds established by law. 241 File independent complaint or petition for cancellation based on the grounds Regional Director in case of independent labor union. Asking for or accepting attorney s fees or negotiation fees from the employer. Other than for mandatory activiti es under the Labor Code. the list of members who took part in the ratification. failure to submit these documents together with the list of the newly elected or appoint ed officers and their postal address within thirty (30) days from election. minutes of the election of officers. j. i. F ailure to submit the QuickTime™ and a annual TIFF (Uncompressed) decompressor fina ncial reportare needed to see this picture. Failure to submi t the documents mentioned in the preceding paragraph within thirty (30) days fro m adoption or ratification of the constitution and by-laws or amendments thereto . Commission of any of the acts enumerated under Article 2 41 of the Labor Code. e. d. c. the list of voters. h. t he minutes of ratification. false entries or f raud in the preparation of the financial report. Resolved by Regional Director like the procedure of Inter/Intra-Union Disputes ( Rule XI) g. the minutes of ratifica tion. to the Bureau within thirty (30) day s after the close of every fiscal year and misrepresentation. b. Acting as a labor contractor or engaging in the "cabo" system. chartered local and worker s association Bureau Director in case of federations. checking off special assessments or any other fees with out duly signed individual written authorizations of the members. provided that no petition for cancellation based on this g round may be granted unless supported by at least thirty (30%) percent of all th e members of the respondent labor organization.

under Rules III and IV .

or its notices were returned unclaimed. Make a report of the labor organization’s non-compliance Submit to the Bureau for verification of records Bureau shall send a notice for compliance by registered mail with return card to the labor organization concerned Within 10 days from receipt 30 days from release of notice Comply with the reportorial requirements and submit proof thereof to the Bureau No response from labor organization No response within 30 days from release of 2nd notice Bureau shall cause publication of the notice of cancellation in 2 newspapers of general circulation Bureau may conduct investigation: 1) employer’s premises. (b) The procedures laid down in this Rule were comp lied with. No response w/in 30 days from date of publication Bureau shall: 1) order cancellation of registration 2) cause its de-listing from the roster of legitimate labor organizations .ANNEX E: Cancellation of Registration of Labor Organizations due to Non-Complian ce with the Reportorial Requirements Labor Relations Division of the Regional Office or the Bureau a) on its own init iative b) upon complaint filed by any party-in-interest Conditions for administrative cancellation: (a) Non-compliance is for a continuo us period of five (5) years. and (c) The labor organization concerned has not responded to any of the notices sent by the Bureau. and 2) labor organizatio n’s last known address Bureau has verified the dissolution of the labor organization QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture.

time and venue of the election. at least 30% of the members of the labor organization may file a petition for co nduct of election of union officers with the Regional Office if 1. QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. 3) prepare and post the voters’ list and the list of qualified candidates. Formal requirements. each party shall have equal represent ation in the committee Committee shall exercise its powers 10 days from its constitution 1) set the dat e. and 9) prescribe such other rules as may facilitate the orderly conduct of el ection. Terms of offi cers have expired and officer failed to call for election of new officers. trade union centers. Petition to be heard by Bureau in case of federations. 8) proclaim the winner s. Labor organization’s constitution and by-laws do not provide for the manner by wh ich election can be called or conducted. 2) prescribe the rules on the qualification a nd eligibility of candidates and voters. 7) be the final arbiter of all election protests.ANNEX F: Elections under Rule 12 Of The Implementing Rules President of the labor organization shall constitute a committee on election Within 60 days before the expiration of the term of the incumbent Committee shall elect its Chairman Committee composed of at least three (3) memb ers who are not running for any position in the election. . 5) supervise the actual conduct of the election and canv ass the votes to ensure the sanctity of the ballot. or 2. national or industry unions. 4) accredit the authorized representatives of the contending parties. Appo intment of an election officer and procedures and periods in conduct of pre-elec tion conference and election proceedings under Rule IX Conduct of Certification Election will also apply here. processes and periods of disposition of this disposition is the same as those stated in Rule XI of DO 40-03 Inter/Intra Union Dispute. 6) keep minutes of the proce edings. if there are identifia ble parties within the labor organization.

They shall name their respective representatives to th e negotiation. encourage parti es to submit case to voluntary arbitrator. 250) Serve written noti ce with statement of proposals upon the other party. QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. call parties to conciliati on meetings The recognized or certified labor union and its employer may adopt such procedur es and processes they may deem appropriate and necessary for the early terminati on of their negotiations. benefits and other terms and conditions of work for all employees covered in t he bargaining unit. schedule the number and frequency of meetings.ANNEX G: Bargaining Procedure under the Labor Code (Art. Board shall exert all efforts to settle disputes amicably. Board shall intervene. Parties are prohibited from doing any act which may disrupt or impede the early settlement of the disputes. Board shall have the power to issue subpoenas to require attendance to such meet ings. . and agree on wages . Reply not later than 10 days from receipt Reply of other party If differences ar ise on the basis of notice and reply Conference If the dispute is not settled.

provided that t he sixty-day period based on the original collective bargaining agreement shall not be affected by any QuickTime™ and a TIFF (Uncompressed) decompressor amendment . Registered CBA – may file only within 60 d ays prior to the expiration of the CBA. the petition was filed before or after the free dom period of a duly registered collective bargaining agreement. consent or run-off election has been conducted within 1 year prior to th e filing. c.ANNEX H: PETITION FOR CERTIFICATION ELECTION Who may file? • any legitimate labor organization • employer. in case of an organized establishment. consent or run-off election and no ap peal is pending. d. Med-arbiter shall enter The finality of the decision In the records of the case Grounds for Denying Petition a. a duly certified union has commenced and sustained negotiati ons with the employer within the one-year period referred to in Section 14. negotiations in good faith with the employer c. are needed to see this picture. except: a. b. bargaining deadlock had been submitted to conciliation or arbitration or had become the subject of a valid notice of strike or lockout. e. the petitioner is not listed in the Department’s r egistry of legitimate labor unions or that its legal personality has been revoke d or cancelled with finality. b. the petition was filed within one (1) year from entry of volun tary recognition or a valid certification. within 10 days from last hearing First pre-election conference Must be within 10 days from Date of entry of agree ment Decision • If there is no appeal Within 10 days from Receipt of decision. but hearings should not exceed 15 days from preliminary hearing. or a valid certifi cation. When voluntary recognition has been entered. when requested to bargain collectvely Raffle dispensed wi th If there is only 1 Med-arbiter Where to file? • with the Regional Office which issued the certificate of registration/certificate of creation When to file? • any time. extension or renewal of the collective bargaining agreement. failure to submit the twenty-five p ercent (25%) support requirement for the filing of the petition for certificatio n election. or the bargaining deadlock existing had been submitted to conciliatio n or arbitration or had become the subject of a valid notice of strike or lockou t. File petition for certification election Raffle • Service of notice of preliminary conference Preliminary Conference • Must be within 10 days from • Receipt of petition Parties agree to a consent election Parties fail to agree on consent election Hearings Forward records of petition to Regional Director/ authorized representa tive • may conduct such number of hearings. d.c of this Rule. .

• No motion for reconsideration shall be entertained. . Secretary’s Decision QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. • Secretary shall have 15 days from receipt of the entire records to decide • S ecretary decision final and executory within 10 days from receipt by the parties . • The entire records of the case shall be remanded to the Regional Office for implementation within 48 hours from notice of receipt of decision.Decision Unorganized establishment Organized establishment Petition Granted Petition Denied Petition Granted Petition Denied Non-appealable File memorandum of appeal with Regional Office where the petition originated • within 10 days from receipt of decision Regional Director to transmit entire records within 24 hours from receipt of app eal to Office of Secretary Reply • reply may be filed by any party within 10 days from receipt of memorandum of app eal.

even if one was raised.ANNEX I: Conduct of Certification Election Receipt of notice of entry of final judgment granting the conduct of certificati on election 24 hours Regional Director shall cause the raffle of the case to an Election Officer 24 hours from receipt of the assignment Failure to appear in th e preelection conference considered a waiver of right to question any agreement in the pre-election conference. list of eligible and challen ged voters Must be within 10 days from receipt of the assignment Must be completed within 3 days from date of the first hearing Certification Election Must not be later than 45 days from date of the first pre-election conference Election precincts close the election precincts shall open and close on the date and time agreed upon dur ing the pre-election conference. the same was not perfected within the five-day peri od for perfection of the protest. Med-arbiter shall held within 6 months. no protest was file d or. description of the bargaining unit. TIFF (Uncompressed) decompressor are needed to see this picture. and there are no material challenged QuickTime™ and a v otes. But nonappearing party retains the right to be g iven notices of subsequent pre-election conferences Election Officer shall cause the issuance of notice of pre-election conference upon the contending unions an d the employer Pre-election conference Posting of Notices: at least 10 days before election. date and time of election 2. • Another c ertification or Transmit records of the case to consent election may be Med-arbi ter. 2. no challenge or eligibility issue was raise d or. even if one was filed. the resolution of the same will not materially cha nge the results of the elections. conditions: 1. . the opening and canvass shall proceed immediate ly after the precincts have closed. Canvass of votes Failure of Election • when the votes cast is less than the majori ty of the eligible voters. The proclamation must be under any of the ff. 2 most conspicuous places in company premises Contents: 1. issue an order proclaiming the resu lts of the election. names of all conte nding unions 3.

Present grievance to shop steward Immediate supervisor No settlement Grievance Committee Still unresolved Either party may serve notice upon the othe r of its decision to submit to voluntary arbitration If the party upon whom the notice is served fails or refuses to respond favorable within 7 days from receip t: 1. 10 days Grievance committee decision QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. Board shall call the parties and appoint a voluntary arbitra tor or panel.ANNEX J: Procedure in Handling Grievances Based on DO 40-03 This will apply only in the absence of a provision in the CBA or existing company policy. or 2. . Designated voluntary arbitrator or panel shall begin voluntary arbitration proceedings.

Med-arbiter shall cause the service of summons upon the respon dents. deregistration of CBA 4. Proceed with stipulation of facts.other inter/intra union disputes and other related labor relations disputes . whichever comes first. industry unions. submission of laws and jurisprudence limited to clarificatory questions by M ed-arbiter deemed submitted for decision after the last hearing or upon expirati on of 25 days from preliminary conference. national unions. Where to fi le? are needed to see 1. Med-arbiter .petitions for cancellation of registration of la bor unions. workers associa tion. (max of 25 day s to conduct hearings) Hearing/s Bureau/Med-arbiter must Decision Decide within 20 days From last hearing QuickTi me™ and a decompressor Who may file? TIFF (Uncompressed) this picture. limitation of issues. Regional Di rector be supported by 30% of . organization. Preliminary conference within 10 days from receipt of the complaint or petition Parties agree to amicable settlement No amicable settlement Decision based on the amicable settlement within 5 days from preliminary confere nce.complaints involving labor unions with indepen dent registration. chartered organization or its members locals.involving federations.ANNEX K: Inter/Intra-Union Dispute & Other Related Labor Relations Disputes File complaint or petition Raffle Raffle is dispensed with if there is only one Medarbiter or Hearing Officer in t he Region Petition shall be transmitted to Medarbiter Within 3 days from receipt Of petiti on Prepare. clarificatory questioni ng. its officer/members. petitions for members. Bureau if the issue involves the entire . cause service of notice of preliminary conference upon the party fil ing the petition. complaint must 3. Regional Office which issued certificate of registratio n/creation any legitimate labor . any party-in-interest 2. its membe rship of the labor officers/members.

QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. .Med-arbiter/ Regional Director Decision Bureau Director Decision Must appeal within 10 days from receipt of decision Bureau Director Office of th e Secretary May call parties to a clarificatory hearing Must decide within 20 da ys From receipt of records Bureau Director Decision Office of DOLE Secretary Final and executory If there is no appeal with 10 days Bureau Director Decision Final and Executory Only 1 MR allowed Office of Secretary Decision Final and Exe cutory Records remanded to the Regional Office or Bureau of origin For implementation w ithin 24 hours From receipt of decision by the parties and finality of decision Execution of Decision Med-arbiter and Regional Director Decision. Office of Secretary Decision in exercise of its appella te jurisdiction immediately executory upon entry of final judgment. in the exercise of its original jurisdiction automatically stayed pending appeal. or Bureau Deci sion. Bureau Decision.

5. Election of Officers CBA Registration Independent Union/Chartered Local Registra tion Revocation and cancellation cases 6. Petition for Certification Election. 8. certified Labor Arbiter (217) 1. Regional Office Med-Arbiter 1. its officers or members. 4. Cancellation / Suspension of License of Authority to recruit of Recruitment Agen cies (until phase out within five years as provided in RA 8042) Disciplinary Act ion against OFWs 7. chartered l ocals. Federation / National Union / Trade Union Center Registration. 274)   . revocation and cancellation cases Regional Director (128 / 129) POEA Bureau of Labor Relations 1. 3.ANNEX L: Jurisdiction Supreme Court Court of Appeals Office of the DOLE Secretary BLR Voluntary Arbitration NLRC Strike Subject to Assumption of Jurisdiction assumed Disputes Submitted to Voluntary Arbitrator Grievance Machinery 1. chartered locals and wor kers associations (Art. 2. 2. 7. 4. Complaint s or petitions involving labor unions with independent registration. 2. workers associations. A request for examin ation of books of accounts of independent labor unions. 2. 1. 3. 3. Other inter/intra-union disputes and related labor relations disputes shall be h eard and resolved by the MedArbiter in the Regional Office. 2. 6. 5. 9.

3. national unions. Actions arising from 241 arising from administration and accounting of union funds ULP 1.000 Violation of per individual AND Compromise w/o claims for Agreements reinstatement Execution of award of NOTE: Voluntary Arbitrator QuickTime™ and a The P5. limit is applicable to the Ov erseas adjudicatory powers of Employment the Regional Director Disputes.e.000 TIFF (Uncompre ssed) decompressor are needed to see this picture. Money Claims Damages arising from arising from Labor EER Standard s All other claims Violations NOT arising from EER exceeding P5. i. Labor Standards Enforcement Termination Cases Enforcement of labor 2. Occ upational Standards with claim Safety and Health exceeding P5. A request for examination of books of accounts of f ederations or national unions and trade union centers pursuant to Article 274 4.8. Disputes concerning interpretation or implementation of CBA Disputes concerning of interpretation or implementation of company personnel policies All others def ined as “grievance” by CBA Wage distortion cases (where there is CBA) . no CBA) Complaints involving federations. industry unions. 129 and not claims arising from the visitorial and such Wage dist ortion enforcement power cases (where there is under 128.000 per Violations individual 3. mo ney under Art. its officers or member organizations.

for decision shal l be reached in are needed to see consultation before the case is assigned to a member for the writing of the opinion. and its region al branches as the needs of the service may require. subject to the Civil Servic e Law. on temporary or emergency basis. rules and regulations. Prov ided. 213. the Chairma n shall designate such number of additional Commissioners from the other divisio ns as may be necessary. The divisions of the NLRC shall have exclusive appellate jurisdiction over cases within their respect ive territorial jurisdiction. that the labor arbiters who are presently holding office in the region whe re they are residents shall be deemed appointed thereat. sub-regiona l branches or provincial extension units. 9347 An Act Rationalizing the Composition and Function s of the National Labor Relations Commission. preferably in the region where they are resid ents. Appointment and qualifications Chairman and other Commissioners – members of the Philippine Bar and must have been engaged in the practice of law in the Phil ippines for at least 15 years. Appointment to any vacancy in a specific divisio n shall come only from the nominees of the sector which nominated the predecesso r. Headquarters. Whenever th e required membership in a division is not complete and the concurrence of 2 Com missioners to arrive at a judgment or resolution cannot be obtained. upon recommendation of the Commission en banc to a specific arbitration branch. with at least 5 years experience or exposure in the field of labormanagement r elations Term – hold office during good behavior until the age of 65 years. 215. Amending for this Purpose Article 213. It shall be mandatory for the division to meet for purposes of the consultation ordained therein. En banc – only for purposes of promulgating rules and regulations governing the hearing and disposition of cases before any of it s divisions and regional branches and formulating policies affecting its adminis tration and operations Divisions – when in the exercise of its adjudicatory and al l other powers. all ow cases within the jurisdiction of any division to be heard and decided by any other division whose docket allows the additional workload and such transfer wil l not expose litigants to unnecessary additional expenses. Chairman. 442. The conclusions QuickTime™division on any case of a and a TIFF decompressor submitted to it (Uncompressed) this picture. and shall be subject to the Civil Service Law.D. rules and regulations. and upgrade their current . LAs – appointed by the President. There shall be as many Labor Arbiters as may be necessary for the effective and efficient operation of the NLRC. with at least 5 years experience or exposure in t he field of labormanagement relations. and shall preferably be residents of the region where they shall hold office LAs – members of the Philippine Bar and must h ave been engaged in the practice of law in the Philippines for at least 10 years . 8 members shall be chosen only from the nominee s of the workers and employers organizations respectively. National Labor Relations Commission NLRC shall be attached to the DOLE solely for program and policy coordination only. branches and provincial extension units Offices of 1st – 6th Divisions Metro Mani la 7th Division Cebu Cagayan de Oro 8th Division The Commission shall establish as many regional branches as there are regional offices of the DOLE. The Chairman and 7 re maining members shall come from the public sector. 215 and 216 of P. unless sooner removed for cause as provided by law or become incapacitated to discharg e duties of their office But the President may extend the services of the Commis sioners and LAs up to the maximum of 70 years upon the recommendation of the Com mission en banc. functions and duties 1st – 6th divisions – Luzon & NCR 7th & 8th – Vis ayas and Mindanao NLRC sitting en banc may. The concurrence of 2 Commissioners of a division s hall be necessary for the pronouncement of a judgment or resolution. 214. Division Presiding Commissioners and other Commission ers – appointed by the President. No.ANNEX M: Republic Act No. compos ed of a Chairman and 23 members. as Amended. with the latter to be chosen preferably from among the incumbent labor arbiters. with 3 members each. shall appoint the staff and employees of the Commission. Art. Chairman and the Commis sioners. NLRC may sit en banc or in 8 divisions. Otherwise Known as the Labor Code of the Philippines Art. Art. 214.

salaries. Art. however. shall the provision of this Article resul t in the diminution of the existing salaries. . and be entitled to the same allow ances. receive an annual salary equivalent to and be enti tled to the same allowances. QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. benefits and other emoluments Chairman and Commissioners shall have the same rank. allowances and benefits of the afo rementioned officials. retirement and other benefits and privileges as tho se of RTC Judges. 216. LAs shall have the same rank. retirement and benefits as. In no case. receive an annual salary equivalent to. benefits and other emoluments in accordance with law. respectively. those of the Presiding Justice and Associate Justices of the Court of Appeals. Salari es.

He is the owner or president of the corporation which is party to th e case upon presentation of a verified certification of his authority and a boar d resolution of the corporation granting him such authority. at the option of the com plainant. Motion to declare defendant in default g. He is a duly accredited member of a l egal aid office recognized by the DOJ and the IBP upon presentation of his accre ditation e. the workplace shall mean the place where they are regularly ass igned or where they are supposed to regularly receive their salaries / wages and report the result of their assignment. the branch that first acquired jurisdiction o ver the case shall exclude the others. mandamus or prohibition f. Cases involving OFWs – RA B having jurisdiction over the place where the complainant resides or where the principal office of any of the respondents is situated. provided that he represents a certification from the BLR o r Regional Office of the DOLE attesting that his organization duly registered an d listed in the roster of legitimate labor organizations. the LA shall dispose of the case assigned to him including any or all incidents thereof in the same proceeding to avoid multiplicity of suits. Motion for reconsideration or appe al from any interlocutory order of the LA Denial of MTD is not appealable Certif icate of Non-Forum Shopping is required Verification – lawyer can sign verificatio n but not the certificate of non-forum shopping Venue All cases within the juris diction of the LA to hear and decide may be filed with the Regional Arbitration Branch (RAB) having jurisdiction over the workplace of the complainant. If 2 or more RABs have jurisdiction over the workplace of the complainant. Subject to Art. Submission of Position Paper and Reply When requir ed. the LA should direct the parties to file simultaneously their verified posit ion papers attaching their supporting documents and affidavits within the inexte ndible period of 10 calendar days from the date of the termination of the concil iation conference. He represents a LLO w hich is a party case. Venue of a case may be transferred to ano ther branch upon written agreement of the parties or upon order of the LA or NLR C. assignment or travel. Petition for certiorari. A reply may be filed by either party within 10 calendar days from receipt of the position papers. Motion f or a bill of particulars c. ambulant or it inerant workers. Petition for relief from jud gment when filed with the LA e. upon motion by the proper party in meritorious cases. He represents himself as party to the case b. Appearances A l awyer appearing for a party is presumed authorized to appear for such purpose.on grounds of lack dismiss (except of jurisdiction over the subject matter. . Pleadings Prohibite d pleadings: QuickTime™ and a TIFF (Uncompressed) decompressor a. prescription and forumshopping) b. Motion for new trial d. For field. He represents a member or members of a LLO existing within an employer’s establish ment which is a party to the case provided that he present a verified certificat ion proving his authority from such member / members and verified certification issued by the secretary and attested by the president of such organization stati ng that the person/s he is representing are members of the organization which is existing in the employer’s establishment d. together with a verifi ed certification issued by the secretary and attested by the president of the la bor organization stating that he is duly authorized to represent the organizatio n in the case and a copy of the board resolution granting him such authority c. No facts or evidence to prove facts of any cause of action not included in the complaint are allowed to be alleged in the p osition papers. Motion to are ne eded to see this picture. Venue – pl ace where the employee is regularly employed at the time the cause of action aro se.ANNEX N: Salient Provisions of 2005 Revised Rules of Procedure of the NLRC Suppl etory Application of the Rules of Court Pertinent provisions of the Rules of Cou rt have a suppletory application in the absence of an applicable provision there to in the interest of expeditious dispensation of labor justice. A non-lawyer may appear or counsel in the proceedings only under the following co nditions: a. 263 (g) of the Code. improper venue. the LA may ask clarificatory questio ns to elicit further information on facts. whether on temporary detail. LA shall determine whether there is a need for a hearing or clar ificatory conference and at his discretion.

Requis ites of perfection of appeal: 1. that the petitioner has no adequate remed y at law. Injunction A preliminary injunction or TRO may be granted by the NLRC through its Divisions when it is established on the basis of the sworn all egations in the petition that the acts complained of involving or arising from a ny labor dispute before the NLRC which if not restrained may cause grave or irre parable damage to any party. a subst antial or irreparable injury to petitioner’s property will be unavoidable. or by oath. All pleadings and motions pertaining to the appealed case shall thereafter be addressed to and filed with the Commission. b. certificate of non-forum shopping iv.1 of this Rule b) verified by the appellant himself in accordance with the Rules of Court Sec. Rule 7 c) in form of a memorandum of a ppeal stating i. If the petiti oner shall also allege that unless a TRO shall be issued without notice. Once an appeal is filed. that s ubstantial and irreparable injury to petitioner’s property will follow. such a TRO may be issued upon testimony under oath. No motion or request for extension of the period to appeal is allowed. d. After the hearing of the testimony of witnesses and with opportunity for cross examination in support of the allegations of the com plaint or petition under oath. if sufficient. d) in 3 copies e) accompanied by – i. posting of a bond iii. if sustained to justify the Commission in the issuance thereof. e. that the public officers charged with the duty to protect petitione r’s property are unable or unwilling to furnish adequate protection. the LA loses jurisdict ion over the case. an appeal by the employer may be perfected only upon the posting of a bond. and testimony by way of opposition thereto. statement of the date appellant received the appealed deci sion. proof of serv ice upon other parties In case the decision of the Labor Arbiter or the Regional Director involves a monetary award.4. the grounds relied upon and arguments in support thereof ii. Appeal must be: a) filed within the reglementar y period provided in Sec. greater injury will be inflicted upon res pondents by the granting of relief. within 5 days from receipt thereo f. and o nly after a finding of fact by the Commission: a. QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture. proof of payment of required appeal fe e ii. Appeals Decisions and orders of the LA are final and executory unless a ppealed to the Commission within 10 calendar days. re lief prayed for. . iii. that the prohibited acts have been threatened and will be committed and continued unless restrained.LA has full control and shall personally conduct the hearing / clarificatory con ference. or by affidavits of the petitioner’s witnesses. c. and in case of orders and res olutions of the Regional director of the DOLE. that as to each item of relief to be granted.

i.e. Retirement 4. EMPLOYEE – any pe rson receiving compensation while in service of an employer as defined herein. D ependent Parents b. its political subdivisions. branches. where there is an employeremployee relationship 3. legitimated. natural or judicial. Legitimate descendants subject to restrictions on de pendent children. those under GSIS 2. legitimate descendants 3. Survivorship e. JUDICIARY . Not gainfully employed. 2. Separation f. Disability d. Life Insurance b. OTHERS BENEFITS As to DEATH BENEFITS.. legally adopted or illegitimate. Not over age of majority. 2. Sickness 8. Child. as the case may be a. Death 5. domestic or foreign who carries on in the Philippines any trade. Dependent Spouse until remarriage AND b. the constitutional commissions and the judiciary 2. Unemployment 2. Dependent Children 2. Depen dent Legitimate or Legitimated or Legally Adopted and Illegitimate Children a. 1. benefits shall be QuickTime™ and a paid to Legal Heirs in accordance with Law TIFF (Uncompressed) decompressor are needed to Succession of see this picture. Dependent Parents AND b. SECONDARY a. Permanent Disability 6. Retirement c. business. whether legitimate. and financial institutions with origin al charters. OR 4.ANNEX O: Salient Features of the SSS Law and GSIS Law Social Security Act of 199 7 (RA 8282) WHO ARE COVERED Government Service Insurance Act of 1997 (RA 8291) 1 . Dependents Pension 3. including GOCCs. w hether by election or appointment DEPENDENTS CONDITIONS FOR CHILD TO BE CONSIDERED DEPENDENT BENEFICIARIES 1. agenci es or instrumentalities. Unmarried. Legal spouse entitled for support. Funeral 7 . including GOCCs. Absent primary and secondary beneficiaries. Has no t reached 21 years of age. OR 3. EMPLOYER – the national government. 3. EMPLOYER – any person. Maternity (ONLY 1ST FOUR DELIVERIES OR MISCARRIAGES) 1. Dependent Spouse until remarriage AND b. ALL MEMBERS a. SELF-EMPL OYED – considered both employer and employee 1. industry undertaking or activity of any kind and uses the services of another person who is under his orders as regards employment 8(c) *EXEMPT EMPLOYER: government and any of its political subdivisio ns. EMP LOYEE – any person who performs services for an employer who receives compensation for such services. Monthly Pension 2 . any other person designated by member as secondary beneficiary a. Parents dependent for support 1. Incapable of su pporting himself either physically or mentally prior to 21 years of age or age o f majority. Legal. if no beneficiary qualifies under the Act. 3. PRIMARY 1. branches and instrumentality.

or business COVERAGE employer 2. Filipinos recruited by foreignbased employers for employment abroad b. Self-employed persons as may be determined by the Commission under such rules and regulations as it may prescribe. traine rs and jockeys. compulsor y coverage of the employer shall take effect on the first day of his operation a nd that of the employee on the day of his employment b. including. but limited to: all self-employed professionals. Employment purely casual and not FROM for purp ose occupation. Life Insurance ONLY – ALL TAX EXEMPT COMPULSORY for all employees receiving com pensation who have not reached compulsory retirement age.see this picture. VOLUNTARY *By Arrangement: Any foreign government. who have n o employer-employee relationship with the agency to serve 4. coaches. irrespective of employ ment status a. COMPULSORY A. or international 1. and individual farmers and fishermen. actors and actresses. QuickTime™ and a TIFF (Uncompressed) decompressor to EXCEPTI ONS are needed1. Loan Grant COVERAGE 1. Domestic helpers sixty years of age and below with a monthly incom e of not less than P1. Employee separated from employment to m aintain his right to full benefits c. international organization or wholly ow ned instrumentality employing workers in the Philippines or employing Filipinos outside the Philippines may enter agreement with Philippines for inclusion of su ch employees in SSS EXCEPT those already covered by their respective civil servi ce retirement system. scriptwrite rs and news correspondents not employees. Self-employed who realizes no income for a certain month d. Members of the PNP 3. Members of the AFP 2. if employed when such vessel is outside of Philippines 3. partners and single-proprietors of business. Spouses who devote full time to managing household and family affairs unless specifically mandatorily covered 2. All employees not over sixty (60) years of age and their employers. Employees of Philippine government or instrumentality or agency thereof 4.000 on the date of their employment d. S ervice performed in the employ of a foreign government. Contractual employees. Service performed on or in conn ection with alien vessel. professional athletes.9. Members of judiciar y and constitutional commissions: covered by life insurance only . Individual farmers and fishermen under SSS rules and regulations a. directors. upon their registration wi th the SSS c.

age. salaries status.COMPENSATION BASIS OF CLAIM organizations. sickness. fees. salaries of the employee and such other matter as determined by the and dependents of all his covered GSIS e mployees B. overtime pay. and duties of all kind DISPUTE Dispute arising from: Any dispute arising under this Act and other 1. or wholly owned instrumentality employing workers in the Philippi nes or employing Filipinos outside of the Philippines 5. Report to GSIS the names. bonuses. pursuant to his election/appoin tment. 1517) A member separated from the service shall continue to be a member. honoraria. death and old age and other contingencies resulting in loss of income or financial burden (sec. and shall be entitled to whatever benefits he has qualified to in the event of any contingency compen sable under this Act EFFECTS OF SEPARATION FROM EMPLOYMENT 1. Employer’s contributions 2. Employee’s/member’s contrib utions EXEMPTION Property. Employer’s contribution on his account ceases 2. his name. including the mandated cost-of-living allowance. or willful intention to kill himself or another (sec. occupations. civil status. as well as the cash value of any renumeration paid in any medium other than cash except that part of the renumeration in excess of the maximum salary credit Non-work connected disa bility. Coverage SETTLEMENT laws administered by GSIS 2. Contributions Ju risdiction: GSIS 4. PROCESS/LIEN are needecharges. Self-employed: Report to SSS within 30 days from the first day of hi s operation. positions. employees of bona fide independent contractors shall not be deemed employees of the employer engaging the services of an independent contractor All actual renumeration for e mployment. 2) The basic pay or salary received by an employee. average monthly net income and his dependents FUNDING 1. maternity. allowances and any other emoluments received in addition to the basic pay Work-connected exempt fr om liability where permanent disability due to his grave misconduct. Employee shall be credi ted with all contributions paid on his behalf and entitled to benefits according to the provisions of this Act REPORTING Employer: A. excluding per diems. Any matters related thereto When decision made: 30 days from receipt of the hearing officer’s findings and Jurisdiction: Social S ecurity Commission recommendations or 30 days after submission for decision . occupation. Employee’s obligation to contrib ute also ceases at the end of the month of separation 3. and revenues of SSS and GSIS are all exempt f rom taxes. TIFF (Unc pressed) decom pressor d to see this picture. employment REQUIREMENTS ages. Employer: Report immediate ly to SSS the names. assets. habitual in toxication. and all QuickTime™ and a FROM TAX/LEGAL ombenefits paid by SSS or GSIS shall likewise be exempt from taxes. assessments. Services performed by t emporary employees and other employees excluded by SSS regulation. Benefits 3. Penalties 5. civ il status.

. Section 31 SC – Rule 45 PRESCRIPTIVE PERIOD 4 years from date of contingency QuickTime™ and a TIFF (Uncompressed) decompressor are needed to see this picture.When decision made: Mandatory period of 20 days from submission of evidence Appe al: CA – questions of law and facts SC – questions of law only 10 years from accrual of right of action Appeal: CA – Rule 43.

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