SAN BEDA COLLEGE OF LAW

MEMORY AID in LABOR LAW

Any form of reproduction of this copy is strictly prohibited!!!

PRELIMINARY TITLE
CHAPTER I GENERAL PROVISIONS
 ART 1. NAME OF DECREE  LABOR LEGISLATION - Consists of
statutes, regulations and jurisprudence governing the relations between capital and labor, by providing for certain standards of terms and conditions of employment or providing a legal framework within which these terms and conditions and the employment relationship may be negotiated, adjusted and administered. It is divided into labor standards and labor relations.  LABOR STANDARDS - Are the minimum re uirements prescribed by e!isting laws, rules and regulations relating to wages, hours of work, cost-of-living allowance, and other monetary and welfare benefits, including occupational safety, and health standards.  LABOR RELATIONS LAW - defines the status, rights, and duties and the institutional mechanisms that govern the individual and collective interactions of employers, employees or their representatives. - "he law which seeks to stabili#e the relation between employer and employee, to forestall and thresh out their differences through the encouragement of collective bargaining and the settlement of labor disputes through conciliation, mediation, and arbitration. (.-ight to 3articipate in 3olicy : ;ecision-+aking 3rocesses affecting their rights and benefits as may be provided by law

 RELATED LAWS!
&. CI<I$ C.;2= see Arts. &(>>, &(>&and &(>1 /. -2<I42; 32%A$ C.;2= Art. /?' 3. ."82-4= 444 $aw, @4I4 $aw, Agrarian -eform $aw, the &1th month pay law, the +agna Carta for 3ublic 8ealth 6orkers, etc.

 RATIONALE !
- "he raison dA etre of labor laws is the POLICE POWER of the 4tate  ART ". DECLARATION OF BASIC

POLICY
"he 4tate shall afford protection to labor, promote full employment, ensure e ual work opportunities regardless of se!, age or creed, and regulate the relations between workers and employers. "he 4tate shall assure the right of workers to self-organi#ation, collective bargaining, security of tenure, and just and humane conditions of work.

 EMPLOYER - one who employs the

services of othersB one for whom employees work and who pays their wages or salaries.

 EMPLOYEE - one who works for an

employerB a person working for salary or wages

 ART. 2. DATE OF EFFECTIVITY

 "he $abor Code took effect on %ovember &, &'() *si! months after its promulgation on +ay &,&'(),

 ART #. CONSTR CTION IN FAVOR OF LABOR  CONSTR CTION IN FAVOR OF LABOR CLA SE -this is with a view to apply
the Code to the greater number of employees to enable them to avail of the benefits under the law *Abella vs. %$-C,. "he working manAs welfare should be the primordial consideration. "his rule is applicable i$ %&'(' i) * +,-.% as to the meaning of the legal or contractual provision. If the provision is clear and unambiguous, it must be applied in accordance with its e!press terms. "hese laws )&,-/+ .' in%'(0('%'+ 1i%& * 2i'1 %, %&' $*3% %&*% %&'4 *(' ('5'+i*/ in n*%-(', they are enacted to better the lot

 SEVEN (7) BASIC RIGHTS OF WORKERS AS G ARANTEED BY THE CONSTIT TION (OCESHLP)!
&. -ight to .rgani#e /. -ight to Conduct Collective 0argaining or %egotiation with +anagement 1. -ight to 2ngage in 3eaceful Concerted Activities including strike in accordance with law ). -ight to 2njoy 4ecurity of "enure 5.-ight to 6ork 7nder 8umane Conditions 9.-ight to -eceive a $iving 6age

LABOR LAW COMMITTEE: JUBERT JAY C. ANDRION, Chairperson, PAULITO DEJESUS, EDP MEMBERS: RJ Nolasco, Michelle Marquez, JoMarie Lazaro, AnnaLeah Lee, Grace Tenorio, Allan Alda, Jono DeGuzman, Elmer Guerzon, An eluz Torres, !heila !uli", Liezel DeLeon, Ana Marie Ga#os, Liza !a"o , Mac$Mac Romero, %ilmar Calle&o, !all# !il'a, Jo# Me&ia, (o)ard Arzadon

SAN BEDA COLLEGE OF LAW

MEMORY AID in LABOR LAW

Any form of reproduction of this copy is strictly prohibited!!!

and promote the welfare of the members of the laboring class. R')'(2*%i,n ,$ '))'n%i*/ *%%(i.-%') ,$ ),2'('i6n 0,1'( is read into contracts as a postulate of the legal order. Courts *+,0% * /i.'(*/ *00(,*3& %&*% $*2,() %&' '7'(3i)' ,$ /*.,( (i6&%). "he mandate under Art. ) is simply to resolve doubt, i* an#, in favor of labor. If there is no doubt in implementing and interpreting the law, labor will enjoy no built-in advantage and the law will have to be applied as it is.

 ART 9. APPLICABILITY  AGRIC LT RAL OR FARM WORKER one employed in an agricultural or farm enterprise and assigned to perform tasks which are directly related to the agricultural activities of the employer, such as cultivation and tillage of the soil, dairying, growing and harvesting of any agricultural and horticultural commodities, the raising of livestock or poultry, and any activities performed by a farmer as an incident to or in conjunction with such farming operations. "here may be in ,n' '50/,4'( .,%& *6(i3-/%-(*/ *) 1'// *) in+-)%(i*/ 1,(:'(). P RPOSE ,$ %&' 0(,2i)i,n! intended to encourage workers to seek employment in agricultural enterprises instead of migrating to already overcrowded urban areas to find work in industrial establishments

 MANAGEMENT RIGHTS! *CPST)

C P S T -ight to conduct business -ight to prescribe rules -ight to select employees -ight to transfer or discharge employees

 MANAGEMENT PREROGATIVE
2!cept as limited by special laws, an employer is free to regulate, according to his own discretion and judgment, all aspects of employment, including= 8I-I%@, 6.-C A44I@%+2%"4, 6.-CI%@ +2"8.;4, "I+2 3$AC2 A%; +A%%2- .D 6.-C, "..$4 ". 02 742;, 3-.C24424 ". 02 D.$$.62;, 4732-<I4I.% .D 6.-C2-4, 6.-CI%@ -2@7$A"I.%4, "-A%4D2- .D 2+3$.E224, 6.-C 4732-<I4I.%, $AE-.DD .D 6.-C2-4, A%; ;I4CI3$I%2, ;I4+I44A$ A%; -2CA$$ .D 6.-C2-4. *HW8T2PLSD)

- "he $C applies to all workers, whether agricultural or non-agricultural, including employees in a 6,2'(n5'n% 3,(0,(*%i,n in3,(0,(*%'+ -n+'( %&' C,(0,(*%i,n C,+'.

FARM EMPLOYERFARM WORKER RELATIONSHI P

- "he lease is one of labor with the agricultural laborer as the lessor of his services and the farm employer as the lessee - "he agricultural worker works for the farm employer and for his labor he receives a salary or wage, regardless of whether the employer makes a profit.

TENANCY RELATIONSHIP

"hus, so long as management prerogatives are e!ercised in good faith for the advancement of the employerAs interest and not for the purpose of defeating or circumventing the rights of employees under special law or under valid agreements, it shall be upheld.  ART 8. R LES AND REG LATIONS
- "he rules and regulations issued by the ;.$2 shall become '$$'3%i2' 18 +*4) *$%'( *nn,-n3'5'n% ,$ %&'i( *+,0%i,n in n'1)0*0'() ,$ 6'n'(*/ 3i(3-/*%i,n.

- It is the landowner who is the lessor and the tenant the lessee of agricultural land

- "he tenant derives his income from the agricultural produce or harvest

LABOR LAW COMMITTEE: JUBERT JAY C. ANDRION, Chairperson, PAULITO DEJESUS, EDP MEMBERS: RJ Nolasco, Michelle Marquez, JoMarie Lazaro, AnnaLeah Lee, Grace Tenorio, Allan Alda, Jono DeGuzman, Elmer Guerzon, An eluz Torres, !heila !uli", Liezel DeLeon, Ana Marie Ga#os, Liza !a"o , Mac$Mac Romero, %ilmar Calle&o, !all# !il'a, Jo# Me&ia, (o)ard Arzadon

Page 2 of 70

 WORKER -any member of the labor force, whether employed or unemployed  RECR ITMENT AND PLACEMENT - any act of canvassing, enlisting, contracting, transporting, utili#ing, hiring or procuring workers, and includes referrals, contract services, promising or advertising for employment, locally or abroad, whether for profit or notB 3-.<I;2;, that any person or entity which, in any manner, offers or promises for a fee employment to two or more persons shall be deemed engaged in recruitment and placement. *C2C-"7C3, *-C3A, -"he number of persons dealt with is not an essential ingredient of the act of recruitment and placement of workers. "he proviso merely creates the presumption.

CHAPTER II EMANCIPATION OF TENANTS

*%ote= not included as per 4C +emo,

 ART 7-11
S&*(' %'n*n34 &*) .''n *.,/i)&'+ placing in its stead leasehold system. 7nder Art. ?, the land covered by operation land transfer 5-)% .' 0(i2*%' *6(i3-/%-(*/ /*n+; %'n*n%'+; 0(i5*(i/4 +'2,%'+ %, (i3' *n+<,( 3,(n; *n+ 5,(' %&*n )'2'n &'3%*(') in *('. 5 hectares per landowner and 1 hectares per child provided the child is=

 P(')'n% ('%'n%i,n /i5i%)!

-

 ART 19. PRIVATE RECR ITMENT  ENTITIES A THORI>ED TO RECR IT

&. 3ublic employment offices /. 3rivate recruitment entitiesB private employment agencies 1. 4hipping or manning agents or representatives ). "he 3.2A 5. Construction contractors if authori#ed by the ;.$2 and the Construction Industry Authority 9. +embers of the diplomatic corps *but hirings must also go thru 3.2A, (. .ther persons or entities as may be authori#ed by the ;.$2 secretary

&. Is at least &5 years of ageB and /. Actually tilling the land or directly managing the farm

 E=CEPTIONS!
those covered by homestead patents those covered by 3; /(

 EMANCIPATION PATENT - is the title issued to the tenant upon compliance with all the re uirements of the government. It represents the full emancipation pf the tenant from the bondage of the soil.

 PROHIBITION AGAINST ALIENATION IS INTENDED TO!

&. 3reserve the landholding in the hands of the owner-tiller and his heirsB /. minimi#e land speculationB and 1. prevent a return to the regime of land ownership by a few.

 DOC MENTATION OF WORKERS!

&. Contract 3rocessing F workers hired thru the 3.2A shall be issued the individual employment contract and such other documents as may be necessary for travel /. 3assport ;ocumentation 1. <isa Arrangement

BOOK ONE PRE-EMPLOYMENT TITLE I RECR ITMENT AND PLACEMENT OF WORKERS CHAPTER I GENERAL PROVISIONS
 ART 1". DEFINITIONS

 ART 17. (POEA)

3.2A has taken over the functions of the .2;0

 AD? DICATORY F NCTIONS OF THE POEA !

a. All cases which are administrative in character, involving or arising out of violations of rules and regulations relating to licensing and registration of recruitment and employment agencies or entitiesB and b. ;isciplinary action cases and other special cases which are administrative in character,

involving employers, principals, contracting partners and Dilipino +igrant 6orkers

 ? RISDICTION TRANSFERRED TO THE LABOR ARBITERS OF THE NLRC !

a. claims arising out of an employer-employee relationship or by virtue of any law or contract involving Dilipino workers for overseas deployment including claims for actual, moral, e!emplary and other forms of damages.  V'n-' @ +oney claims or claims for damages should be filed before the -egional Arbitration branch of the %$-C where the complainant resides or where the principal office of the respondentGemployer is situated, at the option of the complainant.  C,50(,5i)' A6(''5'n% - Consistent with the policy encouraging amicable settlement of labor disputes, 4ec &>, -A ?>)/ allows resolution by compromise of cases filed with the %$-C.  PREMAT RE TERMINATION OF CONTRACT - 6here the workerAs employment contract is terminated long before its agreed termination date, and the termination is not shown to be based on lawful or valid grounds, the employer will be ordered to pay the workers their salaries corresponding to the une!pired portion of their employment contract. (Ti'((* In%A/ C,n)%(-3%i,n C,(0. 2). NLRC). 8.62<2-, under -.A. ?>)/, if the illegal dismissal %,,: 0/*3' ,n ,( *$%'( ?-/4 18; 1BB8, the illegally dismissed ,2'()'*) worker shall be 'n%i%/'+ %, %&' $-// ('i5.-()'5'n% ,$ &i) 0/*3'5'n% $'' 1i%& in%'(')% *% %&' (*%' ,$ 12C 0'( *nn-5 0/-) )*/*(4 $,( %&' -n'70i('+ 0,(%i,n ,$ &i) '50/,45'n% 3,n%(*3% ,( $,( " 5,). $,( '2'(4 4'*( ,$ %&' -n'70i('+ %'(5 1&i3&'2'( i) LESS.

2*/i+ *n4 *6(''5'n% %, ('3'i2' /')) 3,50'n)*%i,n %&*n 1&*% %&' 1,(:'( i) 'n%i%/'+ %, ('3,2'(. (MR Y*(+ C('1 ni,n 2). PNR)

 ART 1E. BAN ON DIRECT-HIRING

 Di('3% &i(in6 ,$ Fi/i0in, 1,(:'() .4 * $,('i6n '50/,4'( i) n,% *//,1'+.  E=CEPTIONS ! the members of the diplomatic corpsB international organi#ationsB such other employers as may be allowed by the ;epartment of $abor and employment 1. n*5' &i('') F individual workers who are able to secure contracts for overseas employment on their own efforts and representations without the assistance or participation or any agency

 RATIONALE OF THE PROHIBITION

Fi/i0in, 1,(:'() &i('+ +i('3%/4 .4 * $,('i6n '50/,4'(; 1i%&,-% 6,2'(n5'n% in%'(2'n%i,n 5*4 n,% .' *))-('+ ,$ %&' .')% 0,))i./' %'(5) *n+ 3,n+i%i,n) ,$ 1,(:. "he foreign employer must also be protected and may chance upon a Dilipino worker who do not possess sufficient knowledge for which he is employed.

 MINIM M EMPLOYMENT CONDITIONS OF OVERSEAS EMPLOYMENT!

&. @uaranteed wages for regular working hours and overtime pay for services rendered beyond regular working hours in accordance with the standards established by the Administration Dree "ransportation from point of hire to site of employment and returnB Dree emergency medical and dental treatment and facilitiesB Iust causes for termination of the contract or of the services of the workersB 6orkmenAs compensation benefits and war ha#ard protectionB -epatriation of workerAs remains and properties in case of death to the point of hire, or if this is not possible the possible disposition thereof Assistance on remittance of workerAs salaries, allowances or allotments to his beneficiariesB and Dree and ade uate board and lodging facilities or compensatory food allowance at prevailing cost of living standards at the jobsite.

/. 1. ). 5. 9.

Claims for +'*%& *n+ .-(i*/ .'n'$i%) in2,/2in6 )'*5'n OCW) 1&i3& %&' POEA has jurisdiction *(' n,% %&' )*5' as the 3/*i5) *6*in)% %&' S%*%' In)-(*n3' F-n+ ,$ %&' LC.

- "he basis for the award of backwages is the partiesH employment contract, stipulating the wages and benefits. T&' $*3% %&*% %&' '50/,4'' &*) )i6n'+ * )*%i)$*3%i,n ('3'i0% +,') n,% (')-/% in 1*i2'(D %&' /*1 +,') n,% 3,n)i+'( *)

(. ?.

 ART 22. MANDATORY REMITTANCE OF FOREIGN E=CHANGE EARNINGS  MANDATORY REMITTANCE REF IREMENTS!
&. 4eamen or mariners= ?>J of the basic salaryB /. 6orkers for Dilipino Contractors and Construction Companies= (>J of the basic salaryB 1. ;octors, engineers, teachers, nurses, and other professionals whose employment contract provide for lodging facilities= same as K/ ). All other professionals without board and lodging= 5>J of the basic salaryB 5. ;omestic and other service of workersB 5>J of the basic salary.

program and their relatives within the )th degree of consanguinity or affinityB or 9. "hose whose license has been previously canceled or revoked.

CHAPTER II REG LATIONS OF RECR ITMENT AND PLACEMENT ACTIVITIES

 ART 2B. NON-TRANSFERABILITY OF LICENSE OR A THORITY
N, /i3'n)' ,( *-%&,(i%4 )&*// .' -)'+ +i('3%/4 ,( in+i('3%/4 .4 *n4 0'(),n ,%&'( %&*n %&' ,n' in 1&,)' $*2,( i% 1*) i))-'+ or at any place other than that stated in the license or authority, nor may such license or authority be transferred, conveyed or assigned to any other person or entity. $icensees or holders of authority or their duly authori#ed representatives may as a rule, undertake recruitment and placement activities ,n/4 *% %&'i( *-%&,(iG'+ ,$$i3i*/ *++('))'). C&*n6' ,$ ,1n'()&i0 ,( ('/*%i,n)&i0 ,$ )in6/' 0(,0(i'%,()&i0 /i3'n)'+ to engage in overseas employment shall cause the *-%,5*%i3 ('2,3*%i,n ,$ %&' /i3'n)'. All ,2'()'*) /*n+.*)'+ 1,(:'() shall be provided both /i$' *n+ 0'(),n*/ *33i+'n% in)-(*n3'.

 ART 28. PRIVATE SECTOR PARTICIPATION IN THE RECR ITMENT AND PLACEMENT OF WORKERS  F ALIFICATIONS FOR PARTICIPATION IN THE OVERSEAS EMPLOYMENT PROGRAM!
&. Dilipino citi#ens, partnerships or corporations at least (5J of the authori#ed and voting capital stock of which is owned and controlled by Dilipino citi#ensB /. +inimum capitali#ation of &+ in case of single proprietorship or partnership and a minimum of &+ paid-up capital for corporationsB 1. "hose not otherwise dis ualified by law or these guidelines to engage in the recruitment and placement of workers for overseas employment  DISF ALIFICATIONS! &. "ravel agencies and sales agencies of airline companiesB /. .fficers or members of the board of any corporation or members in a partnership engaged in the business of a travel agencyB 1. Corporations and partnerships, when any of its officers, members of the board or partners, is also an officer, member of the board or partner of a corporation engaged in the business of a travel agency. ). 3ersons, partnerships, or corporations which have derogatory recordsB 5. 3ersons employed in the ;epartment of $abor or in other government agencies directly involved in overseas employment

 GRO NDS FOR DISCIPLINARY ACTION *7nder the MWA ,$ 1BB8, B

&. Commission of a felony punishable by the laws of the 3hilippines or by the host countryB /. ;rug addiction or possession or trafficking of prohibited drugsB 1. ;esertion or abandonmentB ). ;runkenness, especially where the laws of the of the host country prohibit the sameB 5. @ambling, especially where the laws of the host country prohibit the sameB 9. Initiating or joining a strike or work stoppage where the laws of the host country prohibit strikes or similar actionsB (. Creating trouble at the worksite or in the vesselB ?. 2mbe##lement of company funds or of money an properties of a fellow worker entrusted for delivery to kins or relatives in the 3hilippinesB '. "heft or robberyB &>. 3rostitutionB &&. <andalism or destroying company propertyB

&/. @unrunning or possession of deadly weaponsB &1. 7njust refusal to depart for the worksite after all employment and travel documents have been duly approved by the appropriate government agencyB and &). <iolation of the laws and sacred practices of the host country and unjustified breach of government approved employment contract by a worker.

MISCELLANEO S PROVISIONS
 ART "E. ILLEGAL RECR ITMENT (*) 0'( RA EI#2 ,%&'(1i)' :n,1n *) %&' Mi6(*n% W,(:'()A A3% ,$ 1BB8)
 ILLEGAL RECR ITMENT - Any act of canvassing, enlisting, contracting, transporting, utili#ing, hiring or procuring workers and includes referring contract services, promising or advertising for employment abroad, whether for profit or not when undertaken by a non-licensee or non-holder of authority. 3-.<I;2; that any such non-licensee or non-holder of authority who in any manner, offers or promises for a fee employment abroad to two or more persons shall be deemed so engaged. It shall likewise include the commission of prohibited acts whether committed by a non-licensee or non-holder of authority or a licensee or holder of authority.

 ART "1. BONDS

C*)& .,n+ $i/'+ .4 *00/i3*n%) $,( /i3'n)' ,( *-%&,(i%4 i) n,% )-.H'3% %, 6*(ni)&5'n% by judgment creditor of agency

 ART "2. FEES TO BE PAID BY WORKERS

4uspension or cancellation of licenses 5*4 in3/-+' *1*(+ ,$ +*5*6') to repair the injury caused to its victims.

 ART "#. PROHIBITED PRACTICES

A )-00/'5'n%*(4 3,n%(*3% .'n'$i3i*/ %, 1,(:'( n,% 2i,/*%i2' ,$ 0(,%'3%i,n afforded by the 4tate to workers.

 PROHIBITED PRACTICES! (CFGIIEOFSBWF)

C F G I to charge or accept amount beyond amount allowed by law to furnish or publish false notice or information in relation to -ecruitment and 3lacement to give any false notice and information or commit any act of misrepresentation to secure license or authority Induce or attempt to induce workers to uit employment to offer him another e!cept if the transfer is to liberate a worker from oppressive terms and conditions of employment *%."2= it is not necessary that worker was actually induced or did uit employment, to influence or attempt to influence any person or entity not to employ any worker who has not applied for employment in his agency to engage in the recruitment or placement of workers in jobs harmful to public health or morality or to the dignity of the 3hil. .bstruct or attempt to obstruct inspection by 4ecretary Dail to file reports 4ubstitute or alter employment contracts 0ecome officer or 0oard member of corporation engaged in travel agency 6ithhold or deny travel documents before the departure for monetary or financial consideration other than those authori#ed by the Code. Dailure to actually deploy without valid reason as determined by the ;.$2

 ART "8. S SPENSION AND<OR CANCELLATION OF LICENSE OR A THORITY

 NON-LICENSEE OR NON-HOLDER OF A THORITY - any person, corporation or entity which has not been issued a valid license or authority to engage in recruitment and placement by the 4ecretary of $abor, or whose license or authority has been suspended, revoked, or cancelled by the 3.2A and the 4ecretary.

O F S B W

CHAPTER III

Dailure to reimburse e!penses incurred by the worker in connection with his documentation and processing for purposes of deployment, in cases where the deployment does not actually take place without the workerAs fault

TITLE II EMPLOYMENT OF NON-RESIDENT ALIENS

 ART #I. EMPLOYMENT PERMIT OF NON-RESIDENT ALIENS
-Doreigners or domestic and foreign employers desiring to employ aliens must secure employment permit from the ;.$2 upon determination of the non-availability of a person in the 3hilippines who is competent, able and willing at the time of the application to perform the services for which the alien is desired. Doreigners may n,% .' '50/,4'+ in certain n*%i,n*/iG'+ .-)in')).

 THE F ALIFYING CIRC MSTANCES THAT WO LD MAKE ILLEGAL RECR ITMENT AS A CRIME INVOLVING ECONOMIC SABOTAGE ARE !
6hen committed by a SYNDICATE i+e+, if it is carried out by a group of three *1, or more persons conspiring and confederating with one anotherB or (a) 6hen committed in a LARGE SCALE i+e+, if it is committed against three *1, or more persons

- a n,n-(')i+'n% */i'n 1,(:'( and the '50/,4'( shall bind themselves to %(*in *% /'*)% 2 Fi/i0in, -n+'()%-+i').

 VEN E OF ACTIONS ON ILLEGAL RECR ITMENT!

&. -"C of the province or city where the offense was committedB or /. where the offended party resides at the time of the commission of the offense at the option of the complainant "hese circumstances only ualify. "hey do not define the offense themselves R'3(-i%5'n% *n+ 0/*3'5'n% *3%i2i%i') of agents or representatives appointed by a licensee, whose appointments were n,% 0('2i,-)/4 *-%&,(iG'+ .4 %&' POEA shall likewise 3,n)%i%-%' i//'6*/ ('3(-i%5'n%.

 PROHIBITION EMPLOYMENT OF ALIENS

AGAINST

S'3%i,n 2-A ,$ %&' An%i-D-554 L*1 prohibits the employment of aliens in establishment or entities which have under their name or control a right, franchise, privilege, property or business the e!ercise or enjoyment of which property or business the e!ercise or enjoyment of which is e!pressly reserved by the Constitution or the laws to citi#ens of the 3hilippines or to corporations or associations at least 9>J of the capital of which is owned by such citi#ens.

 E=CEPTIONS PROHIBITION!
a. b.

TO

THE

ART. "E ( 3 ) +'3/*('+ -n3,n)%i%-%i,n*/ since only a judge may issue search warrantG warrant of arrest. "he 4ec. .f $abor may only recommend not issue. 8owever, Closure of establishments of illegal recruiters may still be ordered by 4ecretary of $abor, same being essentially administrative and regulatory in nature.(S*/*G*( 2). A3&*3,), *n+ M*(J-'G)

where the 4ecretary of Iustice specifically authori#es the employment of technical personnelB or where the aliens are elected members of the board of directors or governing body of corporations or association in proportion to their allowable participation in the capital of such entities.

 PRESCRIPTIVE PERIOD
Illegal -ecruitment cases under -A ?>)/ shall prescribe in $i2' (8) 4'*() Pro'ided, ho)e'er, "hat illegal recruitment cases involving '3,n,5i3 )*.,%*6' shall prescribe in %1'n%4 (2I) 4'*().

BOOK TWO

H MAN RESO RCES DEVELOPMENT TITLE I NATIONAL MANPOWER DEVELOPMENT PROGRAM CHAPTER I NATIONAL POLICIES AND ADMINISTRATIVE MACHINERY FOR THEIR IMPLELENTATION
 ART #8. DEFINITIONS
 MANPOWER - that portion of the nationAs population which has actual or potential capability to contribute directly to the production of goods and services.  ENTREPRENE RSHIP - training for selfemployment or assisting individual or small industries within the purview of this the $C.

binds himself to train the apprentice and the apprentice in turn accepts the terms of training  ON-THE-?OB TRAINING F the practical work e!perience through actual participation in productive activities given to or ac uired by an apprentice  HIGHLY TECHNICAL IND STRIES F trade, business, enterprise, industry or other activity, which is engaged in the application of advanced technology

 ART 8B. F ALIFICATIONS OF APPRENTICES  F-*/i$i3*%i,n) ,$ *n A00('n%i3'

&. at least &5 years of ageB provided those who are at least &5 years of age but less than eighteen may be eligible for apprenticeship only in non-ha#ardous occupations and the apprenticeship agreement shall be signed in his behalf by the parent or guardian or authori#ed representative of ;.$2. /. vocational aptitudeG capacity for appropriate test 1. ability to comprehend and follow oral and written instructions  ART 9I. EMPLOYMENT OF

TITLE II TRAINING AND EMPLOYMENT OF SPECIAL WORKERS CHAPTER I APPRENTICES

T40') ,$ S0'3i*/ W,(:'()!

APPRENTICES
On/4 '50/,4'() in &i6&/4 %'3&ni3*/ in+-)%(i') may hire apprentices and ,n/4 in *00('n%i3'*./' ,33-0*%i,n) as determined by the 4ec. .f $abor

&. Apprentice /. $earners 1. 8andicapped

 ART 8E. DEFINITION OF TERMS

 APPRENTICESHIP - practical training on the job supplemented by related theoretical instruction  APPRENTICE - worker who is covered by a written apprenticeship agreement with an individual employer or any of the entities recogni#ed under this chapter  APPRENTICEABLE OCC PATION - any trade, form of employment or occupation which re uires more than 1 months of practical training on the job supplemented by related theoretical instruction

 R'J-i)i%') APPRENTICESHIP

$,(

VALID

&. L7A$IDICA"I.%4 .D "82 A33-2%"IC2 /. A33-2%"IC248I3 A@-22+2%" ;7$E 2M2C7"2; A%; 4I@%2; 3-.<I;I%@ D.C.+32%4A"I.% %." $244 "8A% (5J .D "82 A33$ICA0$2 +I%I+7+ 6A@2, 2MC23" .%-"82-I.0 "-AI%I%@ *.I", 1.A33-2%"IC248I3 3-.@-A+ ;7$E A33-.<2; 0E ;.$2 ). 32-I.; .D A33-2%"IC248I3 48A$$ %." 2MC22; 9 +.%"84.

 APPRENTICESHIP AGREEMENT an employment contract wherein the employer

 ART 71. DED CTIBILITY OF TRAINING COSTS

 R'J-i)i%') $,( %*7 +'+-3%i,n) in 3*)' '50/,4'() &*2' *00('n%i3')&i0 0(,6(*5)!

&. 3rogram duly recogni#ed by the ;epartment of $abor /. ;eduction shall not e!ceed &>J of direct labor wage 1. 3ay his apprentices the minimum wage

learner as regular employee if he desires upon completion of learnership ). In case of pretermination of the apprenticeship agreement, the worker is not considered as a regular employee ). $earner is considered as a regular employee in case of pretermination of contract after / mos. of training and the dismissal is without fault of learner 5. 4emi-skilled G industrial occupations

 ART 72. APPRENTICES WITHO T COMPENSATION  A00('n%i3') 1&, 5*4 .' &i('+ 1i%&,-% 3,50'n)*%i,n!
&.those whose training on the job is re uired by the schoolB /."raining 3rogram CurriculumB 1.-e uisite for @raduationB or ).A re uisite for 0oard 2!amination

5. 8ighly technical industries and only in industrial occupation

CHAPTER II LEARNERS
 ART 7". LEARNERS DEFINED
 LEARNERS - persons hired as trainees in semi-skilled and other industrial occupations which are non-apprenticeable and which may be learned thru practical training on the job in a relatively short period of time which shall not e!ceed 1 mos.

L'*(n'() in 0i'3'1,(:< in3'n%i2' - rate jobs are to be paid in full for the work done.

CHAPTER III HANDICAPPED WORKERS

 ART 7E. DEFINITION
 HANDICAPPED WORKERS - Are those whose '*(nin6 3*0*3i%4 i) i50*i('+ by age or physical or mental deficiency or injury. 4ubject to the provisions of the Code, &*n+i3*00'+ 1,(:'() 5*4 .' &i('+ *) ('6-/*( 1,(:'(); *00('n%i3') ,( /'*(n'() if their &*n+i3*0 i) n,% )-3& *) %, '$$'3%i2'/4 i50'+' %&' 0'($,(5*n3' ,$ H,. ,0'(*%i,n) in the particular occupations for which they were hired. ualified disabled employee shall be )-.H'3% %, %&' )*5' %'(5) *n+ 3,n+i%i,n) ,$ '50/,45'n% and the same compensation, privileges, benefits, fringe benefits, incentives or allowances as a ualified able-bodied person. 2ven a handicapped worker 3*n *3J-i(' %&' )%*%-) ,$ * ('6-/*( '50/,4''.

APPRENTICESHIP
&. 3ractical training on the job supplemented by related theoretical instruction.

LEARNERSHIP
&. 8iring of persons as trainees in semi-skilled and other industrial occupations which are nonapprenticeable and which may be learned thru practical training on the job in a relatively short period of time. /. 3ractical training on the job not to e!ceed 1 mos.

/. %ot less than 1 months practical training on the job but not more than 9 months 1. %o Commitment to hire

 D-(*%i,n ,$ '50/,45'n% - no minimum, no ma!imum. ;ependent on agreement but is necessary that there is a specific duration

BOOK THREE CONDITIONS OF EMPLOYMENT

1. 6ith Commitment to employ the

TITLE I WORKING CONDITIONS AND REST PERIODS CHAPTER I HO RS OF WORK

 ART E2. COVERAGE  ELEMENTS OF EMPLOYEREMPLOYEE RELATIONSHIP!

 MANAGERIAL EMPLOYEES - -efer to those whose primary duty consists of the management of the establishment in which they are employed or of a department or subdivision thereof and to other members of the managerial staff  N,%'! ;efinition applies only to the ?hour $abor law  FIELD PERSONNEL - -efer to nonagricultural employees who regularly perform their duties away from the principal place of business or branch office of the employer and whose actual hours of work in the field cannot be determined with reasonable certainty.  WORKERS PAID BY RES LTS - +ethod of computing compensation based on the work completed and not on the time spent in working.  PIECE-RATE METHOD - 6here pay is dependent on unit of product finished, preferred where the work process is repetitive and the out put is standardi#ed and easily countable. DOMESTIC HELPERS< PERSONS RENDERING PERSONAL SERVICES - 3erform services in the employers home which are usually necessary and desirable for the maintenance or enjoyment thereof, or ministers to the personal comfort, convenience or safety of the employer, as well as the members of the employerAs household. "he e!istence of employment relationship is +'%'(5in'+ .4 /*1 and not by contract. 6hether or not an employer-employee relationship e!ists between the parties is a J-')%i,n ,$ $*3%. T&' $in+in6) ,$ %&' NLRC *(' *33,(+'+ n,% ,n/4 (')0'3% .-% $in*/i%4 i$ )-00,(%'+ .4 )-.)%*n%i*/ '2i+'n3'.

&. selection and engagement of the employee /. the payment of wages 1. the power of dismissal ). the employerAs power to control the employee *with respect to the means and methods by which the work is to be accomplished, "he last element as mentioned above is what is known as the CONTROL TEST whether the employer controls or has reserved the right to control the employee not only as to the result of the work to be done but also as to the means and methods by which the same is to be accomplished. "his last element is the most important inde! of the e!istence of the relationship.

 EMPLOYEE - A natural person who is hired, directly or indirectly, by a natural or juridical person to perform activities related to the business of the NhirerH who, directly or through an agent, supervises or controls the work performance and pays the salary or wage of the hire.

 E50/,4'') E7'50% $(,5 %&' B'n'$i%) ,$ E-E R'/*%i,n)&i0

&. /. 1. ). @overnment 2mployees +anagerial 2mployees Dield 3ersonnel Damily +embers dependent on the employer for support 5. ;omestic 8elpers 9. 3ersons on the 3ersonal 4ervice of another (. 6orkers 3aid by -esult  GOVERNMENT EMPLOYEES - -efers only to employees of government agencies, instrumentalities or political subdivisions and of government corporations that are no" incorporated under the Corporation Code, meaning those which have original charters.

 MANAGEMENT PREROGATIVE - e!cept as otherwise limited by special laws, an employer is free to regulate, according to his own discretion and judgment, all aspects of employment, including hiring, work assignments, working methods, time, place, and manner of work, tools to be used, processes to be followed, supervision of workers, working regulations, transfer of employees, work supervision, lay-off of workers and discipline, dismissal and recall of workers. +anagement prerogative ('3,6niG') %&' (i6&% ,$ %&' '50/,4'( %, *+2*n3' i%) in%'(')% to prescribe standards of work and impose reasonable uotas or work

assignments, and failure on the part of the employees to meet the re uirement, impose in good faith, constitutes a just cause for his dismissal. N'1 ,1n'(<5*n*6'5'n% 6(,-0 has n, ,./i6*%i,n %, ('-'50/,4 1,(:'() 1&, $(''/4 *n+ 2,/-n%*(i/4 *33'0%'+ %&'i( )'0*(*%i,n 0*4 *n+ ,%&'( .'n'$i%). A change of ownership in a business concern is not proscribed by law.

work is with the knowledge of his employer or immediate supervisor ). "he time during which an employee is inactive by reason of interruptions in his work beyond his control shall be considered time either if the imminence of the resumption of work re uires the employeeAs presence at the place of work or if the interval is too brief to be utili#ed effectively and gainfully in the employeeAs own interest. - .nly the ma!imum is prescribed, not minimum. P*(%- %i5' 1,(: i) %&'('$,(' n,% 0(,&i.i%'+.

 ART E". NORMAL HO RS OF WORK

- 4hall n,% '73''+ E &,-() in a regular working day

 ENGAGED TO WAIT - when waiting is an integral part of the job, it is compensable  WAITING TO BE ENGAGED - idle time is not working time, not compensable

 P RPOSE
to safeguard the health and welfare of the laborer and in a way to minimi#e unemployment by utili#ing different shifts

 REG LAR WORKING DAYS! "he regular working days of covered employees shall not be more than five days in a workweek. "he workweek may begin at any hour and on any day, including 4aturday or 4unday, designated by the employer.  ART E#. HO RS WORKED

 WHEN COMPENSABLE!

TRAVEL

TIME

SHALL INCL DE!

&. All time during which an employee is re uired to be on duty or to be at a prescribed workplaceB and /. All time during which an employee is suffered or permitted to work

&. "ravel from home to work- refers to ordinary work travel but where the worker is made to work on an emergency call and travel is necessary in proceeding to the workplace, the time spent on travel is compensable /. "ravel that is all in a dayAs work- time spent by an employee in travel as part of his principal activity, such as travel from jobsite to jobsite during the workday, must be counted as hours worked. 1. "ravel away from home- travel that keeps an employee away from home overnight. W,(: &,-() ,$ )'*5'n are governed by the same rules as land based employees. "hus, they must )&,1 )-$$i3i'n% 0(,,$ that said work is actually performed. R')% P'(i,+) ,$ )&,(% +-(*%i,n +-(in6 1,(:in6 &,-() shall be considered as &,-() 1,(:'+. P('/i5in*(4 *3%i2i%i') 3,50'n)*./' when controlled or re uired by employer and are pursued necessarily and primarily for the employerAs benefit,

 PRINCIPLES IN DETERMINING HO RS WORKED=

&. All hours are hours worked which the employee is re uired to give to his employer, regardless of whether or not such hour are spent in productive labor or involve physical or mental e!ertionB /. An employee need not leave the premises of the workplace in order that his rest period shall not be counted, it being enough that he stops working, may rest completely and may leave his workplace, to go elsewhere whether within or outside the premises of his workplaceB 1. If the work performed was necessary, or it benefited the employer, or the employee could not abandon his work at the end of his normal working hours because he had no replacement, all time spent for such work shall be considered as hours worked if the

 ART E8. MEAL PERIODS

 MEAL PERIODS
&. 4hould not be less than si!ty *9>, minutes, and is time-offGnon-compensable /. 7nder specified cases, may be less than si!ty *9>, minutes, but should not be less

than twenty */>, minutes an must be with full pay. 1. If less than twenty*/>, minutes, it becomes only a rest period and is thus considered as work time  NOTE= 2mployee must be 3,50/'%'/4 ('/i'2'+ $(,5 +-%4. .therwise, it is compensable as hours worked. +ealtime is n,% 3,50'n)*./' E=CEPT in cases where the lunch period or meal time is 0('+,5in*n%/4 )0'n% $,( %&' '50/,4'(A) .'n'$i% or 1&'(' i% i) /')) %&*n 9I 5in-%'). 2mployees may re uest that their 5'*/ 0'(i,+ .' )&,(%'n'+ so that they can leave work earlier that the previously established schedule.

 ART E7. OVERTIME WORK

 OVERTIME PAY- Additional compensation

for work performed beyond eight *?, hours within the workerAs /)-hour workday. 1>J of &1>J if on a special holidayGrest day &. /5J of regular wage if done on a regular workday /. 1>J of &5>J if on special holiday A%; rest day 1. 1>J of />>J if on a regular holiday

 RATIONALE
- employee is given ." pay because he is made to work longer than what is commensurate with his agreed compensation for the statutorily fi!ed or voluntarily agreed hours of labor he is supposed to do. As a rule, 3*nn,% .' 1*i2'+, as it is intended to benefit laborers and employees. 0ut when the waiver is made in consideration of benefits and privileges which may even e!ceed the overtime pay, the waiver may be permitted.

 REF ISITES ! &. "he employees voluntarily agree in writing to a shortened meal period and are willing to waive the overtime pay for such shortened meal periodB /. %o diminution whatsoever in the salary and other fringe benefits of the employees e!isting before the effectivity of the shortened meal periodB 1. 6ork does not involve strenuous physical e!ertion and they are provided with ade uate coffee breaksB ). "he value of benefits is e ual with the compensation due them for the shortened meal period 5. ." pay will become due and demandable after the new time scheduleB and 9. "he arrangement is of temporary duration.  ART E9. NIGHT SHIFT DIFFERENTIAL  NIGHT SHIFT DIFFERENTIAL -Additional compensation of n,% /')) %&*n %'n 0'(3'n% (1IC) of an employeeAs regular wage for every hour of work done between 1I!II PM *n+ 9!II AM, whether or not this period is part of the workerAs regular shift. If work done between 1I PM *n+ 9 AM i) ,2'(%i5' 1,(:, then the &>J night shift differential should be .*)'+ ,n &i) ,2'(%i5' (*%'.

 NOTE! ." pay will not preclude payment of night shift differential pay. M'*/ 0'(i,+) +-(in6 ,2'(%i5' 1,(: i) n,% 6i2'n %, 1,(:'() 0'($,(5in6 ,2'(%i5' for the reason that ." work is usually for a short period ranging from one to three hours and to deduct from the same one full hour as meal period would reduce to nothing the employeeAs ." work.

 WORK DAY - the /)-hour period which commences from the time the employee regularly starts to work. e.g., if the worker starts to work ? am today, the workday is from ?am today up to ? am tom. "he minimum normal working hours fi!ed by the Act n''+ n,% .' 3,n%in-,-) to constitute the legal working day E70(')) *00(,2*/ .4 * )-0'(i,( i) n,% * 0('('J-i)i%' %, 5*:' ,2'(%i5' 1,(: 3,50'n)*./'. 8.62<2-, written authority after office hours during rest days and holidays are re uired for entitlement to compensation. "he right to ." pay 3*nn,% .' 1*i2'+. 4uch waiver is contrary to law and public policy.

 RATIONALE
- it serves as an inducement of employment

 E=CEPTIONS!

&. 6hen the waiver stipulates higher payment or rate of ." payB or /. 6here the contract of employment re uires work for more than eight hours of work at specified wage per day providing for a fi!ed hourly rate or that the daily wages include overtime pay.  COMPRESSED WORKWEEK -allowable under the following conditions= &. It is voluntary on the part of the worker /. "here will be no diminution of the weekly or monthly take-home pay and fringe benefits of the employeesB 1. "he value of the benefits that will accrue to the employees under the proposed schedule is more than or at least commensurate with the one-hour ." pay that is due them during weekdays based on the employeeAs uantification ). "he one-hour ." pay will become due and payable if they are made or permitted to work on a day not scheduled for work on the compressed work week 5. "he work does not involve strenuous physical e!ertion and employees must have ade uate rest periods 5. "he arrangement is of temporary duration.

N C

&. Country is at war or any other nationalGlocal emergency has been declared by the Chief 2!ecutiveGCongress /. %ecessary to prevent loss of lifeGpropertyG in case of actualGimpending emergency in the locality 1. "here is urgent work to be performed on machines, installations, or e uipment in order to avoid serious lossGdamage to the employer or some other causes of similar nature ). 6ork is necessary to prevent lossGdamage to perishable goodsB and 5. where the completion or continuation of the work started before the eighth hour is necessary to prevent serious obstruction or prejudice to the business or operations of the employer. 9. when it is necessary to avail of favorable weather or environmental conditions where performance or uality of work is dependent thereon

 ART BI. REG LAR WAGE

- include the cash wage only, without deduction on account of facilities provided by the employer

 ART EE. NDERTIME NOT OFFSET BY OVERTIME

n+'(%i5' 1,(: ,n *n4 0*(%i3-/*( +*4 )&*// n,% .' ,$$)'% .4 ,2'(%i5' 1,(: ,n *n4 ,%&'( +*4. 3ermission given to the employee to go on leave on some other day of the week shall not e!empt the employer from paying the additional compensation.

CHAPTER II WEEKLY REST PERIOD

 ART B1. RIGHT TO A WEEKLY REST DAY
2mployees should be provided a rest period of n,% /')) %&*n %1'n%4 $,-( (2#) 3,n)'3-%i2' &,-() *$%'( '2'(4 )i7 (9) 3,n)'3-%i2' n,(5*/ 1,(: +*4). 2mployer shall schedule the weekly rest day of his employees subject to collective bargaining agreement. 8owever, the employer shall (')0'3% %&' 0('$'('n3' ,$ '50/,4'') *) %, %&'i( 1'':/4 (')% +*4 1&'n )-3& 0('$'('n3' i) .*)'+ ,n ('/i6i,-) 6(,-n+). 0ut when such preference will prejudice the operations of the undertaking and the employer cannot normally result to other remedial measures, the employer may so schedule the weekly rest day that meets the employeeAs choice for at least two */, days a month

 RATIONALE
An employeeAs regular pay rate is lower than the overtime rate. .ffsetting the undertime hours against the overtime hours would result in undue deprivation of the employeeAs e!tra pay for overtime work. -

 ART EB. EMERGENCY OVERTIME WORK  WHEN WORKER MAY BE REF IRED TO RENDER OT!
(WN NCN)

 ART B2. WHEN EMPLOYER MAY REF IRE WORK ON A REST DAY  WHEN EMPLOYEE MAY BE REF IRED TO RENDER WORK ON A REST DAY!

&. In case of actual or impending emergencies caused by serious accident, fire, flood typhoon, earth uake epidemic or other disaster or calamity, to prevent loss of life or property or in cases of force majeure or imminent danger to public safety /. urgent work to be performed on the machinery, e uipment or installation to avoid serious loss which the employer would otherwise suffer 1. abnormal pressure of work due to special circumstances, where the employer cannot ordinarily be e!pected to resort to other measures ). prevent serious loss of perishable goods 5. nature of work re uires continuous operation for seven days a week 9. work is necessary to avail of favorable weather or environmental conditions where performance or uality of work depends upon them

 ART B#. RIGHT TO HOLIDAY PAY

 HOLIDAY PAY - A dayAs pay given by law to an employee even if he does not work on a regular holiday. It is limited to the ten *&>, regular holidays listed by law. - employee should not have been absent without pay on the working day preceding the regular holiday A(%. B#(.) refers to regular holidays, special holidays are taken care of under Art. '1.  PREMI M PAY - Additional compensation for work performed on a scheduled rest day or holiday.

 REG LAR HOLIDAYS!

&. /. 1. ). 5. 9. (. %ew EearAs ;ay -Ianuary & +aundy "hursday -+ovable date @ood Driday+ovable date Araw ng Cagitingan -April ' $abor ;ay -+ay & Independence ;ay -Iune &/ %ational 8eroes ;ayP-$ast 4unday August ?. 0onifacio ;ay-%ovember 1> '. Christmas ;ay-;ecember /5 &>. -i#al ;ay-;ecember 1> N,%'! C,50'n)*./' -n1,(:'+. 1&'%&'( 1,(:'+

 ART B". COMPENSATION FOR REST DAY; S NDAY OR HOLIDAY WORK

this article does not prohibit a stipulation in the C0A for higher benefits

of

 SPECIAL HOLIDAYS
&. All 4aintAs ;ay -%ovember & /. $ast ;ay of the Eear-;ecember 1& 1. And all other days declared by law or ordinances to be a special holiday or nonworking day NOTE= 1,(:'+ O regular wage plus 1>J premium pay n,% 1,(:'+ O none

,(

 DO BLE HOLIDAY PAY

/>>J of the basic wage pro'ided, he works on that day and was present or on leave with pay on the preceding workday. If on leave without pay, rate still applies if leave is authori#ed. 2. )>>J if he worked F as per ;.$2 +emo if there are / regular holidays in one day eg. April ' and @ood Driday. Pro'ided the employee worked on the day prior to the regular holiday or on leave with pay or on authori#ed absence. 1. If there are two succeeding holidays eg., +aundy "hursday and @ood Driday, the employee must be present the day before the scheduled regular holiday to be entitled to compensation to both otherwise, he must work on the first holiday to be entitled to holiday pay on the second regular holiday. 1.

 ADDITIONAL COMPENSATION FOR WORK ON A REST DAY; S NDAY OR HOLIDAY WORK!

&. 6ork on a scheduled rest day - 1>J of regular wage /. %o regular workdays and rest days -1>J of regular wage for work on 4undays : 8olidays 1. 6ork on 4pecial 8olidays -1>J of regular wage ). 8oliday 6ork falls on 4cheduled -est ;ay 5>J of regular wage

CHAPTER III HOLIDAYS; SERVICE INCENTIVE LEAVES AND SERVICE CHARGES

REG LAR HOLIDAY

- compensable even

SPECIAL HOLIDAY
- not compensable if

if unworked subject to certain conditions - limited to the &> enumerated by the $C - rate is twice the regular rate if worked

unworked - not e!clusive since law may provide for other special holidays - rate is &1>J if worked

considered in%'6(*%'+ in %&'i( 1*6') on the basis of the average monthly share of each employee for the past &/ months immediately preceding the abolition.

TITLE II WAGES CHAPTER I PRELIMINARY MATTERS

 ART B7. DEFINITION
 WAGE - the remuneration or earnings, however designated, capable of being e!pressed in terms of money, whether fi!ed or ascertained on a time, task, piece, or commission basis or other method or calculating the same, which is payable by an employer to an employee under a written or unwritten contract of employment for work done or to be done or for services rendered or to be rendered and includes the fair and reasonable value of board, lodging, or other facilities customarily furnished by the employer to the employee. FAIR DAYAS WAGE FOR A FAIR DAYAS LABOR - if there is no work performed by the employee, there can be no wage or pay unless the laborer was able, willing, and ready to work but was prevented by management or was illegally locked out, suspended or dismissed.

 ART B8. RIGHT INCENTIVE LEAVE

TO

SERVICE

 SERVICE INCENTIVE LEAVE (SIL) - Dive *5, days leave with pay for every employee who has rendered at least one *&, year of service.

 B T DOES NOT APPLY TO THOSE WHO ARE=

already enjoying the said benefitsB or enjoying vacation leave with pay for at least 5 days those employed in establishments regularly employing less than &> employees those employed in establishments e!empted from granting this benefit by the 4ecretary of $abor.  ONE (1) YEAR OF SERVICE.- service within &/ months, whether continuous or broken, reckoned from the date the employee started working including authori#ed absences and paid regular holidays unless the number of working day in the establishment as a matter of practice or policy, or provided in the employment contract is less than &/ mos. 4I$ is commutable i.e., 3,n2'(%i./' %, 3*)&- %&' 3*)& 'J-i2*/'n% is aimed primarily at encouraging workers to work continuously and with dedication to the company.

WAGE
- compensation manual labor %ot subject e!ecution for

SALARY
- denotes higher degree of employment - subject to e!ecution *@aa vs. CA,

to

 FACILITIES F shall include all articles or

services for the benefit of the employee or his family but shall not include tools of the trade or articles or services primarily for the benefit of the employer or necessary to the conduct of the employerAs business.

 ART B9. SERVICE CHARGES

TO BE DISTRIB TED TWICE MONTH AND AT THE RATE OF!

&. ?5J for all covered employees to be e ually distributed among them /. &5J for management *may answer for losses and breakages or distributed to management, If collection of service charges is *.,/i)&'+, the share of covered employees shall be

FACILITIES

S PPLEMENTS

- Are items of e!pense necessary for the laborerAs and his familyAs e!istence and subsistence

- Constitute e!tra remuneration or special privileges or benefits given to or received by the laborers over and above their ordinary earnings wages - independent of the wage - not wage deductible

1. It is not due to an error in the construction Gapplication of a doubtful or difficult uestion of law. 0ut even in cases of error, it should be shown that the correction is being done soon after the discovery of the error. benefit given under certain conditions, such as success of the business or greater production or output. As a rule, it is an amount granted voluntarily to an employee for his industry and loyalty which contributed to the success and reali#ation of profits of the employerAs business. "herefore, from a legal point of view, it is not a demandable and enforceable obligation. ,nless, it was promised to be given without any conditions imposed for its payment, as such, it is deemed part of the wage.  1"TH MONTH PAY (OR KITS EF IVALENTL) -additional income based on wage re uired by 3.;. ?5& which is e uivalent to &G&/ of the total basic salary earned by an employee within a calendar year. - may be given anytime but not later than ;ec. /)

 BON S - A supplement or employment

- part of the wage - deductible from the wage

 ART. BE. APPLICATION OF TITLE  T&i) Ti%/' )&*// n,% *00/4 %, %&' $,//,1in6!
&. household or domestic helpers /. homeworkers engaged in needle-work 1. workers employed in any establishment duly registered with the %ational Cottage Industry ). 6orkers in any duly registered cooperatives

CHAPTER II MINIM M WAGE RATES

 ART 1II. PROHIBITION AGAINST ELIMINATION OR DIM NITION OF BENEFITS  LEGAL REFATS. BEFORE FACILITIES CAN BE DED CTED FROM THE EMPLOYEESA WAGES!
&. 3roof that such facilities are customarily furnished by the trade B /. <oluntarily Accepted in writing by the employee 1. Charged at Dair : -easonable <alue  THE NON-DIMIN TION R LE -the benefits being given to employees cannot be taken back or reduced unilaterally by the employer because the benefit has become part of the employment contract, written or unwritten.

COVERAGE!
- All rank-and-file employees regardless of their designation or employment status and irrespective of the method by which their wages are paid, are entitled to this benefit, pro'ided, that they have 1,(:'+ $,( *% /'*)% ,n' (1) 5,n%& +-(in6 %&' 3*/'n+*( 4'*(.

FORMS!
&. /. 1. ). Christmas bonus midyear bonus profit sharing paymentsB and other cash bonuses amounting to not less than &G&/ of its basic salary. ;ifference of opinion on how to compute the &1th month pay does not justify a strike It must always be in the form of /'6*/ %'n+'( . Dree rice, electricity cash and stock dividends, C.$A not e uivalent

T&' (-/' i) *00/i3*./' i$ i% i) )&,1n %&*% %&' 6(*n% ,$ %&' .'n'$i% i)!
&. based on an e!press policy, or /. has ripened into practice over a long period of time, and the practice is consistent and deliberate.

 ART 1I1. PAYMENT BY RES LTS

 CATEGORIES OF PIECE-RATE WORKERS!

&. those who are paid piece rates as prescribed in 3iece -ate .rders by the ;.$2 /. "hose who are paid output rates which are prescribed by the employer and are not yet approved by the ;.$2  WORKERS PAID ON PIECE-RATE BASIS shall refer to those who are paid a standard amount for every piece or unit of work produced that is more or less regularly replicated, without regard to the time spent in producing the same.

 ART 1I". TIME OF PAYMENT  WHEN TO PAY!

at least once every two */, weeks or twice a month at intervals not e!ceeding si!teen *&9, days $,(3' 5*H'-(' or ,%&'( 3i(3-5)%*n3') .'4,n+ %&' '50/,4'(A) 3,n%(,/, payment must be made immediately after such occurrence have ceased.

 ART.1I#. PLACE OF PAYMENT  WHERE TO PAY!

4hall be made at or near the place of undertaking,

BENEFITS PAYABLE TO PIECE-RATE WORKERS!

&. Applicable statutory minimum daily rateB /. Eearly service incentive leave of five days with payB 1. %ight shift differential pay ). 8oliday pay 5. +eal and rest periods 9. ." pay *conditional, (. 3remium pay *conditional, 8. &1th month pay '. other benefits granted by law, individual or collective bargaining agreement or company policy or practice.

 E=CEPTIONS!
&. 6hen payment cannot be effected at or near the place of work by reason of deterioration of peace and security /. 6hen the employer provides for free transportation to the employees back and forthB 1. And under analogous circumstances payment of wages in bars, night or day clubs, massage clinics or similar establishments are prohibited e!cept for the workers therein.

CHAPTER III PAYMENT OF WAGES

 ART 1I2. FORMS OF PAYMENT  EMPLOYER CANNOT PAY HIS WORKERS BY MEANS OF!
&. /. 1. ). 5. 9. (. promissory notes vouchers coupons tokens tickets chits or any object. payment by legal tender

PAYMENT THR REF ISITES !

BANKS!

&. "here must be written permission of the majority of the employees concerned in an establishmentB /. "he establishment must have /5 or more employeesB and 1. "he bank must be located within one kilometer radius to the bank from the location of the establishment - payment through the A"+ is allowed

GENERAL R LE!
E=CEPTIONS! - checks or money orders may be paid if= &. the same is customary on the date of effectivity of the $CB /. necessary because of special circumstancesB or 1. as stipulated in the C0A

ART 1I8. DIRECT PAYMENT OF WAGES

 TO WHOM PAID

wages shall be paid directly to the workers to whom they are due.

standards, free e!ercise of the right to selforgani#ation, security of tenure and social and welfare benefits. S-.)%*n%i*/ 3*0i%*/ n''+ n,% .' 3,-0/'+ 1i%& in2')%5'n% in %,,/) ,( 'J-i05'n%. "his is clear from the use of the conjunction K,(L. ?OB C O NT R A CT IN G &. %o 2- 2 relationship e!ist between employer and the contractorAs employee e!cept when the contractor or subcontractor fails to pay the wages of his employees /. liability is limited to unpaid wages and other labor standards violations LABOR ONLY CONTRACTING

 E=CEPTIONS!
a. in case of force majeureGspecial circumstances, payment may be made through another person under written authority where the worker has died, the b. employer may pay the wages of the deceased worker to the heirs of the latter, through the 4ecretary of $abor or his representative, without the necessity of intestate proceedings, after the heirs have e!ecuted an affidavit attesting to their relationship to the deceased and the fact that they are his heirs to the e!clusion of all others

 ART 1I9. CONTRACTOR OR S BCONTRACTOR

 LABOR ONLY CONTRACTING - where the person supplying workers to an employer does not have )-.)%*n%i*/ 3*0i%*/ ,( in2')%5'n% in the form of tools, e uipment, machineries, work premises, among others, and the workers recruited and placed by such persons are performing activities which are directly related to the principal business of such employer.  INDEPENDENT CONTRACTOR - one who e!ercises independent employment and contracts to do a piece of work according to his own methods and without being subject to control of his employer e!cept as to the result thereof. A 5'(' )%*%'5'n% in * 3,n%(*3% with a company that laborers who are paid according to the amount and uality of work are independent contractors +,') n,% 3&*n6' %&'i( )%*%-) *) 5'(' '50/,4'') in 3,n%'50/*%i,n ,$ /*.,( /*1).

&. 2mployer is treated as direct employer of the person recruited in all instances

/. liable to all rights duties and liabilities under labor standards laws including the right to self- organi#ation 1. 3rohibited by law ). Contractor has no substantial capitalG investment

1. 3ermissible ). Contractor has substantial capital or investment

 REF ISITES FOR A CONTRACTING OR S BCONTRACTING TO BE !

&. where the contractor or subcontractor carries on a distinct and independent business and undertakes to perform the job on his own account and under his own responsibility, according to its own manner and method and free from the control and direction of the principal in all matters connected with the performance of the work e!cept as to the results thereofB /. the contractor or subcontractor has substantial capital or investmentB and 1. the agreement between the principal and contractor or subcontractor assures the contractual employees entitlement to all labor and occupational safety and health

 WORKING CONDITIONS - -efers to the terms and circumstances affecting the employment of an employee, including policies, programs and regulations governing his employment status, work, and work relationships. "hey are, as a rule, determined by the employer.

 ART. 11I. WORKER PREFERENCE IN CASE OF BANKR PTCY

"his Article did not sweep away the overriding preference accorded under the

scheme of the Civil Code to ta! claims of the government. just a preference, must yield to special preferred credit, e.g. secured creditors "he $,(5*/ +'3/*(*%i,n ,$ in),/2'n34 ,( .*n:(-0%34 ,( * H-+i3i*/ /iJ-i+*%i,n ,$ %&' '50/,4'(A) .-)in')) is a condition sine ua non to the operation of the preference accorded to workers under Art. &&>.

 ART 11". WAGE DED CTION  ALLOWABLE DED CTIONS!

WITH EMPLOYEES CONSENT! &. /. 1. ). 5. 444 3ayments +2;ICA-2 Contributions to 3A@-I0I@ Dunds value of meals and others payments to third persons with employees consent 9. deduction of absences W<O T EMPLOYEES CONSENT! &. 6orkerAs insurance ac uired by the employer /. 7nion ;ues, where the right to check-off has been recogni#ed by the employer 1. Cases where the employer is authori#ed by law or regulations issued by the 4ecretary of $abor ). debts of the employee to the employer which have become due and demandable

CHAPTER IV PROHIBITIONS REGARDING WAGES

 ART 112. NON-INTERFERENCE IN DISPOSAL OF WAGES In ('/*%i,n %, %&' Ci2i/ C,+'!
A(%. 17I8. "he laborerAs wages shall be paid in legal currency. A(%. 17I9. 6ithholding of the wages e!cept for a debt due, shall not be made by the employer A(%. 17I7. "he laborerAs wages shall be a lien on the goods manufactured or the work done. A(%. 17IE. "he laborerAs wages shall not be subject to e!ecution or attachment e!cept for debts incurred for food, shelter, clothing, and medical attendance. A(%. 17IB. "he employer shall neither sei#e nor retain any tool or other articles belonging to the laborer.

 ART 11#. DEPOSITS FOR LOSS OR DAMAGE

D'0,)i%) $,( L,)) ,( D*5*6' to tools, materials and e uipment supplied by the employer )&*// n,% .' 5*+', E=CEPT when the trade, occupation or businesses of the employer recogni#es, or considers the 0(*3%i3' of making deductions or re uiring deposits necessary or desirable.

 PROHIBITIONS REGARDING WAGES!

&. 3ayment of wages with less fre uency than once *&, a month. /. $imitationsGInterference by the employer with the employees freedom to dispose of his wages. 1. Dorcing, CompellingG.bliging employees to purchase merchandise , commodities or other properties from the employer or from any other person, or to make use of any store or service of such employer or any other person ). 6ithholding of wages 5. ;eduction of wages as consideration of a promise of employment or retention in employment 9. -efusal to payG -eduction of wages and benefits, dischargeG discrimination against any employee as retaliatory measures against any employee who has filed any complaint or instituted any proceedings against his employer

 REF ISITES FOR DED CTION FOR LOSS OR DAMAGE ! &. employee clearly shown responsible /. opportunity to show cause to show why
deduction should not be made

1. deduction is fair and reasonable and shall

not e!ceed the actual loss or damage

). does not e!ceed />J of the employees

wages in a week.

CHAPTER V WAGE ST DIES; WAGE AGREEMENTS AND WAGE DETERMINATION

 ART 122. CREATION OF THE REGIONAL TRIPARTITE WAGES AND PROD CTIVITY BOARDS

 WHO MAY SET MINIM M WAGE!

&. -egional "ripartite 6ages and 3roductivity 0oard /. Congress MINIM M WAGE - "he lowest wage rate fi!ed by law that an employer can pay his employees.

distinctions embodied in such wage structure based on skills, length of service or other logical bases of differentiation.  CORRECTING WAGE DISTORTION

ni,niG'+ E)%*./i)&5'n%
&. %egotiate to correct the distortion. /. Any dispute arising therefrom should be resolved through grievance procedure under their C0A. 1. If the dispute remains unresolved, through voluntary arbitration. E)%*./i)&5'n%) 1i%&,-% ni,n)

 ART. 12" WAGE ORDER

 WAGE ORDER F an order issued by the -egional 0oard whenever the conditions in the region so warrant after investigating and studying all pertinent facts and based on the standards and criteria prescribed by the $C, the -egional 0oard proceeds to determine whether to issue the same or not.  EFFECTIVITY ,$ * 1*6' O(+'( F it shall take effect after &5 days from the its complete publication in at least one newspaper of general circulation in the region.  FREF ENCY ,$ * 1*6' ,(+'( - 6age .rder issued by the 0oard may not be disturbed for a period of &/ months from its effectivity and no petition for wage increase shall be entertained during said period. E=CEPTION= 6hen Congress itself issues a law increasing wages.

&. "he employers and workers shall endeavor to correct the distortion. /. Any dispute arising therefrom shall be settled through the %C+0 and 1. If it remains unresolved after &> days of conciliation, it shall be referred to the %$-C. W*6' +i)%,(%i,n i) n,n- )%(i:'*./'.

 Is the employe le!"lly o#l$!e% to t y & 'o e't " ("!e %$sto t$o)*
I% *00'*() ),. A(%i3/' 12# ,$ %&' C,+' provides that N the employer and the union shall negotiate to correct the distortions.H If there is no union, N the employer and the workers shall endeavor to correct such distortions.

 ART 12#. STANDARDS<CRITERIA FOR MINIM M WAGE FI=ING  FACTORS FOR DETERMINING REGIONAL MINIM M WAGE RATES (DACNNIPFEE)
&. ;emand for living wagesB /. 6age Adjustment vis-a vis the consumer price inde!B 1. Cost of living and changes or increases thereinB ). %eeds of workers and their familiesB 5. %eed to induce industries to invest in the countrysideB 9. Improvements in standards of livingB (. 3revailing wage levelsB ?. Dair -eturn of the capital invested and capacity to pay of employersB '. 2ffects on 2mployment @eneration and Damily IncomeB &>. 2 uitable ;istribution of Income : 6ealth along the imperatives of economic and social development  WAGE DISTORTION - situation where an increase in prescribed wage rates results in the elimination or severe contraction of intentional uantitative differences in wage or salary rates between and among employee groups in an establishment as to effectively obliterate the

 M+st the p e,$o+s p"y !"ps #e esto e%*

6hile that is the aim, it need not necessarily be restored to the last peso. An *00('3i*./' +i$$'('n%i*/, a significant pay gap should suffice as correction of the distortion.

CHAPTER VII ADMINISTRATION AND ENFORCEMENT

 ART. 12E. VISITORIAL AND

ENFORCEMENT POWER  ART. 12B. RECOVERY OF WAGES; SIMPLE MONEY CLAIMS AND OTHER BENEFITS
n+'( A(%. 12B, the -egional ;irector is empowered through summary proceeding and after due notice, to hear and decide cases involving recovery of wages and other monetary claims and benefits, including legal interests.

 REF ISITES !
&. "he claim is presented by an employee or person employed in domestic or household service or househelperB /. "he claim arises from employer-employee relationsB 1. "he claimant does not seek reinstatementB and ). "he aggregate money claim of each employee or househelper does not e!ceed 35, >>>.>> A33')) %, '50/,4'(A) ('3,(+) *n+ 0('5i)') the dayGnight whenever work is being undertaken therein includes the right to copy therefrom, to uestion any employee : investigate any fact, condition or matter which may be necessary to determine violations or which may aid in the enforcement of the Code and of any labor law, wage order, or rules and regulations I))-' C,50/i*n3' O(+'() (ART. 12E) based on the findings of labor employment and enforcement officers or industrial safety engineers made in the course of inspection I))-' W(i%) ,$ E7'3-%i,n (ART. 12E) for the enforcement of orders e-'ept in cases where the employer contests the findings of the said labor officers and raises issues supported by documentary proofs which were not considered in the course of inspection. O(+'( W,(: S%,00*6'<S-)0'n)i,n ,$ O0'(*%i,n) when non-compliance with the law or implementing rules and regulations poses grave : imminent danger to the health and safety of the workers in the workplace. C,n+-3% H'*(in6) 1i%&in 2# &,-() to determine whether an order for stoppage of workGsuspension of operations shall be lifted or not. employer shall pay the employees concerned their salaries in case the violation is attributable to his fault R'J-i(' '50/,4'() %, :''0 *n+ 5*in%*in E50/,45'n% R'3,(+) - as may be necessary in aid of his visitorial and enforcement powers

&. <isitorial and enforcement power of the 4ecretary of $abor Ghis duly authori#ed representatives e!ercised through routine inspections of establishments /. re uires the e!istence of 2-2 -elationship

&. 3ower of the -egional ;irector or any duly authori#ed hearing officers to hear and decide matters involving the recovery of wages, upon complaint of any interested party /. 2-2 relationship not necessary since it should not include a claim for reinstatement 1. Aggregate claim of each complainant does not e!ceed 35,>>> ). Appeal with %$-CB period of appeal is 5 calendar days

1. %o limit as to amount of claim

). Appeal is with 4ec.of $abor B period of appeal is &> calendar days 5. 3erson e!ercising the power is the 4ec. .f $abor or any of his duly authori#ed representatives who may or may not be a regional director

5. "he power is vested upon a regional director or any duly authori#ed hearing officer of the ;.$2.

TITLE III WORKING CONDITIONS FOR SPECIAL GRO P OF EMPLOYEES CHAPTER I EMPLOYMENT OF WOMEN
 ART 1"I. NIGHTWORK PROHIBITION
N, 1,5*n , regardless of age, shall be employed or permitted or suffered to work, with or without compensation in any =

ART 12E

ART 12B

&. Industrial undertaking between &>3+-9A+ /. CommercialG%on-Industrial undertaking between &/ +%-9A+ 3. Agricultural undertaking at nighttime unless, she is given a period of rest of not less than ' consecutive hours

 ART 1"1. E=CEPTIONS &. ActualGImpending 2mergencies caused by serious accident, flood, typhoon, epidemic or other disasters or calamity, to prevent loss of life or property, or in cases of force majeure or imminent danger to public safety /. 7rgent work to be performed on machineries, e uipment or installation, to avoid serious loss 1. 6ork is necessary to prevent serious loss of perishable goods ). 6here she holds a responsible position of managerialGtechnical natureGengaged to provide health and welfare service 5. %ature of the work re uires the manual skill and de!terity of women workers : cannot be performed with e ual efficiency by male workers 9. 6here women workers are immediate family members of the family operating the establishment or undertaking (. Analogous cases  ART 1"2. FACILITIES FOR WOMEN "he 4ecretary of $abor may re uire employers to= &. 3rovide seats proper for women and permit them to use the seats when they are free from work or during office hours provided the uality of the work will not be compromisedB /. "o establish separate toilet rooms and lavatories for men and women and provide at least a dressing room for womenB 1. "o establish a nursery in the establishmentB ). "o determine appropriate minimum age and other standards for retirement or termination in special occupations such as those of flight attendants and the like &. 2mployee notified her employer of her pregnancy of the probable date of her childbirth /. Dull payment be advanced by the employer within 1> days from the filing of the maternity leave application 1. "hat payment of daily maternity benefits shall be a bar to the recovery of sickness benefits ). "hat the maternity benefits shall be paid only for the first four *), deliveries or miscarriages 5. "hat the 444 shall immediately reimburse the employer of &>>J of the amount of maternity benefits advanced to the employee by the employer 9. "hat if an employee member should give birth or suffer a miscarriage without the re uired contributions having been remitted for her by her employer to the 444, or without the latter having been previously notified by the employer of the time of the pregnancy, the employer shall pay to the 444 damages e uivalent to the benefits which said employee member would otherwise have been entitled to. ART 1"" (.) )-.)i)%), i.e., the maternity leave shall be e!tended without pay on account of illness medically certified to arise out of the pregnancy, delivery, abortion, or miscarriage, which renders the woman unfit for work , unless she has earned unused leave credits from which such e!tended leave may be charged.

 LIMIT OF THE BENEFIT! Applies only for the first four deliveries irrespective of who is the father of the children, and may not be availed of in addition to sickness benefit under the 4ocial 4ecurity program.  RA E1E7 (PATERNITY LEAVE)

 ART. BENEFITS

1""

MATERNITY

LEAVE

 MATERNITY LEAVE NDER THE SSS LAW A female member, who need not be legally married, who has paid for *% /'*)% %&('' (") 5,n%&/4 3,n%(i.-%i,n) in the &/-month period immediately preceding the semester of her childbirth or miscarriage shall be paid a daily maternity benefit e uivalent to &>>J of her average daily salary credit for 9> days or (? days, in case of caesarian delivery.

"his law grants paternity leave of )'2'n +*4 1i%& $-// 0*4 to all married male employees in the private and public sectors.

- It is available only for the $i()% $,-( +'/i2'(i') ,$ %&' /'6i%i5*%' )0,-)' with whom the husband is cohabiting.

DELIVERY F includes childbirth, miscarriage, or abortion. P-(0,)'= to enable the husband to lend support to his wife during the period of recovery andGor in the nursing of the newly born child.

REF ISITES !

 CONDITIONS !
&. he is an employee at he time of the delivery of his childB /. he is cohabiting with his spouse at the time she gives birth or suffers a miscarriageB 1. he has applied for paternity leave B and ). his wife has given birth or suffered a miscarriage 3aternity leave, if not availed of, is n,% 3,n2'(%i./' %, 3*)&.

/. 1.

the above acts would impair the employeeAs rights or privileges under e!isting labor laws or "he above acts would result in an intimidating, hostile, or offensive environment *4ec. 1QaR, -A %o. (?((,

 ART 1"9. STIP LATION AGAINST MARRIAGE

- it shall be unlawful for an employer to re uire as a condition for employment or continuation of employment that a woman employee shall not get married, or to stipulate e!pressly or tacitly that upon getting married a woman employee shall be deemed resigned or separated, or to actually dismiss, discharge, discriminate or otherwise prejudice a woman employee merely by reason of her marriage.

WIFE - refers to the lawful wife which means the woman who is legally married to the male employee concerned. 6here the male employee is already enjoying the paternity leave by reason of any law, decree, e!ecutive orders or any contract, agreement or policy between employer and employee and the e!isting paternity benefit is greater, %&' 6('*%'( .'n'$i% )&*// 0('2*i/D i$ /'))'(; %&' '7i)%in6 .'n'$i% )&*// .' *+H-)%'+ %, %&' '7%'n% ,$ %&' +i$$'('n3'.

 ART 1"E. CLASSIFICATION CERTAIN WOMEN WORKERS

-

OF

 ART 1"8. PROHIBITED

-

DISCRIMINATION

It shall be unlawful for any employer to discriminate against any woman employee with respect to terms and conditions of employment solely on account of her se!.

Any woman who is permitted to work or suffered to work, with or without compensation, in any night club, cocktail lounge, massage clinic, bar or similar establishment, under the effective control or supervision of the employer for a substantial period of time as determined by the 4ecretary of $abor, shall be considered as an employee of such establishment for purposes of labor and social legislation.

 A3%) ,$ Di)3(i5in*%i,n! a. 3ayment of a lesser compensation for work

of e ual value.

CHAPTER II EMPLOYMENT OF MINORS

 ART 1"B. MINIM M EMPLOYABLE AGE
Any person between ages &5 and &? may be employed in any non ha#ardous work.

b. Davoring a male employee over a female

employee solely on the account of their se!es.

S'7-*/ H*(*))5'n% in * W,(:-R'/*%'+ ,( E50/,45'n% En2i(,n5'n% !

&. the se!ual favor is made as a condition in the hiring or in the employment, re-employment or continued employment of said individual or in granting said individual favorable compensation, terms, conditions, promotions, or privilegesB or the refusal to grant the se!ual favor results in limiting, segregating or classifying the employee which in anyway would discriminate, deprive or diminish employment opportunities or otherwise adversely affect said employee

 E73'0%i,n *n+ 3,n+i%i,n ,n %&' '50/,45'n% ,$ * 3&i/+ .'/,1 18!

&. 6hen the child works directly under the sole responsibility of hisGher parents or legal guardian who employs members of hisGher family only under the following conditions= a. employment does not endanger the childAs life, safety, health and morals b. employment does not impair the childAs normal development c. the parentGlegal guardian provides the child with the primary andGor secondary education prescribed by ;2C4

/. 6here the childAs employment or participation in public entertainment or information through cinema, theater, radio, or television is essential, provided that= a. employment does not involve advertisements or commercials promoting alcoholic beverages, into!icating drinks, tobacco and its byproducts or e!hibiting violenceB "here is a written contract approved by the ;.$2B and "he conditions prescribed for the employment of minors Sabove statedT are met.

sufficient means in the place where the head of the family lives. &/. at least elementary education &1. employment certification

CHAPTER IV EMPLOYMENT OF HOMEWORKERS

 IND STRIAL HOMEWORK - a system of production under which work for an employer or contractor is carried out by a homeworker at his home.  IND STRIAL HOMEWORKER - a worker who is engaged in industrial homework

b. c.

NONHA>ARDO S WORK OR NDERTAKING F one where the employee is not e!posed to any risk which constitutes an imminent danger to his safety and health.

BOOK FO R HEALTH; SAFETY AND SOCIAL WELFARE BENEFITS TITLE I MEDICAL; DENTAL AND OCC PATIONAL SAFETY CHAPTER I MEDICAL AND DENTAL SERVICES
 ART 189. FIRST-AID TREATMENT
 FIRST-AID TREATMENT F ade uate, immediate, and necessary medical and dental attention or remedy given in case of injury or illness suffered by a worker during employment, irrespective of whether or not such injury or illness is work-connected, before a more e!tensive medical andGor dental treatment can be secured.  FIRST AIDER F any person trained and duly certified as ualified to administer first aid by the 3hil. %ational -ed Cross or by any other organi#ation accredited by the former.

 HA>ARDO S WORKPLACES!
&. 6here the nature of the work e!poses the workers to dangerous environmental elements, contaminants or work conditionsB /. 6here the workers are engaged in construction work, logging, fire-fighting, mining, uarrying, blasting, stevedoring, dock work, deep-sea fishing, and mechani#ed farmingB 1. 6here the workers are engaged in the manufacture or handling of e!plosives and other pyrotechnic productsB ). 6here the workers use or are e!posed to heavy or power-driven machinery or e uipmentB and 5. 6here the workers use or are e!posed to power-driven tools,

CHAPTER III EMPLOYMENT OF HO SEHELPERS

 RIGHTS OF HO SEHELPERS!
&. minimum cash wage /. non-assignment to non- household work 1. opportunity for education= if under &? *cause of education part of compensation, ). boardG lodging, medical attendance 5. just and humane treatment 9. indemnity for unjust termination of services (. just causes for termination ?. right not to be re uired to work more than &> hours a day '. for days vacation each month &>. to regular wages if employed in industrial or commercial or agricultural undertaking &&. funeral e!penses must be paid by employer if the househelper has no relatives with

TITLE II EMPLOYEESA COMPENSATION AND STATE INS RANCE F ND

 WORKMENAS COMPENSATON- A general and comprehensive term applied to those laws providing for compensation for loss resulting from the injury, disablement or death of a workman through industrial accident, casualty or disease.  COMPENSATION - +oney relief afforded according to the scale established under the statute as differentiated from compensatory damages recoverable in an action at law for

breach of contract or for tort.

6.-C+2%A4 C.+32%4A"I.% AC" &. "here is a presumption of compensability /. there is a presumption of aggravation 1. there is a need for the employer to controvert the claim within &) days otherwise he is deemed to have waived the right ). payment of compensation made by the employer

2+3$.E224 C.+32%4A"I.% $A6 &. no presumption of compensability /. no presumption of aggravation 1. no need for the employer to controvert

 C,n+i%i,n) $,( *n ,33-0*%i,n*/ +i)'*)' *n+ %&' (')-/%in6 +i)*.i/i%4 ,( +'*%& %, .' 3,50'n)*./' !
&. "he employeeAs work must involve the risk described therein /. "he disease was contracted as a result of the employeeAs e!posure to the described risksB 1. "he disease was contracted within a period of e!posure and under such other factors necessary to contract itB ). "here was no notorious negligence on the part of the employee  DEATH or sickness $oss of life resulting from injury

 DISABILITY -$oss or impairment of a physical or mental function resulting from injury or sickness. ). payment of compensation made by 444G@4I4 through the 4tate Insurance Dund  DIRECT PREMISES R LE @ as a general rule, the accident should have occurred at the place of work to be compensable

 E=CEPTIONS TO THE DIRECT PREMISES R LE

1. INGRESS- EGRESS< PRO=IMITY R LEwhen the employer is about to leave or about to enter the premises of the employer by way of the customary or e!clusive means of ingress or egress. GOING TO OR COMING FROM WORKwhen the injury occurred when the employee is proceeding to or from his work on the premises of the employer must be * 3,n%in-in6 *3% and has not diverted therefrom by any other activity and he has not departed from his usual route to or from his workplace and if the employee is on a special errand, it must have been official and in connection with his work. bus rule, where the company provides the means of transportation in going to or coming from the place of work is liable to the injury sustained by the employees while on board said means of transportation.

 ART 19#. DEFINITION OF TERMS.

 IN? RY - Any harmful change in the human organism from any accident arising out of and in the course of employment.

 GRO NDS FOR AN IN? RY TO BE COMPENSABLE

&. the employee must have been injured at the place where the work re uires him to be /. the employee must have been performing his official functions 1. if the injury is sustained elsewhere, the employee must have been e!ecuting an order for the employer ). the injury was not due to the employeeAs into!ication, willful intention to injure or kill himself or another, notorious negligence or otherwise prohibited under this "itle.  SICKNESS - Any illness definitely accepted as an occupational disease listed by the Commission ,( any illness caused by employment subject to proof that the risk of contracting the same is increased by working conditions.

2.

1. E=TRA-PREMISES R LE F *or the shuttle

). SPECIAL

ERRAND R LE F injury sustained outside the company premises is compensable if his being out is covered by

an office order or a locator slip or a pass for official business.

/. 1. ).

5. D AL P RPOSE DOCTRINE F allows

compensation where a special trip would have to be made for the employer if the employee had not combined the service for the employer with his own going or coming trip.

6illful intention to injure or kill himself or anotherB %otorious negligenceB or 7nless otherwise provided by the $C

 NOTORIO S NEGLIGENCE Fdeliberate act of the employee to disregard his own personal safety.  Is %e"th th o+!h s+$'$%e 'ompe)s"#le * As a rule %.. 8owever as held in NAESS 2). NLRC, the supreme court ruled that a self inflicted death could be compensable if = &. by agreement of the parties /. "he suicideGdeath is caused by a work related or compensable illness or disease.

9. SPECIAL ENGAGEMENT R LE F covers

field trips, outings, intramurals and picnics when initiated or sanctioned by the employer

(. POSITIONAL

AND LOCAL RISKS DOCTRINE F If an employee by reason of his duties is e!posed to a special or peculiar danger from the elements, that is, one greater than that to which other persons in the community are e!posed and an une!pected injury occurs, the injury is compensable when one in the course of his employment is reasonably re uired to be at a particular place at a particular time and there meets an accident although one which any other person then and there present would have met irrespective of his employment.

 ART 17". E=TENT OF LIABILITY

Si5-/%*n',-) ('3,2'(4 under the $abor Code and the Civil Code 3*nn,% .' 5*+'. "he action is selective and the employee may either choose to $i/' %&' 3/*i5 -n+'( 'i%&'(. 0ut once the election is made, the claimant cannot opt for the other remedy. 4imultaneous recovery -n+'( %&' LC *n+ %&' SSS 3*n .' 5*+' as per an *+2i),(4 ,0ini,n +*%'+ M*4 2"; 1BEB ,$ S'3. D(i/,n )in3' PD 1B21 &*) /i$%'+ %&' .*n ,n )i5-/%*n',-) ('3,2'(4.

?. FORCE MA?E RE OR AN ACT OF GOD-

CHAPTER II COVERAGE AND LIABILITY

 ART 19E. COMP LSORY COVERAGE
2C$ applies to all employers, public or private, and to all employees, public or private including casual, emergency, temporary, or substitute employees. 2very employee is covered who is not over 9> years over 9> years of age or over 9> years of age if he had been paying contributions prior to the age of 9>

 STATE INS RANCE F ND= all covered employers are re uired to remit to a common fund a monthly contribution e uivalent to one percent of the monthly salary credit of every covered employee. "he employee pays no contribution to the fund. Any agreement to the contrary is prohibited.

CHAPTER VI DISABILITY BENEFITS

DISABILITY CATEGORIES!
 TEMPORARY TOTAL - if as a result of the injury or sickness, the employee is unable to perform any gainful occupation for a continuous period not e!ceeding &/> days  PERMANENT TOTAL - if as a result of the injury or sickness, the employee is unable to perform any gainful occupation for a continuous period e!ceeding &/> days  PERMANENT PARTIAL - if as a result of the injury or sickness, the employee suffers a

ART 17I. COVERAGE

 -

EFFECTIVE

DATE

OF

"he employer is covered compulsorily from first day of operation and the employee from the first day of employment

 ART 172. LIMITATIONS OF LIABILITY

NO COMPENSATION can be obtained if the injury, death or disability is * (')-/% ,$ %&' '50/,4''A)= Into!icationB

&.

permanent partial loss of the use of any part of his body.

 DEATH BENEFITS
"he 4ystem shall pay to the primary beneficiaries upon the death of the covered employee an amount e ual to his monthly income benefit, plus ten percent thereof for each dependent child, but not e!ceeding five, beginning with the youngest and without substitution. "he income benefit shall be guaranteed for five years.

 LABOR RELATIONS LAW - Concerned with the stabili#ation of relations of employer and employees and seeks to forestall and adjust grievances through - the encouragement of collective bargaining and the settlement of labor disputes through conciliation, mediation and arbitration. Absent an employer-employee relation, there is no labor relations to speak of.

 DEPENDENTS!
&. the legitimate, legitimated, legally adopted or acknowledged natural child who is unmarried, not gainfully employed and not over /& years of age or over /& years of age provided that he is incapable of selfsupport due to a physical or mental defect which is congenital or ac uired during minority /. legitimate spouse living with the employee 1. the parents of said employee wholly dependent upon him for regular support

 PARTIES TO LABOR RELATIONS CASES!

&. "he employeeAs organi#ation, /. management, and 1. the public

"he public is always to be considered in disputes between labor and capital, and it ahas been held that the (i6&%) ,$ %&' 6'n'(*/ 0-./i3 *(' 0*(*5,-n%. L*.,( ('/*%i,n) 0,/i34 -n+'( %&' LC i) '5.,+i'+ in S'3%i,n " A(%i3/' =III ,$ %&' 1BE7 Constitution which guarantees to all workers their right among others to selforgani#ation, collective bargaining and negotiations, peaceful land concerted activities including the right to strike in accordance with law, and to participate in policy and decision making processes affecting their rights and benefits as may be provided by law.

 BENEFITS
&. for life to the primary beneficiaries, guaranteed for five years /. for not more than 9> months to the secondary beneficiaries in case there are no primary beneficiaries 1. in no case shall the total benefit be less that 3 &5, >>>.>>

 THE BENEFICIARIES ARE= PRIMARY BENEFICIARIES

a. ;ependent spouse until he remarries b. dependent children * legitimate, legitimated, natural born or legally adopted,

 ART. 212. DEFINITIONS  LABOR DISP TE INCL DES!

&. any controversy or matter concerning terms or conditions of employment or /. the association or representation of persons in negotiating, fi!ing, maintaining, charging or arranging the terms and conditions of employment, regardless of whether the disputants stand in the pro!imate relation of employer and employee.  EMPLOYEE- shall not be limited to the employees of a particular employer. i% )&*// in3/-+' *n4 in+i2i+-*/ 1&,)' 1,(: &*) 3'*)'+! *) * (')-/% ,$ ,( in 3,nn'3%i,n 1i%& *n4 3-(('n% /*.,( +i)0-%'D ,( .'3*-)' ,$ -n$*i( /*.,( 0(*3%i3'

SECONDARY BENEFICIARIES
a. Illegitimate children and legitimate descendants b. parents, grandparents, grandchildren

BOOK FIVE LABOR RELATIONS

TITLE I POLICY AND DEFINITIONS  ART 211. DECLARATION OF POLICY

I$ &' &*) n,% ,.%*in'+ *n4 ,%&'(! 1. 4ubstantially e uivalent *n+ /. 3ermanent employment

 MANAGERIAL EMPLOYEE - is one who is vested with powers or prerogatives to lay down and e!ecute management policies and Gor to hire, transfer, suspend, lay-off, recall, discharge, assign or discipline employees.  S PERVISORY EMPLOYEES F are those who, in the interest of the employer, effectively recommend such managerial actions if the e!ercise of such authority is not merely routinary or clerical in nature but re uires the use of independent judgment.  WORKERAS ASSOCIATION any association of workers organi#ed for the mutual aid and protection of its members or for any legitimate purpose other than collective bargaining.  INDEPENDENT NION - any labor organi#ation operating at the enterprise level whose legal personality is derived through an independent action for registration prescribed under Art. /1). It may be affiliated with a federation, national or industry union, in which case it may also be referred to as an affiliate. %A"I.%A$ NION<FEDERATION - any labor organi#ation with at least &> localsGchapters or affiliates each of which must be a dully certified or recogni#ed collective bargaining agent.  LEGITIMATE WORKERAS ASSOCIATION F any workers association as defined herein which is duly registered with the ;epartment of $abor.  LABOR ORGANI>ATIONS - Any union or association of employees which e!ists in whole or in part for the purpose of collective bargaining or of dealing with employees concerning terms and conditions of employment.

a, organi#ational right disputeGunfair labor practice *coercion, restraint or interference in unioni#ation efforts, b, representation disputes c, bargaining disputes * refusal to bargain , d, contract administration or personnel policy disputes *noncompliance with C0A provisions, e, employment tenure disputes f, * non regulari#ation of employees,

PARTIES TO A DISP TE!

&. 3rimary 3arties F employer, employees, union /. 4econdary 3arties F voluntary arbitrator, agencies of ;.$2 *0$-, %$-C, <AC, 4ec. .f $abor, .ffice of the 3resident,

 CONS LTATION ON POLICIES OF MANAGEMENT AND OF THE EMPLOYER

6hat is needed is only consultation or participation. "he employees need not agree.

&. the last say is still with the management /. it is still the management prerogative that prevails - If there is n, /*.,( -ni,n, then 3,n)-/%*%i,n should be made with the labor management council. - If the employees were n,% 6i2'n %&' (i6&% %, 0*(%i3i0*%', then they could $i/' 1i%& %&' NLRC * 6(i'2*n3'.

P RPOSES OF LABOR ORGANI>ATIONS!

&. for collective bargainingB and /. for mutual aid and protection.

TITLE II NATIONAL LABOR RELATIONS COMMISSION CHAPTER I CREATION AND COMPOSITION

 ART. 21". NATIONAL LABOR RELATIONS COMMISSION TRIPARTISM
- Dive *5, divisions of %$-C. - "hree *1, sectors are represented in the composition of the %$-C. - each division *1 commissioners, will have representative from the following =

 TYPES OF LABOR DISP TES

&. $abor 4tandards ;isputes = a, compensation *underpayment of minimum wage, b, benefits * nonpayment of holiday pay, overtime pay, c, working conditions * unrectified working ha#ards, /. $abor -elations ;isputes

&. Choice of the 4ec. .f $abor coming from the public sector /. labor 1. employer and management sector

/. Cases decided by the -egional .ffices of ;.$2 in the e!ercise of its adjudicatory function under Art &/' of the $abor Code

 F ALIFICATIONS OF THE CHAIRMAN AND THE COMMISSIONER

&. must be a member of the 3hilippine 0arB /. must have been engaged in the practice of law in the 3hilippines for at least &5 yearsB 1. must have e!perience or e!posure in handling labor management relations for at least &5 yearsB and ). preferably a resident of the region where he is to hold office. - "he Chairman and Commissioners of the %$-C are not subject to confirmation by the Commission on Appointments

THE NLRC ONLY SITS EN BANC FOR P RPOSES OF!

&. promulgating rules and regulation governing the hearing and disposition of cases before any of its divisions and regional branches, and /. formulating policies affecting administration and operations. its

"he Commission may only sit en banc for the +'%'(5in*%i,n ,$ 0,/i3i') *n+ NOT $,( 0-(0,)') ,$ *+H-+i3*%i,n. P'%i%i,n) $,( 3'(%i,(*(i *6*in)% +'3i)i,n) ,$ %&' NLRC )&,-/+ &'n3'$,(%& .' ini%i*//4 $i/'+ 1i%& %&' C,-(% ,$ A00'*/) in strict observance of the doctrine on the hierarchy of courts as the appropriate forum for the relief desired. "he 4C noted that the CA is procedurally e uipped to resolve unclear or ambiguous factual finding, aside from the increased number of its component divisions. *S%. M*(%in F-n'(*/ H,5') 2). NLRC G.R. N,. 1"IE99) Dindings of facts of a labor tribunal are accorded the utmost respect by the courts and are well-nigh conclusive if supported by substantial evidence. $abor cases are n,% )-.H'3% %, B*(*n6*4 C,n3i/i*%i,n since ordinary rules on procedure are merely suppletory in character vis-a- vis labor disputes which are primarily governed by labor laws. "he failure of the petitioner to file a motion for reconsideration of the decision of %$-C before filing a petition for certiorari has in certain instances been held not to be a fatal omission.

 THE F ALIFICATIONS OF E=EC TIVE LABOR ARBITERS

&. must be members of the 3hilippine 0arB /. must have been engaged in the practice of law in the 3hilippines for at least ( yearsB 1. must have e!perience or e!posure in handling labor management relations for at least 1 years.

 TERM OF OFFICE OF THE CHAIRMAN; COMMISIONERS; AND LABOR ARBITERS!

until they reach the age of 95 unless removed for causes as provided by law or become incapacitated to discharge the function of his office.

 CASES WERE THE NLRC HAVE E=CL SIVE AND ORIGINAL ? RISDICTION!
&. Cases certified to it for compulsory arbitration by the 4ecretary of $abor under Art. /91B /. Injunction cases under Art. /&? and /9)B and 1. Contempt cases.

CHAPTER II POWERS AND D TIES

 ART 217. ? RISDICTION OF LABOR ARBITERS AND THE COMMISSION.
a. E73'0% as otherwise provided under this Code the L*.,( A(.i%'() shall have ,(i6in*/ *n+ '73/-)i2' jurisdiction to hear and decide, within 1> calendar days after the submission of the case by the parties for decision without e!tension, even in the

 CASES WERE THE NLRC HAS APPELLATE ? RISDICTION!

&. Cases decided by labor arbiters under Art /&(b and 4ec &> -A ?>&/*+igrant 6orkers Act,

absence of stenographic notes, the following cases involving *// 1,(:'(); 1&'%&'( *6(i3-/%-(*/ ,( n,n-*6(i3-/%-(*/! &, 7nfair labor practice casesB /. "ermination disputesB 1. If accompanied with a claim for reinstatement, those cases that workers may file involving wages, rates of pay, hours of work and other terms and conditions of employmentB ). Claims for actual, moral, e!emplary and other forms of damages arising from employeremployee relationsB 5. Cases arising from any violation of Art /9) of this Code, including uestions involving the legality of strikes and lockoutsB and 9. 2!cept claims for 2mployees Compensation, 4ocial 4ecurity, +edicare and maternity benefits, all other claims arising from employer-employee relations, including those of persons in domestic or household service, involving an amount e!ceeding 35,>>>.>> regardless of whether accompanies with a claim for reinstatement. (.+onetary claims of overseas contract workers under the +igrant 6orkers Act of &''5. b. "he C,55i))i,n shall have '73/-)i2' *00'//*%' H-(i)+i3%i,n over all cases decided by $abor Arbiters. c. Cases arising from the in%'(0('%*%i,n ,( i50/'5'n%*%i,n ,$ CBA *n+ %&,)' *(i)in6 $(,5 %&' in%'(0('%*%i,n ,( 'n$,(3'5'n% ,$ 3,50*n4 0'(),nn'/ 0,/i3i') shall be disposed of by the $abor Arbiter by referring the same to the 6(i'2*n3' 5*3&in'(4 *n+ 2,/-n%*(4 *(.i%(*%i,n. "he labor arbiter has jurisdiction over the claims of employees against @.CCs if the latter does not have an original charter and has been incorporated under the Corporation Code. "he labor arbiter and the %$-C have no jurisdiction over claims filed by employees against international agencies such as I--I, 68. etc.

a. -ule-making power b. 3ower to issue compulsory processes c. 3ower to investigate matters and hear disputes within its jurisdiction d. Contempt power e. 3ower to issue injunctions and -estraining .rders

 REF ISITES BEFORE RESTRAINING ORDER< IN? NCTION MAY ISS E!

&. filing of a verified petition /. a hearing after due and personal notice has been served in such manner as the Commission shall direct, to all known persons against whom the relief is sought and also to the Chief 2!ecutive or other public officials of the province or city within which the unlawful acts have been threatened or committed charged with the duty to protect the complainantAs property 1. reception at the hearing of the testimony of witnesses with opportunity for crosse!amination, in support of the allegations of the complaint made under oath as well as testimony in opposition thereto ). a finding of fact of the Commission to the effect that = a, prohibited or unlawful acts have been threatened and will be committed and will be continued unless restrained, but no injunction or temporary restraining order shall be issued on account of any threat, prohibited, or unlawful act, e!cept against the persons, association or organi#ation making the threat or committing the prohibited or unlawful act or actually authori#ing or ratifying the same after actual knowledge thereof. b, "hat substantial and irreparable injury to the complainantAs property will follow c, "hat as to each item of relief to be granted, greater injury will be inflicted upon complainant by the denial of the relief than will be inflicted upon the defendants by the granting of the relief d, "hat complainants has no ade uate remedy at law e, "hat public officers charged with the duty to protect complainantAs property are unable or unwilling to furnish ade uate protection. 5. 3osting of a bond

 ART 21E. POWERS OF THE COMMISSION  POWERS OF THE NLRC!

 REF ISITES BEFORE TRO MAY BE ISS ED E= PARTE!

&. "he complainant shall allege that, unless a "-. shall be issued without notice, a substantial and irreparable injury to complaintAs property will be unavoidableB /. "here is testimony under oath, sufficient, is sustained, to justify the Commission in issuing a temporary injunction upon hearing after notice B 1. "he complainant shall first file an undertaking with ade uate security in an amount to be fi!ed by the Commission sufficient to recompense those enjoined for any loss, e!penses or damage caused by the improvident or erroneous issuance of such order or injunction, including all reasonable costs, together with a reasonable attorneyAs fee, and e!pense of defense against the granting of any injunctive relief sought in the same proceeding and subse uently denied by the CommissionB and ). "he "-. shall be effective no longer than /> days and shall become void at the e!piration of said /> days counted from the date of the posting of the bond. In the absence of service of summons or a valid waiver thereof, the hearings and judgment rendered by the labor arbiter are null and void. "he procedural and substantial re uirements of Art /&? *e, must be strictly complied with before an injunction may issue in a labor dispute.

for any information or date concerning any matter or uestion relative to the object of the investigation

 ART. 221. TECHNICAL R LES NOT BINDING AND PRIOR RESORT TO AMICABLE SETTLEMENT An *5i3*./' )'%%/'5'n% ,$ * /*.,( +i)0-%' should be *00(,2'+ .4 %&' /*.,( *(.i%'( .'$,(' 1&,5 %&' 3*)' i) 0'n+in6 after being satisfied that it was voluntarily entered by the parties and after having e!plained to them the terms and conse uences thereof.

P RPOSE! for the employeeAs protection for the labor arbiter before whom the case is pending would be in a better position than just any labor arbiter to personally determine the voluntariness of the agreement and certify its validity.

RES ? DICATA applies only to judicial or

uasi-judicial proceedings and not e!ercise of administrative powers. to the

 ART 222. APPEARANCES AND FEES  APPEARANCE OF NON-LAWYERS BEFORE THE COMMISSION!
GENERAL R LE: .%$E lawyers can appear before the %$-C, or any $abor Arbiter, E=CEPTIONS ! %on-$awyers can appear .%$E in the following instances= &. if they represent themselvesB or /. if they represent their organi#ation or members thereofB or 1. if he is a duly-accredited member of the legal aid office duly recogni#ed by the ;.I of I03 in cases referred thereto by the latter. ATTORNEYAS FEES! "he ma!imum amount to be given a lawyer is &>J of the monetary benefits awarded to the employees e!cluding the award for moral and e!emplary damages shall not be included. +oral and e!emplary damages and other benefits that employee receives when he is working are e!cluded. "his article prohibits the payment of attorneyAs fees only where the same is effected through forced contributions from the workers form their own funds as distinguished from the union funds.

 THE FF. CAN ISS E IN? NCTIONS< TRO IN LABOR DISP TES
&. /. 1. ). 5. 9. 3resident *A-". /91, g, 4ecretary of $abor *A-". /91, g, $abor Arbiters *A-". /&(, %$-C -egional ;irectors +ed- Arbiters

 A(% 21B. OC LAR INSPECTION

"he Chairman, any Commissioner, labor Arbiter or their duly authori#ed representatives may, at anytime during working hours= a. Conduct an ocular inspection on any establishment, building, ship, place or premises, including any work, material, implement, machinery, appliance or any object thereinB and b. Ask any employee. $aborer, or any person as the case may be

CHAPTER III APPEAL

 ART. 22". APPEAL  GRO NDS FOR APPEAL!
&. If there is prima facie evidence of abuse of discretion on the part of the $abor Arbiter or Compulsory ArbitratorB /. If the decision, order or award was secured through fraud or coercion, including graft and corruptionB 1. If made purely on uestions of lawB ). If serious errors in the findings of facts are raised which would cause grave or irreparable damage or injury to the appellant. -

6here the employer failed to post a bond to perfect its appeal, the remedy of the employee is not a petition for mandamus by a motion to dismiss appeal. "he intention of the lawmakers is to make the bond an indispensable re uisite for the perfection of an appeal by the employer. "ardiness of an appeal form the decision of the labor arbiter may be considered as a mere procedural lapse. the decision of the labor arbiter ordering the reinstatement of a dismissed or separated employee shall immediately e!ecutory insofar as the reinstatement aspect is concerned and the posting of an appeal bond by the employer shall not stay such e!ecution. "here is no need for the arbiter to issue a writ of e!ecution on the reinstatement order as it is self-e!ecutory *3ioneer "e!turi#ing Case,.

 E=EC TION PENDING APPEAL!

-

 PERIODS WITHIN WHICH TO APPEAL!

A. DECISIONS OF THE REGIONAL DIRECTOR! - within 5 calendar days from receipt of the order. B. DECISIONS OF THE LABOR ARBITER! - within &> calendar days from the receipt of the decision. "he appeal must be under oath and must state specifically the grounds relied upon and the supporting arguments. 6here the &>th day falls on a 4aturday, 4unday or legal holiday, the appeal may be filed on the ne!t business day.

 OPTIONS OF THE EMPLOYER TO IN COMPLYING WITH AN ORDER OF REINSTATEMENT WHICH IS IMMEDIATELY E=EC TORY!
&. 8e can admit the dismissed employee back to work under the same terms and conditions prevailing prior to his dismissal or separation or to a substantially e uivalent position if the former position is already filled up. /. 8e can reinstate the employee merely in the payroll. Dailing to e!ercise any option may be compelled under pain of contempt and the employer may be made to pay instead the salary of the employee.

IS THE PERIOD OF APPEAL E=TENDIBLEM

NO. "he period of appeal to cases decided by the regional ;irector and the $abor Arbiter is %2<2- e!tendible. It is the policy of the state to settle e!peditiously labor disputes.

 A 0'%i%i,n $,( ('/i'$ $(,5 %&' +'3i)i,n ,$ %&' /*.,( *(.i%'( 5-)% )%(i3%/4 3,50/4 1i%& 2 ('6/'5'n%*(4 0'(i,+)!
&. "he petition must be filed within 9> days from knowledge of the judgmentB and /. 6ithin a fi!ed period of 9 months from entry of such judgment. - petitions filed beyond said period will no longer be entertained.

 REF ISITES BEFORE APPEAL TO THE NLRC IS DEEMED PERFECTED!

&. Dile a verified memo of appeal within the re uired period of appealB /. In case of monetary award, the employer should file a bond corresponding to the monetary award e!cluding awards for moral, e!emplary damages and attorneyAs fees. 1. Appeal fee of 3&&>B ). Durnish the other party with a copy of the memo of appeal *proof of service,.

 APPEAL FROM THE DECISION OF THE NLRC!

appeal by certiorari should be filed with the Court of Appeals*4t. +artin DuneralAs 8ome,

 ART 22#. E=EC TION OF DECISIONS; ORDER; OR AWARDS

"he decision of the 4ecretary of $abor, the Commission, the 0ureau or -egional ;irector the $abor Arbiter, the +ed-Arbiter or the <oluntary Arbitrator shall be $in*/ *n+ '7'3-%,(4 *$%'( 1I 3*/'n+*( +*4) $(,5 ('3'i0% %&'(',$ .4 %&' 0*(%i'). "he foregoing may upon its own initiative or on motion of any interested party, i))-' * 1(i% ,$ '7'3-%i,n ,n * H-+65'n% 1i%&in 8 4'*() $(,5 %&' +*%' i% .'3,5') $in*/ *n+ '7'3-%,(4. "he immediate e!ecution of judgment should be undertaken only when the monetary award had been carefully and accurately determined by the %$-C and only after the employer is given the opportunity to be heard and to raise objections to the computation.

 INTER- NION DISP TES - refers to uestions involving or arising out of a representation disputes between or among the different unions. It also includes all other conflicts which legitimate labor, organi#ations may have against each other based on any violation of their rights as labor organi#ations.

 DETERMINATION OF EMPLOYEREMPLOYEE RELATIONSHIP!

since the 0$- has the original and e!clusive jurisdiction to decide in"er alia, all disputes, grievances or problems arising from or affecting labor-management relations in all workplaces. %ecessarily, in the e!ercise of this jurisdiction over labor-management relations, the +ed-Arbiter has the authority, original and e!clusive, to determine the e!istence of an employer-employee relationship (MY S*n Bi)3-i%); In3. 2 L*6-')5* G.R. N,. B811; 22 A0(i/ 1BB1).

TITLE III
B REA OF LABOR RELATIONS OF LABOR  ART. 229 B REA RELATIONS

 SPECIAL REF IREMENT AS TO THE FILING OF CASES!

A. INVOLVING ENTIRE MEMBERSHIP &. "he complaint must be signed by at least 1>J of the entire membership of the union. /. It must also show e!haustion of administrative remedies. B. INVOLVING A MEMBER ONLY! In such case only the affected member may file the complaint.

 E=CL SIVE AND ORIGINAL ? RISDICTION OF THE BLR!

&. inter- union conflicts /. intra- union conflicts 1. all disputes, grievances or problems arising from or affecting labor- management relations in all workplaces whether agricultural or non- agricultural.

RE ! I50,)i%i,n ,$ $'') .4 %&' -ni,n @ +,') i% *$$'3% %&' 'n%i(' 5'5.'()&i0M

YES. 4uch being the case, the complaint should be signed by at least 1>J of the membership of the union.

 CASES WHERE THE BLR HAS NO ? RISDICTION!

"hose arising from the implementation or interpretation of collective bargaining agreements which shall be subject of grievance procedure andGor voluntary arbitration.

 ADMINISTRATIVE F NCTIONS OF THE BLR!

&. "he regulation of registration of the labor unionsB /. "he keeping of a registry of labor unionsB and 1. "he maintenance of a file of C0As.

 INTRA- NION DISP TES - includes all disputes or grievances arising from any violation of or disagreement over any provision of the constitution and by-laws of a union. It also includes any violation of the rights and conditions of union membership provided for in the $abor Code.

 NATIONAL CONCILIATION MEDIATION BOARD!

-

AND

has absorbed the conciliation, mediation and voluntary arbitration functions of the 0$*2... &/9,

 ART. 227. COMPROMISE AGREEMENTS  REF IREMENTS OF A VALID F ITCLAIM!

&. "he uitclaim must be voluntarily arrived at by the partiesB /. It must be with the assistance of the 0ureau of $abor 4tandards, 0ureau of $abor -elations of any representative of the ;.$2B and 1. "he consideration must be reasonable. if the compromise agreement was entered into 1i%&,-% %&' *))i)%*n3' ,$ DOLE, it is valid and binding between the parties but the parties can still go to the %$-C and repudiate the agreement. if the compromise agreement was entered into 1i%& %&' *))i)%*n3' ,$ DOLE, it shall be final and binding between the parties, E=CEPT= a. in case of non compliance with the compromise agreementB or b. if there is prima facie evidence that the settlement was obtained through fraud, misrepresentation, or coercion in such cases, the %$-C of the courts can assume jurisdiction.

CHAPTER I REGISTRATION AND CANCELLATION

 ART. 2"#. REF IREMENT OF REGISTRATION
 LABOR ORGANI>ATION- A labor organi#ation is any union or association of employees which e!ists in whole or in part for the purpose = - of collective bargaining or - of dealing with employers concerning the terms and conditions of employment.  P RPOSE OF FORMATION OF LABOR NIONS! for securing a fair and just wages and good working conditions for the laborersB and for the protection of labor against the unjust e!actions of capital

 REF IREMENTS BEFORE A LABOR ORGANI>ATION CAN BE REGISTERED WITH THE B REA OF LABOR RELATIONS!
&. 6ritten application verified by the 4ecretaryG"reasurer, attested to by the 3residentB /. %ames of members comprising at least />J of the employees in the bargaining unit where it seeks to operateB 1. %on-e!istence of C0A, otherwise, if one e!ist, state in the application that it is filed within the freedom period. It shall be accompanied by the following attachments = a. -egistration fee in the amount of 35>.>>B b. %ames of the officers and their addressesB c. +inutes of the organi#ational meetingsB d. $ist of workers who participated in the organi#ational meetingsB e. %ames of all the members and the number of employees in the bargaining unitB f. Annual Dinancial -eport * if the applicant has been in the e!istence for at least one year,B g. Dour *), copies of the constitution and by-lawsB h. +inutes of the resolution of the constitution and by-laws and the list of members who participated in the bargaining unit concernedB and i. If there is an e!isting collective bargaining agreement duly submitted to the ;.$2, a sworn statement that the

 ART 2"1. REGISTRY OF NIONS AND FILE OF COLLECTIVE AGREEMENT

"he C0A is more than a contract, it is highly impressed with public interest for it is an essential instrument to promote industrial peace. An -n('6i)%'('+ CBA certification election. does not bar

 ART 2"". PRIVILEGE COMM NICATIONS

Information and statements made at conciliation proceedings shall be treated as privileged communication and shall n,% .' -)'+ *) '2i+'n3' in the Commission. Conciliators and similar officials shall not testify in any court or body regarding any matters taken up at conciliation proceedings conducted by them.

TITLE IV LABOR ORGANI>ATIONS

application for registration is filed during the last 9> days of the agreement. MANDAM S is the proper remedy for the unjustified refusal of the 0ureau in approving the application and the corresponding issuance of a certificate of registration, it being a ministerial duty. REASON FOR REF IREMENT OF REGISTRATION F it is a condition sine ua non for the ac uisition of legal personality by labor organi#ations, associations or unions, and the possession or the rights and privileges granted by law to legitimate labor organi#ations  FEDERATION is an association of national unions.

/. 4tatement of the set of officers and books of accounts, all of which must be certified by the 4ecretaryG"reasurer and attested to by the 3resident.

 C") " +)$o) o. s+pe ,$so y employees "..$l$"te ($th " )"t$o)"l .e%e "t$o) o. l"#o o !")$/"t$o)s o. ")0 ")% .$le employees *
YES, provided that= a. "he federation is not actively involved in union affairs in the company and b. "he rank and file employees are not directly under the control of the supervisors

 REF IREMENTS BEFORE FEDERATION CAN BE ISS ED CERTIFICATE OF REGISTRATION!

A A

 EFFECTS WHEN A LOCAL NION DISAFFILIATE!

IT DEPENDS. If the labor union is in+'0'n+'n%/4 ('6i)%'('+, the disaffiliation of the union would not affect its being a legitimate labor organi#ation and therefor would continue to have the rights and privileges of a legitimate labor organi#ation as well as the legal personality as such. .n the other hand, if the labor union is n,% in+'0'n+'n%/4 ('6i)%'('+, upon disaffiliation, it would cease to be a legitimate labor organi#ation and would therefore no longer have the legal personality and the rights and privileges granted by law to legitimate organi#ation.

Aside from the application, which must be accompanied with the re uirements for registration of a labor registration, the application should also be accompanied by the following= &. 3roof of affiliation of at least &> locals or chapters, each of which must be = a. a duly recogni#ed collective bargaining agent in the establishment of b. supporting the registration of such applicant federation or national unionB /. "he names and addresses of the companies where the locals or chapters operate and the list of all the members in each company involved.

 EFFECT OF DISAFFILIATION WITH E=ISTING CBA)!

IT DEPENDS. If the labor union is independently registered, e!isting C0As would continue to be valid as the labor organi#ation can continue administering the C0As. 8owever, if the labor union is not independently registered, e!isting C0As would no longer be valid as there would no longer be any labor organi#ation given by law the right to administer the C0As.

 C") " lo'"l +)$o) "..$l$"te ($th " .e%e "t$o)* I. so, ho(*
YES. "he procedure of affiliation would depend on whether the union is individually registered or not. I$ %&' -ni,n i) in+'0'n+'n%/4 ('6i)%'('+; the affiliation is by signing a contract of affiliation with the labor union and the registration of such contract with the 0$-. On %&' ,%&'( &*n+; i$ %&' -ni,n I) n,% in+'0'n+'n%/4 ('6i)%'('+; affiliation is done by the application of the union with the federation so it may be issued a charter certificate, to be submitted with the 0$-, including the following= &. Copies of its constitution and by-laws

 ENTITLEMENT TO NION D ES IN CASE OF DISAFFILIATION!

If the labor union is independently registered, then the labor organi#ation is entitled to the union dues and not the federation from which the labor organi#ation disaffiliated.

.n the other hand, if the labor union is not independently registered, then union dues may no longer be collected as there would no longer any labor union who is allowed to collect such union dues from the employees. A union can affiliate anytime but disaffiliation can be done only during the freedom period. If not within the freedom period, can be done only with the consent of the majority of the workers. 3rovided it is independently registered otherwise it loses its personality. "he e!ception will only apply if it is not prohibited by the constitution and by-laws of the federation of national union.

1.

).

 ART 2"9. DENIAL OF REGISTRATIOND APPEAL

;ecisions of the 0$- denying the registration of a labor organi#ation is appealable to the 4ecretary of $abor within &> calendar days from receipt, on grounds of= a. grave abuse of discretionB and b. gross incompetence

5. 9.

 ART 2"E. CANCELLATION REGISTRATIOND APPEAL

OF

(. ?.

"he certificate of registration of any legitimate labor organi#ation shall be cancelled by the 0$if it has reason to believe, *$%'( +-' &'*(in6, that the said labor organi#ation no longer meets one or more of the re uirements herein prescribed.

'. &>.

A00'*/ may be filed within &5 days from receipt of the decision to the 4ecretary of $abor.

within 1> days from adoption or ratification of the constitution and by-laws or amendments thereto. +isrepresentation, false statement or fraud in connection with the= - election of officers, - minutes of the election of officer and the list of voters, or failure to submit these documents together with - the list of the newly electedGappointed officers and their postal addresses - within 1> days from election Dailure to submit the annual financial report to the 0ureau - within 1> days after the closing of every fiscal year and misrepresentation, false entries and fraud - in the preparation of the financial report itselfB Acting as a labor contractor or engaging in the NcaboH system, or otherwise engaging in any activity prohibited by lawB 2ntering into collective bargaining agreements which provide terms and conditions of employment below minimum standard established by lawB Asking for or accepting attorneyAs fees or negotiation fees from the employersB .ther than for mandatory activities under this Code, checking off special assessment or any other fees without duly signed individual written authori#ation of the membersB Dailure to submit a list of individual members of the 0ureau once a year or whenever re uired by the 0ureauB and Dailure to comply with the re uirements under Articles /1( and /1?. -

 ART 2"B. CANCELLATION REGISTRATION.

GRO NDS OF

FOR NION

 REMEDY IN CASE THE B REA SHO LD CANCEL THE REGISTRATION OF THE NION!
- to appeal to the 4ecretary of $abor within &> calendar days on the grounds of= &. grave abuse of discretion or /. gross incompetence on the part of the 0ureau 4hould the office of the 4ecretary affirm the decision of the 0ureau, the $in*/ ('5'+4 i) * 0'%i%i,n $,( 3'(%i,(*(i %, %&' SC -n+'( R-/' 98; R-/') ,$ C,-(%.

 GRO NDS FOR CANCELLATION OF NION REGISTRATION!

&. +isrepresentation, Dalse statement or Draud in connection with= - the adoption or ratification of the constitution and by-laws or amendments thereto, - the minutes of ratification, and - the list of members who took part in the ratification. /. Dailure to submit the document mentioned in the preceding paragraph

CHAPTER II RIGHTS AND CONDITIONS OF MEMBERSHIP IN A LABOR ORGANI>ATION

 ART. 2#1. RIGHTS AND CONDITIONS OF MEMBERSHIP IN A LABOR ORGANI>ATION  REF IREMENTS IN MAKING SPECIAL ASSESSMENT
A(%. 2#1(n). %o special assessment or other

"he law does not re uire individual written authori#ations from the employees when it comes to fees for mandatory activities under the $abor Code.

 CHECK-OFF is a method of deducting from an employeeAs pay at prescribed period, the amounts due to the union for fees, fines or assessment. In S0'3i*/ A))'))5'n%, there must be a written resolution authori#ed by a majority of the members at a general meeting called for the purpose. Check-off F there must be individual written authori#ation of the members.

e!traordinary fees may be levied upon the members of a labor organi#ation= 7%$244 authori#ed by a written resolution of a majority of all the members at a general membership meetings duly called for the purpose. "he secretary of the organi#ation shall record the minutes of the meeting including= the list of all members present, the votes cast, the purpose of the assessment or fees, "he record 3resident. shall be attested by the

 PERSONS WHO ARE PROHIBITED FROM BECOMING MEMBERS OF A LABOR ORGANI>ATION NDER THE LABOR CODE!
&. "hose who have been convicted of a crime involving moral turpitude. *Art. /)&*f,,B /. 4ubversives or those engaged in subversive Activities. In general, a union is free to select its own members, and no person has an absolute right to membership in a trade union. "he implementing rules re uire that the remedies be e!hausted within the union before a complaint for any violation of the unionAs constitution and by-laws may be filed.

"herefore, the REF IREMENTS when it comes to special assessment are as follows= &. there must be a written resolution /. the resolution must have been approved by a majority of all the members 1. the approval must be at a general membership meeting duly called for the purpose

 REF IREMENTS OF THE LAW WITH REGARDS TO CHECK-OFFS A(%. 2#1(,). O%&'( %&*n MANDATORY ACTIVITIES -n+'( C,+'.
-

 REF IREMENTS BEFORE A CHECKOFF MAY BE DONE!

Individual written authori#ations of the employees are re uired before a check-off may be validly done.

$,( %&'

%. special assessment, attorneyAs fees, registration fees or any other e!traordinary fees may be checked off from any amount due an employee. 6I"8.7" an individual written authori#ation duly signed by the employee. "he authori#ation should specifically state the= a. amount b. purpose and c. beneficiary of the deduction.

E=CEPTIONS !
&. Dor mandatory activities provided under the CodeB and /. 6hen non-members of the union avail of the benefits of the C0A. - said non-members may be assessed union dues e uivalent to that paid by members - only by a 0oard -esolution approved by majority of the members in a general meeting called for the purpose

E=CEPTION %, %&' R'J-i('5'n% ,$ In+i2i+-*/ W(i%%'n A-%&,(iG*%i,n!

NAT RE AND P RPOSE OF CHECK-OFF

to facilitate the collection of dues necessary for the unionAs life and sustenance.

 EFFECT OF CANCELLATION OF REGISTRATION IN THE CO RSE OF PROCEEDINGSD

6here a labor union is a party in a proceeding and later it loses its registration permit in the course or during the pendency of the case, such union may continue still as a party without need of substitution of parties, subject however to the understanding that whatever decision may be rendered therein will only be binding upon those members of the union who have not signified their desire to withdraw from the case before its trial and decision on the merits.

 GENERAL GRO PINGS OF THE RIGHTS OF THE NION MEMBERS! ( n+'( A(%. 2#1)
1. P,/i%i3*/ (i6&% is the right of the members to vote and be voted for, subject to lawful provisions on ualifications and dis ualifications. D'/i.'(*%i2' *n+ D'3i)i,n-M*:in6 Ri6&% is the members right to participate in deliberations on major policy uestions and decide them by secret ballot. Ri6&%) O2'( M,n'4 M*%%'() is the right of the members= a. against e!cessive fees b. against unauthori#ed collection of contributions or unauthori#ed disbursements c. to re uire ade uate records of income and e!penses to access financial records to vote on officers compensation to vote on special assessment to be deducted a special assessment only with the memberAs written authori#ation. Ri6&% %, In$,(5*%i,n is the memberAs right to be informed about= a. the organi#ationAs constitution and by- laws b. the collective bargaining agreement c. about labor laws d. e. f. g.

2.

3.

TITLE V COVERAGE
 ART. 2#". COVERAGE AND EMPLOYEEAS RIGHT TO SELF @ORGANI>ATION

4.

GOVERNMENT @ OWNED OR CONTROLLED CORPORATIONS WITH A CHARTER

&. 2mployees cannot stage strikes since they are governed by the Civil 4ervice $aw. "hey are enjoined by Civil 4ervice +emorandum Circular %o. 9, under pain of administrative sanctions, from staging strikes, demonstrations, mass leaves, walkouts and other concerted activities. /.Corporations with original charters cannot bargain with the government concerning the terms and conditions of their employment.

GOVERNMENT @ OWNED OR CONTROLLED CORPORATIONS WITHO T CHARTER

&."he @.CC is created under Corporation Code, then employees are covered by the $abor Code. "herefore the employees have the same rights as those as employees of private corporations, one of which is the right to stage strikes.

CHAPTER III RIGHTS OF LEGITIMATE LABOR ORGANI>ATIONS

 ART. 2#2. RIGHTS OF LEGITIMATE LABOR ORGANI>ATIONS  RIGHTS OF A LEGITIMATE LABOR ORGANI>ATION!
&. /. 1. ). 5. 7ndertake activities for benefit of members 4ue and be sued 2!clusive representative of all employees -epresent union members Durnished by employers of audited financial statements 9. .wn properties (. 2!empted from ta!es

/. "he @.CC is created under Corporation Code, being governed by the $abor Code, they can bargain with the government concerning the terms

8owever, they can negotiate with the government on those terms and conditions of employment which are not fi!ed by law. "hus, they have a limited bargaining rights.

and conditions of their employment. "hus, they have an unlimited bargaining rights.

appointments - promotion - assignmentsGdetails - reclassificationGupgrading of position - revision of compensation structure - penalties imposed as a result of disciplinary actions - selections of personnel to attain seminar, trainings. 4tudy grants - distribution of work load - e!ternal communication linkages @overnment employees and employees of government-owned and controlled corporations with original charters may bargain, however, such .*(6*inin6 0,1'( i) /i5i%'+.

1. Can only form, join or assist labor organi#ation for purposes not contrary to law.

1. Can form, join or Assisi labor organi#ation for purposes of C0A, etc.

 RATIONALE ! GOCC) INCORPORATED NDER THE CORP. CODE ALLOWED TO ORGANI>E! &. they are not involved in public service
/. terms of employment are not fi!ed by law 1. they are governed by the provisions of the $abor Code not by the Civil 4ervice $aw

 THE FOLLOWING ARE CONSIDERED NEGOTIABLE IN GOCC WITH ORIGINAL CHARTER!

&. /. 1. ). 5. 9. schedule of vacation and other leaves work assignment of pregnant women personnel growth and development communication system F lateral and vertical provision for protection and safely provision for facilities for handicapped personnel (. provision for first-aid medical services for married women ?. annual medicalGphysical e!amination '. recreational, social, athletic and cultural activities and facilities *-ules implementing 6. &?>,  THE FOLLOWING ARE CONSIDERED NOT NEGOTIABLE ! &. "hose which re uire appropriation of funds, such as = a. increase in salary emoluments and other allowance not presently provided for by law b. facilities re uiring capital outlays c. car plan d. provident fund e. special hospitali#ation, medical and dental services f. riceGsugarGother subsidies g. travel e!penses h. increase in retirement benefits /. "hose that involve the e!ercise management prerogatives, such as = of

 EMPLOYEES COVERED BY RIGHT TO SELF- ORGANI>ATION!

&. /. 1. Commercial Industrial Agricultural enterprises, including= charitable religious education or medical institution

THE

 EMPLOYEES WITH LIMITED RIGHT TO SELF- ORGANI>ATION!

&. /. 1. ). 5. 4elf- employed 6ithout definite employers Ambulant Intermittent and Itinerant -ural worker they have the right to self-organi#ation but only for their mutual aid and protection.

 EMPLOYEES WHO ARE NOT GRANTED THE RIGHT TO SELFORGANI>ATION!

&. +embers of the Armed Dorces of the 3hilippines, including police officers, policemen, firemen and jail guardsB /. 8igh-level employees

1. ). 5. 9. -

whose functions are normally considered as policy-making or managerial whose duties are of a highly confidential or highly technical in nature * 2. &?>, sections 1-), @overnment employees occupying high positions 2mployees of international organi#ations with immunities Confidential employees Cooperative members who are also employees F,('i6n'() 2*/i+/4 1,(:in6 in %&' P&i/i00in') 3*n $,(5 /*.,( ,(6*niG*%i,n), provided, the same right to form, join or assist in the formation of labor unions is also given to Dilipinos in their country of origin. "his '5.,+i') %&' 0(in3i0/' ,$ ('3i0(,3i%4.

Any act intended to weaken or defeat the right is regarded by law as an offense, which is technically called Nunfair labor practice.H

TITLE VI NFAIR LABOR PRACTICES CHAPTER I CONCEPT  ART. 2#7 NFAIR LABOR PRACTICES
OF NFAIR LABOR

 NAT RE PRACTICES!

 E7%'n% ,$ %&' Ri6&% %, S'/$O(6*niG*%i,n

a. "o form, join and assist labor organi#ations for the purpose of collective bargaining through representatives of their own choosing and b. "o engage in lawful concerted activitiesfor the same purpose for their mutual aid and protection

 ART 2#8. INELIGIBILITY OF MANAGERIAL EMPLOYEES TO ?OIN ANY LABOR ORGANI>ATIOND RIGHT OF S PERVISORY EMPLOYEES.
R'*),n $,( in'/i6i.i/i%4 F in the collective bargaining process, managerial employees are supposed to be on the side of the employer, to act as its representatives, and to see to it that its interests are well protected. "he employer is not assured of such protection if these employees themselves are union members.

&. violate the constitutional right of workers and employees to self-organi#ation, /. are inimical to the legitimate interests of both labor and management, including their right to bargain collectively and otherwise deal with each other in an atmosphere of freedom and mutual respect, 1. disrupt industrial peace and ). hinder the promotion of healthy and stable labor-management relations.

 PRESCRIPTIVE PERIOD FOR FILING CRIMINAL AND CIVIL CASES FOR LP! "he prescriptive period of filing 7$3 cases whether it be civil or criminal is ,n' 4'*( $(,5 %&' *33(-*/ ,$ %&' LP *3%. "he prescriptive period for the criminal case is suspended once the administrative case has been filed and would only continue running once the administrative case has attained finality. (-.E/ER: Dinal judgment in administrative proceedings shall not binding in the criminal case nor shall considered as an evidence of guilt merely as a proof of compliance of re uirements prescribed by the Code. the be be but the

 ART. 2#9. KTHE RIGHT TO SELF-ORGANI>ATION SHALL NOT BE ABRIDGEDL MEANS!

It shall be unlawful for any person to= restrain, coerce, discriminate against, or unduly interfere with employees and workers in their e!ercise of the right to self-organi#ation. *A(%. 2#9,

P('('J-i)i%' $,( $i/in6 3(i5in*/ 3*)'!

final judgment in the administrative proceeding finding that 7$3 has been committed

CHAPTER II NFAIR LABOR PRACTICES

OF EMPLOYERS
 ART 2#E. LP THAT MAY BE
COMMITTED BY AN EMPLOYER &. "o interfere with, restrain or coerce employees - in the e!ercise of their right to selforgani#ationB /. "o re uire as a condition for employment that a person or an employee - shall not join a labor organi#ation or - shall withdraw from one to which he belongsB 1. "o contract out services or functions being performed by union members when such will interfere with, restrain or coerce employees in the e!ercise of their right to selforgani#ationB ). "o initiate, dominate, assist or otherwise interfere with the formation or administration of any labor organi#ation, including the giving of financial or other support to it or its organi#ers or officersB 5. "o discriminate in regard to wages, hours of work, and other terms and conditions of employment in order to encourage or discourage membership in any labor organi#ation . -

 YELLOW DOG CONTRACT= A promise e!acted from workers as a condition employment that they are not to belong to, or attempt to foster, a union during their period of employment. It is contrary to public policy for it is tantamount to involuntary servitude. It is entered into without consideration for employees waive their right to selforgani#ation 2mployees are coerced to sign contracts disadvantageous to their family.

 Does A t. 123 4' 5 me") th"t ") employe '"))ot 'o)t "'t o+t (o 0*
NO. Contracting out services is not 7$3 per se. It is only 7$3 when the following conditions e!ist= 1. the service contracted- out are being performed by union membersB and 2. such contracting-out interferes with, restrains, or coerce employees in the e!ercise of their right to selforgani#ation.

(-.E/ER, when the contractingout is being done to minimi#e e!penses, then it is a valid e!ercise of management prerogative.

 THREE COMPONENTS OF ART. 2#E (' )! (DISCRIMINATION)

&. It prohibits discrimination in terms and conditions of employment in order to encourage or discourage membership in the unionB /. It gives validity to union security agreementsB 1. It allows an agency shop arrangement whereby agency fees may be collected from non-union members. SEC RITY ARRANGEMENTS are stipulations in the C0A re uiring membership in the contracting union as a condition for employment or retention of employment in the company.  PRINCIPLES OF ARRANGEMENTS! NION SEC RITY

 TEST OF DISCRIMINATION!
a. whenever benefits or privileges given to one is not given to the other under similar or identical conditions b. when directed to encourage or discourage union membership 9. "o dismiss, discharge or otherwise prejudice or discriminate against an employee for having given or being about to give testimony under this CodeB (. "o violate the duty to bargain collectively as prescribed by this CodeB ?. "o pay negotiation or attorneyAs fees to the union or its officers or agents as part of the settlement of any issue in collective bargaining or any other disputesB or '. "o violate a collective bargaining agreement. %."2= violation must be gross and with respect to the economic provision of the C0A

1. P(,%'3%i,n. "o shield union

members from whimsical and abusive e!ercise of management prerogatives. B'n'$i%). An additional membership will insure additional source of income

2.

".

to the union in the form of union dues and special assessment. S'/$-0(')'(2*%i,n. It strengthens the union through selective acceptance of new members on the basis of commitment and loyalty.

union activities without contributing to union support to prevent a situation of non-union members enriching themselves at the e!pense of union members.

 DIFFERENT KINDS OF SEC RITY ARRANGEMENTS!

1.

NION

CLOSED- SHOP AGREEMENT - the employer undertakes not to employ any individual who is not a member of the contracting union and the said individual once employer must, for the duration of the agreement, remain a member of the union in good standing as a condition for continued employment. NION @ SHOP AGREEMENT -stipulation whereby any person can be employed by the employer but once employed such employee must, within a specific period, become a member of the contracting union and remain as such in good standing for continued employment for the duration of the C0A. MAINTENANCE OF MEMBERSHIP CLA SE - the agreement ;.24 %." re uire non-members to join the contracting union 07" provides that those who are members thereof at the time of the e!ecution of the C0A and those may thereafter on their own volition become members must for the duration of the agreement maintain their membership in good standing as a condition for continued employment in the company for the duration of the C0A. PREFERENTIAL SHOP AGREEMENT "he employer agrees to give preference to the members of the bargaining union in hiring or filing vacancies and retention in case of lay-off. 0ut the employer has the right to hire in open market if union members are not available. 7sually, descendants *children, are also given preference in employment. AGENCY SHOP AGREEMENT - An agreement whereby employees must either join the union or pay to the union as e!clusive bargaining agent a sum e ual to that paid by the members. "his is +i('3%'+ *6*in)% KFREE RIDERL '50/,4'') who benefit from

 THE REF IREMENTS FOR A VALID NION OR CLOSE SHOP AGREEMENT 0!- T(AT T(E EMPL-1ER CAN TERM2NATE T(E EMPL-1EE %-R /2-LAT2-N -% !A2D AGREEMENT3=
&. It must be e!pressed in a clear and une uivocal way so as not to leave room for interpretation because it is a limitation to the e!ercise of the right to self-organi#ation. - Any doubt must be resolved against closeshop. /. It can only have prospective application and cannot be applied retroactively. 1. Can only be e!ercised by giving the employee his right to due process. "he employer has the right to satisfy itself that there are sufficient bases for the re uest of the union. "he termination of the employee is not automatic upon the re uest of the union. ). Cannot be applied to employees who are already employees of the rival union nor to the employees based on their religious beliefs.

2.

3.

CHAPTER III NFAIR LABOR PRACTICES OF LABOR ORGANI>ATIONS

 ART. 2#B. NFAIR LABOR PRACTICES OF LABOR ORGANI>ATIONS
a. "o restrain or coerce employees in the e!ercise of their right to self-organi#ation. 8owever, a labor organi#ation shall have the right to prescribe its own rules with respect to the ac uisition or retention of membershipB b. "o cause or attempt to cause an employer to discriminate against an employee, including discrimination c. "o violate the duly or refuse to bargain collectively with the employer provides that it is the representative of the employeesB d. "o cause or attempt to cause an employer to pay or deliver or agree to pay or deliver any money or other things of value, in the nature of an e!action, for services which are

4.

5.

not performed or not to be performed, including the demand for a fee for union negotiationsB e. "o ask for a accept negotiation or attorneyAs fees from employers as part of the settlement of any issue in collective bargaining or any other disputeB or f. "o violate a collective bargaining agreement. NOTE= <iolation must be gross with respect to economic provisions of the C0A.

). If not settled %C+0 may intervene and encourage the parties to submit the dispute to a voluntary arbitrator 5. If not resolved, the parties may go to where they want and resort to any other lawful means.

 COLLECTIVE BARGAINING AGREEMENT- (CBA)

negotiated contract between a legitimate labor organi#ation and the employer concerning = - wages, - hours of work and - all other terms and - conditions of employment in a bargaining unit, including mandatory provisions for grievances and arbitration machineries.

 PERSONS CIVILLY LIABLE FOR LP!

&. .fficers and agents of employer /. $abor organi#ation, officers and agents

 PERSONS CRIMINALLY LIABLE FOR LP!

&. Agents and officers who participated or authori#ed or ratified the act. /. Agents, representatives, members of the government board, including ordinary members  FEATHERBEDDING - refers to the practice of the union or its agents in causing or attempting to cause an employer to pay or deliver or agree to pay or deliver money or other things of value, in the nature of e!action, for services which are not performed or not to be performed, as when a union demands that the employer maintain personnel in e!cess of the latterAs re uirements

 MANDATORY PROVISIONS OF THE CBA!

&. /. 1. ). 5. 9. (. wages hours of work grievance machinery voluntary arbitration family planning rates of pay mutual observance clause

In addition, the 0ureau re uires that the C0A should include a clear statement of the terms of the C0A.

TITLE VII COLLECTIVE BARGAINING AND ADMINISTRATION OF AGREEMENTS

 ART 28I. PROCED RE COLLECTIVE BARGAINING IN

 ART 28". D TY TO BARGAIN COLLECTIVELY WHEN THERE E=ISTS A COLLECTIVE BARGAINING AGREEMENT
 BARGAINING NIT- a group of employees of a given employer, comprised of all or less that all the entire body of the employees, consistent with e uity to the employer, - indicate to be best suited to serve the reciprocal rights and duties of the parties under the collective bargaining provision of the law.

 COLLECTIVE BARGAINING @negotiation by an organi#ation or group of workmen, in behalf of its members, with the employer, concerning wages, hours of work and other terms and conditions of employment and the settlement of disputes by negotiation between an employer, and the representative of his employees.

 FO R FACTORS IN DETERMINING THE APPROPRIATE BARGAINING AGREEMENT!

&. "he 2!press 6ill or ;esire 2mployees *@lobe ;octrine,B /. "he 4ubstantial and +utuality DactorB 1. 3rior Collective 0argaining 8istoryB ). 2mployment 4tatus, such as - temporary of the

 PROCED RE IN COLLECTIVE BARGAINING=

&. 6ritten notice with statement of proposals /. -eply by the other party 1. In case of differences, either party may re uest for a conference

Interest

seasonal, and probationary employee

showing that the labor organi#ation is supported by at least a majority of the employees in the bargaining unit.

 THINGS TO CONSIDER DETERMINING THE COMM NITY INTEREST DOCTRINE!

IN OF CERTIFICATION ELECTION
&. aimed at determining the sole and e!clusive bargaining agent of all the employees in an appropriate bargaining unit for the purpose of collective bargainingB /. separate and distinct from a consent election

&. similarity in the scale and manner of determining earnings /. similarity in employment benefits, hours of work and other terms and conditions of employment 1. similarity in the kinds of work performed ). similarity in the ualifications, skills and training of the employees 5. fre uency of contract or interchange among the employees 9. common supervision and determination of labor-relations policy (. history of previous collective bargaining ?. desires of the affected employees '. e!tent of union organi#ation  A TOMATIC RENEWAL CLA SE - this is under the present Article which establishes an automatic renewal clause the C0A is effective and enforceable even after the e!piration of the period fi!ed by the parties as long as no new agreement is reached by them.

CONSENT ELECTION
&. an agreed one, its purpose being merely to determine the issue of majority representation of all the workers in the appropriate collective bargaining unit

 MODES OF CHOOSING E=CL SIVE BARGAINING NIT!

&. 42$2C"I.% - certification election /. ;24I@%A"I.% a, voluntary recognition b, direct certification

THE

/. from the very nature of consent election, it is a separate and distinct process and has nothing to do with the import and effect of a certification election

EFFECT OF VOL NTARILY RECOGNITION BY THE EMPLOYER!

0y voluntarily recognition of the employer, the labor organi#ation recogni#ed by the employer as the e!clusive bargaining agent may collectively bargain with the employer.

 CERTIFICATION ELECTION - process of determining by secret ballot the sole and e!clusive bargaining agent of the employees in an appropriate bargaining unit, for purposes of collective bargaining.  DIRECT CERTIFICATION - process whereby the +ed-Arbiter directly certifies a labor organi#ation of an appropriate bargaining unit of a company after a showing that such petition is supported by at least a majority of the employees in the bargaining unit. I% i) n, /,n6'( *//,1'+. (EO 111)

 WHEN IS THE COND CT OF A CERTIFICATION ELECTION MANDATORY ON THE PART OF THE BLRM
1. In *n -n,(6*niG'+ 3,50*n4 F a. upon the filing of a verified petition by a legitimate labor organi#ationB or b. upon the filing of a petition by the employer when such employer is re uested by the employees to bargain collectively. In *n ,(6*niG'+ 3,50*n4 upon the filing of a verified petition by a legitimate labor organi#ation uestioning the majority status of the incumbent bargaining agent within the 9>-day freedom period before the e!piration of a C0A.

 VOL NTARILY RECOGNITION

process whereby the employer recogni#es a labor organi#ation as the e!clusive bargaining representative of the employees in the appropriate bargaining unit after a

2.

"he petition must be supported by the written consent of at least /5J of all the employees in the appropriate bargaining unit.

b. "he election results in none of the choices received the majority votes*5>JU&, of the valid votes cast

NOTE= In case the establishment is organi#ed, the employer cannot file a petition for certification electionB only a legitimate labor organi#ation can file such petition.

R-n-,$$ shall be conducted= a. 0etween the labor union receiving the two highest number of votes b. 3rovided that the total number of votes for all the contending unions is at least 5>J of the total votes cast

 WHEN MAY A LABOR ORGANI>ATION FILE A PETITION FOR CERTIFICATION ELECTION!

1. 6here the ')%*./i)&5'n% i) n,% ,(6*niG'+, it can file a petition for certification election at any time, subject however to the .%2-2$2C"I.%-32--E2A-7$2. In an ,(6*niG'+ ')%*./i)&5'n% F a. when %&'(' i) * CBA, the labor organi#ation can file a petition for certification election within the 9>-day freedom period *C.%"-AC"-0A-7$2 , b. when %&'(' i) n, CBA, then the labor organi#ation can file a petition for certification election at any time, subject to the N;eadlockH bar -ule.

 R LES WHICH WILL PREVENT THE HOLDING OF A CERTIFICATION ELECTION!

&. Contract-0ar -ule /. .ne-Eear 0ar -ule 1. ;eadlock 0ar -ule  THE CONTRACT-BAR R LE provides that while a valid and registered C0A is subsisting, the 0$- is not allowed to hold an election contesting the majority status of the incumbent union.

2.

E=CEPTIONS TO THE R LE!

&. 6here it is shown that because of a schism in the union the contract can no longer serve to promote industrial stability, and the holding of the election is in the interest of the employees right in the selection of their bargaining representatives. /. 0asic to the contract bar rule is the proposition that the denial of the right to select representatives can be justified only where stability is deemed paramount. 1. Certain types of contracts which do not foster industrial stability such as contracts where the identity of the representative is in doubt or those that are prematurely renewed

 DEADLOCK BAR R LE, a petition for certification election can only can only be entertained if there is no pending bargaining deadlock submitted to conciliation or arbitration or had become the subject of a valid notice of strike or lockout.

 REF ISITES BEFORE A LABOR NION CAN BE DECLARED A WINNER!

&. +ajority of the eligible voters cast their votes. /. .btained majority of the valid votes cast. *;.70$2 +AI.-I"E,

HOW TO DETERMINE THE TWO

MA?ORITY R LE !
&. In determining valid votes, eliminate spoiled ballots but include challenged votes /. In determining the eligible votes cast, include spoiled ballots  R N-OFF ELECTIONS "his happens when= a. "he election provides for at least 1 choices*Nno unionH is always a choice,

 REF IREMENTS IN ORDER INVOKE CONTRACT-BAR R LE!

TO

&. Agreement is in writing, signed by all contracting parties. /. It must contain the terms and conditions of employment. 1. Covered employees in an appropriate bargaining unit. ). It is for a reasonable period or duration. 5. It must be ratified. 9. It must be registered with the 0ureau.

(. "he violation of the contract bar rule or the e!istence of a duly registered C0A must be specifically impleaded as a defense.

E=CEPTIONS TO THE CONTRACTBAR R LE!

&. C0A is not registered. /. C0A deregistered. 1. C0A was hastily concluded way ahead of the freedom period ). C0A is incomplete in itself 5. C0A does not foster industrial peace because of schism 9. C0A was concluded in violation of an order enjoining the parties from entering into a C0A until the issue of representation is resolved.

for the purpose of negotiating an agreement with the respect to - wages, - hours of work and - all other terms and conditions of employment, including - proposals for adjusting any grievances or uestions arising under such agreement and - e!ecuting a contract incorporating such agreements if re uested by either party. 6hen there is a collective bargaining agreement, the ;7"E ". 0A-@AI% C.$2C"I<2$E shall mean that neither party shall terminate or modify such agreement during its lifetime. - 8owever, either party can serve a written notice %, %'(5in*%' ,( 5,+i$4 %&' *6(''5'n% *% /'*)% 9I +*4) 0(i,( %, i%) '70i(*%i,n 0'(i,+.

 EFFECT OF AN INVALID AND NREGISTERED CBA!

"hen there is no bar and therefore a certification election may be held.

NOTE! -egistration of C0A only puts into effect the contract-rule bar rule but the C0A itself is valid and binding even if unregistered.  KS BSTIT TIONARY DOCTRINEL-- It means that where there occurs a shift in the employeesA union allegiance after the e!ecution of a collective bargaining contract with the employer, the employees can change their agent F the labor union, but the collective bargaining contract which is still subsisting, continues to bind the employees up to its e!piration date. "hey, may, however, bargain for the shortening of said e!piration date.  DEADLOCK F arises when there is an impasse which presupposes reasonable effort at good faith bargaining which, despite noble intentions, did not conclude in agreement between the parties.

 D,') %&' D-%4 %, B*(6*in C,//'3%i2'/4 3*((4 1i%& i% %&' +-%4 %, *6('' %, * 0(,0,)*/ ,( %, 5*:' * 3,n3'))i,nM
NO. "he duty to bargain collectively does not compel any party - to agree to a proposal or - to make a concession

 E=AMPLES OF BAD FAITH BARGAINING!

S-($*3' B*(6*inin6 F occurs when employer constantly changes its positions over the agreement. 2. B,-/1*(i)5 F occurs a. when the employer directly bargains with the employee disregarding the union. b. 2mployer submits its proposals and adopts a take it or leave it stand. "his is not negotiation because the take it or leave it stand implies threat. 1. 4ide 0ar "echni ue 1.

 ? RISDICTIONAL PRECONDITIONS OF COLLECTIVE BARGAINING! (Ki,: L,4 C*)')

&. 3ossession of status of majority representation /. 3roof of majority representation 1. Clear and une uivocal demand to bargain collectively

 D TIES OF THE PARTIES D RING THE 9I-DAY PERIOD!

&. to keep the status uo and /. to continue in full force and effect and the terms and conditions of the e!isting agreement during the 9>-day period andGor until a new agreement is reached by the parties. *Art. /51,

 KD TY TO BARGAIN COLLECTIVELYL"he performance of a mutual obligation to meet and convene - promptly and e!peditiously and in good faith,

 ART 28" @ A. TERMS OF A COLLECTIVE BARGAINING AGREEMENT D RATION OF THE CBA!

&. 6ith respect to the representation aspect the same lasts for 5 years. /. 6ith respect to other provisions, the same shall last for a ma!imum period of 1 years after e!ecution.

%o temporary or permanent injunction pr restraining order in any case in2,/2in6 ,( 6(,1in6 ,-% ,$ /*.,( +i)0-%') shall be issued by any court or other entity, '73'0% as otherwise provided in Articles /&? and /9) of this Code.

 ART 288. E=CL SIVE BARGAINING REPRESENTATION AND WORKERAS PARTICIPATION IN POLICY AND DECISION-MAKING
IN DETERMINING THE APPROPRIATE BARGAINING NIT THE FF. M ST BE CONSIDERED! &. /. 1. ). 6ill of employees Affinity and unity of employeeAs interest 3rior collective bargaining history 2mployment status, such as temporary, seasonal and probationary employees.

R LE ON RETROACTIVE EFFECTS OF AGREEMENT PROVISIONS!

Any agreement on such other provisions of the C0A if made 1i%&in 9 5,n%&) after the date of e!piry, there is A TOMATIC RETROACTION to the day immediately following such date of e!piry. If n,% 1i%&in 9 5,n%&); %&' 0*(%i') 5*4 *6('' %, %&' DATE OF RETROACTION. "his rule applies only if there is an 2MI4"I%@ A@-22+2%". IF THERE IS NO E=ISTING AGREEMENT, there is no retroactive effect because the date agreed upon shall be the start of the period of agreement.

 ONE- NION; ONE-COMPANY POLICY- the proliferation of unions in an employer unit is discouraged as a matter of policy unless there are compelling reasons which would deny a certain class of employees the right to selforgani#ation for purposes of collective bargaining. E=CEPTIONS! supervisory employees who are allowed to form their own unions apart from the rank-and-file employees LABOR MANAGEMENT CO NCILS deal with the employer on matters affecting employeeAs rights, benefits and welfare. "hey may be formed even if there is already a union in the company.

TAKE NOTE! Article /51-A on retroaction does not apply if the provisions were imposed by the 4ecretary of $abor by virtue of arbitration. It applies only if the agreement was voluntarily made by the parties.  S CCESSOR-IN-INTEREST DOCTRINE occurs when an employer is succeeded by another employer, the successor-in-interest who is a buyer in good faith has no liability to employees in continuing employment and collectively bargain because they are contracts in personam, as well as for cases of unfair labor practice. E=CEPTIONS TO THE S CCESSOR-ININTEREST DOCTRINE! &. If the transfer is done in bad faithB /. If it was done to circumvent the obligation of the sellerB 1. If the successor e!pressly assumes the obligations of the seller  BARGAINING IMPASSE @ e!ists when good faith bargaining on the part of the parties filed to resolve the issue and there are no definite plans for further efforts to break the deadlock

TITLE VII- A (*) in3,(0,(*%'+ .4 RA 9718) GRIEVANCE MACHINERY AND VOL NTARY ARBITRATION
 ART 29I. GRIEVANCE MACHINERY AND VOL NTARY ARBITRATION
 GRIEVANCE MACHINERY - +echanism for the adjustment of controversies or disputes arising from the interpretation or implementation of the C0A and the interpretation or enforcement of personnel policies  GRIEVANCE ARISES! when a dispute or controversy arises over the implementation or interpretation of a C0A or from the implementation or enforcement of company personnel policies, and either the union or the

 ART 28#. NO IN? NCTION R LE

employer invokes the grievance machinery provision for the adjustment or resolution of such dispute or controversy. both parties must resort to grievance machinery

it is the most effective weapon of labor in protecting the rights of employees to improve the stems and conditions of their employment.

 ART 291. ? RISDICTION OF VOL NTARY ARBITRATORS OR PANEL OF VOL NTARY ARBITRATORS  ? RISDICTION OF VOL NTARY ARBITRATORS!
2MC$74I<2 .-I@I%A$ I7-I4;IC"I.% C.%D2--2; 0E $A6 a, interpretation or implementation of the C0A b, interpretation or enforcement of company personnel polices - It is the labor arbiter and not the grievance machinery which has jurisdiction over dismissal pursuant to the union security clause. &. I7-I4;IC"I.% 0E A@-22+2%" .D "82 3A-"I24 - voluntary arbitrators shall also hear and decide all other disputes including 7$3 and bargaining deadlocks.

 STRIKE-BREAKER- any person who obstructs, impedes or interferes by force, violence, coercion, threats or intimidation with any peaceful picketing by employees during any labor controversy affecting wages, hour or conditions of work or in the e!ercise of the right to self organi#ation or collective bargaining  STRIKE AREA F the establishment, warehouse, depots, plants or offices, including the sites or premises used as runaway shops of the employer struck against, as well as the immediate vicinity actually used by picketing strikers in moving to an fro before all points of entrance to and e!it front said establishment  LOCKO T - means the temporary refusal of an employer to furnish work as a result of an industrial or labor dispute.

 GRO NDS FOR THE DECLARATION OF STRIKE

&. deadlock in collective bargainingB andGor /. unfair labor practices

 GRO NDS FOR ? DICIAL REVIEW OF DECISIONS OF VOL NTARY ARBITRATORS!

$ack of jurisdiction &. @rave abuse of discretion /. <iolation of due process 1. ;enial of substantial justice ). 2rroneous interpretation of the law

 WHO CAN DECLARE ECONOMIC (B*(6*inin6 D'*+/,3:) STRIKE!

&. Collective bargaining agent

 WHO CAN DECLARE POLITICAL ( LP) STRIKE!

&. collective bargaining agent /. $egitimate labor organi#ation in behalf of members  SIT-DOWN STRIKE - is characteri#ed by a temporary work stoppage of workers who thereupon sei#e or occupy property of the employer or refuse to vacate the premises of the employer.

TITLE VIII STRIKES AND LOCKO TS AND FOREIGN INVOLVEMENT IN TRADE NION ACTIVITIES
CHAPTER I STRIKES AND LOCKO TS  ART. 29". STRIKES; PICKETING AND LOCKO TS
 STRIKE - Any temporary stoppage of work by the concerted action of employees as a result of an industrial or labor dispute.

I) * )i%-+,1n )%(i:' /'6*/M

NO. It borders to a criminal act because the employees trespass on the premises of the employer.  WILDCAT STRIKE- is a work stoppage that violates the labor contract and is not authori#ed by the union.

I) * 1i/+3*% )%(i:' 2*/i+M

NO. It is not valid because it fails to comply with certain re uirements of the law, to

IMPORTANCE

wit, notice of strike, vote, and report on strike vote.

I) * K1'/6* n6 .*4*nL /'6*/M

NO. A Nwelga ng bayanH is illegal because it is a political strike and therefore there is no bargaining deadlock nor any 7$3. It is a political rally.  PICKETING - is the marching to and fro the employerAs premises, usually accompanied by the display of placards and other signs making knowing the facts involved in a labor dispute. "his is an e!ercise of ones freedom of speech.

where the e!istence of the union is threatened, the &5-day cooling-off period shall %." apply A%; the union may take action immediately.

the 3,,/in6 ,$$ 0'(i,+) *n+ )'2'n-+*4 )%(i:' .*n i) 5*n+*%,(4 otherwise the purposes for which they have been imposed would not be achieved

 E=CEPTION TO THE COOLING-OFF PERIOD! In case of dismissal from employment of union officers duly elected in accordance with the union constitution and by-laws, which may constitute union busting where the e!istence of the union is threatened, he &5-day cooling-off period shall %." apply A%; %&' -ni,n 5*4 %*:' *3%i,n i55'+i*%'/4 but they must still observe the mandatory ( day period before they can stage a valid strike.

ECONOMIC STRIKE
&. <oluntary strike because the employee will declare strike to compel management to grant its demands.

LP STRIKE
&. Involuntary = labor organi#ation is forced to go on strike because the 7$3 committed against them by the employer. It is an act of selfdefense since the employees are being pushed to the wall and their only remedy is to strike.

 STRIKE VOTE - is a re uirement wherein the decision to declare a strike must be= &. approved by a majority of the total union membership in the bargaining unit concerned, /. obtained by secret ballot 1. in meetings or referenda called for the purpose. P RPOSE OF A STRIKE VOTE - is to ensure that the intended strike is a majority decision.

 COOLING @OFF PERIOD - that period of time given the %C+0 to mediate and conciliate the parties. It is that span of time allotted by law for the parties to settle their disputes in a peaceful manner, before staging a strike or lockout.

 W&'n )&,-/+ %&' )%(i:' 2,%' .' )-.5i%%'+M

"he report on the strike vote must be submitted to the ;.$2 at least ( days before the intended strike subject to the cooling-off period.

N MBER OF DAYS IN THE COOLING OFF PERIOD! &. If the ground for the intended strike or
lockout is DEADLOCK IN COLLECTIVE BARGAINING, the cooling-off period is "I +*4) from the filing of the notice of strike. /. If the ground for the intended strikes is NFAIR LABOR PRACTICE, the coolingoff period is 18 +*4) from the filing of the notice of strike. "herefore= 8.62<2-, in case of dismissal from employment of union officers duly in accordance with the union constitution and by-laws, which may constitute union busting

 TESTS FOR THE LEGALITY OF A STRIKE! &. 6hether or not is has a /*1$-/ P RPOSE. /. 6hether or not is complies with the
PROCED RAL REF IREMENTS OF THE LAW, to wit F notice of strike 1>G&5-day cooling-off period strike vote (-day strike ban 1. 6hether or not it is e!ecuted through LAWF L MEANS. NOTE! T&' " %')%) 5-)% 3,n3-(.

 EFFECT OF GOOD FAITH OF STRIKERS ON LEGALITY OF STRIKE!

A strike may be considered legal where the union believed that the company committed 7$3 and the circumstances warranted such belief in good faith, although subse uently such allegations of 7$3 are found out as not true.

-the history of the particular employerAs labor relations of anti-union bias or -because of their connection with an established collateral plan of coercion or interference.H *-othenberg,  ISS ES THAT THE SECRETARY OF LABOR CAN RESOLVE WHEN HE ASS MES ? RISDICTION OVER A LABOR DISP TE!

 WHEN CAN THE SEC. OF LABOR ASS ME ? RISDICTION OVER A STRIKEM

&. there e!ists a labor dispute causing or likely to cause a strike or lockout in a industry indispensable to the national interest, /. the 4ecretary of $abor and 2mployment may assume jurisdiction and 2I"82-= decide it or certify the same to the Commission for C.+37$4.-E A-0I"-A"I.%. INDISPENSABLE IND STRY is based solely upon the discretion of the 4ecretary of $abor

&. .nly issues submitted to the 4ecretary may

be resolved by him. (PAL 2). S'3. ,$ L*.,(; 2" ?*n-*(4 1BB1) /. Issues submitted to the 4ecretary for resolution and such issues involved in the labor dispute itself. (S%. S3&,/*)%i3*A) C,//'6' 2). T,(('); 2B ?-n' 1BB2) 1. 4ecretary of $abor may subsume pending labor cases before $abor Arbiters which are involved in the dispute. (In%A/ P&*(5*3'-%i3*/) 2). S'3 ,$ L*.,(; IB ?*n-*(4 1BB2). ). 3ower of 4ec. of $abor is plenary and discretionary. (S%. L-:'A) M'+i3*/ C'n%'( 2). T,(('); 2B ?-n' 1BB"B reiterated in PAL 2). C,n$'),(; 1I M*(3& 1BB#).

 EFFECTS OF THE ASS MPTION OF ? RISDICTION OF THE SECRETARY &. *-%,5*%i3*//4 'nH,inin6 the intended or
impending strike or lockout as specified in the assumption or certification order. /. if one has already taken place at the time of assumption or certification, all striking or locked out employees shall i55'+i*%'/4 ('%-(n %, 1,(: and 1. the employer shall immediately resume operations and ('*+5i% *// 1,(:'() under the same terms and conditions prevailing before the strike or lockout. ). A motion for reconsideration does not suspend the effects as the assumption order is immediately e!ecutory.

 TESTS TO DETERMINE VALIDITY OF STRIKES. &. P RPOSE TEST - "he strike must be due
to either andGor -unfair labor practice. -bargaining deadlock

/. MEANS EMPLOYED TEST- -A strike may

be legal at its inception but eventually be declared illegal if the strike is accompanied by violence which violence is widespread, pervasive and adopted as a matter of policy and not merely violence which is sporadic which normally occur in a strike area. ". IN ACCORDANCE WITH PROCED RAL N S BSTANTIVE REF IREMENTS OF LAW

 TOTALITY DOCTRINE!
NV the culpability of an employerAs remarks were to be evaluated not only on the basis of their implicit implications, but were to be appraised against the background of and in conjunction with collateral circumstances.

 In C*)' %&' )%(i:' i) +'3/*('+ /'6*/; *(' %&' )%(i:'() 'n%i%/'+ %, )%(i:' +-(*%i,n 0*4M
IT DEPENDS.

n+'( %&i) K+,3%(in'L e!pressions of opinion by an employer which, though innocent in themselves, fre uently were held to be culpable because of the circumstances under which they were uttered,

&. If it is an E3,n,5i3 S%(i:'

NO, the strikers are %." entitled to strike duration pay since the employer should get the e uivalent dayAs work for what the pays his employees.

/. If it is a LP S%(i:'

6ould depend on the authority deciding (+i)3('%i,n*(4).

GENERAL R LE! - 4trikers are not entitled to their wages

during the period of a strike, '2'n i$ %&' )%(i:' i) /'6*/.

b. AD"2- certification or submission of the dispute to compulsory or voluntary arbitration or -;7-I%@ the pendency of cases involving the same grounds for the strike or lockout. b, %. person all obstruct, impede or interfere with .II by force, violence, coercion, threats or intimidation D<C"I - any peaceful picketing by employees - during any labor controversy or in the e!ercise of the right of selforgani#ation or collective bargaining or shall aid or abet such obstruction or interference. c, %. employer shall use or employ any 4"-IC2-0-2AC2- nor shall any person be employed as a strike-breaker. d, %. public official or employee, including officers and personnel of the %ew Armed Dorces of the 3hilippines of the Integrated %ational 3olice, or armed persons, - shall bring in, introduce or escort in any manner, - any individual who seeks to replace strikes in entering or leaving the premises of a strike area, or work in place of the strikers. - "he police force shall keep out of the picket lines unless actual violence or other criminal acts occur therein= Pro'ided, "hat nothing herein shall be interpreted to prevent any public officers from taking any measure necessary to= - maintain peace and order, - protect life and property, andGor - enforce the law and legal order. e, %. person engaged in picketing shall - commit any act of violence, coercion or intimidation or - obstruct the free ingress to or egress from the employerAs premises for lawful purposes, or - obstruct public thoroughfares.

E=CEPTIONS!
&. 6here the strikers voluntarily and unconditionally offered to return to work, but the employer refused to accept the offer. -"hey are entitled to backwages from the date the offer was made -e.g. of 7nconditioned offer= Nwe will return tomorrowH and %." Nwilling to return providedVH

/. 6here there is return-to-work and the employees are discriminated against. - -"hey are entitled to backwages from the date of discrimination.  R LES IN STRIKES IN HOSPITALS &. It shall be the duty of striking employees or locking-out employer to provide and maintain an effective skeletal workforce of medical and other health personnel for the duration of the strike or lock-out. /. 4ecretary of $abor may immediately assume jurisdiction within /) hours from knowledge of the occurrence of such strike or lock-out or certify it to the Commission for compulsory arbitration GOCCs organi#ed under the Corporation Code with no original charter of its own can declare a strike.

 ART 29#. PROHIBITED ACTIVITIES

&. %. labor organi#ation or employer shall declare a strike or lockout - without first having bargained collectively in accordance with "itle <II of this 0ook or - without first having filed the notice re uired in the preceding Article or without the necessary strike or lockout vote first having been obtained and reported to the ;epartment. %. strike or lockout shall be declared= a. AD"2- assumption of jurisdiction by the 3resident or the 4ecretary or

 R LES ON REINSTATEMENT OF WORKERS!

GENERAL R LE 6 4triking employees are entitled to reinstatement, regardless of whether or not the strike was the conse uences of the employerAs 7$3

REASON= because while out of strike, the strikers are not considered to have abandoned their employment, but rather have only ceased from their labor. - -"he declaration of a strike is %." a renunciation of employment relation. E=CEPTIONS= "he following strikers are %." entitled to reinstatement= &. union officers who knowingly participates in an illegal strikeB and /. any strikerGunion member who knowingly participate in the commission of illegal acts during the strike.

TITLE I TERMINATION OF EMPLOYMENT

 ART 27B. SEC RITY OF TEN RE
 SEC RITY OF TEN RE is the constitutional right granted the employee, that the employer shall not terminate the services of an employee e!cept for just cause or when authori#ed by law. An employee that has been dismissed illegally is entitled to= a. -einstatement b. 0ackwages

 ART 298. BALLOTING

IMPROVED

OFFER

 ART 2EI. REG LAR AND CAS AL EMPLOYMENT

 REG LAR EMPLOYMENT- .ne wherein an employee is engaged to perform activities which are usually necessary or desirable in the usual business or trade of the employer.  TEMPORARY EMPLOYMENT-.ne wherein an employee is engaged to work on a specific project or undertaking which is usually necessary or desirable in the usual business or trade of the employer, the completion of which has been determined at the time of the agreement of the employee.

IMPROVED OFFER BALLOTING! a referendum conducted by the %C+0 on or before the 1>th day of the strike, for the purpose of determining whether or not the improved offer of the union is acceptable to the union members. applies only to economic strikes *bargaining deadlock, P RPOSE= to ascertain the real sentiment of the silent majority of the union members on strike.  RED CED OFFER BALLOTTING a referendum conducted by the %C+0, for the purpose of determining whether or not the reduced offer of the union is acceptable to the board of directors, trustees or partners. applies only to economic strike

 SEASONAL EMPLOYMENT-.ne wherein

an employee is engaged to work during a particular season on an activity that is usually necessary or desirable in the usual business or trade of the employer.

 PROBATIONARY

 ART 299. ARREST AND DETENTION

 G'n'(*/ (-/' is that a police officer cannot arrest or detain a union member for union activities without previous consultations with the 4ecretary of $abor '73'0% on grounds of= a. national security b. public peace c. commission of a crime

PERIOD OF EMPLOYMENT - the period needed to determine the fitness for the job, i .e., the time needed to learn the job. It is period during which the employer may determine if the employee is ualified for possible inclusion in the regular force. NOTE= "he standard which the probationary employee is to meet must be made known by the employer to the employee at the time of the engagement. 3robationary employees may be terminated for the same causes as a regular employee, e!cept that there is an additional ground F failure to meet the standard.

BOOK SI= POST EMPLOYMENT

 Is it necessary that probationary employment be for a period of 9 monthsW %o. 3rovided that the following re uisites concur= &. it is done before the lapse of 9 monthsB /.employee must be advised of such e!tensionB 1. employee must agree.  EFFECT IF PROBATIONARY EMPLOYEE IS ALLOWED TO WORK BEYOND 9 MONTHS! If the probationary employee is allowed to work beyond the period of 9 months or the agreed probationary period, said employee become a regular employee by operation of law. 7nder the $abor Code, Nan employee who is allowed to work after a probationary period shall be considered a regular employee.H *Art. /?&.,

b. deleterious to his health or his coemployees. c. certification from public heath officer that illness is incurable within 9 months.  STANDARDS NDER EMPLOYER MAY RETRENCH! WHICH AN

&. $osses e!pected should be imminent and substantial. /.It must be reasonably necessary and likely to effectively prevent the e!pected losses 1. Alleged losses if already incurred, and the e!pected imminent losses sought to be forestalled, must be proved by sufficient and convincing evidence.

 ART. 2E8. EMPLOYEE

TERMINATION

BY

 ART. EMPOYER

2E2.

TERMINATION

BY

 TERMINATION BY THE EMPLOYEE

An employee may terminate 6I"8.7" I74" CA742 the employee-employer relationship by serving a WRITTEN NOTICE on the employer at least one month in advance. . "he employer upon whom no such notice was served may hold the employee liable for damages. An employee may put an end to establish WITHO T SERVING ANY NOTICE on the employer for any of the following H-)% 3*-)')! &. 4erious insult by the employer or his representative on the hour and person of the employeeB /. Inhuman and unbearable treatment accorded the employee by the employer or his representativeB 1. Commission of a crime or offense by the employer or his representative against the person of the employee or any of the immediate members of his familyB and ). .ther causes analogous to any of the foregoing.

 ? ST CA SES! &. 4erious misconduct or willful disobedience by the employee of the lawful orders of his employer or representative in connection with his workB /. @ross and habitual neglect by the employee of his dutiesB 1. Draud or willful breach by the employee of the trust reposed in him by his employer or duly organi#ed representativeB ). Commission of a crime or offense by the employee against the person of his employer or any immediate member of his family or his duly authori#ed representativeB and 5. .ther causes analogous to the following=

 ART. 2E"- 2E#

A THORI>ED CA SES TERMINATION BY THE EMPLOYER!

OF

&. "he installation of labor-saving devices *automation, /. -edundancy *superfluity in the performance of a particular work, 1. -edundancy to prevent losses *there is e!cess of employees and employer wants to prevent financial losses, ). "he closing or cessation of operation of the establishment or undertaking 7%$244 the closing is for the purpose of circumventing the provisions of the $abor Code. 5. Illness a. If illness is incurable within 9 months and is

 SEPARATION PAY
In case of termination due to a, "82 I%4"A$$A"I.% .D $A0.--4A<I%@ ;2<IC24 .D b, -2;7%;A%CE, - the worker affected thereby shall be entitled to a separation pay e uivalent to at least one *&, month pay or to at least one *&, month pay for every year of service, whichever is higher.

c, -2"-2%C8+2%" ". 3-2<2%" $.4424 and C$.47-24 .- C244A"I.% .D .32-A"I.%4 *%." due to serious business losses or financial reverses, - "he separation pay shall be e uivalent to one *&, month pay or at least X month pay for every year of service, whichever is higher. d, In the case of I$$%244 - separation pay e uivalent to at least one month salary or to X month salary for every year of service, whichever is greater, a fraction of at least 9 months shall be considered one *&, whole year. NOTE= If C$.47-2 is due to severe financial losses, it is still debatable whether or not separation pay should be given. - I f you are able to prove that such portion of capital *&>J, investment has been impaired, the employer should be e!empt for the payment of separation pay.  G IDELINES TO DETERMINE THE VALIDITY OF TERMINATION! &. @ravity of the offence /. 3osition occupied by the employee 1. ;egree of damage to the employer ). 3revious infractions of the same offense 5. $ength of service

establishments or operations employing %." more than ten *&>, employees or workers.

BOOK SEVEN TRANSITORY AND FINAL PROVISIONS TITLE II PRESCRIPTION OF OFFENSES AND CLAIMS
 ART. 2B1. MONEY CLAIMS
 PERIODS OF PRESCRIPTION

A. MONEY CLAIMS-"he prescriptive period is

1 years from the accrual of the cause of action. 0. LP -"he prescriptive period of filing a case for 7$3 is & year from the accrual of the cause of action.  ILLEGAL DISMISSAL "he prescriptive period of filing a case for illegal dismissal is ) years from the accrual of the cause of action. *Art. &&)9, NOTE= "he period of prescription mentioned under Article /?&, now Article /'/, of the $abor Code, refers to and Nis limited to money claims, all other cases of injury to rights of a workingman being governed by the Civil Code. 8ence, reinstatement prescribes in ) years.

 ART 2E7. RETIREMENT

 RETIREMENT AGE $"he age of retirement is that specified in the C0A or in the employment contract. If it is not specified, &. 9>-95 -retirement is optional but the employee must have served at least 5 years B /. 95-compulsory retirement age *no need for 5 years of service,

POST- EMPLOYMENT
 FORMS OF REINSTATEMENT= &. ACT AL OR PHYSICAL REINSTATEMENT -the employee shall be admitted back to workB /. PAYROLL REINSTATEMENT - the employee is merely reinstated in the payroll.  PERIOD COVERED BY THE PAYMENT OF BACKWAGES! 0ackwages shall cover the period from the date of dismissal of the employee up to the date of actual reinstatement.A  SEC RITY OF TEN RE! An employer CA%%." terminate the services of an employee 2MC23" for a just cause or when authori#ed by law.  REF IREMENTS OF D E PROCESS BEFORE AN EMPLOYEE CAN BE REMOVED!

 BENEFITS- A retiree is entitled to a retirement pay e uivalent at least X month salary for every year of service, a fraction of at least si! *9, months being considered as one whole year. 7nless the parties provide for broader inclusions, the term None half *&G/, monthH salary shall mean= &5 days plus &G&/ of the &1th month pay and the cash e uivalent of %." more than 5 days of service incentive leaves. *//.5 days per year of service,  NOTE= 2!empted from the payment of retirement pay are retail, service and agricultural

&. written notice to apprise the employee of the particular acts or omission for which his dismissal is sought and is hereby considered as the proper chargeB /. ample opportunity to be employee to be heard and if the employee so decides, with the assistance of counselB and 1. written notice informing the employee of the employerAs decision to dismiss him. K7nder the so-called OWENPHIL DOCTRINEH if just or authori#ed cause e!ist but the affected employees right to due process has been violated, the dismissal is valid but the employee is entitled to damages by way of indemnification for the violation of the right. .n Ian. /(, />>>, the 4C in the case of SERRANO 2). ISETANN '%. */. ;isregarded this 62%38I$ ;.C"-I%2 and ruled that if the employeeAs right to due process is violated, his dismissal becomes illegal regardless of the e!istence of a just and authori#ed cause.  REINSTATEMENT 6 Restoration of the employee to state from which one has been removed or separated without loss of seniority rights and other privileges.  WHAT HAPPENS IF THERE IS AN ORDER OF REINSTATEMENT B T THE POSITION IS NO LONGER AVAILABLEM If the position previously occupied by the employee is no longer available at the time of reinstatement, he should be given a substantially e uivalent position.  I$ THERE IS NO S BSTANTIALLY EF IVALENT POSITION! If no substantially e uivalent position is available, reinstatement should not be ordered because that would in effect compel the employer to do the impossible. In such a situation, the employee should merely be given separation pay of the one month salary for every year of service *&=&,.  CIRC MSTANCES WHEN COMPANY MAY NOT REINSTATE DESPITE ORDER OF REINSTATEMENT &. "ransfer of business ownershipB"here is no law re uiring a purchasing corporation to absorb the employees of the selling corporation. A fortiori, reinstatement of unjustly dismissed employees CA%%." be enforced against the new owner 7%$244 there is an e!press agreement on the assumption of liabilities by the purchasing corporation. /. 6hen reinstatement is rendered impossible due to the abolition of the positionB 1. 6hen the business has closed downB ). 3hysical incapacity of employee

5. ;octrine of 4trained -elations-6hen the employer can no longer trust the employee and vice-versa, reinstatement could not effectively serve as a remedy. Applies only to positions which re uire trust and confidenceB or 7nder the circumstances where the employment relationship has become so strained to preclude a harmonious working relationship, and that all hopes at reconciliation are nil after reinstatement, it would be more beneficial to accord the employee backwages and separation pay. BACKWAGES--elief given to an employee to compensate him for lost earnings during the period of his dismissal. H,1 3,50-%'+! 7nder e!isting law, backwages is computed from the time of the illegal dismissal up to time of actual reinstatement.  WHAT ARE INCL DED IN COMP TATION OF BACKWAGES THE

&. transportation and emergency allowances /. vacation or service incentive leave and sick leave 1. &1th month pay. 8owever, facilities such as uniforms, shoes, helmets and ponchos should %." be included in the computation of backwages. REASON= said items are given free, to be used only during official tour of duty not for private or personal use.  CIRC MSTANCES THAT AWARD OF BACKWAGES! &. /. 1. ). 5. 9. PREVENT

death of the employee physical and mental incapacity business reverses closure of business reinstatement of dismissed employee confinement in jail

SPECIAL LAWS
SOCIAL SEC RITY SYSTEM
 COVERAGE! Compulsory upon all employees not over 9> years of age and their employers In case of domestic &'/0'(), their monthly income shall not be less than one thousand pesos Any benefit already earned by the employees under private benefit plans e!isting at the time of the approval of the Act shall not be

discontinued, reduced or otherwise impaired and shall continue to remain under the employerAs management unless there is an e!isting agreement to the contrary Dilipinos recruited by foreign based employers for employment abroad may be covered by the 444 on a voluntary basis Compulsory upon such self- employed persons as may be determined by the Commission including but not limited to the following= &. all self employed professionals /. partners and single proprietors 1. actors and actresses directors ). professional athletes, coaches, trainers 5. individual farmers and fishermen  EFFECTIVE DATE OF COVERAGE! 4hall take effect on the first day of the operation with respect to the employer and that of the employee on the day of his employment  DEPENDENTS! &. the legal spouse entitled by law to receive support from the member /. the legitimate, legitimated or legally adopted and illegitimate child who is unmarried, not gainfully employed and has not reached /& years of age or if /& years of age, he is congenitally incapacitated or while still a minor has been permanently incapacitated and incapable of selfsupport, physically and mentally and 1. the parent who is receiving regular support from the member  EMPLOYER Any person natural or juridical, domestic or foreign, who carries on in the 3hilippines, any trade business, industry undertaking or activity of any kind and uses the services of another person who is under his orders as regards the employment e!cept the @overnment and any of its political subdivisions, branches or instrumentalities, including corporations owned or controlled by the @overnment 4elf- employed person shall be both the employer and employee at the same time.  EMPLOYEE

Any person who performs services for an employer in which either or both mental and physical efforts are used and who receives compensation for such services, where there is an employer- employee relationship.  BENEFICIARIES "he dependent spouse until he or she remarries, the dependent legitimate, legitimated or legally adopted and illegitimate children who shall be the primary beneficiaries of the member, 3-.<I;2; that the dependent illegitimate children shall be entitled to 5>J of the share of the legitimate, legitimated or legally adopted children In the absence of the legitimated, legally adopted or legitimate children, illegitimate children shall be entitled to &>>J of the benefits. In their absence, the dependent parents who shall be the secondary beneficiaries. In the absence of all of the foregoing, any person designated by the covered employee as secondary beneficiary

MEDICARE
 COVERAGE! All 444 members are covered under the +edicare program. "otal 0'(5*n'n% disability, unemployed partial permanent disability, retirement pensioners and survivors of deceased members of the 444 and their dependents are also entitled to medical care benefits without need of additional contributions  PERIOD OF ENTITLEMENT "he member or pensioner is entitled to a ma!imum of )5 days confinement in a hospital in a given calendar year. 8is dependents are given another set of )5 days to be shared among themselves. 7nused benefits cannot be carried over to the succeeding year.

GOVERNMENT SERVICE INS RANCE SYSTEM

 COMP LSORY MEMBERSHIP Compulsory for all employees receiving compensation who have not reached the compulsory retirement age, irrespective of employment status, e!cept members of the Armed Dorces and the 3%3, subject to the

condition that they must settle first their financial obligations with the @4I4 and contractuals who have no employer and employee relationship with the agencies they serve. 2!cept for the members of the Iudiciary and constitutional commissions who shall have life insurance only, all members of the @4I4 shall have life insurance, retirement and all other social security protection such as disability, survivorship, separation and unemployment benefits.  COMP TATION OF SERVICE "he computation of service for the purpose of determining the amount of benefits payable shall be from the date of the original appointmentG election including periods of service at different times under the authority of the -epublic of the 3hilippines and those that may be prescribed by the @4I4 in coordination with the Civil 4ervice Commission. All service credited for retirement, resignation or separation for which corresponding benefits have been awarded shall be e!cluded in the computation of service in case of reinstatement in the service of an employer and subse uent retirement or separation which is compensable.  NEMPLOYMENT OR INVOL NTARY SEPARATION BENEFITS

/. If separated from service, he has paid at least 19 monthly contributions within the 5 year period immediately preceding the disability or has paid a total of at least &?> monthly contributions prior to the disability 7nless the member has reached the minimum retirement age, disability benefits shall be S SPENDED when= &. he is reemployed /. he recovers from his disability as determined by the @4I4, whose decision shall be final and binding 1. he fails to present himself for medical e!amination when re uired by the @4I4  TEMPORARY DISABILITY BENEFITS (5J of the current daily compensation for each day or fraction thereof of temporary disability benefit not e!ceeding &/> days in one calendar year after e!hausting all sick leave credits and collective bargaining agreement sick leave benefits. 3-.<I;2;= &. he is in service at the time of his disability /. if separated, he has rendered at least 1 years of service and has paid at least 9 monthly contributions in the &/- month period immediately preceding the disability 8.62<2-= A member cannot enjoy temporary total disability benefit and sick leave pay simultaneously. In no case shall it be less than (> pesos a day.  S RVIVORSHIP BENEFITS! 7pon the death of a member, the primary beneficiaries shall be entitled to= survivorship pension, 3-.<I;2;= a. member was in service at the time of his deathA b. if separated from service, has rendered at least 1 years of service and paid 19 monthly contributions with the 5- year period immediately preceding his death or has paid a total of at least &?> monthly contributions.  LIFE INS RANCE BENEFITS

+onthly cash payments e uivalent to 5>J of the average monthly compensation shall be paid to a permanent employee who is involuntarily separated from the service due to the abolition of his office or position usually resulting from reorgani#ation.  RETIREMENT BENEFITS! CONDITIONS FOR ENTITLEMENT &. +ember has rendered at least &5 years of service /. 8e is at least 9> years of age at the time of retirement 1. 8e is not receiving a monthly pension benefit from permanent total disability  PERMANENT DISABILITY BENEFITS +onthly income benefit for life e ual to the basic monthly pension effective from the date of the disability. 3rovided= &. 8e is in the service at the time of the disability

All employees e!cept members of the AD3 and the 3%3 shall be compulsorily covered with life insurance.  PRESCRIPTION OF CLAIMS Claims for benefits under the Act e!cept for life and retirement shall prescribe after ) years from the date of the contingency.  ? RISDICTION @4I4 shall have the e!clusive and original jurisdiction to settle any dispute arising under the Act and any other laws administered by the @4I4.

&. Mone# Claims.-, the La4or Ar4i"ers o* "he Na"ional La4or Rela"ions Commission 0NLRC3 shall have the ori inal and e5clusi'e &urisdic"ion to hear and decide, the claims arising out of an emplo#er$emplo#ee rela"ionship or by virtue of any law or contract involving Dilipino workers for overseas deployment including claims for actual, moral, e!emplary and other forms of damages.  LIABILITIES "he liability of the principalGemployer and the recruitmentGplacement agency for any and all claims under this section shall be &oin" and se'eral. "he performance bond to be filed by the recruitmentGplacement agency, as provided by law, shall be answerable for all money claims, or damages that may be awarded to the workers. If the recruitmentGplacement agency is a juridical being, the corporate officers and directors and partners as the case may be, shall themselves be jointly and solidarily liable with the corporation or partnership for the aforesaid claims and damages. 4uch liabilities shall continue during the entire period or duration of the employment contract and shall not be affected by any substitution, amendment or modification made locally or in a foreign country of the said contract.

RA EI#2! PMIGRANT WORKERS AND OVERSEAS FILIPINOS ACT IF 1BB8P

Approved on >( Iune &''5 and took effect on &5 Iuly &''5. As indicated in its title, the law institutes the policies of overseas employment and establishes a higher standard of protection and promotion of the welfare of migrant workers, their families, and of overseas Dilipinos in distress.  G ARANTEE OF PROTECTION FOR OVERSEAS WORKERS "he 4tate shall deploy overseas Dilipino workers only in countries where the rights of Dilipino migrant workers are protected. "he government recogni#es any of the following as a guarantee for the protection of the receiving country of the rights of overseas Dilipino workers= &. It has e!isting labor and social laws protecting the rights of migrant workersB /. It is a signatory to multilateral conventions, declarations or resolutions relating to the protection of migrant workersB 1. It has concluded a bilateral agreement or arrangement with the government protecting the rights of overseas Dilipino workersB and, ). It is taking positive, concrete measures to protect the rights of migrant workers.  ? RISDICTION - NLRC -A ?>)/ has transferred to the %$-C the jurisdiction over employer-employee cases

POEA
"he 3.2A retains original and e!clusive jurisdiction to hear and decide= &. all cases which are administrative in character, involving or arising out of violations of rules and regulations relating to licensing and registration of recruitment and employment agencies or entitiesB and, /. disciplinary action cases and other special cases which are administrative in character, involving employers, principals, contracting partners and Dilipino migrant workers.

T&('' M,n%&Q) P*4

n+'( RA EI#2

"he date the employment termination occured is material. .n or after &5 Iuly &''5, the law to apply is -A ?>)/. 7nder !ec"ion 67 o* RA 879:, a worker dismissed from overseas employment without just, valid or authori#ed cause as defined by law or contract, is entitled to the full reimbursement of his placement fee with interest at twelve percent *&/J, per annum, plus his salary for the une!pired portion of his employment contract or

for three *1, months for every year of the une!pired term, whichever is LE!!.

 VEN E
A criminal action arising from illegal recruitment shall be filed with the -"C of the province or city where the offense was committed or where the offended party actually resides at the time of the commission of the offense. "he court where the criminal action is first filed shall ac uire jurisdiction to the e!clusion of other courts.  PRESCRIPTIVE PERIODS Illegal recruitment cases under this Act shall prescribe in five *5, yearsB provided, however, "hat illegal recruitment cases involving economic sabotage as defined herein shall prescribe in twenty */>, years. (S'3. 12; R.A. EI#2) PROHIBITED ACTS IN THE RECR ITMENT AND PLACEMENT OF WORKERS NDER THE LABOR CODE ARE RETAINED NDER THE MIGRANT WORKERS ACT WITH THE ADDITION OF THE FOLLOWING!

agencies of the government, including government- owned or controlled corporations 6I"8 original charters All government employees can form, join or assist employeesA organi#ations of their own choosing for the furtherance and protection of their interest. "hey can also form in conjunction with appropriate government authorities, labor- management committees, works councils and other forms of workersA participation schemes to achieve the same objectives. 8igh- level employees whose functions are normally considered as policy- making or managerial or whose duties are of a highly confidential nature shall not be eligible to join the organi#ation of rank and file government employees.  PROTECTION ORGANI>E OF THE RIGHT TO

&. Dailure to deploy employee without valid reason /. Dailure to reimburse e!penses incurred in connection with his documentation and processing in cases that deployment did not take place

&. @overnment employees shall not be discriminated against in respect of their employment by reason of their membership in employeesA organi#ation or participation in the normal activities of the organi#ation. /. @overnment authorities shall not interfere in the establishment, functioning or administration of government employeesA organi#ation through acts designed to place such organi#ation under the control of the government authority  REGISTRATION @overnment employeesA organi#ation shall register with the Civil 4ervice A%; the ;epartment of $abor and 2mployment .

 DIFFERENT F NDS CREATED

THE LAW! &. /. 1. ).

NDER

-epatriation fund $oan @uaranty fund $egal Assistance fund Congressional +igrant 6orkers 4cholarship fund

1"TH MONTH PAY LAW (P.D. E81)

 WHO ARE E=CL DED FROM COVERAGE! &. government employees /. employees already receiving &1th month pay 1. household helpers ). employees paid purely on commission basis  WHAT CAN BE CONSIDERED AS 1"TH MONTH PAY! &. Christmas bonus /. +idyear bonuses

 GOVERNMENT AGENCIES MOBILI>ED! &. /. 1. ).  ;DA ;.$2 3.2A .66A

G IDELINES ON THE RIGHT TO ORGANI>E OF GOVERNMENT EMPLOYEES (E. O. 1EI) COVERAGE -Applies to all employees of all branches, subdivisions, instrumentalities and

1. Cash bonuses

=. SOCIAL WELFARE LEGISLATION COMPARATIVE CHART

SSS (RA 1191)) "o establish, develop, promote and perfect a sound and viable ta! e!empt social security system suitable to the needs of the people which shall provide employees and their beneficiaries protection against the ha#ards of disability, sickness, old age, death and other contingencies resulting in loss of income or financial burden. 2mployers in private sector All government agencies and instrumentalities , including @.CCs All employers *private or public, GSIS (RA E2B1 ECC (PD 929)

STATEMENT OF POLICIES

EMPLOYER COVERAGE COMP LSORY

&. 2mployees not over 9> years of age and their employers. /. /. ;omestic helpers whose monthly income is not less than 3&,>>>.>>. 1. 4elf-employed persons as determined by the Commission = a, self-employed professionalsB b, partners and single proprietorsB c, actors and actresses, directors, etcB d, professional athletes, coaches, trainers, etc. and e, individual farmers and fishermen.

&. Compulsory for all employees receiving compensation who have not reached compulsory retirement age irrespective of employment status. YIncluding barangay and sanggunian officials

Any person compulsorily covered by @4I4 or 444 Any person employed as casual, emergency, temporary, substitute or contractual

VOL NTARY

&. 4pouses who devote full time to managing of household and family affairs, 7%$244 they are also engaged in other vocation or employment which is subject to +A%;A".-E coverage. /. /. Dilipinos recruited by foreign-based employers for employment abroad. 1. 2mployees separated from employment by paying "."A$ contribution *meaning = both employer and employeeAs share, Any foreign government, international organi#ation or their wholly owned instrumentality +A" enter into agreement for the inclusion of their employees 2MC23" those covered by their own respective civil service retirement systems.

BY-ARRANGEMENT

E=EMPTED EMPLOYMENT

&. purely CA47A$ and not for purpose or occupation of the employer. /. 3erformed in an alien vessel by an employee if he is employed when such vessel is outside of the 3hilippines. 1. 0y the government of the 3hilippines or instrumentality or agent thereof. ). Doreign government of international organi#ation.

&. AD3 /. 3%3 1. Contractuals who have no employer and employee relationship Y +embers of the judiciary and the Constitutional Commissions F life insurance only

BENEFITS

&. /. 1. ). 5. 9. (. ?.

+onthly pension ;ependentsA pension -etirement ;eath 0enefits 3ermanent ;isability benefits Duneral 4ickness +aternity

&. /. 1. ). 5. 9.

$ife Insurance -etirement ;isability 4urvivorship 4eparation 7nemployment

Y $ife insurance for the members of the judiciary and constitutional commissions.

BENEFICIARIES PRIMARY &. ;ependent spouse until remarriage /. ;ependent legitimate, legitimated or legally adopted and illegitimate children &. $egal, dependent spouse until remarriage /. ;ependent children F defines as the legitimate, legitimated, legally adopted child, including the illegitimate child, who is unmarried, not gainfully employed, not over the age of majority, or is over the age of majority but is incapacitated and incapable of self-support. &. ;ependent parents /. $egitimate descendants subject to the restrictions on dependent children, the legitimate descendants

SECONDARY

&. In the absence of primary beneficiaries, dependent parents

CONTRIB TIONS

&. 2mployerAs contributions /. 2mployeesA contribution 1. @overnment contribution &. Dor those with employees F 2mployee contribution shall be deducted by the employees based on an approved schedule. 2mployer shall remit 0."8 2+3$.E22 A%; 2+3$.E2- contribution to the system. /. Dor self-employed F 4elf-employed shall pay 0."8 2+3$.E2- A%; 2+3$.E22 contributions to the system. 1. Dor government contribution F remitted to the 444 within the first &> days of each calendar month following the month got which they are applicable. Y Contributions under this Act in case where an employer refuses or neglects to pay the same shall be collected by the 44 in the same manner as ta!es are made collectable under the %ational Internal -evenue Code.

&. 2mployerAs contribution /. 2mployeeAs contribution &. "he employer shall deduct each month from the salary or compensation of each employee the contribution payment. 2mployer shall remit to the system within &> days the 2mployer-2mployee contributions.

MODE OF COLLECTION

PENALTIES

&. Dalse statement or misrepresentation as to any compensation as to any compensation paid or received or whoever makes or causes to be made any false statement of a material fact in any claim for any benefit payable under this Act F Art. &(/ of the -3C *falsification be private individuals and falsified documents, /. .btaining or receiving any money or check without being entitled thereto with intent to defraud any covered employee, employer or 444 F fine of 35,>>>.>> to 3/>,>>>.>> and imprisonment of 9 years and & day to &/ years or both. 1. 0uys, sells, offers for sale, uses, transfers, takes or gives in e!change, or pledges or give in pledge, e!cept as authori#ed in this Act F fine of 35,>>>.>> to 3/>,>>>.>> or imprisonment of 9 years and & day to &/ years or both. ). +akes, alters, forges or counterfeits any stamps, coupon, ticket or other device prescribed by the Commission, or uses, sells, lends or in his possession any such altered, forged, or counterfeited materials, or makes, uses or sells or has in his possession any materials used in the manufacture of such stamp, coupon, ticket or book F fine of 35,>>>.>> to 3/>,>>>.>> or imprisonment of 9 years and & day to &/ years or both.

&. 3articipating directly or indirectly in commission of fraud, collusion, falsification or misrepresentation in any transaction of the @4I4 F Article &(/ of the -3C *Dalsification by private individuals and use of falsified documents, /. -eceiving money or check involving provision of this act, without being entities with intent to defraud F fine of 35,>>>.>> to 3/>,>>>.> or imprisonment of 9 years and & day to &/ years or both. 1. -efusing to comply with the provisions of this Act F fine of 35,>>>.>> to 3/>,>>>.>> or imprisonment of 9 years and & day to &/ years or both. ). Dailure to include in the annual budget corresponding employer contributions by finance officers, treasurers, cashiers, etc. F 9 months and & day to 9 years imprisonment and a fine of 31,>>>.>> to 39,>>>.>> and absolute perpetual dis ualification from holding office. 5. +isappropriation or taking of funds and property of the @4I4 for purposes other than authori#ed in this Act F Article /&( of -3C

5. Dails or refuses to comply with the provisions promulgated by the Commission F fine of 35,>>>.>> ot 3/>,>>>.>> or imprisonment of 9 years and & day to &/ years or both. 9. +isappropriation of funds F penalties under Article /&( of the -3C. (. Dailure to remit the said deductions to the 444 within 1> days from date they become due F Article 1&5 of the -3C *2stafa,. ENTITLED TO RETIREMENT BENEFITS +ember has reached age of 9> or 95.

*+alversation of public funds or properties,. 9. Dor head of officers who fails or refuses payment or remittance of @4I4 payments within 1> days from the time its demandable F imprisonment of & year to 5 years and fine of 3&>,>>>.>> to 3/>,>>>.>> and aboslute perpetual dis ualification. .3"I.%A$. +ember meets the ff = &. has worked for at least &5 years. /. Is at least 9> years of age at time of retirement, and 1. Is not receiving monthly pension benefit from permanent total disability C.+37$4.-E. +ember is 95 years with at least &5 years of service *if service is less than &5 years, he may be allowed to continue in accordance with Civil 4ervice -ules and -egulations.,

DISABILITIES DEEMED PERMANENT TOTAL

&. Complete loss of sight in both eyes. /. $oss of two limbs at or above the ankle or wrist. 1. 3ermanent complete paralysis of two limbs. ). 0rain injury resulting in incurable imbecility or insanity. 5. .ther cases determined by 444.

&. Complete loss of sight in both eyes. /. $oss of two limbs at or above the ankle or wrist. 1. 3ermanent complete paralysis of two limbs. ). 0rain injury resulting in incurable imbecility or insanity 5. .ther cases determined by @4I4.

&. "emporary total disability lasting over &/> days. /. Complete loss of sight in both eyes. 1. $oss of limbs at or above the ankle or wrist. ). 3ermanent complete paralysis of two limbs.

5. 0rain injury resulting in incurable imbecility or insanity. 9. .ther cases determined by +edical ;irector of 444 DISABILITIES DEEMED PERMANENT PARTIAL Complete and permanent loss of use of a digit, limb, ear *or both ears,, hearing in one or both ears, or sight in one eye. Complete and permanent loss of a digit, limb, ear *or both ears,, hearing in one or both ears, or sight in one eye. Dor permanent disability in the ff. cases = &. grave misconduct /. notorious negligence 1. willful intent to kill self or another ). habitual into!ication 3&/,>>>.>> 2mployer and 2mployee .ccurrence of contingency whether or not work-connected. 2mployee to notify employer within 5 days from injury or illness*unless no longer necessary under the e!ceptions, .ccurrence of contingency whether or not work-connected. 6ork-related illness or injury. 2mployee to notify employer within 5 days from injury or illness *unless it is no longer necessary under the 3&/,>>>.>> *to be raised to 3&?,>>>.>> in year />>/, 2mployer And 2mployee Complete and permanent loss of use of a digit, limb, ear *or both ears,, hearing in one or both ears, or sight in one eye. Dor all contingencies in the ff. cases = &. into!ication /. willful intent to injure or kill oneAs self or another 1. notorious negligence 3&>,>>>.>> 2mployer

SYSTEM E=C SED FROM LIABILITY

AMO NT OF F NERAL BENEFITS WHO PAYS REMITTANCESM COVERAGE NOTICE REF IREMENT

 2mployer to notify 444 within 5 days from notice.

e!ceptions, 2mployer to record the same in logbook within 5 days from notice. 2mployer to notify 444 or @4I4 within 5 days from recording in logbook.

EFFECT OF ERRONEO S PAYMENT DISP TE SETTLEMENT &. /. 1. ). Dile claim with 444. Appeal to 4ocial 4ecurity Commission. Appeal to CA. Appeal to 4C

$egal And eligible claimant may still demand benefits, without prejudice to right of @4I4 to sue improper claimant. &. Dile claim with @4I4. /. Appeal to @4I4 0oard. 1. Appeal to CA. ). Appeal to 4C. Y Appeals shall be governed by -ules )1 and )5 of the &''( -ules of Civil 3rocedure

444 absolved unless notified of other claim prior to payment. &. /. 1. ). Dile claim with 444 and @4I4. Appeal to 2CC. Appeal to CA Appeal to 4C

E=CL SIVENESS OF BENEFITS

+ay Apply for same benefits in 2C, if in private sector. +ay not receive benefits for same contingency under @4I4 offers more *he may then receive deficiency,

6henever other laws provide similar benefits for the same contingencies, members who ualifies has option to choose. If benefits chosen are less than under @4I4, he may get the difference. 8owever, with respect to work-

+ay apply for the same benefits under 444, if in the private sector. +ay apply for same benefits under @4I4, if in public sector *applying +a#o 4ugar Central vs CA case.

connected illness and injuries, he may also recover in full under 2CC, applying the +a#o 4ugar Central vs CA case. PRESCRIPTIVE PERIODS &> years from the time the right of action accrues. ) years from date of contingency e!cept life and retirement benefits

=I. CHART ON ? RISDICTION

B-('*- O$ L*.,( R'/*%i,n) &. Inter-union dispute /. Intra-union dispute 1. $abor +anagement -elations e!cept interpretation or implementation of the C0A G(i'2*n3' M*3&in'(4 &. Interpretation or implementation of the C0A /. Interpretation or enforcement of company personnel policies V,/-n%*(4 A(.i%(*%i,n &. 7nresolved @rievances /. Agreement on other labor dispute*0argaining deadlock, 7$3,
L*.,( A(.i%'(

( TRCCC-M) &. 7$3 /. "ermination ;isputes

NLRC &. Appellate jurisdiction over $abor Arbiters /. Injunction

1. -einstatement-with cases involving wages 1. Contempt ). Claims of damages arising from 2-2 relationship 5. Cases involving prohibited acts in strikes

*A-". /9), 9. Claims arising from 2-2 relationship including those of domestic service, involving amount e!ceeding 35,>>>.> (. +igrant 6orker Cases