UPDATES ON LABOR LAW (February 26, 2014) Atty.

PoL
Sangalang.Presentation Transcript
1. Resource Speaker: Atty. Apollo X.C.S. Sangalang Business Lawyer & Legal Coach
2. Why study Labor Law? You want to know and understand better your rights and obligations?
You want to do business properly and employ workers legally? You want to avoid labor problems
and disputes effectively? You want to deal with your workers and their unions or representatives
effectively. You want to get the best legal advice?
3. LABOR LAW MADE EASY 1. Learn something (new) about Labor Law (almost) DAILY. 2. Links to
useful (and new) MATERIALS and EVENTS. 3. Answers to quick questions for FREE (thru private
message).
4. LABOR LAW MADE EASY LIKE COMMENT SHARE TAG
5. What is Labor Law?
6. What is Labor Law? Government Employee Employer
7. Stages of Labor Law
8. Sources of Labor Law Constitution Labor Code (as amended) Jurisprudence Rules & Regulations
Social Legislations Contracts & Company Policies
9. Other Sources of Labor Law Civil Code Other Statutes Beneficial Company Practices Equitable
Principles The Bible
10. The Bible as source of Labor Law? You have six days each week for your ordinary work, but on the
seventh day you must stop working. This gives your ox and your donkey a chance to rest. It also
allows your slaves and the foreigners living among you to be refreshed. (Exodus 23:12 NLT) Do
not rob or defraud your neighbor. Do not make your hired workers wait until the next day to receive
their pay. (Leviticus 19:13 NLT)
11. Elements of Labor Law Social Justice Shared Responsibility Labor Law Rule of Law
12. What is Social Justice? Business Labor Law Law Law Law Law
13. Shared Responsibility Model Business Progress & Development Labor
14. Rule of Law
15. Branches of Labor Law
16. Monetary Benefits Minimum Wage Holiday Pay Premium Pay Overtime Pay Night Shift Differential
Service Charges Service Incentive Leave Maternity Leave Paternity Leave Solo Parents Leave
VAWC Leave Special Leave for Women 13th Month Pay Separation Pay Retirement Pay
Compensation Benefit* (ECC) PhilHEALTH Benefit* Social Security Benefit* Pag-IBIG Benefit*
17. Retail & Service Establishment Exemption Monetary Benefits 1 to 5 Workers 1 to 9 Workers Holiday
Pay None None Night Shift Differential None Yes Service Incentive Leave None None Retirement
Pay None None
18. 2014 Handbook
19. Q&A on Batas Kasambahay Revised Version
20. Occupational Safety & Health Standards
21. Basic Labor Rights 1. Living wage thru monetary benefits 2. Humane conditions of work 3.
Security of tenure 4. Collective bargaining: 1. Self-organization 2. Freedom of expression 3. Strike
22. Whos covered by Labor Law? Labor Law applies only when an employment relationship exist. It
applies to employers and their employees, as well as to certain third parties. Not all workers are
employees!
23. Non-employee Workers Partners Agents Independent Contractors Job Contractors Freelancers
Consultants Corporate Officers Cooperative Members Volunteers Interns
24. Test of Employment Fire Hire 4-Fold Test Pay Control
25. Control Test The power of one party to determine, not only the end result of the work, but also the
means of doing the work, is the POWER OF CONTROL. Only an employer has the power of
control over his employees. The power of control need not be actually exercised.
26. Control Test End Control Means
27. Kinds of Employees Private Sector Government Regular (Nature) Casual Regular (Term) Non-
Regular Rank-and-file Non-rank-and-file Based On Hours Worked Based On Results
28. What is Labor Standards? Its the minimum requirements prescribed by existing laws, rules and
regulations, and other issuances relating to labor and occupational safety and health standards.
29. 3 Rules on Labor Standards Rule 1: You cannot give below Labor Standards. Rule 2: You can
give anything above Labor Standards anytime. Rule 3: You cannot easily take back what youve
already given.
30. Non-Diminution of Benefits No Ceiling! No Going Back! Theres a Floor!
31. 2014 Handbook
32. Labor Standards Updates Wage Order No. NCR-18 Increased Basic Wage by P10.00 on
October 4, 2013. Integrated P15.00 of the P30.00 COLA into the Basic Wage on January 1, 2014.
Basic Wage + COLA = Minimum Wage
33. NCR (as of Jan. 1, 2014) Establishment Basic Wage + COLA = Minimum Wage Non-Agricultural
451.00 15.00 466.00 Agricultural 414.00 15.00 429.00 Private Hospitals (100 or less bed) 414.00
15.00 429.00 Retail/ Service (15 or less workers) 414.00 15.00 429.00 Manufacturing (9 or less
workers) 414.00 15.00 429.00
34. Cost of Living Allowance (COLA) NOT included in the computation of: 1. Premium pay 2. Overtime
pay 3. Night shift differential 4. 13th month pay 5. Retirement pay
35. Minimum Wage for Other Regions Check: National Wages and Productivity Commission (NWPC)
website. nwpc.dole.gov.ph 17 Regions, including NCR, CAR, ARMM and Region IV-A and
Region IV-B. Each region have their own Wage Order.
36. Minimum Wage Law (RA 6727 as amended by RA 8188) Penalties for violation: Imprisonment of
2 to 4 years (without probation benefits); or Fine of P25,000 to P100,000; or both. Plus DOUBLE
INDEMNITY paid to the workers.
37. Minimum Wage Coverage All private sector employees, EXCEPT: Government Employees.
Domestic Workers under RA 10361 (MW: P2,500/P2,000/P1,500/mo.). Personal Assistants
(family drivers). Barangay Micro Business Enterprises (BMBEs) under RA 9178.
38. WO No. NCR-18 Exemptions Upon Application with the Wage Board: Distressed establishments;
Retail or service establishments with 10 or less workers; Establishments with Total Assets of not
more than P3 million (ETAs) which are not yet BMBEs; Establishments adversely affected by
natural calamities.
39. Minimum Wage WO No. NCR-18 Special Circumstances Contractors (Construction and Job)
Private Educational Institutions Workers paid by results Apprentices and Learners Qualified
Handicapped Workers Creditable Wage Increase
40. Minimum Wage Special Circumstances Reduced working hours, i.e Underemployed or those
working less than 8-hours of work per day. Reduced working days, i.e. Shortened workweek. DA
No. 2 (S.2009) Guidelines on the Adoption of Flexible Work Arrangements
41. Flexible Work Arrangements DA No. 2 (S.2009) Compressed Work Week (DA No. 2, S.2004)
Reduction of Work Days Rotation of Workers Forced Leave Broken Time Schedule Flexi-
Holidays Schedule
42. Single ENtry Approach RA No. 10396/ DO No. 107 (S.2010) Conciliation-mediation of labor cases
by frontline DOLE offices regardless of whether they have jurisdiction or not. Anonymous
complaints and requests allowed. Confidentiality of proceedings. SEnA Rules of Procedure.
43. Rules on Labor Laws Compliance System (LLCS) Article 5, LC: Rule-making and Regulatory
functions of the SoLE. Article 128, LC: Visitorial and Enforcement power of the SoLE. DO No.
131-13 (S.2013)
44. Labor Laws Compliance System (LLCS) Repealed: DO No. 57-04 New Labor Standards
Enforcement Framework of 2004. Coverage: All employers, including persons acting directly or
indirectly in the interest of an employer. It also include the government performing proprietary
functions, and all its units; All GOCCs and institutions; All non-profit private institutions and
organizations.
45. Labor Laws Compliance System (LLCS) Objectives: Primary: Compliance with labor laws thru
the visitorial and enforcement power of the SoLE. Secondary: Promotion of voluntary compliance
thru the use of developmental approaches: 1. Culture of compliance 2. Settlement (SEnA) 3.
Tripartism
46. Labor Laws Compliance System (LLCS) 3 Modes of Implementation: Joint Assessment (or
Assessment); Compliance Visit (or Visit); and Occupational Safety and Health Standards
Investigation (or Investigation) Implementing Officers: Labor Law Compliance Officer (LLCO)
47. Labor Laws Compliance System (LLCS) Joint Assessment: Covers private establishments only.
But establishments with Tripartite Certificates of Compliance with Labor Standards (TCCLS) are
not covered (under DO No. 115-A, 2012). At least once a year, motu proprio on the part of RO or
upon request by the establishments. Employment records keeping and maintenance period: 3
years.
48. Labor Laws Compliance System (LLCS) Joint Assessment: PRIORITY LIST: Engaged in
hazardous work Employing child employees Engaged in contracting and subcontracting
arrangements Philippine registered ship or vessel engaged in domestic shipping Employing 10 or
more employees
49. Labor Laws Compliance System (LLCS) Joint Assessment: PROCEDURE: Assignment of
Establishment Letter and Authority to Assess Examination of Employment Records Employees
Representative Issuance of Notice of Results and Certificate of Compliance Assessment
Checklist
50. Labor Laws Compliance System (LLCS) Joint Assessment: PROCEDURE (Non-Compliant
Establishment): Assessment Checklist with deficiencies. 10 days to institute corrective measures
for monetary and social welfare benefits. In case of OSH deficiencies and theres imminent
danger/or dangerous occurrence, immediate abatement. If not abated, WORK STOPPAGE
ORDER (WSO)! Notice of Results with deficiencies.
51. Rules on Wages What is Wage Distortion? What is Across-the-Board Wage Increase? What
is the Rule on Payment of Wages? Paid in legal currency at or near the workplace. Frequency:
2x/month not exceeding 16 days interval. What is the Rule on Wage Deduction? Mandatory:
Allowed by law. Non-mandatory: Written Authorization needed.
52. Rules on Wages: Domestic Workers Payment of wages shall be made on time directly to the
domestic worker to whom they are due in cash at least once a month. The employer, unless
allowed by the domestic worker through a written consent, shall make no deductions from the wages
other than that which is mandated by law. No employer shall pay the wages of a domestic worker
by means of promissory notes, vouchers, coupons, tokens, tickets, chits, or any object other than the
cash wage.
53. Rules on Wages: Domestic Workers The employer shall at all times provide the domestic worker
with a copy of the pay slip containing the amount paid in cash every pay day, and indicating all
deductions made, if any. The copies of the pay slip shall be kept by the employer for a period of
three (3) years. It shall be unlawful for the employer to interfere with the freedom of any domestic
worker to dispose of the latters wages.
54. Rules on Wages: Domestic Workers The employer shall not force, compel or oblige the domestic
worker to purchase merchandise, commodities or other properties from the employer or from any
other person, or otherwise make use of any store or services of such employer or any other person.
It shall be unlawful for an employer, directly or indirectly, to withhold the wages of the domestic
worker. Likewise, the employer shall not induce the domestic worker to give up any part of the
wages by force, stealth, intimidation, threat or by any other means whatsoever.
55. Rules on Hours of Work: Who are covered? All employees in all establishments, for profit or not.
Exceptions Government employees under Civil Service Law; Managerial employees and
managerial staff; Domestic workers under RA 10361; Persons in the personal service of
another; Workers paid by results; Field personnel and those whose time and performance are
unsupervised; and Dependent family members of the Employer.
56. Who are the Managerial Employees? Principal Duty Management of the establishment in which
they are employed, or a department or division thereof. They customarily direct the work of 2 or
more employees. They have authority to hire/fire, or their suggestions on this matter are given
weight. They exercise Management Prerogative on behalf of the Employer.
57. Who are the Managerial Staff? Primary duty Perform work directly related to management
policies. They customarily exercise discretion and independent judgment. They regularly assist
managerial employees. They do not devote more than 20% of their work time to activities not
related to all the above.
58. Who are the Domestic Workers? Domestic Worker or kasambahay refers to any person engaged
in domestic work within an employment relationship such as, but not limited to, the following: general
househelp, nursemaid or yaya, cook, gardener, or laundry person. Excluded are any person who
performs domestic work only occasionally or sporadically and not on an occupational basis.
Domestic work refers to work performed in or for a household or households.
59. Normal Hours of Work Shall not exceed 8 hours/day. Rationale. Broken time or workday is
lawful. Shortening of work week is lawful.
60. What are Hours Worked? All time during which an employee is required to be on duty or at a
prescribed work place. All the time during which an employee is permitted or suffered to work.
61. Principles to Determine Hours Worked All hours required, whether spent in productive labor or
involved physical or mental exertion, are hours worked. Rule on rest period. Rule on work
interruptions.
62. Other Rules on Work Hours Waiting time compensable if integral part of work. On call
compensable if time cannot be used for personal purpose. Travel time if part of work, yes.
Home to work, no. Travel away from home, yes only if it cuts across employees workday.
Attendance to seminars No, if voluntary, outside of work hours and/or no productive work done.
63. Other Rules Power interruptions yes, if less than 20 minutes. No if more, and employee
leave premises. Union matters no, unless CBA provides otherwise. Attendance at hearings
not compensable. Strike participation NO, definitely.
64. Meal Periods Required. It should not be less than 60 minutes, but it is not compensable.
Shortening of meal period to less than 60 minutes? Yes, it is allowed but it must be paid.
65. Overtime Pay Overtime Pay refers to the additional compensation for work performed beyond 8
hours per day. Rule: Overtime work is not permitted. Exceptions: When there is an emergency
or urgent situation. When completion or continuation after work hours is necessary to prevent
prejudice to business or operations. Rate: 125% of regular hourly rate on ordinary working days.
130% for overtime work on Rest Days. COLA not included in computation.
66. Overtime Pay: Who are Covered? All employees in all establishments, for profit or not.
Exceptions Government employees subject to Civil Service Law; Managerial employees
and managerial staff; Persons in the personal service of another; Workers paid by results; Field
personnel and other employees whose time and performance are unsupervised; and Dependent
family members of the Employer.
67. Overtime Pay: Domestic Workers? The domestic worker shall be entitled to an aggregate daily
rest period of eight (8) hours per day. The domestic worker shall be entitled to all other benefits
under existing laws. Therefore, domestic workers are entitled to overtime pay for work done within
their daily rest period. This concept of overtime pay is by way of analogy since under RA 10361, a
domestic worker can waive a particular rest day in return for an equivalent daily rate of pay.
68. When Is Overtime Work Valid & Must Be Paid? Even if without prior permission: The work
performed was necessary. The work benefited the Employer. Employee could not abandon his
work at the end of normal working hours because there is no replacement.
69. Undertime Not Offset By Overtime Undertime work on any day shall not be offset by overtime work
on any other day. Permission granted by the Employer for the Employee to go on leave on some
other day shall not exempt him from the payment of additional compensation for overtime work
rendered. Valid overtime work is always subject to Overtime Pay.
70. 15-Minute Networking Break Masters, treat your slaves the SAME WAY. Dont threaten them;
Remember, you both have the same Master in Heaven, and He has no favorites. EPHESIANS 6:9
New Living Translation (NLT)
71. Holiday Pay Holiday Pay refers to the payment of regular daily wage for any unworked Regular
Holiday at the rate of 100%. If the Employee is allowed or required to work on a Regular Holiday,
he is entitled to 200% of his daily wage rate (Basic Wage + COLA). If 2 Regular Holidays fall on
the same day and the Employee is allowed or required to work on such day, he is entitled to 300%.
72. Holiday Pay: Who are Covered? All employees in all establishments, for profit or not, including
daily-paid workers. Exceptions Government employees subject to Civil Service Law;
Managerial employees and managerial staff; Persons in the personal service of another;
Workers paid by results; Field personnel and other employees whose time and performance are
unsupervised; Dependent family members of the Employer; and R e t a i l / S e r v i c e E s t a b l
i s h m e n t r e g u l a r l y employing less than 10 workers.
73. Rules on Holiday Payment Employees are entitled when they are present or on leave with pay on
the preceding workday. Employees are NOT entitled if absent or on leave without pay on the
preceding workday, unless they work on such Regular Holiday, in which case they are entitled to
200%. When preceding day is non-work day or rest day, the Employee is entitled, if he worked on
the day before such non-work day or rest day. In case of successive Regular Holidays i.e. Holy
Week, the Employee shall NOT be entitled to the successive Regular Holidays if he is absent or on
leave without pay on the preceding work day (Wednesday), unless he worked on the first Holiday.
74. Holiday Pay Rules continued Seasonal workers may not be paid during off season. Those
without regular working days are entitled. When company is on temporary or periodic shutdown
not due to business reverses, the employee is entitled. But when shutdown is due to business
reverses, the employee is not entitled. If a Regular Holiday falls on the same day, the Employee
shall still be paid 100% for each days or a total of 200%.
75. What are the Regular Holidays? EO 292, as amended by RA 9849. 12 Regular Holidays: New
Years Day, Maundy Thursday, Good Friday, Araw ng Kagitingan, Labor Day, Independence Day,
National Heroes Day, Eidul Fitr (End of Ramadhan), Eidul Adha (Feast of Sacrifice), Bonifacio Day,
Christmas Day, Rizal Day. 4 Muslim Holidays observed in ARMM (for both Muslims and Non-
Muslims) and applicable to all Muslims outside ARMM.
76. What are Special Days? EO 292, as amended by RA 9849. 3 Special Days: Ninoy Aquino Day,
All Saints Day, and Last Day of the Year. The President (or Congress) may proclaim other days as
Special Day i.e. November 2, 2014. Unworked Special Day is NOT paid. Work performed on a
Special Day is paid 130%. Special Work Day (or Special Working Day) is treated as an ordinary
work day.
77. What are Weekly Rest Days? It is the duty of the Employer to provide a Rest Day of not less than
24 hours after 6 consecutive working days. Old law: Rest Day is Sunday. New law: Rest Day is
any day. Employer determines the Rest Day of the Employee, subject to agreement and rules of
DOLE. Employees are given preference based on religion.
78. Premium Pay (Rest Day/Special Day Pay) Rule: Work on Rest Day (and Special Day) is not
permitted. Exceptions (Rest Day): When there is an emergency or urgent situation. When
work is necessary to prevent prejudice to business or operations. Rate: 130% of regular hourly
rate on ordinary working days. 150% if Rest Day and Special Day fall on the same day. COLA not
included in the computation (unlike in Holiday Pay).
79. Premium Pay: Who are Covered? All employees in all establishments, for profit or not.
Exceptions Government employees subject to Civil Service Law; Managerial employees and
managerial staff; Househelpers and persons in the personal service of another; Workers paid by
results; Field personnel and other employees whose time and performance are unsupervised;
Dependent family members of the Employer.
80. Night Shift Differential Pay NSD Pay refers to the the additional compensation for each hour of
work performed between 10PM and 6AM. Rate: 110% of the regular hourly wage rate.
81. Night Shift Differential Pay: Who are Covered? All employees in all establishments, for profit or
not. Exceptions Government employees subject to Civil Service Law; Managerial employees
and managerial staff; Househelpers and persons in the personal service of another; Field
personnel and other employees whose time and performance are unsupervised; Workers paid by
results; Dependent family members of the Employer; and Retail/ Service Establishment
employing not more than 5 workers.
82. Service Incentive Leave The Employee is entitled to 5 days of leave with pay for every one year of
service; provided that he has served for 1 year already. If Employer grants vacation leave with pay
of at least 5 days every year, then this is already compliance with SIL. Commutable to cash and
becomes SIL Pay. Part-time employees are also entitled to full service incentive leave. No Labor
Code provisions on vacation leave or sick leave.
83. Service Incentive Leave: Who are Covered? All employees in all establishments, for profit or not.
Exceptions Government employees subject to Civil Service Law; Managerial employees and
managerial staff; Persons in the personal service of another; Field personnel and other
employees whose time and performance are unsupervised; Workers paid by results; Dependent
family members of the Employer; and Retail/ Service Establishment employing less than 10
workers.
84. Service Incentive Leave: Domestic Workers A domestic worker who has rendered at least one (1)
year of service shall be entitled to an annual service incentive leave of five (5) days with pay. Any
unused portion of said annual leave shall not be cumulative or carried over to the succeeding years.
Unused leaves shall not be convertible to cash.
85. Service Charges Employees are entitled to a share from the Service Charge being collected by the
Employer from his customers. Rank-and-file employees share: 85% Managements share: 15%.
Rank-and-file employees shall receive equal share. If abolished, the share of the Rank-and-file
employees shall be considered integrated to their wages. If the Employer doesnt collect Service
Charge, the pooled tips shall be treated the same way as Service Charge.
86. Retirement Pay Retirement age: 60 to 65 years old. Employee must also have worked for at
least 5 years for the Employer. Rate: Equivalent to 22.5 days salary for every year of service
payable by Employer. Distinct from the Retirement Benefits from SSS. Excluded: Government
employees; and Retail/ Service/ Agricultural Establishments employing not more than 10 workers.
87. Separation Pay Employees terminated by the Employer on the basis of Authorized Causes are
entitled to Separation Pay. Rate: 1 Month or Month Salary for every year of service:
Retrenchment, Closure of Business, Serious Disease. Rate: 1 Month or 1 Month Salary for every
year of service: Labor-saving device, Redundancy, and Impossible Reinstatement. Regular
Allowance in included in the computation.
88. 13th Month Pay Rank-and-file employees are entitled to 13th month pay; provided they worked for
at least 1 month. Rate: 1/12 of the total basic salary earned by an Employee in a year. Excluded:
Government employees, Employees paid based on results, and Managerial employees. Domestic
workers are now entitled to 13th Month Pay per RA 10361.
89. Maternity Leave All pregnant female workers are entitled to Maternity Leave subject to SSS Law.
60 days of the average daily salary credit for normal birth or miscarriage. 78 days of the average
daily salary credit for ceasarian section delivery. Requirements: Membership in the SSS with at
least 3 months contributions prior to delivery or miscarriage.
90. Paternity Leave All married male workers are entitled to Paternity Leave of 7 calendar days with
pay for the first 4 deliveries (or miscarriage) of his lawful wife whom he is cohabiting with. Paternity
Leave is Not convertible to cash.
91. Parental Leave for Solo Parents Parental Leave shall mean leave benefits granted to a solo parent
to enable him or her to perform parental duties and responsibilities where physical presence is
required. The solo parent is entitled to 7 days leave with pay. Parental Leave is Not convertible
to cash. Requirements: At least 1 year of service and DSWD Solo Parents ID.
92. Leave for Victims of VAWC Female employees who are certified as victims under the Anti-
Violence Against Women and their Children Act of 2004 are entitled to 10 days of leave with pay to
enable her to attend to medical and legal concerns. VAWC Leave is Not convertible to cash.
Requirements: Certification from the barangay, prosecutor, or clerk of court that a VAWC case
involving the victim female employee is pending.
93. Special Leave for Women Female employees who has undergone surgery due to gynecological
disorders are entitled to 2 months leave with pay to enable her to attend to medical and legal
concerns. Special Leave is Not convertible to cash. Requirements: Certification from physician,
and employment service of at least 6 months within the 12 month period prior to surgery.
94. Employees Compensation Program The ECP is designed to provide a compensation package to
Employees and their dependents in case of work-related sickness, injury, disability or death.
Benefits: Loss of income benefit; Medical benefit; Rehabilitation services; Carers allowance; and
Death benefits. Workers in the formal sector are covered starting on day 1 of their employment.
95. PhilHEALTH Benefits The National Health Insurance Program, which is administered by
PhilHEALTH, provides financial assistance to memberEmployees when they get hospitalized. All
employees are required to be members. Benefits: Inpatient hospital care; and outpatient care
based on a Schedule of Benefits.
96. Social Security Benefits The Social Security Program provides a package of benefits in the event
of death, disability, sickness, maternity, and old age. It provides replacement for income lost during
these contingencies. All employees in the private sector are mandatorily covered, including
Domestic Workers. Benefits: Sickness, Maternity, Disability, Retirement, Death & Funeral, based
on a Schedule of Benefits.
97. Loan and Miscellaneous Benefits Socialized loans for emergency, housing and other purposes are
available to employees who are qualified members of the SSS and PagIBIG Fund. The duty of the
Employer is to deduct and remit the Employees contributions as well as his required contributions to
SSS, PhilHEALTH, ECC, and PagIBIG. Failure on the part of the Employer to remit the mandatory
contributions has serious consequences.
98. Domestic Workers Social Benefits A domestic worker who has rendered at least 1 month of
service shall be covered by the SSS, EC, PhilHealth and Pag-IBIG, and shall be entitled to all the
benefits in accordance with the pertinent provisions provided by law. Premium payments or
contributions shall be shouldered by the employer. But if wage is P5,000 and above, the Domestic
Worker shall pay his/her share in the premium or contribution payments.
99. Domestic Workers Catch-All Benefit Clause The domestic worker shall be entitled to all other
benefits under existing laws. (SEC. 30, RA 10361) Fine of P10,000 to P40,000.00.
Implementing Rule and Regulation (IRR) within 90 days from effectivity of law.
100. Occupational Safety and Health Standards Every covered Employer is required to keep
and maintain his workplace free from work hazards that are causing or likely to cause physical harm
to the workers or damage to property. The Occupational Safety and Health Standards, as
amended, is the body of rules and regulations that protect every worker against the dangers of
injury, sickness or death through safe and healthful working conditions.
101. Special Protection Children. Physically-impaired. Women. Domestic Workers.
Homeworkers and the informal sector. Filipino professionals and labor versus- aliens.
102. Company-initiated Benefits Employers are not prohibited from, and in fact encouraged to,
provide terms and conditions of employment that are better or higher than Labor Standards.
Higher than Labor Standards Benefits are either initiated by the Employer, on its own, by request of
the Employees, or by demand of their Union or Association.
103. Non-diminution of Benefits The reduction or elimination of benefits provided under the law,
agreement or voluntary practice is prohibited.
104. When does an act become a practice? If done for a long period of time (ex. Three years).
The act is done consistently and intentionally. The act should NOT be a product of erroneous
interpretation of law.
105. Exceptions to Rule on Non-diminution If circumstances no longer justify grant of benefits
(Dislocation pay, relocation allowance, per diem, supplements, etc.) Rule on grant of bonus
management prerogative, but not if given as a salary supplement and without conditions.
106. Labor Relations Right to Security of Tenure. Right to Just Share in the Fruits of
Production. Right to Self-Organization. Right to Bargain Collectively. Right to Strike and Other
Peaceful Concerted Action. Right Against Unfair Labor Practices.
107. Labor Relations Updates 2011 NLRC Rules of Procedure. (Effective August 2011) DOLE
Department Order No. 18-A Rules Implementing Article 106 to 109 of the Labor Code, As
Amended. (Effective December 2011) The Rules of Procedure of the Single Entry Approach
(SEnA) (Effective March 2011)
108. Role of Government Policy-Maker Regulator Program Administrator Inspector
Conciliator and Mediator Arbitrator or Arbiter or Adjudicator Enforcer
109. What is a Labor Organization? Definition any union or association of employees which
exist in whole or in part for the purpose of (a) collective bargaining or (b) for dealing with employers
concerning terms and conditions of employment.
110. What is a legitimate labor organization? Definition one which is duly registered with the
Department of Labor and Employment.
111. What distinguishes a legitimate labor organization? Right to represent its members for
purposes of collective bargaining. Right to be certified as exclusive representative of all employees
in bargaining unit for purposes of collective bargaining To be furnished financial records To sue
and be sued in its registered name To own property To undertake programs to benefit the org/
members
112. Requirements for Registration Registration fee Names of officers, their addresses, the
address of the org., minutes of org. meeting and list of workers who participated. Names of all
members who comprise 20% of all employees in the bargaining unit where it seeks to operate.
Annual financial records. Copies of constitution and by-laws
113. Purpose of registration requirements To prevent fraud To protect members from
unscrupulous or fly by night unions.
114. Is the requirement for union registration a violation of the freedom to associate? - Any group
of employees may organize into a union, even without registration. - But registration is condition
sine qua non for the exercise of privileges. - A group may not register but they cannot avail of the
rights of legitimate unions. - Registration is an exercise of police powers by the state because union
is invested with public interest.
115. Critical requirements to be able to register Membership must be at least 20% of all the
employees in the bargaining unit.
116. What is a bargaining unit? It is a group or cluster of jobs or positions that supports the
labor organization which is applying for registration. Test whether the bargaining unit is
appropriate-if it will best assure to all employees the exercise of their collective bargaining rights.
117. What is an employer unit? Refers to a case where there is only 1 bargaining unit for all the
employees of the company. Purpose why the employer unit is encouraged by the state.
118. Another way of organizing as a labor union Affiliation as a chapter of an existing labor
federation or a national union. What is a labor federation or national union?
119. Duty of an employer when workers organize Self-organization is a constitutional right.
Therefore, the company must respect the right of employees to organize.
120. Penalty for infringing on the right to unionize Unfair labor practice is a prohibited act. It is
considered a criminal offense. Penalty includes imprisonment and payment of fine.
121. What happens when a union is organized/registered? It becomes entitled to the privileges
of a legitimate labor organization. But it is not automatically a bargaining agent or majority
representative. To be a bargaining agent, it needs to be certified that it is the exclusive bargaining
agent.
122. What is needed to be Certified as a Bargaining Agent? It must win a certification election;
or, It is voluntarily recognized by the employer; or, It is selected by the employees through a
consent election.
123. What is a Certification Election (CE)? It is a process by which the members of a bargaining
unit chooses one among contending unions to be its exclusive bargaining agent. Non-adversarial
Fact-Finding Administered by DOLE
124. Important things related to CE Who can participate in Certification Election? Role of
Employer in a Certification Election: Neutral Observer.
125. When a union fights in a CE and loses, does it mean that it does not have any more duty to
its members? It continues to represent its members but it does not have the right to engage in
collective bargaining.
126. What is the importance of being a bargaining agent? A bargaining agent possesses the
right, by law, to demand from the employer that it negotiates with it (union) terms and conditions of
employment, including wages, hours of work, and rates of pay.
127. Product of Bargaining A collective bargaining agreement or CBA, if the union is able to
have an agreement with the employer about its proposed terms and conditions of employment.
128. Recourse of Union in the event of failed negotiations It can engage in strike. It can
engage in other concerted activities. All of which are protected by law if no criminal act attends the
holding of said actions.
129. Thank You! Do not twist JUSTICE in legal matters by favoring the poor or being partial to
the rich and powerful. Always judge people fairly. LEVITICUS 19:15 (Bible, New Living
Translation)