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Answer: The principle of codetermination is one which grants to the workers the right to
participate in policy and decision making processes affecting their rights and benefits
(Art. 255, Labor Code).
2. Is withholding of employees’ wage valid by reason of management
prerogative.
Answer: No. because Article 116 of the Labor Code absolutely prohibits the withholding
of wages and kickbacks. Article 116 provides for no exception.
3. Ela worked as a chambermaid in Hotel Neverland with a basic wage of
PhP560.00 for an eight-hour workday. On Good Friday, she worked for one
(1) hour from 10:00 PM to 11:00 PM. Her employer paid her only PhP480
for each 8-hour workday, and PhP70.00 for work done on Good Friday. She
sued for underpayment of wages and non-payment of holiday pay and night
shit differential for working on a Good Friday. Hotel Wonderland denied
the alleged underpayment, arguing that based on long-standing unwritten
tradition, food and lodging costs were partially shouldered by the employer
and partially paid for by the employee through salary deduction. According
to the employer, such valid deduction caused the payment of Ela’s wage to
be below the prescribed minim m. The hotel also claimed that she was not
entitled to holiday pay and night shift differential pay hotel workers have to
work on holidays and may be be assigned to work at night. (a) Does the hotel
have valid legal grounds to deduct food and lodging costs from Ela's basis
salary?
Answer: As held in Mabeza v. National Labor Relations Commission, G.R. No. 118506,
April 18, 1997: Granting that meals and lodging were provided and indeed constituted
facilities, such facilities could not be deducted without the employer complying first with
certain legal requirements. Without satisfying these requirements, the employer simply
cannot deduct the value from the employee’s wages. First, proof must be shown that such
facilities are customarily furnished by the trade. Second, the provision of deductible
facilities must be voluntarily accepted in writing by the employee. Finally, facilities must
be charged at fair and reasonable value. (Labor Code, Art. 97 [f]) Applying the above,
unless the hotel can comply with the legal requirements it has no valid legal grounds to
deduct food and lodging costs from Nelda's basis salary.
4. Your favorite relative, Tita Vice, approaches you and seeks your advice n her
treatment of her kasambahay, Onay. Tita Vice shows you a document called
a “Contract of Engagement” for your review. Under the Contract of
Engagement, Onay shall be entitled to a rest day every week, provided that
she may be requested to work on a rest day if Tita Vice should need her
services that day. Tita Vice also claims that this Contract of Engagement
should embody the terms and conditions of Onay’s work as the engagement
of a kasambahay is a private matter and should not be regulated by the
State.
a) Is Tita Vice correct in saying that this is a private matter and should not be regulated
by the State?
Tita Nilda is not correct in saying that engagement of a kasambahay is a private matter
and should not be regulated by the State. This is a valid subject matter of the exercise of
police power to give effect to the declared policy of the law such as the need to protect the
rights of domestic workers against abuse, harassment, violence, economic exploitation
and performance of work that is hazardous to their physical and mental health; and in
protecting domestic workers and recognizing their special needs to ensure safe and
healthful working conditions, promotes gender-sensitive measures in the formulation
and implementation of policies and programs affecting the local domestic work. (Section
2, Article I, Republic Act No. 10361)
b) is the stipulation that she may be requested to work on a rest day legal?
The stipulation that Onay may be requested to work on a rest day is legal. The law
provides that, “ Nothing in this provision shall deprive the domestic worker and the
employer from agreeing to the following:
Offsetting a day of absence with a particular rest day;
Waiving a particular rest day in return for an equivalent daily rate of pay;
Accumulating rest days not exceeding five (5) days; or
Other similar arrangements. (Section 21, Article IV, Republic Act No. 10361)
31. Work may be performed beyond eight (8) hours a day provided that:
Answer: Employee is paid for overtime work an additional compensation equivalent to
his regular wage plus at least (25% thereof. [Art. 87, Labor Code]