ATENEO CENTRAL BAR OPERATIONS 2007 Labor Law & Social Legislation SUMMER REVIEWER LABOR STANDARDS I !

ENERAL PRINCIPLES Labor Co"e # $rinci$al labor law o% t&e co'ntr( B't even now, there are (a)or (aws that are not found in the (a)or *ode. Social Legislation # t&e $ro)otion o% t&e wel%are o% all the people, the adoption )" the govern$ent of $easures calculated to insure econo$ic sta)ilit" of all the co$ponent ele$ents of societ" thru the $aintenance of proper econo$ic and social e+uili)riu$ in the interrelations of the $e$)ers of the co$$unit", constitutionall", thru the adoption of $easures legall" !ustifia)le, or e.tra'constitutionall", thru the e.ercise of powers underl"ing the e.istence of all govern$ents, on the ti$e honored principle of salus populi esta suprema lex (Calalang v. Williams !2 "e#em$er 19%!) Social *'stice # &')ani+ation o% laws an" t&e e+uali5ation of social and econo$ic forces )" the State so that !ustice in its rational and o)!ective secular conception $a" at least )e appro.i$ated Labor Stan"ar"s # sets o't t&e )ini)') ter)s, conditions, and )enefits of e$plo"$ent that e$plo"ers $ust provide or co$pl" with and to which e$plo"ees are entitled as a $atter of legal right Labor Relations # "e%ines t&e stat's, rig&ts an" duties, as well as the institutional $echanis$s that govern the individual and collective interactions )etween e$plo"ers, e$plo"ees and their representatives Art. 3. Declaration of basic policy 3fford protection to la)or 1ro$ote full e$plo"$ent Ensure e+ual work opportunities regardless of se., race, or creed Regulate the relations )etween workers and uic k- $pr i$ es e7 e$plo"ers -I 88 69 U nco s ed: ar e and needed to s ee t a 3ssure worker/s rights to self'organi5ation, dec o$ pr ess or his pi ct ur e. of tenure, and !ust collective )argaining, securit" and hu$ane conditions of work Se/en basic rig&ts o% wor1ers g'arantee" b( t&e Constit'tion2 4. right to organi5e ;. to conduct collective )argaining or negotiation with $anage$ent 3. to engage in peaceful concerted activities, including strike in accordance with law . to en!o" securit" of tenure #. to work under hu$ane conditions %. to receive a living wage &. to participate in polic" and decision'$aking processes affecting their rights and )enefits as $a" )e provided )" law. Art. 4. Construction in favor of labor When the interest of la)or and capital collide, the heavier influence of capital should )e counter)alanced with the s"$path" and co$passion of law for the less privileged workers. ,ut protection to la)or does not $ean oppression or destruction of capital. -he e$plo"er/s act will )e sustained when it is in the right. 0Eastern Shipping (ines v. 12E3, 4%% SCRA 523 (1998)] *ourt decisions adopt a li)eral approach that favors the e.ercise of la)or rights. -he $andate is si$pl" to resolve dou)t in favor of la)or. If there is no dou)t in i$ple$enting and interpreting the law, la)or will en!o" no )uilt'in advantage and the law will have to )e applied as it is. When the su)!ect $atter is covered )" the (a)or *ode, dou)ts which involve i$ple$entation and interpretation of la)or laws should )e resolved in favor of la)or, even if the +uestion involves Rules of Evidence. -anage)ent Rig&ts . Prerogati/e # e0ce$t as li$ited )" special laws, an e$plo"er is free to regulate, according to his own discretion and !udg$ent, all aspects of e$plo"$ent, including hiring, work assign$ents, working $ethods, ti$e, place and $anner of work, tools to )e used, processes to )e followed, supervision of workers, working regulations, transfer of e$plo"ees, work supervision, la"'off of workers and the discipline, dis$issal and recall of workers Capitol Medical Center, Inc. v. Meris (16 Septe ber !""#$ 3s long as the co$pan"/s e.ercise of the sa$e is e.ercised in good faith for the advance$ent of the e$plo"er/s interest, and not for the purpose of defeating or circu$venting the rights of the e$plo"ees under special laws or valid agree$ents, the courts will uphold the$.

<3dviser= 3tt". Marlon >. Manuel? @ead= R"an 6uan? Understud"= Aate Sa)ado? Labor Stan"ar"s2 3'1a( -alabanan4 Labor Relations2 Peewee Estrella4 Social Legislation2 Bin11i 5i$olito6

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 %&ilippine 'loo in( Mills ) ployees Association v. %&ilippine 'loo in( Mills, *+ ,o. -.311/#, "# 0une 1/13 -he pri$ac" of hu$an rights B freedo$ of e.pression, of peaceful asse$)l" and of petition for redress of grievances over propert" rights has )een sustained. %A- v. ,-+C, *+ ,o. 2#/2# (1//3$ -he e.ercise of $anage$ent prerogatives is not unli$ited. 3 line $ust )e drawn )etween $anage$ent prerogatives regarding )usiness operations per se and those which affect the rights of e$plo"ees. In treating the latter, $anage$ent should see to it that its e$plo"ees are at least properl" infor$ed of its decisions and $odes of action. 7ages are "e%ine" as re)'neration or earnings, however designated, capa)le of )eing e.pressed in ter$s of $one", whether fi.ed or ascertained on a ti$e, task, piece or co$$ission )asis, or other $ethod of calculating the sa$e, which is pa"a)le )" an e$plo"er to an e$plo"ee under a written or unwritten contract of e$plo"$ent for work done or to )e done, or for services rendered or to )e rendered, and included the fair and reasona)le value, as deter$ined )" the Secretar" of (a)or, of )oard, lodging, or other facilities custo$aril" furnished )" the e$plo"er to the e$plo"ee. 0Ruga v. C(R*, 181 SCRA 2&& (199!)] ;. @iring B e$plo"$ent relation arises fro$ contract of hire, e.press or i$plied 0Ruga v. '(RC 181 SCRA 2&& (199!)] Selection an" engage)ent o% t&e workers rests with the e$plo"ers Not a concl'si/e test since it can be avoided )" the use of su)contracting agree$ents or other contracts other than e$plo"$ent contracts 3. 8iring B disciplinar" power e.ercised )" e$plo"er over the worker and the corresponding sanction i$posed in case of violation of an" of its rules and regulations . *ontrol, not onl" over the end product E RESU(of the work, )ut $ore i$portantl", control over the ME3CS through which the work is acco$plished. 9$ost essential ele$ent? without it t)ere is no **R) B Econo)ic Relations Test # a s'bor"inate . alternative test. E.isting econo$ic conditions )etween the parties are used to deter$ine whether EER e.ists. 4. pa"$ent of 13F'I,IF 8und contri)utions ;. pa"$ent E re$ittance of contri)utions to the State Insurance 8und 3. deduction of withholding ta. . deduction E re$ittance of SSS contri)utions Insular -ife Assurance Co., -td. v. ,-+C, *+ ,o. 11//3", 1! Marc& 1//2 -he e$plo"$ent status of a person is defined and prescri)ed )" law and not )" what the parties sa" it should )e. Al(on )n(ineerin( Construction Corp. v. ,-+C, *+ ,o. 234"!, "6 6ctober 1//1 Co particular evidence is re+uired to prove the e.istence of an EER. 3ll that is necessar" is to show that the e$plo"er is capa)le of e.ercising control over the e$plo"ee. In la)or disputes, it suffices that 1age ; of J3

Art. #. +ules and re(ulations De$art)ent o% Labor an" E)$lo()ent 8DOLE9 (ead agenc" in enforcing la)or laws and it possesses rule'$aking power in the enforce$ent of the *ode ,ut a rule or regulation that e.ceeds the Depart$ent/s rule'$aking authorit" is void. Art. 6. Applicability of -abor Code 3pplies alike to all workers, e.cept as otherwise provided )" law, whether agricultural or non' agricultural. 3pplies to a govern$ent corporation incorporated under the *orporation *ode II E-PLO:ER #E-PLO:EE RELATIONS5IP 8EER9 A ELE-ENTS O; RELATIONS5IP *'ris$r'"ential Tests to Deter)ine E0istence o% EER2 A T&e e)$lo(er &as t&e abilit( 8nee" not be actual$ to e3ercise control over t&e follo4in(5 4. 1a"$ent of Wages $a()ent o% co)$ensation b( wa( o% uic k- $pr i$ es e7 -Idoes 88 6 9 U nco s ed: co$$ission not $ilitate against ar e and needed to s eethe t a o$ pr ess or 3rt. G& of the conclusiondec EER e.ists. Under his pi ct ur e. (a)or *ode, HwageH shall $ean Hhowever designated, capa)le of )eing e.pressed in ter$s of $one", whether fi.ed or ascertained on a ti$e, task, price or co$$ission )asisIH (+nsular (i,e Assuran#e Co. (t-. .. '(RC /R 'o.11993! 12 0ar#) 1998)

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 there )e a causal connection )etween the clai$ asserted and the EER. *ontrol of the e$plo"eeKs conduct is co$$onl" regarded as the $ost crucial and deter$inative indicator of the presence or a)sence of an e$plo"er'e$plo"ee relationship. Aurora -and %ro7ects Corp. v. ,-+C, *+ ,o. 114133, "! 0anuary 1//1 Whenever the e.istence of EER is in dispute, four ele$ents constitute the relia)le "ardstick 9four' fold test:? 9a: the selection and engage$ent of the e$plo"ee? 9): the pa"$ent of wages? 9c: the power of dis$issal? and 9d: the e$plo"erKs power to control the e$plo"eeKs conduct. It is the so'called Hcontrol test,H and that is whether the e$plo"er controls or has reserved the right to control the e$plo"ee not onl" as to the result of the work to )e done )ut also as to the $eans and $ethods )" which the sa$e is to )e acco$plished, which constitute the $ost i$portant inde. of the e.istence of the e$plo"er'e$plo"ee relationship Stated otherwise, an EER e.ists where the person for who$ the services are perfor$ed reserves the right to control no onl" the end to )e achieved )ut also the $eans to )e used in reaching such end. 8ilipinas 'roadcastin( ,et4or9, Inc. v. ,-+C, *+ ,o. 1122/!, 11 Marc& 1//2 -here could )e no EER where Hthe ele$ent of control is a)sent? where a person who works for another does so $ore or less at his own pleasure and is not su)!ect to definite hours or conditions of work ? and in turn is co$pensated according to the result of his efforts and not the a$ount thereof, we should not find that the relationship of e$plo"er' e$plo"ee e.ists.H Dy :e& 'en( v. International -abor, *+ ,o. -. 3!!4#, !# May 1/1/ It should )e )orne in $ind that the control test calls $erel" for the e.istence of the right to control the $anner of doing the work, not the actual e.ercise of the right. A8% Mutual 'enefit Association v. ,-+C, *+ ,o. 1"!1//, !2 0anuary 1//1 @owever, not all that glitters is control. -he uic k- $pr i$ es e7 fact that private respondent re+uired to s solicit -I 88 69 was U nco ed: ar epetitioner needed to hardl" s ee t)e and a )usiness e.clusivel" for could dec o$ pr ess or his pi ct ur e. considered as control in la)or !urisprudence. Under Me$o *irculars Co. ;'J4 and ;'J# issued )" the Insurance *o$$issioner, insurance agents are )arred fro$ serving $ore than one insurance co$pan", in order to protect the pu)lic and to ena)le insurance co$panies to e.ercise e.clusive supervision over their agents in their solicitation work. -hus, the e.clusivit" restriction clearl" springs fro$ a regulation issued )" the Insurance *o$$ission, and not fro$ an intention )" petitioner to esta)lish control over the $ethod and $anner )" which private respondent shall acco$plish his work. -his feature is not $eant to change the nature of the relationship )etween the parties, nor does it necessaril" i$)ue such relationship with the +ualit" of control envisioned )" the law. So too, the fact that private respondent was )ound )" co$pan" policies, $e$oEcirculars, rules and regulations issued fro$ ti$e to ti$e is also not indicative of control. With regard to the territorial assign$ents given to sales agents, this too cannot )e held as indicative of the e.ercise of control over an e$plo"ee. 8urther, not ever" for$ of control that a part" reserves to hi$self over the conduct of the other part" in relation to the services )eing rendered $a" )e accorded the effect of esta)lishing an e$plo"er'e$plo"ee relationship. +u(a v. ,-+C, 121 SC+A !66 (1//"$ -he e$plo"er'e$plo"ee relationship )etween the crew $e$)ers and the owners of the fishing vessels engaged in deep'sea fishing is $erel" suspended during the ti$e the vessels are dr"docked or undergoing repairs or )eing loaded with the necessar" provisions for the ne.t fishing trip. -he said ruling is pre$ised on the principle that all these activities i.e., dr"dock, repairs, loading of necessar" provisions, for$ part of the regular operation of the co$pan" fishing )usiness. B INDEPENDENT CONTRACTORS AND LABOR<ONL: CONTRACTORS In"e$en"ent Contractors has sufficient su)stantial capital 2R invest$ent in $achiner", tools or e+uip$ent directl" or intended to )e related to the !o) contracted carries an independent )usiness different fro$ the e$plo"er/s undertakes to perfor$ the !o) under its own account and responsi)ilit", 8REE fro$ the principal/s control C2 EER e.cept when the contractor or su)contractor fails to pa" the e$plo"ees/ wages. Labor # Onl( Contractors has C2 su)stantial capital 2R invest$ent in the for$ of $achiner", tools or e+uip$ent has no independent )usiness perfor$s activities directl" related to the $ain )usiness of the principal 1rincipal treated as direct e$plo"er of the person recruited in all instances 9contractor is dee$ed 1age 3 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 agent of the principal: 1rincipal/s lia)ilit" e.tends to all rights, duties and lia)ilities under la)or standard laws including the right to self'organi5ation ;. -he e$plo"ees recruited, supplied or placed )" such contractor or su)contractor are perfor$ing activities which are directl" related to the $ain )usiness of the principal? or 3. -he contractor does not e.ercise the right to control over the perfor$ance of the work of the contractual e$plo"ee. S'bstantial ca$ital or in/est)ent # ca$ital stoc1s and su)scri)ed capitali5ation in the case of corporations, tools, e+uip$ent, i$ple$ents, $achineries and work pre$ises, actuall" and directl" used )" the contractor or su)contractor in the perfor$ance or co$pletion of the !o), work or service contracted out. Rig&t to Control # rig&t reser/e" to t&e $erson %or who$ the services of the contractual workers are perfor$ed, to deter$ine not onl" the end to )e achieved, )ut also the $anner and $eans to )e used in reaching that end. -he test to deter$ine whether one is a !o) or la)or'onl" contractor is to look into the ele$ents of a !o) contractor. If 3(( ele$ents of a !o) contractor are present, then he is a !o) contractor. 2therwise, he is a la)or'onl" contractor. 3)sent one of the ele$ents for )eing a !o) contractor, the person is a la)or'onl" contractor. 2n the other hand, not all re+uisites of a la)or' onl" contractor need to )e present. 3s long as an" one of the ele$ents is present, then the person is a la)or'onl" contractor. Posting o% Bon" # an e)$lo(er or in"irect e)$lo(er $a" re+uire the contractor or su)contractor to furnish a )ond e+ual to the cost of la)or under contract, on condition that the )ond will answer for the wages due the e$plo"ees should the contractor or su)contractor, as the case $a" )e, fail to pa" the sa$e Ci/il liabilit( o% e)$lo(er an" contractors # E/er( e$plo"er or indirect e$plo"er shall )e !ointl" and severall" lia)le with his contractor or su)'contractor for the unpaid wages of the e$plo"ees of the latter. Such e$plo"er or indirect e$plo"er $a" re+uire the contractor or su)'contractor to furnish a )ond e+ual to the cost of la)or under contract on condition that the )ond will answer for the wages due the e$plo"ees should the contractor or su)contractor, as the case $a" )e, fail to pa" the sa$e Liabilit( o% t&e $rinci$al to t&e e)$lo(ee in cases o% illegal "is)issal 1age of J3

(IMI-ED lia)ilit" 9principal solidaril" lia)le with contractor or su)contractor onl" when latter fails to co$pl" with re+uire$ents as to unpaid wages and other la)or standards violations. 1ERMISSI,(E 1R2@I,I-ED

Contracting or s'bcontracting # an arrange)ent where)" a principal agrees to put out or far$ out with a contractor or su)contractor the perfor$ance or co$pletion of a specific !o), work or service within a definite or predeter$ined period, regardless of whether such !o), work or service is to )e perfor$ed or co$pleted within or outside the pre$ises of the principal Contractor or s'bcontractor # an( $erson or entit( engaged in a legiti$ate contracting or su)contracting arrange$ent Contract'al e)$lo(ee # one e)$lo(e" b( a contractor or su)contractor to perfor$ or co$plete a !o), work or service pursuant to an arrange$ent )etween the latter and a principal Princi$al # an( e)$lo(er w&o $'ts o't or %ar)s o't a !o), service or work to a contractor or su)contractor Per)issible *ob Contracting4 Con"itions a. -he contractor carries on an independent )usiness? ). Undertakes the contract work on his own account under his own responsi)ilit" according to his own $anner and $ethod, free fro$ the control and direction of his e$plo"er or principal in all $atters connected with the perfor$ance of the work e.cept as to the results thereof? and c. -he contractor has su)stantial capital or invest$ent in the for$ of tools, e+uip$ent, $achineries, work pre$ises, and other $aterials which are necessar" in the conduct of his )usiness. uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e and needed to s ee t a dec o$ ess or Labor<onl( Contracting #pr an arrange)ent w&ere his pi ct ur e. the contractor or su)contractor $erel" recruits, supplies or places workers to perfor$ a !o), work or service for a principal, and an" of the following ele$ents are present= 4. -he contractor or su)contractor does not have su)stantial capital or invest$ent which relates to the !o), work or service to )e perfor$ed

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 4. >oint and several with the e$plo"er, )ut with the right to rei$)urse$ent fro$ the e$plo"er' contractor ;. Wage differentials onl" to the e.tent where the e$plo"ee perfor$ed the work under the principal. 3. Separation pa" and )ackwages, onl" when the principal has so$e relation to the ter$ination 9such as when he conspired to ter$inate: (Rose1oo- 2ro#essing +n#. v. '(RC /R 'os. 11&%3&48% 21 0a5 1998) NOTE2 t&is r'ling is an obiter an" )a"e an un!ustified interpretation of 3rt. 4LG of the (a)or *ode. 3rt. 4LG $akes the principal lia)le in illegal dis$issal W2C there was fault on his part. Pro&ibite" Acts 8DO =><0292 a. *ontracting out of a !o), work or service when not done in good faith and not !ustified )" the e.igencies of the )usiness and the sa$e results in the ter$ination of regular e$plo"ees and reduction of work hours or reduction or splitting of the )argaining unit ). *ontracting out of work with a Hca)oH as defined in Section 4 9ii:, Rule I, ,ook V of these Rules. ?Cabo? re%ers to a $erson or gro'$ o% $ersons or to a la)or group which, in the guise of a la)or organi5ation, supplies workers to an e$plo"er, with or without an" $onetar" or other consideration whether in the capacit" of an agent of the e$plo"er or as an ostensi)le independent contractor c. -aking undue advantage of the econo$ic situation or lack of )argaining strength of the contractual e$plo"ee, or under$ining his securit" of tenure or )asic rights, or circu$venting the provisions of regular e$plo"$ent, in an" of the following instances= i. In addition to his assigned functions, re+uiring the contractual e$plo"ee to perfor$ functions which are currentl" )eing perfor$ed )" the regular e$plo"ees of the principal or of the contractor or su)contractor? ii. Re+uiring hi$ to sign, as a precondition to uic k- $pr i$ es e7 e$plo"$ent or6 continued e$plo"$ent, -I 88 9 U nco s ed:an ar e needed to s ee t and a antedated resignation letter? dec o$ pr ess or a )lank his pi of ct la)or ur e. standards pa"roll? a waiver including $ini$u$ wages and social or welfare )enefits? or a +uitclai$ releasing the principal, contractor or su)contractor fro$ an" lia)ilit" as to pa"$ent of future clai$s? and iii. Re+uiring hi$ to sign a contract fi.ing the period of e$plo"$ent to a ter$ shorter than the ter$ of the contract )etween the principal and the contractor or su)contractor, unless the latter contract is divisi)le into phases for which su)stantiall" different skills are re+uired and this is $ade known to the e$plo"ee at the ti$e of engage$ent d. *ontracting out of a !o), work or service through an in'house agenc" which refers to a contractor or su)contractor engaged in the suppl" of la)or which is owned, $anaged or controlled )" the principal and which operates solel" for the principal e. *ontracting out of a !o), work or service directl" related to the )usiness or operation of the principal )" reason of a strike or lockout whether actual or i$$inent f. *ontracting out of a !o), work or service )eing perfor$ed )" union $e$)ers when such will interfere with, restrain or coerce e$plo"ees in the e.ercise of their rights to self organi5ation as provided in 3rt. ; J 9c: of the (a)or *ode, as a$ended E0istence o% EER # T&e contractor or s'bcontractor shall )e considered the e$plo"er of the contractual e$plo"ee for purposes of enforcing the provisions of the (a)or *ode and other social legislation. -he principal, however, shall )e solidaril" lia)le with the contractor in the event of an" violation of an" provision of the (a)or *ode, including the failure to pa" wages. -he principal shall )e dee$ed the e$plo"er of the contractual e$plo"ee in an" of the following cases as declared )" a co$petent authorit"= a. where there is la)or'onl" contracting? or ). where the contracting arrange$ent falls within the prohi)ited acts Registration o% Contractors an" S'bcontractors -he registration of contractors and su)contractors shall )e necessar" for purposes of esta)lishing an effective la)or $arket infor$ation and $onitoring. 8ailure to register shall give rise to the presu$ption that the contractor is engaged in la)or'onl" contracting. ,eri v. ,-+C, *+ ,os. /1""2."/, !3 0uly 1//3 1age # of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 -he law does not re+uire )oth su)stantial capital and invest$ent in the for$ of tools, e+uip$ent and $achineries. -his is clear fro$ the use of the con!unction Mor.N If the intention was to re+uire the contractor to prove that he has )oth capital and the re+uisite invest$ent, then the con!unction MandN should have )een used. While these services 9!anitorial, securit" and even technical or other specific services: $a" )e considered directl" related to the principal )usiness of the e$plo"er, nevertheless, the" are not necessar" in the conduct of the principal )usiness of the e$plo"er. -apanday A(ricultural Dev;t Corp. v. CA, *+ ,o. 11!13/, 31 0anuary !""" It will )e seen fro$ the a)ove provisions that the principal 9petitioner: and the contractor 9respondent: are !ointl" and severall" lia)le to the e$plo"ees for their wages. -he !oint and several lia)ilit" of the contractor and the principal is $andated )" the (a)or *ode to assure co$pliance with the provisions therein including the $ini$u$ wage. -he contractor is $ade lia)le )" virtue of his status as direct e$plo"er. -he principal, on the other hand, is $ade the indirect e$plo"er of the contractorKs e$plo"ees to secure pa"$ent of their wages should the contractor )e una)le to pa" the$. Even in the a)sence of an EER, the law itself esta)lishes one )etween the principal and the e$plo"ees of the agenc" for a li$ited purpose i.e. in order to ensure that the e$plo"ees are paid the wages due the$. Se/eral %actors to consi"er to Deter)ine 7&et&er Contractor is carr(ing on an in"e$en"ent b'siness2 4. nature and e.tent of work ;. skill re+uired 3. ter$ and duration of the relationship . right to assign the perfor$ance of specified pieces of work #. control and supervision of worker %. power of e$plo"er with hiring, firing, and pa"$ent of wages &. control of the pre$ises J. dut" to suppl" pre$ises, tools, appliances, $aterials and la)or 6 uic k- i$ e7 88 of 9 pa"$ent U nco $pr es sv. ed: G. $ode, $anner, -I ter$s 9Vino"a ar e and needed to s ee t a dec o$ pr ess or '(RC /R 'o. 12&28& !2 2!!!) his pi ct ur6e$ruar5 e. C SPECIAL CASES 4. Working scholars B no EER )etween students on one hand, and schools, colleges or universities on the other, where= a. there is written agree$ent )etween the$ under which the for$er agree to work for the latter in e.change for the privilege to stud" free of charge ). provided, the students are given real opportunities, including such facilities as $a" )e reasona)le and necessar" to finish their chosen courses under such agree$ent ;. Resident ph"sicians in training B -here is EER )etween resident ph"sicians and the training hospital unless= a. -here is a training agree$ent )etween the$ ). -he training progra$ is dul" accredited or approved )" the appropriate govern$ent agenc". III PRE<E-PLO:-ENT A PRINCIPLES AND DE;INITIONS 0MM %ro otion < Mana(e ent Inc. v. CA, *+ ,o. 1!""/#, "# Au(ust 1//6 -he 12E3 Rules are clear. 3 reading thereof readil" shows that in addition to the cash and suret" )onds and the escrow $one", an appeal )ond in an a$ount e+uivalent to the $onetar" award is re+uired to perfect an appeal fro$ a decision of the 12E3. 2)viousl", the appeal )ond is intended to further insure the pa"$ent of the $onetar" award in favor of the e$plo"ee if it is eventuall" affir$ed on appeal to the C(R*. 2verseas recruiters are su)!ect to $ore stringent re+uire$ents )ecause of the special risks to which our workers a)road are su)!ected )" their foreign e$plo"ers, against who$ there is usuall" no direct or effective recourse. -he overseas recruiter is solidaril" lia)le with the foreign e$plo"er. -he )onds and the escrow $one" are intended to insure $ore care on the part of the local agent in its choice of the foreign principal to who$ our overseas workers are to )e sent. Ever" intend$ent of the law $ust )e interpreted in favor of the working class, confor$a)l" to the $andate of the *onstitution. ," sustaining rather than annulling the appeal )ond as a further protection to the clai$ant e$plo"ee, this *ourt affir$s once again its co$$it$ent to the interests of la)or. %,' v. Cabansa(, *+ ,o. 1#1"1", !1 0une !""# Coteworth" is the fact that respondent likewise applied for and secured an 2verseas E$plo"$ent *ertificate fro$ the 12E3 through the 1hilippine E$)ass" in Singapore. -he *ertificate, issued on March J, 4GGG, declared her a )ona fide contract worker for Singapore. Under 1hilippine law, this 1age % of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 docu$ent authori5ed her working status in a foreign countr" and entitled her to all )enefits and processes under our statutes. -hus, even assu$ing that she was considered at the start of her e$plo"$ent as a Mdirect hireN governed )" and su)!ect to the laws, co$$on practices and custo$s prevailing in Singapore she su)se+uentl" )eca$e a contract worker or an 28W who was covered )" 1hilippine la)or laws and policies upon certification )" the 12E3. 3t the ti$e her e$plo"$ent was illegall" ter$inated, she alread" possessed the 12E3 e$plo"$ent *ertificate. Whether e$plo"ed locall" or overseas, all 8ilipino workers en!o" the protective $antle of 1hilippine la)or and social legislation, contract stipulations to the contrar" notwithstanding. -his pronounce$ent is in keeping with the )asic pu)lic polic" of the State to afford protection to la)or, pro$ote full e$plo"$ent, ensure e+ual work opportunities regardless of se., race or creed, and regulate the relations )etween workers and e$plo"ers. B RECR@IT-ENT AND PLACE-ENT = De%inition2 Illegal Recr'it)ent4 Pro&ibite" Acts Recr'it)ent an" Place)ent # an( act o% 8CETC5@P9 can/assing, enlisting, trans$orting, contracting, hiring, utili5ing or procuring workers and includes 9*R31: includes contract services, referrals, advertising for e$plo"$ent, pro$ising for e$plo"$ent locall" or a)road, whether for profit or not= 1rovided, -hat an" person or entit" which, in an" $anner, offers or pro$ises for a fee, e$plo"$ent to two or $ore persons shall )e dee$ed engaged in recruit$ent and place$ent Pro&ibite" Practices 4. -o charge or accept, directl" or indirectl", an" a$ount greater than that specified in the schedule of allowa)le fees prescri)ed )" the Secretar" of (a)or, or to $ake a worker pa" an" a$ount greater than that actuall" received )" hi$ as a loan or advance ;. -o furnish or pu)lish an" false notice or infor$ation or docu$ent in relation to recruit$ent or e$plo"$ent uic k- $pr i$ es e7 -I notice, 88 69 testi$on", U nco s ed: 3. -o give an" false ar e and needed toinfor$ation s ee t a dec o$ pr ess or or docu$ent or co$$it an" his pi ct ur act e. of $isrepresentation for the purpose of securing a license or authorit" under this *ode . -o induce or atte$pt to induce a worker alread" e$plo"ed to +uit his e$plo"$ent in order to offer hi$ to another unless the transfer is designed to li)erate the worker fro$ oppressive ter$s and conditions of e$plo"$ent #. -o influence or to atte$pt to influence an" person or entit" not to e$plo" an" worker who has not applied for e$plo"$ent through his agenc" %. -o engage in the recruit$ent or place$ent of workers in !o)s har$ful to pu)lic health or $oralit" or to the dignit" of the Repu)lic of the 1hilippines &. -o o)struct or atte$pt to o)struct inspection )" the Secretar" of (a)or or )" his dul" authori5ed representatives J. -o fail to file reports on the status of e$plo"$ent, place$ent vacancies, re$ittance of foreign e.change earnings, separation fro$ !o)s, departures and such other $atters or infor$ation as $a" )e re+uired )" the Secretar" of (a)or G. -o su)stitute or alter e$plo"$ent contracts approved and verified )" the Depart$ent of (a)or fro$ the ti$e of actual signing thereof )" the parties up to and including the periods of e.piration of the sa$e without the approval of the Secretar" of (a)or 4L. -o )eco$e an officer or $e$)er of the ,oard of an" corporation engaged in travel agenc" or to )e engaged directl" or indirectl" in the $anage$ent of a travel agenc" 44. -o withhold or den" travel docu$ents fro$ applicant workers )efore departure for $onetar" or financial considerations other than those authori5ed under this *ode and its i$ple$enting rules and regulations 4;. 8ailure to actuall" deplo" without valid reason as deter$ined )" D2(E 43. 8ailure to rei$)urse e.penses incurred )" the worker in connection with his docu$entation and processing for purposes of deplo"$ent, in cases where the deplo"$ent does not actuall" take place without the worker/s fault Art. 32. Ille(al recruit ent 3n" recruit$ent activities, including the prohi)ited practices enu$erated under 3rticle 3 of this *ode, to )e undertaken )" non'licensees or non' holders of authorit", shall )e dee$ed illegal and punisha)le under 3rticle 3G of this *ode. -he Depart$ent of (a)or and E$plo"$ent or an" law enforce$ent officer $a" initiate co$plaints . %eople v. %anis, 14! SC+A 664 (1/26$ -he nu$)er of persons dealt with is not the )asis in deter$ining W2C an act constitutes recruit$ent and place$ent. 3n" of the acts $entioned in 3rticle 43 9): will constitute recruit$ent and place$ent even if onl" one prospective worker is involved. In that case, a license or authorit" fro$ 12E3 is needed. 1age & of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 -he proviso a)out Mtwo or $ore personsN $erel" la"s down a rule of evidence= where fee is collected )ecause of a pro$ise or offer of e$plo"$ent to two or $ore prospective workers, the individual or entit" dealing with the$ shall )e dee$ed to )e engaged in the act of recruit$ent and place$ent. -he words Mshall )e dee$edN create that presu$ption. RA >0A2 # O/erseas ;ili$inos an" O/erseas -igrant 7or1ers Act applies to recruit$ent for overseas e$plo"$ent Illegal Recruit$ent 9Sec. %:= 3n" recruit$ent activit" co$$itted )" non' licensees E non'holders of authorit"? 2R 1rohi)ited 3cts 9sa$e as 3rt. 3 of (*: co$$itted )" an" person, whether a non' licensee, non'holder, licensee or holder of authorit". 3dded the following in the list of 1rohi)ited 3cts= 4. fail to actuall" deplo" without valid reason? ;. fail to rei$)urse e.penses incurred )" the worker in connection with hisEher docu$entation and processing for purposes of deplo"$ent, in cases where the deplo"$ent does not actuall" take place without the work ers fault. 4. ," a s"ndicate B carried out )" a group of 3 or $ore persons confederating with one another ;. In large scale B co$$itted against 3 or $ore persons individuall" or as a group %eople v. 8ernande=, et. al., "1 Marc& !""! -hese categories are separate or independent categories. If there is onl" one co$plainant in several co$plaints, there is no illegal recruit$ent in large. ,ut where there are three conspiring recruiters, there is illegal recruit$ent )" a s"ndicate. Non<licensee . Non<5ol"er o% a't&orit( # an( person, corporation or entit" which has not )een issued a valid license or authorit" to engage in recruit$ent and place$ent )" the Secretar" of (a)or, or whose license or authorit" has )een suspended, revoked or cancelled )" the 12E3 or the Secretar" 7&o are liable2 1rincipals, acco$plices, and accessories 8or !uridical persons, the officers having control, $anage$ent or direction of their )usiness shall )e lia)le. Where illegal recruit$ent is proved )ut the ele$ents of Mlarge scaleN or Ms"ndicateN are a)sent, the accused can )e convicted onl" of Msi$ple illegal recruit$entN. 91eople v. Sagun, FR 'o. 11!55% 19 6e$ruar5 1999) Illegal recr'it)ent 8IR9 in/ol/ing Econo)ic Sabotage 8Art B> 8b9 Labor Co"e & Sec =0 RA >0A292 4. IR co$$itted )" s"ndicate B carried out )" a group of 3 or $ore persons conspiring andEor confederating with one another in carr"ing out an" unlawful or illegal transaction, enterprise or sche$e falling under illegal recruit$ent ;. IR co$$itted in large scale ' co$$itted against 3 or $ore persons individuall" or as a group Esta%a # a $erson con/icte" %or illegal recr'it)ent under (a)or *ode can )e convicted for violation of the Revised 1enal *ode provisions on estafa provided the ele$ents of the cri$e are present. Art BC 8c9 o% Labor Co"e 'nconstit'tional 2nl" a >udge $a" issue warrants of search and arrest. -he la)or authorities $ust go through the !udicial process. Den'e # %ile" wit& t&e RTC o% t&e $ro/ince or cit(, Where offense co$$itted? 2R Where offended part" actuall" resides at the ti$e of the co$$ission of the offense 1age J of J3

Labor Co"e local recruit$ent and e$plo"$ent Illegal Recruit$ent 93rt. 3J:= 3n" recruit$ent activit" including 1rohi)ited 3cts under 3rt. 3 co$$itted )" non' licensees or non' holders of authorit". Ele$ents= 4. -hat the offender has no valid license or authorit" re+uired )" law to ena)le one to lawfull" engage in recruit$ent and place$ent of workers? and, ;. -hat the offender undertakes either an" activit" within the $eaning of recruit$ent and place$ent defined under 3rticle 439):, or an" prohi)ited practices enu$erated under 3rticle 3 .

-o prove illegal recruit$ent, it $ust )e shown that the accused gave the distinct i$pression that he had the power or a)ilit" toksend uic i$co$plainants e7 -Isuch 88 6 9 U nco $pr es s ed: a)road for work that the latter ar e and needed to were s ee t a dec o$ pr ess or convinced to part with in order to )e his pitheir ct ur$one" e. deplo"ed. 3 person is guilt" of illegal recruit$ent when he gives the i$pression that he has the power to send workers a)road. Illegal recr'it)ent in/ol/ing econo)ic sabotage

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Prescri$ti/e Perio"s2 Si$ple IR B within # "ears fro$ ti$e IR happened Econo$ic Sa)otage B within ;L "ears fro$ ti$e IR happened %eople v. Dia=, !#/ SC+A 441 (1//6$ -he acts of the appellant, which were clearl" descri)ed in the lucid testi$onies of the three victi$s, such as collecting fro$ each of the co$plainants pa"$ent for passport, $edical tests, place$ent fee, plane tickets and other sundr" e.penses, pro$ising the$ e$plo"$ent a)road, contracting and advertising for e$plo"$ent, un+uestiona)l" constitute acts of large scale illegal recruit$ent. A>uino v. CA, !"4 SC+A !4" (1//1$ Receipt of pa"$ents, after the e.piration of the license, for services rendered )efore said e.piration does not constitute illegal recruit$ent. Recruit$ent refers to the offering of induce$ents to +ualified personnel to enter a particular !o) or e$plo"$ent. -he advertising, the pro$ise of future e$plo"$ent and other co$e'ons took place while Ms. 3+uino was still licensed. -rue, the pa"$ents for services rendered are necessar" conse+uences of the applications for overseas e$plo"$ent. @owever, it is asking too $uch to e.pect a licensed agenc" to a)solutel" at the stroke of $idnight stop all transactions on the da" its license e.pires and refuse to accept carr"'over pa"$ents after the agenc" is closed. In an" )usiness, there has to )e a winding'up after it ceases operations. -he collection of unpaid accounts should not )e the )asis of a cri$inal prosecution. -he prosecution is )ased on the date of the prohi)ited activit", not on the pa"$ents )eing illegal e.actions even if effected during the correct period. -he pa"$ents are necessar" in order to defra" the e.penses entailed in an" overseas contract of e$plo"$ent. -he" are intended for ad$inistrative and )usiness e.penses and for the travelling e.penses of the applicants once cleared for overseas travel. %eople v. Senoron, !61 SC+A !12 (1//1$ 3ccording to the (a)or *ode, it is not the 69 U uic ki$ e7 issuance or signing of88 receipts for the place$ent -I nco $pr es s ed:fees ar e needed to s ee t and a that $akes a case dec for illegal )ut rather o$ prrecruit$ent, ess or his pi ct ur e. the undertaking of recruit$ent activities without the necessar" license or authorit". 3)sent an" other participation in the IR activities, $ere receiving of place$ent fees or signing of receipt do not constitute IR. Darvin v. CA, !/! SC+A #34 (1//2$ 1age G of J3 ," the$selves, procuring a passport, airline tickets and foreign visa for another individual, without $ore, can hardl" +ualif" as recruit$ent activities. IR $ust )e proved )e"ond reasona)le dou)t. 2 Reg'lation o% Recr'it)ent an" Place)ent Acti/ities Entities a't&ori+e" to engage in recr'it)ent an" $lace)ent a. pu)lic e$plo"$ent offices ). 1hilippine 2verseas E$plo"$ent 3d$inistration 912E3: c. private recruit$ent entities d. private e$plo"$ent agencies e. shipping or $anning agents or representatives f. such other persons or entities as $a" )e authori5ed )" the D2(E Secretar" g. construction contractors Is "irect<&iring o% O;7s allowe"E 7&(E Co. E$plo"ers cannot directl" hire workers for overseas e$plo"$ent e.cept through authori5ed entities see 9enu$eration a)ove:. -he reason for the )an is to ensure full regulation of e$plo"$ent in order to avoid e.ploitation. ;ees to be Pai" b( 7or1ers2 Co worker shall )e charged with an" fee until e$plo"ee= 94: o)tained work through recruiter/s efforts? and 9;: worker has actuall" co$$enced working. 1lace$ent fee in an a$ount e+uivalent to one $onth/s salar" of the worker and docu$entation costs are the 2C(O 3U-@2RIPED 13OMEC-S that $a" )e collected fro$ a hired worker. )astern Assurance and Surety Corp. v. Secretary of -abor, 121 SC+A 11" (1//"$ 12E3 has the power to order refund of illegall" collected fees. I$plicit in its power to regulate the recruit$ent and place$ent activities of all agencies is the award of appropriate relief to the victi$s of the offenses co$$itted )" the respondent agenc" or contractor. Such relief includes the refund or rei$)urse$ent of such fees as $a" have )een fraudulentl" or otherwise illegall" collected, or such $one", goods or services i$posed and accepted in e.cess of what is licitl" prescri)ed. Nat're o% t&e liabilit( o% local recr'it)ent agenc( an" %oreign $rinci$al 4. (ocal 3genc" is solidaril" lia)le with foreign principal.

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 ;. Severance of relations )etween local agent and foreign principal does not affect lia)ilit" of local recruiter. *oint an" soli"ar( liabilit( o% recr'iter wit& ;oreign Princi$al 3 recruit$ent agenc" is solidaril" lia)le for the unpaid salaries of a worker it recruited for e$plo"$ent overseas. Even if the recruiter and the principal had alread" severed their agenc" agree$ent at the ti$e e$plo"ee was in!ured, the recruiter $a" still )e sued for a violation of the e$plo"$ent contract )ecause no notice of the agenc" agree$entKs ter$ination was given to the e$plo"ee. Catan v. ,-+C, 16" SC+A 6/1 (1/22$ -his $ust )e so, )ecause the o)ligations covenanted in the recruit$ent agree$ent entered into )" and )etween the local agent and its foreign principal are not coter$inous with the ter$ of such agree$ent so that if either or )oth of the parties decide to end the agree$ent, the responsi)ilities of such parties towards the contracted e$plo"ees under the agree$ent do not at all end, )ut the sa$e e.tends up to and until the e.piration of the e$plo"$ent contracts of the e$plo"ees recruited and e$plo"ed pursuant to the said recruit$ent agree$ent. 2therwise, this will render nugator" the ver" purpose for which the law governing the e$plo"$ent of workers for foreign !o)s a)road was enacted. Posting o% cas& bon" b( recr'iter Capricorn ?ravel < ?ours v. CA, 124 SC+A 1!3 (1//"$ -he re+uire$ent for the posting of a cash )ond is also an indispensa)le ad!unct to the re+uire$ent that the agenc" undertakes to assu$e !oint and solidar" lia)ilit" with the e$plo"er for all clai$s and lia)ilities which $a" arise in connection with the i$ple$entation of the contract of overseas e$plo"$ent and to guarantee co$pliance with e.isting la)or and social legislation of the 1hilippines and the countr" of e$plo"$ent. -he undertaking to assu$e !oint and solidar" lia)ilit" andi$ to guarantee 6 uic ke7 -I 88 9 U nco $pr es s ed: co$pliance with la)or laws, and the conse+uent ar e and needed to s ee t a dec o$ pr ess or posting of cash and suret" his pi )onds, ct ur e.$a" )e traced all the wa" )ack to the constitutional $andate for the State to Hafford full protection to la)or, local and overseas.H -he peculiar nature of overseas e$plo"$ent $akes it ver" difficult for the 8ilipino overseas worker to effectivel" go after his foreign e$plo"er for e$plo"$ent'related clai$s and, hence, pu)lic polic" dictates that, to afford overseas workers protection fro$ unscrupulous e$plo"ers, the recruit$ent or place$ent agenc" in the 1hilippines )e $ade to share in the e$plo"erKs responsi)ilit". Stron(&old Insurance Co. v. CA, !"# SC+A 6"# (1//!$ -he suret" )ond re+uired of recruit$ent agencies is intended for the protection of our citi5ens who are engaged for overseas e$plo"$ent )" foreign co$panies. -he purpose is to insure that if the rights of these overseas workers are violated )" their e$plo"ers, recourse would still )e availa)le to the$ against the local co$panies that recruited the$ for the foreign principal. -he foreign principal is outside the !urisdiction of our courts and would pro)a)l" have no properties in this countr" against which an adverse !udg$ent can )e enforced. -his difficult" is corrected )" the )ond, which can )e proceeded against to satisf" that !udg$ent. Liabilit( o% s'ret( In a suret" )ond, the suret" une+uivocall" )ound itself to answer for all lia)ilities which the 12E3 $a" ad!udge or i$pose against the principal in connection with the recruit$ent of 8ilipino sea$en Stron(&old Insurance Co. v. CA, !"# SC+A 6"# (1//!$ -he suret" agreed to answer for whatever decision $ight )e rendered against the principal, whether or not the suret" was i$pleaded in the co$plaint and had the opportunit" to defend itself. -here is nothing in the stipulation calling for a direct !udg$ent against the suret" as a co'defendant in an action against the principal. Power to s's$en" or cancel an( license or a't&orit( to recr'it e)$lo(ees %or o/erseas e)$lo()ent is conc'rrentl( /este" wit& t&e POEA an" t&e Secretar( o% Labor -he penalties of suspension and cancellation of license or authorit" are prescri)ed for violations of the a)ove +uoted provisions, a$ong others. 3nd the Secretar" of (a)or has the power under Section 3# of the law to appl" these sanctions, as well as the authorit", conferred )" Section 3%, not onl" to Krestrict and regulate the recruit$ent and place$ent activities of all agencies,K )ut also to Kpro$ulgate rules and regulations to carr" out the o)!ectives and i$ple$ent the provisionsK governing said activities. 1ursuant to this rule' $aking power thus granted, the Secretar" of (a)or gave the 12E3 on its own initiative or upon filing of a co$plaint or report or upon re+uest for investigation )" an" aggrieved 1age 4L of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 person, 9authorit" to: conduct the necessar" proceedings for the suspension or cancellation of the license or authorit" of an" agenc" or entit"K for certain enu$erated offenses including 4. the i$position or acceptance, directl" or indirectl", of an" a$ount of $one", goods or services, or an" fee or )ond in e.cess of what is prescri)ed )" the 3d$inistration ;. an" other violation of pertinent provisions of the (a)or *ode and other relevant laws, rules and regulations. -he 3d$inistrator was also given the power to Korder the dis$issal of the case or the suspension of the license or authorit" of the respondent agenc" or contractor or reco$$end to the Minister 9now Secretar": the cancellation thereof. B Contracts ;ree"o) to Sti$'late @ir.0en S&ippin( v. ,-+C, 11# SC+A 341 (1//!$A 1!# SC+A #11 (1/23$ -he for$ contracts approved )" the Cational Sea$en ,oard 0now 12E3Q are designed to protect 8ilipino sea$en not foreign shipowners who can take care of the$selves. -he standard for$s e$)od" the )asic $ini$u$s which $ust )e incorporated as parts of the e$plo"$ent contract. -he" are not collective )argaining agree$ents or illi$ita)le contracts which the parties cannot i$prove upon or $odif" in the course of the agreed period of ti$e. -er$s and conditions and other )enefits not provided )" the $ini$u$ re+uire$ents are valid if the whole e$plo"$ent package is $ore )eneficial to the worker than the $ini$u$. ,ut the stipulations should not contradict law, pu)lic polic" and $orals. -ini)') Pro/isions %or Contract 4. Fuaranteed wages, for regular working hours and overti$e pa" for services rendered )e"ond regular work hours in accordance with the standards esta)lished )" the 3d$inistration ;. 8ree transportation fro$ point of hire to site of uic k- $pr i$ es e7 -I return 88 69 U nco s ed: e$plo"$ent and ar e and needed to s ee t a dec o$ prand essdental or 3. 8ree e$ergenc" $edical treat$ent his pi ct ur e. and facilities . >ust causes for the ter$ination of the contract or of the services of the workers #. Work$en/s co$pensation )enefits and war ha5ard protection %. Repatriation of workers re$ains and properties in case of death to the point of hire, or if this is not possi)le under the circu$stances, the proper disposition thereof, upon prior arrange$ent with the worker/s ne.t'of'kin and the nearest E$)ass" or *onsulate through the 2ffice of the (a)or 3ttache &. 3ssistance in the re$ittance of worker/s salaries, allowances or allot$ents to his )eneficiaries J. 8ree and ade+uate lodging facilities or co$pensator" food allowance at prevailing cost of living standards at the !o)site A Dis$'te Settle)ent Reg'lator( $ower # DOLE Secretar( s&all &a/e t&e power to restrict and regulate the recruit$ent and place$ent activities of all agencies within the coverage of this -itle and is here)" authori5ed to issue orders and pro$ulgate rules and regulations to carr" out the o)!ectives and i$ple$ent the provisions of this -itle. *'ris"iction o% t&e POEA 2riginal and e.clusive !urisdiction to hear and decide= a. all cases, which are ad$inistrative in character, involving or arising out of violations of rules and regulations relating to licensing and registration of recruit$ent and e$plo"$ent agencies or entities ). disciplinar" action cases and other special cases, which are ad$inistrative in character, involving e$plo"ers, principals, contracting partners and 8ilipino $igrant workers -one( Clai)s o% O;7s 3 worker dis$issed fro$ overseas e$plo"$ent without !ust, valid or authori5ed cause as defined )" law or contract, is entitled to= a. full rei$)urse$ent of the place$ent fee with interest at 4;R per annu$ 1(US ). his salar" for une.pired portion of his e$plo"$ent contract 2R salar" for 3 $onths for ever" "ear of the une.pired ter$, W@I*@EVER IS (ESSER 3'$onths option availa)le 2C(O I8 the e$plo"$ent contract is for at least one "ear. If the contract is shorter than that, the salar" paid should )e that for the une.pired portion. *'ris"iction o/er -one( Clai)s (a)or 3r)iters have !urisdiction over all $onetar" clai$s of 2verseas 8ilipino Workers arising fro$ e$plo"er'e$plo"ee relationship or )" virtue of an" law or contract involving 8ilipino workers for overseas deplo"$ent, including clai$s for actual, $oral, e.e$plar" and other for$s of da$ages. 1age 44 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Power an" ;'nctions o% TESDA Responsi)le for for$ulating, continuing, coordinating, and full" integrating technical education and skills develop$ent policies, plans and progra$s 2 A$$rentices&i$ an" Learners&i$ Learners A$$rentices 7&at Persons &ire" as 1ractical trainees in se$i' training on the skilled and other !o) industrial Supple$ented occupations )" related Con' theoretical apprenticea)le instruction Ma" )e learned *overed )" a through practical written training on the apprenticeship !o) in a relativel" agree$ent with short period of an individual ti$e e$plo"er or Shall not e.ceed entit" 3 $onths Ceeds D2(E approval Shall not e.ceed % $onths 7&en Co e.perienced 2nl" in highl"' workers technical )a( be &ire" availa)le industries 1revent 2nl" in curtail$ent of apprenticea)le e$plo"$ent occupations opportunities Cot to create unfair co$petition in la)or costs and lower working standards List o% learnable 3t least 4 trades provided "ears old )" -ESD3 1ossesses vocational aptitude and c apacit" for tests 3)ilit" to co$prehend 3)ilit" to follow oral and written instructions 3n" for$ of e$plo"$ent re+uiring )e"ond 3 $os. practical 1age 4; of J3

C E-PLO:-ENT O; ALIENS ReF'isites %or E)$lo()ent o% Non<Resi"ent Aliens 4. working per$it fro$ D2(E ;. certification that there is no availa)le 8ilipino willing and co$petent to do the !o) for the e$plo"er 3. alien $ust train at least two 8ilipino understudies for such undertaking . 82R EC-ER1RISES REFIS-ERED IC 1RE8ERRED 3RE3S 28 ICVES-MEC- B e$plo"$ent per$it issued upon reco$$endation of govern$ent agenc" charged with the supervision of said registered enterprise E0e)$tion %ro) Per)it 4. 3ll $e$)ers of Diplo$atic Services and foreign govern$ent officials accredited with the 1hil. Fovern$ent ;. Me$)ers of international organi5ations with which the 1hil. Fovern$ent is a cooperating $e$)er 9i.e. 3D,, IRRI: 3. Missionaries actuall" engaged in $issionar" work . 3ll aliens granted e.e$ption )" special laws and all those whose e$plo"$ent in the 1hil. @ave )een deter$ined )" the Sec. of (a)or to )e )eneficial to national interest. D'ration o% Per)it Valid for 4 "ear fro$ date of issuance, unless sooner revoked )" the Secretar" of (a)or Renewa)le upon showing of good cause Con'transfera)le Ot&er Pro&ibitions 3liens shall not transfer to another !o) or change his e$plo"er without prior approval of the secretar" of la)or Con'resident alien shall not take up e$plo"$ent in violation of the provisions of the *ode. D 5@-AN RESO@RCES & -ANPO7ER DEDELOP-ENT = !o/ern)ent -ac&iner( uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e needed to s ee t and a Polic( dec o$ pr ess or pi ct ur It is the polic" ofhis the State toe. provide relevant, accessi)le, high +ualit" and efficient technical education and skills develop$ent in support of the develop$ent of high'+ualit" 8ilipino $iddle'level $anpower responsive to and in accordance with 1hilippine develop$ent goals and priorities.

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 training on the !o) supple$ented )" related theoretical instruction Co list ReF'isites %or a Dali" A$$rentices&i$ 4. +ualifications of apprentice are $et ;. the apprentice earns not less than &#R of the prescri)ed $ini$u$ salar" 3. apprenticeship agree$ent dul" e.ecuted and signed . apprenticeship progra$ approved )" the Sec. of (a)or? otherwise, the apprentice shall )e dee$ed as a regular e$plo"ee #. period of apprenticeship not e.ceed % $onths 3t the ter$ination of the apprenticeship, the e$plo"er is not re+uired to continue the e$plo"$ent. E$plo"er $a" not pa" wage if the apprenticeship is S a re+uire$ent for graduation S re+uired )" the School S re+uired )" the -raining 1rogra$ *urriculu$ S re+uisite for ,oard e.a$ination Den'e o% A$$rentices&i$ Progra)s -he plant, shop, pre$ises of the e$plo"er or fir$ concerned if the apprenticeship progra$ is organi5ed )" an individual e$plo"er or fir$. -he pre$ises of one or several fir$s designated for the purpose )" the organi5er of the progra$ if such organi5er is an association of e$plo"ers, civic groups and the like. D2(E training center or other pu)lic training institutions with which the ,ureau has $ade appropriate arrange$ents. Contents o% Learners&i$ Agree)ent 4. na$es and addresses of e$plo"er and learner ;. occupation to )e learned and the duration of the training period which shall not e.ceed 3 $onths 3. wage of the learner which shall )e at least &#R of the applica)le $ini$u$ wage uic k- $pr i$ es e7 88 69 U nco s ed: . co$$it$ent to -I e$plo" the learner, so ar e and needed toif he s ee t a dec o$ pr ess orupon co$pletion desires, as a regular e$plo"ee his pi ct ur e. of training 3 learner who has worked during the first two $onths shall )e dee$ed a regular e$plo"ee if training is ter$inated )" the e$plo"er )efore the end of the stipulated period thorough no fault of the learner.

D 7OR3IN! CONDITIONS Co/erage ,ook III of the (a)or *ode provides the conditions or standards of e$plo"$ent. -hese standards appl" onl" if there e.ists EER. E0cl'"e" E)$lo(ees 4. Fovern$ent e$plo"ees whether e$plo"ed )" the Cational Fovern$ent or an" of its political su)divisions, including those e$plo"ed in F2**s ;. Manage$ent e$plo"ees. If the" $eet 3(( of the following conditions= i. -heir pri$ar" dut" consists of the $anage$ent of the esta)lish$ent in which the" are e$plo"ed or of a depart$ent or su)division thereof ii. -he" custo$aril" and regularl" direct the work of two or $ore e$plo"ees therein iii. -he" have authorit" to hire or fire other e$plo"ees of lower rank? or there suggestions and reco$$endations as to the hiring and firing and as to the pro$otion or an" other change of status of other e$plo"ees are given particular weight 3. 2fficers or $e$)ers of $anagerial staff if the" perfor$ the following duties and responsi)ilities i. 1ri$ar" dut" consists of perfor$ance of work directl" related to $anage$ent policies of e$plo"er ii. *usto$aril" and regularl" e.ercise discretion and independent !udg$ent iii. 9a: Regularl" and directl" assist a proprietor or a $anagerial e$plo"ee? 9): E.ecute under general supervision work along speciali5ed or technical lines re+uiring special training, e.perience or knowledge? 9c: e.ecute under general supervision special assign$ents and tasks? and iv. who do not devote $ore than ;LR of their hours worked in a workweek to activities which are not directl" and closel" related to the perfor$ance of work in i'iii a)ove. . do$estic servants and persons in the personal service of another if i. the" perfor$ such services in the e$plo"er/s ho$e which are usuall" necessar" or desira)le for the $aintenance and en!o"$ent thereof, or ii. $inister to the personal co$fort, convenience, or safet" of the e$plo"er as well as $e$)ers of the e$plo"er/s household 1age 43 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 #. workers paid )" results, including those who are paid on piece'work, takaw, pak"aw or task )asis %. non'agricultural field personnel if the" regularl" perfor$ their duties awa" fro$ the principal or )ranch office of place of )usiness and whose actual hours of work in the field cannot )e deter$ined with reasona)le certaint". -anagerial E)$lo(ees # re%er to t&ose w&ose pri$ar" dut" consists of the $anage$ent of the esta)lish$ent in which the" are e$plo"ed or of a depart$ent or su)division thereof, and to other officers or $e$)ers of the $anagerial staff ;iel" Personnel # non<agric'lt'ral e)$lo(ees w&o regularl" perfor$ their duties awa" fro$ the principal place of )usiness or )ranch office of the e$plo"er and whose actual hours of work in the field cannot )e deter$ined with reasona)le certaint" Mercidar 8is&in( Corp. v. ,-+C, !/1 SC+A 44" (1//2$ 8isher$en are not field personnel since throughout the duration of their work, the" are under the effective control and supervision of the e$plo"er. Autobus ?ransport Syste s Inc. v. 'autista, *+ ,o. 1#6361, 16 May !""#$ It is of !udicial notice that along the routes that are plied )" )us co$panies, there are its inspectors assigned in strategic places, $andator" once'a'week car )arn or shop da", driversEconductors $ust )e at a specific place at a specific ti$e, as the" generall" o)serve pro$pt departure and arrival fro$ their point of origin to their point of destination. -he" are under the constant supervision while in the perfor$ance of this work. -hus, driversEconductors are not field personnel. B 5O@RS O; 7OR3 Work hours shall not e.ceed J. -hus, part'ti$e work, or a da"/s work of less than J hours, not prohi)ited. 7or1 Da( # 2A<&r $erio" co))encing %ro) t&e ti)e an e$plo"ee regularl" starts to work regardless of uic k- $pr i$ es e7 -I)roken 88 69 or U nco s ed: whether the work is continuous ar e and needed to s ee t a dec o$ pr ess or his pi ct ur e. Calen"ar Da( # 2A<&r $erio" co))encing at =2 $idnight and ending at 44=#G p.$. Co)$resse" 7or1 7ee1 8C779 Resorted to )" the e$plo"er to prevent serious losses due to causes )e"ond his control, such as when there is su)stantial slu$p in de$and for his goods and services or when there is lack of raw $aterials. Instead of working % da"s a week, the e$plo"ees will )e regularl" working for less than % da"s )ut each workda" e.ceeds J hrs. 8or the hours e.ceeding J in a workda", the e$plo"ees waive their 2- pa" )ecause, in return, the" will no longer incur transport and other e.penses. 3llowed on condition that it is freel" agreed upon )etween the e$plo"er and $a!orit" of the e$plo"ees. 8urther, the arrange$ent should not di$inish the e$plo"ees/ $onthl" or dail" pa" or their esta)lished e$plo"$ent )enefits. E.tended workda" in *WW should not e.ceed 4; hrs. Work e.ceeding 4; hrs. in a da" or J hrs. in a week should )e considered 2-. Should the work shift revert to J hrs., the reversion shall not constitute a di$inution of )enefits. 5o'rs o% 7or1 o% 5os$ital an" Clinic Personnel4 Co/erage 4. all hospitals and clinics situated in cities or $unicipalities with a population of 4 $illion or $ore ;. all hospitals and clinics with a )ed capacit" of at least 4LL 5os$itals an" Clinics # $lace "e/ote" $ri)aril( to $aintenance and operation of facilities for the diagnosis, treat$ent, and care of individuals suffering fro$ illness, disease, in!ur" or defor$it" or in need of o)stetrical or other $edical and nursing care Reg'lar 7or1ing 5o'rs an" Da(s o% 5os$ital an" Clinic Personnel Cot $ore than J hrs. in an" one da" and not $ore than L hrs. in an" one week Cot $ore than # da"s in a work week. -he workweek $a" )egin at an" hour and on an" da" O/erti)e 7or1 o% 5os$ital an" Clinic Personnel Ma" )e scheduled to work for $ore than # da"s or L hrs. a week, provided e$plo"ee is paid for overti$e work 2verti$e= additional co$pensation of regular wage T at least 3LR thereof Consi"ere" as Co)$ensable 5o'rs 7or1e" 4. 3ll ti$e during which an e$plo"ee re+uired to )e on dut" or to )e at the e$plo"er/s pre$ises or to )e at a prescri)ed work place? and ;. 3ll ti$e during which an e$plo"ee suffered or per$itted to work. 3. Rest periods of short duration during working hours. 1age 4 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 co$pensa)le )ecause it is a nor$al incident of e$plo"$ent E0ce$tions2 4. where e$plo"ee $ade to work on an e$ergenc" call and travel is necessar" in proceeding to the workplace ;. travel is done through a conve"ance provided )" the e$plo"er 3. travel is done under the supervision and control of the e$plo"er . travel is done under ve.ing and dangerous circu$stances and counted as hours worked when it cuts across an e$plo"ee/s workda" )ecause it su)stitutes for the hours the e$plo"ee should have )een in the office

Princi$les in Deter)ining 5o'rs 7or1e" 4. 3ll hours are hours worked which the e$plo"ee is re+uired to give to his e$plo"er, regardless of whether or not such hours are spent in productive la)or or involve ph"sical or $ental e.ertion ;. 3n e$plo"ee need not leave the pre$ises of the workplace in order that his rest period shall not )e counted, it )eing enough that he stops working, $a" rest co$pletel" and $a" leave his workplace 3. If the work perfor$ed was necessar" or it )enefited the e$plo"er, or the e$plo"ee could not a)andon his work at the end of his nor$al working hours )ecause he had no replace$ent, all ti$e spent or such work shall )e considered as hours worked, if the work was with the knowledge of his e$plo"er or i$$ediate supervisor. . -he ti$e during which an e$plo"ee is inactive )" reason of interruptions in his work )e"ond his control shall )e considered working ti$e either if a. the i$$inence of the resu$ption of work re+uires the e$plo"eeKs presence at the place of work? or ). if the interval is too )rief to )e utili5ed effectivel" and gainfull" in the e$plo"eeKs own interes t. 7aiting Ti)e Waiting ti$e spent )" an e$plo"ee shall )e considered as working ti$e if 4. waiting is an integral part of his work or ;. the e$plo"ee is re+uired or engaged )" the e$plo"er to wait. Working while on call ' an e$plo"ee who is re+uired to re$ain on call in the e$plo"erKs pre$ises or so close thereto that he cannot use the ti$e effectivel" and gainfull" for his own purpose. Tra/el Ti)e Tra/el t&at is Tra/el Awa( All in Da(s %ro) 5o)e 7or1 Cor$al travel fro$ -i$e spent )" -ravel that ho$e to work an e$plo"ee keeps an 69 U uic k- $pr i$ e7 which is not work -I in travel as e$plo"ee 88 nco es s ed: ar e needed to s ee t and a ti$e part his dec o$of pr ess or awa" fro$ his pi ct ur e. principal ho$e activit", like overnight travel fro$ !o)site to !o)site during the workda" !R2 not Co)$ensable 7or1 ti)e Tra/el ;ro) 5o)e to 7or1

Bniv. of %an(asinan 8aculty Bnion v. Bniv. of %an(asinan, 1!1 SC+A 6/1 (1/24$ Se$estral )reak of teachers is co$pensa)le hours worked for it is a for$ of interruption )e"ond their control. 3pplies onl" for regular full'ti$e teachers. +ada v. ,-+C, !"# SC+A 6/ (1//!$ -he fact that he picks up e$plo"ees at certain specified points in EDS3 in going to the pro!ect site and drops the$ off at the sa$e ti$e on his wa" )ack fro$ the field office going ho$e to Marikina is not $erel" incidental to petitioner/s !o) as a driver. Said transportation arrange$ent had )een adopted not so $uch for the convenience of the e$plo"ees, )ut pri$aril" for the )enefit of the e$plo"er. Since the assigned task of fetching and delivering e$plo"ees is indispensa)le and conse+uentl" $andator", then the ti$e re+uired of and used )" petitioner in going fro$ his residence to the field office and )ack should )e paid as overti$e work. Lect'res, -eeting, Trainings, Progra)s 1age 4# of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 C2- considered working ti$e if 3(( the following conditions are $et= 4. 3ttendance is outside of the e$plo"eeKs regular working hours ;. 3ttendance is in fact voluntar" 3. -he e$plo"ee does not perfor$ an" productive work during such attendance. -eal an" Rest Perio"s !R2 not less t&an = &o'r ti)e<o%% %or reg'lar )eals # non'co$pensa)le E0ce$t2 )eal $erio" o% not less t&an 20 )ins in t&e following cases B co$pensa)le hours worked= 4. Where the work is non'$anual work in nature or does not involve strenuous ph"sical e.ertion ;. Where the esta)lish$ent regularl" operates not less than 4% hours a da" 3. In case of actual or i$pending e$ergencies or there is urgent work to )e perfor$ed on $achineries, e+uip$ent or installations to avoid serious loss which the e$plo"er would otherwise suffer . Where the work is necessar" to prevent serious loss of perisha)le goods Rest periods or coffee )reaks B running fro$ # to ;L $ins. considered as co$pensa)le working ti$e. -o shorten $eal ti$e to less than ;L $ins, is not allowed. If the so'called M$eal ti$eN is less than ;L $ins., it )eco$es onl" a rest period. Si e Darby %ilipinas v. ,-+C, !2/ SC+A 26 (1//2$ -he e$plo"er $a" change the $eal )reak fro$ 3L $ins. full" paid to %L $ins. without pa". 8or a full one hour undistur)ed lunch )reak, the e$plo"ees can freel" and effectivel" use this hour not onl" for eating )ut also for their rest and co$fort. Since the e$plo"ees are no longer re+uired to work during this 4'hour lunch )reak, there is no $ore need for the$ to )e co$pensated for this period. O/erti)e Pa( 8OT9 # wor1 e0cee"ing eig&t &o'rs within the worker/s ; 'hour workda". Work within the uic k- $pr i$ es e7 E/ee/s shift is not overti$e. -I 88 69 U nco s ed: ar e and needed to s ee t a dec o$ pr ess or his pi ct ur e. 2- on a Regular Da"= regular wage T at least ;#R thereof 2- on a @olida"EE/ee/s Rest Da"= rate of 4st J hrs. on holida"Erest da" T at least 3LR thereof. Since the 2- work is considered hourl", the pa" rate is co$puted also on per hour )asis. -he dail" wage is divided )" J to get the hourl" )ase rate. If e$plo"ee is paid on a $onthl" salar" )asis, the dail" rate is o)tained )" the following for$ula= Dail" Rate U $onthl" salar" . 4;VVVVV -otal no of da"s considered paid in a "ear 1er$issi)le for the e$plo"er to stipulate that the e$plo"ee/s $onthl" salar" constitutes pa"$ent for all the da"s of the $onth, including rest da"s and holida"s, where the e$plo"ee/s $onthl" salar", when converted )" the increased divisor into its dail" e+uivalent, would still $eet $ini$u$ wage. Reg'lar 7age # incl'"es t&e cas& wage onl(, without deduction on account of facilities provided )" the e$plo"er Con"itions to be entitle" to OT $a( 4. 3ctual rendition of 2- work ;. Su)$ission of sufficient proof that said work was actuall" perfor$ed 3. 2- work is with the knowledge and consent of the e$plo"er Co)$'lsor( OT 7or1 8$ro/i"e" e)$lo(ee $ai" t&e a""itional co)$ensation reF'ire"9 4. *ountr" at warECational or (ocal E$ergenc" ;. *o$pletion of work started )efore the Jt h hour and is necessar" to prevent serious o)struction or pre!udice to the )usiness 3. Urgent work to )e perfor$ed on Machines to avoid serious loss or da$age to e$plo"er . Cecessar" to 1revent loss of lifeEpropert" or I$$inent danger to pu)lic safet" #. Cecessar" to prevent loss or da$age to perisha)le goods %. Cecessar" to avail of favora)le weather or environ$ental condition @n"erti)e NOT O%%set b( OT # an e)$lo(eeGs regular pa" rate is lower than the 2- rate. 2ffsetting the underti$e hours against the 2- hours would result in undue deprivation of the e$plo"ee/s e.tra pa" for 2- work. Right to 2- pa" cannot )e waived. ,ut when the alleged waiver of 2- pa" is in consideration of )enefits and privileges which $a" even e.ceed the 2- pa", the waiver $a" )e per$itted.

1age 4% of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Nig&t S&i%t Di%%erential 8NSD9 # e/er( e)$lo(ee shall )e paid a night shift differential of not less than 4LR of his regular wage for each hour of work perfor$ed )etween ten o/clock in the evening and si. o/clock in the $orning. NSD H 8=0I 0 reg'lar wage.&r 9 0 no o% &rs o% wor1 )etween 4L p$ B % a$ If work done )etween 4L p$ and % a$ is 2work, the CSD should )e )ased on the 2- rate. E)$lo(ees NOT Co/ere" b( NSD 4. -hose of the govern$ent and an" of its political su)divisions, including govern$ent'owned andEor controlled corporations ;. -hose of retail and service esta)lish$ents regularl" e$plo"ing not $ore than # workers 3. Do$estic helpers and persons in the personal service of another . Managerial e$plo"ees #. 8ield personnel and other e$plo"ees whose ti$e and perfor$ance is unsupervised )" the e$plo"er including those who are engaged on task or contract )asis, purel" co$$ission )asis, or those who are paid a fi.ed a$ount for perfor$ing work irrespective of the ti$e consu$ed in the perfor$ance thereof C REST PERIODS AND 5OLIDA:S 7ee1l( Rest Perio"s # a$$lies to all e)$lo(ers whether operating for profit or not, including pu)lic utilities operated )" private persons B'siness on S'n"a(s.5oli"a(s # All esta)lish$ents and enterprises $a" operate or open for )usiness on Sunda"s and holida"s provided that the e$plo"ees are given the weekl" rest da" and the )enefits as provided. 7ee1l( Rest Da( # E/er( e)$lo(er s&all gi/e &is e$plo"ees a rest period of not less than ; consecutive hrs. after ever" % consecutive nor$al work da"s. uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e and needed to s ee Pre%erence o% e)$lo(ee # T&e $re%erence o%t t&e a dec o$ pr ess or e$plo"ee as to his weekl" of rest shall )e his pi da" ct ur e. respected )" the e$plo"er if the sa$e is )ased on religious grounds. -he e$plo"ee shall $ake known his preference to the e$plo"er in writing at least & da"s )efore the desired effectivit" of the initial rest da" so preferred. Where, however, the choice of the e$plo"ee as to his rest da" )ased on religious grounds will inevita)l" result in serious pre!udice or o)struction to the operations of the undertaking and the e$plo"er cannot nor$all" )e e.pected to resort to other re$edial $easures, the e$plo"er $a" so schedule the weekl" rest da" of his choice for at least ; da"s in a $onth. Sc&e"'le o% Rest Da( a. Where the weekl" rest is given to all e$plo"ees si$ultaneousl" B the e$plo"er shall $ake known such rest period )" $eans of a written notice posted conspicuousl" in the work place at least one week )efore it )eco$es effective ). Where the rest period is not granted to all e$plo"ees si$ultaneousl" and collectivel" B the e$plo"er shall $ake known to the e$plo"ees their respective schedules of weekl" rest through written notices posted conspicuousl" in the work place at least one week )efore the" )eco$e effective 7or1 on Rest Da( A't&ori+e" 8@AAP NA;9 4. In case of urgent work to )e perfor$ed on $achineries, e+uip$ent or installations to avoid serious loss which the e$plo"er would otherwise suffer ;. In case of actual or i$pending e$ergencies caused )" serious accident, fire, flood, t"phoon, earth+uake, epide$ic or other disaster or cala$it", to prevent loss of life or propert", or in cases of force $a!eure or i$$inent danger to pu)lic safet" 3. In the event of a)nor$al pressure of work due to special circu$stances, where the e$plo"er cannot ordinaril" )e e.pected to resort to other $easures . -o prevent serious loss of perisha)le goods #. Where the nature of the work is such that the e$plo"ees have to work continuousl" for & da"s in a week or $ore, as in the case of the crew $e$)ers of a vessel to co$plete a vo"age and in other si$ilar cases %. Under other analogous or si$ilar circu$stances &. When the work is necessar" to avail of favora)le weat&er or en/iron)ental con"itions w&ere perfor$ance or +ualit" of work is dependent thereon. 2ther than the a)ove circu$stances, no e$plo"ee shall )e re+uired against his will to work on his scheduled rest da". 1age 4& of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 When an e$plo"ee volunteers to work on his rest da" under other circu$stances, he shall e.press such desire in writing, su)!ect to pa"$ent of additional co$pensation. 3n e$plo"ee shall )e entitled additional co$pensation for work perfor$ed on a Sunda" onl" when it is his esta)lished rest da". 5oli"a(s wit& Pa(4 A$$lies to ALL e)$lo(ees EJCEPT2 4. -hose of the govern$ent and an" of the political su)division, including govern$ent'owned and controlled corporation ;. -hose of retail and service esta)lish$ents regularl" e$plo"ing less than ten 4L workers 3. Do$estic helpers and persons in the personal service of another . Managerial e$plo"ees #. 8ield personnel and other e$plo"ees whose ti$e and perfor$ance is unsupervised )" the e$plo"er including those who are engaged on task or contract )asis, purel" co$$ission )asis, or those who are paid a fi.ed a$ount for perfor$ing work irrespective of the ti$e consu$ed in the perfor$ance thereof. Absences E$plo"ee on (eave of a)sence with pa" B entitled to the )enefit provided herein E$plo"ee on leave of a)sence without pa" on the da" i$$ediatel" preceding a regular holida" B $a" not )e paid the re+uired holida" pa" if he has not worked on such regular holida" Where the da" i$$ediatel" preceding the holida" is a non'working da" in the esta)lish$ent or the scheduled rest da" of the e$plo"ee, he shall not )e dee$ed to )e on leave of a)sence on that da", in which case he shall )e entitled to the holida" pa" if he worked on the da" i$$ediatel" preceding the non'working da" or rest da" Te)$orar( or Perio"ic S&'t"own an" Te)$orar( Cessation o% 7or1 8i e (earl( in/entor(, re$air or cleaning of $achineries or e+uip$ent, etc: B regular holida"s falling within this period co$pensa)le Te)$orar( or Perio"ic S&'t"own an" Te)$orar( uic k- $pr i$ es e7 -I 88 69 U nco s ed: Cessation o% 7or1 ar D'e e and to needed B'siness toRe/erses s ee t # a dec o$ pr ess or e$plo"er $a" not pa" histhe pi regular ct ur e.holida"s during this period 5oli"a( Pa( o% Certain E)$lo(ees 4. 1rivate School teachers including facult" )e)bers o% college an" 'ni/ersities # )a( not )e paid for the regular holida"s during se$estral vacations. 1aid for the regular holida"s during *hrist$as vacation ;. E$plo"ee paid )" results 9pa"$ent on piece' wor19 # &oli"a( $a( s&all not be less t&an &is average dail" earnings for the last & actual working da"s preceding the regular holida"? 1rovided, @owever, that in no case shall the holida" pa" )e less than the applica)le statutor" $ini$u$ wage rate 3. Seasonal workers B $a" not )e paid the re+uired holida" pa" during off'season when the" are not at work . Workers without regular working da"s B entitled to the )enefits Do'ble 5oli"a( # an e)$lo(ee w&o is entitle" to holida" pa" should receive at least ;LLR of his )asic wage even if he did not work on that da", provided, he was present or on leave wit pa" on the preceding work da". If he worked, he is entitled to 3LLR of his )asic wage. 5oli"a(<S'n"a( # a legal &oli"a( %alling on a Sunda" creates no legal o)ligation for the e$plo"er to pa" e.tra, aside fro$ the usual holida" pa", to its $onthl"'paid e$plo"ees S'ccessi/e Reg'lar 5oli"a(s # 7&ere t&ere are 2 successive regular holida"s, like @ol" -hursda" and Food 8rida", an e$plo"ee $a" not )e paid for )oth holida"s if he a)sents hi$self fro$ work on the da" i$$ediatel" preceding the first holida", unless he works on the first holida", in which case he is entitled to his holida" pa" on the second holida". -o )e entitled to ; successive holida"s, e$plo"ee $ust= 94: )e present on the da" i$$ediatel" preceding the 4st holida"? or 9;: )e on leave wit pa". 5oli"a(s 4. Cew Oear/s Da" ' >an. 4 ;. Maund" -hursda" ' Mova)le Date 3. Food 8rida" ' Mova)le Date . 3raw ng Aagitingan ' 3pril G #. (a)or Da" ' Ma" 4 %. Independence Da" ' >une 4; &. Cat/l @eroes Da" ' (ast Sun. of 3ug. J. ,onifacio Da" ' Cov. 3L G. Eidul 8it/r ' Mova)le Date 4L. *hrist$as Da" ' Dec. ;# 44. Ri5al Da" ' Dec. 3L S$ecial Da(s 4. Special Con'Working Da"s ;. Special 1u)lic @olida"s 3. Special Cational @olida" 1age 4J of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 . 3ll Saints/ Da" ' Cov. 4 #. (ast Da" of the Or ' Dec. 34 %. Cino" 3+uino Da" ' 3ugust ;4 -'sli) 5oli"a(s # w&ile t&e reg'lar &oli"a(s are o)served in the whole countr", the Musli$ holida"s, e.cept Eidul 8itr, are o)served onl" in specified areas. Musli$ e$plo"ees working outside of the specified areas shall )e e.cused fro$ reporting for work during the o)servance of the Musli$ holida"s as recogni5ed )" law, without di$inution of salar" or wages during the period. R'les on Pa()ent o% 5oli"a( Pa(2 4. REFU(3R @2(ID3OS a. If it is e$plo"ee/s regular work da"= ' Unworked= ' 4LLR ' Worked= 4st J hrs ' ;LLR e.cess of J hrs. ' T 3LR of hourl" rate on said da" ). If it is e$plo"eee/s rest da"= ' Unworked= ' 4LLR ' Worked= 4s t J hrs. ' T 3LR of ;LLR e.cess of J hrs. ' T 3LR of hourl" rate on said da" ;. S1E*I3( D3OS a. Unworked B no pa" unless there is a favora)le co$pan" polic", practice or *,3 granting pa"$ent of wages on special da"s even if unworked ). Worked 4st J hrs. ' T 3LR of the dail" rate of 4LLR e.cess of J hrs. ' T 3LR of hourl" rate on said da" D SERDICE C5AR!E & SERDICE INCENTIDE LEADE Ser/ice Incenti/e Lea/e 8SIL9 # e/er( e)$lo(ee who has rendered at least 4 "ear of service shall )e entitled to a "earl" service incentive leave of # da"s with pa" *o$$uta)le to its $one" e+uivalent if not used or e.hausted at the end of the "ear. At least = (ear ser/ice # ser/ice %or not less t&an =2 $onths, whether continuous or )roken reckoned fro$ the date the e$plo"ee started working, including authori5ed a)sences and paid regular holida"s unless the working da"s in the esta)lish$ent as a $atter of practice or polic", or that provided in the e$plo"$ent contract is less than 4; $onths, in which case said period shall )e considered as one "ear E)$lo(ees NOT Co/ere" 4. -hose of the govern$ent and an" of its political su)divisions, including govern$ent'owned and controlled corporations ;. Do$estic helpers and persons in the personal service of another 3. Managerial e$plo"ees . 8ield personnel and other e$plo"ees whose perfor$ance is unsupervised )" the e$plo"er including those who are engaged on task or contract )asis, purel" co$$ission )asis, or those who are paid a fi.ed a$ount for perfor$ing work irrespective of the ti$e consu$ed in the perfor$ance thereof #. -hose who are alread" en!o"ing the )enefit herein provided %. -hose en!o"ing vacation leave with pa" of at least five da"s &. -hose e$plo"ed in esta)lish$ents regularl" e$plo"ing less than ten e$plo"ees Ser/ice C&arges # a$$l( onl( to establis&)ents collecting service charges such as hotels, restaurants, lodging houses, night clu)s, cocktail lounge, $assage clinics, )ars, casinos and ga$)ling houses, and si$ilar enterprises, including those entities operating pri$aril" as private su)sidiaries of the Fovern$ent E)$lo(ees Co/ere" # all e)$lo(ees o% co/ere" e$plo"ers, regardless of their positions, designations or e$plo"$ent status, and irrespective of the $ethod )" which their wages are paid EW*E1- to $anagerial e$plo"ees 1age 4G of J3

c. 8alling on e$plo"ee/s rest da" and if worked 4st J hrs. ' T #LR of the uic k- $pr i$ es e7 -I 88 69 U nco s ed: dail" rate of 4LLRar e and needed to s ee t a dec o$ pr ess or e.cess hrs. ' T 3LR of his of piJct ur e. hourl" rate on said da" 3. S1E*I3( W2RAICF @2(ID3OS B onl" )asic rate.

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Distrib'tion J#R distri)uted e+uall" a$ong the covered e$plo"ees 4#R for the disposition )" $anage$ent to answer for losses and )reakages and distri)ution to $anagerial e$plo"ees at the discretion of the $anage$ent in the latter case distri)uted and paid to the e$plo"ees not less than once ever" ; weeks or twice a $onth at intervals not e.ceeding 4% da"s Supervisors share in the 4#R. (* speaks of M$anage$ent,N and not M$anagerial e$plo"ees.N E OT5ERS Dacation Lea/e 8DL9 . Sic1 Lea/e 8SL9 # not re+uired )" law and depends on voluntar" e$plo"er polic" or collective )argaining. Solo Parent Lea/e 8RA >C722 Solo ParentsG 7el%are Act o% 20009 # a $arental lea/e o% not )ore than & working da"s ever" "ears shall )e granted to an" solo parent e$plo"ee who has rendered service of at least 4 "ear Solo 1arent B wo$an who gives )irth as a result of rape or cri$es against chastit", a widow or widower, a spouse separated legall" or de facto for at least one "ear, and so forth. -he clai$ant parent has to show that heEshe is left alone with the responsi)ilit" of parenthood. Lea/e 'n"er RA C2K2 8Anti<Diolence Against 7o)en an" t&eir C&il"ren Act o% 200A9 # allows the victi$ of violence, which $a" )e ph"sical, se.ual, or ps"chological, to appl" for the issuance of a protection order. If such victi$ is an e$plo"ee, she is entitled to a paid leave of up to 4L da"s in addition to other paid leaves under the (a)or *ode, other laws and co$pan" policies. -he e$plo"ee has to su)$it a certification fro$ the 1unong ,aranga" or Aagawad or prosecutor or *lerk of *ourt that an action under R3 G;%; has )een filed and is pending. uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e and needed to s ee t a dec o$ pr ess or DI his 7A!ES pi ct ur e. A CONCEPT AND DE;INITION Agric'lt're # incl'"es %ar)ing in all its branc&es and, a$ong other things, includes cultivation and tillage of soil, dair"ing, the production, cultivation, growing and harvesting of an" agricultural and horticultural co$$odities, the raising of livestock or poultr", and an" practices perfor$ed )" a far$er on a far$ as an incident to or in con!unction with such far$ing operations, )ut does not include the $anufacturing or processing of sugar, coconuts, a)aca, to)acco, pineapples or other far$ products 7age # $ai" to an( e)$lo(ee s&all )ean t&e2 4. re$uneration or earnings, however designated, capa)le of )eing e.pressed in ter$s of $one", whether fi.ed or ascertained on a ti$e, task, piece, or co$$ission )asis, or other $ethod of calculating the sa$e, which is pa"a)le )" an e$plo"er to an e$plo"ee under a written or unwritten contract of e$plo"$ent for work done or to )e done, or for services rendered or to )e rendered? and includes ;. the fair and reasona)le value, as deter$ined )" the D2(E Secretar", of )oard, lodging, or other facilities custo$aril" furnished )" the e$plo"er to the e$plo"ee. H8air and reasona)le valueH shall not include an" profit to the e$plo"er, or to an" person affiliated with the e$plo"er. ;air 7age %or ;air 7or14 No 7or1 # No Pa( Princi$le # i% t&ere is no wor1 $er%or)e" b( t&e e$plo"ee, there can )e no wage or pa" unless the la)orer was a)le, willing, and read" to work )ut was prevented )" $anage$ent or was illegall" locked out, suspended or dis$issed. ,ut where the failure of e$plo"ees to work was not due to the e$plo"er/s fault, the )urden of econo$ic loss suffered )" the e$plo"ees. Should not )e shifted to the e$plo"er. Each part" $ust )ear his own loss. EF'al Pa( %or EF'al 7or1 # $ersons w&o wor1 wit& su)stantiall" e+ual +ualifications, skill, effort and responsi)ilit", under si$ilar conditions, should )e paid si$ilar salaries. ;acilities # articles or ser/ices %or t&e bene%it o% t&e e$plo"ee or his fa$il" )ut shall not include tools of the trade or articles or service pri$aril" for the )enefit of the e$plo"er or necessar" to the conduct of the e$plo"ers )usiness. Ma" )e deducted fro$ the e$plo"ees/ wages. Acce$tance o% ;acilities # in or"er t&at t&e cost o% facilities furnished )" the e$plo"er $a" )e charged against an e$plo"ee, the e$plo"ee/s acceptance of such facilities MUS- ,E V2(UC-3RO. Mabe=a v. ,-+C, !11 SC+A 61" (1//1$ Re+uire$ents for deducting value of facilities= 1age ;L of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 4. 1roof $ust )e shown that such facilities are custo$aril" furnished )" the trade ;. -he provision of deducti)le facilities $ust )e voluntaril" accepted in writing )" the e$plo"ee 3. -he facilities $ust )e charged at fair and reasona)le value ;acilities S'$$le)ents ite$s of e.pense e.tra re$uneration or necessar" for the special privileges or la)orer/s and his fa$il"/s )enefits given to or e.istence and received )" the su)sistence e$plo"ees over and a)ove their ordinar" earnings or wages. part of the wage independent of the wage deducti)le fro$ the wage not wage deducti)le E)$lo(ees NOT Co/ere" b( Pro/isions on 7ages 4. far$ tenanc" E leasehold ;. do$estic service 3. persons working in their respective ho$es in needle work or in an" cottage industr" dul" registered in accordance with law . ,aranga" $icro )usiness enterprise 9,M,E: under R3 G4&J, the ,M,E (aw. ,M,E B an" )usiness entit" or enterprise engaged in the production, processing, or $anufacturing of products or co$$odities, including agro' processing, trading and services, whose total assets including those arising fro$ loans )ut e.clusive of the land on which the particular )usiness entit"/s office, plant and e+uip$ent are situated, shall not )e $ore than 13M B 7A!E<;IJIN! Regional -ini)') 7ages # t&e )ini)') wage rates for agricultural and non'agricultural e$plo"ees and workers in each and ever" region of the countr" shall )e those prescri)ed )" the Regional -ripartite Wages and 1roductivit" ,oards -ini)') 7age # lowest wage rate %i0e" b( law t&at an e$plo"er can pa" his 6 e$plo"ee? pa"$ent of uic k- $pr i$ es e7 88 9 U nco s ed: $ini$u$ wages is-I not dependent on the e$plo"er/s ar e and needed to s ee t dec o$ pr a ess or a)ilit" to pa" his pi ct ur e. Dail(<Pai" E)$lo(ee # $ai" onl( %or "a(s &e actuall" worked -ont&l(<Pai" E)$lo(ee # e)$lo(ees $ai" b( t&e $onth, irrespective of the nu$)er of working da"s therein, with a salar" of not less than the statutor" or esta)lished $ini$u$ wage, shall )e presu$ed to )e paid for all the da"s in the $onth whether worked or not. -he $onthl" $in. wage shall not )e less than the statutor" $ini$u$ wage $ultiplied )" 3%# da"s divided )" 4;. Agric'lt'ral Rate # %ar) wor1 %ro) lan" $re$aration to harvesting In"'strial Rate # )an'%act'ring or $rocessing o% far$ products Non<Di)in'tion R'le !R2 Not&ing in t&e Labor Co"e s&all be constr'e" to eli$inate or in an" wa" di$inish supple$ents, or other e$plo"ee )enefits )eing en!o"ed at the ti$e of pro$ulgation of the (a)or *ode. ,enefits )eing given to e$plo"ees shall not )e taken )ack or reduced unilaterall" )" the e$plo"er )ecause the )enefit has )eco$e part of the e$plo"$ent contract, written or unwritten. E0ce$tion2 To correct an error, ot&erwise, i% t&e error is left uncorrected for a reasona)le period of ti$e, it ripens into a co$pan" polic" and e$plo"ees can de$and for it as a $atter of right. 7&en Non<Di)in'tion R'le A$$licable # T&e r'le is applica)le if it is shown that the grant of the )enefit is 4. )ased on an e.press polic" ;. has ripened into practice over a long period of ti$e? and the practice is consistent and deli)erate, and is not due to an error in the constructionEapplication of a dou)tful or difficult +uestion of law Bon's # a bene%it w&ic& is contingent or con"itional4 its de$anda)ilit" depends on certain pre'conditions. It is an a$ount granted voluntaril" to an e$plo"ee for hisEher industr" and lo"alt" which contri)uted to the success and reali5ation of profits of the e$plo"er/s )usiness. It is not a de$anda)le and enforcea)le o)ligation unless it was pro$ised to )e given without an" conditions i$posed for its pa"$ent in which case it is dee$ed part of the wage. Pa()ent b( Res'lts # reg'late" b( DOLE Secretar( to ensure the pa"$ent of fair and reasona)le wage rates, prefera)l" through ti$e and $otion studies or in consultation with representatives of workers/ and 1age ;4 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 e$plo"ers/ organi5ations. Includes pak"aw, piece work and other noonti$e work. Two Categories o% Piece<Rate E)$lo(ees 4. E$plo"ees paid piece rates which are prescri)ed in 1iece Rate orders issued )" D2(E B wages are deter$ined )" $ultipl"ing the nu$)er of pieces produced )" the pa" rate per piece. ;. E$plo"ees paid output rates which are prescri)ed )" the e$plo"er and are not "et approved )" the D2(E B to deter$ine wage, the nu$)er of pieces produces is $ultiplied )" the rate per piece as deter$ined )" the e$plo"er. If the result is e+ual to or greater than the applica)le legal dail" rate in proportion to the nu$)er of hours worked, the worker receives such increased a$ount. If the a$ount is lower, the e$plo"er $ust $ake up the difference. Bene%its Pa(able to Piece<Rate 7or1ers 9@3CS M2-2: 4. @olida" 1a" ;. 3pplica)le Statutor" Mini$u$ Dail" Rate 3. Cight Differential 1a" . Service Incentive (eave #. Meal and Rest 1eriods %. 2verti$e and 1re$iu$ 1a" &. -hirteenth Month 1a" J. 2ther ,enefits Basic 7age # )eans all re)'neration or earnings paid )" an e$plo"er to a worker for services rendered on nor$al working da"s and hours )ut does not include cost'of'living allowances, profit sharing pa"$ents, pre$iu$ pa"$ents, 43th $onth pa" or other $onetar" )enefits which are not considered as part of or integrated into the regular salar" of the workers -ini)') 7age # lowest wage rate %i0e" b( law t&an an e$plo"er can pa" his e$plo"ees 7&o Sets -ini)') 7age 4. Regional -ripartite Wages and 1roductivit" ,oard ;. *ongress National 7ages an" Pro"'cti/it( Co))ission 69 U uic k- $pr i$ es e7 88 nco s ed: 4. 1rescri)es rules-I and guidelines for thes ee ar e and needed to t a dec o$ pr ess$ini$u$ or deter$ination of appropriate wage and his pi ct ur e. productivit" $easures at the regional, provincial, or industr" levels ;. Reviews regional wage levels set )" the Regional -ripartite Wages and 1roductivit" ,oards to deter$ine if these are in accordance with prescri)ed guidelines and national develop$ent plans

Regional Tri$artite 7ages an" Pro"'cti/it( Boar"s 4. Deter$ine and fi. $ini$u$ wage rates applica)le in their regions, provinces or industries therein and to issue the corresponding wage orders, su)!ect to guidelines issued )" the Cational Wages and 1roductivit" *o$$ission. ;. Develop plans, progra$s and pro!ects relative to wages, inco$es and productivit" i$prove$ent for their respective regions 3. Receive, process and act on applications for e.e$ption fro$ prescri)ed wage rates as $a" )e provided )" law or an" Wage 2rder . 2ther functions Co)$osition o% Eac& Regional Boar" 4. Regional Director of D2(E ;. Regional Director of CED3 3. Regional Director of D-I . ; $e$)ers fro$ E$plo"er sector #. ; $e$)ers fro$ E$plo"ee sector 7age Or"er # an or"er iss'e" b( t&e Regional ,oard whenever the conditions in the region so warrant after stud"ing and investigating and stud"ing all pertinent facts and )ased on the standards and criteria prescri)ed )" the (a)or *ode. 3 wage order ad!usts the $ini$u$ level )ut not the levels a)ove the $ini$u$. It does not $andate across the )oard salar" increase. E)$lo(ees NOT Co/ere" 4. @ousehold or do$estic helpers, including fa$il" drivers and workers in the personal service of another ;. Workers and e$plo"ees in retailEservice esta)lish$ents regularl" e$plo"ing not $ore than 4L workers, when e.e$pted fro$ co$pliance, for a period fi.ed )" the *o$$issionE,oards 3. Workers and e$plo"ees in new )usiness enterprises outside the Cational *apital Region and e.port processing 5ones for a period of not $ore than two or three "ears, as the case $a" )e, fro$ the start of operations when e.e$pted E%%ecti/it( o% 7age Or"ers # ta1es e%%ect a%ter =L da"s fro$ its co$plete pu)lication in at least one newspaper of general circulation in the region P'blic 5earings an" Cons'ltations -an"ator( # notice $ust )e given to e$plo"ees/ and e$plo"ers/ 1age ;; of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 groups, provincial, cit" and $unicipal officials and other interested parties. 3 wage order issued without the re+uired pu)lic consultation and newspaper pu)lication is null and void. ;reF'enc( # a wage or"er iss'e" b( t&e Boar" )a( not )e distur)ed for a period of 4; $onths fro$ its effectivit" and no petition for wage increase shall )e entertained during said period EW*E1- when *ongress itself issues a law increasing wages. Stan"ar"s.Criteria %or -ini)') 7age ;i0ing # )'st be econo)icall( %easible to )aintain the $ini$u$ standards of living necessar" for the health, efficienc" and general well')eing of the e$plo"ees within the fra$ework of the national econo$ic and social develop$ent progra$. 8actors to *onsider= 4. -he de$and for living wages ;. Wage ad!ust$ent vis'X'vis the consu$er price inde. 3. -he cost of living and changes or increases . -he needs of workers and their fa$ilies #. -he need to induce industries to invest in the countr"side %. I$prove$ents in standards of living &. -he prevailing wage levels J. 8air return of the capital invested and capacit" to pa" of e$plo"ers G. Effects on e$plo"$ent generation and fa$il" inco$e 4L. -he e+uita)le distri)ution of inco$e and wealth along the i$peratives of econo$ic and social develop$ent 7age Distortion # a sit'ation w&ere an increase in prescri)ed wage rates results in the eli$ination or severe contraction of intentional +uantitative differences in wage or salar" rates )etween and a$ong e$plo"ee groups in an esta)lish$ent as to effectivel" o)literate the distinctions e$)odied in such wage structure )ased on skills, length of service or other logical )asis of differentiation. Si$pl", if the uic ki$ es e7 pa" advantage of a position over another is re$oved -I 88 69 U nco $pr s ed: ar e needed to s ee t and a or significantl" reduced )" a re+uired dec o$ prpa" essad!ust$ent or his pi advantage ct ur e. )" a wage order, such pa" should )e restored. Correction o% 7age Distortion 3. 2RF3CIPED ES-3,(IS@MEC4. E$plo"er and union shall negotiate to correct the distortion ;. 3n" dispute arising should )e resolved through grievance procedure under *,3 3. If dispute re$ains unresolved, through voluntar" ar)itration ,. UC2RF3CIPED ES-3,(IS@MEC4. -he e$plo"er and e$plo"ees shall endeavor to correct the distortion ;. 3n" dispute shall )e settled through Cational *onciliation and Mediation ,oard 9C*M,: 3. If re$ains unresolved after 4L da"s of conciliation, it shall )e referred to the C(R* A)o'nt o% Distortion A"M'st)ent # t&e restoration of the previous pa" advantage is the ai$ )ut not necessaril" to the last peso. Restoration of apprecia)le differential, a significant pa" gap, should suffice as correction. S'ggeste" ;or)'la to Correct a Salar( Distortion Mini$u$ Wage U R . 1rescri)ed Increase 3c tual Salar" %ruban9ers Association v. %rudential 'an9 and ?rust Co., 3"! SC+A 14 (1///$ Wage distortion involves co$parison of !o)s located in the sa$e region. E.a$ination of alleged salar" distortion is li$ited to !o)s or positions in the sa$e e$plo"er in the sa$e region? thus, the co$parison of salaries has to )e intra'region, not inter'region. 'an9ard ) ployees Bnion C DA?B v. ,-+C, *+ ,o. 14"62/, 11 8ebruary !""4 -he distortion that should )e rectified refers to distortion arising fro$ co$pliance with a govern$ent wage order. It does not refer to distortion caused )" salar" revisions voluntaril" initiated )" the e$plo"er unless such a dut" e.ists )ecause of a *,3 stipulation or co$pan" practice. C PA:-ENT O; 7A!ES -anner o% wage $a()ent # wages s&all be $ai" in legal tender and the use of tokens, pro$issor" notes, vouchers, coupons, or an" other for$ alleged to represent legal tender is a)solutel" prohi)ited even when e.pressl" re+uested )" the e$plo"ee. Pa()ent b( c&ec1 # Pa()ent o% wages b( ban1 checks, postal checks or $one" orders is allowed where

1age ;3 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 4. such $anner of wage pa"$ent is custo$ar" on the date of the effectivit" of the (a)or *ode, ;. where it is so stipulated in a collective agree$ent, or 3. where all of the following conditions are $et= a. -here is a )ank or other facilit" for encash$ent within a radius of 4 kilo$eter fro$ the workplace ). -he e$plo"er or an" of his agents or representatives does not receive an" pecuniar" )enefit directl" or indirectl" fro$ the arrange$ent c. -he e$plo"ees are given reasona)le ti$e during )anking hours to withdraw their wages fro$ the )ank which ti$e shall )e considered as co$pensa)le hours worked if done during working hours d. -he pa"$ent )" check is with the written consent of the e$plo"ees concerned if there is no collective agree$ent authori5ing the pa"$ent of wages )" )ank checks Ti)e o% $a()ent !R2 4. not less than once ever" ; weeks? or ;. twice a $onth at intervals not e.ceeding 4% da"s E0ce$t2 4. In case pa"$ent cannot )e $ade with such regularit" due to force $a!eure or circu$stances )e"ond the e$plo"erKs control B the e$plo"er shall pa" the wages i$$ediatel" after such force $a!eure or circu$stances have ceased. ;. In case of pa"$ent of wages )" results involving work which cannot )e finished in ; weeks, pa"$ent shall )e $ade at intervals not e.ceeding si.teen da"s in proportion to the a$ount of work co$pleted. 8inal settle$ent shall )e $ade i$$ediatel" upon co$pletion of the work. Place o% $a()ent # t&e $lace o% $a()ent s&all be at or near the place of undertaking. 1a"$ent in a place other than the work place shall )e per$issi)le onl" under the following circu$stances= 4. When pa"$ent cannot )e effected at or near the place of work )" reason of the deterioration of peace and order conditions, or )" reason of 69 U uic k- $pr i$ e7 actual or i$pending caused fire, -I 88e$ergencies nco es s )" ed: ar e needed to s ee t and a flood, epide$ic or other cala$it" dec o$ pr ess or rendering pi ct ur e. pa"$ent thereathis i$possi)le ;. When the e$plo"er provides free transportation to the e$plo"ees )ack and forth 3. Under an" other analogous circu$stances? 1rovided, -hat the ti$e spent )" the e$plo"ees in collecting their wages shall )e considered as co$pensa)le hours worked Pro&ibite" Place o% Pa()ent # bar, nig&t or "a( clu), drinking esta)lish$ent, $assage clinic, dance hall, or other si$ilar places or in places where ga$es are pla"ed with stakes of $one" or things representing $one" e.cept in the case of persons e$plo"ed in said places Pa()ent t&ro'g& Ban1s4 ReF'isites 4. -here $ust )e a written per$ission of the $a!orit" of the e$plo"ees concerned in an esta)lish$ent ;. -he esta)lish$ent $ust have ;# or $ore e$plo"ees 3. -he esta)lish$ent $ust )e located within 4 k$. radius to the )ank. 1a"$ent through 3-M allowed Direct Pa()ent o% 7ages !R2 $ai" "irectl( to wor1ers to w&o) t&e( are "'e E0ce$tions2 4. 1a"$ent -hrough 3nother 1erson a. In case of force $a!eure rendering such pa"$ent i$possi)le provided such person is under written authorit" given )" the worker for the purpose ). When authori5ed under e.isting law including= i. pa"$ents for the insurance pre$iu$s of the e$plo"ee ii. union dues where the right to check'off has )een recogni5ed )" the e$plo"er in accordance with a collective agree$ent iii. authori5ed in writing )" the individual e$plo"ees concerned ;. 1a"$ent -hrough @eirs of Worker B in case the worker has died, e$plo"er $a" pa" wages of the deceased to the heirs of the latter without necessit" of intestate proceedings Proce"'re2 4. When the heirs are of age, the" shall e.ecute an affidavit attesting to their relationship to the deceased and the fact that the" are his heirs to the e.clusion of all other persons. ;. In case an" of the heirs is a $inor, such affidavit shall )e e.ecuted in his )ehalf )" his natural guardian or ne.t of kin. 3. 3ffidavit shall )e presented to the e$plo"er who shall $ake pa"$ent through the D2(E Sec. or his representative . 1a"$ent of wage shall a)solve the e$plo"er of an" other lia)ilit" with respect to the a$ount paid. 3. 1a"$ent through Me$)er of Worker/s 8a$il" B where the e$plo"er is authori5ed in writing )" the 1age ; of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 e$plo"ee to pa" his wages to a $e$)er of his fa$il" Non<inter%erence in Dis$osal o% 7ages # No e$plo"er shall li$it or otherwise interfere with the freedo$ of an" e$plo"ee to dispose of his wages and no e$plo"er shall in an" $anner o)lige an" of his e$plo"ees to patroni5e an" store or avail of the services offered )" an" person. 7age De"'ctions !R2 NOT allowe" E0ce$t2 4. In cases where the worker is insured with his consent )" the e$plo"er, and the deduction is to reco$pense the e$plo"er for the a$ount paid )" hi$ as pre$iu$ on the insurance ;. 8or union dues, in cases where the right of the worker or his union to check'off has )een recogni5ed )" the e$plo"er or authori5ed in writing )" the individual worker concerned 3. In cases where the e$plo"er is authori5ed )" law or regulations issued )" the D2(E Secretar" Ot&er Allowable De"'ctions 4. In cases where e$plo"ee inde)ted to e$plo"er, where such inde)tedness has )eco$e due and de$anda)le ;. In court awards, wages $a" )e the su)!ect of e.ecution or attach$ent, )ut onl" for de)ts incurred for food, shelter, clothing, and $edical attendance 3. Withholding -a. . Salar" deductions of a legall" esta)lished cooperative #. Deductions for pa"$ent to 3rd persons, upon written authori5ation of the e$plo"ee %. Union dues &. 3genc" fee J. Deductions for value of $eals and other facilities G. Deductions for loss or da$age 4L. SSS, Medicare, 1ag'I,IF pre$iu$s De"'ctions %or Loss or Da)age !R2 No e)$lo(er s&all reF'ire &is wor1er to )a1e deposits for the rei$)urse$ent of loss of or da$age to $aterial, e+uip$ent, or tools supplied )" the uic k- $pr i$ es e7 -I 88 69 U nco s ed: e$plo"er. ar e and needed to s ee t dec o$ pr a ess or his pi ct ur e. E0ce$t2 7&en t&e tra"e, occ'$ation or b'siness o% the e$plo"er recogni5es or considers the practice of $aking deductions or re+uiring deposits necessar" or desira)le. ReF'isites %or Dali" De"'ction %or Loss.Da)age 4. -he e$plo"ee concerned is clearl" shown to )e responsi)le for the loss or da$age ;. -he e$plo"ee is given reasona)le opportunit" to show cause wh" deduction should not )e $ade 3. -he a$ount of such deduction is fair and reasona)le and shall not e.ceed the actual loss or da$age . -he deduction fro$ the wages of the e$plo"ee does not e.ceed ;LR of the e$plo"eeKs wages in a week Pro&ibite" . @nlaw%'l Acts 4. Withhold an" a$ount fro$ the wages of a worker or induce hi$ to give up an" part of his wages )" force, stealth, inti$idation, threat or )" an" other $eans whatsoever without the worker/s consent. ;. Deduction fro$ the wages of an" e$plo"ee for the )enefit of the e$plo"er or his representative or inter$ediar" as consideration of a pro$ise of e$plo"$ent or retention in e$plo"$ent. 3. Refuse to pa" or reduce the wages and )enefits, discharge or in an" $anner discri$inate against an" e$plo"ee who has filed an" co$plaint or instituted an" proceeding under this -itle or has testified or is a)out to testif" in such proceedings. . Make an" state$ent, report, or record filed or kept pursuant to the provisions of this *ode knowing such state$ent, report or record to )e false in an" $aterial respect. D LIABILIT: ;OR 7A!ES 7or1er Pre%erence in Case o% E)$lo(erGs Ban1r'$tc( # wor1ers s&all enMo( %irst $re%erence as regards their wages and other $onetar" clai$s, an" provisions of law to the contrar" notwithstanding. Such unpaid wages and $onetar" clai$s shall )e paid in full )efore clai$s of the govern$ent and other creditors $a" )e paid. 3 declaration of )ankruptc" or a !udicial li+uidation $ust take place )efore the worker/s preference $a" )e enforced. Esta)lishes a preference of credit and C2- a lien. Attorne(Gs ;ees 4. In case of unlawful withholding of wages, the culpa)le part" $a" )e assessed attorne"/s fees e+uivalent to ten percent of the a$ount of wages recovered. ;. It shall )e unlawful for an" person to de$and or accept, in an" !udicial or ad$inistrative proceedings for the recover" of wages, attorne"/s

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 fees which e.ceed ten percent of the a$ount of wages recovered. and during working hours, provided the" can perfor$ their duties in this position without detri$ent to efficienc" ;. -o esta)lish separate toilet roo$s and lavatories for $en and wo$en and provide at least a dressing roo$ for wo$en 3. -o esta)lish a nurser" in a workplace for the )enefit of the wo$en e$plo"ees therein . -o deter$ine appropriate $ini$u$ age and other standards for retire$ent or ter$ination in special occupations such as those of flight attendants and the like -aternit( Lea/e 8'n"er RA ==K= SSS Law9 3 fe$ale $e$)er, who need not )e legall" $arried, who has paid for at least 3 $onthl" contri)utions in the 4;'$onth period i$$ediatel" preceding the se$ester of her child)irth or $iscarriage shall )e paid a dail" $aternit" )enefit e+uivalent to 4LLR of her average dail" salar" credit for o %L da"s B nor$al deliver" o &J da"s B caesarian deliver" ,enefits shall )e paid onl" for the 8IRSdeliveries or $iscarriages Maternit" )enefits, like other )enefits granted )" the SSS, are granted in lieu of wages and therefore, $a" not )e included in co$puting the e$plo"ee/s 43th $onth pa" for the calendar "ear -he e$plo"er shall advance the pa"$ent su)!ect to rei$)urse$ent )" the SSS. It is not necessar" that the wo$an )e i$pregnated )" her legiti$ate hus)and. It is i$$aterial who the father is. Ever" pregnant wo$an in the private sector, whether $arried or un$arried, is entitled to the $aternit" leave )enefits. Paternit( Lea/e 8'n"er RA >=>7 Paternit( Lea/e Act o% =CCK9 Frants & working da"s of paternit" leave with full pa" to $arried $ale e$plo"ees in the private and pu)lic sectors. 9Sec. 49a:, R3 J4J& IRR: *onditions to entitle$ent= a. -he clai$ant, a $arried $ale e$plo"ee, is e$plo"ed at the ti$e of deliver" of his child ). @e is coha)iting with his spouse at the ti$e she gives )irth or suffers a $iscarriage c. @e has applied for paternit" leave d. @is wife has given )irth or suffered a $iscarriage Wife B lawful wife? wo$an legall" $arried to $ale e$plo"ee concerned ;a)il( Planning Ser/ices4 Incenti/es %or ;a)il( Planning # e)$lo(ers w&o &abit'all( e)$lo( )ore 1age ;% of J3

DII 7OR3IN! CONDITIONS ;OR SPECIAL !RO@PS O; E-PLO:EES A 7O-EN Nig&t 7or1 Pro&ibition # no wo)an regar"less o% age shall )e e$plo"ed or per$itted or suffered to work, with or without co$pensation in an"= 4. In an" industrial undertaking or )ranch thereof ' )etween 4L p$ B % a$ of the following da"? or ;. In an" co$$ercial or non'industrial undertaking or )ranch thereof, other than agric'lt'ral < between =2 )n # K a) o% t&e following da"? or 3. In an" agricultural undertaking at nightti$e unless she is given a period of rest of not less than nine 9G: consecutive hours. E0ce$tions2 Pro&ibitions DO NOT APPL: 4. In cases of actual or i$pending e$ergencies caused )" serious accident, fire, flood, t"phoon, earth+uake, epide$ic or other disasters or cala$it", to prevent loss of life or propert", or in cases of force $a!eure or i$$inent danger to pu)lic safet"? ;. In case of urgent work to )e perfor$ed on $achineries, e+uip$ent or installation, to avoid serious loss which the e$plo"er would otherwise suffer? 3. Where the work is necessar" to prevent serious loss of perisha)le goods? . Where the wo$an e$plo"ee holds a responsi)le position of $anagerial or technical nature, or where the wo$an e$plo"ee has )een engaged to provide health and welfare services? #. Where the nature of the work re+uires the $anual skill and de.terit" of wo$en workers and the sa$e cannot )e perfor$ed with e+ual efficienc" )" $ale workers? %. Where the wo$en e$plo"ees are i$$ediate $e$)ers of the fa$il" operating the uic ki$ es e7 esta)lish$ent -I or undertaking? and 88 69 U nco $pr s ed: ar e needed to s ee and a &. Under other analogous cases )" tthe dec o$ pr ess e.e$pted or hisand pi ct ur e. Secretar" of (a)or E$plo"$ent in appropriate regulations. ;acilities %or 7o)en -he D2(E Secretar" $a" re+uire e$plo"ers to= 4. 1rovide seats proper for wo$en and per$it the$ to use such seats when the" are free fro$ work

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 than ;LL workers in an" localit" shall provide free fa$il"'planning services to their e$plo"ees and their spouses which shall include )ut not li$ited to, the application or use of contraceptives Discri)ination Pro&ibite" # 'nlaw%'l %or an( e$plo"er to discri$inate against an" wo$an e$plo"ee with respect to ter$s and conditions of e$plo"$ent solel" on account of her se. Acts o% Discri)ination 4. 1a"$ent of a lesser co$pensation, including wage, salar" or other for$ of re$uneration and fringe )enefits, to a fe$ale e$plo"ees as against a $ale e$plo"ee, for work of e+ual value ;. 8avoring a $ale e$plo"ee over a fe$ale e$plo"ee with respect to pro$otion, training opportunities, stud" and scholarship grants solel" on account of their se.es 1erson guilt" of co$$itting these acts are cri$inall" lia)le under 3rts. ;JJ';JG of the (a)or *ode -hat the institution of an" cri$inal action under this provision shall not )ar the aggrieved e$plo"ee fro$ filing an entirel" separate and distinct action for $one" clai$s, which $a" include clai$s for da$ages and other affir$ative reliefs. -he actions here)" authori5ed shall proceed independentl" of each other. Sti$'lation Against -arriage It shall )e unlawful for the e$plo"er to= 4. re+uire as a condition of e$plo"$ent or continuation of e$plo"$ent that a wo$an e$plo"ee shall not get $arried ;. to stipulate e.pressl" or tacitl" that upon getting $arried, a wo$an e$plo"ee shall )e dee$ed resigned or separated 3. to actuall" dis$iss, discharge, discri$inate or otherwise pre!udice a wo$an e$plo"ee $erel" )" reason of her $arriage %?<? Co. v. ,-+C, !1! SC+A #/6 (1//1$ 3 wo$an worker $a" not )e dis$issed on the ground of dishonest" for having written MsingleN on the space for civil status on the application sheet, uic k- $pr i$ es e7 -I 88 69 U nco s ed: contrar" to the fact that she was $arried. ar e and needed to s ee t dec o$ pr a ess or his pi ct ur e. Pro&ibite" Acts It is unlawful for an" e$plo"er= 4. -o discharge an" wo$an e$plo"ed )" hi$ for the purpose of preventing such wo$an fro$ en!o"ing the $aternit" leave, facilities and other )enefits provided under the *ode ;. -o discharge such wo$an e$plo"ee on account of her pregnanc", or while on leave or in confine$ent due to her pregnanc" 3. -o discharge or refuse the ad$ission of such wo$an upon returning to her work for fear that she $a" )e pregnant . -o discharge an" wo$an or child or an" other e$plo"ee for having filed a co$plaint or having testified or )eing a)out to testif" under the *ode #. -o re+uire as a condition for a continuation of e$plo"$ent that a wo$an e$plo"ee shall not get $arried or to stipulate e.pressl" or tacitl" that upon getting $arried, a wo$an e$plo"ee shall )e dee$ed resigned or separated, or to actuall" dis$iss, discharge, discri$inate or otherwise pre!udice a wo$an e$plo"ee $erel" )" reason of her $arriage Classi%ication o% Certain 7o)en 7or1ers # An( wo$an who is per$itted or suffered to work, with or without co$pensation, in an" night clu), cocktail lounge, $assage clinic, )ar or si$ilar esta)lish$ents under the effective control or supervision of the e$plo"er for a su)stantial period of ti$e as deter$ined )" the Secretar" of (a)or and E$plo"$ent, shall )e considered as an e$plo"ee of such esta)lish$ent for purposes of la)or and social legislation. B -INORS Below =L Not e)$lo(e" EJCEPT2 4. when the child works directl" under the sole responsi)ilit" of hisEher parentsElegal guardian who e$plo"s onl" $e$)ers of hisEher fa$il" under the ff conditions a. e$plo"$ent does not endanger the child/s life, safet", health and $orals ). e$plo"$ent does not i$pair the child/s nor$al develop$ent? and c. the parentElegal guardian provides the child with pri$ar"Esecondar" education ;. when the child/s e$plo"$ent or participation in pu)lic entertain$ent or infor$ation through cine$a, theater, radio or television is essential, provided that= 1age ;& of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 a. e$plo"$ent does not involve advertise$ents or co$$ercials pro$oting alcoholic )everages, into.icating drinks, to)acco and its )"'products or e.hi)iting violence ). there is a written contract approved )" the D2(E, if possi)le c. the conditions prescri)ed for the e$plo"$ent of $inors in Co. 4 are $et d. the following re+uire$ents are co$plied with= i. e$plo"er shall ensure protection, health, $orals, and nor$al develop$ent of the child ii. e$plo"er shall institute $easures to prevent child/s e.ploitation E discri$ination taking into account the s"ste$ and level of re$uneration, duration, and arrange$ent of working ti$e iii. e$plo"er shall for$ulate and i$ple$ent a continuing progra$ for training and skills ac+uisition of the child, su)!ect to approval and supervision of co$petent authorities (as amen-e- $5 RA 9231) =L # Below => ALLO7ED ONL: in2 non< ha5ardous or non'deleterious undertakings => (ears an" Co prohi)ition abo/e 5a+ar"o's 7or1$laces a. Cature of the work e.poses the workers to uic k- $pr i$ es e7 dangerous environ$ental -I 88 69 U ele$ents, nco s ed: ar e needed to s ee t and a conta$inants or work dec o$conditions pr ess or his pi ur e. ). Workers are engaged in ct construction work, logging, fire'fighting, $ining, +uarr"ing, )lasting, stevedoring, dock'work, deep sea fishing, and $echani5ed far$ing c. Workers are engaged in the $anufacture or handling of e.plosives and other p"rotechnic products d. E.posed to or use of heav" power'driven $achiner" or e+uip$ent e. Workers use or are e.posed to power'driven tools C 5O@SE5ELPERS Do)estic or 5o'se&ol" Ser/ice # ser/ices in t&e e$plo"er/s ho$e which is which is usuall" necessar" or desira)le for the $aintenance and en!o"$ent thereof and includes $inistering to the personal co$fort and convenience of the $e$)ers of the e$plo"er/s household, including services of fa$il" drivers. Rig&ts o% 5o'se&el$ers 4. Cot to )e assigned to non'household work ;. Reasona)le co$pensation 9$ini$u$ cash wage: 3. (odging, food and $edical attendance . If under 4J "ears, an opportunit" for ele$entar" education B cost of which shall )e part of househelper/s co$pensation #. *ontract for household service shall C2EW*EED ; "ears B renewa)le fro$ "ear to "ear %. >ust and hu$ane treat$ent &. Right not to )e re+uired to work for $ore than 4L hrs. a da" B if the househelper agrees to work overti$e and there is additional co$pensation, the sa$e is per$issi)le J. Right to da"s vacation each $onth with pa" B if the helper does not ask for the vacation, the nu$)er of vacation da"s cannot )e accu$ulated, he is onl" entitled onl" to its $onetar" e+uivalent. G. 8uneral e.penses $ust )e paid )" the e$plo"er if the househelper has no relatives with sufficient $eans in the place where the head of the fa$il" lives 4L. -er$ination onl" for !ust cause 44. Inde$nit" for un!ust ter$ination of service 4;. E$plo"$ent certification as to nature and duration of service and efficienc" and conduct of the househelper In"e)nit( %or @nM'st Ter)ination o% Ser/ice 4. If the period for household service is fi.ed, neither the e$plo"er nor the househelper $a" ter$inate the contract )efore the e.piration of the ter$ e.cept for a !ust cause. ;. If the househelper is un!ustl" dis$issed, he or she shall )e paid the co$pensation alread" earned T that for 4# da"s )" wa" of inde$nit" 3. If the househelper leaves without !ustifia)le reason, he or she shall forfeit an" unpaid salar" due hi$Eher not e.ceeding 4# da"s.

1age ;J of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 E)$lo()ent %or Certi%ication # '$on t&e se/erance of the household service relationship, the househelper $a" de$and fro$ the e$plo"er a written state$ent of the nature and duration of the service and hisEher efficienc" and conduct as househelper Ape3 Minin( Co. Inc. v. ,-+C, 1/6 SC+A !#1 (1//1$ -he criteria are the personal co$fort and en!o"$ent of the fa$il" of the e$plo"er in the ho$e of said e$plo"er. While it $a" )e true that the nature of the work of a househelper, do$estic servant or laundr"wo$an in a ho$e or in a co$pan" staffhouse $a" )e si$ilar in nature, the difference in their circu$stances is that in the for$er instance the" are actuall" serving the fa$il" while in the latter case, whether it is a corporation or a single proprietorship engaged in )usiness or industr" or an" other agricultural or si$ilar pursuit, service is )eing rendered in the staffhouses or within the pre$ises of the )usiness of the e$plo"er. In such instance, the" are e$plo"ees of the co$pan" or e$plo"er in the )usiness concerned entitled to the privileges of a regular e$plo"ee. D 5O-E7OR3ERS 5o)ewor1er # a$$lies to an( $erson w&o $er%or)s industrial ho$ework for an e$plo"er, contractor or su)'contractor In"'strial 5o)ewor1er # s(ste) o% $ro"'ction under which work for an e$plo"er or contractor is carried out )" a ho$eworker at hisEher ho$e. Materials $a" or $a" not )e furnished )" the e$plo"er or contractor E)$lo(er o% 5o)ewor1er # incl'"es an( $erson, natural or artificial who, for his account or )enefit, or on )ehalf of an" person residing outside the countr", directl" or indirectl", or through an e$plo"ee, agent contractor, su)'contractor or an" other person= a. Delivers, or causes to )e delivered, an" goods, articles or $aterials to processed or fa)ricated 69)e uic k- $pr i$ es e7 -I 88 U nco s ed: in or a)out a ho$e and thereafter to )e returned ar e and needed to s ee t a dec o$ pr ess or or to )e disposed of or in accordance his pi distri)uted ct ur e. with his directions ). Sells an" goods, articles or $aterials to )e processed or fa)ricated in or a)out a ho$e and then re)u"s the$ after such processing or fa)rication, either )" hi$self or through so$e other person De"'ctions # No e)$lo(ee, contractor, or s'b< contractor shall $ake an" deduction fro$ the ho$eworkerKs earnings for the value of $aterials which have )een lost, destro"ed, soiled or otherwise da$aged unless the following conditions are $et= 4. -he ho$eworker concerned is clearl" shown to )e responsi)le for the loss or da$age? ;. -he e$plo"ee is given reasona)le opportunit" to show cause wh" deductions should not )e $ade? 3. -he a$ount of such deduction is fair and reasona)le and shall not e.ceed the actual loss or da$ages? and . -he deduction is $ade at such rate that the a$ount deducted does not e.ceed ;LR of the ho$eworkerKs earnings in a week. Liabilit( o% e)$lo(er an" contractor # 7&ene/er an e$plo"er shall contract with another for the perfor$ance of the e$plo"erKs work, it shall )e the dut" of such e$plo"er to provide in such contract that the e$plo"ees or ho$eworkers of the contractor and the latterKs su)'contractor shall )e paid in accordance with the provisions of this Rule. In the event that such contractor or su)'contractor fails to pa" the wages or earnings of his e$plo"ees or ho$eworkers as specified in this Rule, such e$plo"er shall )e !ointl" and severall" lia)le with the contractor or su)' contractor to the workers of the latter, to the e.tent that such work is perfor$ed under such contract, in the sa$e $anner as if the e$plo"ees or ho$eworkers were directl" engaged )" the e$plo"er. Pro&ibitions %or 5o)ewor1 4. e.plosives, fireworks and articles of like character ;. drugs and poisons 3. other articles, the processing of which re+uires e.posure to to.ic su)stance E 5ANDICAPPED . DISABLED 5an"ica$$e" 7or1ers # t&ose w&ose earning capacit" is i$paired )" age or ph"sical or $ental deficienc" or in!ur", disease or illness -here $ust )e a link )etween the deficienc" and the work which entitles the e$plo"er to lessen the worker/s wage. If the disa)ilit" of the person is not in an" wa" related to the work for which he was hired, he should not )e so considered as a handicapped worker. 5an"ica$$e" 7or1er 8Art 7> LC9 5an"ica$$e" Person 8RA 7277 -agna Carta 1age ;G of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 %or Disable" Persons9 -hose suffering fro$ restriction or different a)ilities as a result of a $ental, ph"sical or sensor" i$pair$ent, to perfor$ an activit" in the $anner or within the range considered nor$al for a hu$an )eing. which $a" )e necessar" to aid in enforce$ent of the (a)or *ode or an" la)or law or order #. issue co$pliance orders to give effect to la)or legislation )ased on the findings of e$plo"$ent and enforce$ent officers or industrial safet" engineers $ade in the course of inspection Co)$liance Or"er # )'st obser/e "'e $rocess in ad$inistrative proceedings= a. alleged violator $ust first )e heard and given ade+uate opportunit" to present evidence on his )ehalf ). evidence presented dul" considered )efore an" decision reached c. decision is )ased on su)stantial evidence d. decision )ased on evidence presented in the hearing, or at least contained in the record and disclosed to the parties e. decision is that of the decision'$aking authorit" and not $ere views of su)ordinates f. decision should e.plain the issues involved and the reasons for the decisions rendered %. Issue writs of e.ecution to the appropriate authorit" for the enforce$ent of their orders, EW*E1- in cases where the e$plo"er contests the findings of the la)or e$plo"$ent and enforce$ent officer and raises isues supported )" docu$entar" proofs which were not considered in the course of inspection B in the latter case, the case will have to )e forwarded to a (a)or 3r)iter A$$eal If order issued )" dul" authori5ed representative of D2(E Sec. B appeal to the latter If order involves $onetar" award B an appeal )" the e$plo"er $a" )e perfected upon onl" upon posting of *3S@ or SURE-O )ond in the a$ount e+uivalent to the $onetar" award in the order appealed fro$ Power o% DOLE Secretar( Ma" order stoppage of work 2R suspension of an" unit or depart$ent where non'co$pliance with the law or i$ple$enting rules and regulations poses grave and i$$inent danger to the health and safet" of workers in the workplace. Within ; hrs B a hearing shall )e conducted to deter$ine whether an order for the stoppage of work or suspension of operations shall )e lifted If violation is attri)uta)le to 83U(- 28 -@E EM1(2OER, he shall pa" the e$plo"ees concerned their salaries or wages during the period of such stoppage of work or suspension of operations. 1age 3L of J3

-hose whose earning capacit" is i$paired )" age or ph"sical or $ental deficienc" or in!ur"

7&en E)$lo(able 4. their e$plo"$ent is necessar" to prevent curtail$ent of e$plo"$ent opportunities ;. does not create unfair co$petition in la)or costs 3. does not i$pair or lower working standards 5an"ica$$e" 7or1ers -a( Beco)e Reg'lar E)$lo(ees # i% t&eir &an"ica$ is not s'c& as to effectivel" i$pede the perfor$ance of !o) operations in the particular occupations for which the" were hired. EF'al O$$ort'nit( %or E)$lo()ent # no "isable" person shall )e denied access to opportunities for suita)le e$plo"$ent. 6ualified disa)led e$plo"ees shall )e su)!ect to sa$e ter$s and conditions of e$plo"$ent and the sa$e co$pensation, privileges, )enefits, fringe )enefits, incentives or allowances as a +ualified a)le')odied person E)$lo()ent Agree)ent4 Contents 4. Ca$es and addresses of the e$plo"er and the handicapped worker ;. Rate of pa" of the handicapped worker which shall not )e less than &#R of the legal $ini$u$ wage 3. Cature of work to )e perfor$ed )" the handicapped worker . Duration of the e$plo"$ent

DIII AD-INISTRATION AND E-PLO:-ENT Art. 1!2. @isitorial and enforce ent po4er. 1ower of the Sec. of (a)or or his dul" authori5ed uic k- $pr i$ es e7 representative, including -I 88 6 la)or 9 U regulation nco officers s ed:to= ar e and needed to s ee t a o$ pr ess or and pre$ises 4. have access to dec e$plo"er/s records his pior ctnight ur e.whenever work is at an" ti$e of the da" )eing undertaken therein ;. right to cop" records 3. to +uestion an" e$plo"ee . investigate an" fact, condition, or $atter which $a" )e necessar" to deter$ine violations or

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 12WER authori5ed representative who $a" or $a" not )e a Regional Director C3-URE 28 Visitorial and 12WER enforce$ent power e.ercised through routine inspections of esta)lish$ent EWIS-EC*E Re+uires 28 EER e.istence of EER dul" authori5ed hearing officer of D2(E

@nlaw%'l 8or an" person or entit" to o)struct, i$pede, dela" or otherwise render ineffective the orders of the Sec. or his authori5ed representatives issued pursuant to the authorit" under 3rt. 4;J Co inferior court shall issue te$porar" or per$anent in!unction or restraining order or otherwise assu$e !urisdiction over an" case involving the enforce$ent orders. En%orce)ent Power cannot be @se" *ase does not arise fro$ e.ercise of visitorial power When EER ceased to e.ist at the ti$e of inspection If e$plo"er contests finding of the la)or officer and such contesta)le issue is not verifia)le in the nor$al course of inspection Reco/er( o% 7ages, Si)$le -one( Clai)s an" Ot&er Bene%its 8Art =2C9 >urisdiction= D2(E Regional Director 9su$$ar" proceeding and non'litigious: *lai$ant= E$plo"ee or person in do$estic or household service, provided= 4. no clai$ for reinstate$ent ;. aggregate clai$s of each e$plo"ee or househelper D2ES C2- EW*EED 1#,LLL. *uico v. Sec. of -abor, !/2 SC+A 666 (1//2$ If the clai$ later e.ceeds 1#,LLL, the Regional Director still retains !urisdiction )ased on inspection/s findings in the nature of enforce$ent action 3. clai$s arise fro$ EER C2-E= Cotice and hearing Resolution of co$plaint within 3L da"s fro$ filing 93ppeal within # calendar da"s to C(R*: C(R* to resolve appeal within 4L calendar da"s fro$ su)$ission last 69 pleading uic k- $pr i$ es e7 -I of 88 U nco s ed: ar e and needed to s ee t a dec o$ pr ess or his piE)$lo(eesG ct ur e. Not Incl'"e"2 clai)s %or Co)$ensation, Social Securit" )enefits, Medicare )enefits and Maternit" ,enefits 3rt. 4;J 3rt. 4;G W@2 D2(E Sec. 2R EWER*ISES his dul"

3d!udicator" power on $atter involving recover" of wage

EER not necessar" since it should not include a clai$ for reinstate$ent @2W Enforce$ent Sworn ICI-I3-ED power is an co$plaint filed offshoot of )" interested visitorial power part" (IMI-S 3S Co li$it 3ggregate clai$ -2 3M2UCof each 28 *(3IM co$plainant does not e.ceed 1#,LLL 311E3( 3ppeal to Sec. 3ppeal to C(R* of (a)or within within # 4L calendar calendar da"s da"s IJ -EDICAL, DENTAL AND OCC@PATIONAL SA;ET: ;irst Ai" Treat)ent # a"eF'ate, i))e"iate an" necessar" $edical and dental attention or re$ed" given in case of in!ur" or illness suffered )" a worker during e$plo"$ent, irrespective of whether or not such in!ur" or illness is work'connected, )efore a $ore e.tensive $edical andEor dental treat$ent can )e secured. ;irst<Ai"er # an( $erson traine" an" "'l( certi%ie" as +ualified to ad$inister first aid )" the 1CR* or )" an" other organi5ation accredited )" the for$er J E-PLO:EESG CO-PENSATION 7or1)enGs Co)$ensation # a general an" co$prehensive ter$ applied to those laws providing for co$pensation for loss resulting fro$ the in!ur",

Regional Director or an"

1age 34 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 disa)le$ent or death of a work$an through industrial accident, casualt" or disease Co)$ensation # )one( relie% o%%ere" accor"ing to the scale esta)lished under the statute as differentiated fro$ co$pensator" da$ages recovera)le in an action at law for )reach of contract or for tort 7OR3-ENGS CO-PENSATION ACT 87CA9 1resu$ption of co$pensa)ilit" 1resu$ption of aggravation -here is a need for the e$plo"er to controvert the clai$ within 4 da"s otherwise he is dee$ed to have waived the right 1a"$ent of co$pensation is $ade )" the e$plo"er E-PLO:EES CO-PENSATION LA7 8ECL9 Co presu$ption of co$pensa)ilit" Co presu$ption of aggravation Co need for the e$plo"er to controvert the clai$ 1a"$ent of co$pensation is $ade )" the SSSEFSIS through the State Insurance 8und. -he e$plo"er/s o)ligation is to pa" his counter contri)ution to the SSS Con"itions %or Occ'$ational Disease an" Res'lting Disabilit( or Deat& to be Co)$ensable 4. E$plo"ee/s work $ust involve the risk descri)ed therein ;. the disease was contracted as a result of the e$plo"ee/s e.posure to the descri)ed risks 3. the disease was contracted within the period of e.posure and other such factors necessar" to contract it . there was no notorious negligence on the part of the e$plo"ee Deat& # loss o% li%e res'lting %ro) inM'r( or sic1ness Disabilit( # loss or i)$air)ent o% a $&(sical or $ental function resulting fro$ in!ur" or sickness Direct Pre)ises R'le !R2 T&e acci"ent s&o'l" &a/e occ'rre" at t&e $lace of work to )e co$pensa)le. E0ce$tions2 4. ICFRESS'EFRESS E 1R2WIMI-O RU(E B when the in!ur" is sustained when the e$plo"ee is proceeding to or fro$ his work on the pre$ises of the e$plo"er, the in!ur" is co$pensa)le. ;. F2ICF -2 2R *2MICF 8R2M W2RA B when the in!ur" is sustained when the e$plo"ee is proceeding to or fro$ his work on the pre$ises of the e$plo"er, the in!ur" is co$pensa)le. a. -he act of the e$plo"ee of going to, or co$ing fro$, the work place, $ust have )een a continuing act, that is, he had not )een diverted therefro$ )" an" other activit" and he had not departed fro$ his usual route to, or fro$, his workplace? and ). 3n e$plo"ee on a special errand $ust have )een official and in connection with his work. c. EW-R3 1REMISES RU(E B the co$pan" which provides the $eans of transportation in going to, or co$ing fro$ the place of work, is lia)le to the in!ur" sustained )" the e$plo"ees while on )oard said $eans of transportation d. S1E*I3( ERR3CD RU(E B in!ur" sustained outside the co$pan" pre$ises is co$pensa)le if his )eing out is covered )" an office order or a locator slip or a pass for official )usiness e. DU3( 1UR12SE D2*-RICE B allows co$pensation where a special trip would have to )e $ade for the e$plo"er if the e$plo"ee had not co$)ined the service for the e$plo"er with his going or co$ing trip 1age 3; of J3

InM'r( # an( &ar)%'l c&ange in t&e &')an organis) fro$ an" accident arising out of and in the course of e$plo"$ent Con"itions %or InM'r( to be Co)$ensable 4. -he e$plo"ee $ust have )een in!ured at the place where the work re+uired hi$ to )e ;. -he e$plo"ee $ust have )een perfor$ing his official functions 3. If the in!ur" is sustained elsewhere, the e$plo"ee $ust have )een e.ecuting an order of the e$plo"er . -he in!ur" was not due to the e$plo"ee/s into.ication, willful intention to in!ure or kill hi$self or another, or notorious negligence In!uries incurred )" a health worker while 69 U uic ki$ e7 doing overti$e -I 88 work shall nco )e $pr considered es s ed: ar e needed to s ee t and a work'connected dec o$ pr ess or his pi ct ur e. Sic1ness # an( illness acce$te" as an occ'$ational disease listed )" the *o$$ission or an" illness caused )" the e$plo"$ent su)!ect to proof that the risk of contracting the sa$e is increased )" the working conditions

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 f. S1E*I3( ECF3FEMEC- RU(E B covers field trips, outings, intra$urals, and picnics when initiated and sanctioned )" the e$plo"er g. 12SI-I2C3( 3CD (2*3( RISAS D2*-RICE B if an e$plo"ee )" reason of his duties is e.posed to a special or peculiar danger fro$ the ele$ents, that is, one greater than that to which other persons in the co$$unit" are e.posed and an une.pected in!ur" occurs, the in!ur" is co$pensa)le Co)$'lsor( Co/erage # ECL a$$lies to all e$plo"ers, and to all e$plo"ees, pu)lic or private including casual, e$ergenc", te$porar", or su)stitute e$plo"ees 3n e$plo"ee over %L "rs of age and pa"ing contri)utions to +ualif" for the retire$ent or life insurance )enefit ad$inistered )" the s"ste$ shall )e su)!ect to co$pulsor" coverage. E%%ecti/e Date o% Co/erage # t&e e)$lo(er is covered fro$ the first da" of operation and the e$plo"ee fro$ first da" of e$plo"$ent Li)its o% Liabilit( Co co$pensation if the in!ur", death or disa)ilit" is the result of the e$plo"ee/s= 4. into.ication ;. willful intention to in!ure or kill hi$self or another 3. notorious negligence B deli)erate act of the e$plo"ee in disregard to his own personal safet" . otherwise provided )" the (a)or *ode Deat& t&ro'g& S'ici"e !R2 not co)$ensable E0ce$tions2 4. )" agree$ent of the parties ;. if the suicideEdeath is caused )" work'related or co$pensa)le illness or disease R'les on Si)'ltaneo's Reco/er( 4. Si$ultaneous recover" under the (a)or *ode 69 U uic ki$ -he e7 and the *ivil *ode cannot )e $ade. -I 88 nco $pr es saction ed: is ar e and needed to s ee t a selective and the e$plo"ee $a" either choose to dec o$ pr ess or his either. pi ct ur e. once the election file the clai$ under ,ut is $ade, the clai$ant cannot opt for the other re$ed". ;. Si$ultaneous recover" under the (a)or *ode and the SSS can )e $ade. State Ins'rance ;'n" # all co/ere" e)$lo(ers are re+uired to re$it to a co$$on fund a $onthl" contri)ution e+uivalent to 4R of the $onthl" salar" credit of ever" covered e$plo"ee. -he e$plo"ee pa"s no contri)ution to the fund. 3n" agree$ent to contrar" is prohi)ited Disabilit( Categories 4. -EM12R3RO -2-3( B if as a result of the in!ur" or sickness, the e$plo"ee is una)le to perfor$ an" gainful occupation for a continuous period not e.ceeding 4;L da"s ;. 1ERM3CEC- -2-3( B if as a result of the in!ur" or sickness, the e$plo"ee is una)le to perfor$ an" gainful occupation for a continuous period e.ceeding 4;L da"s 3. 1ERM3CEC- 13R-I3( ' if as a result of the in!ur" or sickness, the e$plo"ee suffers a per$anent partial loss of the use of an" part of his )od" Deat& Bene%its # T&e S(ste) s&all $a( to t&e pri$ar" )eneficiaries upon the death of the covered e$plo"ee an a$ount e+ual to his $onthl" inco$e )enefit, plus 4LR thereof for each dependent child, )ut not e.ceeding #, )eginning with the "oungest, and without su)stitution. -he inco$e )enefit shall )e guaranteed for # "ears. De$en"ent 4. (egiti$ate, legiti$ated, and legall" adopted or acknowledged natural child who is un$arried, not gainfull" e$plo"ed and not over ;4 "ears of age or over ;4 "ears of age, provided he is incapa)le of self'support due to a ph"sical or $ental defect which is congenital or ac+uired during $inorit" ;. legiti$ate spouse living with the e$plo"ee 3. parents of said e$plo"ee wholl" dependent upon hi$ for regular support Bene%its 4. for life to the pri$ar" )eneficiaries, guaranteed for # "ears ;. for not $ore than %L $os. to the secondar" )eneficiaries in case there are no pri$ar" )eneficiaries 3. in no case shall the total )enefit )e less than 14#,LLL. Bene%iciaries 3. 1RIM3RO 4. Dependent spouse until heEshe re$arries ;. Dependent children 9legiti$ate, legiti$ated, natural )orn or legall" adopted:

1age 33 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 ,. SE*2CD3RO 4. Illegiti$ate children and legiti$ate descendants ;. 1arents, grandparents, grandchildren

uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e and needed to s ee t a dec o$ pr ess or his pi ct ur e.

1age 3 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 LABOR RELATIONS I RI!5T TO SEL; OR!ANINATION A CONCEPT & SCOPE Art. !43. Covera(e and e ployees; ri(&t to self. or(ani=ation. Art. !46. ,on.abrid( ent of ri(&t to self. or(ani=ation. E)$lo(er # incl'"es an( $erson acting in t&e interest of an e$plo"er, directl" or indirectl"? the ter$ shall not include an" la)or organi5ation or an" of its officers or agents e.cept when acting as e$plo"er E)$lo(ee # incl'"es an( $erson in t&e e)$lo( o% an e$plo"er. -he ter$ shall not )e li$ited to the e$plo"ees of a particular e$plo"er, unless the *ode so e.plicitl" states. It shall include an" individual whose work has ceased as a result of or in connection with an" current la)or dispute or )ecause of an" unfair la)or practice if he has not o)tained an" other su)stantiall" e+uivalent and regular e$plo"$ent. 3n" e$plo"ee, whether e$plo"ed for a definite period or not, shall, )eginning on his first da" of service, )e considered as an e$plo"ee for purposes of $e$)ership in an" la)or union. 93R-. ;&& par.c: Rig&t to Sel%<Organi+ation -he right includes= 4. 8or$ing, !oining, or assisting la)or organi5ations for the purpose of collective )argaining through representatives of their own choosing. ;. -o engage in lawful concerted activities for the purpose of collective )argaining or for their $utual aid and protection. 7&o EnMo(s t&e Rig&t to Sel% Organi+ation !eneral R'le2 4. 3(( persons in= *o$$ercial, industrial, agricultural, religious, charita)le, $edical and educational institutions, whether or not operated for profit. uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e and needed to s ee t a dec )argaining, o$ pr ess or 1UR12SE= *ollective engaging in lawful hiscollective pi ct ur e. concerted activities for )argaining, and $utual aid and protection. ;. 3$)ulant, inter$ittent and itinerant and rural workers, the self'e$plo"ed and those with no definite e$plo"ers $a" for$ la)or organi5ations. 1UR12SE= Mutual aid and protection. It shall )e unlawful for an" person to restrain, coerce, discri$inate against, or undul" interfere with e$plo"ees and workers in their e.ercise of the right to self organi5ation. B LABOR OR!ANINATIONS = De%inition an" T($es Labor Organi+ation # )eans an( 'nion or association of e$plo"ees which e.ists in whole or in part for the purpose of collective )argaining or ofY dealing with e$plo"ers concerning ter$s and conditions of e$plo"$ent Legiti)ate Labor Organi+ation # )eans an( labor organi5ation dul" registered with the D2(E, and includes an" )ranch or local thereof A%%iliate # re%ers to an in"e$en"ent 'nion a%%iliate" with a federation or national union or a chartered local which was su)se+uentl" granted independent registration )ut did not disaffiliate fro$ its federation, reported to the Regional 2ffice and the ,ureau in accordance with Rule III, Sections % and & of these Rules. C&artere" Local # re%ers to a labor organi+ation t&at ac+uired legal personalit" through the issuance of a charter certificate )" a dul" registered federation or national union, and reported to the Regional 2ffice in accordance with Rule III, Section ;'E of the Rules. Consoli"ation # re%ers to t&e creation or %or)ation o% a new union arising fro$ the unification of two or $ore unions In"e$en"ent @nion # re%ers to a labor organi+ation operating at the enterprise level that ac+uired legal personalit" through independent registration Legiti)ate 7or1ersG Association # re%ers to an association of workers organi5ed for $utual aid and protection of its $e$)ers or for an" legiti$ate purpose other than collective )argaining registered with the Depart$ent -erger # re%ers to a $rocess w&ere a labor organi5ation a)sor)s another National @nion or ;e"eration # re%ers to a gro'$ o% legiti$ate la)or unions in a private esta)lish$ent organi5ed for collective )argaining or for dealing with e$plo"ers concerning ter$s and conditions of 1age 3# of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 e$plo"$ent for their $e$)er unions or for participating in the for$ulation of social and e$plo"$ent policies and standards and progra$s, registered with the ,ureau @nion # re%ers to an( labor organi+ation in t&e $ri/ate sector organi5ed for collective )argaining and for other legiti$ate purposes 7or1ersG Association # re%ers to an association o% workers organi5ed for the $utual aid and protection of its $e$)ers for an" legiti$ate purpose other than collective )argaining. 2 Registration o% labor organi+ations Art. !31. +e(istry of unions and file of collective bar(ainin( a(ree ents. Art. !34. +e>uire ents of re(istration. Art. !3#. Action on application. Art. !36. Denial of re(istrationA appeal. Art. !31. Additional re>uire ents for federations or national unions. Art. !32. Cancellation of re(istrationA appeal. Art. !3/. *rounds for cancellation of union re(istration. Art. !4". )>uity of t&e incu bent. ReF'ire)ents %or Registration 8ANNEJ A9 ReF'ire)ents in Case O% -erger.Consoli"ation 8ANNEJ B9 Proce"'re %or Registration o% Labor Organi+ation 8ANNEJ C9 B Cancellation o% registration !ro'n"s %or Cancellation o% @nion Registration 4. Misrepresentation, 8alse State$ent or 8raud in connection with= a. adoptionEratification of the *,( or a$end$ents thereto, $inutes of ratification and the list of $e$)ers who took part in the ratification ). election of officers, $inutes thereof, list of uic k- $pr i$ es e7 officersEvoters -I 88 69 U nco s ed: ar e and needed to reports s ee t a c. in the preparation of the financial dec o$ pr ess or his pi ct ur e. ;. 8ailure to Su)$it= a. *,(, $inutes of its adoptionEratification, list of $e$)ers who took part within 3L da"s fro$ adoption of ratification or a$end$ents thereto ). Minutes of the elections of officers, list of officersEvoters within 3L da"s fro$ election c. 3nnual financial report to the ,(R within 3L da"s after the closing of ever" fiscal "ear d. (ist of individual $e$)ers to the ,(R once a "ear or whenever re+uired )" the ,(R 3. 3cting as la)or contractor or engaging in the K*a)o S"ste$K or otherwise engaging in an" activit" prohi)ited )" law . Entering into *,3s with ter$s and conditions of e$plo"$ent )elow $ini$u$ standards esta)lished )" law #. 3sking for or accepting attorne"Ks fees or negotiation fees fro$ e$plo"er %. *hecking off special assess$ents or an" other fees without dul" signed individual written authori5ations of the $e$)ers 9other than for $andator" activities under the (a)or *ode: Proce"'re %or Cancellation o% Registration 8ANNEJ D9 Proce"'re %or Cancellation o% Registration D'e to Non<Co)$liance wit& Re$ortorial ReF'ire)ents 8ANNEJ E9 A Rig&ts o% Labor Organi+ation Art. !4!. +i(&ts of le(iti ate labor or(ani=ations. Art. !11. Miscellaneous provisions. 9a: 3ll unions are authori5ed to collect reasona)le $e$)ership fees, union dues, assess$ents and fines and other contri)utions for la)or education and research, $utual death and hospitali5ation )enefits, welfare fund, strike fund and credit and cooperative undertakings. Rig&ts o% Labor Organi+ations 4. -o act as the representative of its $e$)ers for the purpose of collective )argaining? ;. -o )e certified as the e.clusive representative for purposes of collective )argaining? 3. -o )e furnished )" the e$plo"er, with its annual audited financial state$ents, including the )alance sheet and the profit and loss state$ent. . -o own propert", real or personal, for the use and )enefit of the la)or organi5ation and its $e$)ers? #. -o sue and )e sued in its registered na$e? %. -o undertake all other activities designed to )enefit the organi5ation and its $e$)ers, including cooperative, housing, welfare and other pro!ects not contrar" to law. -he inco$e and properties received )" legiti$ate la)or organi5ation which are actuall", directl" and 1age 3% of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 e.clusivel" used for their lawful purposes shall )e free fro$ ta.es, duties and other assess$ents. Rig&t to Re$resent its -e)bers When a union files a case Mfor and in )ehalf of its $e$)ers,N a $e$)er of that union will not )e per$itted to file in the sa$e case a co$plaint'in' intervention. Intervention will )e allowed onl" if there is suggestion of fraud or collusion or that the representative will not act in good faith for the protection of all interest represented )" the union. *o$pro$ise agree$ent )etween the union and the co$pan" is )inding upon the $inorit" $e$)ers of the union. 0Dionela v. *ourt of +n-ustrial Relations 8 SCRA 832 (19&3)] Co)$ro)ise o% -one( Clai)s Mone" clai$s due to la)orers cannot )e the o)!ect of settle$ent or co$pro$ise effected )" a union or counsel without the specific individual consent of each la)orer concerned. -he )eneficiaries are the individual co$plainants the$selves. -he union can onl" assist the$ )ut cannot decide for the$. 0Aaisahan ng $ga 0anggaga1a sa (a Campana v. Sarmiento 133 SCRA 22! (198%)] 7&en t&e @nion &as t&e Rig&t to be ;'rnis&e" wit& ;inancial State)ents 4. 3fter the union has )een recogni5ed )" the e$plo"er as sole )argaining representative of the e$plo"ees in the )argaining unit. ;. 3fter the union is certified )" D2(E as such sole )argaining representative. 3. Written re+uest fro$ the union . Within the last %L da"s of the life of a *,3 #. During the collective )argaining negotiation Rig&t to Collect ;ees Right to collect fees is recogni5ed in 3rt. ;&&9a: and discussed under the topic of check'off under 3rt. ; 4 9Rights and conditions of $e$)ership in a la)or organi5ation: C SPECIAL !RO@PS O; E-PLO:EES uic k- $pr i$ es e7 = -anagerial & S'$er/isor( E)$lo(ees -I 88 69 U nco s ed: ar e needed to s eeare t and a Under 3rt. ;dec #, $anagerial e$plo"ees o$ pr ess or his pi assist ct ur e. not eligi)le to !oin, or for$ an" la)or organi5ation. Supervisor" e$plo"ees shall not )e eligi)le for $e$)ership in a la)or organi5ation of the rank'and'file e$plo"ees )ut $a" !oin, assist or for$ separate la)or organi5ations of their own.

-anager # one w&o is /este" wit& t&e $ower or prerogative to la" down an e.ecute $anage$ent policies andEor to hire, transfer, suspend, la"'off, recall, discharge, assign or discipline e$plo"ees Cote that the $anage$ent policies $ust pertain e.clusivel" to la)or relations. S'$er/isor # one, w&o, in t&e interest o% t&e e$plo"er, effectivel" reco$$ends $anagerial actions Power to reco))en" Must )e )oth 4. Effective, and ;. Re+uires the Use of Independent >udg$ent. 2 Con%i"ential E)$lo(ees *onfidential e$plo"ees are also prohi)ited fro$ for$ing, !oining or assisting an" la)or organi5ation. Con%i"ential E)$lo(ees # a con%i"ential e)$lo(ee is one who is entrusted with confidence on delicate $atters, or with custod", handling, or care and protection of the e$plo"er/s propert". 9Cational Asso#iation o, 7ra-e 8nions ('A78) 9 Repu$li# 2lanters :an; Supervisors C)apter v. <onora$le Ru$en 7orres 199%) *onfidential e$plo"ees assist and act in a confidential capacit" to, or have access to confidential $atters of, persons who e.ercise $anagerial functions in the field of la)or relations =2)ilips +n-ustrial "evelopment v. '(RC> /.R. 'o. 88953 (?une 25 1992)] C2-E= *onfidential e$plo"ees $a" )e $anagerial, supervisor" or even a rank and file e$plo"ee. P'r$ose o% DisF'ali%ication o% Con%i"ential E)$lo(ees Doctrine o% Necessar( I)$lication # w&at is i$plied in s statute is as $uch part thereof as that which is e.pressed Under 3rt. ; #, confidential e$plo"ees are not prohi)ited fro$ !oining, assisting, or for$ing an" la)or organi5ation. ,ut )" virtue of necessar" i$plication, confidential e$plo"ees are si$ilarl" dis+ualified. ," the ver" nature of their functions, the" assist and act in a confidential capacit" to, or have access to confidential $atters of, persons who e.ercise $anagerial functions in the field of la)or relations. 3s such, the rationale )ehind the ineligi)ilit" of $anagerial e$plo"ees to for$, 1age 3& of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 assist or !oin a la)or union e+uall" applies to the$. 9Metrola) Industries, Inc. v. Roldan' Con,esor 199&) Access to Con%i"ential Labor Relations In%or)ation -he infor$ation $ust )e related la)or relations $atters. When the e$plo"ee does not have access to confidential la)or relations infor$ation, then the prohi)ition to for$, !oin, or assist a union does not appl". 9Sug)uanon Rural ,ank v. (aguesma 2!!!) If the access is $erel" incidental to his duties and not necessar" in the perfor$ance of such duties, the access does not render the e$plo"ee a confidential e$plo"ee 9San Miguel *orp. Supervisors @ *xempt 8nion et. al. v. (aguesma 1993) B Sec'rit( !'ar"s Under R3 %&4#, the" $a" now !oin a a)or organi5ation of the rank and file or that of the supervisor" union, depending on their rank. (0anila *le#tri# Co. v. Se#retar5 o, (a$or an- *mplo5ment /R 'o. 919!2 2! 0a5 1991) A -e)bers o% Coo$erati/es 'en(uet )lectric Cooperative v. 8errer.Calle7a, 12" SC+A 14" (1/2/$ Issue= Whether e$plo"ees of a cooperatove are +ualified to for$ or !oin a la)or organi5ation for purposes of collective )argaining. @eld= -he right to collective )argaining is not availa)le to an e$plo"ee of a cooperative who at the sa$e ti$e is a $e$)er and co'owner thereof. With respect, however, to e$plo"ees who are neither $e$)ers nor co'owners of the cooperative the" are entitled to e.ercise the rights to self'organi5ation, collective )argaining and negotiation. -he fact that the $e$)er'e$plo"ees of petitioner 9cooperative: do not participate in the actual $anage$ent of the cooperative does not $ake the$ uic k- $pr i$ es e7 eligi)le to for$, assist or 6 !oin a nco la)or organi5ation -I 88 9 U s ed: ar e needed to s ee t and a purposes of collective -he" cannot dec )argaining. o$ pr ess or his pi ct ur e. invoke the right to collective )argaining for Mcertainl" an owner cannot )argain with hi$self or his co' owners.N It is the fact of ownership of the cooperative, and not involve$ent in the $anage$ent thereof, which dis+ualifies a $e$)er fro$ !oining an" la)or organi5ation within the cooperative.

L -e)bers o% Iglesia ni 3risto @ictoriano v. )li=alde +ope Dor9ers; Bnion, #/ SC+A #4 (1/14$ What the *onstitution and the Industrial 1eace 3ct recogni5e and guarantee is the MrightN to for$ or !oin associations. Cothwithstanding the different theories propounded )" the different schools of !urisprudence regarding the nature and contents of a Mright,N it can )e safel" said that whatever theor" one su)scri)es to, a right co$prehends at least ; )road notions, na$el"= first, li)ert" or freedo$, i.e. the a)sence of legal restraint, where)" an e$plo"ee $a" act for hi$self without )eing prevented )" law? and second, power where)" an e$plo"ee $a", as he pleases, !oin or refrain fro$ !oining an association. It is therefore, the e$plo"ee who should decide for hi$self whether he should !oin or not in an association. It is clear, therefore, that the right to !oin a union includes the right to a)stain fro$ !oining an" union. -he legal protection granted to such right to refrain fro$ !oining is withdrawn )" operation of law, where a la)or union and an e$plo"er have agreed on a closed shop. What the e.ception provides is that $e$)ers of said religious sects cannot )e co$pelled or coerced to !oin la)or unions even when said unions have close shop agree$ents with the e$plo"ers? that in spite of an" closed shop agree$ent, $e$)ers of said religious sects cannot )e refused e$plo"$ent or dis$issed fro$ their !o)s on the sole ground that the" are not $e$)ers of the collective )argaining union. It is clear therefore, that the assailed 3ct, far fro$ infringing the constitutional provision on freedo$ of association, upholds and reinforces it. It does not prohi)it the $e$)ers of said religious sects fro$ affiliating with la)or unions. If, notwithstanding their religious )eliefs, the $e$)ers of said religious sects prefer to sign up with the la)or union, the" can do so? the law does not coerce the$ to !oin? neither does the law prohi)it the$ fro$ !oining? and neither $a" the e$plo"er or la)or union co$pel the$ to !oin. :apatiran sa Meat and Cannin( Division v. 8errer. Calle7a, 16! SC+A 361 (1/22$ -his *ourt/s decision in Victoriano v. Eli5alde Rope Wor;ersA 8nion up)ol-ing t)e rig)t o, mem$ers of the Iglesia no Aristo sect not to !oin a la)or union for )eing contrar" to their religious )eliefs, does not )ar the $e$)ers of that sect fro$ for$ing their own union. -he pu)lic respondent correctl" o)served that the Mrecognition of the tenets of that sect ... should not infringe on the )asic right of self'organi5ation granted )" the constitution to workers, regardless of 1age 3J of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 religious affiliation. K !o/ern)ent E)$lo(ees Art 2AA Rig&t o% e)$lo(ees in t&e $'blic ser/ice Art 27K !o/ern)ent e)$lo(ees Association of Court of Appeals ) ployees v. 8errer.Calle7a, !"3 SC+A #/6 (1//1$ -he ter$s and conditions of e$plo"$ent in the govern$ent service are governed )" law. 3n" understanding )etween the top officials of a govern$ent agenc" and the union which represent the rank'and'file is su)ordinate to the law governing the particular issue or situation. Davao City Dater District v. Civil Service Co ission, !"1 SC+A #/3 (1//1$ ," govern$ent owned or controlled corporation with original charter, we $ean govern$ent owned or controlled corporation created )" a special law and not under the *orporation *ode of the 1hilippines. It is clear that what has )een e.cluded fro$ the coverage of the *S* are those corporations created pursuant to the *orporation *ode. !o/ern)ent E)$lo(ees Not Allowe" To @nioni+e 4. Me$)ers of the 3r$ed 8orces ;. 1olice 2fficersE1olice$en 3. 8ire$en . >ail Fuards @igh level e$plo"ees are also not allowed to !oin the organi5ation of rank and file govern$ent e$plo"ees. o @igh level e$plo"ees' one whose functions are nor$all" considered polic" deter$ining, $anagerial or one whose duties are highl" confidential in nature. 7 E)$lo(ees o% International Organi+ations International Cat&olic Mi(ration Co ission v. Calle7a, 1/" SC+A 13" (1/2/$ (a)or organi5ations in the International *atholic Migration *o$$ission 9I*M*: and International Rice Research Institute 9IRRI:, )oth international uic k- $pr i$ es e7 88 69 U nco s ed: organi5ations, filed-I a petition for certification election. ar e and needed to s ee t a dec o$ pr ess or I*M* and IRRI clai$ed his i$$unit". pi ct ur e. @eld= -he grant of i$$unit" fro$ local !urisdiction to I*M* and IRRI is clearl" necessitated )" their international character and respective purposes. -he o)!ective is to avoid the danger and partialit" and interference )" the host countr" in their internal workings. -he e.ercise of !urisdiction )" the D2(E in these instances would defeat the ver" purpose of i$$unit", which is to shield the affairs of international organi5ations, in accordance with international practice, fro$ political pressure or control )" the host countr" to the pre!udice of $e$)er states of the organi5ation, and to ensure the unha$pered perfor$ance of their functions. -he i$$unit" granted )eing Mfro$ ever" for$ of legal process e.cept in so far as in an" particular case the" have e.pressl" waived in their i$$unit",N it is inaccurate to state that a certification election is )e"ond the scope of that i$$unit" for the reason that it is not a suit against I*M*. 3 certification election cannot )e viewed as independent or isolated process. It could trigger off a series of events in the collective )argaining process together with related incidents andEor concerted activities, which could inevita)l" involve I*M* in the Mlegal process,N which includes Man" penal, civil and ad$inistrative proceedings.N D ACO@ISITION AND RETENTION O; -E-BERS5IP4 @NION SEC@RIT: A!REE-ENTS Art. !11. Miscellaneous provisions. 9c: 3n" e$plo"ee, whether e$plo"ed for a definite period or not, shall, )eginning on his first da" of service, )e considered as an e$plo"ee for purposes of $e$)ership in an" la)or union. Art. !42. Bnfair labor practices of e ployers. C(e$ Discri$ination. What the law prohi)its is discri$ination to encourage or discourage $e$)ership in a la)or organi5ation. Where the purpose is to influence the union activit" of e$plo"ees, the discri$ination is unlawful. @owever, the inclusion of union securit" clause in the *,3 is not considered U(1. @nion Sec'rit( Cla'se # generic ter) w&ic& co$prehends Mclosed shop,N Munion shop,N or an" other for$ of agree$ent which i$poses upon e$plo"ees the o)ligation to ac+uire or retain union $e$)ership as a condition of e$plo"$ent. 3in"s o% @nion Sec'rit( Agree)ents 4. *(2SED'S@21 B onl" union $e$)ers can )e hired and the" $ust re$ain as union $e$)ers to retain e$plo"$ent. ;. UCI2C S@21 B Con$e$)ers $a" )e hired, )ut $ust )eco$e union $e$)ers after a certain period to retain e$plo"$ent. 3. M2DI8IED UCI2C S@21 B E$plo"ees who are 1age 3G of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 not union $e$)ers at the ti$e of the signing the contract is not re+uired to !oin the union, )ut all workers hired after is re+uired to !oin. . M3IC-EC3C*E 28 MEM,ERS@I1 S@21 B E$plo"ees are not co$pelled to !oin the union, )ut all present or future $e$)ers $ust re$ain in good standing in the union. #. EW*(USIVE ,3RF3ICICF S@21 B Union is recogni5ed as the e.clusive )argaining agent for all e$plo"ees in the )argaining unit, whether union $e$)ers or not. %. ,3RF3ICICF 82R MEM,ERS 2C(O B Union is recogni5ed as the )argaining agent onl" for its own $e$)ers. &. 3FEC*O S@21 B an agree$ent where)" e$plo"ees $ust either !oin the union or pa" to the union as e.clusive )argaining agent a su$ e+ual to that paid )" the $e$)ers. -hese union securit" agree$ents are opposite of 21EC S@21. 2pen shop does not re+uire union $e$)ership as a condition of e$plo"$ent. -iberty 8lour Mills ) ployees v. -iberty 8lour Mills, Inc., *+ ,os. #2162.1", !/ Dece ber 1/2/ Union and *o$pan" e.ecuted a *,3 which contained a union shop clause 2ver a "ear after the e.ecution of the *,3, ; e$plo"ees were dis$issed after the" for$ed their own union. @eld= It is the polic" of the State to pro$ote unionis$ to ena)le the workers to negotiate with $anage$ent on the sa$e level and with $ore persuasiveness than if the" were to individuall" and independentl" )argain for the i$prove$ent of their respective conditions. -o this end, the *onstitution guarantees to the$ the rights Hto self'organi5ation, collective )argaining and negotiations and peaceful concerted actions including the right to strike in accordance with law.H -here is no +uestion that these purposes could )e thwarted if ever" worker were to choose to go his own separate wa" instead of !oining his co'e$plo"ees in planning collective action and presenting a united front when the" sit down to )argain with their e$plo"ers. It is for this reason that the law has sanctioned stipulations 69closed uic ki$ as e7 for the union shop -I and the shop as $eans 88 U nco $pr es ed: ar e needed to s ee tthe and a of encouraging thedec workers toess !oinor and support o$ pr his choice pi ct uras e.their representative la)or union of their own in the negotiation of their de$ands and the protection of their interest vis'a'vis the e$plo"er. 3 closed shop provision is a valid for of union securit", and such a provision in a collective )argaining agree$ent is not a restriction of the right of freedo$ of association guaranteed )" the constitution. 9Manila Mandarin E$plo"ees Union v. '(RC /R 'o. 3&989 29 Septem$er 1983) E -E-BERS5IP4 RI!5TS O; -E-BERS Art. !41. +i(&ts and conditions of a labor or(ani=ation. Art. !14. @isitorial po4er. Art. !!!. Appearances and 8ees. Rig&ts o% @nion -e)bers 4. 12(I-I*3( RIF@a. right to vote ). right to )e voted for ;. DE(I,ER3-IVE 3CD DE*ISI2C'M3AICF RIF@a. right to participate in deli)erations on $a!or polic" +uestions ). decide on $a!or polic" +uestions )" secret )allot 3. RIF@-S 2VER M2CEO M3--ERS a. right against e.cessive fees ). right against unauthori5ed collection c. right against unauthori5ed dis)urse$ents d. right to re+uire ade+uate records of inco$e and e.penses. e. right to access financial records f. right to vote on officers/ co$pensation g. right to vote on proposed special assess$ents h. right to deduction of special assess$ents onl" with written authori5ation fro$ $e$)er. . RIF@- -2 IC82RM3-I2C a. right to )e infor$ed a)out the organi5ation/s constitution and )"'laws and the collective )argaining agree$ent and a)out la)or laws. Ot&er Rig&ts & Con"itions 'n"er Art 2A= 4. (a)or organi5ations cannot knowingl" ad$it or continue in $e$)ership an" individual who )elongs to a su)versive organi5ation or engaged directl" or indirectl" in an" su)versive activit". ;. 3 $e$)er who has )een convicted of a cri$e involving $oral turpitude is ineligi)le for election or appoint$ent in the union. 3. Ever" pa"$ent of fees, dues or other contri)utions )" a $e$)er shall )e evidenced )" a receipt signed )" the officer and entered into the record of the organi5ation. . Ever" inco$e shall )e evidenced )" a record showing its source. 3nd ever" e.penditure shall )e evidenced )" a receipt fro$ the person who 1age L of J3 e bers&ip in

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 was paid. -he receipt shall state the date, place and purpose of such pa"$ent. Eligibilit( %or -e)bers&i$ Eligi)ilit" for $e$)ership depends upon the union/s constitution and )" laws. @owever, under 3rt. ;&&, an e$plo"ee is alread" +ualified for union $e$)ership starting on his first da" of service. Election o% @nion O%%icers 2fficers shall )e elected directl" )" $e$)ers in secret )allot voting. Election shall take place ever" # "ears. -he onl" +ualification re+uire$ent for candidac" shall )e $e$)ership in good standing in la)or organi5ation. o Me$)ership in good standing B an" person who has fulfilled the re+uire$ents for $e$)ership in the union and who has neither voluntaril" withdrawn fro$ $e$)ership nor has )een e.pelled or suspended fro$ $e$)ership. -he secretar" or an" other responsi)le union officer shall give the Secretar" with a list of the newl"'elected officers, and appointed officers or agents who are entrusted with the handling of funds within 3L da"s after the election 1rocedure of elections o FR= in accordance with the union/s constitution and )"'laws or agree$ent a$ong the $e$)ers. o If the constitution, )" laws are silent or if there is no agree$ent, then Rule 4; of the I$ple$enting rules will appl" Elections 'n"er R'le =2 o% t&e I)$le)enting R'les 8ANNEJ ;9 Eligibilit( o% Doters 2nl" $e$)ers of the union can take part in the election of union officers. ?ancinco v. %ura 8errer.Calle7a *+. ,o. 12131 (1/22$ -he +uestion of eligi)ilit" to vote $a" )e deter$ined through the use of the applica)le pa"roll 69 U uic k- $pr i$ es e7 period and e$plo"ee/s status during the applica)le -I 88 nco s ed: ar e needed to s ee t and a period. dec o$ pr ess or his pi ct ur e. na$e with the Su)$ission of the e$plo"ees/ ,(R as +ualified $e$)ers of the union is not a condition sine +ua non to ena)le said $e$)ers to vote in the election of the union officers. DisF'ali%ication o% @nion O%%icers 4. *onvicted of a cri$e involving $oral turpitude. ;. Individual who )elongs to a su)versive organi5ation or engaged directl" or indirectl" in an" su)versive activit". ' one cannot even )e a $e$)er of the organi5ation @nion Election Protest # co)$laints or $rotests regarding election of union officers is treated as an intraEinter'union dispute C&ec1<O%%s & Assess)ents C&ec1<O%% # a )et&o" o% "e"'cting %ro) an e$plo"ee/s pa" at prescri)ed period, the a$ounts due the union for fees, fines or assess$ents. Deductions for union service fee are authori5ed )" law and do not re+uire individual check'off authori5ations. Agenc( ;ee # a)o'nt eF'i/alent to 'nion "'es, which a nonunion $e$)er pa"s to the union )ecause he )enefits fro$ the *,3 negotiated )" the union ReF'isites %or a Dali" S$ecial Assess)ents 4. 3uthori5ation )" a written resolution of the $a!orit" of all the $e$)ers at the general $e$)ership $eeting dul" called for that purpose. ;. Secretar"/s record of the $inutes of the $eeting. o $ust include list of $e$)ers present, votes cats, purpose of the special assess$ents and the recipient of such assess$ents. 3. Individual written authori5ation for check'off dul" signed )" the e$plo"ee concerned B to lev" such assess$ents %alacol v. 8errer.Calle7a, 12! SC+A 11" (1//"$ -he union president su)$itted the authori5ation for the co$pan" to deduct union dues and 4LR )" wa" of special assess$ents. Su)se+uentl", $e$)ers of the union su)$itted docu$ents stating that the" were withdrawing their authori5ation such that in the end, there ere #;J o)!ectors and onl" ;&; supporters. 1etitioners +uestion the special assess$ents. @eld= -he failure of the union to co$pl" strictl" with the re+uire$ents set out )" the law invalidates the +uestioned special assess$ents. Su)stantial co$pliance is not enough in view of the fact that the special assess$ent will di$inish the co$pensation of the union $e$)ers. Under 3rt. ; 4, 9n:, the Union $ust su)$it to the co$pan" a written resolution of a $a!orit" of all the $e$)ers at a general $e$)ership $eeting called for 1age 4 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 the purpose. In addition, the secretar" of the organi5ation $ust record the $inutes of the $eeting which in turn, $ust include, a$ong others, the list of all the $e$)ers present as well as the votes cast. -he law would not have specified a general $e$)ership $eeting had the legislative intent )een to allow local $eetings in lieu of the latter. -here can )e no valid check'off considering that the $a!orit" of the union $e$)ers had alread" withdrawn their individual authori5ation. Diolation o% Rig&ts o% -e)bers !R2 Co)$laint %or /iolation o% rig&ts )'st be re$orte" )" at least 3LR of the union $e$)ers. E0ce$tion2 w&en t&e /iolation "irectl( a%%ects onl( one or two $e$)ers, then onl" one or two $e$)ers can report such violation. ConseF'ence o% Diolation o% Rig&ts 4. *ancellation of the union registration ;. E.pulsion of the cU(1a)le officers. Re)e"ies %or Diolation o% Rig&ts -itton Mills ) ployees Association.:apatiran v. 8errer.Calle7a, *+ ,o. -.12"61 (1/22$ Despite the practical difficulties in co$pl"ing with the said procedure, petitioners should have shown su)stantial co$pliance with said i$peach$ent procedure, )" giving the union officer a$ple opportunit" to defend hi$self, as contrasted to an outright i$peach$ent, right after he failed to appear )efore the first and onl" investigation scheduled. Dia onon v. Dept. of -abor, et. al. *+. ,o. 1"2/#1, "1 Marc& !""" When the *onstitution and )"'laws of )oth unions dictated the re$ed" for intra'union dispute, this should )e resorted to not onl" to give the grievance $achiner" or appeals/ )od" of the union the opportunit" to decide the $atter )" itself, )ut also to prevent unnecessar" and pre$ature resort to ad$inistrative or !udicial )odies. -he underl"ing principle of the rule on e.haustion of ad$inistrative re$edies rests on the presu$ption that when the ad$inistrative )od", or grievance uic k- $pr i$ es e7 -I case, 88 69is U nco s ed: $achiner", as in this afforded ar e and needed toa chance s ee t to a dec it o$ pr ess or pass upon the $atter, will decide the sa$e his pi ct ur e. correctl". Disitorial Power -he Secretar" or his dul" authori5ed representative can in+uire into the financial activities of an" la)or organi5ation on the )asis of a co$plaint under oath, supported )" ;LR of the $e$)ership. II @N;AIR LABOR PRACTICES Art. !41. Concept of unfair labor practice and procedure for prosecution t&ereof. Conce$t o% @n%air Labor Practices -he ai$ of la)or relations polic" is industrial de$ocrac" whose reali5ation is $ost felt in a free collective )argaining or negotiation over ter$s and conditions of e$plo"$ent. ,ecause self B organi5ation is a prere+uisite of industrial de$ocrac", the right to self B organi5e has )een enshrined in the *onstitution, and an" attack to it B an" attack to it B an" act intended to defeat or de)ilitate the right B is regarded )" law as an offense. -he victi$ of the offense is not !ust the workers as a )od" and the well B $eaning e$plo"ees who value peace, )ut the State as well. -hus, the attack to this constitutional right is considered a cri$e which carries )oth civil and cri$inal lia)ilities. Ele)ents o% @n%air Labor Practice 4. EER )etween the offender and the offended. U(1 is negation of a counteraction to the right to organi5e which is availa)le onl" to e$plo"ees in relation to their e$plo"er. Co organi5ational right can )e negated or assailed if the e$plo"er B e$plo"ee relationship is a)sent in the first place. ;. -he act done is e.pressl" defined in the *ode as an act of unfair la)or practice. 3rt. ;4;9k: defines unfair la)or practice as an" unfair la)or practice as defined )" this *ode. -he prohi)ited acts are all related to the workers/ self B organi5ational right and to the o)servance of a collective )argaining agree$ent. ,ecause U(1 is and has to )e related to the right to self organi5ation and to the o)servance of the *,3, it follows that not ever" unfair act is unfair la)or practice. U(1 therefore, refers onl" to acts opposed to workers/ right to organi5e. When co$$itted )" the e$plo"er, it co$$onl" connotes anti B unionis$. As$ects o% @n%air Labor Practice 4. *ivil 3spect ;. *ri$inal 3spect

1age ; of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 *ivil aspect $a" include lia)ilit" for da$ages and $a" )e passed upon )" the la)or ar)iter. 1rosecution of U(1 as a cri$inal offense can )e initiated onl" after the finalit" of !udg$ent in the la)or. ,ut !udg$ent in the la)or case will not serve as evidence of U(1 in the cri$inal case. *'ris"iction o% Cri)inal C&arge o% @LP -he cri$inal charge fall under the concurrent !urisdiction of the M-* or the R-*. 2nl" su)stantial evidence is re+uired in the la)or case while proof )e"ond reasona)le dou)t is need in the cri$inal prosecution. Recover" of civil lia)ilit" in the ad$inistrative proceedings shall )ar recover" under the *ivil *ode. 7&o are Liable w&en @LP is Co))itte" b( Ot&er t&an a Nat'ral Person -he penalt" shall )e i$posed upon the guilt" officers of a corporation, partnership, association or entit" 93rt. ;JG:. If the U(1 is co$$itted )" a la)or organi5ation, the parties lia)le are the officers, $e$)ers of governing )oards, representatives or agents or $e$)ers of la)or associations or organi5ations who have actuall" participated in, authori5ed or ratified such 93rt. ; G:. Prescri$tion o% actions %or @LP -he offense prescri)es in 4 "ear 93rt. ;GL:. Art. !42. Bnfair labor practices of e ployers. Art. !61. 0urisdiction of @oluntary Arbitrators or panel of @oluntary Arbitrators. Con"itions $rece"ent to t&e @LP c&arge 4. -he in!ured part" is within the definition of Me$plo"ee.N ;. -he act charged as U(1 $ust fall under the prohi)itions of 3rt. ; J 9acts of the e$plo"er: or ; G 9acts of the union:. ?&e Fon(9on( and S&an(&ai 'an9in( Corp. ) ployees Bnion ns. ,-+C, *+ ,o. 1!#"32, "6 ,ove ber 1//1 uic k- $pr i$ e7 -he *ode enu$erates acts or categories -I 88 69the U nco es s ed:of ar e needed to s ee t not and a acts considered asdec U(1. -he does o$ pr enu$eration ess or pi ct e. incidents. -he $ean an e.haustivehis listing of ur U(1 (a)or *ode does not undertake the i$possi)le task of specif"ing in precise and un$istaka)le language each incident which constitutes an unfair la)or practice. Rather, it leaves to the court the work of appl"ing the law/s general prohi)itor" language in the light of indefinite co$)inations of events which $a" )e charged as violative of its ter$s. 7&en T&ere is no @LP2 Instance o% Dali" E0ercise o% -anage)ent Rig&ts -he law on unfair la)or practices is not intended to deprive the e$plo"er of his funda$ental right to prescri)e and enforce such rules as he honestl" )elieves to )e necessar" to the proper, productive and profita)le operation of his )usiness. -he onl" condition i$posed upon this control is that it $ust not )e e.ercised so as to effect a violation of the 3ct and its several prohi)itions. Where, however, an e$plo"er does violate the 3ct and is found guilt" of the co$$ission of an unfair la)or practice, it is no e.cuse that his conduct was unintentional and innocent. +ubber4orld %&ils., Inc., et al. v. ,-+C, *+ ,o. 1#1"4, 1/ 0uly 1/2/ 3s a rule, it is the prerogative of the co$pan" to pro$ote, transfer or even de$ote its e$plo"ees to other positions when the interests of the co$pan" reasona)l" de$and it. Unless there are instances which directl" point to interference )" the co$pan" with the e$plo"ees right/s to self B organi5ation, the transfer of an e$plo"ee should )e considered within the )ounds allowed )" law, e.g. where despite his transfer to a lower position, his original rank and salar" re$ained undi$inished. )nri>ue= v. Ea ora, *+ ,o. #132!, !/ Dece ber 1/26 3cceptance of a voluntar" resignation is not U(1. In a 1hilippine 3irlines case the courts said that the pilot/s protest retire$entEresignation was not a concerted activit" which was protected )" law. -he" did not assu$e the status of strikers. -he" cannot, therefore, validl" clai$ that the co$pan" co$$itted unfair la)or practice. When the pilots voluntaril" ter$inated their e$plo"$ent relationship with the co$pan", the" cannot clai$ that the" were dis$issed Dise and Co., Inc. v. Dise < Co., ) ployees Bnion, *+ ,o. 2161!, 13 6ctober 1/2/ -here can )e no discri$ination co$$itted )" the e$plo"er as the situation of the union e$plo"ees is different fro$ that of the nonunion e$plo"ees. Discri$ination per se is not unlawful. -here can )e no discri$ination where the e$plo"ees concerned are not si$ilarl" situated. -he grant )" the e$plo"er of profit B sharing )enefits to the e$plo"ees outside the )argaining unit falls under the a$)it of its $anagerial prerogative. It appears to have )een done in good faith and without 1age 3 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 ulterior $otive. More so when as in this case there is a clause in the *,3 where the e$plo"ees are classified into those who are $e$)ers of the union and those who are not. In the case of the union $e$)ers, the" derive their )enefits fro$ the ter$s and conditions of the *,3 which constitutes the law )etween the contracting parties. ,oth the e$plo"er and the union $e$)ers are )ound )" such agree$ent %&ilippine *rap&ic Arts, Inc. v. ,-+C, et al., *+ ,o. -.2"131, !/ Septe ber 1/22 Where the vacation leave without pa", which the e$plo"er re+uires e$plo"ees to take in view of the econo$ic crisis, is neither $alicious, oppressive nor vindictive, U(1 is not co$$itted ,-B v. Insular -a Gebana Co., ! SC+A /!4 (1/61$ E.cept as li$ited )" special laws, an e$plo"er is free to regulate, according to his own discretion and !udg$ent, all aspects of e$plo"$ent, including hiring, work assign$ents, working $ethods, ti$e, place and $anner of work, tools to )e used, process to )e followed, supervision of workers, working regulations, transfer of e$plo"ees, work supervision, la" B off workers and the discipline, dis$issal and recall of work. -@, %icture Dor9ers v. -@,, 3# SC+A 141 (1/1"$ So long as a co$pan"/s $anage$ent prerogatives are e.ercised in good faith for the advance$ent of the e$plo"er/s interest and not for the purpose of defeating or circu$venting the rights of the e$plo"ees under special laws or under valid agree$ents, the *ourt will uphold the$ Deter)ination o% /ali"it( Cecessaril", deter$ining the validit" of an e$plo"er/s acts involve an appraisal of his $otives. -hus, there $ust )e a $easure of reliance on the ad$inistrative agenc". It is for the *IR 0C(R* nowQ, in the first instance, to weigh the e$plo"er/s e.pressed $otive in deter$ining the effect on the e$plo"ees of $anage$ent/s otherwise e+uivocal act. =Repu$li# Savings :an; v. C+R 21 SCRA 22& (19&3)] AFSH%&ilippines ) ployees Bnion v. ,-+C, *+ 69 U uic k- $pr i$ e7 -I 88 nco es s ed: ,o. 131!1, 3" Marc& 1/21 ar e and needed to s ee t a dectreat o$ pr ess with or an e$plo"ee 3n e$plo"er $a" freel" his pi ct ur e. and is not o)liged to support his actions with reason or purpose. @owever, where the attendant circu$stances, the histor" of the e$plo"er/s past conduct and like considerations, coupled with an inti$ate connection )etween the e$plo"er/s actions and the union affiliations or activities of the particular e$plo"ee or e$plo"ees taken as a whole raise a suspicion as to the $otivation for the e$plo"er/s action, the failure of the e$plo"er to ascri)e a valid reason therefore $a" !ustif" an interference that his une.plained conduct in respect of the particular e$plo"ee or e$plo"ees was inspired )" the latter/s union $e$)ership or activities. @n%air Labor Practice o% E)$lo(ers 4. interference ;. "ellow dog condition 3. contracting out . co$pan" unionis$ #. discri$ination for or against union $e$)ership %. discri$ination )ecause of testi$on" &. violation of dut" to )argain J. paid negotiation G. violation of *,3 ;irst @LP2 Inter%erence 8Art 2A> 8A99 Interference with e$plo"ee organi5ational rights were found where the superintendent of the e$plo"er threatened the e$plo"ees with cutting their pa", increasing rent of the co$pan" houses, or closing the plant if the" supported the union and where the e$plo"er encouraged the e$plo"ees to sign a petition repudiating the union @LP E/en Be%ore @nion is Registere" 0udric Cannin( Corporation v. Incion(, *+ ,o. -. #14/4, 1/ Au(ust 1/2! Under 3rt. ; J 9a: of the (a)or *ode of the 1hilippines, Mto interfere with, restrain, or coerce e$plo"ees in their e.ercise of their right to self B organi5ationN is an unfair la)or practice on the part of the e$plo"er. 1aragraph 9d: of said 3rticle also considers it an unfair la)or practice for an e$plo"ers Mto initiate, do$inate, assist or otherwise interfere the for$ation or ad$inistration of an" la)or organi5ation, including the giving of financial Mor other support to it.N In this particular case, the private respondents were dis$issed, or their services were ter$inated, )ecause the" were soliciting signatures in order to for$ a union within the plant. Sa a&an n( (a an((a(a4a sa 'andolino C -M-C et. al. v. ,-+C 'andolino S&oe Corp., et. al., *+ ,o. 1!#1/#, 11 0uly 1//1 In short, an e$plo"er who interfered with the right to self B organi5ation )efore the union is registered can )e held guilt" of U(1. Pro&ibiting organi+ing acti/ities @owever, in the a)sence of showing that the illegal dis$issal was dictated )" anti B union $otives, the sa$e does not constitute an unfair la)or practice 1age of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 as would )e a valid ground for strike. -he re$ed" is an action for reinstate$ent with )ackwages and da$ages. 93@SE1hilippine E$plo"ees Union v. '(RC /.R. 'o. 83321 31 0ar#) 1983) E0a)$les o% 'nlaw%'l acts to "isco'rage )e)bers&i$ in a labor organi+ation2 4. dis$issal of union $e$)ers upon their refusal to give up their $e$)ership, under the prete.t of retrench$ent due to reduced dollar allocations 9Manila 1encil *o. v. *IR, 4 S*R3 G#3: ;. refusal over a period of "ears to give salar" ad!ust$ents according to the i$proved salar" scales in the collective )argaining agree$ents 9,enguet *onsolidated v. ,*I E$plo"ees and Wor;ers 8nion 22 SCRA 129) 3. dis$issal of an old e$plo"ee allegedl" for inefficienc", on account of her having !oined a union and engaging in union activities 9East Asiati# Co. v. C+R 1& SCRA 82!). %. "ismissal o, tea#)ers ,or ,ear $5 t)e s#)ool t)at there would )e strike the following se$ester (RiCal 0emorial Colleges 6a#ult5 8nion et. al. v. '(RC /R. 'os. 59!12413 12 B#to$er 1989) #. 3 co$pan"/s capital reduction efforts, to ca$ouflage the fact that it has )een $aking profits to !ustif" the $ass la"'off of its e$plo"ees especiall" union $e$)ers. 9Madrigal Z Compan5 +n#. v. Damora /r. 'o. (4%823 3! ?une 1983) C--* ).*. *oc&an(co Dor9ers Bnion v. ,-+C, *+ ,o. -.611#2, 3" May 1/22 We have held that unfair la)or practice cases are not, in view of the pu)lic interest involved, su)!ect to co$prise. Totalit( o% Con"'ct Doctrine -he culpa)ilit" of e$plo"er/s re$arks is to )e evaluated on the )asis of their i$plication, against the )ackground of and in con!unction with collateral circu$stances. Under this doctrine, an e.pression which $ight )e per$issi)l" uttered )" one e$plo"er, $ight )e dee$ed i$proper when spoken )" a $ore hostile e$plo"er, and conse+uentl" actiona)le as an unfair la)or practice. uic k- $pr i$ es e7 -I 88 69 U s ed: -his doctrine, e.pressions ofnco opinion ar e and needed to )" s an ee t a decinnocent o$ pr ess or e$plo"er, though in the$selves, his pi ct ur e. fre+uentl" were held to )e culpa)le )ecause of the circu$stances under which the" were uttered, the histor" of the particular e$plo"er/s la)or relations or anti B union )ias or )ecause of their connection with an esta)lished collateral plan of coercion or interference. Loc1o't or Clos're A)o'nting to @LP 3 lockout, actual or threatened, as a $eans of dissuading the e$plo"ees fro$ e.ercising their rights under the 3ct is clearl" an unfair la)or practice. @owever, to hold an e$plo"er who actuall" or who threatens to lock out his e$plo"ees guilt" of a violation of this 3ct, the evidence $ust esta)lish that the purpose thereof was to interfere with the e$plo"ee/s e.ercise of their rights. Sale in Ba" ;ait& -he sale of a )usiness enterprise to avoid the legal conse+uences of an unfair la)or practice is necessaril" attended with )ad faith and )oth the vendor and the vendee continue to )e lia)le to the affected workers. 9*ru5 v. 138(U, F.R. Co. (42&519 29 B#to$er 1931) Where the sale of a )usiness enterprise was attended with )ad faith, there is no need to consider the applica)ilit" of the rule that la)or contracts )eing in persona$ are not enforcea)le against the transferee. -he latter is in the position of tort B feasor, having )een a part" likewise responsi)le for the da$age inflicted on the $e$)ers of the aggrieved union and therefore cannot !ustl" escape lia)ilit". 9*ru5 v. 138(U, /.R. 'o. (42&519 29 B#to$er 1931) Doctrine o% S'ccessor<E)$lo(er 3 new co$pan" will )e treated as a continuation or successor of the one that closed in the new or take'over co$pan" is engaging in the sa$e )usiness as the closed co$pan" or depart$ent, or is owned )" the sa$e people, and the HclosureH is calculated to defeat the workerKs organi5ational right in which case the closure $a" )e declared a su)terfuge. -he successor'e$plo"er doctrine is !ust an enforce$ent of the piercing the veil of corporate entit". ;actors to Deter)ine Contin'it(2 4. Retention of *2C-R2( ;. Use of the S3ME 1(3C- 2R 83*-2RO 3. Use of the S3ME 2R SU,S-3C-I3((O -@E S3ME EM1(2OEES, workers, supervis ors or $anagers . Si$ilar or su)stantiall" the sa$e work or production under SIMI(3R 2R SU,S-3C-I3((O -@E S3ME W2RAICF *2CDI-I2CS #. Use of the S3ME M3*@ICERO 3CD E6UI1MEC%. Manufacture of the S3ME 1R2DU*-S or the perfor$ance of the sa$e services

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Secon" @LP2 :ellow Dog 8Art 2A> 8B99 :ellow Dog Contract # a $ro)ise e0acte" %ro) workers as a condition of e$plo"$ent that the" are not to )elong to, or atte$pt to foster, a union during their period of e$plo"$ent B @s'al Pro/isions 'n"er t&e :ellow Dog Contract 4. a representation )" the e$plo"ee that he is not a $e$)er of a la)or union ;. a pro$ise )" the e$plo"ee not to !oin a la)or union 3. a pro$ise )" the e$plo"ee that, upon !oining a la)or union, he will +uit his e$plo"$ent T&ir" @LP2 Contracting O't PArt 2A> 8c9Q Contracting O't as @LP *ontracting out services or functions )eing perfor$ed )" union $e$)ers when such act will interfere with, restrain, or coerce e$plo"ees in the e.ercise of their right to self B organi5e. @owever, an e$plo"er is not guilt" of an unfair la)or practice in contracting work out for )usiness reasons such as decline in )usiness, the inade+uac" of his e+uip$ent, or the need to reduce the cost, even if the e$plo"er/s esti$ate of his cost is )ased on a pro!ected increase attri)uta)le to unioni5ation. R'nawa( s&o$ 3n industrial plant $oved )" its owners fro$ one location to another to escape union la)or regulations or state laws or to discri$inate against e$plo"ees at the old plant )ecause of their union activities. Resorting to runawa" shop is U(1. Where a plant re$oval is for )usiness reasons )ut the relocation is hastened )" anti B union $otivation, the earl" re$oval is unfair la)or practice. It is i$$aterial that the relocation is acco$panied )" a transfer of title to a new e$plo"er who is an alter ego of the original e$plo"er. Mere ownership )" a single stockholder or )" another corporation of all or nearl" all of the uic ki$of e7 capital stock of a corporation is $pr not itself -I 88 69 U nco es s ed: ar e needed to s ee t and a sufficient ground for disregarding dec o$ pr ess or the separate his pi0Sunio ct ur e. corporate personalit". v. C(R*, 4;& SCRA 39! (198%)] ;o'rt& @LP2 Co)$an( Do)ination O% @nion 8Art 2A> 8D99 -ani%estations o% Do)ination o% a Labor @nion

4. Initiation of the co$pan" union idea. -his $a" further occur in three st"les= a. outright for$ation )" the e$plo"er or his representatives ). e$plo"ee for$ation on outright de$and or influence )" e$plo"er c. $anageriall" $otivated for$ation )" e$plo"ees ;. 8inancial support to the union. ," defra"ing the union e.penses or pa"s the attorne"/s fees to the attorne" who drafted the constitution and )" B laws of the union. 3. E$plo"er encourage$ent and assistance. I$$ediatel" granting the union e.clusive recognition as a )argaining agent without deter$ining whether the union represents the $a!orit" of e$plo"ees. . Supervisor" assistance. -his takes the for$ of soliciting $e$)ership, per$itting union activities during working ti$e or coercing e$plo"ees to loin the union )" threats of dis$issal or de$otion 91hilippine 3$erican *igar Z Cigarette 6a#tor5 Wor;ers 8nion v. 2)ilippine Ameri#an Cigar @ Cigarette 0,g. Co. +n#. 3 SCRA 3&#:. 6ceanic Air %roducts, Inc. v. CI+, *+ ,o. -. 121"4, 31 0anuary 1/63 3 la)or union is co$pan" B do$inated where it appears that ke" officials of the co$pan" have )een forcing e$plo"ees )elonging to rival la)or union to !oin the for$er under pain of dis$issal should the" refuse to do so? that ke" officials of the co$pan", as well as its legal counsel, have attended the election of officers of the for$er union? that officers and $e$)ers of the rival union were dis$issed allegedl" pursuant to a retrench$ent polic" of the co$pan", after the" had presented de$ands for the i$prove$ent of the working conditions despite its alleged retrench$ent polic"? and that, after dis$issal of the aforesaid officers of the rival la)or union, the co$pan" engages the services of new la)orers ;i%t& @LP2 Discri)ination 8Art 2A> 8E99 %a(9a9aisan( Itinata(uyod n( (a Man((a(a4a sa An( ?ibay, et. al. v. An( ?ibay, et. al., *+ ,o. -.!!!13, 16 May 1/61 Under the Industrial 1eace 3ct 9as under the present (a)or *ode:, to constitute an unfair la)or practice, the discri$ination co$$itted )" the 1age % of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 e$plo"er $ust )e in regard to the hire or tenure of e$plo"$ent or an" ter$ or condition of e$plo"$ent to encourage or discourage $e$)ership in an" la)or organi5ation. -he e.action )" the *o$pan", fro$ strikers returning to work, of a pro$ise not to destro" co$pan" propert" and no to co$$it acts of reprisal against the Union $e$)ers who did not participate in the strike, cannot )e considered as intended to encourage or discourage Union $e$)ership. -aking the circu$stances surrounding the prescri)ing of that condition, the re+uire$ent )" the *o$pan" is actuall" an act of self B preservation and designed to inure the $aintenance of peace and order in the *o$pan" pre$ises Discri)ination in Bon's Allocation or Salar( A"M'st)ents -here is unfair and un!ust discri$ination in the granting of salar" ad!ust$ents where the evidence shows that 9a: the $anage$ent paid the e$plo"ees of the unioni5ed )ranch? 9): where salar" ad!ust$ents were granted to e$plo"ees of one of its non ' unioni5ed )ranches although it was losing in its operations? and 9c: the total salar" ad!ust$ents given ever" ten of its unioni5ed e$plo"ees would not even e+ual the salar" ad!ust$ents given one e$plo"ee in the non B unioni5ed )ranch. 9Manila @otel *o$pan" v. 2ines <otel *mplo5ees AssAn. (C8/CB) an- C+R /.R. 'o. (43!818 28 Septem$er 1932) Discri)ination in La(o%% or Dis)issal Even where )usiness conditions !ustified a la"off of e$plo"ees, unfair la)or practices in the for$ of discri$inator" dis$issal were found where onl" unionists were per$anentl" dis$issed while non B unionists were not. Test o% Discri)ination 8or the purpose of deter$ining whether or not a discharge is discri$inator", it is necessar" that the underl"ing reason for the discharge )e esta)lished. -he fact that a lawful cause for discharge is availa)le is not a defense where the e$plo"ee is actuall" discharged )ecause of his union activities. If the discharge is actuall" $otivated )" a lawful reason, the fact that the e$plo"ee is 69 U uic i$ e7 engaged in union -I 88 activities nco atkthe $pr ti$e es will s ed: not lie ar e needed to s ee t and a against the e$plo"er prevent dec o$and pr ess or hi$ fro$ the his pi ct!udg$ent ur e. e.ercise of his )usiness to discharge an e$plo"ee for cause. 9C(R, v. 3ce *o$) *o., 3%2 6. 2 8%1) Disc&arge "'e to 'nion acti/it(, a F'estion o% %act %&ilippine Metal 8oundries, Inc., v. CI+, *+ ,os. -.34/42 C 4/, 1# May 1/1/ -he +uestion of whether an e$plo"ee was discharged )ecause of his union activities is essentiall" a +uestion of fact as to which the findings of the court of Industrial Relations are conclusive and )inding if supported )" su)stantial evidence considering the record as a whole. 7&en t&ere is Dali" Discri)ination2 @nion Sec'rit( Cla'se Union securit" is a generic ter$ which is applied to and co$prehends closed shop, union shop, $aintenance of $e$)ership or an" other for$ of agree$ent which i$poses upon e$plo"ees the o)ligation to ac+uire or retain union $e$)ership as a condition affecting e$plo"$ent. It is indeed co$pulsor" union $e$)ership whose o)!ective is to assure continued e.istence of the union. In a sense, there is discri$ination when certain e$plo"ees are o)liged to !oin a particular union. ,ut it is discri$ination favoring unionis$? it is a valid kind of discri$ination. -he e$plo"er is not guilt" of unfair la)or practice if it $erel" co$plies in good faith with the re+uest of the certified union for the dis$issal of e$plo"ees e.pelled fro$ the union pursuant to the union securit" clause in the collective )argaining agree$ent. 9Soriano v. 3tien5a, FR 'o. &8&19 1& 0ar#) 1989) @illar vs Incion(, 1!1 SC+A 444 (1/23$ It is true that disaffiliation fro$ a la)or union is not open to legal o)!ection. It is i$plicit in the freedo$ of association ordained )" the *onstitution. ,ut a closed shop is a valid for$ of union securit", and such provision in a collective )argaining agree$ent is not a restriction of the right of freedo$ of association guaranteed )" the *onstitution. @ictorias Millin( Co., Inc. v. @ictorias C Manapla Dor9ers 6r(ani=ation C %A8-B, *+ ,o. -.12461, 3" Septe ber 1/63 3nother reason for enforcing the closed B shop agree$ent is the principle of sanctit" or inviola)ilit" of contracts guaranteed )" the *onstitution. 3s a $atter of principle, the provision of the Industrial 1eace 3ct granting freedo$ to e$plo"ees to organi5e the$selves and select their representative for entering into )argaining agree$ents, should )e su)ordinated to the constitutional provision protecting the sanctit" of contracts. A"/antages o% Close" S&o$ Agree)ent

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 4. increases the strength and )argaining power of la)or organi5ations. ;. prevents non B union workers fro$ sharing in the )enefits of the union/s activities without also sharing its o)ligations. 3. prevents the weakening of la)or organi5ations )" discri$ination against union $e$)ers. . eli$inates the lowering of standards caused )" co$petition with non ' union workers. #. ena)les la)or organi5ations effectivel" to enforce collective agree$ents. %. facilitates the collection of dues and enforce$ent of union rules. &. creates har$onious relations )etween the e$plo"er and e$plo"ee 9C(U v. 3guinaldo/s *#)ague +n#. 51 B./. 2898) Disa"/antages o% a Close" S&o$ Agree)ent 4. results in $onopolistic do$ination of e$plo"$ent )" la)or organi5ations ;. interferes with the freedo$ of contract and personal li)ert" of the individual worker 3. co$pels e$plo"ers to discharge all non B union workers regardless of efficienc", length of service, etc. . facilitates the use of la)or organi5ations )" unscrupulous union leaders for the purpose of e.tortion, restraint of trade, etc. #. denies to non B union workers e+ual opportunit" for e$plo"$ent %. ena)les union to charge e.or)itant dues and initiation fees Dali" "is)issal beca'se o% a$$lication o% 'nion sec'rit( cla'se Malayan( Sa a&an n( (a Man((a(a4a sa M. *reenfield v. +a os, *+ ,o. 113/"1, !2 8ebruary !""" Union securit" clauses in the collective )argaining agree$ents, if freel" and voluntaril" entered into, are valid and )inding. -hus, the dis$issal of an e$plo"ee )" the co$pan" pursuant to a la)or union/s de$and in accordance with a union securit" agree$ent does not constitute unfair la)or practice. uic k- $pr i$ e7 Manalan(, et. al. v. -IArte3 88 69Develop U nco entes Co., s ed: et. al., ar e needed to s ee t and a *+ ,o. -.!"43!, 3" 6ctober 1/61 dec o$ pr ess or pi ur e. 3 union $e$)erhis who isct e$plo"ed under an agree$ent )etween the union and his e$plo"er is )ound )" the provisions thereof since it is a !oint and several contract of the $e$)ers of the union entered into )" the union as their agent. @illar v. Incion(, 1!1 SC+A 444 (1/23$ 1age J of J3 1etitioners, although entitled to disaffiliation fro$ their union and to for$a new organi5ation of their own, $ust, however, suffer the conse+uences of their separation fro$ the union under the securit" clause. D'e $rocess reF'ire" in en%orcing 'nion sec'rit( cla'se4 intra # 'nion )atter beco)es ter)ination "is$'te wit& e)$lo(er 3lthough a union securit" clause in a *,3 $a" )e validl" enforced and dis$issal pursuant thereto $a" likewise )e valid, this does not erode the funda$ental re+uire$ent of due process. -he reason )ehind the enforce$ent of union securit" clauses which is the sanctit" and inviola)ilit" of contracts cannot override one/s right to due proc ess. While it is true that the issue of e.pulsion of the local union officers is originall" )etween the local union and the federation, hence, intra B union in character, the issue was later on converted into a ter$ination dispute when the co$pan" dis$issed the petitioners fro$ work without the )enefit of a separate notice and hearing. -hus, notwithstanding the fact that the dis$issal was at the instance of the federation and that it undertook to hold the co$pan" free fro$ an" lia)ilit" resulting fro$ such a dis$issal, the co$pan" $a" still )e held lia)le if it was re$iss in its dut" to accord the would B )e dis$issed e$plo"ees their right to )e heard on the $atter. Liabilit( o% 'nion to $a( wage an" %ringe bene%its o% illegall( "is)isse" e)$lo(ee Where the e$plo"er co$pelled the e$plo"ee to go on forced leave upon reco$$endation of the union for alleged violation )" the e$plo"ee of the closed B shop agree$ent, the C(R* correctl" ordered the reinstate$ent of the e$plo"ee and directed the union to pa" the wages and fringe )enefits which e$plo"ees failed to receive as a result of her forced leave and to pa" attorne"/s fees. -he e$plo"er would not have co$pelled the e$plo"ee to go on forced leave were it not for the union/s insistence and de$and to the e.tent that )ecause of the failure of the e$plo"er to dis$iss the e$plo"ee as re+uested, the union filed a notice of strike on the issue of unfair la)or practice. Moreover, under the collective )argaining agree$ent )etween the union and the e$plo"er, the union holds the co$pan" free and )la$eless fro$ an" lia)ilities that $a" arise should the e$plo"ee +uestion the dis$issal. 9Manila 0an-arin *mplo5ees 8nion v. '(RC /R 'o. 3&989 29 Septem$er 1983) E)$lo(er in goo" %ait& not liable

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Where the e$plo"er dis$issed his e$plo"ees in the )elief in good faith that such dis$issal was re+uired )" the closed B shop provisions of the collective )argaining contract with the union, he $a" not )e ordered to pa" )ack co$pensation to such e$plo"ees although their dis$issal is found to )e illegal. 9*onfederated Sons of (a)or v. 3nakan (um$er #o. et. al. /R 'o. (4125!3 29 April 19&!) E)$lo(ees not co/ere" b( t&e close" s&o$ $ro/ision 4. an" e$plo"ee who at the ti$e the closed B shop agree$ent takes effect is a )ona fide $e$)er of a religious organi5ation which prohi)its its $e$)ers fro$ !oining la)or unions of religious grounds ;. e$plo"ees alread" in service and alread" $e$)ers of a la)or union or unions other than the $a!orit" union at the ti$e the closed B shop agree$ent took effect 3. confidential e$plo"ees who are e.cluded fro$ the rank and file )argaining unit . e$plo"ees e.cluded fro$ the closed B shop )" e.press ter$s of the agree$ent It is well B settled in this !urisdiction that, in the a)sence of a $anifest intent to the contrar", closed B shop provisions in a collective )argaining agree$ent appl" onl" to persons to )e hired or to e$plo"ees who are not "et $e$)ers of an" la)or organi5ation and that said provisions of the agree$ent are not applica)le to those alread" in the service at the ti$e of the e.ecution. -o hold that the e$plo"ees in a co$pan" who are $e$)ers of a $inorit" union $a" )e co$pelled to disaffiliate fro$ their union and !oin the $a!orit" or contracting union, would render nugator" the right of all e$plo"ees to self B organi5ation and to for$, !oin or assist la)or organi5ations of their own choosing, a right guaranteed )" the Industrial 1eace 3ct as well as )" the *onstitution. 9Aapisanan ng $ga Manggagawa ng Ala; ('A6(8) v. <amilton "isteller5 Co. et. al. /R 'o. (418112 3! B#to$er 19&2) Agenc( %ee instea" o% 'nion )e)bers&i$ Under the agenc" B shop clause of a *,3, an e$plo"ee is not re+uired to !oin the union as a 69 U uic k- $pr i$ $ust e7 condition of continued e$plo"$ent, )ut -I 88 nco es s pa" ed: the ar e needed to s ee t and a union a service fee 9usuall" e+uivalent dec o$ pr ess or to union dues his pi ur e.is re+uired )" and initiation fees:. Since act union statute to act as the )argaining representative of all e$plo"ees, )oth union and non B union, within their )argaining unit, the !ustification for the clause is that the non$e$)er should contri)ute towards the cost of collective )argaining process without supporting it financiall".

Si0t& @LP2 Discri)ination Beca'se O% Testi)on( PArt 2A> 8%9Q -he testi$on" or proceedings $ight involve wages, e$plo"ee/s )enefits disciplinar" rules, or organi5ational rights, or an"thing covered )" the (a)or *ode. What is chargea)le as U(1 is the e$plo"er/s retaliator" act regardless of the su)!ect of the e$plo"ee/s co$plaint or testi$on". Se/ent& @LP2 Diolation o% t&e D't( to Bargain PArt 2A> 8g9Q 8our 8or$s of U(1 in )argaining= a. 8ailure or refusal to $eet and convene ). Evading the $andator" su)!ects of )argaining c. ,ad faith in )argaining, including failure or refusal to e.ecute the collective agree$ent, if re+uested d. Fross violation of the *,3 Eig&t& @LP2 Pai" Negotiation PArt 2A> 859Q Self B organi5ation and collective )argaining are treasured rights of the workers. -he law 5ealousl" shields the$ fro$ corruption. It is a punisha)le act of U(1 for the e$plo"er to pa" the union or an" of its officers or agents an" negotiation fee or attorne"/s fees as part of the settle$ent in collective )argaining or an" la)or dispute. -o do so is not onl" unlawful. It is ethicall" reprehensi)le. *orrespondingl", 3rt. ; G prohi)its union officers or agents fro$ asking for or accepting such pa"$ents. Such act, further$ore, is a ground for cancellation of union registration under 3rt. ;3G 9g:. Nint& @LP2 Diolation o% t&e CBA I$ple$entation of the *,3 is still part of the )argaining process. -he dut" to )argain re+uires good faith, and good faith i$plies faithful o)servance of what has )een agreed upon. It logicall" follows that nonco$pliance with the agree$ent is non B o)servance of good faith in )argaining? therefore, the nonco$pliance a$ounts to a U(1. Violation of the *,3 $ust )e gross. Relie% In @LP Cases 4. *ease and Desist 2rder -o support a cease and desist order, the record $ust show that the restrained $isconduct was an issue in the case? that there was a finding of fact of said $isconduct and such finding was supported )" evidence. -he *ourt is not authori5ed to issue )lank cease and desist orders, )ut $ust confine its 1age G of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 in!unc tion orders to specific act or acts which are related to past $isconduct. ;. 3ffir$ative 2rder In addition to a cease and desist order, the court $a" issue an affir$ative order to reinstate the said e$plo"ee with )ack pa" fro$ the date of the discri$ination. If other la)orers have )een hired, the affir$ative order shall direct the respondent to dis$iss these hired la)orers to $ake roo$ for the returning e$plo"ee. 3. *ourt $a" order the E$plo"er to ,argain, *,3 $a" )e i$posed . Strike )" union $e$)ers @LP is not s'bMect to co)$ro)ise C--C ).*. *oc&an(co Dor9ers Bnion, et. al. v. ,-+C, *+ ,o. 611#2, 3" May 1/22 U(1 cases are not, in view of the pu)lic interest involved, su)!ect to co$pro$ises. -he relation )etween capital and la)or are not $erel" contractual. -he" are so i$pressed with pu)lic interest that la)or contracts $ust "ield to the co$$on good. @LP in a gi/en $erio" s&o'l" be incl'"e" in a single c&arge Dionela, et. al. v. CI+ et. al., *+ ,o. -.12334, 31 Au(ust 1/63 When a la)or union accuses an e$plo"er of acts of unfair la)or practice allegedl" co$$itted during a given period of ti$e, the charges should include all acts of unfair la)or practice co$$itted against an" and all $e$)ers of the union during that period. -he union should not, upon the dis$issal of the charges first preferred, )e allowed to split its cause of action and harass the e$plo"er with su)se+uent charges, )ased upon acts co$$itted during the sa$e period of ti$e. Art 2AC @n%air labor $ractices o% labor or(ani=ations. @n%air Labor Practices o% Organi+ation 69 Labor uic ki$ es e7 -I 88e$plo"ees U nco $pr s ed: 4. -o restrain or coerce in ar e and needed tothe se.ercise ee t a dec o$ pr ess or of their right to self hisorgani5ation. pi ct ur e. ;. -o atte$pt to or cause an e$plo"er to discri$inate against an e$plo"ee to who$ $e$)ership in the la)or organi5ation was denied or to ter$inate an e$plo"ee on an" ground other than he usual ter$s and conditions under which $e$)ership or continuation of $e$)ership is $ade availa)le to other $e$)ers. 3. -o refuse to )argain collectivel" with the e$plo"er, if it is the representative of the e$plo"ee. . -o atte$pt to or cause the e$plo"er to pa" $one" or other things of value, in the nature of an e.action, for services which are not perfor$ed or not to )e perfor$ed. -his includes fee for union negotiations. #. -o ask or accept negotiations or attorne"/s fees fro$ e$plo"ers as part of the settle$ent in an" dispute. %. Violation of *,3. Restraint or Coercion b( Labor Organi+ation4 Inter%erence b( @nion is not @LP PArt 2AC 8a9Q 3 la)or organi5ation co$$its U(1 when it restrains or coerces e$plo"ees in their right to self B organi5ation. 3 la)or organi5ation $a" interfere in the e$plo"ees/ right to self B organi5ation as long as the interference does not a$ount to restraint or coercion. @nion cannot coerce e)$lo(ees to Moin a stri1e Si$ilarl", violation is co$$itted when a union threatens the e$plo"ees with )odil" har$ in order to force the$ to strike. 3 union violates the law when, to restrain or coerce nonstrikers fro$ working during the strike, it= o assaults or threatens to assault the$ o threatens the$ with the loss of their !o)s o )locks their ingress to and egress fro$ the plant o da$ages nonstrikers/ auto$o)iles or forces the$ off the highwa" o ph"sicall" preventing the$ fro$ working o sa)otages the e$plo"er/s propert" in their presence, there)" creating an at$osphere of fear or violence o de$onstrates loudl" in front of a nonstrikers/ residence with signs and shouts accusing the nonstriker of Msca))ingN o holding the nonstriker up to ridicule o seeking pu)lic conde$nation of the nonstriker @nion<In"'ce" Discri)ination Arbitrar( 'se o% 'nion sec'rit( cla'se -he )road rule is that the union has the right to deter$ine its $e$)ership and to prescri)e the conditions for the ac+uisition and retention

1age #L of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 thereof. *onse+uentl", ad$ission to $e$)ership $a" not )e co$pelled. -his rule, however, is +ualified in the case of la)or unions holding a $onopol" in the suppl" of la)or, either in a given localit", or as regards a particular e$plo"er )" reason of a closed B shop or si$ilar agree$ents. In such case, +ualified applicants $a" not )e )arred )" unreasona)le rules. Salun(a v. Court of Industrial +elations, !1 SC+A !16 (1/61$ E$plo"ee resigned fro$ the union. -he union re+uested the co$pan" to enforce the closed shop provision of the *,3. *o$pan" deferred action and infor$ed the e$plo"ee of the possi)le effects of his resignation fro$ the union. E$plo"ee tried to revoke his resignation fro$ the union )ut this denied )" the union. *o$pan" finall" granted the re+uest of the union and ter$inated the e$plo"ee. E$plo"ee co$plained of illegal dis$issal. @eld= (a)or unions are not entitled to ar)itraril" e.clude +ualified applicants for $e$)ership and a closed B shop provision will not !ustif" the e$plo"er in discharging, or a union in insisting upon the discharge of, an e$plo"ee who$ the union thus refuses to ad$it to $e$)ership, without an" reasona)le ground thereof. @aving )een dis$issed fro$ service owing to unfair la)or practice on the part on the part of the union, petitioner is entitled to reinstate$ent as $e$)er of the union and to his for$er or su)stantiall" e+uivalent position in the co$pan", without pre!udice to his seniorit" andEor rights and privileges, and with )ack pa". Manila Mandarin ) ployees Bnion v. ,-+C, 1#4 SC+A 36/ (1/21$ Union securit" clauses are also governed )" law and )" principles of !ustice, fair pla", and legalit". Union securit" clauses cannot )e used )" union officials against an e$plo"er, $uch less their own $e$)ers, e.cept with a high sense of responsi)ilit", fairness, prudence and !udiciousness. uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e and needed to s ee t a dec o$ 2AC8c9Q pr ess or Re%'sal To Bargain PArt his pi ct ur e. 3 union violates its dut" to )argain collectivel" )" entering negotiations with a fi.ed purpose of not reaching an agree$ent or signing a contract. ;eat&erbe""ing An" -a1e # 7or1 Arrange)ents PArt 2AC 8"9Q ;eat&erbe""ing # e)$lo(ee $ractices w&ic& create or spread e$plo"$ent )" unnecessaril" $aintaining or increasing the nu$)er of e$plo"ees used, or the a$ount of ti$e consu$ed, to work on a particular !o) It $a" take the for$ of $ini$u$ B crew regulations on the railroad, $ake B work rules such as the setting of and pro$pt destruction of unneeded )ogus t"pe in the newspaper industr", stand B )" pa" for $usicians when a radio station )roadcasts $usic fro$ phonograph records or production ceilings for work on the asse$)l" lines or at the construction site III RI!5T TO COLLECTIDE BAR!AININ! A D@T: TO BAR!AIN COLLECTIDEL: Art. !#". %rocedure in collective bar(ainin(. Art. !#1. Duty to bar(ain collectively in t&e absence of collective bar(ainin( a(ree ents. Art. !#!. Meanin( of duty to bar(ain collectively. Art. !#3. Duty to bar(ain collectively 4&en t&ere e3ists a collective bar(ainin( a(ree ent. Art. !#3.A. ?er s of a collective bar(ainin( a(ree ent. Art. !#4. In7unction pro&ibited. Art. !31. +e(istry of unions and file of collective bar(ainin( a(ree ents. Collecti/e Bargaining Agree)ent # a contract e.ecuted upon re+uest of either the e$plo"er or the e.clusive )argaining representative of the e$plo"ees incorporating the agree$ent reached after negotiations with respect to wages, hours of work and all other ter$s and conditions of e$plo"$ent, including proposals for ad!usting an" grievance or +uestions under the agree$ent Parties to Collecti/e Bargaining 4. E$plo"er ;. E$plo"ees, represented )" the e.clusive )argaining agent *'ris"ictional ReF'ire)ents 4. Status of $a!orit" representation of the e$plo"ees/ representative. ;. 1roof of $a!orit" representation 3. "eman- to $argain un-er art. 25! (a) (Eio; (o5 v. '(RC 1%1 SCRA 139) -he dut" of the e$plo"er to )argain collectivel" arises onl" after the union re+uests the e$plo"er to )argain. If there is no de$and, the e$plo"er cannot )e in default. When there is a legiti$ate representation issue, 1age #4 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 there is no dut" to )argain collectivel" on the part of the e$plo"er 0(akas ng Manggagawang 0a;a$a5an v. 0ar#elo *nterprises 118 SCRA %25 (1982)] Co))ence)ent o% Bargaining During *ertification Oear B within 4; $onths after the deter$ination and certification of the e$plo"ees/ e.clusive )argaining representative. Bargaining Proce"'re -he parties $a" agree on the )argaining procedure. If there is a procedure agreed upon, the (a)or *ode 1rocedure applies suppletoril". Bargaining Proce"'re 'n"er t&e Labor Co"e 8Art 2L09 8ANNEJ !9 D't( to Bargain Collecti/el( 7&en T&ere Is No Collecti/e Bargaining Agree)ent 4. the perfor$ance of a $utual 9e$plo"er and the e.clusive )argaining agent: o)ligation to $eet and convene, ;. pro$ptl" and e.peditiousl" in good faith 3. for the purpose of negotiating an agree$ent with respect to wages, hours of work and all other ter$s and conditions of e$plo"$ent, including proposals for ad!usting an" grievances or +uestions arising under such agree$ent, and . E.ecuting a contract incorporating such agree$ents. -he dut" does not co$pel an" part" to agree to a proposal or to $ake an" concession. -he *,3 re$ains in full force and effect during the %L da" period and until a new agree$ent is reached. D't( to Bargain Collecti/el( w&en t&ere is a Collecti/e Bargaining Agree)ent When there is a *,3, the dut" to )argain also $eans that neither part" shall ter$inate nor $odif" such agree$ent during its lifeti$e. ,ut %L da"s )efore the *,3 e.pires, either part" $a" notif" the other in writing that it wants to ter$inate or $odif" the agree$ent. 69 U uic ki$ D't( e7 A ;or)s o% 7t& @LP < Diolation o%$pr t&e -I 88 nco es s to ed: ar e needed to s ee t and a Bargain Collecti/el( dec o$ pr ess or pi ctand ur e. 4. 8ailure or refusal his to $eet convene ;. Evading the $andator" su)!ects of )argaining 3. ,ad faith in )argaining . Fross violation of the *,3 ;ail're or Re%'sal to -eet an" Con/ene :io9 -oy v. ,-+C, 141 SC+A 11/ (1/26$ -he union gave the e$plo"er copies of its proposed *,3 and re+uested the co$pan" to $ake counter'proposals. -he co$pan" did not repl". -he union again wrote the co$pan" )ut this was also ignored. @eld= It is unfair la)or practice for an e$plo"er to refuse to $eet and convene pro$ptl" and e.peditiousl" in good faith for the purpose of negotiating an agree$ent for wages, hours of work and other ter$s of e$plo"$ent. 3 co$pan"/s refusal to $ake counter'proposal if considered in relation to the entire )argaining process, $a" indicate )ad faith and this is especiall" true where the Union/s re+uest for a counter proposal is left unanswered. We agree with the pronounce$ent that it is not o)ligator" upon either side of a la)or controvers" to precipitatel" accept or agree to the proposals of the other. ,ut an erring part" should not )e tolerated and allowed with i$punit" to resort to sche$es feigning negotiations )" going through e$pt" gestures. E/a"ing t&e -an"ator( S'bMects -an"ator( S'bMects 4. Wages ;. @ours of Work 3. 2ther -er$s and *onditions of E$plo"$ent Where the su)!ect of the dispute is a $andator" )argaining su)!ect, either part" $a" )argain to an i$passe as long as he )argains in good faith. Where the su)!ect is non$andator", a part" $a" not insist on )argaining to the point of i$passe. @is insistence $a" )e construed as evasion of the dut" to )argain. Bargaining in Ba" ;ait& -here is no per test of good faith in )argaining. -he good faith or )ad faith is an inference to )e drawn fro$ the facts and is largel" a $atter for the C(R,/s e.pertise. -he charge of )ad faith should )e raised while the )argaining is in progress. Sa a&an( Man((a(a4a sa ?op 8or Manufacturin(.Bnited Dor9ers of t&e %&ilippines v. ,-+C, *+ ,o. 132#6, "1 Septe ber 1//2 With the e.ecution of the *,3, )ad faith can no longer )e i$puted upon an" of the parties thereto. 3ll provisions in the *,3 are supposed to have )een !ointl" and voluntaril" incorporated therein )" the parties. -his is not a case where private respondent 1age #; of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 e.hi)ited an indifferent attitude towards collective )argaining )ecause the negotiations were not the unilateral activit" of petitioner union. -he *,3 is good enough that private respondent e.erted Mreasona)le effort of good faith )argaining.N -a9as n( Man((a(a4an( Ma9abayan v. Marcelo )nterprises, *+ ,os. -.32!#2, 32!6", 1/ ,ove ber 1/2! It is also evident fro$ the records that the charge of )argaining in )ad faith i$puted to the respondent co$panies, is hardl" c redi)le. In fact, such charge is valid as onl" against the co$plainant (3A3S. -he parties had a total of # conferences for purposes of collective )argaining. It is worth considering that the first strike of Sept. 4G%& was staged less than a week after the t h *,3 conference and without an" )enefit of an" previous strike notice. In this connection, it $ust )e stated that the notice of strike filed on >une 43, 4G%& could not have )een the strike notice for the first strike )ecause it was alread" withdrawn on >ul" 4 , 4G%&. -hus, fro$ these stated facts can )e seen that the first strike was held while the parties were in the process of negotiating. -he co$pan"/s refusal to accede to the de$ands of (3A3S appears to )e !ustified since there is no showing that these co$panies were in the sa$e state of financial and econo$ic affairs. -here is reason to )elieve that the first strike was staged onl" for the purpose of co$pelling the respondent co$panies to accede to the infle.i)le de$ands of the co$plainant (3A3S. Registration o% Collecti/e Bargaining Agree)ents 7&ere to %ile With the Regional 2ffice which issued the certificate of registrationEcertificate of creation of chartered local. If the certificate of creation of the chartered local was issued )" the )ureau, the agree$ent shall )e filed with the Regional 2ffice which has !urisdiction over the place where it principall" operates Multi'e$plo"er collective )argaining agree$ents shall )e filed with the ,ureau. uic k- $pr i$ es e7 7&en to %ile -I 88 69 U nco s ed: ar e needed to s ee t and a within 3L da"s fro$ the *,3. dec e.ecution o$ pr essof or his pi ct ur e. ReF'ire)ents %or registration -he application for *,3 registration shall )e acco$panied )" the original and ; duplicate copies of the following docu$ents. 4. *,3 ;. 3 state$ent that the *,3 was posted in at least ; conspicuous places in the esta)lish$ent concerned for at least # da"s )efore its ratification. 3. State$ent that the *,3 was ratified )" the $a!orit" of the e$plo"ees in the )argaining unit. -he following docu$ents $ust )e certified under oath )" the representative of the e$plo"er and the la)or union. Co other docu$ent shall )e re+uired in the registration of the *,3. Proce"'re 4. -he Regional 2ffice or the ,ureau shall act on the applications within # da"s for$ receipt of the application. ;. -he Regional 2ffice or ,ureau $a" within # da"s fro$ receipt of the application, a. approve the application and issue the certificate of registration or ). den" the application for failure to co$pl" with the re+uire$ents. c. If the supporting docu$ents are not co$plete, or are not verified under oath, the Regional 2ffice or the ,ureau shall notif" the applicants in writing of the re+uire$ents needed to co$plete the registration. o If the applicant fails to co$plete the re+uire$ents within 4L da"s fro$ receipt of notice, application is denied without pre!udice. o -he denial shall )e in writing, stating in clear ter$s the reason therefore and served upon the applicant union and e$plo"er within ; hours fro$ issuance. 3. -he denial )" the Regional 2ffice of the registration of single enterprise collective )argaining agree$ents $a" )e appealed to the ,ureau while the denial )" the ,ureau of the registration of $ulti'e$plo"er collective )argaining agree$ents $a" )e appealed to the 2ffice of the Secretar", )oth within 4L da"s fro$ receipt of the notice of denial. . -he $e$orandu$ of appeal is filed with the Regional 2ffice or the ,ureau, as the case $a" )e. #. -he $e$orandu$ of appeal and the entire records of the application shall )e trans$itted to the ,ureau or the 2ffice of the Secretar" within ; hours fro$ receipt of the $e$orandu$ of appeal. %. ,ureau or the 2ffice of the Secretar" shall resolve within the sa$e period and in the sa$e $anner as that prescri)ed for interEintra'union disputes.

1age #3 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 D'ration o% CBA 4. Representation 3spect= # "ears S Refers to the identit" and $a!orit" status of the union that negotiated the *,3 as the e.clusive )argaining representative. ;. 3ll other provisions should )e renegotiated not later than 3 "ears fro$ effectivit". S Refers to the rest of *,3, econo$ic as well as non'econo$ic other than representational. 5ol" O/er Princi$le -he *,3 shall )e in full force and effect until the parties reach a new agree$ent. ,e4 %acific ?i ber < Supply Co pany Inc. v. ,-+C, 3!2 SC+A 4"4 (!"""$ It is clear fro$ the a)ove provision of law 93rt. ;#3: that until a new *,3 has )een e.ecuted )" and )etween the parties, the" are dut"')ound to keep the status +uo and to continue in full force and effect the ter$s and conditions of the e.isting agree$ent. -he law does not provide for an" e.ception nor +ualification as to which of the econo$ic provisions of the e.isting agree$ent are to retain force and effect, therefore, it $ust )e understood as enco$passing all the ter$s and conditions in the said agree$ent. It is the dut" of )oth parties to continue in full force and effect the ter$s and conditions of the e.isting agree$ent during the %L'da" period andEor until a new agree$ent is reached )" the parties. -o rule otherwise would )e to create a gap during which no age$ent would govern, fro$ the ti$e the old contract e.pired to the ti$e a new agree$ent shall have )een entered into. R'les on E%%ecti/it( an" Retroacti/it( o% New CBA 8A$$l( Onl( to Pro/isions Ot&er t&an Re$resentational9 I. *,3 as a Result of Cegotiations 3. With 1revious *,3 4. Effectivit" of new *,3 entered into within % $onths after the e.piration of the old *,3= retroact to the date following the e7 e.pir" date. 69 U uic k- $pr i$ -I 88 *,3 nco es s ed: ;. Effectivit" of new entered into ar e and needed to s after ee t % a dec o$ pr ess or $onths following the of the old his pi ct e.piration ur e. *,3= FR= effective on the date agreed upon )" the parties. If there is no agree$ent, the ar)itral award will retroact to the da" after the end of the %'$onth period after the e.pir" of the old *,3.

,. Cew and 8irst'Ever *,3 9Co previous *,3: B effective on date agreed upon )" the parties II. 3r)itral 3wards 3. With 1revious *,3 4. 3r)itral award final within % $onths fro$ old *,3= retroact to the date following the e.pir" of the old *,3. ;. 3r)itral award final after % $onths following the e.piration of the old *,3= Feneral Rule= the agree$ent )etween the parties. If there is no agree$ent, retroact to the 4st da" following the %'$onth period ,. Cew and 8irst'Ever *,3 9Co previous *,3: ' (a)or Secretar"/s discretion will )e followed. B BAR!AININ! A!ENT & CERTI;ICATION ELECTION PROCEEDIN!S Art. !##. )3clusive bar(ainin( representation and 4or9ers; participation in policy and decision. a9in(. Art. !#6. +epresentation issue in or(ani=ed establis& ents. Art. !#1. %etitions in unor(ani=ed establis& ents. Art. !#2. D&en an e ployer ay file petition. Art. !#/. Appeal fro certification election orders. Bargaining @nit # a gro'$ o% e)$lo(ees s&aring $utual interests within a given e$plo"er unit, co$prised of all or less than all of the entire )od" of e$plo"ees in the e$plo"er unit or an" specific occupational or geographical grouping within such e$plo"er unit Certi%ication Election.Consent Election # T&e process of deter$ining through secret )allot the sole and e.clusive representative of the e$plo"ees in an appropriate unit for purposes of collective )argaining or negotiation. 3 certification election is ordered )" the Depart$ent, while a consent election is voluntaril" agreed upon )" the parties, with or without the intervention )" the Depart$ent. Organi+e" Establis&)ent # an enter$rise w&ere there e.ists a recogni5ed or certified sole and e.clusive )argaining agent R'n<o%% Election # an election between t&e labor unions receiving the ; highest nu$)er of votes in a certification or consent election with 3 or $ore choices, where such a certified or consent results in 1age # of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 none of the 3 or $ore choices receiving the $a!orit" of the valid votes cast? provided that the total nu$)er of votes for all contending unions is at least #LR of the nu$)er if votes cast Dol'ntar( Recognition # $rocess b( w&ic& a legiti$ate la)or union is recogni5ed )" the e$plo"er as the e.clusive )argaining representative or agent in a )argaining unit, reported with the Regional 2ffice in accordance with Rule VII, section ; of these Rules. B -et&o"s to Deter)ine t&e Bargaining @nion 4. Voluntar" Recognition ;. *ertification Election 3. *onsent Election Dol'ntar( Recognition 7&en to %ile In unorgani5ed esta)lish$ents with onl" one legiti$ate la)or organi5ation, the e$plo"er $a" voluntaril" recogni5e the representation status of the union. Within 3L da"s fro$ such recognition, the e$plo"er and union shall su)$it a notice of voluntar" recognition. 7&ere to %ile Regional 2ffice which issued the recogni5ed la)or union/s certificate of registration or certificate of creation of a chartered local. ReF'ire)ents %or Dol'ntar( Recognition -he notice of voluntar" recognition shall )e acco$panied )" the original cop" and ; duplicate copies of the following docu$ents= 4. 3 !oint state$ent under oath of voluntar" recognition attesting to the fact of voluntar" recognition. ;. *ertificate of posting of the !oint state$ent of voluntar" recognition for 4# consecutive da"s in at least ; conspicuous places in the esta)lish$ent or )argaining unit where the union seeks to operate. 3. 3ppro.i$ate nu$)er of e$plo"ees in the )argaining unit, acco$panied )" the na$es of those who support the voluntar" recognition uic ki$ $e$)ers e7 co$prising at least a6 $a!orit" of$pr the -I 88 9 U nco es s ed: of ar e needed to s ee t and a the )argaining dec unit.o$ pr ess or his la)or pi ct union ur e. is the onl" . 3 state$ent that the legiti$ate la)or organi5ation operating within the )argaining unit. -hese docu$ents shall )e certified under oath )" the e$plo"er/s representative and president of he recogni5ed la)or union.

Proce"'re2 Dol'ntar( Recognition 4. If notice of voluntar" recognition is sufficient in for$, nu$)er and su)stance, and there is no other registered la)or union operating within the )argaining unit, the Regional 2ffice shall record the fact of voluntar" recognition within 4L da"s fro$ receipt of notice. ;. Where notice of voluntar" recognition is insufficient, the Regional 2ffice shall notif" the la)or union of its findings and advise it to co$pl" with the necessar" re+uire$ents. If the e$plo"er or union failed to co$plete the re+uire$ents for voluntar" recognition within 3L da"s fro$ receipt of advisor", the Regional 2ffice shall return. E%%ects o% recor"ing o% %act o% Dol'ntar( Recognition 4. -he recogni5ed la)or union shall en!o" the rights, privileges and o)ligations of an e.isting )argaining agent of all the e$plo"ees in the )argaining unit. ;. 3 petition for certification election cannot )e filed for 4 "ear fro$ the date of entr" of the voluntar" recognition. Certi%ication Election 7&o )a( %ile 4. an" legiti$ate la)or organi5ation ;. e$plo"er, when re+uested to )argain collectivel" 7&ere to %ile Regional 2ffice which issued the certificate of registrationEcertificate of creation. 7&en to %ile 3n"ti$e, e.cept= 4. When voluntar" recognition has )een entered, or a valid certification, consent or run'off election has )een conducted within 4 "ear prior to the filing. ;. negotiations in good faith with the e$plo"er 3. )argaining deadlock had )een su)$itted to conciliation or ar)itration or had )eco$e the su)!ect of a valid notice of strike or lockout. . Registered *,3 B $a" file onl" within %L da"s prior to the e.piration of the *,3. !ro'n"s %or Den(ing Petition 4. the petitioner is not listed in the Depart$ent/s registr" of legiti$ate la)or unions or that its legal personalit" has )een revoked or cancelled with finalit" in accordance with Rule WIV of these Rules? 1age ## of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 ;. the petition was filed )efore or after the freedo$ period of a dul" registered collective )argaining agree$ent? provided that the si.t"'da" period )ased on the original collective )argaining agree$ent shall not )e affected )" an" a$end$ent, e.tension or renewal of the collective )argaining agree$ent? 9*ontract ,ar: 3. the petition was filed within 4 "ear fro$ entr" of voluntar" recognition or a valid certification, consent or run'off election and no appeal on the results of the certification, consent or run'off election is pending? 94;'$onth ,arE*ertification "ear )ar: . a dul" certified union has co$$enced and sustained negotiations with the e$plo"er in accordance with 3rticle ;#L of the (a)or *ode within the one'"ear period referred to in Section 4 .c of this Rule, or there e.ists a )argaining deadlock which had )een su)$itted to conciliation or ar)itration or had )eco$e the su)!ect of a valid notice of strike or lockout to which an incu$)ent or certified )argaining agent is a part"? 9Cegotiation ,ar: #. in case of an organi5ed esta)lish$ent, failure to su)$it the ;#R support re+uire$ent for the filing of the petition for certification election. Proce"'re2 Petition %or Certi%ication Election 8ANNEJ 59 Proce"'re2 Con"'ct o% Certi%ication Election 8ANNEJ I9 Preli)inar( Con%erence -he Med'3r)iter shall conduct a preli$inar" conference and hearing within 4L da"s fro$ the receipt of the petition to deter$ine the following= a. the )argaining unit to )e represented? ). contending la)or unions? c. possi)ilit" of consent elections? d. e.istence of an" of the )ars to certification election? and e. such other $atters as $a" )e relevant for the final disposition of the case In case the contending unions agree to a consent election, the Med'3r)iter shall not issue a for$al 69 U uic k-certification i$ es e7 order calling for of -Ithe 88conduct nco $pr s ed: ar e needed to s ee t and a election, )ut shall the fact decenter o$ pr ess orof the agree$ent ct ur e. in the $inutes ofhis the pi hearing. Or"er.Decision on t&e Petition # wit&in =0 "a(s fro$ the date of the last hearing, the Med'3r)iter shall issue a for$al order granting or den"ing the petition. In organi5ed esta)lish$ents, no order or decision shall )e issued during the freedo$ period. -he order granting the petition shall state the following= a. Ca$e of the e$plo"er or esta)lish$ent ). Description of the )argaining unit c. State$ent that none of the grounds for dis$issal e.ists d. Ca$es of contending la)or unions e. Directive upon the e$plo"er and the contending union9s: to su)$it within 4L da"s fro$ receipt of the order, the certified list of e$plo"ees in the )argaining unit. Pro&ibite" !ro'n"s %or Denial o% Petition 8)'st be &ear" an" resol/e" b( t&e Regional Director in an in"e$en"ent $etition %or cancellation o% registration2 4. validit" of petitioning union/s certificate of registration ;. legal personalit" as a la)or organi5ation 3. validit" of registration . e.ecution of *,3s A$$eal a. order granting conduct of certification election in unorgani5ed esta)lish$ents B C2- appeala)le ). all others B appealed to the D2(E Sec. within 4L da"s fro$ receipt thereof. Pre<election Con%erence Within twent"'four 9; : hours fro$ receipt of the assign$ent for the conduct of a certification election, the Election 2fficer shall cause the issuance of notice of pre'election conference upon the contending unions and the e$plo"er. Must )e scheduled within 4L da"s fro$ receipt of the assign$ent. Must )e co$pleted within 3L da"s fro$ the last hearing. P'r$ose o% Pre<election Con%erence -he pre'election conference shall set the $echanics for the election and deter$ine the following= 4. date, ti$e and place of the election, not )e later than fort"'five 9 #: da"s fro$ the date of the first pre'election conference on a regular working da" within the e$plo"er/s pre$ises, unless circu$stances re+uire otherwise ;. list of eligi)le and challenged voters 3. nu$)er and location of polling places or )ooths and the nu$)er of )allots to )e prepared with appropriate translations, if necessar"

1age #% of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 . na$e of watchers or representatives and their alternates for each of the parties during election #. $echanics and guidelines of the election Consent Election In case the contending unions agree to a consent election, the Med'3r)iter shall not issue a for$al order calling for the conduct of certification election, )ut shall enter the fact of the agree$ent in the $inutes of the hearing. -he $inutes of the hearing shall )e signed )" the parties and attested to )" the Med'3r)iter. -he Med'3r)iter shall, i$$ediatel" thereafter, forward the records of the petition to the Regional Director or hisEher authori5ed representative for the deter$ination of the Election 2fficer )" the contending unions through raffle. -he first pre'election conference shall )e scheduled within ten 94L: da"s fro$ the date of entr" of agree$ent to conduct consent election. 9See 3nne. @: E%%ect o% %ail're to a$$ear "'ring t&e $re<election con%erence considered as a waiver to )e present and to +uestion or o)!ect to an" of the agree$ents reached in said pre'election conference @owever, the non'appearing part" or the e$plo"er still has the right to )e furnished notices of su)se+uent pre'election conferences and to attend the sa$e O'ali%ication o% Doters 3ll e$plo"ees who are $e$)ers of the appropriate )argaining unit at the ti$e of the issuance of the order granting the conduct of a certification election shall )e eligi)le to vote. 3n e$plo"ee who has )een dis$issed fro$ work )ut has contested the legalit" of the dis$issal in a foru$ of appropriate !urisdiction at the ti$e of the issuance of the order for the conduct of a certification election shall )e considered a +ualified voter o unless hisEher dis$issal was declared valid in a final !udg$ent at the ti$e of the conduct of the certification election. 69 U uic k- $pr i$ es e7 Incl'sion<E0cl'sion o% Doters -I 88 nco s ed: ar e needed to s ee t and a In case of disagree$ent dec o$ prover ess the or voters/ list or pi ct ur e. over the eligi)ilit" of his voters, all contested voters shall )e allowed to vote. ,ut their votes shall )e segregated and sealed in individual envelopes. Posting o% Notices o% Election 4. at least 4L da"s )efore the actual date of the election ;. in ; $ost conspicuous places in the co$pan" pre$ises Contents o% t&e Notice 4. the date and ti$e of the election ;. na$es of all contending unions 3. the description of the )argaining unit and the list of eligi)le and challenged voters -he posting of the notice of election, the infor$ation re+uired to )e included therein and the duration of posting cannot )e waived )" the contending unions or the e$plo"er. C&allenging o% Dotes 3n authori5ed representative of an" of the contending unions and e$plo"er ,efore it is deposited in the )allot )o. Frounds= a. that there is no e$plo"er'e$plo"ee relationship )etween the voter and the co$pan"? ). that the voter is not a $e$)er of the appropriate )argaining unit which petitioner seeks to represent. Proce"'re in C&allenging o% Dotes 4. -he Election 2fficer shall place the )allot in an envelope. sealed in the presence of the voter and the representatives of the contending unions and e$plo"er. indicate on the envelope the voter/s na$e, the union or e$plo"er challenging the voter, and the ground for the challenge. envelope shall )e signed )" the Election 2fficer and the representatives of the contending unions and e$plo"er. ;. -he Election 2fficer shall note all challenges in the $inutes of the election and shall )e responsi)le for consolidating all envelopes containing the challenged votes. 3. -he envelopes shall )e opened and the +uestion of eligi)ilit" shall )e passed upon onl" if the nu$)er of segregated voters will $ateriall" alter the results of the election. Protest 3n" part"'in'interest $a" file a protest )ased on the conduct or $echanics of the election. 1rotests shall )e recorded in the $inutes of the election proceedings. 1rotests not so raised are dee$ed waived. -he protesting part" $ust for$ali5e its protest with the Med'3r)iter, with specific grounds,

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 argu$ents and evidence, within five 9#: da"s after the close of the election proceedings. If not recorded in the $inutes and for$ali5ed within the prescri)ed period, the protest shall )e dee$ed dropped. Can/assing o% Dotes *ounted and ta)ulated )" the Election 2fficer in the presence of the representatives of the contending unions. Each representative entitled to a cop" of the $inutes of the election proceedings and results of the election. -he )allots and the tall" sheets shall )e i. sealed in an envelope ii. signed )" the Election 2fficer and the representatives of the contending unions iii. trans$itted to the Med'3r)iter, together with the $inutes and results of the election, within ; hours fro$ the co$pletion of the canvass Where the election is conducted in $ore than one region, consolidation of results shall )e $ade within 4# da"s fro$ the conduct thereof. Con"'ct o% Election an" Can/ass o% Dotes -he election precincts shall open and close on the date and ti$e agreed upon during the pre' election conference. -he opening and canvass shall proceed i$$ediatel" after the precincts have closed. 8ailure of an" part" or the e$plo"er or hisEherEtheir representative to appear during the election proceedings shall )e considered a waiver to )e present and to +uestion the conduct thereof. Certi%ication o% E0cl'si/e Bargaining Agent -he union which o)tained a $a!orit" of the valid votes cast shall )e certified as the sole and e.clusive )argaining agent of all the e$plo"ees in the appropriate )argaining unit within # da"s fro$ the da" of the election, provided no protest is recorded in the $inutes of the election. ;ail're o% Election Where the nu$)er of votes cast in a certification uic k- the i$$a!orit" e7 or consent election is6 less than of the -I 88 9 U nco $pr es s ed: ar e needed to s ee t and a nu$)er of eligi)le are no dec voters o$ pr and ess there or his votes. pi ct ur e. $aterial challenged 3 failure of election shall not )ar the filing of a $otion for the i$$ediate holding of another certification or consent election within % $onths fro$ date of declaration of failure of election. Action on t&e )otion %or t&e i))e"iate &ol"ing o% anot&er certi%ication or consent election Within ; hours fro$ receipt of the $otion, the Election 2fficer shall i$$ediatel" schedule the conduct of another certification or consent election within 4# da"s fro$ receipt of the $otion and cause the posting of the notice of certification election at least 4L da"s prior to the scheduled date of election in ; $ost conspicuous places in the esta)lish$ent. -he sa$e guidelines and list of voters shall )e used in the election. Procla)ation an" Certi%ication o% t&e Res'lt o% t&e Election Within twent"'four 9; : hours fro$ final canvass of votes. -here )eing a valid election. the Election 2fficer shall trans$it the records of the case to the Med'3r)iter Med'ar)iter shall issue an order proclai$ing the results of the election and certif"ing the union which o)tained a $a!orit" of the valid votes cast as the sole and e.clusive )argaining agent in the su)!ect )argaining unit, under an" of the following conditions= a. no protest was filed or, even if one was filed, the sa$e was not perfected within the five' da" period for perfection of the protest? ). no challenge or eligi)ilit" issue was raised or, even if one was raised, the resolution of the sa$e will not $ateriall" change the results of the elections. -he winning union shall have the rights, privileges and o)ligations of a dul" certified collective )argaining agent fro$ the ti$e the certification is issued. R'n<o%% Election When an election which provides for 3 or $ore choices results in none of the choices 9unions or Mno unionN choice: receiving a $a!orit" of the valid votes cast, the Election 2fficer shall $otu propio conduct a run'off election within 4L da"s fro$ the close of the election proceedings )etween the la)or unions receiving the two highest nu$)er of votes. 1rovided, that the total nu$)er of votes for all contending unions is at least #LR of the nu$)er of votes cast. 3nd there are no o)!ections or challenges which if sustained can $ateriall" alter the results, MCo UnionN shall not )e a choice in the run'off election.

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Cotice of run'off elections shall )e posted )" the Election 2fficer at least five 9#: da"s )efore the actual date of run'off election. C BARS TO CERTI;ICATION ELECTION Art. !3!. %ro&ibition on certification election !ro'n"s %or "en(ing $etition %or certi%ication election 4. Deadlock ,ar ;. *ontract ,ar 3. 4;'$onth )arEcertification "ear )ar . Cegotiation ,ar Contract Bar While a valid and registered *,3 is su)sisting, the ,(R is not allowed to hold an election contesting the $a!orit" status of the incu$)ent union. 7&en contract bar r'le not a$$lie" 4. *,3 is not registered ;. *,3 deregistered 3. *,3 is inco$plete in itself . *,3 does not foster industrial peace #. *,3 was concluded in violation of an order en!oining the parties fro$ entering into a *,3 until the issue of representation is resolved %. 1etition is filed during the %L'da" freedo$ period Dea"loc1 Bar 3 petition for certification election cannot )e entertained if, )efore the filing of the petition for certification election, a )argaining deadlock to which an incu$)ent or certified )argaining agent is a part", had )een su)$itted to conciliation or ar)itration or had )eco$e the su)!ect of a valid notice of strike or lockout. Negotiation Bar 3 petition for certification election cannot )e filed if the dul" certified union has co$$enced and sustained negotiations in good faith with the e$plo"er in accordance with 3rt. ;#L of the (a)or *ode within 4 "ear prior to the filing of the petition for certification election. 69 U uic k- $pr i$ es e7 Certi%ication :ear-I R'le 88 Bar nco s ed: ar e needed to s ee t and a Co petition for dec certification election o$ pr ess or $a" )e filed ct ur e.valid certification, within one "ear fro$his the pi date of a consent, or run'off election or fro$ the date of voluntar" recognition. +. ?ransport Corp v. -a(ues a, *+ ,o. 1"623", 16 ,ove ber 1//3 -he 4; $onth prohi)ition presupposes that there was an actual conduct of election, i.e. )allots were cats and there was a counting of votes. In a case where there was no certification election conducted precisel" )ecause the first petition was dis$issed on the ground that it did not include all the e$plo"ees who should )e properl" included in the collective )argaining unit, the certification "ear )ar does not appl". Capitol Medical Center Alliance, etc. v. -a(ues a, *+ ,o. 112/1#, "4 8ebruary 1//1 ,ut in one case the winning union failed to conclude a *,3 with the e$plo"er within one "ear, hence another union filed a petition for certification election. 3lthough filed outside the 4;'$onth )ar, the petition was nonetheless dis$issed, and the court upheld the dis$issal and e.plained that ordinaril", a )argaining agent who failed to secure a *,3 within 4; $onths could )e suspected as a tool of $anage$ent and should deserve to )e replaced. ,ut if circu$stances show that the reason for not having concluded a *,3 was not the union/s fault, such union should not )e )la$ed, and a certification election should not )e authori5ed even though no *,3 has )een concluded despite passage of 4; $onths. -he situation takes the nature of a Mdeadlock )ar.N *ertification "ear rule will not appl" if in fact there was a failure of election )ecause less than $a!orit" of the *,U $e$)ers voted. 3nother petition for certification election $a" )e filed within % $onths. *ertification "ear rule will appl" even if the MCo unionN choice won. 9Sa$ahang Manggagawa sa 2ermex v. Se#retar5 o, (a$or /R 'o. 1!3392 !2 0ar#) 1998) D AD-INISTRATION I; A!REE-ENT4 !RIEDANCE AND DOL@NTAR: ARBITRATION Art. !6". *rievance ac&inery and voluntary arbitration. Art. !61. 0urisdiction of @oluntary Arbitrators or panel of @oluntary Arbitrators Art. !6!. 0urisdiction over ot&er labor disputes Art. !11. Miscellaneous provisions. 9f: 3 special Voluntar" 3r)itration 8und is here)" esta)lished in the ,oard to su)sidi5e the cost of voluntar" ar)itration in cases involving the interpretation and i$ple$entation of the *ollective ,argaining 3gree$ent, including the 3r)itrator/s fees, and for such other related purposes to pro$ote and develop voluntar" ar)itration. -he ,oard shall ad$inister the Special Voluntar" 3r)itration 8und in 1age #G of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 accordance with the guidelines it $a" adopt upon the reco$$endation of the *ouncil, which guidelines shall )e su)!ect to the approval of the Secretar" of (a)or and E$plo"$ent. *ontinuing funds needed for this purpose in the initial "earl" a$ount of fifteen $illion pesos 914#,LLL,LLL.LL: shall )e provided in the 4GJG annual general appropriations acts. -he a$ount of su)sid" in appropriate cases shall )e deter$ined )" the ,oard in accordance with esta)lished guidelines issued )" it upon the reco$$endation of the *ouncil. -he 8und shall also )e utili5ed for the operation of the *ouncil, the training and education of Voluntar" 3r)itrators, and the Voluntar" 3r)itration 1rogra$. 9g: -he Ministr" shall help pro$ote and graduall" develop, with the agree$ent of la)or organi5ations and e$plo"ers, la)or'$anage$ent cooperation progra$s at appropriate levels of the enterprise )ased on the shared responsi)ilit" and $utual respect in order to ensure industrial peace and i$prove$ent in productivit", working conditions and the +ualit" of working life. 9h: In esta)lish$ents where no legiti$ate la)or organi5ation e.ists, la)or'$anage$ent co$$ittees $a" )e for$ed voluntaril" )" workers and e$plo"ers for the purpose of pro$oting industrial peace. -he Depart$ent of (a)or and E$plo"$ent shall endeavor to enlighten and educate the workers and e$plo"ers on their rights and responsi)ilities through la)or education with e$phasis on the polic" thrusts of this *ode. Establis&)ent o% !rie/ance -ac&iner( 4. 3gree$ent )" the parties ;. Frievance co$$ittee shall )e created within 4L da"s fro$ the signing of the *,3. Frievance co$$ittee shall )e co$posed of at least ; representatives each fro$ the $e$)ers of the )argaining unit and the e$plo"er, unless otherwise agreed upon )" the parties. o Representatives of the e$plo"ers designated )" the union. uic k- $pr i$ es e7 Dis$'tes 'n"er !rie/ance -ac&iner( -I 88 69 U nco s ed: ar e needed to s ee t and a 4. interpretation or i$ple$entation dec o$ pr ess orof the *,3 his pi ct ur of e. co$pan" ;. interpretation or enforce$ent personnel policies Proce"'re in &an"ling grie/ances 8ANNEJ *9 *'ris"iction o% Dol'ntar( Arbitrators 4. Frievances arising fro$ the i$ple$entation or interpretation of *,3s. ;. 3rising fro$ interpretation or enforce$ent of co$pan" personnel policies 3. Wage distortion issues arising fro$ the application of an" wage orders in organi5ed esta)lish$ents . 3rising fro$ interpretation and i$ple$entation of the productivit" incentive progra$s under R3 %G&4 3n" other la)or disputes upon agree$ent )" the parties. -he parties $a" choose to su)$it the dispute to voluntar" ar)itration proceedings )efore or at stage of the co$pulsor" ar)itration proceedings. Powers o% t&e Dol'ntar( Arbitrators 4. hold hearings ;. receive evidence 3. take whatever action is necessar" to resolve the dispute. -he voluntar" ar)itrator $a" conciliate or $ediate to aid the parties in reaching a voluntar" settle$ent. Proce"'re2 Dol'ntar( Arbitration 3ll parties to the dispute shall )e entitled to attend the ar)itration proceedings. -he attendance of an" third part" or the e.clusion of an" witness fro$ the proceedings shall )e deter$ined )" the voluntar" ar)itrator or panel of voluntar" ar)itrators. @earing $a" )e ad!ourned for cause or upon agree$ent )" the parties. It shall )e $andator" for the voluntar" ar)itrator to render an award or decision within ;L calendar da"s fro$ the date of su)$ission for resolution unless the parties agree otherwise. o 8ailure on the part of the voluntar" ar)itrator to render a decision, resolution, order or award within the prescri)ed period, shall upon co$plaint of a part", )e sufficient ground for the ,oard to discipline said voluntar" ar)itrator, pursuant to the guidelines issued )" the Secretar". o In cases that the reco$$ended sanction is de'listing, it shall )e unlawful for the voluntar" ar)itrator to refuse or fail to turn over to the )oard, for its further disposition, the records of the case within 4L calendar da"s fro$ de$and thereof. Decision final and e.ecutor" after 4L calendar da"s fro$ receipt of the cop" )" the parties. Co MR allowed. 1age %L of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 -he voluntar" ar)itrator or la)or ar)itrator 9if there voluntar" ar)itrator is a)sence or incapacitated: $a" issue a writ of e.ecution upon $otion of an" interested part". Voluntar" ar)itrator shall turn over the records of the case to the regional )ranch of the ,oard within 4L da"s upon satisfaction of the final award. E LABOR -ANA!E-ENT COOPERATION SC5E-ES Creation o% Labor -anage)ent an" Ot&er Co'ncils -he Depart$ent shall pro$ote the for$ation of la)or'$anage$ent councils in organi5ed and unorgani5ed councils. P'r$ose o% t&e Labor<-anage)ent Co'ncils -o ena)le the workers to participate in polic" and decision'$aking processes in the esta)lish$ent, insofar as said processes will directl" affect their rights, )enefits and welfare. Not co/ere" b( t&e Labor<-anage)ent Co'ncils 4. -hose covered )" *,3s ;. -raditional areas of )argaining Ser/ices to be ren"ere" b( t&e De$art)ent in line wit& t&e sai" $olic( 4. *onduct awareness ca$paigns ;. 3ssist the parties in setting up la)or'$anage$ent structures, functions and procedures 3. 1rovide process facilitators upon re+uest of the parties . Monitor the activities of la)or'$anage$ent structures as $a" )e necessar" and conduct studies on )est practices ai$ed at pro$oting har$onious la)or'$anage$ent relations. Selection o% e)$lo(eesG re$resentati/es to t&e co'ncil 4. 2rgani5ed esta)lish$ents= Co$inated )" the e.clusive )argaining representatives ;. Where there is no legiti$ate la)or organi5ation= )" the e$plo"ees at large. uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e needed to s ee t and a ID STRI3ES, LOC3O@TS dec o$ pr ess or AND his pi ct ACTIONS ur e. CONCERTED Art. !63. Stri9es, pic9etin( and loc9outs Art. !64. %ro&ibited activities Art. !6#. I proved offer ballotin(. Concerte" Action # an acti/it( 'n"erta1en b( two or $ore e$plo"ees, )" one on )ehalf of others Stri1e # an( te)$orar( sto$$age o% wor1 b( t&e concerted action of the e$plo"ees as a result of an industrial or la)or dispute Loc1o't # te)$orar( re%'sal o% an( e)$lo(er to furnish work as a result of an industrial or la)or dispute Internal 'nion "is$'te # incl'"es all "is$'tes or grievances arising fro$ an" violation of or disagree$ent over an" provision of the constitution and )" laws of a union, including an" violation of the rights and conditions of union $e$)ership provided for in this *ode Stri1e<brea1er # an( $erson w&o obstr'cts, i$pedes, or interferes with )" force, violence, coercion, threats, or inti$idation an" peaceful picketing affecting wages, hours or conditions of work or in the e.ercise of the right of self'organi5ation or collective )argaining Stri1e Area # establis&)ent, ware&o'ses, "e$ots, plants or offices, including the sites or pre$ises used as runawa" shops, of the e$plo"er struck against, as well as the i$$ediate vicinit" actuall" used )" picketing strikers in $oving to and fro )efore all points of entrance to and e.it fro$ said esta)lish$ent C&aracteristics o% a Stri1e 4. -here $ust )e an e$plo"er'e$plo"ee relationship. ;. E.istence of a dispute. 3. E$plo"$ent relation is dee$ed to continue although in a state of )elligerent suspension. . -here is te$porar" work stoppage. #. Work stoppage is done through concerted action. %. -he striking group is a legiti$ate la)or organi5ation. In case of )argaining deadlock, it $ust )e the e$plo"ees/ sole )argaining representative. !ro'n"s %or loc1o't 4. *ollective ,argaining Deadlock ;. Unfair (a)or 1ractice violations of *,3 $ust )e gross to )e considered as U(1 Con/ersion Doctrine 3 strike $a" start as econo$ic and, as it progresses, )eco$es U(1, or vice'versa.

1age %4 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 7&en stri1e or loc1o't cannot be "eclare" 4. Violations of *,3 which are not gross. ;. Frounds involving interEintra union disputes 3. When there is no notice of strike or lockout or without the strike or lockout vote . 3fter assu$ption of !urisdiction )" the Secretar" #. 3fter certification or su)$ission of dispute to co$pulsor" or voluntar" ar)itration or during the pendenc" of cases involving the sa$e grounds for strike or lockout. 7&o )a( "eclare a stri1e or loc1o't 4. 3n" legiti$ate la)or organi5ation ;. 3n" certified or dul" recogni5ed )argaining representative 3. E$plo"er If there is certified or dul" recogni5ed )argaining representative, an" legiti$ate la)or organi5ation $a" declare a strike )ut onl" on grounds of unfair la)or practice. Notice o% stri1e or loc1o't 4. In case of )argaining deadlocks= at least 3L da"s )efore the intended date of strike ;. In case of unfair la)or practice= at least 4# da"s )efore the intended date of strike 3. In case of U(1 involving the dis$issal of a union officer which $a" constitute union')usting= union $a" take action i$$ediatel" after the strike vote and the su)$ission of the results of the strike vote to the regional )ranch of the ,oard Contents o% t&e notice o% stri1e or loc1o't 4. Ca$es and addresses of e$plo"er ;. Union involved 3. Cature of industr" to which the e$plo"er )elongs . Cu$)er of union $e$)ers #. Workers in the )argaining unit %. 2ther relevant data &. In case of )argaining deadlocks= the unresolved issues, written proposals of the union, counter' proposals of the e$plo"er and proof of re+uest for conference to settle differences J. In case of unfair la)or practice= the acts co$plained of, and the efforts taken to resolve the dispute uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e needed to s ee t and a ,oard shall infor$ decthe o$concerned pr ess or part" in case his pi ctwith ur e. notice does not confor$ the re+uire$ents. Action on notice o% stri1e or loc1o't Upon receipt of the notice, the regional )ranch of the ,oard shall e.ert all efforts at $ediation and conciliation to ena)le the parties to settle the dispute a$ica)l". It shall also encourage the parties to su)$it the dispute to voluntar" ar)itration. -he regional )ranch of the ,oard $a", upon agree$ent of the parties, treat a notice as a preventive $ediation case. During the proceedings, the parties shall not do an" act which $a" disrupt or i$pede the earl" settle$ent of the dispute. -he" are o)liged, as part of their dut" to )argain collectivel" in good faith and to participate full" and pro$ptl" in the conciliation $eetings called )" the regional )ranch of the ,oard. 3 notice, upon agree$ent of the parties, $a" )e referred to alternative $odes of dispute resolution, including voluntar" ar)itration. Pre/enti/e -e"iation -he regional )ranch $a" treat the notice as preventive $ediation case upon agree$ent of the parties. Stri1e or loc1o't /ote 4. approved )" $a!orit" of total union $e$)ership or )" $a!orit" of the ,2D or partners ;. )" a secret )allot 3. in a $eeting called for that purpose -he regional )ranch $a" supervise the conduct of the secret )alloting at its own initiative or upon re+uest of an" part". Cotice of the $eeting $ust )e given at least ; hours )efore such $eeting, and the results of the voting $ust )e given at least & da"s )efore the intended strike or lockout to the regional )ranch of the ,oard. -his is su)!ect to the cooling'off period. -apanday Dor9ers; Bnion, et. al. v. ,-+C, !42 SC+A /6 (1//#$ -he result of the strike 9or lockout voting: should )e reported to the C*M, at least & da"s )efore the intended strike or lockout, su)!ect to the cooling off period. -his $eans that after the strike vote is taken and the result reported to C*M,, seven da"s $ust pass )efore the union can actuall" co$$ence the strike. -his seven'da" reporting period is intended to give the Dept. of (a)or and E$plo"$ent an opportunit" to verif" whether the pro!ected strike reall" carries the i$pri$atur of the $a!orit" of the union $e$)ers. Sa a&an n( Man((a(a4a in Molde3 %roducts, et. al. v. ,-+C, et.al. *+ ,o. 11/461, "1 8ebruary !""" 3 strike tagged without the su)$ission of the result of the strike vote is illegal. 1age %; of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 S When at least a $a!orit" of the union $e$)ers vote to accept the i$proved offer, the striking workers shall i$$ediatel" return to work and the e$plo"er shall thereupon re'ad$it the$ upon the signing of the agree$ent. ;. In case of lockout S -he regional )ranch of the ,oard shall also conduct a referendu$ )" secret )alloting on the reduced offer of the union. S on or )efore the 3Lth da" of the lockout. S When at least a $a!orit" of the )oard of directors or trustees or the partners holding the controlling interest in the case of partnership vote to accept the reduced offer, the workers shall i$$ediatel" return to work and the e$plo"er shall thereupon read$it the$ upon the signing of the agree$ent. InM'nction !R2 No co'rt or entit( s&all enMoin an( $ic1eting, strike or lockout. E0ce$tions2 4. When prohi)ited or unlawful acts are )eing or a)out to )e co$$itted that will cause grave or irrepara)le da$age to the co$plaining part". ;. Cational Interest Ass')$tion o% *'ris"iction b( DOLE Secretar( 4. Discretionar" In his opinion there e.ists a la)or dispute causing or likel" to cause a strike or lockout in an ICDUS-RO ICDIS1ECS3,(E -2 -@E C3-I2C3( IC-ERES$a" certif" the sa$e to the co$$ission for *2M1U(S2RO 3R,I-R3-I2C Effect= 3U-2M3-I*3((O EC>2ICS the intended on i$pending strike or lockout )ut if one has alread" taken place, all striking or locked out e$plo"ees S@3(( IMMEDI3-E(O RE-URC -2 W2RA and the e$plo"er shall i$$ediatel" resu$e operations and re'ad$it all workers under the sa$e ter$s and conditions prevailing )efore the strike or lock'out ;. Mandator"= 9within ; hours: In la)or disputes adversel" affecting the continued operation of @2S1I-3(S, *(ICI*S, 2R MEDI*3( ICS-I-U-I2CS Ma" assu$e !urisdiction or certif" it to the C(R* for co$pulsor" ar)itration Dut" of striking union or locking out e$plo"er to provide and $aintain an effective 1age %3 of J3

7&en labor )a( stri1e or w&en t&e e)$lo(er )a( loc1 o't its wor1ers If the dispute re$ain unsettled after the lapse of the re+uisite nu$)er of da"s fro$ the filing of the notice of strike or lockout and of the results of the election. -he regional )ranch of the ,oard shall continue $ediating and conciliating. Pro&ibite" acti/ities "'ring stri1es an" loc1o'ts 4. strike or lock'out without first having )argained collectivel" strike or lock'out without the necessar" notice )eing filed with the D2(E ;. strike or lock'out without the necessar" vote first having )een o)tained and reported to the D2(E 3. strike or lock'out after D2(E has assu$ed !urisdiction or the 1resident or after certification or su)$ission of dispute to the co$pulsor" ar)itrationEvoluntar" ar)itration or during the pendenc" of cases involving the sa$e grounds for the strike or lockout . knowingl" participating in illegal strike or knowingl" participates in the co$$ission of illegal acts during a strike ground for ter$ination of e$plo"$ent #. o)struct, i$pede, or interfere with )" force, violence, coercion, threats, or inti$idation an" peaceful picketing )" e$plo"ees during an" la)or controvers" or shall a)eit or aid such o)struction or interference %. e$plo"$ent or use of an" strike)reakerE e$plo"ed as a strike )reaker &. )ringing in, introducing, or escorting )" an" pu)lic officer or e$plo"ee, including officers and personnel of the 381 or 1C1, or an" ar$ed person in an" $anner of an" individual who seeks to replace strikers in entering or leaving the pre$ises of a strike area or work in place of strikers J. co$$it an" act of violence, coercion or inti$idation while engaged in picketing or o)struct the ingress or egress fro$ the e$plo"erKs pre$ises for lawful purposes or o)struct pu)lic thoroughfares 9$ust )e pervasive and widespreadEconsistentl" and deli)eratel" resorted to as a $atter of polic": uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e needed to s ee t and a I)$ro/e" O%%er Balloting dec o$ pr ess or 4. In case of strike his pi ct ur e. S Regional )ranch of the ,oard shall, conduct a referendu$ )" secret )alloting on the i$proved offer of the e$plo"er. S on or )efore the 3Lth da" of strike. S at its own initiative or upon the re+uest of an" affected part".

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 SAE(E-3( W2RA82R*E of $edical and other health personnel, where $ove$ent and service shall )e unha$pered and unrestricted as are necessar" to insure the proper and ade+uate protection of the life and health of its patients $ost especiall" e$ergenc" cases for the duration of the strike or lock'out Power o% t&e Presi"ent 'n"er Art 2KB8g9 4. $a" deter$ine the industries, which are in his opinion indispensa)le to national interest ;. $a" intervene at an" ti$e and assu$e !urisdiction over an" such la)or dispute in order to settler or ter$inate the sa$e Decision of the 1resident, D2(E Secretar" is final and e.ecutor" after receipt thereof )" the parties. Sar iento v. ?uico, 16! SC+A 616 (1/22$ -he return'to'work order not so $uch confers a right as it i$poses a dut". While as a right it $a" )e waived, it $ust )e discharged as a dut" even against the worker/s will. Returning to work in this situation is not a $atter of option or voluntariness )ut of o)ligation. If the stoppage of work will )e unfruitful not onl" to )ith the e$plo"er and the e$plo"ees, $ore particularl" if the national econo$" will suffer )ecause if the resultant reduction in our e.port earnings and our dollar reserves, not to $ntion possi)le cancellation of the contracts of the co$pan" with foreign e.porters, the la)or dispute $a" properl" )e certified to the Cational (a)or Relations *o$$ission, to avoid such a develop$ent, with the return'to'work order following as a $ater of course under the law. Where the return to work order is issued pending the deter$ination of the legalit" of the strike, it is not correct to sa" that it $a" )e enforced onl" if he strike is legal and $a" )e disregarded if illegal. 1recisel", the purpose of the return to work order is to $aintain the status +uo while the deter$ination is )eing $ade. -he discretion to assu$e !urisdiction $a" )e e.ercised )" the Secretar" of (a)or and uic k- $pr i$ e7 E$plo"$ent without -I 88 6 the 9 U necessit" nco ofes prior s ed: notice ar e needed to s ee t and a of hearing given to o$ an"pr of ess the parties disputants dec or his pi ct ur e.8nion et.al. v. (0agnolia 2oultr5 *mplo5ees San#)eC /R. 'os. 3&223428 !5 'ovem$er 198&) ConseF'ences o% Illegal Stri1e !oo"<;ait& Doctrine 3 strike $a" )e considered legal when the union )elieved that the respondent co$pan" co$$itted unfair la)or acts and the circu$stances warranted such )elief in good faith although su)se+uentl" such allegation of unfair la)or practices are found out as not true. 91eople/s Industrial and *o$$ercial *mplo5ees an- Wor;ers BrganiCation (66W) v. 2eopleAs +n-ustrial an- Commer#ial Corp. /R 'o. 33&83 15 0ar#) 1982) R'le on 7ages o% Stri1ers !R2 Stri1ers are not entitle" to t&eir wages "'ring t&e period of a strike, even if the strike is legal. E0ce$tions2 4. In case of a U(1 S-RIAE, in the discretion of the authorit" deciding the case. ;. Where the strikers voluntaril" and unconditionall" offered to return to work, )ut the e$plo"er refused to accept the offer 0e.g. of an Munconditional offerN= Mwe will return to$orrowN and C2- Mwilling to return providedQ o -he" are entitled to )ackwages fro$ the date the offer was $ade. 3. Where there is RE-URC'-2'W2RA 2RDER and the e$plo"ees are discri$inated against. o -he" are entitled to )ackwages fro$ the date of discri$ination. R'le on Reinstate)ent o% Stri1ing 7or1ers !R2 Stri1ing e)$lo(ees are entitle" to reinstate)ent, regardless of whether or not the strike was the conse+uence of the e$plo"er/s U(1. E0ce$tions2 -he following strikers are C2- entitled to reinstate$ent= 4. union officers who knowingl" participate in an illegal strike. ;. an" strikerEunion $e$)er who knowingl" participates in the co$$ission of illegal acts during the strike. Sar iento v. ?uico, 16! SC+A 616 (1/22$ -he return'to'work order should )enefit onl" those workers who co$pl" with it and, regardless of the outco$e of the co$pulsor" ar)itration proceedings, are entitled to )e paid for the work the" have actuall" perfor$ed. *onversel", those workers who refuse to o)e" said order and instead wage a strike are not entitled to )e paid for work not done or to reinstate$ent to the positions the" have a)andoned )" their refusal to return thereto as ordered. St. Sc&olastica;s Colle(e v. ?orres, *+ ,o. 1age % of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 1""1#2, 1/ 0une 1//! 3 return to work order is i$$ediatel" effective and e.ecutor" notwithstanding the filing of a $otion for reconsideration. It $ust )e strictl" co$plied with even during the pendenc" of an" petition +uestioning its validit". -he respective lia)ilities of striking union officers and $e$)ers who failed to i$$ediatel" co$pl" with the return'to'work order is outlined in 3rt. ;% of the (a)or *ode which provides that an" declaration of a strike or lockout after the Secretar" of (a)or and E$plo"$ent has assu$ed !urisdiction over the la)or dispute is considered an illegal act. 3n" worker or union office who knowingl" participates in a strike def"ing a return'to'work order $a", conse+uentl" M)e declared to have lost his e$plo"$ent status.N 'atan(as -a(una ?ayabas 'us Co pany v. ,-+C, *+ ,o. 1"12#2, !1 Au(ust 1//! ,ut to !ustif" dis$issal, the defiance of the return' to'work order $ust )e proved. In one case the *ourt said that the $ere fact that the $a!orit" of the strikers were a)le to return to work does not necessaril" $ean that the rest deli)eratel" defied the return to work order or that the" had )een sufficientl" notified thereof. 3s the Solicitor Feneral correctl" adds, so$e of the$ $a" have left Metro Manila and did not have enough ti$e to return during the period given )" the period given )" petitioner. *old City Inte(rated %ort Services, Inc. v. ,-+C, !4# SC+A 6!1 (1//#$ 3rt. ;% $akes a distinction )etween workers and union officers who participate in a strike. 3n ordinar" striking worker cannot )e ter$inated for $ere participation in an illegal strike. -here $ust )e proof that he co$$itted illegal acts during a strike. 3 union officer, on the other hand, $a" )e ter$inated fro$ work when he knowingl" participates in an illegal strike, or when he co$$its an illegal act during a strike. D POST<E-PLO:-ENT A RE!@LAR, CAS@AL, PROBATIONAR: E-PLO:-ENT uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e needed to s ee t and a Art. !2". +e(ular dec and o$ casual e or ploy ent pr ess his e pi ct ur e.ent Art. !21. %robationary ploy Reg'lar E)$lo()ent Engaged to perfor$ tasks usuall" necessar" and desira)le to the )usiness of the e$plo"er Regular e$plo"$ent does not $ean per$anent e$plo"$ent ' 3 pro)ationar" e$plo"ee is considered regular after % $onths, )eco$es regular. Ma" )e ter$inated onl" for !ust E authori5ed causes Test to "eter)ine reg'lar e)$lo()ent Bniversal +obina Corporation v. Catapan(, *+ ,o. 164136. 6ctober 14, !""# -he pri$ar" standard of deter$ining regular e$plo"$ent is the reasona)le connection )etween the particular activit" perfor$ed )" the e$plo"ee to the usual trade or )usiness of the e$plo"er. -he test is whether the for$er is usuall" necessar" or desira)le in the usual )usiness or trade of the e$plo"er. 3lso, the perfor$ance of a !o) for at least a "ear is sufficient evidence of the !o)/s necessit" if not indispensa)ilit" to the )usiness. -his is the rule even if its perfor$ance is not continuous and $erel" inter$ittent. -he e$plo"$ent is considered regular, )ut onl" with respect to such activit" and while such activit" e.ists. -he practice of entering into e$plo"$ent contracts which would prevent the workers fro$ )eco$ing regular should )e struck down as contrar" to pu)lic polic" and $orals. Cas'al E)$lo()ent 3ctivit" perfor$ed is not usuall" necessar" or desira)le in the usual )usiness or trade of the e$plo"er, not pro!ect and not seasonal E.cept= if he has rendered at least 4 "ear of service, whether such service is continuous or )roken, he is considered a REFU(3R e$plo"ee with respect to the activit" in which he is e$plo"ed and his e$plo"$ent shall continue while such activit" e.ists. Despite the distinction )etween regular and casual e$plo"$ent, ever" e$plo"ee shall )e entitled to the sa$e rights and privileges, and shall )e su)!ect to the sa$e duties as $a" )e granted )" law to regular e$plo"ees during the period of their actual e$plo"$ent. ;i0e"<Ter) E)$lo()ent 1eriod is agreed upon knowingl" and voluntaril" )" the parties without force, duress, or i$proper pressure e.erted on the e$plo"ee. ,rent case= fi.ed'ter$ e$plo"$ent repealed )" (*. ,ut the *ivil *ode, a general law, allows fi.ed' ter$ e$plo"$ent E$plo"ee hired on a fi.ed'ter$ is regular if !o) is necessar" and desira)le to )usiness of e$plo"er. (2)ilips Semi#on-u#tor v. 6a-riFuela /R 'o. 1%1313 April 2!!%) 1age %# of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 3fter lapse of pro)ationar" period 9% $onths:, the e$plo"ee )eco$es regular. 9Vo"eur Visage, 2!!5) 1ro)ationar" e$plo"ee $a" )e dis$issed )efore end of the pro)ationar" period. Aberdeen Court, Inc. v. A(ustin, *+ ,o. 14/311, 13 April !""# -here is pro)ationar" e$plo"$ent where the e$plo"ee, upon his engage$ent, is $ade to undergo a trial period during which the e$plo"er deter$ines his fitness to +ualif" for regular e$plo"$ent, )ased on reasona)le standards $ade known to hi$ at the ti$e of engage$ent. -he services of an e$plo"ee who has )een engaged on pro)ationar" )asis $a" )e ter$inated onl" for a !ust cause, when he fails to +ualif" as a regular e$plo"ee in accordance with the reasona)le standards prescri)ed )" the e$plo"er. In all cases of pro)ationar" e$plo"$ent, the e$plo"er shall $ake known to the e$plo"ee the standards under which he will +ualif" as a regular e$plo"ee at the ti$e of his engage$ent. Where no standards are $ade known to the e$plo"ee at that ti$e, he shall )e dee$ed a regular e$plo"ee. Mari4asa Manufacturin(, Inc. v. -eo(ardo, 0r., !6 0anuary 1/2/ Issue= Ma" the e$plo"er and the e$plo"ee validl" agree to e.tend the pro)ationar" period )e"ond si. $onths[ @eld= OES. Such an e.tension $a" )e lawfull" agreed upon, despite the see$ing restrictive language of 3rticle ;J4. 3 voluntar" agree$ent e.tending the original pro)ationar" period to give the e$plo"ee a second chance to pass the pro)ation standards constitutes a lawful e.ception to the statutor" li$it. BS? v. ,-+C, 1# 8ebruary 1//" Issue= 8or private school teachers, what are the legal re+uire$ents for ac+uisition of per$anent e$plo"$ent[ @eld= 94: -he teacher is a full'ti$e teacher? 9;: the teacher $ust have rendered three consecutive "ears of service? and 93: such service $ust have )een satisfactor". Seasonal E)$lo()ent

ProMect E)$lo()ent 2ne whose e$plo"$ent has )een fi.ed for a specific pro!ect or undertaking the co$pletion of which has )een deter$ined at the ti$e of engage$ent of the e$plo"ee? the period is not the deter$ining factor, so that even if the period is $ore than 4 "ear, e$plo"ee does not necessaril" )eco$e regular Mara(uinot v. ,-+C, !24 SC+A #3/ (1//2$ Repeated hiring on a pro!ect to pro!ect )asis is considered necessar" and desira)le to the )usiness of the e$plo"er. -hus, e$plo"ee is regular. 8ilSyste s v. %uente, *+ ,o. 1#323!, 12 Marc& !""# Repeated hiring does not necessaril" $ean regular e$plo"$ent. MDa" *ertainN Rule B pro!ect e$plo"$ent ends on a certain date does not end on an e.act date, )ut on the co$pletion of the pro!ect. 1hil. Flo)al *o$$unication case= usual and desira)le does not $atter )ecause e$plo"er hires without intent of $aking the$ regular. Regulari5ation is not a $anage$ent prerogative. It is a $andate of law. 913( v. 1ascua, 4# 3ugust 2!!3) Cature of e$plo"$ent deter$ines regular e$plo"$ent. 3rt. ;JL does not appl" to 28Ws. 9(* does not appl" to $igrant workers, R3 JL ; does.: 1oseidon 8ishing case= if engaged in deep'sea fishing, locall"'hired e$plo"ees, ;JL applies Probationar( E)$lo()ent !R2 Not to e0c ee" K )ont&s E0ce$tions2 a. covered )" an apprenticeship agree$ent stipulating a longer period ). voluntar" agree$ent of parties 9especiall" when nature of work re+uires a longer period: c. the e$plo"er gives the e$plo"ee a second chance to pass the standards set uic k- $pr i$ es e7 -I 88 69 U nco s ed: Ter)ination o% Probationar( E)$lo()ent ar e and needed to s ee t a dec o$ pr ess or a. !ust E authori5ed causes his pi ct ur e. ). when he fails to +ualif" as a regular e$plo"ee in accordance with reasona)le standards $ade known )" the e$plo"er to e$plo"ee at the ti$e of his engage$ent If allowed to work after the pro)ationar" period, he shall )e considered a REFU(3R e$plo"ee

1age %% of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Work or services to )e perfor$ed is seasonal in nature and the e$plo"$ent is for the duration of the season Facienda 8ati a v. ,ational 8ederation of Su(arcane Dor9ers.8ood and *eneral ?rade, *+ ,o. 14/44", !2 0anuary !""3 -he fact that seasonal workers do not work continuousl" for one 94: whole "ear )ut onl" for the duration of the season does not detract fro$ considering the$ in regular e$plo"$ent since in a litan" of cases, the *ourt has alread" settled that seasonal workers who are called to work fro$ ti$e to ti$e and are te$poraril" laid off during off'season are not separated fro$ service in said period, )ut $erel" considered on leave until re'e$plo"ed. Workers who have perfor$ed the sa$e tasks ever" season for several "ears are considered regular e$plo"ees for their respective tasks. B SEC@RIT: O; TEN@RE Art. !1/. Security of tenure 3pplies to all esta)lish$ent or undertakings whether for profit or not 1ro!ect e$plo"ees have no securit" of tenure. 9see how full )ackwages are co$puted: 8ull )ackwages are co$puted fro$ the ti$e wages are withheld up to the ti$e the e$plo"ee is actuall" reinstated. In the case of pro!ect e$plo"ees, "ou cannot de$and wages for the ti$e when there is no pro!ect. -hus, ;&G does not appl" to pro!ect e$plo"ees. C *@ST CA@SES, A@T5ORINED CA@SES, CONSTR@CTIDE DIS-ISSAL Art. !2!. 0ust Causes for ?er ination by e ployer !ro'n"s2 8So-e 7iD !AN ;7eT CO9 4. Serious Misconduct or Willful Diso)edience )" the e$plo"ee of the lawful orders of his e$plo"er or representative in connection with his work 9work'related: ;. Fross 3nd ha)itual Ceglect )" the e$plo"ee of uic ki$ e7 -I 88 69 U nco $pr es s ed: his duties ar e and needed to s ee t o$ )" pr a ess or 3. 8raud or Willful dec )reach e$plo"ee of the -rust his pi ct ur e. reposed in hi$ )" his e$plo"er or dul" authori5ed representative 9not $ere suspicion: . *o$$ission of a *ri$e or offense )" the e$plo"ee against the person of his e$plo"er or an" i$$ediate $e$)er of his fa$il" or dul" authori5ed representative #. 2ther analogous cases

Serio's -iscon"'ct I$proper or wrong conduct? the transgression of so$e esta)lished and definite rule of action, a for)idden act, a dereliction of dut", willful in character, and i$plies wrongful intent and not $ere error in !udg$ent. -o )e serious within the $eaning and intend$ent of the law, the $isconduct $ust )e of such grave and aggravated character and not $erel" trivial or uni$portant 9Villa$or Folf *lu) v. 1ehid, L B#to$er 2!!5) Ele)ents o% Serio's -iscon"'ct 4. serious? ;. relate to the perfor$ance of the e$plo"ee/s duties? 3. e$plo"ee has )eco$e unfit to continue working for the e$plo"er 91hil. 3eolus v C(R*, ;LLL: Ele)ents o% 7ill%'l Disobe"ience 4. e$plo"ee/s assailed conduct was willful or intentional, the willfulness )eing characteri5ed )" a wrongful and perverse attitude? ;. the order violated $ust have )een reasona)le, lawful, $ade known to the e$plo"ee and $ust pertain to the duties which he has )een engaged to discharge 9Micro Sales 2peration Cetwork v. '(RC 11 B#to$er 2!!5) !ross an" 5abit'al Neglect FR2SS and @3,I-U3( $ust concur together. I$plies a want or a)sence of or failure to e.ercise slight care or diligence, or the entire a)sence of care. It evinces a thoughtless disregard of conse+uences without e.erting an" effort to avoid the$. 1revious infractions )" the e$plo"ee should have )een acted upon appropriatel" )" the e$plo"er )efore ter$inating the for$er. ;ra'" or 7ill%'l Breac& o% Tr'st *an )e co$$itted onl" )" confidential and $anagerial e$plo"ees ' confidential e$plo"ees B charged with custod" and protection of e$plo"er/s propert" like a cashier 9this is different fro$ the Mconfidential emplo5eesG in la$or relations) 3 cri$inal case need not )e actuall" filed. *o$$ission of acts constituting a cri$e is sufficient. Analogo's Cases4 E0a)$les violation of safet" rules gross inefficienc" wrongful acts of e$plo"ee against the co$pan" violation of code of discipline 1age %& of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 failure to heed an order not to !oin an illegal picket i$$oralit" se.ual harass$ent Art. !23. Aut&ori=ed Causes for ?er ination Frounds= 4. Introduction of la)or'saving devices ;. Redundanc" 3. Retrench$ent . *losure of )usiness as a result of grave financial loss #. *losure not due to losses Re"'n"anc( Redundanc" e.ists where the services of an e$plo"ee are in e.cess of what is reasona)l" de$anded )" the actual re+uire$ents of the enterprise. 3 position has )eco$e superfluous as an outco$e of a nu$)er of factors such as overhiring of workers, decreased volu$e of )usiness, dropping of a particular product line or service activit" previousl" $anufactured or undertaken )" the enterprise 9thus it onl" re+uires superfluit" not duplication of work: -he redundanc" S@2U(D C2- have )een created )" the EM1(2OER. Dali"it( o% a Re"'n"anc( Progra) DA% v. CA, *+ ,o. 16#211, 14 Dece ber !""# -he e$plo"er $ust co$pl" with the following re+uisites to ensure the validit" of the redundanc" progra$= 4. a written notice served on )oth the e$plo"ees and the Depart$ent of (a)or and E$plo"$ent 9D2(E: at least one $onth prior to the intended date of retrench$ent ;. pa"$ent of separation pa" e+uivalent to at least one $onth pa" or at least one $onth pa" for ever" "ear of service, whichever is higher 3. good faith in a)olishing the redundant positions . fair and reasona)le criteria in ascertaining what positions are to )e declared redundant and accordingl" a)olished uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e needed to s ee t and a Retrenc&)ent dec o$ pr ess or pi ct ur Resorted pri$aril"his to avoid or e. $ini$i5e )usiness losses. Stan"ar"s to *'sti%( Retrenc&)ent 4. -he losses e.pected should )e su)stantial and not $erel" de $ini$is in e.tent. 2. 7)e su$stantial loss appre)en-e- must $e reasona)l" i$$inent. 3. It )e reasona)l" necessar" and likel" to effectivel" prevent the e.pected losses. -he e$plo"er should have taken other $easures prior or parallel to retrench$ent to forestall losses. . -he alleged losses if alread" reali5ed, and the e.pected i$$inent losses $ust )e proved )" sufficient and convincing evidence. 92riental 2etroleum @ 0inerals Corp. v 6uentes 1% B#to$er 2!!5) Difference )etween redundanc" and retrench$ent= In redundanc", co$pan" has no financial pro)le$s? in retrench$ent, co$pan" suffers fro$ financial pro)le$s. Clos're Not D'e to Losses In cases of closure not due to losses, it $ust C2- )e in ,3D 83I-@. If the dis$issal is )ased on a !ust cause under 3rticle ;J; )ut the e$plo"er failed to co$pl" with the notice re+uire$ent, the sanction to )e i$posed upon hi$ should )e te$pered )ecause the dis$issal process was, in effect, initiated )" an act i$puta)le to the e$plo"ee. If the dis$issal is )ased on an authori5ed cause under 3rticle ;J3 )ut the e$plo"er failed to co$pl" with the notice re+uire$ent, the sanction should )e stiffer )ecause the dis$issal process was initiated )" the e$plo"er/s e.ercise of his $anage$ent prerogative Constr'cti/e Dis)issal 4. Co for$al dis$issal ;. -he e$plo"ee is placed in a situation )" the e$plo"er such that his continued e$plo"$ent has )eco$e UC,E3R3,(E. @eterans Security A(ency v. @ar(as, *+ ,o. 1#/!/3. 16 Dece ber !""# *onstructive dis$issal e.ists when an act of clear discri$ination, insensi)ilit" or disdain on the part of the e$plo"er has )eco$e so un)eara)le as to leave an e$plo"ee with no choice )ut to forego continued e$plo"$ent. 3)andon$ent, as a !ust and valid cause for ter$ination, re+uires a deli)erate and un!ustified refusal of an e$plo"ee to resu$e his work, coupled with a clear a)sence of an" intention of returning to his or her work. 3)andon$ent is inco$pati)le with constructive dis$issal.

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 3rticle ;J% applies onl" when there is a )ona fide suspension of the e$plo"er/s operation of a )usiness or undertaking for a period not e.ceeding % $onths. In securit" agenc" parlance, )eing placed Moff detailN or on MfloatingN status $eans Mwaiting to )e posted.N It is the inherent prerogative of an e$plo"er to transfer and reassign its e$plo"ees to $eet the re+uire$ents of its )usiness. ,e that as it $a", the prerogative of the $anage$ent to transfer its e$plo"ees $ust )e e.ercised without grave a)use of discretion. -he e.ercise of the prerogative should not defeat an e$plo"eeKs right to securit" of tenure. -he e$plo"er/s privilege to transfer its e$plo"ees to different workstations cannot )e used as a su)terfuge to rid itself of an undesira)le worker. Art. !24. Disease as (round for ter ination Disease as !ro'n" %or Ter)ination When his continued e$plo"$ent is prohi)ited )" law or pre!udicial to his health or to the health of his co'e$plo"ees -here is a certification )" a co$petent pu)lic health authorit" that the disease is of such nature or at such stage that it cannot )e cured within a period of % $onths even with proper $edical treat$ent -he re+uire$ent for a $edical certificate cannot )e dispensed with? otherwise, it would sanction the unilateral and ar)itrar" deter$ination )" the e$plo"er of the gravit" or e.tent of the e$plo"ee/s illness and thus defeat the pu)lic polic" on the protection of la)or. 9Manl" E.press v. 2a5ong 25 B#to$er 2!!5) Art. !2#. ?er ination by e ployee Ter)ination wit&o't *'st Ca'se 4. at least 4 $onth prior notice ;. e$plo"ee $a" )e held lia)le for da$ages for failure to give notice Ter)ination wit& *'st Ca'se 4. Frounds a. serious insult on the honor and person of e$plo"ee )" the 6 e$plo"er his e7 uic k-or i$ -I 88 9 U nco $pr es s ed: representative ar e and needed to s ee t decun)eara)le o$ pr a ess or ). inhu$ane and treat$ent his pi ct ur e. accorded to the e$plo"ee c. co$$ission of a cri$e against person of the e$plo"ee or an" of the i$$ediate $e$)ers of his fa$il" d. other causes analogous to the foregoing ;. Cotice not necessar" Resigning e$plo"ee not entitled to separation pa", unless co$pan" polic" gives it. No Se$aration Pa( in resignation4 E0ce$tions4 7ai/ers an" O'itclai)s, w&en /ali" Candido Alfaro v. CA, et al., *+ ,o. 14"21!, !2 Au(ust !""1 Fenerall", separation pa" need not )e paid to an e$plo"ee who voluntaril" resigns. @owever, an e$plo"er who agrees to e.pend such )enefit as an incident of the resignation should not )e allowed to renege in the perfor$ance of such co$$it$ent. Cot all waivers and +uitclai$s are invalid as against pu)lic polic". If the agree$ent was voluntaril" entered into and represented a reasona)le settle$ent, it is )inding on the parties and $a" not later )e disowned, si$pl" )ecause of a change of $ind. Art. !26. D&en e ploy ent not dee ed ter inated -he )ona'fide suspension of the operation of a )usiness or undertaking for a period not e.ceeding % $onths, or the fulfill$ent )" the e$plo"ee of a $ilitar" or civic dut" shall not ter$inate e$plo"$ent. In all such cases, the e$plo"er shall reinstate the e$plo"ee to his for$er position without loss of seniorit" rights if he indicates his desire to resu$e his work not later than one 94: $onth fro$ the resu$ption of operations of his e$plo"er or fro$ his relief fro$ the $ilitar" or civic dut". Te)$orar( La(<o%% Must not e.ceed % $onths. O$tions o% e)$lo(er 8i e sec'rit( agenc(9 in case o% $'ll o't b( client2 4. retrench$ent B $ust give notice 4 $onth )efore retrench$ent? pa" separation pa" ;. closure B $ust co$pl" with 4 $onth advanced notice? no need to pa" separation pa" Aban"on)ent $eans the deli)erate, un!ustified refusal of an e$plo"ee to resu$e hisEher e$plo"$ent Two ele)ents )'st be $ro/e" 4. the intention to a)andon ;. an overt act fro$ which it $a" )e inferred that the e$plo"ee has no $ore intent to resu$e hisEher work

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 -his is negated )" i$$ediate filing of an action for I((EF3( DISMISS3(. E)$lo()ent Not Dee)e" Ter)inate" a. )ona fide suspension of the operation of a )usinessEundertaking for a period of not $ore than % $onths ). fulfill$ent )" the e$plo"ee of a $ilitar" or civic dut" E$plo"er shall reinstate the e$plo"ee to his for$er position without loss of seniorit" rights I8 e$plo"ee indicates his desire to resu$e his work not later than 4 $onth fro$ resu$ption of operations of his e$plo"er or his relief fro$ the $ilitar" or civic dut" Pre/enti/e S's$ension !ustified where the e$plo"ee/s continued e$plo"$ent poses a serious and i$$inent threat to the life or propert" of the e$plo"er or of his co'workers 9there is a RE3S2C3,(E 12SSI,I(I-O of the e$plo"ee posing such a threat: $ust not e.ceed 4 $onth It is onl" for the purpose of investigating the offense to deter$ine whether he is to )e dis$issed or not. I- IS C2- 3 1EC3(-O. if $ore than 4 $onth, the e$plo"ee $ust )e actuall" reinstated or reinstated in the pa"roll officers lia)le onl" if with $alice and )ad faith ;loating Stat's It is legal, such as in the case of securit" guards who have no assign$ent. Such a status should not e.ceed si.'$onths? if it does, it a$ounts to a dis$issal. D D@E PROCESS Art. !11. Miscellaneous %rovisions 9): Su)!ect to the constitutional right of workers to securit" of tenure and their right to )e protected against dis$issal e.cept for a !ust and authori5ed cause and without pre!udice to the re+uire$ent of notice under 3rticle ;J3 of this *ode, the e$plo"er shall furnish the worker whose e$plo"$ent is sought uic k- $pr i$ es e7 to )e ter$inated a -I written notice containing a 88 6 9 U nco s ed: ar e needed to s ee t and a state$ent of the causes for ter$ination and shall dec o$ pr ess or his pi ct ur e.to )e heard and to afford the latter a$ple opportunit" defend hi$self with the assistance of his representative if he so desires in accordance with co$pan" rules and regulations pro$ulgated pursuant to guidelines set )" the Depart$ent of (a)or and E$plo"$ent. 3n" decision taken )" the e$plo"er shall )e without pre!udice to the right of the worker to contest the validit" or legalit" of his dis$issal )" filing a co$plaint with the regional )ranch of the Cational (a)or Relations *o$$ission. -he )urden of proving that the ter$ination was for a valid or authori5ed cause shall rest on the e$plo"er. -he Secretar" of the Depart$ent of (a)or and E$plo"$ent $a" suspend the effects of the ter$ination pending resolution of the dispute in the event of a pri$a facie finding )" the appropriate official of the Depart$ent of (a)or and E$plo"$ent )efore who$ such dispute is pending that the ter$ination $a" cause a serious la)or dispute or is in i$ple$entation of a $ass la"' off. In cases of dis$issal, e$plo"er has the )urden of proof to show that the dis$issal falls under the !ust and authori5ed causes. 9-olentino v. 2("7 /R 'o. 1&!%!% !8 ?une 2!!5) Due process refers to the process to )e followed? )urden of proof refers to the a$ount of proof to )e adduced In $one" clai$s, the )urden of proof as to the a$ount to )e paid the e$plo"ee rests upon the e$plo"er since he is in custod" of docu$ents that would )e a)le to prove the a$ount due, such as the pa"roll. In cases of !ust and authori5ed causes, due process $ust )e o)served. D'e Process ReF'ire)ents 'n"er Art 277 8b9 *'st Ca'ses 82>29 A't&ori+e" Ca'ses 82>B9 -win Cotice 9,efore and 2ne notice onl" 3fter Investigation ' notice to e$plo"ee4 ' notice of the charge $onth )efore ' notice that e$plo"ee installation of (SD, is guilt" 9after retrench$ent, or investigation: closure ' 4 $onth advanced Investigation notice to D2(E Non<co)$liance wit& "'e $rocess reF'ire)ents ,efore the 3ga)on case, the doctrine in Serrano v. '(RC (/R 'o. 113!%! 23 ?anuar5 2!!!) 1as followed. It states that ter$ination due to authori5ed cause without giving the notice re+uired under the (a)or *ode is not a violation of due process. It is valid although declared irregular E ineffectual. @e shall however )e entitled to SE13R3-I2C 13O 3CD ,3*AW3FES. A(abon v. ,-+C, 11 ,ove ber !""4 odifies Serrano Dis$issal for an authori5ed or !ust cause, wEo procedural due process is not an illegal dis$issal 1age &L of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 which warrants )ackwages? e$plo"ee entitled onl" to no$inal da$ages. -he *ourt interpreted 3rt. ;&G to the effect that ter$ination is illegal onl" if it is not for an" of the !ustified or authori5ed causes provided )" law. 1a"$ent of )ackwages and other )enefits, including reinstate$ent, is !ustified onl" if the e$plo"ee was un!ustl" dis$issed. -he *ourt decided to follow Wenphil that where the dis$issal is for a !ust cause, the lack of statutor" due process should not nullif" the dis$issal or render it illegal. @owever, the e$plo"er should inde$nif" the e$plo"ee for the violation of his rights. -he inde$nit" should )e stiffer than that provided in Wenphil to discourage the a)horrent practice of Mdis$iss now, pa" later.N -he inde$nit" should )e in the for$ of no$inal da$ages, which is ad!udicated in order that a right of plaintiff, which has )een violated )" the defendant, $a" )e vindicated. 0a9a 8ood %rocessin( v. %acot, !2 Marc& !""# If the dis$issal is )ased on a !ust cause under 3rticle ;J; )ut the e$plo"er failed to co$pl" with the notice re+uire$ent, the sanction to )e i$posed upon hi$ should )e te$pered )ecause the dis$issal process was, in effect, initiated )" an act i$puta)le to the e$plo"ee. 2n the other hand, if the dis$issal is )ased on an authori5ed cause under 3rticle ;J3 )ut the e$plo"er failed to co$pl" with the notice re+uire$ent, the sanction should )e stiffer )ecause the dis$issal process was initiated )" the e$plo"er/s e.ercise of his $anage$ent prerogative. S* distinguished )etween non'co$pliance of due process re+uire$ents in !ust and authori5ed causes. 3uthori5ed causes B 1hp #L,LLL no$inal da$ages >ust causes B 1hp 3L,LLL no$inal da$ages 9)ecause in !ust causes, e$plo"ee is )eing dis$issed due to his fault: Industrial ?i ber Corp. v. Ababon, 3" Marc& !""6 8actors to )e taken into account in the deter$ination of the a$ount of no$inal da$ages in dis$issal cases= 4. the authori5ed cause invoked, whether it was a retrench$ent or a closure or cessation of operation of the esta)lish$ent due to serious 69 U uic k- $pr i$ es e7 )usiness losses financial reverses or s ed: -I or 88 nco ar e needed to s ee t and a otherwise dec o$ pr ess or his pi ct to ur)e e. awarded ;. the nu$)er of e$plo"ees 3. the capacit" of the e$plo"ers to satisf" the awards, taken into account their prevailing financial status as )orne )" the records . the e$plo"erKs grant of other ter$ination )enefits in favor of the e$plo"ees #. whether there was a )ona fide atte$pt to co$pl" with the notice re+uire$ents as opposed to giving no notice at all. S* reduced the no$inal da$ages fro$ 1hp 3L,LLL to 1hp 4L,LLL. Agabon not gi/en retroacti/e e%%ect -he principle in law giving retroactive effect where the su)se+uent law is corrective in character does not necessaril" appl" to !udicial decisions. Unless the S* provides otherwise, the ruling would have no retroactive effect. E RELIE;S ;OR ILLE!AL DIS-ISSAL 4. ,ackwages T Reinstate$ent without loss of seniorit" rights, or if reinstate$ent i$possi)le ;. ,ackwages T Separation 1a" Where reinstate$ent is ordered, )ut the position is alread" filled up, the dis$issed e$plo"ee $ust still )e reinstated if it is still possi)le. Cases w&ere reinstate)ent is i)$ossible 4. Doctrine of Strained Relations 9applies to confidential and $anagerial e$plo"ees onl": ;. In case of position has )een a)olished 9applies to )oth $anagerial and rank and file: Moral and e.e$plar" da$ages $a" also )e awarded. Co)$'tation o% Se$aration Pa( Installation of la)or' 4 $onth pa" or 4 $onth saving devices pa" for ever" "ear of service whichever is Redundanc" higher. 1 mont) pa5 ,or ever5 5ear is al1a5s )ig)er i, t)e emplo5ee )as serve- ,or more t)an 1 5ear. 4 $onth pa" or at least 4E; $onth pa" for ever" "ear of service whichever is higher

Retrench$ent to prevent losses *losures or cessation of operations of esta)lish$ents or undertaking C2- due to serious )usiness losses or financial reverses Disease *losures or cessation of operations due to serious )usiness losses or financial reverses

no separation pa"

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 \ a fraction of at least % $onths is considered 4 "ear If the retrench$ent is later declared illegal, separation pa" of 4 $onth for ever" "ear shall )e paid. Such co$putation is )ecause the retrench$ent was illegal and the e$plo"ee was entitled to reinstate$ent. Reinstate)ent4 $a()ent o% bac1wages ?riad Security < Allied Services, Inc, et al. v 6rte(a, *+ ,o. 16"211, "6 8ebruary !""6 3n order of reinstate$ent )" the la)or ar)iter is not the sa$e as actual reinstate$ent of a dis$issed or separated e$plo"ee. -hus, until the e$plo"er continuousl" fails to actuall" i$ple$ent the reinstate$ent aspect of the decision of the la)or ar)iter, their o)ligation to the illegall" dis$issed e$plo"ee, insofar as accrued )ackwages and other )enefits are concerned, continues to accu$ulate. It is onl" when the illegall" dis$issed e$plo"ee receives the separation pa" 9in case of strained relations: that it could )e clai$ed with certaint" that the EER has for$all" ceased there)" precluding the possi)ilit" of reinstate$ent. In the $eanti$e, the illegall" dis$issed e$plo"ee/s entitle$ent to )ackwages, 43th $onth pa", and other )enefits su)sists. Until the pa"$ent of separation pa" is carried out, the e$plo"er should not )e allowed to re$ain unpunished for the dela", if not outright refusal, to i$$ediatel" e.ecute the reinstate$ent aspect of the la)or ar)iter/s decision. 8urther, the e$plo"er cannot refuse to reinstate the illegall" dis$issed e$plo"ee )" clai$ing that the latter had alread" found a !o) elsewhere. Mini$u$ wage earners are left with no choice after the" are illegall" dis$issed fro$ their e$plo"$ent, )ut to seek new e$plo"$ent in order to earn a decent living. Surel", we could not fault the$ for their perseverance in looking for and eventuall" securing new e$plo"$ent opportunities instead of re$aining idle and awaiting the outco$e of the case. Relie%s o% local wor1ers /s )igrant wor1ers Art 27C, LC Sec =0, RA >0A2 8local wor1ers9 8)igrant wor1ers9 Reinstate$ent 8ull rei$)urse$ent of uic k- $pr i$ es e7 -I 88 69his U nco s with ed: place$ent fee ar e and needed to s ee t a dec o$ pr ess or interest of 4;R per his pi ct ur e. annu$ 8ull )ackwages fro$ the Salaries for the ti$e his co$pensation une.pired portion of his was withheld fro$ hi$ e$plo"$ent contract or up to the ti$e of his for 3 $onths for ever" actual reinstate$ent "ear of the une.pired ter$, whichever is less \ without valid, !ust, or authori5ed cause -he option of Mthree $onths for ever" "earN is availa)le onl" if the e$plo"$ent is for at least one "ear. If the contract is shorter, the salar" to )e paid should )e that for the une.pired portion. 9Marsa$an 0anning Agen#5 v. '(RC 25 August 1999) ; RETIRE-ENT Art. !21. +etire ent 9as a$ended )" the Retire$ent 1a" (aw B R3 &% 4: E0e)$te"2 retail, service, agricultural esta)lish$ents operations e$plo"ing not $ore than 4L e$plo"ees 3in"s 4. 21-I2C3( B %L "ears old E # "ears in service 9includes authori5ed a)sencesEvacationsEregular holida"sE$andator" $ilitar" or civic service:. -his depends on the stipulations in the *,3, co$pan" retire$ent plan, or e$plo"$ent contract. ;. *2M1U(S3RO B %# "ears oldE regardless or "ears of service 9co$pan" not )ound to dis$iss e$plo"ee: Bene%its 4E; $onth salar" per "ear of service which shall include= 4. 4#'da" )asic wage, plus ;. 4E4; of the 43t h $onth pa", plus 3. #'da" Service incentive leave pa" plus . other )enefits as $a")e agreed upon )" e$plo"er and e$plo"ee (a ,ra#tion o, at least & mont)s #onsi-ere- as 1 5ear) Mini$u$ )enefits to )e received U 9no. 4 T no. ; T no. 3: . "ears of service If *,3 E retire$ent plan has no prohi)ition, an e$plo"ee can get pa" under the law, *,3, and the retire$ent plan. If what is provided in the *,3 is lower that what is provided for in law, the e$plo"ee is entitled to the higher a$ount. DI DISP@TE SETTLE-ENT A *@RISDICTIONS O; T5E DI;;ERENT A!ENCIES B'rea' o% Labor Relations 2riginal !urisdiction= appeal to D2(E Secretar"

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 3ppellate !urisdiction= decision shall )e i$$ediatel" e.ecutor" upon issuance of entr" of final !udg$ent? can )e reviewed )" the *3 in a petition for certiorari under Rule %# *'ris"iction 4. Inter'union conflicts ;. Intra'union conflicts 3. 3ll disputes, grievances or pro)le$s arising fro$ or affecting la)or'$anage$ent relations in all workplaces EW*E1- those arising fro$ the i$ple$entation or interpretation of the *,3 which shall )e the su)!ect of grievance procedure andEor voluntar" ar)itration . *o$plaint involving federations, national unions, industr" unions, its officers or $e$)er organi5ations Co)$ro)ise Agree)ents If voluntaril" agreed upon )" the parties with the assistance of the ,(R or the regional office of D2(E final and )inding upon the parties -he onl" ti$e C(R* or an" courts can assu$e !urisdiction over issues involved therein= a. in case of non'co$pliance thereof ). if there is pri$a facie evidence that the settle$ent was o)tained through fraud, $isrepresentation or coercion Power to Iss'e S'b$oena When relevant to a la)or dispute under its !urisdiction either at the re+uest of an" interested part" or at its own initiative Pri/ilege" Co))'nication Infor$ation and state$ents $ade at conciliation $eetings shall C2- )e used as evidence in the C(R* *onciliators and si$ilar officials shall not testif" in an" court or )od" regarding an" $atters taken up at conciliation proceeding conducted )" the$ A$$eal within 4L da"s to the D2(E Sec retar" Frounds= a. grave a)use of discretion ). gross inco$petence uic k- $pr i$ es e7 -I 88 69 U nco s ed: ar e needed to s ee t and a Marino, 0r., et. al. dec v. *a et. or al., 31 0anuary o$ illa, pr ess his pi ct ur e. !""# Issue= Does the )ureau of la)or relations have !urisdiction over clai$s for actual, $oral, e.e$plar" and other for$s of da$ages arising fro$ intra'union or inter'union disputes[ @eld= Co. Unlike the C(R* which is e.plicitl" vested with the !urisdiction over clai$s for actual, $oral, e.e$plar" and other for$s of da$ages, the ,(R is not specificall" e$powered to ad!udicate clai$s of such nature arising fro$ intra'union or inter'union disputes. 3s long as the agree$ent is voluntaril" entered into and has a reasona)le award, it is valid. It $ust )e approved )" the (3 9C(R* Rules: 3t the D2(E Secretar"/s level, the Secretar" $ust approve. 2n appeal, the C(R* $ust approve the agree$ent. 3n offer to settle is not proof that so$ething is due to the e$plo"ee. Mindoro -u ber and Fard4are v. )duardo D. 'acay, et. al., "2 0une !""# 3rticle ;&& of the la)or code states that an" co$pro$ise settle$ent, including those involving la)or standard laws, voluntaril" agreed upon )" the parties with the assistance of the ,ureau or the regional office of the Depart$ent of (a)or shall )e final and )inding upon the parties. ]3/, a $e$)er of a la)or union and a part" to a la)or dispute e.ecuted a co$pro$ise settle$ent. @e appeared )efore the 2ffice of the Regional Director to file said co$pro$ise settle$ent together with a $otion to dis$iss the case. Issue= Is the co$pro$ise settle$ent in co$pliance with 3rticle ;&&[ @eld= -he assistance of the ,(R or the regional office of the D2(E in the e.ecution of a co$pro$ise settle$ent is a )asic re+uire$ent. Without it, there can )e no valid co$pro$ise settle$ent. Mere appearance )efore ,(R or the regional office of the D2(E to file the alread" e.ecuted co$pro$ise settle$ent is not the MassistanceN re+uired )" the law. 3s such, the co$pro$ise settle$ent e.ecuted )" ]3/ cannot +ualif" as a valid co$pro$ise settle$ent. *'ris"iction o% Labor Arbiters 4. U(1 9priorit" resolved within 3L cal da"s fro$ su)$ission for decision: ;. ter$ination disputes 3. clai$s for wages, rates of pa", hours of work and other ter$s and conditions of e$plo"$ent . clai$s for actual, $oral, e.e$plar" and other for$s of da$ages arising fro$ e$plo"er' e$plo"ee relationship 1age &3 of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 #. cases arising fro$ prohi)ited activities during strikes, including +uestions involving the legalit" of strikes and lockouts %. all other clai$s arising fro$ e$plo"er'e$plo"ee relationship involving an a$ount e.ceeding 1#LLL regardless of whether acco$panied )" a clai$ for reinstate$ent e.cept E**, SSS, Medicare, Z $aternit" )enefits &. Wage distortion cases in unorgani5ed esta)lish$ents J. 3ll $onetar" clai$s of 28Ws arising fro$ EER or )" virtue of an" law or contract involving 8ilipino workers for overseas deplo"$ent, including clai$s for actual, $oral, e.e$plar" and other for$s of da$ages 9R3 JL ;: G. Enforce$ent of co$pro$ise agree$ents when there is non'co$pliance )" an" of the parties pursuant to 3rt. ;;& of the *ode 9Sec. 4, Rule V, ;LL# C(R* Rules: Coo$erati/es -er$ination of $e$)ers of cooperatives is not cogni5a)le )" the (3 9$e$)ers are not e$plo"ees: (3 has !urisdiction over illegal dis$issal cases involving e$plo"ees of cooperatives LA "oes NOT &a/e M'ris"iction o/er Intra'corporate disputes *ases involving corporate officers 9)ec. the" are not e$plo"ees: B ,U- in 1rudential ,ank v. Re5es (/.R. 'o. 1%1!93 2! 6e$ruar5 2!!1) it was held that an e$plo"ee who rose fro$ the ranks is a regular e$plo"ee and not a $ere corporate officer *ases involving F2**s with original charters *ases involving entities i$$une fro$ suit 9e.cept when the entit" perfor$s proprietar" functions: (ocal water districts 9since the" are +uasi'pu)lic corporations: 3ctions )ased on tort 9-olosa v. C(R*, 4L 3pril 2!!3 9 Claim o, a seaman ,or -amages is un-er torts, regular court has !urisdiction.: *'ris"iction o% t&e NLRC 4. 2riginal >urisdiction a. In!unction in ordinar" la)or disputes to en!oin 69 U uic k- $pr i$ es e7 or restrain -I an" actual or threatened 88 nco s ed: ar e needed to s ee and a co$$ission of o$ an" pr or ess all prohi)ited or t dec or his pi re+uire ct ur e. the perfor$ance of unlawful acts or to a particular act in an" la)or dispute which, if not restrained or perfor$ed forthwith , $a" cause grave or irrepara)le da$age to an" part" ). In!unction in strikes or lockouts under 3rt. ;% c. *ertified la)or dispute causing or likel" to cause a strike or lockout in an industr" indispensa)le to the national interest, certified to it )" the D2(E Secretar" for co$pulsor" ar)itration ;. E.clusive 3ppellate >urisdiction a. 3ll cases decided )" the (3s, including conte$pt cases ). *ases decided )" the D2(E Regional Directors or his dul" authori5ed hearing officers involving recover" of wages, si$ple $one" clai$s and other )enefits not e.ceeding 1hp #,LLL and not acco$panied )" a clai$ for reinstate$ent 2*U(3R ICS1E*-I2C )" (a)or 3r)iter Z C(R* at an" ti$e during working hours *'ris"iction o% t&e POEA *ancellation E Suspension of (icense of 3uthorit" to recruit of Recruit$ent 3gencies 9until phase out within # "ears as provided in R3 JL ;: Disciplinar" 3ction against 28Ws 3ppeal to Secretar" of D2(E within 4L calendar da"s cancellationE revocationE supervision of license or authorit" 3ppeal to C(R* within 4L calendar da"s 4. violation of overseas e$plo"$ent contracts ;. disciplinar" cases filed against overseas contract workers *'ris"iction o% DOLE Regional Directors 4. visitorial power 93rt. 4;J: ;. clai$s not e.ceeding 1hp #,LLL 93rt. 4;G: 3. violation of the constitution Z )"'laws and rights Z conditions $e$)ership . inter'union and intra'union disputes involving independent unions and chartered locals *'ris"iction o% t&e NC-B conciliation, $ediation, and voluntar" ar)itration cases 8SEE ANNEJ L9 B PROCED@RE Art. !!1. ?ec&nical rules not bindin( and prior resort to a icable settle ent Art. !!!. Appearances and 8ees -he rules of evidence prevailing in courts of law or e+uit" shall not )e controlling. It is the spirit and intention of this *ode which shall )e used as reasona)le $eans to ascertain the facts in each case 1age & of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Without regard to technicalities of law and procedure all in the interest of due process 1arties $a" )e represented )" legal counsel )ut it shall )e the dut" of the *hair$an, an" presiding *o$$issioner or an" la)or ar)iter to e.ercise co$pete control of the proceedings at all stages FR= -he onl" wa" to ac+uire !urisdiction is to serve su$$ons Voluntar" appearance of the law"er a$ounts to voluntar" su)$ission to the !urisdiction of the (3. (Santos v. '(RC /R 'o. 1!1&99 13 0ar#) 199&) 1a"$ent of docket fees is not re+uired in la)or standards clai$s under 3rt. ;&&9d:. EW*E1-= in case of )argaining deadlock, the fees are shared )" the parties 8ailure to i$plead a su)stitute part" is not a fatal defect. 9*hu v. 1asa!o, 43 3pril ;LL3: Sec. 3, Rule V of the C(R* Rules allows parties to su)$it position papers with attach$ents and the" can )e $ade )asis of the (3/s decision. @olding of trial on the $erits is discretionar" on the part of the (3. Due process in 3rt. ;&&9): 9ter$ination disputes: end line is hearing with representative of own choice Due process in 3rt. ;;4 opportunit" to )e heard It is wrong to appl" opportunit" )e heard in due process under 3rt. ;&&9):. Verification and *ertification of Con'8oru$ Shopping are re+uired ,U- 3rt. ;;4 can )e invoked. C(R* Rules provide that )efore deciding, (3 $ust infor$ parties that the case has )een su)$itted for decision. If this is not co$plied with, decision is still valid )ecause of 3rt. ;;4. 3rt. ;4J9c: cannot )e invoked to support a fault" decision of the (3. -he provision refers to a power of the C(R* and not the (3. C APPEALS Art. !!3. Appeal Art. !!4. )3ecution of decisions, orders or a4ards uic k- $pr i$ es e7 A$$eal o% LAGs Decision -I 88 69 U nco s ed: ar e and needed to 3r)iter s ee t is a 3ppeal fro$ the dec decision of the (a)or o$ pr ess or his appeal pi ct urto e.the C(R* within 4L )rought )" ordinar" calendar da"s fro$ receipt )" the part" of the decision. 8ro$ the decision of the C(R*, there is no appeal. -he onl" wa" to elevate the case to the *3 is )" wa" of the special civil action of certiorari under Rule %# of the Rules of *ivil 1rocedure. 8ro$ the ruling of the *ourt of the 3ppeals, it $a" )e elevated to the S* )" wa" of ordinar" appeal under Rule # of the Rules of *ivil 1rocedure. 9St. Martin 8uneral @o$e vs. C(R*, et al. /R 'o. 13!8&& 1& Septem$er 1998) !ro'n"s 4. pri$a facie evidence of a)use of discretion on the part of (3 ;. the decision, order or award was secured through fraud or coercion including graft and corruption 3. pure +uestions of law . raised serious errors in the findings of facts which could cause grave or irrepara)le da$age or in!ur" to the appellant #. additional Re+uire$ent= in case of !udg$ent involving a $onetar" award'e$plo"er 9appellant: $a" perfect the appeal onl" upon the posting of a cash or suret" )ond issued )" a reputa)le )onding co$pan" dul" accredited )" the C(R* in the a$ount e+uivalent to the $onetar" award in the !udg$ent appealed fro$ ReF'isites %or Per%ection o% A$$eal 4. filed within the regle$entar" period ;. Me$orandu$ of 3ppeal under oath 3. appeal fee . cash, propert", or suret" )ond, if !udg$ent involves $onetar" award #. proof of service to the adverse part" Proce"'re 4. 8ile Me$orandu$ of 3ppeal within 4L calendar da"s, counted fro$ receipt of decision ;. 2ther part" can file an 3nswer within ;L calendar da"s fro$ receipt of 3ppeal 3. C(R* decides . C(R* decision )eco$es final and e.ecutor" 4L da"s after it is rendered A$$eal In/ol/ing -onetar( Awar" Co $onetar" award, no appeal )ond re+uired If (3/s decision does not provide for a co$putation of the $onetar" award, no appeal )ond is re+uired to )e filed. ,ond should )e posted within the 4L'da" period for filing of appeal If no )ond is filed, appeal is not perfected Re$ed" in case of failure to post )ond, re$ed" is to file a $otion to dis$iss -otion to Re"'ce Bon"

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Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 Motion to reduce )ond does not toll the running of the period to perfect appeal In or"er to e%%ecti/el( sto$ t&e r'nning o% t&e $erio" wit&in w&ic& to $er%ect t&e a$$eal, t&e )otion to re"'ce bon" )'st co)$l( wit& t&e reF'isites t&at2 4. filed within the regle$entar" period ;. )ased on $eritorious grounds 3. a reasona)le a$ount of )ond in relation to the $onetar" award should )e posted together with said $otion 3 su)stantial $onetar" award, even if it runs into $illions, does not necessaril" give the e$plo"er' appellant a ]$eritorious case/ and does not auto$aticall" warrant a reduction of the appeal )ond. 9*ala)ash Far$ents v. C(R*, FR Co. 11!823 !8 August 199&) 1artial pa"$ent of the )ond is dee$ed su)stantial co$pliance with the rules while the $otion to reduce )ond is still pending with the C(R*. 0Rosewood 1rocessing v. C(R*, 3#; 1hil 1!13 (1998)] :ut t)e partial pa5ment must $e $ade within the regle$entar" period. 3n appellant cannot invoke financial difficulties as a ground in support of a Motion to Reduce ,ond. Suffice it to sa" that the law does not re+uire outright pa"$ent of the total $onetar" award, )ut onl" the posting of a )ond to ensure that the award will )e eventuall" paid should the appeal fail. 9-i$es -ransportation v. C(R*, FR Co. 1&338 1& 6e$ruar5 2!!5) En%orce)ent 3n" law enforce$ent agenc" $a" )e deputi5ed )" the D2(E Secretar" or the C(R* Issuance of writ of e.ecution on a !udg$ent within # "ears fro$ date it )ec o$es final and e.ecutor" $otu proprio or in $otion of an" interested part" Reinstate)ent Pen"ing A$$eal If reinstate$ent is ordered in an illegal dis$issal case, it is i$$ediatel" e.ecutor" even pending appeal Self'e.ecuting with no need for a writ of uic k- $pr i$ es e7 e.ecution -I 88 69 U nco s ed: ar e needed to s ee t and a Either ad$itted )ack to work under dec o$ pr ess or the sa$e his pi ct ur e. prior to his ter$s and conditions prevailing dis$issal or separation or $erel" reinstated in the pa"roll 9at the option of the e$plo"er, i.e. confidential e$plo"ee, )ut the choice $ust )e co$$unicated to the e$plo"ee )" the e$plo"er: 1osting of a )ond shall not sta" the e.ecution of reinstate$ent -he un!ustified refusal of the e$plo"er to reinstate an illegall" dis$issed e$plo"ee entitles the e$plo"ee to pa"$ent of his salaries. If despite several writs of e.ecution, the e$plo"er still refuses to reinstate the e$plo"ee, the re$ed" is not the grant of additional )ackwages to serve as da$ages )ut to file a $otion to cite the e$plo"er for conte$pt. 9*hristian (iterature Crusa-e v. '(RC 131 SCRA 312 1! April 1989) (3 upheld the validit" of the dis$issal? C(R* reversed. *3 held that dis$issal was valid. <*("H 7)e emplo5er is lia$le to pa5 ,or t)e salar" of the e$plo"ee previousl" ordered reinstated )" the C(R* although later on, the dis$issal of the e$plo"ee was held not to )e illegal. 9Ro+uero v. 13(, F.R. Co. 4#;3;G, ;; April 2!!3) If the for$er position is alread" filled up, the e$plo"ee ordered reinstated under 3rticle ;;3 should )e ad$itted )ack to work in a su)stantiall" e+uivalent position. 9Medina v. Consoli-ate- :roa-#asting S5stem 222 SCRA 3!3) A$$eal o% Dol'ntar( ArbitratorGs Decision 3ppeala)le )" ordinar" appeal under Rule 3 of the Rules of *ivil 1rocedure directl" to the *ourt of 3ppeals. 8ro$ the *3, the case $a" )e elevated to the Supre$e *ourt )" wa" of ordinar" appeal under the sa$e Rule #. 9(u5on Develop$ent ,ank v. Asso#iation o, (uCon "evelopment :an; *mplo5ees et al. /R 'o. 12!319 !& B#to$er 1995) A$$eal o% BLRGs Decision 4. Denial of application for registration of a union Denial )" the Regional 2ffice, appeal to the ,(R Denial is originall" $ade )" the ,(R, appeal $a" )e had to the D2(E Secretar" ;. *ancellation of registration of a union *ancellation )" the Regional 2ffice, appeal to the ,(R. *ancellation )" the ,(R in a petition filed directl", appeal to D2(E Secretar" )" ordinar" appeal 3. Decision of the ,(R rendered in its original !urisdiction $a" )e appealed to the D2(E Secretar" whose decision thereon $a" onl" )e elevated to the *3 )" wa" of certiorari under Rule %#. . Decision of the ,(R rendered in its appellate !urisdiction $a" not )e appealed to the D2(E Secretar" )ut $a" )e elevated directl" to the *3 )" wa" of certiorari under Rule %#. 93))ott 1age &% of J3

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 (a$oratories 2)ilippines +n#. vs. A$$ott (a$oratories *mplo5ees 8nion et al. /R 'o. 13133% 2& ?anuar5 2!!!) A$$eal o% Regional DirectorGs Decision 'n"er Art =2C 3ppeal to C(R* S'))ar( Decision of the Voluntar" 3r)iter B appeal to *3 under Rule 3 9(u5on Dev/t ,ank: Decision of the D2(E and other attached agencies 9including C(R*: should )e )rought to the *3 under Rule %# 9St. Martin 8uneral @o$es: Decision of the D2(E Secretar" B certiorari to the *3 under Rule %# 9C38(U v. (agues$a: 2rder of the Med'3r)iter in *E in organi5ed esta)lish$ents B not appeala)le under D2 L'L3 9;LL3:. -hus, the recourse is certiorari under Rule %#. Decisions of the ,(R in its appellateB certiorari under Rule %# 9US- E$plo"ees Union v. ,itonio: *ertiorari is not a su)stitute for lost appeal. 4L da"s to perfect appeal )" filing a Me$orandu$ of 3ppeal 1ropert" )ond is now allowed. 0UERM'Me$orial 0e-i#al Center v. '(RC 2&9 SCRA 3! (1993)] 3ppeal )ond $ust )e strictl" co$plied with. C(R* cannot resuscitate a lost appeal. 2nl" 4 MR is allowed. (3 cannot entertain an MR or a petition for relief of !udg$ent 3fter the decision has )eco$e final and e.ecutor", the writ of e.ecution is C2appeala)le. -o sta" writ of e.ecution, ask for an in!unction under 3rt. ;4J9e: 1eriod to appeal cannot )e e.tended ,U- in a nu$)er of cases, S* entertained appeals filed out of ti$e under the interest of !ustice rule 9esp. if the appellants are the e$plo"ees:. Doctrine of supervening event 9i.e. closure of co$pan": re+uires pa"$ent of separation pa" and full )ackwages up to the ti$e of the closure of the co$pan". uic ki$ es e7 Reinstate)ent Pen"ing A$$eal 8RPA9 -I 88 6 9 U nco $pr s ed: ar e needed to s ee t and a 4. Decision of the dec (3 o$ pr ess or ;. Independent right his pi ct ur e. 3. 1a"roll reinstate$ent . Receipt of (3/s decision Even if C(R* reverses (3 decision, the e$plo"ee is still entitled to the )enefit of R13. SOCIAL LE!ISLATION T5IRTEENT5<-ONT5 PA: 8PD >L=9 1age && of J3 C(R* cannot order a refund of )enefits or salaries. Rationale= for the e$plo"ee to earn after all he won in the (3 level -i$e to reckon reinstate$ent is the date of receipt of (3/s decision? not C(R* decision Relief of the e$plo"er is to ask for an in!unction under 3rt. ;4J9e: If the e$plo"ee is confidential, onl" pa"roll reinstate$ent is re+uired. DII PENAL PRODISIONS AND LIABILITIES Penalties %or Diolations o% t&e Pro/isions o% t&e Labor Co"e 8ine of 1hp 4,LLL to 1hp 4L,LLL, or i$prison$ent for 3 $onths to 3 "ears, or )oth at the discretion of the court. Persons liable i% an o%%ense is co))itte" b( a M'ri"ical $erson -he penalt" shall )e i$posed upon the guilt" officer or officers of such corporation, trust, fir$, partnership, association or entit". Prescri$ti/e $erio" o% o%%enses $enali+e" b( t&e Labor Co"e !R2 B (ears %ro) t&e ti)e t&e ca'se o% action accrued E0ce$tion2 @LP cases $rescribe wit&in = (ear %ro) accrual of such unfair la)or practice

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 =Bt& -ont& Pa( %or Certain T($es o% E)$lo(ees 4. E$plo"ees paid )" results B entitled to 43th $onth pa" ;. -hose with Multiple E$plo"ers B entitled to the 43th $onth pa" fro$ all their private e$plo"ers regardless of their total earnings fro$ each or all of their e$plo"ers 3. 1rivate School -eachers B entitled regardless of the nu$)er of $onths the" teach or are paid within a "ear, if the" have rendered service for at least 4 $onth within a "ear. =Bt& -ont& Pa( o% Resigne" or Se$arate" E)$lo(ee # entitle" to t&e bene%it in $ro$ortion to t&e length of ti$e he worked during the "ear, reckoned fro$ the ti$e he started working during the calendar "ear up to the ti$e of his resignation or ter$ination fro$ the service Ma" )e de$anded )" the e$plo"ee upon the cessation of EER. Non<incl'sion in Reg'lar 7age # bene%it nee" not )e credited as part of regular wage of e$plo"ees for purposes of deter$ining 2- pa" and pre$iu$ pa"s, fringe )enefits as well as contri)utions to the state insurance fund, Social Securit", Medicare, and private retire$ent plans ANTI<SEJ@AL 5ARASS-ENT ACT O; =CCL 8RA 7>779 7&ere Co))itte" working, education, training environ$ent 9WE-: 7&o Co))its 4. e$plo"er ;. e$plo"ee 3. $anager . supervisor #. agent of the e$plo"er %. teacher &. instructor J. professor G. coach 4L. trainor 44. an" other person having authorit", influence or $oral ascendanc" over another 5ow Co))itte" 1erson lia)le de$ands, re+uests, or otherwise re+uires an" se.ual favor fro$ the other, regardless of whether the de$and, re+uest or re+uire$ent for su)$ission is accepted )" the o)!ect of said 3ct 1age &J of J3

3ll e$plo"ers are re+uired to pa" all their rank' and'file e$plo"ees a 43th $onth pa" not later than Dece$)er ; of ever" "ear. Such e$plo"ees are entitled to the )enefit regardless of their designation or e$plo"$ent status and irrespective of the $ethod )" which their wages are paid, provided that the" have worked for at least 4 $o. during a calendar "ear. 43th Month 1a" B 4E4;th of the )asic salar" of an e$plo"ee within a calendar "ear Basic Salar( # incl'"es all re)'nerations or earnings paid )" an e$plo"er to an e$plo"ee for services rendered )ut does not include cost of living allowances 9*2(3:, profit'sharing pa"$ents and all allowances and $onetar" )enefits 9e.g. unused V( and sick leave credits, 2- pre$iu$, night differential and holida" pa": which are not considered or integrated as part of the regular or )asic salar" of the e$plo"ee. @owever, the a)ove should )e included in the co$putation if )" individual or collective agree$ent, co$pan" practice or polic". E0e)$te" E)$lo(ees2 4. Fovern$ent and an" of its political su)divisions, including F2**s, e.cept those corporations operating essentiall" as private su)sidiaries of the Fovern$ent? ;. E$plo"ers alread" pa"ing their e$plo"ees 43th $onth pa" or $ore in a calendar "ear or its e+uivalent at the ti$e of issuance of 1D J#4 MIts e+uivalentN B includes *hrist$as )onus, $id'"ear )onus, cash )onuses and other pa"$ents a$ounting to not less than 4E4; of the )asic salar" )ut shall not include cash and stock dividends, *2(3 and all other allowances regularl" en!o"ed )" the E/ee as well as non'$onetar" )enefits. 3. E$plo"ers of household helpers and persons in the personal service of another in relation to such workers . E$plo"ers of those who are paid on co$$ission, )oundar", or task )asis, and those who are paid a fi.ed a$ount for perfor$ance of a specific work, irrespective of the ti$e consu$ed in the perfor$ance thereof,6 EW*E1the uic k-where i$ es e7 -I on 88 a piece'rate 9 U nco $pr s which ed: workers are paid )asis, in ar e and needed to s ee t a dec o$ pr ess or case the e$plo"er grant hisshall pi ct ur e.the re+uired 43th $onth pa" to such workers. 1iece Rate B e$plo"ees who are paid a standard a$ount for ever" piece or unit of work produced that is $ore or less regularl" replicated, without regard to the ti$e spent in producing the sa$e.

criteria as $a" )e defined )" the *orporation in

Labor Law & Social Legislation S'))er Re/iewer Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 PENSIONER < It An is SSS the dul" or !SIS registered )e)ber e$plo"ees/ w&o organi5ation 7or1<Relate".E)$lo()ent having the support of the $a!orit" En/iron)ent, of the e$plo"ees Se0'al in the appropriate organi5ational unit 9^4L: 5arass)ent Co))itte" 7&en 4. -he se.ual < DEPENDENT favor T&e is legal $ade "e$en"ents as a condition o% a )e)ber Dol'ntar( are= a. in hiring Recognition or in the e$plo"$ent, ree$plo"$ent 3 dul" registered or continued e$plo"ees/ e$plo"$ent organi5ation of said individual shall )e accorded ;. the ). un$arried in granting voluntar" and said recognition une$plo"ed individual upon favora)le legiti$ate, a showing that SEL;<E-PLO:ED < a $erson w&o wor1s %or &i)sel% no other legiti$ated, co$pensation, e$plo"ees/ illegiti$ate, organi5ation ter$s, acknowledged conditions, is registered pro$otions children or is seeking or registration, privileges )ased on records of the ,(R, and adopted c. that the the refusal said or stepchildren organi5ation to grant the )elow has se.ual the ;4 favor "ears $a!orit" results of agein support 3. children li$iting, of the who RZ8 segregating aree$plo"ees ;4 "earsor old in classif"ing and the organi5ational a)ove the who are unit suffering 9^44: e$plo"ee fro$ congenital which in an" disa)ilit", wa" would either ph"sical discri$inate, or $ental, deprive or an"or disa)ilit" di$inish ac+uired e$plo"$ent that Certi%ication renders opportunities the$ Election totall" or otherwise dependent adversel" on the $e$)er affect Where for there support said e$plo"ee are ; or $ore dul" registered ;. e$plo"ees/ . -he the parents a)ove organi5ations acts whowould are %L i$pair in "ears the appropriate the old e$plo"ee/s or a)ove whose organi5ational rights or inco$e $onthl" privileges unit, the is )elow under ,(R shall, an e.isting a$ount upon la)or petition, to )e laws 3. -he order deter$ined the a)ove conduct acts )"of the would a certification *orporation result in an election in inti$idating, accordance and shall certif" hostile with the the winner or guiding offensive as principles theenviron$ent e.clusive set forth representative for of the this e$plo"ee 3ct.of the RZ8 e$plo"ees in said organi5ation unit 9^4;: D't( o% E)$lo(er E-PLO:EE < An( $erson w&o $er%or)s ser/ices %or 4. e$plo"er S'bMect an 1ro$ulgate o% Negotiation in appropriate which eitherrules or )oth and $ental regulations and -er$s ph"sical prescri)ing and efforts conditions are the procedure used of e$plo"$ent and who for investigation receives or of i$prove$ents co$pensation se.ual harass$ent for thereof, such e.cept services, cases as those where well that asthere guidelines are fi.ed is an)" law, on e$plo"er'e$plo"ee $a" proper )e the decoru$ su)!ect relationship. in of the negotiations workplace )etween dul" ;. *reate ae$plo"eesK recogni5ed co$$ittee on organi5ations decoru$ and and appropriate govern$ent E-PLO:ER investigation authorities < A nat'ral of cases 9^43: or on M'ri"ical se.ual harass$ent. $erson w&o e$plo"s the services of an e$plo"ee. Liabilit( o% Peace%'l Concerte" E)$lo(er Acti/ities . 5ea" o%an" O%%ice Stri1es Solidaril" -he ENROLL-ENT *ivil Service lia)le for < laws T&e da$ages $rocess and rules arising to governing be fro$ "eter)ine" the concerted acts of b( se.ual activities the *orporation harass$ent and strikes in order co$$itted in the to enlist govern$ent in individuals the e$plo"$ent, service as shall education )e $e$)ers o)served, or or dependents training su)!ect environ$ent to an" covered legislation )" if the the that e$plo"er 1rogra$. $a" )e is infor$ed)" enacted of *ongress. such acts )" 9^4 the : offended part" and no i$$ediate <action -E-BER An( $erson is taken w&ose $re)i')s &a/e been P'blic Sector regularl" paid to Labor<-anage)ent the Cational @ealth Co'ncil Insurance Prescri$tion2 It 1rogra$. is the )od" @e $a" charged B (ears )e a with pa"ing i$ple$enting $e$)er, an and indigent ad$inistering $e$)er or a pensionerEretiree E2 4JL. $e$)er. -EDICAREEJEC@TIDE Co)$osition < T&e o% Co'ncil &ealt&ORDER ins'rance NO$rogra) =>0 c'rrentl( 4. )eing /ui-elines *hair$an, i$ple$ented ,or*S* t)e exer#ise ' )" *hair$an the 1hilippine o, t)e rig)t Medical to organiCe *are o, ;. government *o$$ission. Secretar", It D2(E emplo5ees consists B Vice'*hair$an of= #reating a pu$li# se#tor 3. la$or4management Secretar", a. 1rogra$ ' D28 I, which ' #oun#il Me$)er covers an$e$)ers ,or ot)erof purposes. the . Secretar", SSS and D2> FSIS B Me$)er including their legal Co/erage #. Secretar", dependents? Depart$ent and of ,udget and It applies to all govern$ent Manage$ent B Me$)ere$plo"ees''e$plo"ees 9^4#: of all )ranches, under the instru$entalities, 1rogra$ and I 4. ). 1rogra$ II, which is coveredsu)divisions, agencies of o% theDis$'tes govern$ent, F2**s Settle)ent shall )eincluding enrolled in order with intended for those not ,eneficiaries 69 laws uic k- $pr i$ e7 original -he *ivil charters Service9^4: and la)or and procedures, Enroll)ent -I 88 U nco es s ed: ar e needed to s ee t and a whenever applica)le, )eess followed decshall o$ pr or in the his pi ct ur e. and cases E0cl'"e" of resolution %ro) co$plaints, Co/erage grievances Me$)ersgovern$ent involving of the 3r$ed e$plo"ees. 8orces of the In case 1hilippines, an" dispute includingunresolved re$ains police officers, afterpolice$en, e.haustingfire$en all the availa)le and !ail guards 9^ under re$edies : e.isting laws and procedures, the parties $a" !ointl" refer the dispute to the *ouncil, for Rig&t to Organi+e appropriate action. 9^4%: 3ll govern$ent 'autista v. CA,e$plo"ees *+ ,o. 1!331#, can for$, !2 8ebruary !oin or assist !""# receives e$plo"ees/ pensions organi5ations therefro$. of their own choosing for -he S* affir$ed its ruling in 3ssociation of *ourt the of 3ppeals furtherance E$plo"ees and protection v 8errer'*alle!a of their interests. 9FR Co. -he" can G RETIREE &4%, also 4# for$, < Cov. A )e)ber in 4GG4:, con!unction where o% t&ewith it Progra) ruled appropriate that w&o the &as ,(R govern$ent has reached the !urisdiction the authorities, age of to retire$ent call la)or'$anage$ent for and or who supervise was retired the on co$$ittees, conduct of certification work councils, elections and other in thefor$s pu)lic of sector. workers/ -he *ourt participation stated that sche$es there is no for constitutional the sa$e o)!ectives 9^;: o)!ection to D2(E handling the certification process considering and is therefore its e.pertise, )oth e$plo"ee $achiner" and e$plo"er and e.perience at the sa$e ti$e. in this particular activit". E2 4JL re+uires 7&o are Ineligible to *oin Organi+ation o% Ran1 & organi5ations of govern$ent e$plo"ees to register ;ile !o/ern)ent E)$lo(ees with T5E )oth NATIONAL D2E( and 5EALT5 *S*. -his INS@RANCE a$)ivalence PRO!RA@igh'level e$plo"ees whose functions are nor$all" notwithstanding, the *S* has no facilities, considered as polic"'$aking or $anagerialpersonnel or whose P'r$ose and e.perience in theconfidential conduct of certification duties are of a highl" nature 9^3: the legiti$ate who is elections. 4. -o provide ,(R health has spouse to insurance do the !o). coverage and ensure afforda)le, accepta)le, availa)le and Protection o% Rig&t to Organi+e accessi)le health care services for all of -he" shall not )e discri$inated against in citi5ens respect of the 1hilippines SALIENT PRODISIONS O; T5E their e$plo"$ent )" reason of their $e$)ership or ;. -o serve as the $eans the LA7 health" to help pa" LA7 &for !SIS participation inSSS e$plo"ees/ organi5ations. -heir for the care of the sick and for those who canthat 8ANNEJ O9 e$plo"$ent shall not )e su)!ect to the condition afford $edical care to su)sidi5e those who the" shall not !oin or shall relin+uish their cannot. 9^#: $e$)ership therein 9^#: NATIONAL 5EALT5 INS@RANCE ACT O; =CCL Establis&)ent 7>7L9 Non<Inter%erence o% 8RA !o/ern)ent A't&orities not a $e$)er 4. Include sustaina)le s"ste$ of funds constitution, Fovern$ent authorities shall not interfere in the collection, $anage$ent and dis)urse$ent !eneral ObMecti/es esta)lish$ent, functioning or ad$inistration of for financing the avail$ent a )asic $ini$u$ 4. provide all citi5ens of organi5ations theof 1hilippines with the govern$ent e$plo"eesK through acts package and other supple$entar" packages of $echanis$ to gain financial access to health designed to place such organi5ations under the services? health insurance )enefits )" a progressivel" control of govern$ent authorit" 9^%: e.panding proportion of the population. ;. create the Cational @ealth Insurance 1rogra$ to ;. (i$ited serve as to the pa"ing $eans for the to help utili5ation the people of health pa" for Place o% Registration services )" covered )eneficiaries or to health care services? *S* and D2(E 9^&: purchasing services )ehalf of 3. prioriti5e andhealth accelerate the in provision ofsuch health )eneficiaries. services to all 8ilipinos, especiall" that seg$ent Proce"'re %or t&e Registration o% E)$lo(eesG account ofpopulation disa)ilit". 3. 1rohi)ited fro$ providing health caresuch directl", of the who cannot afford Organi+ations fro$ )u"ing and dispensing drugs and services? and 4. 8ile application with ,(R or Regional 2ffice, . esta)lish phar$aceuticals, the trans$it 1hilippine fro$ @ealth e$plo"ing Insurance ph"sicians and which shall the application to the ,(R other professionals for the purpose of directl" *orporation that will ad$inister the 1rogra$ at within 3 da"s fro$ receipt central rendering and care, local and levels fro$ owning or investing in ;. ,(R shall process the application in accordance health care facilities. 9^#: with the (a)or *ode 9^&: BENE;ICIAR: < An( $erson entitle" to &ealt& care 3. Upon approval, a registration certificate will )e Co/erage )enefits under this 3ct. issued, recogni5ing it as a legiti$ate e$plo"ees/ 3ll citi5ens of the 1hilippines 9^%: organi5ation with the right to represent its CAPITATION < A $a()ent )ec&anis) %i0e" $e$)ers and undertake activities to w&ere further a and rate, whether per person, fa$il", household or group, defend its interests is. negotiated with aof health care provider who shall )e -he certificates registration shall )e !ointl" responsi)le for delivering or arranging for the deliver" approved )" the *hair$an of the *S* and of health services re+uired )" the covered person Secretar" of D2(E 9^J: under the conditions of a health care provider contract. A$$ro$riate Organi+ational @nit It is the e$plo"ers unit consisting of rank'and'file CONTRIB@TION T&e a)o'nt $ai" b( or re+uire. in be&al% o% e$plo"ees unless<circu$stances otherwise a $e$)er to the 1rogra$ for coverage, )ased on 9^G: salaries or wages in the case of for$al sector e$plo"ees, and on household earnings assets, Sole an" E0cl'si/e Re$resentati/e o%and E)$lo(ees in the case of the self'e$plo"ed, or on the other 1age JL &G of J3

accordance with the guiding principles set of this 3ct.

as appearing in the )irth certificate? legall" for the$

o )e placed under ' ICSUR3C*E 1R2FR3M -I 88 9 U ncoC3-I2C3( $pr es s @E3(-@ ed: that ar e coverage needed to s ee t dec o$ pr ess or entitles his pi ct ur the$ e. to

ensur provi ;. doc de Enro e u$e unive afford ll$e ntati rsal nt a)le, on healtproc accep spe h ess ta)le, cif"i
avail of )enefits. )eneficiaries, issuance of appropriate
govern$ent as esta)lished in this 3ct, which shall

6 uic k- i$ e7 and a

and

indicating

how

$e$)ers

hip

was

o)tained

or

is )eing $aintaine d.

1 acce 3. ssi)le h healtEnro ili h ll$e p carent p servish i

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 govern$ents as part of 1rogra$ II of provisions of this 3ct, including indigent $e$)ers, shall also )e enrolled in the 1rogra$. c. all persons eligi)le for )enefits as $e$)ers of local health insurance plans shall also )e dee$ed to have enrolled in the 1rogra$. Enroll$ent of persons who have no current health insurance coverage shall )e given priorit" )" the corporation? and d. all persons eligi)le for )enefits as $e$)ers of other govern$ent initiated health insurance progra$s, co$$unit"')ased health care organi5ations, cooperatives, or private non'profit health insurance plans shall )e enrolled in the 1rogra$ upon accreditation )" the *orporation 9^&: ENTITLE-ENT TO BENE;ITS 3. Re+uisites= 4. 3 $e$)er whose pre$iu$ contri)utions for at least 3 $onths have )een paid within the % $onths prior to the first da" of his or his dependentsK avail$ent? ;. @e can show that he contri)utes with sufficient regularit"? and 3. @e is not currentl" su)!ect to legal penalties ,. Monthl" contri)utions need not )e paid )" the following to )e entitled to )enefits= 4. Retirees and pensioners of the SSS and FSIS prior to the effectivit" of this 3ct ;. Me$)ers who reach the age of retire$ent and have paid at least 4;L $onthl" contri)utions? and 3. Enrolled indigents 9^44:

Benefit Package

these specific policies=

1age J4 of J3

all proceed in accordance with

1. Inpatient hospital care: GRIEVANCE SYS E! !e"#ers$ %epen%ents$ or health care pro&i%ers #. ser&ices of health care professionals' facilities'

a. roo" an% #oar%'

%. +se of s+rgical or "e%ical e,+ip"ent an%

of the Progra" (ho #elie&e the) ha&e #een c. %iagnostic$ la#orator)$ an% other "e%ical aggrie&e% #) an) %ecision of the i"ple"entors of the e*a"ination ser&ices' Progra"$ "a) seek re%ress of the grie&ance in accor%ance (ith the pro&isions of this Article.

1. an) &iolation of the rights of patients' -. .+tpatient care:

e. prescription %r+gs an% #iologicals' s+#/ect to Gro+n%s for Grie&ances f. inpatient e%+cation packages

-. a (illf+l neglect of %+ties of Progra"

i"ple"entors that res+lts in the loss or non2

the li"itations state% in Section 01 of this act

en/o)"ent of #enefits #) "e"#ers or their

%epen%ents'

Labor Law & Social Legislation S'))er Re/iewer ATENEO CENTRAL BAR OPERATIONS 2007 ;. (@2 shall rule on the co$plaint within GL calendar da"s fro$ receipt 3. 3ppeals fro$ (@2 decisions $ust )e filed with the ,oard within 3L da"s fro$ receipt of notice of dis$issal or disallowance )" the 2ffice *. (@2 has C2 !urisdiction over an" issue involving= 4. suspension or revocation of accreditation ;. i$position of fines, or 3. i$position of charges on $e$)ers or their dependents in case of revocation of their entitle$ent. D. 3ll decisions )" the ,oard as to entitle$ent to )enefits of $e$)ers or to pa"$ents of health care providers shall )e considered final and e.ecutor" E. @earing 1rocedures of Frievance and 3ppeal Review *o$$ittee 9F3R*: 4. Upon the filing of the co$plaint, F3R* $a" dis$iss the case outright due to lack of verification, failure to state the cause of action, or an" other valid ground for dis$issal of the co$plaint after consultation with the ,oard? or re+uire the respondent to file a verified answer within # da"s fro$ service of su$$ons. ;. Should the defendant fail to answer the #. regla$entar" %iagnostic$ co$plaint within the five'da" la#orator) other $otion period, F3R*, $otu proprioan% or upon "e%ical of the co$plainant, shall render the 0. +n/+stifia#le !udg$ent. %ela) in on are 3. 3fter an answer is filed and actions the issues !oined, F3R* shall re+uire the parties to clai"s' su)$it, within 4Le*a"ination da"s fro$ receipt of the order, the affidavits of the witnesses and ser&ices' other evidence on 3.the factual %ela) issues in thedefined therein, together processing with a )riefof state$ent clai"s of a. ser&ices of healthsetting care their positions forth the law and the thatprofessionals' e*ten%s facts relied upon c. )" the$. In personal the event F3R* finds, upon consideration of the pleadings, pre&enti&e ser&ices' the affidavits and other evidence, and an% position state$ents su)$itted )" the parties, #e)on% the perio% that a !udg$ent $a" )e rendered thereon agree% +pon' an% without need of a for$al hearing, it $a" %. prescription 69 uic ki$ later e7 proceed to-I render !udg$ent not da"s 88 U nco $pr es s4L ed: -I 88 9 U nco $pr %r+gs an% a r ar e needed to s ee t and a 0. E"ergenc) an% transfer ser&ices fro$ the su)$ission the position dec o$ prof ess or #iologicals' s+#/ect e his ct ur e. es spi ed: dec o$ pr state$ents of the parties to n e e . In cases where F3R* dee$s it necessar" to ess or 4. an) other act or % e % hold a hearing to clarif" specific factual neglect that ten%s to t rendering Excluded Personal Health Serviceo $atters )efore !udg$ent, it shall +n%er"ine s set the case for hearing for the purpose. 3t the and li"itations e witnesses e counseling ;. outpatient such hearing, ps"chotherap" whose affidavits for $ental were disorders? previousl" )e asked %escri#e% $a" in Section t su)$itted clarificator" +uestions )" the proponent and )" the *o$$ittee and $a" )e cross' e.a$ined )" the adverse part". -he hearing shall )e ter$inated within 4# da"s, and the case decided )" the *o$$ittee within4# da"s fro$ such ter$ination. #. -he decision of F3R* shall )eco$e final and e.ecutor" 4# da"s after notice thereof %. Such decision is appeala)le to the ,oard )" filing the appellantKs $e$orandu$ of appeal within 4#:da"s fro$ receipt of the cop" of the !udg$ent appealed fro$. -he appellees shall )e given4# da"s fro$ notice to file the appelleeKs $e$orandu$ after which the ,oard shall decide the appeal within 3L da"s fro$ the su)$ittal of the said pleadings. &. -he decision of the ,oard shall also )eco$e final and e.ecutor" 4# da"s Such decision is reviewa)le )" the Supre$e *ourt on purel" +uestions of law 9^ 4:

Frievance and 3ppeal 1rocedure 0. ;ealth care pro&i%er

,. 1rocedure 4. 3 co$plaint for grievance $ust )e filed with the (ocal @ealth 2ffice 9(@2: 1age J3 J; of J3

h p c + e

01 of this i s or %efeat the i p+rposest of this Act. 56378 r Act . 9 + c k i e a % a i " : n