Documenti di Didattica
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LABOR STAAmor G. VenenosoNDARDS
Labor Code of the Philippines Annotated by Ungos
2.
PRELIMINARY TITLE
CHAPTER 1
GENERAL PROVISIONS
COMMENT:
1.
3.
Art. 2. Date of Effectivity. This Code shall take effect six (6) months
after its promulgation.
COMMENT:
1.
-
COMMENTS:
1.
2.
COMMENT:
Reason for Affording Protection to Labor
Protection to labor is intended to raise the worker to equal
footing with the employer and shield him from abuses
brought about by the necessity for survival.
Sanchez vs. Harry Lyons employer stands on higher footing
than the employee. First, there is greater supply than demand
for labor. Second, the need for employment by labor comes
from vital and even desperate necessity.
Article 24 of the Civil Code In all contractual property or
other relations, when one of the parties is at a disadvantage
Limitations
a.
Protection to labor cannot be used as a pretext to defeat the
rights and prerogatives of an employer. Thus, the validity of
the dismissal of an employee found guilty of violating rules
designed for the safety of the employees themselves, should
be upheld because it protects labor and at the same time gives
the employer its due.
b.
Protection to labor cannot be used as an excuse to distribute
charities at the expense of an employer. Courts cannot render
judgment on the basis of sympathies and inclinations, and
consequently, distribute charities at the expense of the
employer, because our constitutional government assures the
latter against deprivation of property except in accordance
with the statues and supplementary equitable principles.
c.
Protection to labor is not available where both parties have
violated the law because in such a case, neither party is
entitled to protection.
1.
3.
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ART. 5. Rules and Regulations. The Department of Labor and other
government agencies charged with the administration and
enforcement of this Code or any of its parts shall promulgate the
necessary IRRs. Such RRs shall become effective 15 days after
announcement of their adoption in newspapers of general
circulation.
Insurance agents:
1.
Salaried personnel who keep definite hours and work
under the control and supervision of the company E-E
relationship exists
2.
Registered representatives who work on commission
basis no E-E relationship
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preceding the promulgation of Presidential Decree No. 27 on
October 21, 1972.
Title I
RECRUITMENT AND PLACEMENT OF WORKERS
Chapter I
GENERAL PROVISIONS
Art. 13. Definitions.
a. "Worker" means any member of the labor force, whether
employed
or
unemployed.
BOOK I
e. "Private recruitment entity" means any person or association
engaged in the recruitment and placement of workers,
locally or overseas, without charging, directly or
indirectly, any fee from the workers or employers.
PRE-EMPLOYMENT
Art. 12. Statement of objectives. It is the policy of the State:
a. To promote and maintain a state of full employment through
improved manpower training, allocation and utilization;
Contracting/Subcontracting
The contractor/subcontractor
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applicant for the purpose of
placing him with another
employer
Needs a license or authority from
the DOLE
Art. 14. Employment promotion. The Secretary of Labor shall have the
power and authority:
a.
b.
c.
d.
3.
4.
5.
6.
7.
b. (Repealed
c.
E.O.
797)
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b.
c.
d.
4.
Recruitment Violations
4.1
Against Land-based Overseas Workers
4.2
Against Seafarers
5.
COMMENTS:
1.
2.
3.
Land-based
of
b.
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i.
ii.
iii.
iv.
5.3
Against Foreign Principals or Employers of
Seafarers
The following are the grounds for disciplinary action against
foreign principals or employers of seafarers:
a.
Default on its contractual obligations to the seafarer
and/or to its Philippine agent
b.
Gross violation of laws, rules and regulations on
overseas employment
c.
Grave misconduct
d.
Conviction of an offense involving moral turpitude
e.
Gross negligence leading to serious injury or illness or
death of the seafarer
f.
Any other case analogous to the foregoing
A foreign employer or principal against whom a complaint
for disciplinary action has been filed shall be temporarily
disqualified from participating in the maritime employment
program until he submits to the jurisdiction of the POEA
Once the principal or employer submits to the jurisdiction of
the POEA, particularly upon filing of an answer in the
disciplinary action proceedings, he shall again be qualified to
participate in the maritime employment program without
prejudice to the outcome of the investigation whereby the
proper penalty shall be imposed.
But if the evidence of guilt is strong and there is reasonable
ground to believe that the continued deployment to the
principal or employer will result to further violation or
exploitation of seafarers, the principal or employer may be
suspended (preventively) from participating in the overseas
recruitment program pending investigation of the disciplinary
action case when.
If the penalty of suspension or disqualification had been
imposed through an order, decision or resolution, the foreign
employer or principal shall be disqualified from participating
in the maritime employment unless cleared by the POEA or
the penalty imposed is lifted.
5.4
Against Seafarers
The following are the grounds for disciplinary action against
seafarers:
a.
Pre-employment Offenses
i.
Submission/furnishing or using false information
or documents or any form of misrepresentation
for purpose of job application or employment
ii. Unjust refusal to join ship after all employment
and travel documents have been duly approved
b.
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v.
6.
-
7.
-
COMMENTS:
1.
-
2.
-
3.
-
Name Hire
A name hire is a worker who is able to secure an overseas
employment on his own without the assistance or
participation of any agency.
4.
-
COMMENTS:
Superseded by Batas Pambansa Blg. 79
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hereby created which shall develop and maintain a comprehensive
program for Filipino seamen employed overseas. It shall have the
power and duty:
1.
2.
COMMENTS:
Repealed by Executive Order No. 797
3.
b.
c.
d.
i.
ii.
iii.
COMMENTS:
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iv.
4.
c.
d.
a.
b.
c.
d.
e.
-
5.
b.
COMMENTS:
1.
2.
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of Education, Culture and Sports, the National Manpower and
Youth Council, the Bureau of Employment Services, a workers
organization and an employers organization and the Executive
Director of the OEDB as members.
The National Seamen Board shall be composed of the
Secretary of Labor and Employment as Chairman, the
Undersecretary of Labor as Vice-Chairman, the Commandant of the
Philippine Coast Guard, and a representative each of the
Department of Foreign Affairs, the Department of Education,
Culture and Sports, the Central Bank, the Maritime Industry
Authority, the Bureau of Employment Services, a national shipping
association and the Executive Director of the NSB as members.
The members of the Boards shall receive allowances to be
determined by the Board which shall not be more than P2,000.00
per month.
The Boards shall be attached to the Department of Labor
for policy and program coordination. They shall each be assisted by
a Secretariat headed by an Executive Director who shall be a
Filipino citizen with sufficient experience in manpower
administration, including overseas employment activities. The
Executive Director shall be appointed by the President of the
Philippines upon the recommendation of the Secretary of Labor and
shall receive an annual salary as fixed by law. The Secretary of
Labor shall appoint the other members of the Secretariat.
The Auditor General shall appoint his representative to
the Boards to audit their respective accounts in accordance with
auditing laws and pertinent rules and regulations.
COMMENTS:
Repealed by Executive Order No. 797
Article 24.Boards to issue rules and collect fees.- The Boards shall
issue appropriate rules and regulations to carry out their functions.
They shall have the power to impose and collect fees from employers
concerned, which shall be deposited in the respective accounts of
said Boards and be used by them exclusively to promote their
objectives.
COMMENTS:
Superseded by Executive Order No. 247
CHAPTER 2
COMMENTS:
1.
ii.
i.
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1.2
a.
2.
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2.3.1
For
Land-Based
Overseas
Employment
- A person desiring to operate a
private employment agency
for
land-based
overseas
employment should
a. File an application for
license with the POEA
b. Pay a filing fee of P10000
- The following documents
should be attached to the
application for license
a. Certified copy of Articles
of
Incorporation
or
Articles of Partnership
duly registered with the
Securities and Exchange
Commission (in case of a
corporation
or
partnership) or Certificate
of Registration of firm or
business name with the
DTI (in case of a single
proprietorship)
b. Proof of financial capacity
consisting of
For single proprietorship
or partnership verified
income tax returns for the
past 2 years and a savings
account
certificate
showing a maintaining
balance of not less than
P500k accompanied by
the
applicants
authorization to examine
such bank deposit.
For newly organized
corporation Savings
account
certificates
showing a maintaining
balance of not less than
P500k accompanied by an
authorization to examine
such bank deposits
For existing corporation
Verified
financial
statement, corporate tax
returns for the past 2 years
and
savings
account
deposit of at least P500k
accompanied
by
an
authorization to examine
such deposit.
c.
Proof
of
marketing
capability of:
i. A duly executed
Special Power of
Attorney and/ or a
duly
concluded
Recruitment/ Service
Agreement
ii. Manpower request or
visa
certification
from new employer
d.
e.
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2.3.2
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f.
articles of agreement
before and after they
are signed and for
them to receive a
copy of the contract
of employment
vi. Ensure that the vessel
and the crew are
adequately covered
by P&I Club or
similar insurance thru
the submission of the
certificate
of
insurance coverage
vii. Assume full and
complete
responsibility for all
claims and liabilities
which may arise in
connection with the
use of license
viii. Assume joint and
solidary liability with
the employer for all
claims that may arise
in connection with
the implementation of
the
contract,
including but not
limited to, payment
of wages, death and
disability
compensation
and
repatriation
ix. Guarantee
compliance with the
applicable
labor,
social and maritime
legislations of the
Philippines, and the
applicable regulations
of the flag state and
international
organizations such as
the
international
Maritime
Organization (IMO)
and the International
Labor Organization
x. Assume full and
complete
responsibility for all
acts of its officials,
employees
and
representatives done
in connection with
recruitment
and
placement
xi. Deploy at least 50
workers to its new
markets within 1 year
from the issuance of
its license which shall
also be a condition to
the accreditation of
old principals
xii. Repatriate
the
deployed workers and
his
personal
belongings when the
need arises.
Verified undertaking by
its officers, directors,
partners that they will be
a.
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b.
c.
Registration procedure:
a.
Submit to the Philippine Overseas Labor Office
(POLO) the ff documents for verification:
1.
SPA issued by the principal or employer to the
Philippine agency, or recruitment agreement or
service agreement
2.
Master employment contract
3.
Manpower request indicating the position and
salary of the workers to be hired
4.
Valid business license, registration certificate or
equivalent document
b.
File with the POEA, an application for registration,
with the supporting documents (nos. 1, 2, and 3)
Accreditation procedure:
a.
SPA
b.
Master employment contract
c.
Manpower request
d.
Valid business license
e.
Visa assurance
Accreditation procedure:
a.
File an application with the ff documents:
1.
Authenticated manning agreement and SPA
2.
List of ship and their particulars including IMO
numbers
3.
Crew complement of the principal and their
corresponding wage scales
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4.
5.
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Art. 31. Bonds. All applicants for license or authority shall post such
cash and surety bonds as determined by the Secretary of Labor to
guarantee compliance with prescribed recruitment procedures, rules and
regulations, and terms and conditions of employment as may be
appropriate.
Purposes:
1.
To secure all valid and legal claims arising from a
violation of the conditions of the grant and use of the
license, accreditation and contracts of employment.
2.
Intended to guarantee compliance with the LC and its
IRRs relative to the recruitment and placement
Art. 32. Fees to be paid by workers. Any person applying with a private
fee-charging employment agency for employment assistance shall not be
charged any fee until he has obtained employment through its efforts or
has actually commenced employment. Such fee shall be always covered
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with the appropriate receipt clearly showing the amount paid. The
Secretary of Labor shall promulgate a schedule of allowable fees.
Placement fees
a.
For local employment not exceed 20% of the
workers 1st months basic salary.
b.
For overseas land-based employment an amount
equivalent to 1 month salary, except where the
prevailing system in the country where the worker is to
be deployed, either by law, practice or policy, does not
allow the charging or collection of placement and
recruitment fee.
Service fees
a.
For local employment charged against the employer
which shall not exceed 20% of the annual salary of the
worker.
b.
For overseas employment charged against their
principals to cover services rendered in the recruitment,
documentation and placement of workers or seafarers.
The principal shall be responsible for the payment of
the ff:
1.
Visa fee
2.
Airfare
3.
POEA processing fee
4.
OWWA membership fee
The power of the secretary of DOLE to order the suspension
of license carries with it the power to refund such fees as may
have been illegally collected.
g.
h.
i.
j.
k.
The authority given to the Sec of DOLE under this article can
be exercised only when public interest requires. This can be
justified as an exercise of police power.
b.
c.
d.
e.
f.
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a.
b.
c.
d.
e.
2.
3.
Art. 37. Visitorial Power. The Secretary of Labor or his duly authorized
representatives may, at any time, inspect the premises, books of accounts
and records of any person or entity covered by this Title, require it to
submit reports regularly on prescribed forms, and act on violation of any
provisions of this Title.
Usually conducted:
a.
Before issuance of license
b.
In case of transfer of office
c.
Upon receipt of complaint for violation of existing RRs
Violation: appropriate sanction or denial of application for
renewal of license
Inspectors must present to the agency their Authority to
Inspect stating in detail the purpose and subject of inspection.
Chapter III
MISCELLANEOUS PROVISIONS
Art. 36. Regulatory power. The Secretary of Labor shall have the power
to restrict and regulate the recruitment and placement activities of all
agencies within the coverage of this Title and is hereby authorized to
issue orders and promulgate rules and regulations to carry out the
objectives and implement the provisions of this Title.
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Prescription of action:
a.
Art. 290 of the LC (local employment)- 3 yrs
b.
Migrant 5 yrs, except those involving economic
sabotage which prescribe in 20 yrs
Title II
EMPLOYMENT OF NON-RESIDENT ALIENS
ART. 40 EMPLOYMENT PERMIT FOR NON-RESIDENT
ALIENS
Any alien seeking admission to the Philippines for
employment purposes and any domestic or foreign employer who
desire to engage an alien for employment in the Philippines shall
obtain an employment permit from the Department of Labor.
The employment permit may be issued to a non-resident
alien or the applicant employer after a determination of the nonavailability of a person in the Philippines who is competent, able and
willing at the time of the application to perform the services for
which the alien is desired.
For an enterprise registered in preferred areas of
investments, said employment permits may be issued upon
recommendation of said government agency charged with the
supervision of said registered enterprise.
PURPOSE: to regulate employment of non-resident aliens so as no t to
displace Filipinos from jobs that they are capable of doing.
PERSONS REQUIRED TO OBTAIN EMPLOYMENT PERMIT:
all non-resident foreign nationals who intend to engage in gainful
employment in the Philippines.
PERSONS EXEMPTED FROM SECURING AN ALIEN
EMPLOYMENT PERMIT:
1.
All members of the diplomatic services and foreign
government officials accredited by and with reciprocity
arrangement with the Philippine Government.
2.
Officers and staff of international organizations of which
the Philippines is a member, and their legitimate spouses
desiring to work in the Philippines.
3.
Foreign nationals elected as member of the Governing Board
who do not occupy any other position, but only have voting
rights in the corporation.
4.
All foreign nationals granted exemption by law
5.
Owners and representatives of foreign principals whose
companies are accredited by the POEA.
6.
Foreign nationals who come to the Philippines to teach,
present, and/or conduct research studies in universities and
college; provided that exemption is on a reciprocal basis.
7.
Resident foreign nationals.
PROCEDURE:
1.
Duly accomplished application form
2.
Photocopy of passport, with visa or certificate of recognition
for refugees
3.
Contract of employment/appointment or board secretarys
Certificate of election
4.
Photocopy of Mayors permit to operate business
5.
Photocopy of current Alien Employment Permit (if for
renewal)
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The permit shall be valid for a period of one year unless the
employment contract, consultancy services, or other modes
of engagement provides otherwise. It shall not exceed 5
years.
GROUNDS FOR SUSPENSION OF ALIEN EMPLOYMENT
PERMIT
1.
The continued stay of the foreign national may result in
damage to the interest of the industry or the country.
2.
The employer of the foreign national is suspended by the
employer or by order of the Court.
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Any employer employing non-resident foreign nationals
on the effective date of this Code shall submit a list of such nationals
to the Secretary of Labor within 30 days after such date indicating
their names, citizenship, foreign and local address, nature of the
employment and status of stay in the country. The Secretary of
Labor shall then determine if they are entitled to an alien
employment permit.
TITLE II
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TRAINING AND EMPLOYMENT OF SPECIAL WORKERS
APPRENTICES
ART. 57 STATEMENT OF OBJECTIVES
1.
To help meet the demand of the economy for trained
manpower
2.
To establish a national apprenticeship program through
the participation of employers, workers and government
and non-government agencies
3.
To establish apprenticeship standards for the protection
of apprentices
SALIENT FEATURES OF THE APPRENTICESHIP LAW
1.
It liberalizes the application of training principles to facilitate
the use of the training method for development of manpower
in many other occupations aside from the skilled trades.
2.
It lowers the minimum qualifying age for apprenticeship to
14 instead of 16 as prescribed in the old law
3.
It eliminates the unrealistic requirement that a prospective
apprentice should be a high school graduate
4.
Unlike the old law which required that training should be
undertaken in the premises of the employer alone, the Labor
Code gives an employer the option to conduct the training in
its premises, in a Department of Labor and Employment
training center or other public training institution, or a
combination of both
5.
Associations and civic groups are now allowed to organize
or sponsor apprenticeship programs
6.
The limitation imposed by P.D. No. 173 on the number of
apprentices whose compulsory employment and training
may be required during the emergency situations has been
eliminated.
ART. 58 DEFINITION OF TERMS
Apprenticeship means practical training within employment
with compulsory related theoretical instructions involving a
contract between an apprentice and an employer on an
approved apprenticeable occupation.
Apprentice is a worker who is covered by a written
apprenticeship agreement with an individual employer or any
of the entities recognized under this chapter.
An apprenticaeble occupation means any trade, form of
employment or occupation which requires more than three (3)
months of practical training on the job supplemented by
related theoretical instruction
Apprenticeship agreement is an employment contract
wherein the employer binds himself to train the apprentice
who in turn accepts the terms of the training
ART. 59 QUALIFICATIONS OF APPRENTICE
a) Be at least (14) years of age.
b) Possess vocational aptitude and capacity for appropriate
tests
c) Possess the ability to comprehend and follow oral and
written instructions
Trade and industry associations may recommend to the
Secretary of Labor appropriate educational requirements
for different occupations
EDUCATIONAL QUALIFICATION
PREVIOUS TRAINING
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-if he training is terminated after the first 2 months, before the stipulated
period through no fault of the learner, the learner shall be deemed a
regular employee
-Learnership agreement- contract between the learner and the employee
-must be in writing
-signed by the learner
-signed by the employee or his duly authorized representative
-if a learner is a minor, should bear the conformity of his
parent or guardian
ARTICLE 76. Learners in Piecework
-Learners in piecework or incentive-rate jobs shall be paid in full for the
work done, and not 75% of the applicable minimum wage
ARTICLE 77. Penalty Clause
-criminal liability punishable under ART. 288 of the Labor Code
or branch office of the employer and whose actual hours of work in the
members of the family of the employer who are dependent on him for
support, domestic helpers, persons in the personal service of another,
and workers who are paid by results as determined by the Secretary of
Labor in appropriate regulations.
As used herein, "managerial employees" refer to those whose primary
employed or of a department or subdivision thereof, and to other officers
or members of the managerial staff.
"Field personnel" shall refer to non-agricultural employees who
regularly perform their duties away from the principal place of business
field cannot be determined with reasonable certainty.
-Age Requirement:
- below 15 cannot be employed as a learner
- below 18 can be employed only in non-hazardous, safe
occupations
o
o
o
1.
Government Employees
a. Refer to those employed by the National Government or any
of its political subdivisions; including those employed in
GOCCs with SPECIAL CHARTERS, not under the
Corporation Law
b. They are not covered by the Labor Code, but by the Civil
Service Law or the Administrative Code, among other
special laws
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2.
in the
management
of
the
7.
subdivision thereof;
b. He directs the work of TWO OR MORE employees therein;
c. Has authority to hire or fire other employees of lower rank,
8.
considered such:
i.
Primary duty consist in the performance of work
ii.
iii.
Art. 83. Normal hours of work. The normal hours of work of any
employer;
Exercise discretion and independent judgment;
Assisting a proprietor or a managerial employee
basis.
dietitians,
1.
reasonable certainty
1. How to determine: Whether or not employees
time
and
performance
is
constantly
5.
technicians,
b.
prescribed maximum.
8 hours is maximum, which may be staggered so long as it
falls within a 24-hour period. Work in excess of this
maximum becomes OVERTIME WORK.
2.
Domestic Helpers
a. Any person whether male or female, who renders service in
and about the employers home on an activity which are
nature;
When there is urgent work to be performed on
machines, installations or equipment, in order to
full or half-blood.
6.
laboratory
Field Personnel
a. Are exempted from coverage, if:
i.
They regularly perform their duties away from the
ii.
workers,
social
4.
pharmacists,
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v.
while on call.
ASSEMBLY TIME A requirement by some
employers for their employees to assemble at an area
3.
Compressed Workweek
a.
Resorted to by the employer to prevent serious losses due to
vi.
3.
vii.
perform
any
hours worked.
1.
NOT
iii.
Rule:
mental exertion.
i.
Engaged to WAIT the time spent by an employee
waiting is considered HOURS WORKED if he was
engaged to wait or waiting is an integral part of his
work. Example: Company driver playing chess while
ii.
iii.
purposes.
On CALL TIME An employee who is required to
remain on call in the employers premises or so close
thereto that he cannot use the time for his own
purpose is considered as working while on call. An
c.
POWER INTERRUPTION
Not exceeding twenty (20) minutes = hours worked
Reason - imminence of the resumption of work requires the
employee's presence at the place of work and the time is too
short for the employees to utilize it effectively and gainfully
for his own interest
Exceeding Twenty (20) minutes not hours worked if:
a.
Employees can leave their workplace or go
elsewhere within or without the work premises;
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b.
c.
2. Rest Period
Five (5) to twenty (20) minutes = hours worked
o
Reason - time spent is too short for the employee
to utilize it effectively and gainfully for his own
purposes
More than twenty (20) minutes = not hours worked
o
Especially if employee is completely relieved of
his duties such that he can rest completely
An employee need not leave the premises of the workplace in
order that his rest period shall not be counted as hours
worked
e.
d.
f.
3. Applicability to Seamen
No need to set up for seamen a criterion different from that
applied to laborers on land, for the only thing that needs to be
done is to determine the meaning of the term 'working place.'
Thus, a laborer need not leave the premises of the factory,
shop or boat in order that his rest period shall not be counted,
it being enough that he 'cease to work', may rest completely
and leave or may leave at will the spot where he actually
stays while working, to go somewhere else, whether within
or outside the premises of the said factory, shop or boat.
(Luzon Stevedoring Co. Inc. vs. Luzon Marine Department
Union)
Criterion for determining whether or not seamen are entitled
to overtime compensation
o
Whether they actually rendered service in excess
of eight (8) hours a day
4. Applicability to Health Personnel
Principles also applicable to health personnel
Facts: During the 1-hour meal period the mechanics were required to
stand by for emergency work. If they happened not to be available when
called, they were reprimanded by the leadman.
ISSUE: Should the one-hour meal period be considered as hours
worked?
HELD: Yes, it must be considered as hours worked and compensable.
RATIO: The mechanics could not rest completely as they had to be
ready on call
3. Coffee Break
5 20 minutes compensable working time
Art. 86. Night shift differential. Every employee shall be paid a night
shift differential of not less than ten percent (10%) of his regular wage
for each hour of work performed between ten oclock in the evening and
six oclock in the morning.
1. Night Shift Differential
Premium given to an employee for working between 10:00
pm and 6:00 am
2. Reason for the Law
Hygienic, medical, moral, cultural and socio-biologic reasons
are in accord that night work has many inconveniences and
when there is no alternative but to perform it
3. Distinction Between Overtime Pay and Night Shift Differential
Night shift differential - additional compensation given to an
employee for working between the hours of 10:00 pm and
6:00 am
Overtime pay extra compensation given to an employee for
working excess of 8 hours in a day
4. Employees Not Entitled to Night Shift Differential
a.
Government employees including those employed in
government-owned or controlled corporations with special
charters
b.
Managerial employees
c.
Officers and members of a managerial staff
d.
Field personnel and other employees whose time and
performance is unsupervised by the employer
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e.
f.
g.
h.
Total Pay
P145.00
P14.50
P159.50
*0.10 = 10%
P145.00
P18.13
Total Pay
10%** =
P36.26
P141.38
P195.40
*30% premium = 0.30 x (18.13 x 6)
** 10% = 0.10 x (36.26 + 141.38)
REGULAR HOLIDAY
Regular wage PLUS not less than 10% of such premium rate
for each hour of work performed
Illustration
An employee with a daily wage of P145.00 who works on
April 8 at 10:00 pm to 6:00 am of the following day (April
9), which is a regular holiday, will receive P279.20,
computed as follows:
Hourly Rate
hours = P18.13
P145.00
P36.26
P217.56
P279.20
*200% premium = 2 x (18.13 x 6)
** 10% = 0.10 x (36.26 + 217.56)
OVERTIME WORK BETWEEN 10:00 PM AND 6:00 AM
Regular wage PLUS at least 25% and an additional amount
of no less than 10% of such overtime rate for each hour of
work performed between 10:00 pm and 6:00 am
Illustration
An employee with a daily wage of P145.00 who works from
2:00 pm until 12:00 midnight, will receive P194.86,
computed as follows:
Hourly Rate
hours = P18.13
P145.00
P18.13
P18.13
Total Pay
P217.56 +
P36.26
10%** = P279.20
P18.13 x 6 hours + 30%
premium*
Art. 87. Overtime work. Work may be performed beyond eight (8) hours
a day provided that the employee is paid for the overtime work, an
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additional compensation equivalent to his regular wage plus at least
twenty-five percent (25%) thereof. Work performed beyond eight hours
on a holiday or rest day shall be paid an additional compensation
equivalent to the rate of the first eight hours on a holiday or rest day
plus at least thirty percent (30%) thereof.
1. Concept of Overtime Work
Overtime Work services rendered in excess of 8 hours in a
day
Day 24-hour period commencing from the time the
employee started working
Rest day work work rendered during rest days
Holiday work work rendered during holidays
2. Reason for the Law
Compensate the inconvenience of an employee who works
beyond 8 hours
3. Compensability of Unauthorized Overtime Work
Compensable if:
o
Work performed was necessary
o
Benefited the company
o
Employee could not abandon his work at the end
of the 8-hour period because there was no
substitute ready to take his place
Performed upon order of his immediate superior
notwithstanding the fact that there was a standing circular to
the effect that before overtime work may be performed with
pay, the approval of the corresponding department head
should be secured
4. Waiver of Overtime Pay
Founded on public policy, thus, cannot be waived
Claim for unpaid overtime compensation can be
compromised
o
Allowed by Art. 227 of the Labor Code
o
Not contrary to public policy because what is
compromised is the claim for unpaid (past)
overtime compensation, not the right to overtime
compensation
o
The compromise does not relieve the employer
from paying future overtime compensation
5. Estoppel and Laches Not a Defense
The principle of estoppels and laches is not a defense in
claims for overtime compensation
Reason it will bring about a situation whereby the
employee who cannot expressly renounce their right to extra
compensation for overtime work, may be compelled to
accomplish the same by mere silence or lapse of time,
thereby frustrating the purpose of the law by indirection
6. Prescription is a Defense
May be raised as a defense, pursuant to Art. 291 of the Labor
Code
7. Burden of Proof
Complainant
Should prove that overtime work was actually performed
8. Overtime Rates
ORDINARY DAY
Regular wage PLUS at least 25% thereof
Illustration:
An employee with a daily wage of P145.00 who renders 2hour overtime work on an ordinary day will receive P190.32,
computed as follows:
Hourly Rate
hours = P18.13
Overtime Rate for 2 Hours
P145.00
P45.32
Total Pay
P190.32
P145.00
P45.32
Hourly Rate
hours = P23.56
P188.50
Total Pay
P249.75
P188.50
P61.25
Hourly Rate
hours = P36.25
Overtime Rate for Hours
P290.00
P94.25
Total Pay
P384.25
*30% = 0.30 x (36.25 x 2)
P290.00
P94.25
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REGULAR HOLIDAY
Regular holiday-rest day rate for the first 8 hours on such
holiday PLUS at least 30% thereof
Illustration:
An employee with a daily wage of P145.00 whose rest day is
on a Sunday, and renders a 2-hour overtime work on the last
Sunday of August (National Heroes Day), will receive
P499.51, computed as follows:
Regular Holiday Rate
+
30%* = P377.00
e.
P145.00 x 200%
Hourly Rate
P377.00 8 hours =
P47.12
Overtime Rate for Two (2) Hours P47.12 x 2 hours +
30%** = P122.51
Total Pay
P122.51 =
d.
P377.00
P499.51
*30% = 0.3 x (P145.00 x 2)
**30% = 0.3 x (P47.12 x 2)
c.
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Cities or municipalities:
Less than 1M population or in hospital or clinics with less
than 100 bed capacity: 24 consecutive hours, after every 6 consecutive
normal work days.
Atleast 1M population or in hospitals or clinics with atleast
100 bed capacity: 48 hours after 5 days work.
Who determines rest day?
GR: EMPLOYER
EXP: preference of the employee should be respected if based on
religious grounds, provided he inform the employer in writing atleast 7
days before the desired effectivity of the initial rest day so preferred.
Notice of rest day:
EXP:
1.
2.
3.
4.
5.
6.
7.
daily wage.
a.
b.
c.
d.
e.
f.
g.
h.
i.
j.
k.
RATES:
a.
b.
c.
d.
On a regular holiday
Not exceeding 8 hours shall be paid atleast 200%
of his regular daily wage.
On a regular holiday falling on a rest day
Additional compensation of atleast 30% of his
regular holiday rate of 200%.
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l.
Rules:
Piece rate workers: not entitled, paid at fixed amount performing work
irrespective of time consumed in performance.
Sales personnel: not entitled, they regularly perform their duties away
from the principal place of business, and their actual hours of work
cannot be determined with reasonable certainty.
Seasonal workers: not entitled during off- season when they are not at
work.
Teacher and faculty members: not entitled to holiday pay on regular
holidays falling within semestral vacation. However, entitled on regular
holidays falling within the Christmas vacation.
Double Holiday:
Temporary: entitled
Law grant 5 days leave with pay for every employee who has
rendered at least 1 year of service.
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Title III
Working Conditions for Special Groups of Women
Chapter I
Employment of Women
ARTICLE 130. Nightwork Prohibition
-applies to all employers whether operating for profit or not:
(a) government employees and GOC or GCC
(b) employers of household helpers and persons in personal service of
another
General Rule: An employer cannot require a female employee to work
with or without compensation on the following hours:
(a) industrial establishment- 10:00pm to 6:00am
(b) commercial establishment- 12midnight to 6:00am
(c) agricultural
establishmentnighttime
(the
period
commencing from sunset to sunrise[Art. 13 of CC]
ARTICLE 131. Exceptions
-nightwork prohibition does not apply t the following cases:
(a) emergency situation- disasters or calamity, or in case of force
majeure or imminent danger to public safety
(b) urgent repairs- on machineries, equipment or installation to avoid
serious loss
(c) urgent work- to prevent serious loss of perishable goods
(d) managerial or technical employees
(e) health and welfare employees(f) peculiarity of work- where the work cannot be performed with equal
efficiency by male workers
(g) family members- the immediate member of the family operating the
establishment
(h) established practice- where the employment of female workers is the
established practice even before the rules of implementing the Labor
Code became effective (Feb. 3, 1975)
(i) analogous cases- exempted by the Secretary of Labor in appropriate
cases
ARTICLE 132. Facilities for Women
-employers may be required to provide the following facilities to female
workers which shall be regulated in appropriate cases by the Secretary of
Labor:
(a) seats
(b) toilet rooms, lavatories, a dressing room
(c) nursery
ARTICLE 133. Maternity Leave Benefits
-has been superseded with the integration of maternity leave with the
Social Security Law, Sec. 14-A:
-female workers must have paid at least 3 monthly
contributions in the 12-month period immediately preceding the
childbirth, abortion, miscarriage
-shall be paid daily maternity benefit equivalent to her
average daily salary
(a) 60days- normal delivery
(b) 78days- cesarean delivery
-conditions:
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-exempted establishments must have a family planning clinic in the
workplace which should have a part-time physician who shall render
2hours a day for at least 5days, unless the establishment has a contract
with a hospital
ARTICLE 135. Discrimination Prohibited
-It shall be unlawful to discriminate against women employee:
(a) payment of lesser compensation as against male employee
for work of equal value
(b) favoring male employees (promotion, training
opportunities, study, scholarship grants) solely on the account of their
sexes
-purpose: to provide equal employment opportunities for all and ensure
the fundamental equalities of men and women
ARTICLE 136. Stipulation Against Marriage
-Prohibited acts of an employer:
(a) that a female employee shall not get married
(b) to resign upon getting married
(c) dismissing or discriminating a female employee because of her
marriage
-Philippine Telegraph & Telephone Co. vs NLRC:
Facts: Female was hired by employer. She indicated that she was single
in her job application form despite the fact that she had contracted
marriage a few months earlier. When the employer learned that she was
married, she was dismissed from employment. Employer has a company
policy of not accepting married women.
Held: Dismissal is not valid. It runs afoul to the right against
discrimination, afforded to women workers. It likewise assaults good
morals and public policy. It strikes the ideals and purpose of marriage as
an inviolable social institution.
ARTICLE 137. Prohibited Acts
- Forbids an employer from:
(a) dismiss a female employee to prevent her to enjoy maternity leave
benefits, etc
(b) dismiss a female employee on the account of her pregnancy, while on
leave
(c) dismiss or refuse the admission of female employee upon returning
to work
ARTICLE 138. Classification of Certain Women Workers
Female workers in entertainment places (night club, cocktail
lounge, massage clinic, bar, etc) are deemed employed if they
have worked therein for a substantial period of time under the
effective control or supervision of the employee.
Chapter 2
Employment of Minors
ARTICLE 139. Minimum Employment Age
-superseded by RA No. 7610, as amended by RA nos. 7658 and 9231
-General Rule: a person can be engaged for employment only when he is
15 years old
-Exceptions, children below 15 can be employed only in the following
instances:
(a) when the child works directly under the sole responsibility of his
parent or guardian, and only member of his family is employed therein,
provided that:
i. employment neither endangers his life, safety, health and
morals, nor impairs his normal development
ii. child is prescribed with primary and secondary education
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(b)
(c)
Chapter IV
Employment of Homeworkers
ARTICLE 153. Regulation of Industrial Homeworkers
-Industrial homework- a system of production under which work for
an employer or contractor is carried out by a homeworker at his home.
Limitation:
(a) explosives, fireworks, and similar articles
SPECIAL LAWS
REPUBLIC ACT NO. 10151
AN ACT ALLOWING THE EMPLOYMENT OF NIGHT
WORKERS, THEREBY REPEALING ARTICLES 130 AND 131
OF PRESIDENTIAL DECREE NUMBER FOUR HUNDRED
FORTY-TWO, AS AMENDED, OTHERWISE KNOWN AS THE
LABOR CODE OF THE PHILIPPINES
SECTION 1. Article 130 of the Labor Code is hereby repealed.
SEC. 2. Article 131 of the Labor Code is hereby repealed.
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SEC. 3. The subsequent articles in Boot Three, Title III, Chapter I to
Chapter IV of Presidential Decree No. 442 are hereby renumbered
accordingly.
SEC. 4. A new chapter is hereby inserted after Book Three, Title III of
Presidential Decree No. 442, to read as follows:
Chapter V
Employment of Night Workers
Art. 154. Coverage. This chapter shall apply to all persons, who shall
be employed or permitted or suffered to work at night, except those
employed in agriculture, stock raising, fishing, maritime transport and
inland navigation, during a period of not less than seven (7) consecutive
hours, including the interval from midnight to five oclock in the
morning, to be determined by the Secretary of Labor and Employment,
after consulting the workers representatives/labor organizations and
employers.
Night worker means any person employed person whose work
requires performance of a substantial number of hours of night work
which exceeds a specified limit. This limit shall be fixed by the
Secretary of Labor after consulting the workers representatives/labor
organizations and employers.
Art. 155. Health Assessment, At their request, workers shall have the
right to undergo a health assessment without charge and to receive
advice on how to reduce or avoid health problems associated with their
work:
(a) Before taking up an assignment as a night worker;
(b) At regular intervals during such an assignment; and
(c) If they experience health problems during such an assignment
which are not caused by factors other than the performance of night
work.
With the exception of a finding of unfitness for night work, the findings
of such assessments shall not be transmitted to others without the
workers consent and shall not be used to their detriment.
Art. 156. Mandatory Facilities. Suitable first-aid facilities shall be
made available for workers performing night work, including
arrangements where such workers, where necessary, can be taken
immediately to a place for appropriate treatment. The employers are
likewise required to provide safe and healthful working conditions and
adequate or reasonable facilities such as sleeping or resting quarters in
the establishment and transportation from the work premises to the
nearest point of their residence subject to exceptions and guidelines to be
provided by the DOLE.
Art. 157. Transfer. Night workers who are certified as unfit for night
work, due to health reasons, shall be transferred, whenever practicable,
to a similar job for which they are fit to work.
If such transfer to a similar job is not practicable, these workers shall be
granted the same benefits as other workers who are unable to work, or to
secure employment during such period.
A night worker certified as temporarily unfit for night work shall be
given the same protection against dismissal or notice of dismissal as
other workers who are prevented from working for reasons of health.
Art. 158. Women Night Workers. Measures shall be taken to ensure
that an alternative to night work is available to women workers who
would otherwise be called upon to perform such work:
(a) Before and after childbirth, for a period of at least sixteen (16)
weeks, which shall be divided between the time before and after
childbirth;
(b) For additional periods, in respect of which a medical certificate is
produced stating that said additional periods are necessary for the health
of the mother or child:
(1) During pregnancy;
(2) During a specified time beyond the period, after childbirth is fixed
pursuant to subparagraph (a) above, the length of which shall be
determined by the DOLE after consulting the labor organizations and
employers.
During the periods referred to in this article:
(i) A woman worker shall not be dismissed or given notice of dismissal,
except for just or authorised causes provided for in this Code that are not
connected with pregnancy, childbirth and childcare responsibilities.
(ii) A woman worker shall not lose the benefits regarding her status,
seniority, and access to promotion which may attach to her regular night
work position.
Pregnant women and nursing mothers may he allowed to work at night
only if a competent physician, other than the company physician, shall
certify their fitness to render night work, and specify, in the ease of
pregnant employees, the period of the pregnancy that they can safely
work.
The measures referred to in this article may include transfer to day
work where this is possible, the provision of social security benefits or
an extension of maternity leave.
The provisions of this article shall not have the effect of reducing the
protection and benefits connected with maternity leave under existing
laws.
Art. 159. Compensation. The compensation for night workers in the
form of working time, pay or similar benefits shall recognize the
exceptional nature of night work.
Art. 160. Social Services.Appropriate social services shall be
provided for night workers and, where necessary, for workers
performing night work.
Art. 161. Night Work Schedules. Before introducing work schedules
requiring the services of night workers, the employer shall consult the
workers representatives/labor organizations concerned on the details of
such schedules and the forms of organization of night work that are best
adapted to the establishment and its personnel, as well as on the
occupational health measures and social services which are required. In
establishments employing night workers, consultation shall take place
regularly.
SEC. 8. Penalties. Any violation of this Act, and the rules and
regulations issued pursuant hereof shall be punished with a fine of not
less than Thirty thousand pesos (P30,000.00) nor more than Fifty
thousand pesos (P50,000.00) or imprisonment of not less than six (6)
months, or both, at the discretion of the court. If the offense is
committed by a corporation, trust, firm, partnership or association, or
other entity, the penalty shall be imposed upon the guilty officer or
officers of such corporation, trust, firm, partnership or association, or
entity.
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REPUBLIC ACT NO. 8187
AN ACT GRANTING PATERNITY LEAVE OF SEVEN (7) DAYS
WITH FULL PAY TO ALL MARRIED MALE EMPLOYEES IN
THE PRIVATE AND PUBLIC SECTORS FOR THE FIRST FOUR
(4) DELIVERIES OF THE LEGITIMATE SPOUSE WITH WHOM
HE IS COHABITING AND FOR OTHER PURPOSES.
(9) Any other person who solely provides parental care and support to
a child or children;
(10) Any family member who assumes the responsibility of head of
family as a result of the death, abandonment, disappearance or
prolonged absence of the parents or solo parent.
A change in the status or circumstance of the parent claiming
benefits under this Act, such that he/she is no longer left alone with
the responsibility of parenthood, shall terminate his/her eligibility
for these benefits.
Section 6. Flexible Work Schedule. - The employer shall provide for a
flexible working schedule for solo parents: Provided, That the same shall
not affect individual and company productivity: Provided, further, That
any employer may request exemption from the above requirements from
the DOLE on certain meritorious grounds.
Section 7. Work Discrimination. - No employer shall discriminate
against any solo parent employee with respect to terms and conditions of
employment on account of his/her status.
Section 8. Parental Leave. - In addition to leave privileges under
existing laws, parental leave of not more than seven (7) working days
every year shall be granted to any solo parent employee who has
rendered service of at least one (1) year.