LABOR LAW QUIZ Example: Book V of the Labor Code which deals with labor organizations, collective

bargaining, grievance machinery, voluntary arbitration, conciliation and mediation, unfair

1. When is the promulgation/effectivity of the labor code? What is the rationale for labor practices, strikes, picketing and lockout.
the delayed effectivity?
--Nov 1, 1974
2. What are the salient features of the Labor Code? Labor standards - refers to that part of labor law which prescribes the minimum terms and
-- The salient features of the Protection to Labor provision of the Constitution conditions of employment which the employer is required to grant to its employees.
(Article XIII. Section 3) are as follows: Examples: Books One to Four of the Labor Code as well as Book VI thereof which deal with
1. Extent of Protection - Full protection to labor; working conditions, wages, hours of work, holiday pay and other benefits, conditions of
2. Coverage of Protection - Local and overseas, organized and unorganized; employment of women, minors, househelpers and homeworkers, medical and dental
3. Employment Policy - Full employment and equality of employment opportunities services, occupational health and safety, termination of employment and retirement.
for all;
4. Guarantees 4. What is the concept of tripartism?
Tripartism refers to the representation of workers and employers sectors in decision and
4.1. Unionism and Method of Determination Conditions of Employment -
policy making bodies of the government. Through tripartism, workers and employers on
Right of all workers to self-organization, collective bargaining and negotiations.
the one hand, representing their respective interests, and the government on the other
4.2. Concerted Activities - Right to engage in peaceful concerted activities,
hand, representing the interest of the public, help shape labor, social and economic policies
including the right to strike in accordance with law.
and programs of the government.
4.3. Working Conditions - Right to security of tenure, humane conditions of
work and a living wage.
Tripartism is in place in government agencies like the the National Labor Relations
4.4. Decision Making Processes - Right to participate hi policy and decision
Commission (NLRC), Employees Compensation Commission (ECC), National Wages and
making processes affecting their rights and benefits as way to provided by law.
Productivity Commission (NWPC), Technical Education and Skill Development Authority
(TESDA), Social Security System (SSS), Government Service Insurance System (GSIS),
5. Share in Fruits of production - Recognition of right of labor to its just share in
Philippine Overseas Employment Administration (POEA), Overseas Workers’ Welfare
fruits of production.
Administration (OWWA) and Pag-ibig Home Development Funds (Pag-ibig).

other answer:
5. What is the rule in interpreting labor laws? When does Art. 4 not apply?
abolishment of the workmen’s compensation - replaced by sss and gsis --Article 4 of the Labor Code. All doubts in the implementation and interpretation of the
abolishment of the CIR replacing it with NLRC
provisions of this Code, including its implementing rules and regulations, shall be resolved
creation of the overseas employment development board and national seamen
board (later replace by POEA) in favor of labor.
creation of OWWA
introduction of the SEBA, thus of CBA And negotiation The Philippine constitution, while inexorably committed towards the protection of the
working class from exploitation and unfair treatment, nevertheless mandates the policy of
3. Distinguish between labor standards law and labor relations law. social justice so as to strike a balance between an avowed predilection of labor, on the one
--Labor relations - refers to that part of labor law which regulates the relations hand, and the maintenance of the legal rights of capital, the proverbial hen that lays the
between employers and workers. golden egg, on the other. In PLDT v. NLRC, although it is bound by the social justice
mandate of the Constitution and the laws, such policy of social justice is not intended to
countenance wrongdoing.
6. What are the exemptions to the rule on publication?
--Exempted to the rule on publication is interpretative regulations or those merely internal
in nature or the so-called letters of instructions issued by administrative superiors
concerning the rules and guidelines to be followed by their subordinates in the
performance of their duties.
7. What is the applicability of labor laws to government employees?
-- The applicability of labor laws to government depends on whether a particular
corporation is created by a charter or under Corporation Code. If it is organized with
original charter, the governing law is Civil Service Law. On the other hand, if it is under the
Corporation Code the applicable law is the Labor Code.
8. What are the four-fold test of employment relationship, explain each.
The usual test used to determine the existence of employer-employer relationship is the
so-called four-fold test. In applying this test, the following elements are generally
considered:
a. Right to hire or to the selection and engagement of the employee.
--It is the manner by which the company in its discretion, may select or hire their
own employee. It is evidenced by employment contract, interview letters, Resume, etc.
b. Payment of wages and salaries for services.
--Payment of wages proves that the employee is rendering services to the
employer. It is evidenced by Payroll slip, wage envelop, etc.
c. Power of dismissal
--The right to hire also constitutes the power to dismiss employees. This test should
be exercised only for just and authorized causes.
d. Power to control
--Under this test, an employer-employee relationship exists where the person for
whom the services are performed reserves the right to control not only the end to be
achieved, but also the manner and means to be used in reaching that end.
9. Distinguish between supervised and unsupervised employees in the
determination of employer employee relationship.
--SUPERVISED EMPLOYEES are those whose time and performance are supervised by the
employer. Here, there is an element of control and supervision over the manner as to how
the work is to be performed. On the other hand, UNSUPERVISED EMPLOYEES are
those whose time and performance are unsupervised. Here, the employer's control
is over the result of the work. Workers on pakyao and takay basis belong to this group.
10. What are the 3 instances when employment relationship is suspended, explain
each.
a. Under Medical/health reason
Employee is suspended for medical reasons. Medical suspension means requiring the
employee to stay at home while a medical matter is being investigated.
If the disease or ailment can be cured within the period of six (6) months with proper
medical treatment, the employer may ask the employee to take a leave of absence. The
employer will reinstate the employee to his former position immediately upon the
restoration of his normal health.
The basis is covered under Omnibus Rule Implementing the Labor Code, Book Six, Title 1,
which provides:
SECTION 8. Disease as a ground for dismissal. — Where the employee suffers from a
disease and his continued employment is prohibited by law or prejudicial to his health or to
the health of his co-employees, the employer shall not terminate his employment unless
there is a certification by competent public health authority that the disease is of such
nature of at such a stage that it cannot be cured within a period of six (6) months even with
proper medical treatment. If the disease or ailment can be cured within the period, the
employee shall not terminate the employee but shall ask the employee to take a leave of
absence. The employer shall reinstate such employee to his former position immediately
upon the restoration of his normal health.
b. Under Employee discipline
Suspension is among the step taken in employee discipline, as a penalty for an offense
committed. Suspension may be for a certain period ranging from one to several days.
During suspension period, the principle of “no work, no pay” applies, and thus the
employee concerned does not receive his wage for each and every day he is suspended.
c. Under preventive suspension
Preventive suspension is generally a legally recognized measure used by an employer to
suspend an employee during an investigation in relation to an incident affecting the
workplace.
The basis of issuing a preventive suspension is found in Section 8 of Rule XXIII, Book V of the
Omnibus Rules Implementing the Labor Code, as amended by Department Order No. 9,
Series of 1997 which provides:
“Section 8. Preventive suspension. The employer may place the worker concerned under
preventive suspension only if his continued employment poses a serious and imminent
threat to the life or property of the employer or of his co-workers.
It is important to remember that the period of preventive suspension is limited by law that
states:
“Section 9. Period of suspension. No preventive suspension shall last longer than thirty (30)
days. The employer shall thereafter reinstate the worker in his former or in a substantially
equivalent position or the employer may extend the period of suspension provided that
during the period of extension, he pays the wages and other benefits due to the worker.”
(Rule XXIII, Book V, Omnibus Rules Implementing the Labor Code, as amended by
Department Order No. 9, Series of 1997)
With regard to salary during the period of the suspension, an employee placed under
preventive suspension is not entitled to the payment of wages. If. however, the basis for
suspension is later proven to be unfounded or invalid, the said employee is entitled to his
salary during the whole period of his suspension. (Gatbonton vs. NLRC).
11. What are the 2 modes of terminating employment relationship, explain.
According to Article 282 of the Labor Code, an employer can terminate an employee for just causes,
which could be any of the following:
 serious misconduct or willful disobedience by the employee of the lawful orders of his
employer or representative in connection with his work;
 gross and habitual neglect by the employee of his duties;
 fraud or willful breach by the employee of the trust reposed in him by his employer or duly
authorized representatives;
 commission of a crime or offense by the employee against the person of his employer or
any immediate member of his family or his duly authorized representatives; and
 other similar causes.
Employers can also terminate an employee based on authorized causes like business and health
reasons. Art. 283 of the Labor Code states that an employee can be terminated due to business
reasons such as:
 installation of labor-saving devices;
 redundancy;
 retrenchment (reduction of costs) to prevent losses; or
 the closing or cessation of operation.
12. Define and explain recruitment and placement . What are the requisites?
-- Article 13(b) of the LC. "Recruitment and placement" refers to any act of canvassing,
enlisting, contracting, transporting, utilizing, hiring or procuring workers, and includes
referrals, contract services, promising or advertising for employment, locally or abroad,
whether for profit or not: Provided, That any person or entity which, in any manner, offers
or promises for a fee, employment to two or more persons shall be deemed engaged in
recruitment and placement.
Requisites: (CETCHUP) canvassing, enlisting, contracting, transporting, hiring, utilizing,
procuring workers. also includes referrals, contract services, promising or advertising for
employment, locally or abroad, whether for profit or not
13. Distinguish between private employment agency and private recruitment entity.
--PEA means any person or entity engaged in recruitment and placement of workers,
overseas, for a fee which is charged, directly or indirectly, from the workers or employers
or both. (collect fees, deploy only overseas, given a license,)
--PRE 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. There must be an authority to recruit. (don’t collect fees, deploy
local and overseas, given authority to recruit)
14. Who are undocumented Filipinos?
--Undocumented Filipinos are people who are in another country illegally. TNT or Tago
nang Tago, which translates to “always hiding”, is what Filipinos call fellow Filipinos who are
undocumented immigrants or illegal aliens.
--Went to another country with only Tourist Visa then started working there
15. Who is an OFW in distress?
-- An OFW in distress has been defined as those found in cases where they have valid legal
assistance problems requiring legal representation or any kind of intervention with the
authorities in the country where they are found.
16. In overseas employment, is the nationality of the employer relevant? Why?
--Overseas employment" is defined by Art. 13(h) of the Labor Code as "employment of a
worker outside the Philippines." Since the definition does not make a distinction regarding
the nationality of the employer, Filipino employers who deploy their employees abroad
should be deemed covered by the definition (Philippine National Construction Corporation
v. NLRC, 193 SCRA 410 [1991]).
The Filipinos working overseas share the same risks and burdens whether their employer
be Filipino or foreign. Thus, Filipino overseas should also receive the same wages and
benefits without regard to the nationality of the employer on which they serve. (Eastern
Shipping Lines, Inc. v. POEA, GR. NO. 77828)
17. What are the rules when it comes to repatriation of OFW?
--Under Section 15 of Republic Act 8042, the repatriation of the worker and the transport of
his personal belongings shall be the primary responsibility of the agency which recruited or
deployed the overseas contract worker. To advance the cost of plane fare and to
immediately repatriate the worker should the need for it arise. All the costs attendant
thereto shall be borne by the agency concerned and/or its principal. However, after the
worker has returned to the country, the principal or agency may recover the cost of
repatriation from the worker if the termination of employment was due solely to his/her
fault.
When a need for repatriation arises and the foreign employer fails to provide for its cost,
the responsible personnel at site shall simultaneously notify OWWA and the POEA of such
need. The POEA shall notify the agency concerned of the need for repatriation. The agency
shall provide the plane ticket or the prepaid ticket advice (PIA) to the Filipinos Resource
Center or to the appropriate Philippine Embassy; and notify POEA of such compliance. The
POEA shall inform OWWA of the action of the agency.
* Mandatory Repatriation of Underage Migrant Workers
The responsible officer at the Foreign Service post shall immediately cause the repatriation
of underage Filipino migrantworkers. The cost attendant to this activity shall be borne
correspondingly by the agency and/or principal or the OWWA as the case maybe.
* Emergency Repatriation Fund
18. What are the requisites before the State may allow deployment of OFWs to a
certain country?
--RA10022 SEC. 3. Deployment of Migrant Workers. – The State shall allow the deployment
of overseas Filipino workers only in countries where the rights of Filipino migrant workers
are protected. The government recognizes any of the following as a guarantee on the part
of the receiving country for the protection of the rights of overseas Filipino workers:
“(a) It has existing labor and social laws protecting the rights of workers, including
migrant workers;
“(b) It is a signatory to and/or a ratifier of multilateral conventions, declarations or
resolutions relating to the protection of workers, including migrant workers; and
“(c) It has concluded a bilateral agreement or arrangement with the government on
the protection of the rights of overseas Filipino Workers:
Provided, That the receiving country is taking positive, concrete measures to protect the
rights of migrant workers in furtherance of any of the guarantees under subparagraphs (a),
(b) and (c) hereof.
“In the absence of a clear showing that any of the aforementioned guarantees exists in the
country of destination of the migrant workers, no permit for deployment shall be issued by
the Philippine Overseas Employment Administration (POEA).
19. What is the nature of OFW employment? Is it discriminatory?
--Contractual employment and never permanent. The fixed-period employment of OFWs is
not discriminatory because OFWs can't stay there forever.
20. Explain the twin notice requirement.
-- The twin requirements of notice constitute the essential elements of due process. This
simply means that the employer shall afford the worker ample opportunity to be heard and
to defend himself with the assistance of his representative, if he so desires. Any procedural
shortcut, that effectively allows an employer to assume the roles of both accuser and judge
at the same time, should not be countenanced.
The law requires that the employer must furnish the worker sought to be dismissed with
two written notices before termination of employment can be legally effected. First, a
notice which apprises the employee of the particular acts or omissions for which his
dismissal is sought; and second, the subsequent notice which informs the employee of the
employer’s decision to dismiss him (Sec. 13, BP 130; Sec. 2-6 Rule XIV, Book V, Rules and
Regulations Implementing the Labor Code as amended). Failure to comply with the
requirements taints the dismissal with illegality. This procedure is mandatory, in the
absence of which, any judgment reached by management is void and inexistent.
21. What is the significance of Serrano case?
--The Serrano case declared unconstitutional paragraph 5, Section 10 of R.A. 8042 for being
discriminatory and violative of the equal protection clause. As a result, illegally dismissed
OFWs are now entitled to all the salaries for the entire unexpired portion of their
employment, irrespective of the stipulated term or duration.
22. What are the entitlements of an illegally dismissed OFW?
-- In the case of Antonio M. Serrano vs. Gallant Maritime Services, Inc., G.R. No. 167614,
March 2009), an illegally dismissed OFW is entitled to all the salaries for the entire
unexpired portion of their employment contracts irrespective of the stipulated term or
duration thereof.
23. Explain the phrases “during the term”and “absolute helplessness” in OFW
disability benefit.
-- In OFW disability benefit, the phrase “during the term” implies that the injury or illness
existed during the term of the seafarer’s employment contract. In other hand, the phrase
“absolute helplessness” which is a condition of complete helplessness is not a requirement.
Permanent total disability does not mean absolute helplessness. It means disablement of
an employee to earn wages in the same kind of work or work of similar nature that he was
trained for or accustomed to perform, or any kind of work which a person of his mentality
and attainment can do.
In disability compensation, it is the not the injury which is compensated, but rather
the incapacity to work resulting in the impairment of one's earning capacity. [Bejerano v.
ECC, G. R. No. 84777 January 30, 199 )
24. What is the rule in converting foreign currency award?
--The Supreme Court held that awards paid in foreign currency should be converted at the
exchange rate prevailing at the time of payment.
The provisions of Article 1250 of the Civil Code that the value of the currency at the time of
the establishment of the obligation shall be the basis of payment applies only when there
is an official pronouncement or declaration of the existence of an extraordinary inflation or
deflation.
25. Enumerate the funds established under RA 8042
SEC. 15. REPATRIATION OF WORKERS; EMERGENCY REPATRIATION FUND
SEC. 21. MIGRANT WORKERS LOAN GUARANTEE FUND
SEC. 25. LEGAL ASSISTANCE FUND
SEC. 37. THE CONGRESSIONAL MIGRANT WORKERS SCHOLARSHIP FUND
26. Explain the mandatory remittance rule. What are the proofs of compliance?
-- ART. 22 of Labor Code. It shall be earnings to their families, dependents, and/or
beneficiaries in the country in accordance with rules and regulations prescribed by the
Secretary of Labor.
SEC. 1 of EO 857. It shall be mandatory for every Filipino contract worker abroad to remit
regularly a portion of his foreign exchange earnings to his beneficiary in the Philippines
through the Philippine banking system. Licensed agencies and other entities authorized by
the Ministry of Labor and Employment to recruit Filipino workers for overseas employment
are similarly required to remit their workers' earnings as provided for in this Order.
(In short: to support the family, and to keep the PH economy alive)
PROOFS OF COMPLIANCE:
SEC. 5 of EO 857. For purposes of this Order, proof of compliance with the mandatory
remittance requirement as mentioned in Section 1 hereof, may consist of any of the
following documents or such alternative as may be approved by the Central Bank of the
Philippines showing that the contract worker had in fact effected aforesaid remittance and
had caused the surrender of the same for pesos through the Philippine banking system:
a. Confirmed bank (foreign) remittance form;
b. Certification from employer, duly authenticated, that remittance has been
effected;
c. Certification as to the surrender for pesos to the Philippine banking system; and
d. Receipt of International Postal Money Order.
27. What is the rule when it comes to diminishing of OFW salary and benefits? What
is the exemption?
--Diminishing the salary of an employee is illegal unless it is ratified and approved by the
POEA.
Article 10 of the labor code also prohibits employers from eliminating or reducing the
benefits received by employees unless the benefit is based on
a. an express policy
b. a written contract or
c. a company practice

28. What is illegal recruitment (elements)? When it is considered economic

sabotage?
There is illegal recruitment if the following elements are present:
1. That the offender has no valid license or authority required by law to enable him
to lawfully engage in the recruitment and placement of workers;

2. That the offender undertakes any activity within the meaning of recruitment and
placement defined under Article 13(b) of the labor code, or any prohibited practices
enumerated under Art 34 of the Labor Code, as expanded by Section 6 of RA 8042,
regardless of whether the offender is a non-licensee, non-holder, licensee or holder of
authority.

It shall be considered economic sabotage if the first two requisites are present, that is,
illegal recruitment is present, and

1. when it is committed by a syndicate, or when it is carried out by three or more

persons; and/or

2. when it is committed in large scale, or when it is committed against three or

more persons, either individually or as a group.