Last Minute Reviewer by

Atty. Pearlito B. Campanilla

(Good for 2019 Bar only)

Eastern – 154213 – Although the law transferred the jurisdiction from the POEA to
the LA for money claims of OFW, DISCIPLINARY CASES are
still within the jurisdiction of POEA. Appeal for the decisions
of the POEA must be with the secretary of Labor instead of the
NLRC.
Wallem – 160444 – Seafarer must submit his injury THREE days from his
repatriation to the company designated physician. He is not
entitled to disability benefits if he does not. If the seafarer does
not agree, he can ask a second opinion from his own doctor.The
opinion of the company doctor and the employee’s doctor will
then be evaluated by the Labor Arbiter. The opinion of the
company doctor is not at all authoritative for the LA.
Netlink – 160827 – How many years will it be for the non dimunition principle to
apply? The SC has not laid down a specific number of years.
Payment of sales commission can be demanded by the OFW in
foreign currency if this was the established company policy.
Specially if there are no written agreement to the contrary.
Mega – 162021 – Bonus is an act of liberality and cannot be demanded. Specially
if the bonus hinges on a condition i.e., desired goal of
production. Only bonuses that are part of the wage and are not
conditional can be demanded by the employee.
NWPC – 150326 – Regional Tripartite Wages and Productivity Board could issue
exemption to the Minimum wage. But the exemptions must
comply with the rules of the National Wages and Productivity
Commission.
Legend - 153511 – The CA may review factual decision of the NLRC based on
Section 9 of B.P. 129 in the exercise of its original jurisdiction
to issue writs of certiorari:
 - Control Doctrine – a pianist who performs in a restaurant
who:
- Last Minute Reviewer by
Atty. Pearlito B. Campanilla
(Good for 2019 Bar only)
-

a) Could not change the time and place of his performance

(where and when to do a job)
b) Must conform with the motif of the restaurant (how to
do a job)
c) Subjected to the employees representation on the
checks and chits;

is an employee of the restaurant.

Alumaymay - 159350 – Project based employee:
PCDE – a project or undertaking determined at the time of
engagement.
SD – the project or undertaking must be separate and distinct
from office work or regular administrative function.
DM Consunji – 159371 –
- Extension of employment long after the project has been
completed, makes a project employee a regular employee.
- The employer must proved that resignation is voluntary.

a) Signed by the employee.

b) Expresses gratefulness.
c) Gives the reason for the resignation
d) Before and after behavior manifesting intent to resign.
- The employer cannot rely on the weakness of the employee’s
evidence.
Lepanto - 157086 – Rank and file employees who performs supervisory functions
may form union that is separated from the union of the rank and
file employees.
 Supervisor – tells a rank and file WWH when, where and how to
do a job. Recommends BFHRD, giving of benefit, firing, hiring,
making of rules and regulations and disciplining.
Matling - 157802 – Illegal dismissal case of corporate officers are within the
jurisdiction of the Labor Arbiters.
BUT – Incorporation Corporate officers (X)
- Appointed Corporate Officers (√)
- Appointed corporate officers are ordinary employees and not
incorporation officers.
Escario 160302 – Backwages are due an illegal lockout.
Remember:
a) Union who did an illegal act – OUT
b) Union Officet who did not do an illegal out but participated
in the strike – OUT
c) Member who did an illegal act – OUT
d) Members who did not do an illegal act – NOT OUT
Lagahit 177680 - Sales manager – not a manager that can be terminated for breach
of trust. Managers manage People. BFHRD. They give benefit,
fires, hires, makes rules and regulation and discipline. A
warehouse manager can just be a security guard.
Last Minute Reviewer by
Atty. Pearlito B. Campanilla
(Good for 2019 Bar only)

Radio Mindanao 167225 – Quitclaim invalid if:

a) The employee is unsuspecting or gullible (illterate or stupid).
b) Amount is so low it is unconscionable.
Northwest 157633 – Serious misconduct
a) Services – there must be MUD (monetary damage,
undermining of authority or disruption of operation).
 b) Work related – TED BUNDY (you cannot dismiss an
employee for being a serial killer).
c) Unfit to work – Incompatibility Doctrine. You can dismiss an
employee for being a smart aleck. Bad attitude can be the
basis for dismissal.
Gonzales - 158583 – making double entries in the production report is breach of
trust.
- An employee may not be a manager but he is a confidential
employee (in charge with money or property) i.e. cashier,
warehouseman, finance officers. He can be dismissed for
breach of trust.
Castro – 175293 – reinstatement may not be final but it is executory.
- Reinstatement - Actual
- Payroll
- even if on appeal – reinstatement
- backwages is due even if appeal is reversed.
Dongon – 163431 – insubordination as a ground must be exercised in good faith.
Last Minute Reviewer by
Atty. Pearlito B. Campanilla
(Good for 2019 Bar only)
- Willful or intentional – not negligence
- Reasonable and made known to the employer (the employee
was not confused for the employer is not penalizing similar
violation).
- Work related (order must not be a personal errand).
Robina Farms 175869 – terminating an employee solely on the basis of a retirement
plan which was not freely assented to by the employee means
the respondent is guilty of illegal dismissal.
- Retirement is the result of a bilateral act of both the employer
and the employee based on their voluntary agreement that
 upon reaching a certain age, the employees agree to seven
employment.
- It is the employee who decides.
Samar – 162385 – Just cause without due process – nominal damages.
- Breach of trust and confidence must have factual basis.
- Indicted for embezzlement (ground to believe).
- Not when he just filed a complaint for money claims.
Philippines Journalist – 192601- The concurrence of a legitimate spouse does not
disqualify a child or a parent from being a dependent of a
deceased employee provided they can adduce proof of
dependency.
- If the CBA is silent – legal dependent is to be construed in
the light of contemporaneous social legislations.
Hongkong Shanghai – 156635 –
N – Notice of strike – 30 days (15 ULP) (0 union busting)
V – Strike Vote - 24 hours
R – Strike Result - 7 days
Last Minute Reviewer by
Atty. Pearlito B. Campanilla
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Baronda - 161006 – reinstatement aspect of the voluntary arbitrator is executory.
Doctrine of Perpetual Employment – Security of tenure does not mean
perpetual employment. This run counter to the exercise of management
prerogative.
Attorney’s fees – attorney’s fees are awarded to an employee due to
unlawful withholding of his wages and he is compelled to litigate
his case by hiring a lawyer to represent him.
An award of attorney’s fee under Article III of the Labor Code is
in the form of damages in their extraordinary concept. 10%
 Atty’s fee by agreement of the employee and the lawyer is
quantum meruit. This is the ordinary concept.
Doctrine of Incompatibility - Bad attitude. Where the employee has done something
that is contrary or incompatible with the faithful performance of
his duties, his employer can validly dismiss him (Manila
Chauffeur’s League v. Bachrach Motor co., O.G. 159).
Circumstances Affecting Validity of Dismissal – (Proportionality rule or Doctrine
of Commensurate Penalty)
(a) Gravity of the offense
(b) Length of service
(c) Employment position
(d) Totality of violations
(e) Nature of the business
(f) First – offense rule
(g) Principle of compassion, charity, and understanding
(h) Principle of equity
Distinctions between Just-Cause and Authorized Cause Dismissal
(a) In a just cause dismissal, the dismissal process is initiated by the employee.
On the other hand, in authorized cause dismissal, it is initiated by the
employer.
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(c) In just-cause dismissal, payment of separation pay is not required (Toyota

Ruling). In authorized-cause, the law mandates payment of separation pay.

(d) For failure to comply with due process, requirement by the employer in
just-cause dismissal, he is liable to pay indemnity which is tempered
(Php30,000.00). for violation of the due process requirement by the
employer, in authorized-cause dismissal, he is liable to pay indemnity
which is stiffer (Php50,000.00).

Authorized Causes
 (a) Introduction of labor saving device (automation) – replacement of workers
by machines in order to effect more economy and greater efficiency in the
methods of production.

(b) Retrenchment (Downsizing, Delayering) – reduction of personnel due to

poor financial returns designed to cut down on cost of operations. Also, its
purpose is to save a financially ailing company from eventually collapsing
(JATA Gen. Services v. NLRC, G.R. No. 148340, 26 January 2004).

(c) Redundancy – it exists where the services of an employee are in excess of

what is reasonably demanded by the actual retirement of the enterprise.
Does redundancy refer to duplication of work? No. a position is redundant
when it is superfluous and it is outcome of some factors such as over-hiring
of workers, decline in the volume of business, etc.

Last Minute Reviewer by

Atty. Pearlito B. Campanilla
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(d) Disease – when an employee suffer from a disease which cannot be cured
for (6) months and his continued employment is prohibited by law or
prejudicial to his health or to the health of –co-employees, the employer
shall terminate his services. What is contemplated by law is either
contagious or non-contagious disease.

(e) Closure of Business – it is management prerogative to close its business

operation due to serious economies reverses or not due to adverse
economic conditions.

(f) Total Closure – due to serious economic conditions, the company is not
liable to provide separation pay. However, if it is not due to serious
financial reverses, it is liable to pay ½ month pay for every year of service.
Note that partial closure of business is treated retrenchment; thus, an
employee is entitled to ½ month pay for every year of service.

Employment not deemed terminated

 (a) Bona fide suspension of operation of business not exceeding (6) months.
(b) Fulfillment of a personal civic or military duty even it exceeds (6) months.
(c) Floating status or off-detail status for a period of (6) months
(d) Employee on a leave of absence.
(e) 30-days time frame for preventive suspension of an employee. If it exceeds
30 days it metamorphose into a case of constructive dismissal unless paid
his monthly salaries.
(f) Employee filed a case of illegal dismissal. Employer-employee
relationship is merely suspended.

A. Regular Employment
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Atty. Pearlito B. Campanilla
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(1) By nature of work – the employee is engaged to perform job which is

ANDUB an activity necessary or desirable in the usual business or trade
of the employer. (E.g. mechanic in an auto repair shop)

(2) By years of service – the employee render services for at least one year of
service, whether such service is continuous or broken, with respect to the
activity in which he is employed.

(3) Upon the expiration of the probationary period – the general probationary
period is six (6) months; beyond the six month period, the employee
becomes a regular employee. For teacher with full-time satisfactory
service, the probation is three (3) years not three (3) School years.

Note: the employer and the employee can agree on probation below six (6)
months which is favorable to the employee. Also, they can agree beyond six
(60 months especially if the nature of the job requires extensive training
(PLDT Ruling).

(4) Upon expiration of the training period of special types of workers under
Book II of the Labor Code.
 (5) Pre-termination of learnership contract – provides a learner has already
been trained for two 2 months.

(6) Causal employee- who has rendered at least one year of service, a regular
employee.

(7) Constant rehiring or renewal of contract – such as constant project

employees; exception OFWs and seamen who were employed for a fixed
term or contractual basis.

(8) Seasonal employee who are employed from season performing the same
task.

(9) Non-project employees belonging the work pool who are not allowed to
provide their services to other employers.

Last Minute Reviewer by

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C. Casual Employment – employee is engaged to work in an activity that is not

usually necessary or desirable in the usual business of the employer. E.g. A
carpenter hired to repair the roof of an auto repair shop is a causal employee,
because he perform job that in only incidental to the principle activity of the
employer . if the carpenter was able to repair it for three (3) years, what is his
status? Tenure.

D. Law on Prescription of Officer and claim

(a) Purely Money claim – 3 years

(b) Incremental proceeds arising from tuition fees – 3 years
(c) Service Incentive Leave – 3 years
(d) Criminal cases under the Labor Code – 3 years
Except:
  Unfair labor practice – 1 years
 Simple illegal recruitment – 5 years
 Syndicated illegal recruitment – 20 years
 Large scale illegal recruitment – 20 years
 Criminal aspect in Social Security Law – 4 years
(e) Union fund – 3 years
(f) Employees compensation claims – 3 years
(g) Illegal dismissal – 4 years (Callanta v. Carnation Phils. 145 SCRA
268)
(h) Reinstatement – 4 years
(i) Backwages, damages, Atty’s fees, 6% legal interest on monetary
awards – 4 years (arriola v. Pilipino Star, G.R. No. 175689, 13
August 2014)
(j) Social Security claims – 10 years
Government claims on premiums – 20 years
(k) GSIS claims – 4 years
Except:
 Life insurance claims – imprescriptible
 Retirement claims – imprescriptible

E. Jurisdiction of the Labor Arbiter

Last Minute Reviewer by

Atty. Pearlito B. Campanilla
(Good for 2019 Bar only)

(a) Unfair Labor practices. Except – UPL cases under the assumption
power of the President of Secretary of Labor in a vital industry,
disputes by agreement of the parties through voluntary arbitration.

F. Cases not cognizable by the Labor Arbiter

(a) The aggregate amount of money claim does not exceed

Php5,000.00.
(b) Claims for employee’s compensation, social security, Philhealth and
maternity benefits.
(c) Claim for liquidated damages for breach of non-compete provision
in an employment contract is an intrinsically a civil dispute.
(d) Delito, quasi-delito or tort
(e) Intra-corporate cases such as dismissal of corporate officers shall be
cognizable by the Regional Trial Court acting as corporate court
under Securities Code of 2000. The corporate officers are those
mentioned in the Corporation Code and the by-laws. It is settled the
Board of Directors can no longer create corporate offices through
Board Resolution because their power to create such offices cannot
be delegated (Matling Industrial and Commercial Corp., v. Corros,
G.R. No. 157802, 13 October 2010).
(f) Dismissal case filed against a local water district is governed by the
Civil Service Law.
(g) Cases involving government – owned or controlled corporations
with original charters are governed by Civil Service Law (P.D. 807,
as amended).
(h) Cases on unresolved grievances arising from interpretation or
enforcement of CBA or company personnel policies.
(i) Cases arising from violation of training agreements. E.g. in
Apprenticeship, jurisdiction rest upon initially with apprenticeship
Plant Committee.
(j) International organizations with functional immunities such as
SEAFDEC, IRRI, and ADB are beyond the jurisdiction of the Labor
Arbiter.\
(k) Members of the diplomatic corps with diplomatic immunities.
(l) Money claims against government agencies such as the Department
of Agriculture. The claim should be filed with the commission on
Audit.
(m) The Labor Arbiter has no jurisdiction over cases that have
become final and executory under the doctrine of immutability of
final judgment. The exception is when there was a motion filed for
purposes of re-computation of monetary awards (Lim v. HRM,
Phils., G.R. No. 201483, 14 August 2014).
(n) The Labor Arbiter has no power to issue a writ of injunction in labor
disputes involving a strike or lockout (Article 224, infra).
 G. Position paper proceedings, not violative of due process.

Last Minute Reviewer by

Atty. Pearlito B. Campanilla
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Labor cases can be decided on the basils of position papers and other documents
without resorting to technical rules of procedure and evidence observed in the court
of justice. Such a procedure complies with the requirements of due process (Asia
World v. Ople, 152 SCRA 219).

H. Motion to reduce bond accompanied by posting an appeal bond.

Pursuant Mc. Bernie v. Ganzon, the appellant employer can post 10%
of the amount of the bond. However, if the NLRC denied the motion,
the employer is given (10) days fresh period to post the fill amount of
the bond. The 10% posting applies only to motion to reduce the bond
to perfect an appeal.

I. Receipt of evidence for the first time on appeal, allowed

It is settled the NLRC is not precluded from receiving evidence, even
for the first on appeal, because technical rules of procedure are not
binding in labor cases v. NLRC; G.R. No. 148372, 27 June 2005).
J. Change of theory on appeal, not proper
A change or theory on appeal is not proper. It is offensive to the basic
rules of fair play and violative of due process. Thus, prescription cannot
be raised for the first time on appeal, much less in a motion for
reconsideration. (Dosch v. NLRC; 123 SCRA 296; Jacqueline Ind. V.
NLRC, 69 SCRA 242).
K. Question of facts should not be reviewed by the Supreme Court as it is not a
trier of facts. However, judicial review of findings of facts are allowed under
the following instances:
 (a) When the factual findings of the Labor Arbiter, the NLRC and the
Court of Appeals are contradictory or diametrically opposed to each
other.
(b) When the conclusions of the CA are based on speculations,
surmises, conjectures and misapprehension of facts.
(c) When the CA failed to consider facts which if properly considered
would justify a different conclusion (Bascon vs. CA; G.R. No.
144899, 5 February 2004)

L. Contract-bar rule

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The existence of the duly registered CBA bars the holding of a

certification election or any action that disturbs such CBA.

M. Exceptions to the contract-bar rule; certification election not barred

(a) CBA is not registered. Since it is not registered, it will not bar
certification election;
(b) CBA is incomplete/inadequate (sweetheart contract);
(c) CBA was prematurely extended;
(d) Mass disaffiliation from the majority union (schism or split); and
(e) CBA entered into during the pendency of a petition for certification
election.

N. Who can/cannot join a labor organization?

(a) Supervisors cannot join a rank and file union; co-mingling

prohibited;
(b) Employee-member of a cooperative cannot join a labor
organization; an employee-number cannot bargain with himself or
his co-owners (CNEES v. SOLE 13 September 1991);
(c) Confidential employees performing managerial functions cannot
join a labor organization;
(d) Confidential employees who have access on confidential matters of
persons who exercise managerial functions in the field of labor
relations. However, confidential employees without access to
confidential labor relations matter can join (NATU v. Torres, 29
December 1994);
(e) Working children can join a labor organization (P.D. 603)
(f) Homeworkers can join a union (D.O. 5, 4 February 1992);
(g) Independent contractor’s employees can join a union (D.O. 18-02,
2002);
(h) In the government sector, the following cannot form or join a rank
and file union;
i. Member of the AFP, PNP, BJMP, BFP;
ii. High level employees exercising managerial functions
(E.O. 180)
(i) Employees of international organization may join but not for
purposes of collective bargaining (Kapisanan v. SOLE, 28
September 1990)
(j) Alien employees cannot join unless their country extends the right
to Filipino workers (D.O. 40-03);
(k) Managerial employees cannot join a union (Article 251, Labor
Code);

Last Minute Reviewer by

Atty. Pearlito B. Campanilla
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(l) Supervisors may join a union;

(m) Rank and file employees can join a union; and
(n) Rank and file union and a supervisor’s union belonging to the same
company can join the same federation (Article 251, Labor Code).

1. Interference, restraint, coercion – committed through

economic, physical or psychological means. The term
 “interference” is all embracing as it includes all acts of
both the employer and the union designed to discourage
active unionism.
2. Yellow-dog contract – a person who sign this contract is a
cowardly dog because he renounced his right to self-
organization. Here, the employer requires an applicant to
the job that he should never join the union in the
bargaining unit, once employed.
Featherbedding activities – this ULP committed against the employer is an
extortion of money or other things of value for services rendered or
unperformed by the union. The union makes works or prolongs the work in
order to earn.
O. Appropriate bargaining unit defined

Last Minute Reviewer by

Atty. Pearlito B. Campanilla
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An appropriate unit is a classification of jobs or position where two or

more employees possess common employment interests and conditions
and which may be reasonably combined together for purposes of
collective bargaining. The following are the tests of determination:

(a) Globe election test – which is the express will or desire of the
employee’s test.
(b) Community or Mutuality of Interest Test – is reflected in
groups having substantial similarity of work and duties or
similarity of compensation and working condition.
(c) Prior collective bargaining history test – in determining the
proper bargaining unit, another test is the prior history (past
history) of collective bargaining between the proposed
bargaining unit and the employer. Simply stated, past history
of collective bargaining process is resorted to in order
determine the proper bargaining unit.
 (d) Similarity of employment status test – determining the proper
bargaining unit is based on the status of employment of the
workers. Thus, regular employees should constitute one
bargaining unit; while, those employees with brief or casual
employment status should constitute another proper
bargaining unit.
Settled is the rule, the employer is without “Locus standi” to oppose a
petition for certification election. It should maintain a “hands-off” policy.
Jurisdictional 25% consent requirement. The Petition for certification election
should be supported by the written consent of at least 25% of all employees
in the appropriate bargaining unit.
Strike and Lockout
Last Minute Reviewer by
Atty. Pearlito B. Campanilla
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A strike is a temporary stoppage of work arising out of a labor or

industrial dispute. In the words of the Supreme Court, it is the most dangerous
and the most lethal weapon in the arsenal of the union. On the other hand,
lockout takes place when an employer temporarily refuses to furnish work as
a result of a labor or industrial dispute.
Assumption power of the President/Secretary of Labor under Article 278g of the
Labor Code.
Under Article 278g of the Labor Code, the President/Secretary of Labor is
granted an extraordinary pre-emptive power to assume jurisdiction over vital
industry disputes. By nature, such assumption power is plenary, full, complete, and
at the same time discretionary. Such power is limited only to national interest cases.
Legal effects of an Assumption Order
(a) It has effect of a writ of injunction;
(b) The striking workers shall return to work; otherwise, they could be
validity dismissed because they are already engaged in a prohibited
activity;
 (c) Return-to-work order is not necessary in an Assumption Order. The
mere issuance of an Assumption Order automatically carries with it
a return-to-work.
(d) Assumption Order contemplates only actual reinstatement;
however, under special circumstances, they could be reinstated in
the payroll;
(e) With the Assumption Oder issued, the secretary of Labor can take
cognizance of cases under the jurisdiction of the labor Arbiter; and
(f) Cases pending with thwe Labor Arbiter van be taken over by the
Secretary of Labor, provided they are the issues under assumption.
Strikers not entitled to economic benefits; exceptions

Last Minute Reviewer by

Atty. Pearlito B. Campanilla
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In an economic strike, the strikers are not entitled to backwages under the
principle of “no-work, no-pay”. However, under the following, they could be
granted such benefits;
(a) Strikers were discriminatorily dismissed.
(b) Strikers were illegally locked-out by the employer and
(c) Strikers unconditional offered to return to work; but rejected by the
employer (PBTC v. PBTC employees Union, 69 SCRA 10)
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