2023 Labor Law Syllabus Based eREVIEWER v1.0

Labor Law and Social Legislation
Syllabus-based eReviewer for the 2023 Bar

Labor Law and Social Legislation Syllabus-based Reviewer for the 2023 Bar
Table of Contents
3. Labor Code 4. Due Process Clause. Sec 1 Art III. No person shall be
deprived of life, liberty, or property without due process of
Fundamental Principles and Concepts 2 State Policy Towards Labor law, nor shall any person be denied the equal protection of the
laws.
Pre-Employment 4 1. Security of Tenure
Constitutional provisions on the protection of labor are NOT
2. Social Justice SELF-EXECUTING, and are mere guidelines that need enabling laws.
Employment Proper 10 They are not judicially enforceable.
3. Equal Work Opportunities
Management Prerogative 11
Council of Teachers & Staff of Colleges &
4. Right to Self-Organization and Collective Bargaining 2018 En Banc
Universities of the Phils. v. Sec. of Education
Labor Standards 14
5. Construction in Favor of Labor The constitutional mandates of protection to labor and security of
Social Welfare Legislation 36 tenure may be deemed as self-executing in the sense that these are
6. Burden of Proof and Quantum of Evidence
automatically acknowledged and observed without need for any
Labor Relations 43 enabling legislation. However, to declare that the constitutional
A Legal Basis provisions are enough to guarantee the full exercise of the rights
Telecommuting Act 55 embodied therein, and the realization of ideals therein expressed,
would be impractical, if not unrealistic.
1 1987 Constitution
Post-Employment 56 Subsequent legislation is still needed to de ne the parameters of
Provides limitations in the enactment of Labor Laws. these guaranteed rights to ensure the protection and promotion, not
Jurisdiction and Remedies 80 only the rights of the labor sector, but of the employers' as well.
1. Non-impairment Clause. Sec 10 Art III. No law impairing
the obligation of contracts shall be passed.
Fundamental Principles and Concepts
2. Equal Protection Clause. Sec 1 Art III. No person shall be
2 Civil Code
I PD 442, as amended deprived of life, liberty, or property without due process of
law, nor shall any person be denied the equal protection of the
Omnibus Rules implementing the Labor Code
laws.
Article 1700. The relations between capital and labor are not
Legal Basis 3. Prohibition Against Involuntary Servitude. Sec 18(2) Art merely contractual. They are so impressed with public interest that
III. No involuntary servitude in any form shall exist except as a labor contracts must yield to the common good. Therefore, such
1. 1987 Constitution punishment for a crime whereof the party shall have been duly contracts are subject to the special laws on labor unions, collective
convicted.
2. Civil Code
eCodal+Pro by RGL 2 of 95
bargaining, strikes and lockouts, closed shop, wages, working 3. peaceful concerted activities, including the right to strike in ART 294. Security of Tenure. — In cases of regular employment, the
conditions, hours of labor and similar subjects. accordance with law. employer shall not terminate the services of an employee except for a
just cause or when authorized by this Title. An employee who is
Article 1701. Neither capital nor labor shall act oppressively against Individual Rights of Workers. — They shall be entitled to
unjustly dismissed from work shall be entitled to
the other, or impair the interest or convenience of the public. 1. security of tenure,
(Principle of Non-oppression) a) reinstatement without loss of seniority rights and other
2. humane conditions of work, and a privileges and
Article 1702. In case of doubt, all labor legislation and all labor 3. living wage. b) his full backwages, inclusive of allowances, and
contracts shall be construed in favor of the safety and decent living
Right to Participate. — They shall also participate in policy and c) his other bene ts or their monetary equivalent computed
for the laborer.
decision-making processes a ecting their rights and bene ts as may from the time his compensation was withheld from him up
be provided by law. to the time of his actual reinstatement.
3 Labor Code The State shall promote
a) PD 442, as amended; 2 Social Justice
1. the principle of shared responsibility between workers and
b) Omnibus Rules implementing the Labor Code. employers and
The promotion of the welfare of all the people, the adoption by
2. the preferential use of voluntary modes in settling the Government of measures calculated to insure economic
B State Policy Towards Labor disputes, including conciliation, and shall enforce their stability of all the component elements of society, through the
mutual compliance therewith to foster industrial peace. maintenance of a proper economic and social equilibrium in the
SEC 3 ART XIII. The State shall interrelation of the members of the community, constitutionally,
The State shall regulate the relations between workers and employers, through the adoption of measures legally justi able, or
1. a ord full protection to labor, local and overseas, organized recognizing extra-constitutionally through the exercise of powers underlying
and unorganized, and
1. the right of labor to its just share in the fruits of production the existence of all Governments on the time-honored principle of
2. promote full employment and equality of employment Salus Populi est suprema lex. (Calalang v. Williams)
and
opportunities for all.
2. the right of enterprises to reasonable returns to investments,
3 Equal Work Opportunities
Collective Rights of Workers. — It shall guarantee the rights of all and to expansion and growth.
workers to a) The State shall promote full employment and equality of
1 Security of Tenure employment opportunities for all.
1. self-organization,
b) A manifestation of this is the enactment of RA 10911 or the
2. collective bargaining and negotiations, and
Anti-Age Discrimination in Employment Act.
Right to Self-Organization and Collective Maula v. Ximex Delivery Express 2017 the complaining employee has shown, by substantial evidence,
4
Bargaining the fact of termination by the employer
In administrative and quasi-judicial proceedings, the quantum of
a) An employee can join a union on the rst day of employment. evidence required is substantial evidence or "such relevant
evidence as a reasonable mind might accept as adequate to support a
b) Collective bargaining is a contract between workers and 2012 re Clear and
conclusion." Thus, unsubstantiated suspicions, accusations, and Duty Free Philippines v. Tria
employers on terms and conditions of employment over and Convincing Evidence
conclusions of the employer do not provide legal justi cation for
above those mandated by law.
dismissing the employee. In illegal dismissal cases, the employer is burdened to prove just
cause for terminating the employment of its employee with clear
5 Construction in Favor of Labor and convincing evidence. This principle is designed to give esh
Minsola v. New City Builders, Inc. 2018 re Money Claims and blood to the guaranty of security of tenure granted by the
ART 4. Construction in Favor of Labor. — All doubts in the
Constitution to employees under the Labor Code.
implementation and interpretation of the provisions of this In claims for payment of salary di erential, service incentive
Code, including its implementing rules and regulations, shall leave, holiday pay and 13th month pay, the burden rests on the
be resolved in favor of labor. employer to prove payment. This standard follows the basic rule II Pre-Employment
a) In Peñaflor v. Outdoor Clothing 2010, this principle has been that in all illegal dismissal cases the burden rests on the defendant to
Recruitment and Placement of Local and Migrant
extended to cover doubts in the evidence presented by the prove payment rather than on the plainti to prove non-payment.
employer and the employee. Workers
On the other hand, for overtime pay, premium pays for holidays
b) If doubt exists between the evidence presented by the and rest days, the burden is shifted on the employee, as these 1. De nition of Recruitment and Placement
employer and the employee, the scales of justice must be tilted monetary claims are not incurred in the normal course of business.
in favor of the latter. (Dreamland Hotel Resort v. Johnson It is thus incumbent upon the employee to rst prove that he 2. Regulation of Recruitment and Placement Activities
2014) actually rendered service in excess of the regular eight working hours
a day, and that he in fact worked on holidays and rest days. 3. Illegal Recruitment
c) The rule is that where the law speaks in clear and categorical
language, there is no room for interpretation; there is only 4. Liability of Local Recruitment Agency and Foreign
room for application. Only when the law is ambiguous or of Employer
Remoticado v. Typical
doubtful meaning may the court interpret or construe its true 2018 re Illegal Dismissal
Construction Trading
intent. (Leoncio v. MST Marine Services 2017) 5. Termination of Contract of Migrant Worker
There can be no case for illegal termination of employment when
6 Burden of Proof and Quantum of Evidence there was no termination by the employer. While, in illegal Employment of Non-Resident Aliens
termination cases, the burden is upon the employer to show just
cause for termination of employment, such a burden arises only if Discriminatory Practices
adherence of particular countries to international standards on

Recruitment and Placement of Local human and workers rights which will adequately prepare
4) Other employers as may be allowed by the POEA, such as
A and Migrant Workers individuals into making informed and intelligent decisions a) Those provided in 1, 2, and 3 above who bear a lesser
about overseas employment. rank, if endorsed by the Philippine Overseas Labor O ce
Migrant Workers and Overseas Filipinos Act of 1995
(POLO), or Head of Mission in the absence of the
(2) Regulatory and Visitorial Powers of the POLO;
1 De nition of Recruitment and Placement Department of Labor and Employment Secretary
b) Professionals and skilled workers with duly executed
Art 36. Regulatory Power. The Secretary of Labor shall
Recruitment and placement refers to any act of canvassing, veri ed/authenticated contracts containing terms and
have the power to restrict and regulate the recruitment and
enlisting, contracting, transporting, utilizing, hiring, or conditions over and above the standards set by the POEA.
placement activities of all agencies within the coverage of this
procuring workers, and includes referrals, contract services, The number of professionals and skilled OFWs hired for
Title and is hereby authorized to issue orders and promulgate
promising or advertising for employment, locally or abroad, the rst time by the employer shall not exceed ve (5). For
rules and regulations to carry out the objectives and
whether for pro t or not: the purpose of determining the number, workers hired as
implement the provisions of this Title.
a group shall be counted as one; or
Provided, That any person or entity which, in any manner,
Art 37. Visitorial Power. The Secretary of Labor or his duly
c) Workers hired by a relative/family member who is a
1. o ers or promises for a fee, authorized representatives may, at any time, inspect the
permanent resident of the host country, except domestic
2. employment to two or more persons premises, books of accounts and records of any person or
workers (live-in caregiver/care worker or household service
entity covered by this Title, require it to submit reports
shall be deemed engaged in recruitment and placement. workers).
regularly on prescribed forms, and act on violations of any
provisions of this Title. Their hiring nonetheless must be processed through the POEA by
Regulation of Recruitment and Placement submitting:
2
Activities b) Ban on Direct Hiring
1) The employment contract;
see POEA Memorandum Circular No. 08, S. 2018
a) Regulatory Authorities 2) Valid passport;
Implementing Guidelines on the Registration of Direct-Hire
(1) Philippine Overseas Employment Administration OFWs. 3) Employment visa or work permit, or equivalent;
Shall regulate private sector participation in the recruitment No employer may hire a Filipino worker for overseas employment 4) Certi cate of medical tness; and
and overseas placement of workers by setting up a licensing except through the Boards and entities authorized by the DOLE.
5) Certi cate of attendance to the required employment
and registration system. It shall also formulate and implement The following, however, are exempted from the ban
orientation/ brie ng.
a system for promoting and monitoring the overseas 1) members of the diplomatic corps;
employment of Filipinos. c) Entities Prohibited from Recruiting
2) international organizations;
Labor Situationers. The POEA, in consultation with the The following are disquali ed from recruitment and placement for
DFA, shall disseminate information on labor and employment 3) Heads of state and government o cials with the rank of at domestic employment:
conditions, migration realities and other facts, as well as least deputy minister;
1) Persons convicted of 4) Individuals, partners, o cers or directors of an insurance

The DOLE Secretary and POEA Administrator have concurrent
company who make, propose or provide an insurance contract
a) illegal recruitment, jurisdiction to suspend or cancel a license.
under the compulsory insurance coverage for agency-hired
b) tra cking in persons, OFWs; e) Prohibited Practices
c) violation of child labor laws, or 5) Sole proprietors, partners or o cers and board members with It shall be unlawful for any individual, entity, licensee, or holder of
d) crimes involving moral turpitude; derogatory records. authority:
2) Agencies whose licenses have previously been cancelled or 6) Any o cial or employee of DOLE, POEA, OWWA, DFA, 1) To charge or accept directly or indirectly any amount
revoked; DOJ, DOH, BI, IC, NLRC, TESDA, CFO, NBO, PNP, greater than that speci ed in the schedule of allowable
CAAP, international airport authorities, and other GAs fees prescribed by the SOLE, or to make a worker pay or
3) Cooperatives;
directly involved in the implementation of RA No 8042 acknowledge any amount greater than that actually received by
4) Law enforcers and any o cial or employee of the DOLE. and/or any of his relatives within the 4th civil degree. him as a loan or advance;
5) Those against whom probable cause or prima facie nding of 2) To furnish or publish any false notice or information or
d) Suspension or Cancellation of License or Authority
guilt for illegal recruitment or other related cases exist document in relation to recruitment or employment;
particularly to owners or directors of agencies who have Meaning of License and Authority
3) To give any false notice, testimony, information or
committed such violations. Authority refers to a document issued by the SOLE authorizing the
document or commit any act of misrepresentation for
6) Sole proprietors of duly licensed agencies are prohibited from o cers, personnel, agents or representatives of a licensed
the purpose of securing a license or authority under the
securing another license to engage in recruitment and recruitment/manning agency to conduct recruitment and
Labor Code, or for the purpose of documenting hired workers
placement. placement activities in a place stated in the license or in a speci ed
with the POEA, which include the act of reprocessing workers
place.
7) Sole proprietors, partnerships or corporations licensed to through a job order that pertains to non-existent work, work
engage in private recruitment and placement for local License refers to the document issued by the SOLE authorizing a di erent from the actual overseas work, or work with a
employment are prohibited from engaging in job contracting person, partnership or corporation to operate a private di erent employer whether registered or not with the POEA;
or subcontracting activities. (Sec 5, DO No 141-14) recruitment/manning agency.
4) To induce or attempt to induce a worker already
For Overseas Employment Any recruitment activities, including the prohibited practices, to employed to quit his employment in order to o er him
be undertaken by non-licensees or non-holders of authority shall another unless the transfer is designed to liberate a worker
1) Travel agencies and sales agencies of airline companies; be deemed illegal. from oppressive terms and conditions of employment;
2) O cers or Board members of any corporation or partners in a The characteristics of a recruitment license are: 5) To in uence or attempt to in uence any person or entity
partnership engaged in the business of a travel agency; not to employ any worker who has not applied for
1) It is place-speci c;
3) Corporations and partnerships, where any of its o cers, employment through his agency or who has formed, joined or
Board members or partners is also (b); 2) It is person-speci c; and supported, or has contacted or is supported by any union or
3) It is prospective. workers' organization;
purposes of deployment, in cases where the deployment does

6) To engage in the recruitment or placement of workers in jobs
harmful to public health or morality or to the dignity of
not actually take place without the worker's fault; and 3 Illegal Recruitment
the Republic of the Philippines; 14) To allow a non-Filipino citizen to head or manage a
licensed recruitment/manning agency.
a) Elements
7) To obstruct or attempt to obstruct inspection by the
1) Essential Element. Presupposes deceit or
SOLE or by his duly authorized representative; Other Prohibited Acts
misrepresentation.
8) To fail to submit reports on the status of employment, 15) Excessive Interest. To arrange, facilitate or grant a loan to an
a) Without being duly authorized;
placement vacancies, remittance of foreign exchange earnings, OFW with interest >8% per annum, which will be used for
separation from jobs, departures and such other matters or payment of legal and allowable placement fees and make the b) Gave distinct impression that he had power or ability
information as may be required by the SOLE; OFW issue, either personally or through a guarantor or to deploy workers;
accommodation party, postdated checks in relation to the said c) Complainants were convinced to part with their
9) To substitute or alter to the prejudice of the worker,
loan; money by such impression;1
employment contracts approved and veri ed by the
Department of Labor and Employment from the time of 16) Specifying a Loan Entity. To impose a compulsory and d) There must be at least a promise or o er of
actual signing thereof by the parties up to and including the exclusive arrangement whereby an OFW is required to avail a employment.2
period of the expiration of the same without the approval of loan only from speci cally designated entities;
the Department of Labor and Employment; 2) Recruitment and Placement; Presumption. Where a fee is
17) Non-renegotiation of Loan. To refuse to condone a loan collected in consideration of a promise or o er of employment
10) For an o cer or agent of a recruitment or placement incurred by an OFW after his employment contract has been to two or more prospective workers.
agency to become an o cer or member of the Board of prematurely terminated not through his fault.
any corporation engaged in travel agency or to be engaged 3) Additional elements
18) Specifying a Medical Entity. Whereby an OFW is required
directly or indirectly in the management of a travel agency; a) For syndicated. — committed by three or more
to undergo health examinations only from speci c clinics,
11) To withhold or deny travel documents from applicant entities, except when the cost is shouldered by the principal; persons conspiring and confederating with one
workers before departure for monetary or nancial another. (People v. Hashim 2012)
19) Specifying a Training Entity. Whereby an OFW is
considerations, or for any other reasons, other than those b) For large scale. — committed against three or more
required to undergo trainings, seminars only from speci c
authorized under the Labor Code and its implementing Rules persons, individually or as a group. (People v.
entities, except when cost is shouldered by the principal;
and Regulations; Tuguinay 2012)
20) Violation of Suspension. To engage in any kind of
12) Failure to actually deploy a contracted worker without valid
recruitment activity including the processing of pending b) Types
reason as determined by the DOLE;
workers’ applications; and There are at least four kinds of illegal recruitment under the law.
13) Failure to reimburse expenses incurred by the worker in
21) Collection of Insurance Premium. To pass on the employer
connection with his documentation and processing for
through deduction of his wages the cost or premium of
insurances under the compulsory workers insurance coverage. 1
People v. Goce, GR No 113161, August 29, 1995
2
Darvin v. CA and People, GR No 125044, July 13, 1998
prosecution of which, proof of criminal intent is necessary. (Sy

1) One is simple illegal recruitment committed by a licensee or knowledge of the principal-foreign employer cannot, therefore, be
v. People 2010)
holder of authority. imputed to its agent.
2) Any person “who is neither a licensee nor a holder of Liability of Local Recruitment Agency and
authority” commits the second type of illegal recruitment. 4 5 Termination of Contract of Migrant Worker
Foreign Employer
3) Large scale or Qualified. — The third type of illegal 1. In case of termination of overseas employment without just,
recruitment refers to o enders who either commit the o ense a) Solidary Liability
valid or authorized cause as de ned by law or contract, or any
alone or with another person against three or more persons 1) The liability of the principal/employer and the unauthorized deductions from the migrant worker's salary, the
individually or as a group. recruitment/placement agency for any and all claims under worker shall be entitled to the full reimbursement of his
4) Syndicated —A syndicate or a group of three or more this section shall be joint and several. placement fee and the deductions made with interest at twelve
persons conspiring and confederating with one another in 2) Such liabilities shall continue during the entire period or percent (12%) per annum, plus his salaries for the unexpired
carrying out the act circumscribed by the law commits the duration of the employment contract and shall not be portion of his employment contract or for three (3) months
fourth type of illegal recruitment by the law. (People v. affected by any substitution, amendment or for every year of the unexpired term, whichever is less3. (Sec 10)
Sadiosa) modification made locally or in a foreign country of the said 2. Termination of employment of OFWs takes place in the
Under RA 8042, the third and fourth types herein are contract. (Sec 10, RA 8042) following instances:
considered Illegal Recruitment as Economic Sabotage. 3) In Sto. Tomas, et al. v. Salac 2012 En Banc, however, the Court a. Pre-termination of employment contract with
clari ed that liability may be imputed on the corporate o cers approval of employer;
c) Illegal Recruitment vs. Estafa
or directors only if it is proved that they are personally
1) Estafa by means of false pretense. A worker who su ers b. Discharge for a valid cause;
involved in the wrongful acts of the company.
pecuniary damage as a result of a previous or simultaneous c. Su ered injury or illness; or
4) The liability of corporate directors and o cers is not
false pretense resorted to by a nonlicensee or nonholder of
automatic. To make them jointly and solidarily liable with d. An OFW has died.
authority, may complain for estafa aside from illegal
their company, there must be a nding that they were remiss in
recruitment.
directing the a airs of that company, such as sponsoring or Skippers United Pacific Inc. v. Doza 2012
2) Illegal recruitment and estafa cases may be led simultaneously tolerating the conduct of illegal activities.
or separately. The ling of charges for illegal recruitment does The OFW can pre terminate his employment contract which is akin
not bar the ling of estafa, and vice versa. An accused’s b) Theory of Imputed Knowledge to resignation. However, if the employer failed to submit substantial
acquittal in the illegal recruitment case does not prove that she evidence that indeed the OFW voluntarily pre-terminated his
is not guilty of estafa. Sunace International Management Services, Inc. v. NLRC contract; then the OFW is deemed illegally dismissed.
Double jeopardy will not set in because illegal recruitment is The theory of imputed knowledge ascribes the knowledge of the The best proof of pre-termination is a written resignation.
malum prohibitum, in which there is no necessity to prove agent TO the principal, not the other way around. The
criminal intent, whereas estafa is malum in se, in the 3
Declared unconstitutional.
c) Owners and representatives of foreign principals i. who is a manager, executive or specialist

whose companies are accredited by the POEA, who in accordance with Trade Agreements and
B Employment of Non-Resident Aliens come to the Philippines
ii. an employee of the foreign service supplier
1) Only non-resident aliens are required to secure employment i. for a limited period and for at least one (1) year continuous
permit. For resident aliens and immigrants, what is required is employment.
ii. solely for the purpose of interviewing
an Alien Employment Registration Certi cate (AERC). Filipino applicants for employment abroad; e) All other intra-corporate transferees not within these
2) The latest department order issued about employment of categories as de ned above are required to secure an
d) Foreign nationals who come to the Philippines to
foreign workers is DO No 146-15. AEP prior to their employment in the Philippines.
teach, present and/or conduct research studies in
3) A foreign national working in PH without the requisite universities and colleges as visiting, exchange or f) Contractual service supplier who is a manager,
employment permit may le with the NLRC an illegal adjunct professors provided that the exemption is executive or specialist and an employee of a foreign
dismissal complaint. The dismissal may be declared invalid and on a reciprocal basis; service supplier which has no commercial presence in
she may be recognized as an employee but she cannot be the Philippines:
e) Permanent resident foreign nationals and
awarded claim for monetary bene ts. To do so will probationary or temporary resident visa holders; i. who enters the Philippines temporarily to
sanction the violation of PH labor laws requiring aliens to secure supply a service pursuant to a contract;
work permits before their employment.4 f) Refugees and Stateless Persons recognized by DOJ;
and ii. must possess the appropriate educational and
4) Alien Employment Permit. — Revised Rules for Issuance professional quali cations; and
of Employment Permits to Foreign Nationals, DOLE D.O. g) All foreign nationals granted exemption by law.
No. 186, S. 2017 iii. must be employed by the foreign service
Exclusion. — The following categories of foreign nationals
supplier for at least one year prior to the
Coverage. — All foreign nationals who intend to engage in are excluded from securing an employment permit:
supply of service in the Philippines.
gainful employment in the Philippines shall apply for AEP. a) Members of the governing board with voting
g) Representative of the Foreign Principal/Employer
Exemption. — The following categories of foreign nationals rights only and do not intervene in the management
assigned in the O ce of Licensed Manning Agency
are exempt from securing an employment permit: of the corporation or in the day to day operation of
(OLMA).
the enterprise.
a) All members of the diplomatic service and 5) Working Permits & Visas. — See DOLE, DOJ, BI and BIR
foreign government o cials subject to reciprocity; b) President and Treasurer, who are part-owner of the
Joint Guidelines No. 01, S. 2019
company.
b) O cers and sta of international organizations of
c) Those providing consultancy services who do not
which the Philippine government is a member, and C Discriminatory Practices
their legitimate spouses desiring to work in PH; have employers in the Philippines.
d) Intra-corporate transferee
1 Age
4
WPP Marketing, et al. v. Galera 2010
RA 10911 or the Anti-Age Discrimination in ii) Exclude from its membership any individual Health Condition
Employment Act because of such individual's age; or 3
RA 7277 or the Magna Carta for Disabled Persons
iii) Cause or attempt to cause an employer to
1) It is now unlawful
discriminate against an individual. No entity, whether public or private, shall discriminate against a
a) For employers to quali ed disabled person by reason of disability in regard to job
2) The law however accepts of exceptions
i) Print or publish, or cause to be printed or application procedures, the hiring, promotion, or discharge of
a) Age is a bona fide occupational qualification employees, employee compensation, job training, and other terms,
published, in any form of media, including
reasonably necessary in the normal operation of a conditions, and privileges of employment.
the internet, any notice of advertisement
particular business or where the di erentiation is
relating to employment suggesting
preferences, limitations, speci cations, and
based on reasonable factors other than age; Solo Parents
discrimination based on age; b) The intent is to observe the terms of a bona de
4
Sec. 7, RA 8972, as amended by RA 11861
seniority system that is not intended to evade the
ii) Require the declaration of age or birth date
purpose of this Act; Work Discrimination. — No employer shall discriminate
during the application process;
c) The intent is to observe the terms of a bona de against any solo parent employee with respect to terms and
iii) Decline any employment application because conditions of employment on account of his or her status,
employee retirement or a voluntary early retirement
of the individual's age; Employers may enter into agreements with their solo parent
plan consistent with the purpose of this Act; or
iv) Discriminate against an individual in terms employees for a telecommuting program, as provided in RA No.
d) The action is duly certi ed by the SOLE. 11165, otherwise known as the ‘Telecommuting Act':
of compensation, terms and conditions or
privileges of employment on account of such Provided, That said solo parent employees shall be given priority by
individual's age; Gender and/or Marital Status
2 their employer.
v) Deny any employee's or worker's promotion RA 9710 or the Magna Carta of Women
or opportunity for training because of age;
The following are acts of discrimination:
III Employment Proper
vi) Forcibly lay o an employee or worker
because of old age; or a) Payment of a lesser compensation, including wage, salary or Management Prerogative
other form of remuneration and fringe bene ts, to a female
vii) Impose early retirement on the basis of such employee as against a male employee, for work of equal value; Labor Standards
employee's or worker's age. and
b) For a labor organization to
Social Welfare Legislation
b) Favoring a male employee over a female employee with respect
i) Deny membership to any individual because to promotion, training opportunities, study and scholarship Labor Relations
of such individual's age; grants solely on account of their sexes.
A Management Prerogative b) the corresponding penalties, when prescribed,

2) This is an inherent right to control or manage by the ER.
Consent of EE NOT required.
commensurate to the o ense involved and to the degree of
Discipline the infraction. 3) This is exercised by the ER in the best interest of the company
to see where a particular EE can be best maximized. For a
Transfer of Employees
transfer to be valid, the following REQUISITES must be
Productivity Standard 1 Discipline observed:
a) Must be reasonable or have a sound purpose;
Bonus 1) The right or prerogative to discipline covers the following
rights to: b) Must not inconvenient the welfare of the EE;
Change of Working Hours c) Not prejudicial to the EE;
a) Discipline;
Bona Fide Occupational Quali cations b) Dismiss; d) Not involve a demotion of rank or status;
c) Determine who to punish; e) Not be motivated by discrimination;

Marriage Between Employees of Competitor-Employers
d) Promulgate rules and regulations; f) Not made in bad faith;
Post-Employment Restrictions
e) Impose penalty (proportionality rule) g) Not be e ected as a form of punishment without
su cient cause.
Kephilco Malaya Employees Union v. Kepco Philippines f) Choose which penalty to impose; AND
4) Failure to observe these requisites, the transfer is deemed
g) Impose heavier penalties than what the company
The employer's right to conduct the a airs of its business, according CONSTRUCTIVE DISMISSAL. Same reliefs as that of
rules prescribe.
to its own discretion and judgment, is well-recognized. An employer illegal demotion.
has a free reign and enjoys wide latitude of discretion to regulate all 2) The proportionality rule means that the penalty to be
5) An EE who refuses to be transferred when such is valid, is
aspects of employment, including the prerogative to instill discipline imposed must be commensurate with the o ense committed.
guilty of insubordination or willful disobedience of a
in its employees and to impose penalties, including dismissal, upon
lawful order of an ER under Art 297[282] of the LC.
erring employees. 2 Transfer of Employees
6) Refusal to be transferred is VALID in the following cases
This is a management prerogative, where the free will of 1) The lateral movement from one position to another of
management to conduct its own a airs to achieve its purpose takes a) Overseas assignment;
equivalent rank, level or salary. Could be a movement:
form. The only criterion to guide the exercise of its management b) Consequent to promotion;
a) From one position to another; or
prerogative is that
This is a scalar transfer. The EE may refuse as this
b) From one o ce to another within the same business
a) the policies, rules and regulations on work-related activities entails additional responsibilities.
establishment.
of the employees must always be fair and reasonable and
c) To avoid con ict of interest;
d) Occasioned by the abolition of the position. cause for dismissal. Such ine ciency is understood to mean failure
The right of the employee to security of tenure does not give her a
to attain work goals or work quotas, either by failing to complete the
7) Refusal is INVALID vested right to her position as to deprive management of its
same within the allotted reasonable period, or by producing
authority to transfer or re-assign her where she will be most useful.
a) Due to parental obligations; unsatisfactory results. This management prerogative of
WON the transfer of respondents to petitioner's Manila office was a requiring standards may be availed of so long as they are
b) Additional expenses;
valid exercise of management prerogative. exercised in good faith for the advancement of the employer's
c) Inconvenience;
YES. The transfer could not be validly assailed as a form of interest.
d) Hardship and anguish. constructive dismissal, for, as held in Benguet Electric
Cooperative v. Fianza, management had the prerogative to
Peckson v. Robinsons Supermarket 2013 determine the place where the employee is best quali ed to serve 4 Bonus
the interests of the business given the quali cations, training and
Concerning the transfer of employees, these are the following
performance of the a ected employee. Mega Magazine Publications v. Defensor 2014
jurisprudential guidelines:
According to Abbot Laboratories (Phils.), Inc. v. NLRC, the
a) a transfer is a movement from one position to another of The grant of a bonus or special incentive, being a management
employee who has consented to the company's policy of hiring sales
equivalent rank, level or salary without break in the service prerogative, is not a demandable and enforceable obligation, except
sta willing to be assigned anywhere in the Philippines as demanded
or a lateral movement from one position to another of when the bonus or special incentive
by the employer's business has no reason to disobey the transfer
equivalent rank or salary;
order of management. Verily, the right of the employee to security of 1. is made part of the wage, salary or compensation of the
b) the employer has the inherent right to transfer or reassign tenure does not give her a vested right to her position as to deprive employee, or
an employee for legitimate business purposes; management of its authority to transfer or re-assign her where she 2. is promised by the employer and expressly agreed upon by
c) a transfer becomes unlawful where it is motivated by will be most useful. the parties.
discrimination or bad faith or is e ected as a form of
Bonus is a gratuity or act of liberality of the giver, and cannot be
punishment or is a demotion without su cient cause;
considered part of an employee’s wages if it is paid only when pro ts
d) the employer must be able to show that the transfer is not
3 Productivity Standard
are realized or a certain amount of productivity is achieved. If the
unreasonable, inconvenient, or prejudicial to the employee. desired goal of production or actual work is not accomplished, the
Aliling v. Feliciano 2012 bonus does not accrue.
An employer is entitled to impose productivity standards for its
Chateau Royale Sports & Country Club v. Balba 2017 workers, and in fact, non-compliance may be visited with a penalty
even more severe than demotion. 5 Change of Working Hours
The burden of proof lies in the employer to prove that the transfer
of the employee from one area of operation to another was for a Failure to observe prescribed standards of work, or to ful ll
valid and legitimate ground, like genuine business necessity. reasonable work assignments due to ine ciency may constitute just CCBPI v. Iloilo Coca-Cola Plant Employees Union 2018
WON scheduling Saturday work has ripened into a company practice, 2) Employment may not be limited to persons of a particular sex, exercise of management prerogative.
the removal of which constituted a diminution of benefits. religion, or national origin unless the employer cas show that
Glaxo has a right to guard its trade secrets, manufacturing formulas,
such quali cations are necessary in the performance of the job
NO. In Royal Plant Workers Union v. Coca-Cola Bottlers marketing strategies and other con dential programs and
involved. Exceptions to BFOQ:
Philippines, Inc.-Cebu Plant, the Court had the occasion to rule that information from competitors, especially so that it and Astra are
the term "bene ts" mentioned in the non-diminution rule refers a) Employment quali cation is reasonably related to rival companies in the highly competitive pharmaceutical industry.
to monetary bene ts or privileges given to the employee with the essential operation of the job involved; and
The prohibition against personal or marital relationships with
monetary equivalents. Stated otherwise, the employee bene ts
b) There is a factual basis for believing that all or employees of competitor companies upon Glaxo’s employees is
contemplated by Article 100 are those which are capable of being
substantially all persons meeting the quali cation reasonable under the circumstances because relationships of that
measured in terms of money.
would be unable to properly perform the duties of nature might compromise the interests of the company. In laying
CCBPI withdrew the Saturday work itself, pursuant, as already the job. down the assailed company policy, Glaxo only aims to protect its
held, to its management prerogative. In fact, this management interests against the possibility that a competitor company will gain
prerogative highlights the fact that the scheduling of the Saturday Marriage Between Employees of access to its secrets and procedures.
7
work was actually made subject to a condition, i.e., the prerogative Competitor-Employers
to provide the company's employees with Saturday work based on
the existence of operational necessity. A policy prohibiting spouses from being employed in the same
8 Post-Employment Restrictions
company. There must be compelling business necessity for
In the case at bar, CCBPI's employees were not illegally prevented which no alternative exists other than the discriminatory practice 1) An EE is prohibited after separation from joining a
from working on Saturdays. The company was simply exercising for it to be VALID. competitor. VALID, subject to limitations as to duration and
its option not to schedule work pursuant to the CBA provision
Theories on Employment Discrimination place.
which gave it the prerogative to do so. It therefore follows that the
principle of "no work, no pay" nds application in the instant case. 1. Disparate Treatment — Plainti must prove that an 2) A non-compete clause is not necessarily void for being in
employment policy is discriminating on its face; restraint of trade as long as there are reasonable limitations as
to three (3) things: time, place and trade.
2. Disparate Impact — Plainti must prove that a facially
6 Bona Fide Occupational Quali cations neutral policy has a disproportionate e ect on a part of the 3) Restrictive covenant clauses. — In determining whether
class. the contract is reasonable or not, the following factors should
1) To be considered a bona fide occupational qualification,
be considered:
the policy must
Duncan Assoc. of Detailman-PTGWO v. a) whether the covenant protects a legitimate business
a) Serve a legitimate business purpose; Glaxo Wellcome Phils.
interest of the employer;
b) Be speci c to the occupation at issue; and
No reversible error can be ascribed to the Court of Appeals when it b) whether the covenant creates an undue burden on
c) Re ect an inherent quality that would reasonably ruled that Glaxo’s policy prohibiting an employee from having a the employee;
guarantee work e ciency. relationship with an employee of a competitor company is a valid
c) whether the covenant is injurious to the public a) Coverage 1) All hours are hours worked which the employee is required
welfare; to give his employer, regardless of whether or not such hours
are spent in productive labor or involve physical or mental
d) whether the time and territorial limitations contained Employees NOT covered
exertion.
in the covenant are reasonable; and
1) Government employees
2) An employee need not leave the premises of the workplace
e) whether the restraint is reasonable from the
2) Managerial EEs — Meet the following conditions: in order that his rest period shall not be counted, it being
standpoint of public policy.
a) Formulate policies; enough that he stops working, may rest completely and may
leave his work place, to go elsewhere, whether within or
B Labor Standards b) Execute management policies; outside the premises of his work place.
c) Impose disciplinary actions 3) If the work performed was necessary, or it bene ted the
Conditions of Employment
Reason for exclusion Not usually employed by the hour, but employer, or the employee could not abandon his work at
Wages by their special training, experience or knowledge. the end of his normal working hours because he had no
replacement, all time spent for such work shall be considered
Leaves 3) Field personnel — If they:
as hours worked, if the work was with the knowledge of his
a) Regularly perform duties away from the principal or employer or immediate supervisor.
Special Groups of Employees
branch o ce or place of business of employer; and
4) The time during which an employee is inactive by reason of
Sexual Harassment in the Work Environment b) Whose actual hours of work in the eld cannot be interruptions in his work beyond his control shall be
determined with reasonable certainty. considered working time either
1 Conditions of Employment 4) Members of the family of employer who are dependent a) if the imminence of the resumption of work requires the
upon him for support — Employer has already taken care of employee's presence at the place of work or
a) Coverage the employee’s sustenance.
if the interval is too brief to be utilized e ectively and gainfully in the
b) Hours of Work 5) Domestic helpers — covered in Kasambahay Law; employee's own interest.
6) Persons in the personal service of another — Already
c) Rest Periods (1) Normal Hours of Work and Hours Worked
provided with living quarters; nature of work; plus they are
not employed in a business undertaking.
d) Holidays The normal hours of work of any employee shall not exceed eight (8)
7) Workers paid by results whose time and performance are hours a day. It includes
e) Service Charge NOT supervised — Piece rate or job or task based.
1) Hours worked under Art 84
f) Occupational Safety and Health Standards Law b) Hours of Work a. All time during which EE is required to be on duty or to
be at a prescribed workplace;
of normal work hours per week remains at 48. Thus, the the provisions of Department Advisory No. 02, series
b. All the time during which an EE is su ered or permitted
workweek may be compressed only up to 4 days. of 2004, dated 2 December 2004.
to work;
3) CWW results from an express voluntary agreement of b) Reduction of Workdays refers to one where the
2) Rest periods of short interval (5-20 minutes)
majority of the covered employees or their duly authorized normal work days per week are reduced but should
3) Meal period of less than 20 minutes; representatives. not last for more than six months.
4) Reasonable time to withdraw wages from bank or ATM, or by 4) A three-day work week is illegal. — Illegal compressed c) Rotation of Workers refers to one where the
check. workweek when work days were reduced from 6 to 3 days a employees are rotated or alternately provided work
Other hours of work week, resulting to illegal reduction of work hours, as there was within the workweek.
no adequate proof of losses. Financial losses must be shown
1) Children. — below 15: 20H/W, 4H/D, not allowed between d) Forced Leave refers to one where the employees are
before a company can validly opt to reduce the work
8pm to 6am of next day; required to go on leave for several days or weeks
hours of its employees. (Linton Commercial v. Hellera)
utilizing their leave credits if there are any.
15-18: 40H/W, 8H/D, not allowed between 10pm to 6am the
5) Waiving of OT in CWW is valid. D.O. No. 21 sanctions
next day. e) Broken-time schedule refers to one where the work
the waiver of overtime pay in consideration of the bene ts that
schedule is not continuous but the work-hours
2) Domestic worker. — entitled daily to at least 8 hours the employees will derive from the adoption of a compressed
within the day or week remain.
aggregate rest per day. workweek scheme. (Bisig ng Manggagawa sa Tryco v. NLRC)
f) Flexi-holidays schedule refers to one where the
3) Health personnel. — in See DOLE DA No. 2 s. 2004
employees agree to avail the holidays at some other
a. Cities and municipalities with at least 1M population; or 6) Flexible work arrangements refer to alternative days provided there is no diminution of existing
b. Hospitals with at least 100 bed capacity, arrangements or schedules other than the traditional or bene ts as a result of such arrangement.
standard work hours, workdays and workweek. The following See DOLE DA No. 2 s. 2009
Regular o ce hours for 8 hours a day, 5 days a week, except where
are the exible work arrangements which may be considered,
exigencies of service require such personnel to work on the 6th day, in 7) Telecommuting refers to work from an alternative
among others:
which case he is entitled to the 30% premium pay. see DOLE D.O. workplace with the use of telecommunications and/or
No. 182 s. 2017. a) Compressed Workweek refers to one where the
computer technologies.
normal workweek is reduced to less than six (6) days
(2) Compressed Work Week but the total number of work-hours of 48 hours per See DOLE DO No. 202 s. 2019 or the IRR of RA 11165, and RA
week shall remain. The normal workday is increased 11165 or the Telecommuting Act.
1) Normal workweek — 6 consecutive days, 48 hours per week; to more than eight hours but not to exceed twelve
(3) Meal Periods
hours, without corresponding overtime premium.
2) Compressed — less than 6 days, but may not exceed 12 hours
The concept can be adjusted accordingly depending At least one-hour of non-compensable meal period.
per day. It is an alternative arrangement whereby the normal
on the normal workweek of the company pursuant to
workweek is reduced to less than 6 days but the total number
May be shortened (Book III Rule 1 Sec 7) to at most, 20 minutes c) There is urgent work to be performed on machineries Ordinary day x1 x1.1 x1.25 x1.375
provided: in order to avoid serious loss or damage to the employer;
Rest Day (RD) x1.3 x1.43 x1.3 x1.859
1) Work is non-manual; d) Work is necessary to prevent loss or damage of
perishable goods; Special Day
2) Establishment regularly operates not less than 16 hours a day; x1.3 x1.43 x1.69 x1.859
(SD)
e) Completion or continuation of work started before
3) In cases of actual or impending emergencies or there is urgent
the 8th hour necessary to prevent serious obstruction SD on RD x1.5 x1.65 x1.95 x2.145
work to be performed on machineries; and
or prejudice to the business; and
4) Work is necessary to prevent serious loss of perishable goods. Regular
x2 x2.2 x2.6 x2.86
f) Necessary to avail of favorable weather conditions. Holiday (RH)
(4) Night-Shift Di erential
Under Art 88 and jurisprudence, undertime is strictly not RH on RD x2.6 x2.86 x3.38 x3.718
o set by overtime.
Refers to the additional compensation of ten percent (10%) of an Double
x3 x3.3 x3.9 x4.29
employee’s regular wage for each hour of work performed between 10 Holiday (DH)
Robina Farms Cebu v. Villa 2016
p.m. and 6 a.m. DH on RD x3.9 x4.29 x5.07 x5.577
Firstly, entitlement to overtime pay must rst be established by
1) 110% of Basic Hourly Rate;
proof that the overtime work was actually performed before the
c) Rest Periods
2) Employees working between 10 PM - 6 AM of the next day; employee may properly claim the bene t. The burden of proving
entitlement to overtime pay rests on the employee because the
3) NOT waivable, founded on public policy. Employees working for 6 consecutive days are entitled to a rest
bene t is not incurred in the normal course of business.
day of at least 24 consecutive hours.
(5) Overtime Work
And, secondly, the DTRs did not substantially prove the actual
GR: Employer schedules employee’s rest day.
performance of overtime work. Any employee could render
GR: No employee may be compelled to render OT against overtime work only when there was a prior authorization therefor EXC: Employee preference based on religious ground;
his will; by the management. Without the prior authorization, therefore,
EE must make known his preference 7 days before
EXC: Art 89 Villa could not validly claim having performed work beyond the
initial rest day.
normal hours of work.
a) Country is at war or there is a declared national or EXC to the EXC:
local emergency;
(6) Computation of Additional Compensation When it will cause serious obstruction or prejudice to
b) OT is necessary to prevent loss of life or property or the employer, employer shall schedule the rest day of
in case of imminent danger to public safety due to w/o Night w/ NS OT Pay
OT Pay employee’s choice at least 2 days in a month.
Work on Shift = = w/o w/ NS
calamities; = BHR
Regular NS = BHR GR: Employer cannot compel employee to work on a rest
day.
EXC: Under Art 92 and Book III Rule III Sec 6: a. Those of the government and any of the political Is paid 200% of his regular wage Is paid 130% of his regular wage
subdivision, including GOCC;
a. In case of actual or impending emergencies due to
calamities, or in case of force majeure or imminent b. Those of retail and service establishments regularly e) Service Charge
danger to public safety; employing less than ten (10) workers;
1) Service charge refers to the amount that is added to the bill
b. Urgent work needs to be performed on machineries c. Domestic helpers and persons in the personal service of
for work or service rendered.
to avoid serious loss; another;
2) All service charges actually collected by covered establishments
c. Abnormal pressure of work due to special d. Managerial employees;
shall be distributed COMPLETELY and EQUALLY, based
circumstance;
e. Field personnel and other employees whose time and on actual hours or days of work or service rendered among the
d. Prevent serious loss of perishable goods; performance is unsupervised by the employer including covered employees, including those already receiving the
those who are engaged on task or contract basis, purely bene t of sharing in the service charges.
e. Nature of work requires 7 days continuous work, i.e.
commission basis, or those who are paid a xed amount
crew members in vessels; 3) Covered employees refer to all employees, except managerial
for performing work irrespective of the time consumed in
f. Work is necessary to avail of favorable weather employees, under the direct employ of the covered
the performance thereof.
conditions. establishment.
2. Regular holiday shall exclusively refer to: New Year's Day,
NO rest day for 4) Relevant laws and rules:
Maundy Thursday, Good Friday, the 9th of April, the 1st of
a. Employees excluded from labor standards (Art. 82) May, the 12th of June, the last Monday of August, the 30th of a) as amended by RA No. 11360, e ective on September 4,
November, the 25th and 30th of December. 2019 per DOLE Labor Advisory No. 10 s. 2020;
Union members who are supervisory employees
considered as o cers and members of the managerial 3. National holidays include Eidul Fitr and Eidul Adha. b) see DOLE DO No. 206 s. 2019;
sta are exempt from the coverage of Article 82. 4. Nationwide special days shall include the Chinese New Year, c) see DOLE Labor Advisory No. 14, S. 2019.
Perforce, they are not entitled to overtime, rest day 25th of February, Black Saturday, 21st of August, 1st and 2nd
and holiday. (National Sugar Refineries v. NLRC) of November, 8th, 24th and 31st of December, and 8th of
f ) Occupational Safety and Health Standards Law
b. Shift engineer, no right to overtime and premium pay December. RA 11058
as he is an o cer or member of managerial sta
(Peñaranda v. Baganga Plywood) Regular Holiday Special Day
(1) Covered Workplaces
d) Holidays A covered employee who does NOT report for work
Refer to establishments, projects, sites and all other places
Is paid 100% of his regular wage Not paid where work is being undertaken wherein the number of
1. Coverage. — This rule shall apply to all employees except: employees, nature of operations, and risk or hazard involved in
A covered employee who reports for work
the business, as determined by the SOLE, require compliance

c) Inform the workers of the hazards associated with d) report to the supervisor any work hazard that may be
with the provisions of RA 11058.
their work, health risks involved or to which they are discovered in the workplace.
Including exposed to, preventive measures to eliminate or
3) It shall be the duty of any person, including the builder or
minimize the risks, and steps to be taken in cases of
a) Establishments located inside special economic zones and contractor who visits, builds, renovates or installs devices or
emergency;
other investment promotion agencies; conducts business in any establishment or workplace, to
d) Use only approved devices and equipment for the comply with the provisions of this Act and all other
b) Utilities engaged in air, sea, and land transportation;
workplace; regulations issued by the SOLE.
c) Industries such as mining, shing, construction, agriculture,
e) Comply with OSH standards including training, 4) Whether two (2) or more undertakings are engaged in
and maritime;
medical examination and, where necessary, provision activities simultaneously in one (1) workplace, it shall be the
d) Contractors and subcontractors, including those engaged in of protective and safety devices such as personal duty of all engaged to collaborate in the application of OSH
projects of the public sector. protective equipment (PPE) and machine guards; standards and regulations.
Excluding f) Allow workers and their safety and health (3) Workers’ Right to Know
a) Public sector such as the NGAs, GOCCs with original representative to participate actively in the process
charters, GFIs, SUCs and LGUs. of organizing, planning, implementing and evaluating
The right to safety and health at work shall be guaranteed. All
the safety and health program to improve safety and
workers shall be appropriately informed by the employer
(2) Duties of Employers, Workers and Other Persons health in the workplace; and
about all types of hazards in the workplace, provided access to
g) Provide, where necessary, for measures to deal with training and education on chemical safety, and to orientation
1) Every employer, contractor or subcontractor, if any, and emergencies and accidents including rst-aid on the data sheet of chemical safety, electrical safety,
any person who manages, controls or supervises the work arrangements. mechanical safety, and ergonomic safety.
being undertaken shall
2) Every worker shall participate in ensuring compliance with
(4) Workers' Right to Refuse Unsafe Work
a) Furnish the workers a place of employment free OSH standards in the workplace. The worker shall
from hazardous conditions that are causing or are
likely to cause death, illness or physical harm to a) make proper use of all safeguards and safety devices The worker has the right of refusal to work without threat or
workers; furnished for the worker's protection and that of reprisal from the employer if, as determined by the DOLE, an
others; imminent danger situation exists in the workplace that may
b) Give complete job safety instructions or
b) observe instructions to prevent accidents or result in illness, injury or death, and corrective actions to
orientation to all the workers especially to those
imminent danger situations in the workplace; eliminate the danger have not been undertaken by the
entering the job for the rst time, including those
employer.
relating to familiarization with their work c) observe the prescribed steps to be taken in cases of
environment; emergency; and
(5) Workers' Right to Personal Protective Equipment a) De nitions d) 13th month pay; or
(PPE) e) Other monetary bene ts.
Wage paid to an employee shall mean
Every employer, contractor, or subcontractor, if any, shall 1. the remuneration or earnings, however designated, (1) Wage vs. Salary
provide his workers, free of charge, protective equipment for 2. capable of being expressed in terms of money,
Wage Salary
their eyes, face, hands and feet, and lifeline, safety belt or whether xed or ascertained on a
harness, gas or dust respirators or masks, and protective shields Compensation paid for manual Compensation for higher or
a. time,
whenever necessary by reason of the hazardous work process skilled or unskilled labor superior level of employment
or environment, chemical, radiological, mechanical and other b. task,
irritants or hazards capable of causing injury or impairment in Compensation for labor Relates to a position or o ce
c. piece, or
the function of any part of the body through absorption,
d. commission basis, or Shall not be subject to execution, NOT exempt
inhalation or physical contact. The cost of the PPE shall be
attachment or garnishment except
part of the safety and health program which is a separate pay e. other method of calculating the same,
for debts incurred for food, shelter,
item pursuant to Section 20 of this Act.
3. which is payable by an employer to an employee under a clothing and medical attendance.
written or unwritten contract of employment
2 Wages
a. for work done or to be done, or (2) Facilities vs. Supplements
a) De nitions b. for services rendered or to be rendered Facilities Supplements
b) Principles 4. and includes the fair and reasonable value of board,

Necessary expenses of laborer
lodging, or other facilities customarily furnished by the Extra bene t or special privilege
and his family
c) Payment of Wages employer to the employee.
"Fair and reasonable value" shall not include any pro t to the (Purpose Test)
d) Prohibitions Regarding Wages For the bene t of Employee For the bene t of Employer
employer, or to any person a liated with the employer.
e) Wage Distortion Basic Wage. — All the remuneration or earnings paid by an Part of Wage Independent of Wage
employer to a worker for services rendered on normal working days
f ) Minimum Wage Law and hours but does not include: Deductible from wage Not deductible from wage
g) Holiday Pay a) COLA; 1) Facilities. — Requisites for Deductibility:

b) Pro t sharing payments; a) Must be customarily furnished by the employer;
h) 13th Month Pay
c) Premium pay; b) Must be charged at a fair and reasonable value; and
c) Must be voluntarily accepted by the employee in character" notwithstanding.

writing. as reiterated in Ergonomic
The School cannot invoke the need to entice foreign-hires to leave
G&S Transport v. Infante Systems v. Enaje 2017; VCMC v.
2) Meals and lodging provided to employees in order to their domicile to rationalize the distinction in salary rates without Yballe 2014
maintain their e ciency and health while working at their violating the principle of equal work for equal pay.
respective project sites, are supplements, and not facilities With respect to backwages, the principle of a "fair day's wage for
Receiving salaries less than their counterparts hired abroad, the
(SLL International Cable Specialists v. NLRC 2011) a fair day's labor" remains as the basic factor in determining the
local-hires of private respondent School, mostly Filipinos, su ered
award thereof. If there is no work performed by the employee
3) Supplements. — Constitute extra remuneration or discrimination. That the local-hires are paid more than their
there can be no wage or pay unless, of course, the laborer was able,
special privileges or bene ts given to or received by the colleagues in other schools is, of course, beside the point. The point
willing and ready to work but was illegally locked out, suspended or
laborers over and above their ordinary earnings or wages. is that employees should be given equal pay for work of equal value.
dismissed or otherwise illegally prevented from working. While it
b) Principles was found that respondents expressed their intention to report back
(3) Fair Wage for Fair Work
to work, the latter exception cannot apply in this case. In Philippine
(1) No Work, No Pay
Marine Officers' Guild v. Compañia Maritima, as a rmed in
Coca-Cola Bottlers v. ICCPELU 2018
Philippine Diamond Hotel and Resort v. Manila Diamond Hotel
GR: If the worker does not work, he earns no pay. Since the a ected employees are daily-paid employees, they should Employees Union, the Court stressed that for this exception to apply,
EXC: Worker is still entitled to be paid if: be given their wages and corresponding premiums for Saturday it is required that the strike be legal, a situation that does not
work only if they are permitted to su er work. obtain in the case at bar.
a. Employer unduly prevented him from working despite his
ableness, willingness and readiness; The age-old rule governing the relation between labor and capital, or Under the circumstances, respondents' reinstatement without
management and employee, of a "fair day's wage for a fair day's backwages su ces for the appropriate relief.
b. He is legally locked out or illegally suspended or labor" remains the basic factor in determining employees' wages.
dismissed;
1. If there is no work performed by the employee, there can be
c. He is illegally prevented from working. Bigg's Inc. v. Boncacas 2019
no wage.
In Odango v. NLRC, SC held that no work no pay also applies to 2. In cases where the employee's failure to work was In Escario v. NLRC, the Court held:
monthly-paid workers, if absent without pay. occasioned neither by his abandonment nor by
Conformably with the long honored principle of a fair day's wage
(2) Equal Pay for Equal Work termination, the burden of economic loss is not rightfully
for a fair day's labor, employees dismissed for joining an illegal strike
shifted to the employer; each party must bear his own
are NOT entitled to backwages for the period of the strike even if
International School Alliance of Educators v. Quisumbing loss.
they are reinstated by virtue of their being merely members of the
3. In other words, where the employee is willing and able to striking union who did not commit any illegal act during the strike.
Persons who work with substantially equal quali cations, skill,
work and is not illegally prevented from doing so, no wage
e ort and responsibility, under similar conditions, should be paid In Philippine Diamond Hotel & Resort, Inc. v. Manila Diamond
is due to him.
similar salaries. This rule applies to the School, its "international Hotel Employees Union, the Court laid down the exceptions to this
of similar kind by reason of which, it gains the status of a

rule: employees and never before revoked this grant in strict adherence to
company policy that can no longer be disturbed or withdrawn.
the non-diminution rule under Article 100 of the Labor Code.
1. when the employees were illegally locked to thus compel
4) The rule on company practice is generally used with respect to
them to stage a strike; Nonetheless, with the subsequent enactment of RA 10149 in 2011,
grant of additional bene ts to employees, not to issues
PNCC may no longer grant this bene t without rst securing the
2. when the employer is guilty of the grossest form of ULP; involving diminution of bene ts.
requisite authority from the President. As borne by the records,
3. when the employer committed discrimination in the PNCC failed to obtain this authority in view of the position taken
rehiring of strikers refusing to readmit those against whom Home Credit Mutual Building v. Prudente 2020
by the GCG not to forward the request to the President.
there were pending criminal cases while admitting
The non-diminution rule applies only if the bene t is based on an
non-strikers who were also criminally charged in court; or
express policy, a written contract, or has ripened into a practice.
4. when the workers who staged a voluntary ULP strike Philippine Journalists Inc. v.
Here, Rollette's claim that the car plan was part of her hiring 2013
o ered to return to work unconditionally but the employer Journal Employees Union
package was unsubstantiated. Admittedly, Home Credit has no
refused to reinstate them.
existing car plan at the time Rollette was hired. Rollette's The argument of petitioner that the grant of the funeral and
employment contract does not even contain any express provision bereavement bene t was not voluntary but resulted from its
(4) Non-Diminution of Bene ts
on her entitlement to a service vehicle at full company cost. mistaken interpretation as to who was considered a legal dependent
of a regular employee deserves scant consideration. To be sure, NO
Home Credit's act of giving service vehicles to Rollette has been a
1) Bene ts given to employees cannot be taken back or reduced doubtful or di cult question of law was involved in as much as
company practice - but not as to the non-participation aspect.
unilaterally by the employer because the bene t has become the several cogent statutes existing at the time the CBA was entered
There was no substantial evidence to prove that the car plan
part of the employment contract. into already de ned who were quali ed as the legal dependents of
at full company cost had ripened into company practice.
2) Applicable if the following conditions are met: another.
Notably, the only time Rollette was given a service vehicle fully paid
a) The grant of the bene t is based on an express policy or for by the company was for her rst car. For the second vehicle, the It is further worthy to note that petitioner granted claims for funeral
has ripen into practice over a long period of time; company already imposed a maximum limit but Rollette never and bereavement aid as early as 1999, then issued a memorandum in
questioned this. She willingly paid for the equity in excess of said 2000 to correct its erroneous interpretation of legal dependent
b) Practice is consistent and deliberate;
limit. Thus, the elements of consistency and deliberateness are under the CBA. This notwithstanding, the 2001-2004 CBA still
c) It is not due to error in the construction or application NOT present. contained the same provision granting funeral or bereavement aid in
of a doubtful or di cult question of law or provision in case of the death of a legal dependent of a regular employee without
the CBA; di erentiating the legal dependents according to the employee’s civil
d) The diminution is done unilaterally by the employer. Philippine National Construction Corp. v. NLRC 2021 status as married or single. The continuity in the grant of the funeral
and bereavement aid to regular employees for the death of their legal
3) Company practice is a custom or habit shown by an PNCC did NOT violate the non-diminution rule when it desisted dependents has undoubtedly ripened into a company policy.
employer’s repeated, habitual customary or succession of acts from granting mid-year bonus to its employees starting 2013. True,
between 1992 and 2011, PNCC invariably granted this bene t to its
c) Payment of Wages b. Actual or impending emergencies due to calamities; g. Employer shall assume responsibility in case the wage
protection provisions of law and regulations are not
c. Employer provides free transportation back and forth;
complied with under the arrangement.
GR: Legal Tender (Art 102, LC; Art 1705 NCC) is that and
currency which has been made suitable by law for the d. Other analogous circumstance, provided Payee
purpose of a tender of payment of debts, i.e. coins and GR: Direct to Employee;
Time spent collecting wages is considered compensable
notes issued by BSP.
hours worked. EXC:
Strictly not allowed — other objects other than legal tender, even
e. Prohibited places: bar, club, drinking establishment, a. Force majeure, in which case worker may be paid through
when expressly requested by EE.
similar places where games are played with stakes of another person under written authority for such
Exceptions money, except if employee employed in such purpose; or
a) Bank Check establishment.
b. Worker has died, in which case, paid to heirs without need
b) Money Order Payment thru Banks allowed (RA 6727) provided of intestate proceedings, only a davit of heirship.
c) Postal Checks, provided a. With written permission of majority of employees;

Time and Frequency
i. It is customary practice on the date of e ectivity; or b. In all private establishments of at least 25 EEs;
GR: At least every 2 weeks or twice a month at intervals not
ii. So stipulated in CBA; and the following are met: c. Located within 1KM radius to a bank; exceeding 16 days.
iii. There is a bank within 1 KM radius; d. Within the period of payment of wages xed by the LC. EXC: Force majeure.
iv. Employer or agents do not receive pecuniary bene ts Payment thru ATM allowed provided: d) Prohibitions Regarding Wages
from such arrangement; a. With written consent of employees concerned;
v. Employee given reasonable time to withdraw and b. Given reasonable time to withdraw during working hours 1) From the Civil Code
shall constitute compensable hours if done within and is considered compensable; a) Art 1705. The laborer's wages shall be paid in legal
working hours; and currency.
c. Within period of payment of wages xed by LC;
vi. With written consent of the employee if without b) Art 1706. Withholding of the wages, except for a debt
d. There is a bank or ATM within 1KM radius;
CBA. due, shall not be made by the employer.
e. Payslip be provided, upon request;
Place and Medium of Payment c) Art 1707. The laborer's wages shall be a lien on the goods
f. No additional expenses and diminution of bene ts
GR: At or near place of undertaking; manufactured or the work done.
resulting from the scheme;
EXC: (Book III Rule VIII Sec 4)
a. Deterioration of peace and order;
d) Art 1708. The laborer's wages shall NOT be subject to He shall not in any manner force, compel, or oblige his ii) Cash Deposit — must not exceed one month's basic
execution or attachment, except for debts incurred for employees to purchase merchandise, commodities or any other salary of EE. May be deducted from wages in an
food, shelter, clothing and medical attendance. property. amount not to exceed 20% of EE’s wages in a week.
e) Art 1709. The employer shall neither seize nor retain any Wage Deduction iii) Refund — within 10 days from separation from
tool or other articles belonging to the laborer. service.
GR: No employer, in his own behalf or in behalf of any person,
2) Other prohibitions shall make any deduction from the wages of his
Jardin v. NLRC
employees.
a) Kickbacks — induce a worker to give up any part of his
EXC: With regard to the amount deducted daily by private respondent
wages by force, stealth, intimidation, threat;
from petitioners for washing of the taxi units, we view the same as
b) Deduction to ensure employment (Art 117); a) Facilities; not illegal in the context of the law.
c) Retaliate against an employee who has b) Amount paid by ER as premiums on insurance,
consented to by EE;
i) Filed any complaint, or
c) For union dues, where the right of EE or his union to Niña Jewelry Manufacturing of Metal Arts
ii) Instituted proceedings, or 2011
v. Montecillo
checko has been recognized by the ER or authorized in
iii) Has testi ed or is about to testify in said proceedings; writing by the EE concerned; Employers should rst establish that the making of deductions from
by: d) Where ER is authorized by law or regulations issued by the salaries is authorized by law, or regulations. Further, the posting
SOLE; of cash bonds should be proven as a recognized practice in the
1. Refusing to pay the wages; or
jewelry manufacturing business, or alternatively, the employer
2. Reducing such wages; or e) For loss or damage under Art 114 LC; DOLE LA
should seek for the determination by the SOLE that the policy the
11-14, Private Security Agencies:
3. Discharging him from employment; or former seeks to implement is necessary or desirable in the conduct of
i) Following must be observed: business.
4. Discriminate against him in any manner. (Art
118) 1) EE is clearly responsible for the loss or damage;
f) For Agency Fees from non-union members who accept
d) False reporting (Art 119) 2) He is given reasonable opportunity to show cause the bene ts under the CBA negotiated by the bargaining
why deductions should not be made; union. Does not need authorization from concerned
3) Non-interference in the disposal of wages. — Art 112.
member;
No employer is allowed to limit or otherwise interfere with 3) Deduction is fair and reasonable and should not
how an employee should dispose or make use of the latter’s exceed the actual loss or damage; and g) Premiums for SSS, PhilHealth, employee’s compensation
wages. and Pag-IBIG;
4) Does not exceed 20% of EE’s wages in a week.
h) Withholding tax;
i) Where EE is indebted to ER that has become due and e) Wage Distortion

demandable (Art 1706 CC); (1) Concept
j) Pursuant to a court judgment where wages may be the
subject of attachment or execution but only for debts 1) A situation where an increase in prescribed wage rates results
incurred for in the elimination or severe contraction of intentional
quantitative di erences in wage or salary rates between and
i) food,
among employee groups in an establishment as to e ectively
ii) clothing, obliterate the distinctions embodied in such wage structure
iii) shelter and based on skills, length of service, or other logical bases of
di erentiation. (Art 124 LC)
iv) medical attendance;
2) Elements
k) Ordered by the court.
a) An existing hierarchy of positions with corresponding
l) Under the PH Cooperative Act of 2008. RA 9520 - A
salary rates;
member of a cooperative may execute an instrument in
favor of the cooperative authorizing his employer to b) A signi cant change in the salary rate of a lower pay class
deduct from his wages and remit such to the cooperative w/o concomitant increase in the salary rate of a higher 5) In Bankard Employees Union v. NLRC, the unilateral
to satisfy any incurred debt or other demands. one; adoption by an employer of an upgraded salary scale that
increased the hiring rates of new employees without increasing
m) DO No. 195, S. 2018, amending Sec. 10, Rule VIII, c) Elimination of the distinction between the two levels;
the salary rates of old employees DOES NOT RESULT in
Book III, IRR. d) Existence of the distortion in the same region. wage distortion within the contemplation of Article 124 of
⭐SECTION 10. Wages deduction. — Deductions from the Labor Code, as the increase in the wages and salaries
3) Possible causes
the wages of the employees may be made by the employer in of the newly-hired was not due to a prescribed law or
any of the following cases: a) Government decreed increase through WOs; wage order.
(b) When the deductions are with the written authorization of b) Merger of establishments;
the employees for payment to the EMPLOYER or a third Prubankers Association v. Prudential Bank
c) Increase granted by employers;
person and the employer agrees to do so; Provided, That Wage distortion presupposes an increase in the compensation of the
d) Passage of RA 6727.
the latter does not receive any pecuniary bene t, directly lower ranks in an o ce hierarchy without a corresponding raise for
or indirectly, from the transaction. 4) Wage Distortion Resolution higher-tiered employees in the same region of the country, resulting
in the elimination or the severe diminution of the distinction
between the two groups.
1. For Monthly paid: (365) In order to be exempted under the Wage Rationalization Act, two
Such distortion does not arise when a wage order gives employees in
elements must concur —
one branch of a bank higher compensation than that given to their 𝐴𝑝𝑝𝑙𝑖𝑐𝑎𝑏𝑙𝑒 𝐷𝑎𝑖𝑙𝑦 𝑅𝑎𝑡𝑒 (𝐴𝐷𝑅) 𝑥 365
𝐸𝐸𝑀𝑅 = 12 𝑚𝑜𝑛𝑡ℎ𝑠
counterparts in other regions occupying the same pay scale, who are first, it must be shown that the establishment is regularly
not covered by said wage order. In short, the implementation of 2. For Daily paid: employing not more than ten (10) workers, and
wage orders in one region but not in others does not in itself
i) Required to work everyday (393.5) second, that the establishment had applied for and was
necessarily result in wage distortion.
granted exemption by the appropriate Regional Board..
𝐴𝑝𝑝𝑙𝑖𝑐𝑎𝑏𝑙𝑒 𝐷𝑎𝑖𝑙𝑦 𝑅𝑎𝑡𝑒 (𝐴𝐷𝑅) 𝑥 393.5
𝐸𝐸𝑀𝑅 = 12 𝑚𝑜𝑛𝑡ℎ𝑠 WON petitioner is exempt from the Minimum Wage Law.
f ) Minimum Wage Law
ii) Do not work and not considered paid on NO. As the petitioner failed to apply for an exemption, and it is
The minimum wage rates prescribed by law shall be the basic Sundays or rest days (313) undisputed that the respondents are MPRB's employees and are
cash wages without deduction therefrom of whatever bene ts, 𝐴𝑝𝑝𝑙𝑖𝑐𝑎𝑏𝑙𝑒 𝐷𝑎𝑖𝑙𝑦 𝑅𝑎𝑡𝑒 (𝐴𝐷𝑅) 𝑥 313 paid less than the prescribed minimum wage, the petitioner's
supplements or allowances which the employees enjoy free of
𝐸𝐸𝑀𝑅 = 12 𝑚𝑜𝑛𝑡ℎ𝑠 liability for wage di erential cannot be denied.
charge aside from the basic pay. Petitioner is employing more than ten (10) employees in his
iii) Do not work and not considered paid on
Regional Minimum Wage Rates. — The lowest basic wage weekends or rest days (261) establishment. To be sure, employment status is determined by the
rates that an employer can pay his workers, as xed by the four-fold test, and the attendant circumstances of each case.
𝐴𝑝𝑝𝑙𝑖𝑐𝑎𝑏𝑙𝑒 𝐷𝑎𝑖𝑙𝑦 𝑅𝑎𝑡𝑒 (𝐴𝐷𝑅) 𝑥 261
Regional Tripartite Wages and Productivity Boards 𝐸𝐸𝑀𝑅 = 12 𝑚𝑜𝑛𝑡ℎ𝑠
(RTWPB) and which shall not be lower than the applicable g) Holiday Pay
2) Payment by results. — All workers paid by result,
statutory minimum wage rates.
including those who are paid on piecework, takay, pakyaw or
a) Includes COLA as xed by RTWPB. task basis, shall receive not less than the prescribed wage rates Holiday pay. — refers to the payment of the regular daily wage for any
per eight (8) hours of work a day, or a proportion thereof for unworked regular holiday.
b) Excludes other wage-related bene ts.
working less than eight (8) hours. 1) E ect of absences:
1) Payment by hours worked. — Once an agreed period of
work is completed, compensation is earned regardless of result. Other Wage Rates a) On leave with pay — entitled;
a) Daily-paid employees are paid on the days actually a. Of apprentices or learners shall be 75% of the statutory b) On leave without pay on the day immediately preceding
worked except unworked regular holidays when they are minimum wage. — not entitled, unless worked on regular holiday;
paid their basic wage if they are present or a leave with pay b. Of PWDs, 100% of the applicable minimum wage. c) On leave while on SSS or EC bene ts — entitled.
on the working day preceding the regular holiday.
d) If day preceding holiday is nonworking day — entitled if
b) Monthly-paid employees are paid every day of the Pablico et al. v. Cerro 2019
worked the day immediately preceding the nonworking
month, including unworked days. day.
Estimated Equivalent Monthly Rate (EEMR)
2) E ect of business closure Asian Transmission Corp v. CA Since Pedro was paid according to the "boundary" system, he is not
entitled to the 13th month and the service incentive pay; hence, his
a) In case of temporary shutdown — entitled; Holiday pay is a legislated bene t enacted as part of the
retirement pay should be computed on the sole basis of his salary.
b) If cessation due to business reverses as authorized by Constitutional imperative that the State shall a ord protection to
SOLE — not entitled. labor. Its purpose is not merely "to prevent diminution of the
monthly income of the workers on account of work interruptions.
3) Holiday pay of certain employees Reyes v. NLRC
In other words, although the worker is forced to take a rest, he earns
a) Private school teachers: during semestral vacations — what he should earn, that is, his holiday pay." It is also intended to ON COMMISSIONS. The Court thus clari ed that in
not entitled; Christmas breaks — entitled. enable the worker to participate in the national celebrations held Philippine Duplicators, the salesmen’s commissions, comprising a
b) Paid by results or output = entitled to not less than during the days identi ed as with great historical and cultural predetermined percentage of the selling price of the goods sold by
the average of daily earnings of last 7 days actually signi cance. each salesman, were properly included in the term basic salary
worked preceding the holiday, provided it is not less than Since a worker is entitled to the enjoyment of ten paid regular for purposes of computing the 13th month pay.
the statutory minimum wage. holidays, the fact that two holidays fall on the same date Sales commissions which are e ectively an integral portion of
c) Seasonal workers: during o -season — not entitled. should not operate to reduce to nine the ten holiday pay the basic salary structure of an employee, shall be included in
bene ts a worker is entitled to receive. determining the retirement pay. In ne, the commissions which
d) Workers with no regular working days — entitled.
petitioner received were not part of his salary structure but were
4) Successive Holiday Rule. — Not entitled for both h) 13th Month Pay pro t-sharing payments and had no clear, direct or necessary
holiday pay if absent on the day preceding the rst holiday, relation to the amount of work he actually performed. The
unless working on the rst holiday, in which case, he is 1) Resigned or separated employees to be paid pro rata; collection made by the salesmen from the sale transactions was the
entitled holiday pay for the 2nd. pro t of private respondent from which petitioner had a share in
2) Non-payment shall be treated as money claims.
5) Double Holiday Rule the form of a commission.
3) Employees paid a xed or guaranteed wage plus
a) If unworked = 200%; commission are entitled based on their total earnings for the
b) If worked = 300%; calendar year. Letran Calamba Faculty & Employees Association v. NLRC
c) If falls on a rest day = 390% 4) Basic salary means not the amount actually received by an
ON OVERLOAD PAY. Overload pay should be excluded from
employee, but 1/12 of their standard monthly wage
6) Flexi-holiday Schedule — employee agrees to avail of the computation of the 13th-month pay.
multiplied by their length of service within a given calendar
holidays at some other days provided there is no diminution In the same manner that payment for overtime work and work
year.
of existing bene ts resulting therefrom. performed during special holidays is considered as additional
7) Supervised workers paid by results are entitled to holiday R&E Transport v. Latag compensation apart and distinct from an employee's regular wage or
pay. basic salary, an overload pay, owing to its very nature and de nition,
may not be considered as part of a teacher's regular or basic salary, Tan v. Lagrama b) alternate caregiver who may be a relative within the
because it is being paid for additional work performed in excess of fourth degree of consanguinity or the current partner of
If a piece worker is supervised, there is an employer-employee
the regular teaching load. the female worker sharing the same household.
relationship. However, such an employee is not entitled to service
Verily, overload pay may not be included as basis for incentive leave pay since, as pointed out in Makati Haberdashery c) In the event the bene ciary female worker dies or is
determining a teacher's 13th-month pay. v. NLRC and Mark Roche International v. NLRC, he is paid a xed permanently incapacitated, the balance of her maternity
amount for work done, regardless of the time he spent in leave bene ts shall accrue to the father of the child or to a
accomplishing such work. quali ed caregiver.
3 Leaves 7) Maternity leave after termination of service;
b) Maternity Leave
a) Service Incentive Leave a) occurs not more than fteen (15) calendar days after
105-Day Expanded Maternity Leave Law the termination of an employee's service, as her right
b) Maternity Leave thereto has already accrued.
c) Paternity Leave 1) Increased maternity leave with full pay; b) such period is not applicable when the employment of the
a) 105 days for natural or cesarean delivery; pregnant woman worker has been terminated without
d) Solo Parent Leave just cause.
b) 60 days for miscarriage or emergency termination of
e) Leave Bene ts for Women Workers pregnancy. 8) Voluntary working arrangement during the maternity leave
period.
2) Option to extend maternity leave for additional thirty (30)
f ) Compassionate Leaves
days without pay; c) Paternity Leave
Notify ER at least 45 days before end of maternity leave to Paternity Leave Act of 1996
a) Service Incentive Leave
avail of extension.
3) Additional fteen (15) days with full pay for solo parents; 1. Granted to all married male employees in the private sector,
Every employee who has rendered at least one (1) year of service is
regardless of their employment status.
entitled to Service Incentive Leave (SIL) of ve (5) days with 4) Combinations of prenatal and postnatal leave;
pay. 2. Government employees are also entitled to the paternity leave
Compulsory postnatal at least 60 days.
bene t.
The phrase “one year of service” of the employee means service 5) Maternity leave regardless of frequency;
within twelve (12) months, whether continuous or broken, 3. Entitled to full pay, consisting of basic salary, for the 7 days of
reckoned from the date the employee started working. The period 6) Allocation of maternity leave credits; paternity leave, for up to the rst four (4) deliveries.
includes authorized absences, unworked weekly rest days, and paid a) allocate up to seven (7) days of said bene ts to the child's a. A married male employee;
regular holidays. father, whether or not the same is married to the female
b. Cohabiting with spouse;
worker.
c) He/She has presented a Solo Parent Identi cation

c. Has applied for PL; d) the Clerk of Court, as the case may be,
Card to his/her employer.
d. Legitimate spouse gave birth or had a miscarriage. that an action relative to the matter is pending.
e) Leave Bene ts for Women Workers
4. In the event that the paternity leave is not availed of, it shall f ) Compassionate Leaves
not be convertible to cash and shall not be cumulative. R.A. No. 9710 and R.A. No. 9262
d) Solo Parent Leave Or Bereavement leaves are currently NOT statutorily mandated
1) Gynecological leave. — Any female employee in the public bene ts.
Expanded Solo Parents Welfare Act and private sector regardless of age and civil status shall be
entitled to a special leave of two (2) months with full pay 4 Special Groups of Employees
1) In addition to leave privileges under existing laws, a forfeitable based on her gross monthly compensation subject to existing
and noncumulative parental leave of not more than seven (7) laws, rules and regulations due to surgery caused by a) Women
working days with pay every year shall be to working granted gynecological disorders under such terms and conditions:
to any solo parent employee, regardless of employment status,
a) She has rendered at least six (6) months continuous b) Minors
who has rendered service of at least six (6) months:
aggregate employment service for the last twelve (12)
c) Kasambahays
2) The parental leave bene t may be availed of by the solo parent months prior to surgery;
employees in the government and the private sector. d) Homeworkers
b) In the event that an extended leave is necessary, the female
3) The seven-day parental leave shall be non-cumulative. employee may use her earned leave credits; and
e) Night Workers
4) In the event that the parental leave is not availed of, said leave c) This special leave shall be non-cumulative and non-
shall not be convertible to cash unless speci cally agreed convertible to cash. f ) Apprentices and Learners
upon previously.
2) Battered woman leave. — The quali ed victim-employee g) Persons With Disabilities
5) A solo parent shall be entitled to parental leave provided that: shall be entitled to a leave of up to ten (10) days with full pay,
consisting of basic salary and mandatory allowances xed by
a) He/She has rendered at least 6 months of service RTWPB.
a) Women
whether continuous or broken at the time of the
Requirement. — To be entitled to the leave bene t, the only (1) Discrimination
e ectivity of the Act;
requirement is for the victim-employee to present to her
b) He/She has noti ed his/her employer of the employer a certi cation from the The following are acts of discrimination:
availment thereof within a reasonable time period;
a) barangay chairman or 1) Payment of a lesser compensation to a female employee as
and
against a male employee, for work of equal value; and
b) barangay councilor or
c) prosecutor or
2) Favoring a male employee over a female employee with respect as a "bona fide occupational qualification," Brent must prove 1) To deny any woman employee the bene ts provided for in this
to promotion, training opportunities, study and scholarship two factors necessitating its imposition, viz: Chapter or to discharge any woman employed by him for the
grants solely on account of their sexes. purpose of preventing her from enjoying any of the bene ts;
1) that the employment quali cation is reasonably related to
(2) Stipulation Against Marriage the essential operation of the job involved; and 2) To discharge such woman on account of her pregnancy, or
while on leave or in con nement due to her pregnancy;
2) that there is a factual basis for believing that all or
It shall be unlawful for an employer substantially all persons meeting the quali cation would be 3) To discharge or refuse the admission of such woman upon
unable to properly perform the duties of the job. returning to her work for fear that she may again be pregnant.
1) to require as a condition of employment or continuation of
employment that a woman employee shall not get married, or Brent has not shown the presence of neither of these factors. b) Minors
2) to stipulate expressly or tacitly that upon getting married, a See RA No. 9231, amending RA 7610;
woman employee shall be deemed resigned or separated, or DO No. 65-04, S. 2004 on Worst Forms of Child Labor; and
PT&T v. NLRC
3) to actually dismiss, discharge, discriminate or otherwise DOLE Dept. Circular No. 2, S. 2017 on Guidelines on the
prejudice a woman employee merely by reason of her marriage. Petitioner’s policy of not accepting or considering as disquali ed Issuance of Work Permit for Children Below 5 Years Old
from work any woman worker who contracts marriage runs afoul of Engaged in Public Entertainment or Information
Cadiz v. Brent Hospital and Colleges 2016 the test of, and the right against, discrimination, a orded all women
workers by our labor laws and by no less than the Constitution. 1) Child labor refers to any work or economic activity
Brent imposed on Cadiz the condition that she subsequently Contrary to petitioner’s assertion that it dismissed private performed by a child that subjects him/her to any form of
contract marriage with her then boyfriend for her to be reinstated. respondent from employment on account of her dishonesty, the exploitation or is harmful to his/her health and safety or
According to Brent, this is "in consonance with the policy against record discloses clearly that her ties with the company were dissolved physical, mental or psychosocial development.
encouraging illicit or common-law relations that would subvert the principally because of the company’s policy that married women are
2) Working child refers to any child engaged as follows:
sacrament of marriage." not quali ed for employment in PT&T, and not merely because of
her supposed acts of dishonesty. a) when the child is below eighteen (18) years of age, in
The Magna Carta of Women protects women against
work or economic activity that is not child labor; and
discrimination in all matters relating to marriage and family Private respondent was practically forced by that very same illegal
relations, including the right to choose freely a spouse and to company policy into misrepresenting her civil status for fear of b) when the child is below fteen (15) years of age,
enter into marriage only with their free and full consent. being disquali ed from work. i) in work where he/she is directly under the
Brent's condition is coercive, oppressive and discriminatory. There is responsibility of his/her parents or legal guardian and
no rhyme or reason for it. It forces Cadiz to marry for economic (3) Prohibited Acts where only members of the child ‘s family are
reasons and deprives her of the freedom to choose her status, which employed; or
is a privilege that inheres in her as an intangible and inalienable It shall be unlawful for any employer: ii) in public entertainment or information.
right. While a marriage or no-marriage quali cation may be justi ed
3) 15 and above, but below 18 years of age
GR: May be employed ★ Hours of Work. up to 8H/D, 40H/W; 6am to 10pm ★ Hours of Work. up to 4H/D, 20H/W; 6am to 8pm only.
only.
EXC: In an undertaking which is deleterious or hazardous 5) Prohibition on the Employment of Children in Worst
in nature. 4) Below 15 years of age Forms of Child Labor. — No child shall be engaged in the
★ DOLE DO 149-16. Based on Two Classi cations: GR: Shall not be employed worst forms of child labor. The phrase “worst forms of child
labor” shall refer to any of the following:
a) Industrial Classi cation EXC: When a child works
a) All forms of slavery, as de ned under the “Anti-tra cking
i. Mining and Quarrying; a. Directly under the sole responsibility of his parents/
in Persons Act of 2003”, or practices similar to slavery
legal guardian and where only members of his family
ii. Construction; such as sale and tra cking of children, debt bondage and
are employed.
iii. Transportation and Storage; serfdom and forced or compulsory labor, including
Provided his employment neither endangers his life, recruitment of children for use in armed con ict.
iv. Water Supply, Sewerage, Waste management and safety, health, and morals nor impairs his normal
remediation activities; b) The use, procuring, o ering or exposing of a child for
development.
prostitution, for the production of pornography or for
v. Forestry and Logging; Provided further that said child is provided with the pornographic performances;
vi. Fishing and Agriculture; prescribed education;
c) The use, procuring or o ering of a child for illegal or illicit
vii. Hunting, Trapping; b. Or participates in public entertainment or activities, including the production or tra cking of
information dangerous drugs or volatile substances prohibited under
viii. Security and Investigation;
Provided that the employment contract is concluded existing laws; or
ix. Manufacturing
by child’s parent with express agreement of said child d) Work which, by its nature or the circumstances in which
b) Occupational Classi cation it is carried out, is hazardous or likely to be harmful to the
Provided further that the following are met:
i. Farmers health, safety or morals of children, xxxx.
i) Protection, health, safety, morals and normal
ii. Animal Producers; development of child is ensured; 6) Prohibition on the Employment of Children in Certain
Advertisements. — No child shall be employed as a model in
iii. Physical, Life Sciences and Health Associate ii) Measures are instituted to prevent child’s any advertisement directly or indirectly promoting alcoholic
Professionals; exploitation or discrimination; and beverages, intoxicating drinks, tobacco and its byproducts,
iv. Sales and Services Elementary Occupations; iii) A continuing program for training and skills gambling or any form of violence or pornography.
v. Personal and Protective Services Workers; acquisition of the child is formulated and
implemented.
c) Kasambahays
vi. Customer Services Clerks;
A work permit shall be secured from DOLE in both Batas Kasambahay
vii. Other Craft and Related Trade Workers. instances.
original contract and other improvements granted during the

1) Coverage. — Apply to all parties to an employment contract 1) “Industrial Homework” is a system of production under
e ectivity of said contract are deemed renewed.
for the services of the following Kasambahay, whether on a which work for an employer or contractor is carried out by a
live-in or live-out arrangement, such as but not limited to: 5) The rights and privileges of the Kasambahay are as follows: homework at his/her home. Materials may or may not be
furnished by the employer or contractor. It di ers from
a) General househelp; a) Minimum wage;
regular factory production principally in that, it is a
b) Yaya; b) Other mandatory bene ts, such as the daily and decentralized form of production where there is ordinarily
weekly rest periods, service incentive leave, and 13th very little supervision or regulation of methods of work.
c) Cook;
month pay;
d) Gardener; 2) Exemption from minimum Wage if engaged in
c) Coverage under the SSS, PhilHealth and Pag-IBIG needlework. The title on Wages shall not apply to farm
e) Laundry person; or laws; tenancy or leasehold, domestic service and persons working in
f) Any person who regularly performs domestic work in d) Board, lodging and medical attendance; their respective homes in needle work or in any cottage
one household on an occupational basis. industry duly registered.
e) Right to privacy;
2) The following are not covered: 3) No homework shall be performed on the following:
f) Access to outside communication;
a) Service providers; a) explosives, reworks and articles of like character;
g) Access to education and training;
b) Family drivers; b) drugs and poisons; and
h) Right to form, join, or assist labor organization;
c) Children under foster family arrangement; and c) other articles, the processing of which requires exposure
i) Right to be provided a copy of the employment
d) Any other person who performs work occasionally or to toxic substances.
contract;
sporadically and not on an occupational basis.
j) Right to certi cate of employment; and e) Night Workers
3) Employment contract and renewal. — Before the
k) Right to exercise their own religious beliefs and DOLE DO No. 119-12 s. 2012
commencement of the service, a written employment
cultural practices.
contract between the Kasambahay and the employer shall be
accomplished in three (3) copies. The contract shall be in a 1) Coverage and Exclusion. — Shall apply to all persons, who
Atienza v. Saluta 2019 shall be employed or permitted or su ered to work at night,
language or dialect understood by both the Kasambahay and
the employer. except those employed in agriculture, stock raising, fishing,
WON the Labor Code governs the rights of family drivers.
maritime transport and inland navigation, during a period of
4) Renewal of Contract. — Should the parties mutually agree NO. The Civil Code shall govern the rights of family drivers.
not less than seven (7) consecutive hours, including the
to continue their employment relationship upon expiration of interval from midnight to ve o'clock in the morning.
the contract, they shall execute a new contract to be registered d) Homeworkers
with the concerned barangay. However, if the parties fail to 2) Right to Health Assessment. — At their request, workers
DOLE DO No. 5 s. 1992 shall have the right to undergo a health assessment without
execute a new contract, the terms and conditions of the
charge and to receive advice on how to reduce or avoid health

5) Women Night Workers. — Measures shall be taken to iv) Possess the ability to comprehend and follow oral and
problems associated with their work.
ensure that an alternative to night work is available to women written instructions.
3) Right to Mandatory Facilities. — Mandatory facilities workers who would otherwise be called upon to perform such
d) Compulsory apprenticeship
shall be made available for workers performing night work work.
which include the following: i) When grave national emergencies, particularly those
6) Criminal liability of Employer. — Any violation of this
involving the security of the state, arise or particular
a) Suitable rst-aid and emergency facilities; Rule shall be punishable with a ne of 30K - 50K or
requirements of economic development so demand.
imprisonment of not less than six (6) months or both, at the
b) Lactation station in required companies;
discretion of the court. ii) Where services of foreign technicians are utilized by
c) Separate toilet facilities for men and women; private companies in apprenticeable trades.
f ) Apprentices and Learners
d) Facility for eating with potable drinking water; and e) Qualified Employers. — Only employers in highly
technical industries may employ apprentices and only in
e) Facilities for transportation and/or properly ventilated
a) Apprenticeship means any training on the job supplemented apprenticeable occupations approved by the SOLE.
temporary sleeping or resting quarters, except where any
by related theoretical instructions involving apprenticeable
of the following circumstances is present: f) Deductibility of Training Costs. — An additional
occupations and trades.
deduction from taxable income of one-half (1/2) of the
i) Where there is an existing agreement between
b) Coverage. — value of labor training expenses incurred for developing the
management and workers providing for an equivalent
i) Any enterprise duly registered with TESDA with 10 productivity and e ciency of apprentices. Provided
or superior bene t; or
or more regular workers. The number of i) such program is duly recognized by the DOLE;
ii) Where the start or end of the night work does not fall
apprentices shall not be more than 20% of its total
within 12 midnight to 5 o'clock in the morning; or ii) such deduction shall not exceed ten (10%) percent
regular workforce.
of direct labor wage: and
iii) Where the workplace is located in an area that is
ii) Any unemployed person 15 years old and above may
accessible twenty four (24) hours to public iii) apprentices are paid the minimum wage.
apply.
transportation;
g) Apprentices without Compensation. — The SOLE may
c) Qualifications. — To qualify as apprentice, an applicant
iv) Where the number of employees does not exceed a authorize the hiring of apprentices without compensation
shall:
speci ed number as may be provided for by the whose training on the job is
SOLE. i) Be at least fteen years of age;
i) required by the school or training program
4) Right to Transfer. — Night workers who are certi ed by provided those who are at least fteen years of age but curriculum or
competent physician, as un t to render night work, due to less than eighteen may be eligible for apprenticeship
ii) as requisite for graduation or board examination.
health reasons, shall be transferred to a job for which they are only in non-hazardous occupations;
t to work whenever practicable. h) Apprenticeship period. — The period of apprenticeship
ii) Be physically t;
shall not exceed six (6) months.
iii) Possess vocational aptitude and capacity; and
employment and the same compensation, privileges, bene ts,

i) Wages. — The wage rate of the apprentice shall start at 75% consisting of employment or
fringe bene ts, incentives or allowances as a quali ed able-bodied
of the statutory minimum wage for the rst six (6) months; semi-skilled and other occupation approved for
person.
thereafter, he shall be paid the full minimum wage, including industrial occupations apprenticeship by SOLE
the full cost of living allowance. (1) Discrimination
Theoretical
j) Hours of work. — An apprentice not otherwise barred by Not required Required
instruction
law from working eight hours a day may be requested by his (a) Magna Carta for Disabled Persons (RA 7277)
employer to work overtime and paid accordingly, provided Competency-
✔ ✘ No entity, whether public or private, shall
i) there are no available regular workers to do the job, based system
discriminate against a quali ed disabled person by
and reason of disability in regard to job application
Duration Not exceeding 3 months 3-6 months
ii) the overtime work thus rendered is duly credited procedures, the hiring, promotion, or discharge of
toward his training time. 20% of total regular employees, employee compensation, job training, and
Limitation NONE
workforce other terms, conditions, and privileges of
k) Learners are persons hired as trainees in semi-skilled and employment.
other industrial occupations which are non-apprenticeable Option to ER Obliged to hire
Optional
and which may be learned through practical training on the employ learner (b) Mental Health Act (RA 11036)
job in a relatively short period of time which shall not exceed Discrimination refers to any distinction, exclusion or
Dispute DOLE Regional
three (3) months. Labor Arbiter restriction which has the purpose or e ect of
Resolution Director
l) Learners may be employed nullifying the recognition, enjoyment or exercise, on
an equal basis with others, of all human rights and
i) when no experienced workers are available, g) Persons With Disabilities
fundamental freedoms in the political, economic,
ii) the employment of learners is necessary to prevent The Magna Carta for Disabled Persons, as amended social cultural, civil or any other eld. It includes all
curtailment of employment opportunities, and forms of discrimination, including denial of
iii) the employment does not create unfair competition Handicapped workers may be employed reasonable accommodation. Special measure solely to
in terms of labor costs or impair or lower working protect the rights or secure the advancement of
1) when their employment is necessary to prevent curtailment
standards. persons with decision-making impairment capacity
of employment opportunities and
shall not be deemed to be discriminatory.
m) The wages or salary rates of the learners which shall begin at 2) when it does not create unfair competition in labor costs or
not less than 75% of the applicable MW. impair or lower working standards. (2) Incentives for Employers
Learner Apprentice Equal opportunity. — No disabled persons shall be denied access
1) Private entities that employ disabled persons who meet the
to opportunities for suitable employment. A quali ed disabled
Occupation Learnable occupations Any trade, form of required skills or quali cations, either as regular employee,
employee shall be subject to the same terms and conditions of
apprentice or learner, shall be entitled to an additional Bene t How to avail Exception Notes
3) The above acts would result in an intimidating, hostile, or
deduction, from their gross income, equivalent to
o ensive environment for the employee.
twenty- ve percent (25%) of the total amount paid as ■ 125% of BHR Overtime Employees OT Pay refers to
on Work - Work not covered additional
salaries and wages to disabled persons. b) Safe Spaces Act
ORDINARY rendered after under Art compensation for
2) Private entities that improve or modify their physical facilities days; the normal 8 82 work performed
in order to provide reasonable accommodation for disabled The crime of gender-based sexual harassment in the ■ 130% of BHR hours of work. beyond the 8
persons shall also be entitled to an additional deduction from workplace includes the following: on Rest Days, normal hours of
their net taxable income, equivalent to fty percent Special and work on any
1) An act or series of acts involving
Regular given day.
(50%) of the direct costs of the improvements or
a) any unwelcome sexual advances, requests or demand Holidays
modi cations.
for sexual favors or
Premium Pay
5 Sexual Harassment in the Work Environment b) any act of sexual nature, whether done verbally, physically
or through the use of technology, ■ 130% of regular Working on a Art 82 + Premium pay
pay for work special holiday those of refers to
a) Sexual Harassment Act that has or could have a detrimental e ect on the conditions of done during or a scheduled retail and additional
an individual's employment or education, job performance or special holiday rest day. service with compensation
Sexual harassment is committed when: opportunities; or rest day; less than required by law
■ 150% of regular 10 EEs for work
1) The sexual favor is made as a condition 2) A conduct of sexual nature and other conduct-based on sex
pay for work performed within
a ecting the dignity of a person, which is unwelcome,
a) in the hiring or in the employment, re-employment or done on a rest the 8 normal
unreasonable, and o ensive to the recipient, whether done day falling on a hours of work
continued employment of said individual, or
verbally, physically or through the use of technology; holiday. on non-working
b) in granting said individual favorable compensation, terms days.
3) A conduct that is unwelcome and pervasive and creates an
of conditions, promotions, or privileges; or
intimidating, hostile or humiliating environment for the
Service Incentive Leave
the refusal to grant the sexual favor results recipient.
c) in limiting, segregating or classifying the employee which ■ Five days leave Rendered at Art 82 + Commutable to
This may also be committed between peers and those committed
with pay least 1 year already cash if not used.
in any way would discriminate, deprive or diminish to a superior o cer by a subordinate, or to a teacher by a student,
service; enjoying
employment opportunities or otherwise adversely a ect or to a trainer by a trainee. bene t; VL
said employee; Part time with pay of
Summary of Minimum Labor Standards Bene ts
2) The above acts would impair the employee's rights or workers may at least 5
Bene t How to avail Exception Notes bene t. days; less
privileges under existing labor laws; or
than 10
Overtime Pay
Bene t How to avail Exception Notes Summary of Special Bene ts Bene ciaries, Exemptions
Provision How to avail
and Exclusions
EEs Bene ciaries, Exemptions
and Exclusions maternity leave with availed of either as a solo parent the worker
Holiday Pay
full pay and an before or after the shall be granted an
13th month pay [PD 851 as amended]
option to extend for actual period of additional fteen (15) days
■ 100% of regular May be availed Art 82 + Jan 1, Maundy
an additional thirty delivery in a maternity leave with full
pay even if of regardless of those of Thursday, Good Equivalent to 1/12 Worked for at least 1 1. Rank-and- le
(30) days without continuous and pay.
unworked; whether worked retail and Friday, Eidul Fitr, of the total basic month during a employees;
pay uninterrupted
■ 200% if worked or unworked. service with Eidul Adha, Apr salary earned calendar year 2. Domestic helpers;
manner, not Adoptive parents, if the
less than 9, May 1, Jun 12, within a calendar 3. Piece-rate employees;
exceeding one adoptee is below 7 years
10 EEs National Heroes year, to be paid not 4. Government;
hundred ve (105) old as of date he is placed in
Day, Nov 1, Nov later than Dec 24. 5. Already paying 13th
days Pre-Adoptive Placement
30, Dec 25, Dec month pay or its
Authority
30, Dec 31, equivalent;
Election Day 6. In the personal service
Retirement Pay
of another;
Night- shift Di erential 7. Commission- based, One-half month Generally 1. All employees in private
boundary or task basis, salary for every year 1. Optional Age: 60; sector;
■ 110% of BHR Employees Art 82 + Not waivable,
paid by result. of service that Compulsory: 65 2. Part-timers;
working those of founded on
includes: 2. 5 year minimum 3. Employees of service and
between 10 PM retail and public policy Paternity Leave [RA 8187. Paternity Leave Act of 1996 and its IRR]
1. 15 days latest service; other job contractors;
- 6 AM of the service of
salary rate; and if 3. Eligible for 4. Kasambahays or persons
next day NOT more Entitled to full pay, 1. An employee; Married male employee,
entitled to retirement; in the personal service of
than 5 EEs. consisting of basic 2. Cohabiting with provided he is, during
2. Cash equivalent another;
salary, for the 7 days spouse; delivery or miscarriage:
Service Charges of service Surface Mine 5. Underground mine
of paternity leave, 3. Has applied for
incentive leave = Workers workers;
for up to the rst PL;
■ 100% Employees Art 82 Service charges are
four (4) deliveries. 4. Legitimate spouse
5 days; Optional: 50; 6. Employees in GOCCs
rank-and- le working in not in the nature 3. 1/12 of the 13th Compulsory: 60. organized under Corp
gave birth or had a
establishments of pro t share month pay = 2.5 Code.
miscarriage.
collecting and, therefore, days; Racehorse Jockeys 7. National Gov, LGCs,
service charges, cannot be Maternity Leave [RA 11210. 105-Day Expanded Maternity Leave Law Compulsory: 55. GOCCs under Civil
i.e. hotels, clubs, deducted from and its IRR] 1/2MS = Service Law;
bars, casinos, wage. 15+5+2.5 = 22.5 8. Retail, service, agri
restaurants one hundred ve Cannot be deferred Female employee; establishments regularly
days
(105) days but should be in case the worker quali es employ not more than
stated in Sec 9-A which provides that self-employed includes,

Bene ciaries, Exemptions C Social Welfare Legislation but not limited to, the following:
and Exclusions
SSS Law a) All self-employed professionals;

10.
9. Dismissed from work due b) Partners and single proprietors of businesses;
a) Coverage
to just cause.
c) Actors and actresses, directors, scriptwriters and news
Parental Leave [RA 8972. Solo Parent Welfare Act and its IRR] b) Dependents and Bene ciaries correspondents who do not fall within the de nition of
the term “employee” in Sec 8 (d) of this Act;
Parental leave of not 1. Has rendered Solo parent, or other person c) Bene ts
more than 7 days service for at least who solely provides parental d) Professional athletes, coaches, trainers and jockeys; and
every year. 1 year; care and support to a child GSIS Law e) Individual farmers and shermen.
2. Noti ed or children.
Flexible work employer; a) Coverage 2) OFWs, sea-based or land-based, are compulsory members as
schedule; 3. Presented a Solo provided for under Sec 9-B.
Parent ID. b) Dependents and Bene ciaries
Protection from b) Dependents and Bene ciaries
work c) Bene ts
discrimination. 1) The dependents shall be the following:
Disability and Death Bene ts
Battered Woman’s Leave a) The legal spouse entitled by law to receive support from
a) Labor Code the member;
10 days of paid Certi cation from Victims of abuse under
leave, which is Punong brgy, VAWC b) POEA-Standard Employment Contract b) The legitimate, legitimated or legally adopted, and
extendible. Prosecutor or Clerk illegitimate child who is unmarried, not gainfully
of Court. employed, and has not reached twenty-one (21) years of
SSS Law
1 age, or if over twenty-one (21) years of age, he is
Gynecological Leave [RA 9710. Magna Carta of Women]
RA 8282, as amended by RA 11199 congenitally or while still a minor has been permanently
Special leave of 2 Continuous Female employee incapacitated and incapable of self-support, physically or
months with full aggregate service of undergoing gynecological a) Coverage mentally; and
pay based on gross at least 6 months surgery. c) The parent who is receiving regular support from the
monthly for the last 12 1) The SS Law mandates that all employees including member.
compensation. months.
kasambahays or domestic workers not over sixty (60) years of
2) Primary Beneficiaries
age shall be members of the SSS (Sec 9). The law also
mandates compulsory coverage of the Self-Employed as a) The dependent spouse until he or she remarries;
disability, which is de ned by Section 13-A (d), and

b) the dependent legitimate, legitimated or legally adopted, within the meaning of the law liable to pay the SS
permanent partial disability.
and illegitimate children, In their absence, contributions.
5) Funeral Bene t. — under Section 13-B, provides for a
3) Secondary Beneficiaries The Court sustains the jurisdiction of the Commission over
funeral grant equivalent to P12K to help defray the cost of
disputes under the Social Security Act "with respect to coverage,
a) the dependent parents; funeral expense upon the death of a member, including a
bene ts, contributions and penalties thereon or any other matter
b) In the absence of all the foregoing, any other person permanently totally disabled member or retiree.
related thereto. Moreover, the Court agrees with the Commission's
designated by the member as his/her secondary 6) Sickness Bene t. — under Section 14, provides daily sickness assertion that an action for remittance of SS monthly
bene ciary. bene ts equivalent to ninety percent (90%) of his average contributions is not a type of money claim which needs to be
daily salary credit, to members who are con ned for more led against the estate proceedings.
c) Bene ts
than three (3) days in a hospital or elsewhere with the
approval of the SSS. However, to avail of this bene t, the
1) Maternity Leave Bene t. — see also 105-Day Expanded
member must have complied with the conditions and SSS v. Delos Santos
Maternity Leave Law RA 11210
quali cations provided by the said law.
2) Retirement Bene t. — under Section 12-B, is given to a AN ESTRANGED wife who was not dependent upon her
7) ⭐Unemployment Insurance or Involuntary Separation deceased husband for support is not quali ed to be his bene ciary.
member who:
Benefits. — under Section 14-B, provides that an employee
a) has reached the age of sixty (60) years old, and is already who is involuntarily unemployed or separated from work can Death bene ts should not be denied to the wife who was married to
separated from work or has ceased to be self-employed; or avail of this bene t. However, this bene t shall only be availed the deceased retiree only after the latter's retirement.
b) has reached the age of sixty ve (65) years provided he/she once every three (3) years. The reckoning point in determining the bene ciaries of the
has complied with the required monthly contributions. deceased should be the time of his death. There is no need to look
SSS v. Alba into the time of retirement.
3) Death Bene t. — under Section 13, allows the primary
bene ciaries of the deceased member to be entitled to monthly An action for remittance of SS monthly contributions is not a type In Aguas, the Court ruled that although a husband and wife are
pension provided the latter has paid the required monthly of money claim which needs to be led against the estate obliged to support each other, whether one is actually dependent for
contributions to be quali ed thereof. proceedings. support upon the other cannot be presumed from the fact of
marriage alone. A wife who is already separated de facto from her
4) Permanent Disability Bene t. — under Section 13-A, WON the term "employer" under the Social Security Act of 1954 may
husband cannot be said to be "dependent for support" upon the
provides that those who have permanent disabilities shall be be applied to Far Alba, the administrator-son of the owner, Arturo
husband, absent any showing to the contrary.
entitled to a monthly pension. The sum equivalent to the Alba, Sr., who is directly and actively involved in the operation of the
monthly pension is still subject to the conditions and agricultural undertaking.
quali cations provided by the said law. Further, the law
YES. Plainly, Far Alba, as the hacienda administrator, acts as the Bartolome v. SSS 2014
provides a di erent monthly pension for permanent total
legal representative of the employer and is thus an employer
Plainly, "dependent parents" are parents, whether legitimate or of benefits in violation of Article 100 of the Labor Code. b) contractual who have no employer and employee
illegitimate, biological or by adoption, who are in need of support or relationship with the agencies they serve.
YES. The civil status of the employee as either married or single is
assistance.
not the controlling consideration in order that a person may qualify 2) Except for the members of the judiciary and constitutional
as the employee’s legal dependent. What is rather decidedly commissions who shall have life insurance only, all
controlling is the fact that the spouse, child, or parent is members of the GSIS shall have life insurance, retirement, and
Haveria v. SSS 2018 actually dependent for support upon the employee. all other social security protection such as disability,
survivorship, separation, and unemployment bene ts.
WON Haveria's inclusion as a compulsory member of the SSS was Petitioner had no basis to deny the claim for funeral and
valid and consequently, whether he is entitled to receive monthly bereavement aid of Alfante for the death of his parent whose death b) Dependents and Bene ciaries
pensions. and fact of legal dependency on him could be substantially proved.
NO. Haveria was reported by the SSSEA as an employee, and he Pursuant to Article 100 of the Labor Code, petitioner as the 1) Dependents shall be the following:
claims coverage as a compulsory member of the SSS. As correctly employer could not reduce, diminish, discontinue or eliminate any
a) the legitimate spouse dependent for support upon the
held by the SSC and CA, the SSSEA, a labor organization, bene t and supplement being enjoyed by or granted to its
member or pensioner;
cannot be considered an employer under the law. As a employees.
government employee, Haveria would have been quali ed for b) the legitimate, legitimated, legally adopted child,
voluntary coverage under Section 9 (b) of R.A. No. 1161, had he including the illegitimate child, who is unmarried, not
registered as a voluntary member. Consequently, his compulsory GSIS Law gainfully employed, not over the age of majority, or is over
coverage while supposedly employed with the SSSEA was erroneous. 2 the age of majority but is incapacitated and incapable of
RA 8291 self-support due to a mental or physical defect acquired
prior to age of majority; and
a) Coverage
Philippine Journalist Inc. v. c) the parents dependent upon the member for support;
2013
Journal Employees Union
1) Membership in the GSIS shall be compulsory for all 2) Primary bene ciaries. — The legal dependent spouse until
The coverage of the term legal dependent as used in a stipulation employees receiving compensation who have not reached the he/she remarries and the dependent children;
in a CBA granting funeral or bereavement bene t to a regular compulsory retirement age, irrespective of employment status, 3) Secondary bene ciaries. — The dependent parents and,
employee for the death of a legal dependent, if the CBA is silent except subject to the restrictions on dependent children, the
about it, is to be construed as similar to the meaning that legitimate descendants.
a) members of the Armed Forces of the Philippines and the
contemporaneous social legislations have set. This is because the
Philippine National Police, subject to the condition that
terms of such social legislations are deemed incorporated in or c) Bene ts
they must settle rst their nancial obligation with the
adopted by the CBA.
GSIS, and
WON petitioner’s denial of respondents’ claims for funeral and 1) The separation bene ts are given to GSIS members who are
bereavement aid granted under their CBA constituted a diminution separated from service or who resigned therefrom provided
that the quali cations set by law are met by the member
c) he is not receiving a monthly pension bene t from
claiming for separation bene ts. YES. For the compensability of an injury to an employee which
permanent total disability.
results in his disability or death, Section 1(a), Rule III of the
2) On the other hand, the Unemployment or Involuntary
5) Likewise, Survivorship bene ts are given when a member or Amended Rules on Employees' Compensation imposes the
Separation Bene ts are given to an employee who, at the
pensioner dies, his/her bene ciaries shall be entitled to following conditions:
time of separation from work,
survivorship bene ts provided in Sections 21 and 22 of R.A.
1. The employee must have been injured at the place where
a) was holding a permanent employment, and No. 8291 as stated in Section 20 of said law provided the
his work required him to be;
quali cations set by law are met.
b) was separated involuntarily due to the abolition of his/her
2. The employee must have been performing his o cial
o ce or position resulting from reorganization. 6) Funeral bene t is given to the bene ciaries of the deceased
functions; and
member to help them defray the cost of burial, and funeral
3) With respect to disability bene ts,
expenses. 3. If the injury was sustained elsewhere, the employee must
a) permanent total disability means disability caused by have been executing an order of the employer.
7) Life insurance bene ts are given to all GSIS members,
injury or disease resulting in complete, irreversible, and
except for Members of the AFP and the PNP.
permanent incapacity to work or to engage in any gainful
occupation, 8) It must be noted that the claims for bene ts under this law GSIS v. Casco
b) while there is permanent partial disability when a GSIS shall be led within 4 years from the time of the
When an employee is constrained to retire at an early age due to his
member is incapacitated to work for a limited period of contingency except claims for life and retirement
illness and the illness persists even after retirement, resulting in his
time because of complete, and permanent loss of any of bene ts.
continued unemployment, as in this case, such a condition amounts
the following body parts. xxx 9) Hence, after the contingency such as separation from work, to total disability which should entitle him to the maximum
c) Further, there is temporary total disability when a GSIS occurrence of disability, or death happens, then the member bene ts allowed by law.
member is momentarily incapacitated to work or engage ought to le a claim immediately, in order to avail of the
WON respondent's claim for conversion of his PPD benefits to PTD
in any gainful occupation as a result of impairment of bene ts provided under this law.
benefits should be granted.
physical or mental faculties which can be rehabilitated or
restored to their normal functions. Rodrin v. GSIS YES. A disability is considered total and permanent if as a result
of the injury or sickness, the employee is unable to perform any
4) Retirement bene ts are those received by employees upon Members of the national police, unless they are on o cial leave, are, gainful occupation for a continuous period exceeding 120 days.
reaching the age of retirement which is sixty (60) years of by the nature of their functions, technically on duty 24 hours a day,
age. To be entitled thereon, according to Section 13-A of R.A. because policemen are subject to call at any time and may be asked Disability should be understood not singly through its medical
No. 8291, the following quali cations shall be met: by their superiors or by any distressed citizen to assist in maintaining signi cance but, more importantly, in terms of a person's loss of
the peace and security of the community. earning capacity.
a) he has rendered at least fteen (15) years of service;
WON the death of SPO1 Rodrin is compensable under PD 626. Permanent total disability means disablement of an employee to
b) he is at least sixty (60) years of age at the time of
earn wages in the same kind of work, or work of a similar nature that
retirement; and
he was trained for or accustomed to perform, or any kind of work a) Labor Code i) Temporary total disability lasting continuously for more
which a person of his mentality and attainment could do. It does not
than one hundred twenty days, except as otherwise
mean absolute helplessness but rather an incapacity to perform
CHAPTER VI Disability Bene ts provided for in the Rules;
gainful work which is expected to be permanent.
ARTICLE 197. Temporary Total Disability. — Any employee who ii) Complete loss of sight of both eyes;
sustains an injury or contracts sickness resulting in temporary total
iii) Loss of two limbs at or above the ankle or wrist;
disability shall, for each day of such a disability or fraction thereof,
GSIS v. De Castro iv) Permanent complete paralysis of two limbs;
be paid by the System an income bene t equivalent to ninety (90%)
What the law requires is a reasonable work connection and not percent of his average daily salary credit. v) Brain injury resulting in incurable imbecility or insanity;
direct causal relation. Probability, not the ultimate degree of ARTICLE 198. Permanent Total Disability. — and
certainty, is the test of proof in compensation proceedings.
a) Any employee who contracts sickness or sustains an injury vi) Such cases as determined by the Medical Director of the
WON De Castro proved that his heart ailments are work-related resulting in his permanent total disability shall, for each month System and approved by the Commission.
and/or have been precipitated by his duties with the AFP. until his death, be paid by the System during such a disability,
ARTICLE 199. Permanent Partial Disability. — Any employee
YES. In any determination of compensability, the nature and who contracts sickness or sustains an injury resulting in permanent
i) an amount equivalent to the monthly income bene t,
characteristics of the job are as important as raw medical ndings partial disability shall, for each month not exceeding the period
and a claimant's personal and social history. ii) plus ten (10%) percent thereof for each dependent child,
designated herein, be paid by the System during such a disability an
but not exceeding five, beginning with the youngest and
Intoxication which does not incapacitate the employee from income bene t for permanent total disability. xxxx
without substitution.
following his occupation is not su cient to defeat the recovery of
CHAPTER VII Death Bene ts
compensation, although intoxication may be a contributory cause b) The monthly income bene t shall be guaranteed for ve years,
to his injury. While smoking may contribute to the development of and shall be suspended if the employee ARTICLE 200. Death. —
a heart ailment, heart ailment may be caused by other factors such as a) The System shall pay to the primary bene ciaries upon the
working and living under stressful conditions. i) is gainfully employed, or
death of the covered employee,
Based on the totality of the circumstances surrounding De Castro's ii) recovers from his permanent total disability, or
i) an amount equivalent to his monthly income bene t,
case, we are convinced that his long years of military service, with its iii) fails to present himself for examination at least once a year
attendant stresses and pressures, contributed in no small measure to upon notice by the System. ii) plus ten percent thereof for each dependent child, but
the ailments that led to his disability retirement. not exceeding five, beginning with the youngest and
c) The following disabilities shall be deemed total and without substitution, except as provided for in paragraph (j)
permanent: of Article 167 hereof:
3 Disability and Death Bene ts Provided, however, That the monthly income bene t shall be
guaranteed for ve years:
The general rule is that the employer is liable to pay the heirs of the POEA-SEC. A seafarer’s compliance with such procedure
Provided, further, That if he has no primary bene ciary, the
deceased seafarer for death bene ts once it is established that he died presupposes that the company-designated physician came up with
System shall pay to his secondary bene ciaries the monthly
during the e ectivity of his employment contract. an assessment before the expiration of the 120-day or 240-day
income bene t but not to exceed sixty months:
periods.
However, the employer may be exempted from liability if he can
Provided, finally, That the minimum death bene t shall not
successfully prove that the seafarer's death was caused by an injury
be less than fteen thousand pesos.
directly attributable to his deliberate or willful act.
b) The System shall pay to the primary bene ciaries upon the Sy v. Phil Transmarine Carriers Inc. 2013
death of a covered employee who is under permanent total
The quali cation that death must be work-related has made it
disability under this Title, eighty (80%) percent of the Kestrel Shipping Co. et al., v. Munar 2013 necessary to show a causal connection between a seafarer’s work
monthly income bene t and his dependents to the dependents'
and his death to be compensable. Disability or death must arise
pension: If after the lapse of the 120 or 240 day periods, the seafarer is still
incapacitated to perform his usual sea duties and the company- 1) out of employment, AND
Provided, That the marriage must have been validly subsisting at designated physician had not yet declared him t to work or
2) in the course of employment.
the time of disability: permanently disabled, whether total or permanent, the conclusive
presumption that the latter is totally and permanently WON Sy is entitled to death benefits under the POEA Standard
Provided, further, That if he has no primary bene ciary, the
disabled arises. Contract.
System shall pay to his secondary bene ciaries the monthly
pension excluding the dependents' pension, of the remaining WON Munar is entitled to the maximum compensation benefit as NO. Under the Amended POEA Contract, work-relatedness is
balance of the ve-year guaranteed period: provided under the POEA Standard Employment Contract. now an important requirement. Work-related injury is de ned as an
injury resulting in disability or death arising out of and in the course
Provided, finally, That the minimum death bene t shall not be YES. Under Section 32 of the POEA-SEC, only those injuries or
of employment.
less than fteen thousand pesos. disabilities that are classi ed as Grade 1 may be considered as total
and permanent. However, if those injuries or disabilities with a An injury or accident is said to arise "in the course of
c) The monthly income bene t provided herein shall be the new employment"
disability grading from 2 to 14, hence, partial and permanent, would
amount of the monthly income bene t for the surviving
incapacitate a seafarer from performing his usual sea duties for a 1. when it takes place within the period of the employment,
bene ciaries upon the approval of this decree.
period of more than 120 or 240 days, depending on the need for
d) Funeral benefit. — A funeral bene t of Three Thousand 2. at a place where the employee reasonably may be, and
further medical treatment, then he is, under legal contemplation,
Pesos (P3,000.00) shall be paid upon the death of a covered totally and permanently disabled. 3. while he is ful lling his duties or is engaged in doing
employee or permanently totally disabled pensioner. something incidental thereto.
In addition, that it was by operation of law that brought forth the
conclusive presumption that Munar is totally and permanently At the time of the accident, AB Sy was on shore leave and there was
b) POEA-Standard Employment Contract disabled, there is no legal compulsion for him to observe the no showing that he was doing an act in relation to his duty as a
procedure prescribed under Section 20-B(3) of the seaman or engaged in the performance of any act incidental thereto.
Great Southern Maritime Service Corp., et al., v. Surigao
Consequently, his death could not be considered work-related Philman Marine Agency Inc. et al., v. Cabanban 2013 physician, the parties shall jointly agree to refer the matter
to be compensable. to a third doctor whose ndings shall be nal and
The doctor who has had a personal knowledge of the actual medical
binding on both.
condition, having closely, meticulously and regularly monitored and
actually treated the seafarer’s illness, is more quali ed to assess the Here, Armando, in fact, had no ground for a disability claim at the
Nazareno v. Maersk Filipinas Crewing Inc. 2013 En Banc time he led his complaint, as he did not have any su cient
seafarer’s disability.
evidentiary basis to support his claim.
If serious doubt exists on the company-designated physician's WON Armando is entitled to total and permanent disability
declaration of the nature of a seaman's injury and its corresponding benefits. More than this, the disagreement between the ndings of the
impediment grade, resort to prognosis of other competent medical company-designated physician and Armando’s chosen physicians
NO. Section 20-B of the POEA-SEC evidently shows that it is the
professionals should be made. was never referred to a third doctor. Considering the absence of
company-designated physician who primarily assesses the degree of
ndings coming from a third doctor, we sustain the ndings of the
WON under Section 20 of the said POEA-SEC, the disability of a the seafarer’s disability.
NLRC and hold that the certi cation of the
seafarer can only be assessed by the company-designated physician and
1. Upon the seafarer’s repatriation for medical treatment, and company-designated physician should prevail.
not by the seafarer’s own doctor.
during the course of such treatment, the seafarer is under
NO. While it is the company-designated physician who must declare total temporary disability and receives medical allowance
that the seaman su ered a permanent disability during employment, until the company-designated physician declares his tness Austria v. Crystal Shipping 2016
it does not deprive the seafarer of his right to seek a second opinion. to work resumption or determines the degree of the
seafarer’s permanent disability — either total or partial. Pre-existence of an illness does not irrevocably bar compensability
The certi cation of the company-designated physician would defeat
because disability laws still grant the same provided seafarer's
petitioner’s claim while the opinion of the independent physicians 2. The company-designated physician should, however, make
working conditions bear causal connection with his illness.
would uphold such claim. In such a situation, the Court adopts the the declaration or determination within 120 days,
ndings favorable to petitioner. The law looks tenderly on the otherwise, the law considers the seafarer’s disability as WON Austria was entitled to permanent disability benefits despite
laborer. total and permanent. his pre-existing condition.
WON petitioner is entitled to disability benefits based on the findings 3. Should the seafarer still require medical treatment for more YES. For an occupational disease and the resulting disability or
and conclusions, not only of his personal doctors, but also on the than 120 days, the period may be extended, but not to death to be compensable, all of the following conditions must be
findings of the doctors whom he consulted abroad. exceed 240 days. satis ed:
YES. The medical certi cate issued by Dr. Campana cannot be 4. At anytime during this latter period, the 1. The seafarer's work must involve the risks described herein;
given much weight and consideration against the overwhelming company-designated physician may make the declaration or 2. The disease was contracted as a result of the seafarer's
ndings and diagnoses of di erent doctors, here and abroad, that determination. exposure to the described risks;
petitioner was not t for work and can no longer perform his duties
5. In case of disagreement between the ndings of the 3. The disease was contracted within a period of exposure and
as a seafarer.
company-designated physician and the seafarer’s appointed under such other factors necessary to contract it; and
Quizora v. Denholm 2011 re Pre-Employment Medical the non-disclosure of the stenting procedure.
4. There was no notorious negligence on the part of the
Crew Management Examination
seafarer.
Petitioner's working environment as chef constantly exposed him to PEME is NOT exploratory in nature. It was not intended to be a
totally in-depth and thorough examination of an applicant’s medical Jebsens Maritime v. Alcibar 2019 re Theory of Aggravation
factors that could aggravate his heart condition.
condition. The PEME merely determines whether one is " t to In Leonis Navigation Co., Inc. v. Villamater, this Court held that
Compensability of an ailment does not depend on whether the work" at sea or " t for sea service," it does not state the real state of under Section 32-A of the POEA Standard Employment Contract,
injury or disease was pre-existing at the time of the employment but health of an applicant. In short, the " t to work" declaration in the colon cancer is considered a work-related disease. This Court
rather if the disease or injury is work-related or aggravated respondent’s PEME cannot be a conclusive proof to show that he explained that the seaman is entitled to disability bene ts if the
his condition. It is not necessary, in order for an employee to was free from any ailment prior to his deployment.
recover compensation, that he must have been in perfect condition seaman proves that the conditions inside the vessel increased or
or health at the time he received the injury, or that he be free from aggravated the risk of the seaman of colon cancer.
disease.
Doroteo v. Philimare, Inc 2017 re Clear Nexus Rule
Here, there is no clear nexus between the disease Doroteo acquired D Labor Relations
Dizon v. Naess Shipping Phils 2016 and the working conditions he encountered. Therefore, the
disputable presumption of work-relation cannot be applied, since Right to Self-Organization
The three-day period from return of the seafarer or sign-o from based on the evidence presented the Court cannot reasonably
the vessel, whether to undergo a post-employment medical a) Coverage
conclude that his work as an engineer in the engine room led to
examination or report the seafarer's physical incapacity, should Dorotea's throat cancer. b) Eligibility for Membership
always be complied with to determine whether the injury or illness is
work-related. c) Doctrine of Necessary Implication
WON Dizon is entitled to disability benefits. Leoncio v. MST
2017 re Medical Procedure d) Commingling or Mixed Membership
Marine Services
NO. The law speci cally declares that failure to comply with the
mandatory reporting requirement shall result in the seafarer's Nothing can be plainer than the meaning of the word "illness" as e) E ect of Inclusion as Members of Employees
forfeiture of his right to claim benefits thereunder. referring to a disease or injury a icting a person's body. By the Outside of the Bargaining Unit
Dizon’s coronary artery disease which rendered him un t for sea doctrine of noscitor a sociis, "condition" likewise refers to the state of
duty was diagnosed during a pre-employment medical one's health. Neither of these words refers to a medical Bargaining Unit
examination and not in a post-employment medical procedure undergone by a seafarer in connection with an "illness or
condition" already known to the employer. Bargaining Representative
examination as provided by law.
Thus, the employer cannot validly decry his supposed concealment Rights of Labor Organizations
and fraudulent misrepresentation of Leoncio's illness on account of
a) Check O , Assessment, and Agency Fees Ambulant, intermittent and itinerant workers, self-employed (RECIPROCITY rule); le by virtue of separation
people, rural workers and those without any de nite employers may and of unions doctrine.
b) Collective Bargaining form labor organizations for their mutual aid and protection. 4. Country of origin has Con dential EEs
Unfair Labor Practices rati ed ILO 87 and 98 as Members of a Cooperative;
ART 254. Right of Employees in the Public Service. — Employees of certi ed by DFA.
government corporations established under the Corporation Code Owners cannot bargain
a) Nature and Aspect All other workers FOR mutual
shall have the right to organize and to bargain collectively with their with themselves.
aid and protection and NOT for
b) By Employers respective employers. All other employees in the civil service shall Members of International Orgs;
collective bargaining;
have the right to form associations for purposes not contrary to By doctrine of
c) By Organizations law. Security guards;
incorporation, they are
Workers in EPZs. immune from suit.
Peaceful Concerted Activities
b) Eligibility for Membership
a) Strikes (Valid vs. Illegal) c) Doctrine of Necessary Implication
Quali ed Disquali ed
b) Picketing 1) Con dential employees, by Doctrine of Necessary
Those employed in commercial, EEs of GOCCs under Special
industrial and agricultural charters; Implication, are also disquali ed for union membership.
c) Lockouts
enterprises; They are those who
Managerial EEs;
d) Assumption of Jurisdiction by the DOLE Secretary EEs of GOCCs WITHOUT a) assist or act in a con dential capacity in regard
They are those who are
original charters (Corpo Code); vested with powers or b) to persons who formulate, determine, and e ectuate
1 Right to Self-Organization EEs of religious, charitable, prerogatives to lay down management policies, speci cally in the eld of labor
medical or educational and execute management relations.
a) Coverage institutions, for pro t or not; policies and/or hire,
2) For the disquali cation to apply
Alien EEs transfer, suspend, lay-o ,
ART 253. Coverage and Employees' Right to Self-Organization. — All a) He must be in a duciary relationship with another to
recall, discharge, assign or
persons employed in commercial, industrial and agricultural 1. Working in the country;
discipline employees. whom he reports or whom he assists;
enterprises and in religious, charitable, medical, or educational 2. With valid working permits
institutions, whether operating for pro t or not, shall have the right Supervisory EEs are b) The latter possesses labor-management relations
issued by DOLE;
to self-organization and to form, join, or assist labor organizations of RELATIVELY prohibited information; and
3. Nationals of countries in that they are not allowed
their own choosing for purposes of collective bargaining. c) He has access to that information by reason of his
granting same rights to to join unions of rank and
Filipinoworkers position.
3) The disquali cation will NOT apply if
a) The information is business information; and ii) In a meeting called for the purpose; 2) The factors in determining the appropriate collective
bargaining unit are
b) The information may be labor-management relations in iii) An application to cancel submitted by the board
nature but the employee’s access thereto is accidental only. attested to by the president; a) the will of the employees (Globe Doctrine);
iv) Filed in the RO which issued the Certi cate of b) a nity and unity of the employees' interest, such as
Societe Internationale De Registration. substantial similarity of work and duties, or similarity
2018
Telecommunications v. Huliganga
of compensation and working conditions
Managerial employees are not eligible to join, assist or form any Holy Child Catholic School v. Sto. Tomas 2013 En Banc (Substantial Mutual Interests Rule);
labor organization. An exception to this prohibition is when the c) prior collective bargaining history; and
In case of alleged inclusion of disquali ed employees in a union, the
employer extends the CBA bene ts to the managerial employee as a
proper procedure for an employer like petitioner is to directly le a d) similarity of employment status.
matter of policy or established practice.
petition for cancellation of the union’s certi cate of
WON Huliganga, as a managerial employee, is entitled to the same 3) The basic test of an asserted bargaining unit's acceptability is
registration due to misrepresentation, false statement or fraud
retirement benefits as those of rank-and-file employees. whether or not it is fundamentally the combination which
under the circumstances enumerated in Article 239 of the Labor
will best assure to all employees the exercise of their collective
NO. Complainant failed to present evidence to justify his claim. He Code, as amended.
bargaining rights. (ISAE v. Quisumbing)
failed to su ciently establish that there is an established company
practice of extending the CBA concessions to managerial employees. e) E ect of Inclusion as Members of Employees
3 Bargaining Representative
To be considered as a company practice, the act of extending the Outside of the Bargaining Unit
bene ts of the CBA to managerial employees must have been Exclusive bargaining agent. — Refers to any legitimate labor
practiced for a long period of time and must be shown to be The inclusion as union members of employees outside the organization duly recognized or certi ed as the sole and exclusive
consistent and deliberate. bargaining unit shall not be a ground for the cancellation of the bargaining agent of all the employees in a bargaining unit.
registration of the union. Said employees are automatically
d) Commingling or Mixed Membership deemed removed from the list of membership of said union. Modes to acquire status as Sole and Exclusive
Bargaining Agent (SEBA)
1) Mixed-membership is NOT a ground for the cancellation of a 2 Bargaining Unit Four (4) ways of determining a bargaining agent:
union’s certi cate of registration. The grounds are limited to
1) A "bargaining unit" has been de ned as a group of a) Request for SEBA certi cation;
the following:
employees of a given employer, comprised of all or less than all b) Certi cation election;
a) Fraud in the rati cation of Constitution and Bylaws;
of the entire body of employees, which the collective interest
c) Run-o election; OR
b) Fraud in election of o cers; of all the employees, consistent with equity to the employer,
indicate to be the best suited to serve the reciprocal rights and d) Consent election.
c) Voluntary dissolution
duties of the parties under the collective bargaining provisions
i) By ⅔ of members; of the law. (UP v. Ferrer-Calleja)
SEBA Certi cation b Certi cation/Consent Election c) when a bargaining deadlock had been submitted to
a conciliation or arbitration or had become the subject of a
DOLE DO 40-I-2015 1) Who may file?
valid notice of strike or lockout;
1) In an unorganized establishment with 1 LLO. — the RD a) LLO. —
d) when a CBA has been registered. The petition may be
shall call a conference within ve (5) work days for the i) Independent union; led only within sixty (60) days prior to its expiry
submission of the following: (FREEDOM PERIOD).
ii) National union or federation;
a) the names of employees in the covered bargaining unit 4) Grounds to Deny Petition.
who signify their support for the certi cation, provided iii) Local chapter.
a) the petitioner is not listed in the department's registry
that said employees comprise at least majority of the b) Employer, when requested to bargain collectively, and the
of legitimate labor unions or that its registration
covered BU; and majority status of the requesting party is in doubt.
certi cate has been cancelled with nality;
b) certi cation under oath by the president of the requesting c) If in an organized establishment, the signature of at
b) failure to submit a duly issued charter certi cate;
union or local that all documents submitted are true and least 25% of all employees in the bargaining unit is
correct. required. c) ling the petition before or after the freedom period;
If the requesting union or local fails to complete the 2) Venue and Jurisdiction. — With the Regional O ce d) ling of a petition within one (1) year from the date of
requirements for SEBA certi cation during the conference, which issued the petitioning union's certi cate of registration a valid election;
the request for SEBA certi cation shall be referred to the or certi cate of creation of chartered local.
e) where a duly certi ed union has commenced and
election officer for the conduct of election. The petition shall be heard and resolved by the sustained negotiations with the employer within the
Action On The Submission. — RD shall issue during the Mediator-Arbiter. one-year period, or
conference a certi cation as SEBA. 3) When to File? A petition for certi cation election may be where there exists a bargaining deadlock;
Effect Of Certification. — Upon the issuance of the led anytime, except: f) in an organized establishment, the failure to submit the
certi cation as SEBA, the certi ed union or local shall enjoy all 25% signature requirement;
a) when a valid certi cation, consent or run-o election has
the rights and privileges of an exclusive bargaining agent of all
been conducted within the bargaining unit within one (1) g) non-appearance of the petitioner for two (2) consecutive
the employees in the covered bargaining unit
year prior to the ling of the petition for certi cation scheduled conferences; and
2) In an unorganized establishment with > 1 LLO. — RD election;
shall refer the same to the election o cer for the conduct of h) absence of EER between all the members of the
b) when the duly certi ed union has commenced and petitioning union and the establishment where the
certi cation election.
sustained negotiations in good faith with the employer proposed bargaining unit is sought to be represented.
3) In an organized establishment. — RD shall refer the same in accordance with the said one year period;
to the mediator-arbiter for the determination of the 5) Order of Election
propriety of conducting a certi cation election.
Granted Denied a) no protest was led or, even if one was led, the same that its members are managerial employees and for this reason, its
was not perfected within the ve-day period for registration is thus a patent nullity for being an absolute violation of
Unorganized perfection of the protest; Article 245 of the Labor Code which declares that managerial
employees are ineligible to join any labor organization — is, in a
shall not be subject to appeal. Appeal to SOLE within b) no challenge or eligibility issue was raised or, even if
sense, an accusation that respondent is guilty of misrepresentation
le protest on the conduct ten (10) days from one was raised, the resolution of the same will not
for registering under the claim that its members are not managerial
and results of the certi cation receipt materially change the results of the elections.
employees.
election. The winning union shall have the rights, privileges and
obligations of a duly certi ed collective bargaining agent
Organized c Bars to the holding of Certi cation/Consent Election
from the time the certification is issued.
Appeal to SOLE within ten (10) days from receipt 8) Appeal. — The decision of the Med-Arbiter may be appealed 1) Contract Bar rule. — BLR shall not entertain any petition
to the Secretary within ten (10) days from receipt. for certi cation election or any other action which may
a) The ling of the memorandum of appeal from the order
disturb the administration of duly registered existing collective
or decision of the Med-Arbiter stays the holding of any 9) Consent Election. — Refers to the election voluntarily
bargaining agreements a ecting the parties. The exceptions
certification election. agreed upon by the parties, with or without the intervention
are as follows:
of the DOLE, to determine the issue of majority
b) The decision of the Secretary shall become nal and
representation of all the workers in the appropriate collective a) during the 60-day freedom period;
executory after ten (10) days from receipt thereof by
bargaining unit. b) when the CBA is not registered with the BLR or DOLE
the parties. No motion for reconsideration of the
decision shall be entertained. Regional O ces;
Asian Institute of Management v. Asian
2017 c) when the CBA, although registered, contains provisions
6) Inclusion-exclusion proceeding Institute of Management Faculty Association
lower than the standards xed by law;
a) All employees who are members of the appropriate In case of alleged inclusion of disquali ed employees in a union,
bargaining unit three (3) months prior to the ling of d) when the documents supporting its registration are
the proper procedure for an employer is to directly file a petition
the petition/request shall be eligible to vote. falsi ed, fraudulent or tainted with misrepresentation;
for cancellation of the union's certi cate of registration due to
b) An employee who has been dismissed from work but misrepresentation, false statement or fraud. e) when the CBA is not complete;
has contested the legality of the dismissal in a forum f) when the CBA was entered into prior to the 60-day
WON the BLR was correct in holding that being composed of
of appropriate jurisdiction. freedom period;
managerial employees is not a ground for canceling the certificate of
7) Proclamation and Certification of the Result of the registration of a labor organization. g) when there is a schism in the union resulting in an
Election. — Within 24 hours from nal canvass of votes, industrial dispute wherein the CBA can no longer foster
NO. Petitioner was correct in ling a petition for cancellation of
there being a valid election, the SEBA, shall be proclaimed by industrial peace.
respondent's certi cate of registration. Petitioner's sole ground for
the Med-Arbiter under any of the following conditions:
seeking cancellation of respondent's certi cate of registration —
choices results in no choice receiving a majority of the valid

2) Deadlock Bar rule. — neither may a representation question 3) To be furnished by the employer, upon written request, with
votes cast; provided, that the total number of votes for all
be entertained if: its annual audited nancial statements, including the
contending unions is at least fty percent (50%) of the
balance sheet and the pro t and loss statement,
a) before the ling of a petition for certi cation election, the number of votes cast.
duly recognized or certi ed union has commenced a) within thirty (30) calendar days from the date of
3) Re-run election. — Refers to an election conducted
negotiations with the employer within the one-year receipt of the request, after the union has been duly
period; or a) to break a tie between contending unions, including recognized by the employer or certi ed as the sole and
between "no union" and one of the unions. exclusive bargaining representative of the employees
b) a bargaining deadlock had been submitted to conciliation
in the bargaining unit, or
or arbitration or had become the subject of valid notice of b) after a failure of election has been declared by the election
strike or lockout. o cer and/or a rmed by the mediator-arbiter. b) within sixty (60) calendar days before the expiration
of the existing collective bargaining agreement, or
3) Certification Year Bar rule. — A certi cation election c) When the certi cation election is nulli ed.
during the collective bargaining negotiation;
petition may not be filed within one (1) year:
a) from the date of a valid certi cation, consent or run-o
e Employer as a mere bystander rule 4) To own property, real or personal, for the use and bene t of
the labor organization and its members;
election; or Role of Employer. — Merely a bystander and may only
participate: 5) To sue and be sued in its registered name; and
b) from the date of SEBA certi cation.
a) By being furnished a copy of the petition; and 6) To undertake all other activities designed to bene t the
d Failure of election, Run-O Election, Re-run election organization and its members, including cooperative,
b) By providing the list of employees in the unit for
housing, welfare and other projects not contrary to law.
1) Failure of Election. — pre-election.
7) The income and the properties of legitimate labor
a) Where the number of votes cast is less than the majority
4 Rights of Labor Organizations organizations, including grants, endowments, gifts, donations
of the number of eligible voters and there are no
and contributions they may receive from fraternal and similar
material challenged votes. "Legitimate Labor Organization" refers to any labor organizations, local or foreign, which are actually, directly and
b) It shall not bar the ling of a motion for the immediate organization in the private sector registered or reported with the exclusively used for their lawful purposes, shall be free from
holding of another certi cation or consent election Department in accordance with Rules III and IV of the Omnibus taxes, duties and other assessments. (ART 251.)
within six (6) months from date of declaration of failure Rules.
of election. a) Check O , Assessment, and Agency Fees
1) To act as the representative of its members for the purpose
c) A re-run election is then called. of collective bargaining; ART 113. Wage Deduction. — No employer, in his own behalf or in
2) Run-off Election. — Refers to an election between the labor 2) To be certi ed as the exclusive representative of all the behalf of any person, shall make any deduction from the wages of his
unions receiving the two (2) highest number of votes when a employees in an appropriate bargaining unit for purposes of employees, except:
certi cation election which provides for three (3) or more collective bargaining; xxxx
c) Withholding tax;
(b) For union dues, in cases where the right of the worker or his Any agreement on such other provisions of the CBA entered into
union to check-o has been recognized by the employer or d) EE’s debt to ER which is already due and demandable; within six (6) months from the date of expiry of the term of such
authorized in writing by the individual worker concerned; other provisions as xed in such CBA, shall retroact to the day
e) Judgment against the worker where wages may be subject
immediately following such date.
of attachment or execution but only for debts incurred for
1) There may be some SPECIAL ASSESSMENTS: food, clothing, shelter, and medical attendance. If any such agreement is entered into beyond six months, the
a) Authorized by a written resolution of majority of all parties shall agree on the duration of retroactivity thereof. In
f) Via court order;
members; AND case of a deadlock in the renegotiation of the CBA, the parties may
g) Authorized by law such as premiums for SSS, exercise their rights under this Code.
b) Purpose is stated. PhilHealth, Pag-ibig.
2) Union Dues vs. Agency Fees. — Assessment of agency fees
b) Collective Bargaining (1) Economic Terms and Conditions
from non-union employees and deduction thereof from the
1) A collective bargaining agreement or CBA is the negotiated Economic provisions include monetary value of
employees’ salaries (Art 248[e]) even in the absence of
individual written authorization if the non-union employees contract between a legitimate labor organization and the 1) wage increases,
accept the bene ts under the CBA. employer concerning wages, hours of work and all other terms
2) loan bene ts,
and conditions of employment in a bargaining unit.
3) The union’s right to agency fees is neither contractual nor
3) bonuses,
statutory but quasi-contractual. 2) Thus, where the CBA is clear and unambiguous, it becomes
the law between the parties and compliance therewith is 4) allowances,
4) Requisites for validity of union dues and special mandated by the express policy of the law.
assessments 5) retirement plan, and
a) Authorization by a written resolution of the majority of ART 265. Terms of a Collective Bargaining Agreement. — Any CBA 6) other fringe bene ts.
all the members at a general membership meeting duly that the parties may enter into shall, insofar as the representation
(2) Non-Economic Terms and Conditions
called for the purpose; aspect is concerned, be for a term of ve (5) years.
On the other hand, non-economic clauses include
No petition questioning the majority status of the incumbent
b) Secretary’s record of the minutes of said meeting;
bargaining agent shall be entertained and no certi cation election 1) union security clauses,
c) Individual written authorization (IWA) for check-o duly shall be conducted by the DOLE outside of the sixty (60) day
2) grievance procedures,
signed by the employees concerned. period immediately before the date of expiry of such ve-year
term of the CBA. 3) labor-management cooperation schemes, and
5) When not to require IWA
All other provisions of the CBA shall be renegotiated not later 4) other provisions without monetary value.
a) Assessment from non-members of SEBA of agency fees;
than three (3) years after its execution. (3) Duty to Bargain Collectively
b) Deductions for fees from mandatory activities such as
labor relations seminars;
ART 263. Meaning of Duty to Bargain Collectively. — The duty to 4) Provision on wage increases. of Article 253. It would contravene the express prohibition against
bargain collectively means the unilateral modi cation of a CBA during its subsistence
5) What are the remedies in case of CBA deadlock? In case of
and even thereafter until a new agreement is reached.
1. the performance of a mutual obligation to meet and a deadlock in the negotiation or renegotiation of the collective
convene promptly and expeditiously in good faith bargaining agreement, the parties may exercise the following HSBC's enforcement of credit checking on salary loans under the
rights under the Labor Code: CBA invalidly modi ed the latter's provisions thereon through the
2. for the purpose of negotiating an agreement with respect to
imposition of additional requirements which cannot be
wages, hours of work and all other terms and conditions of a) Conciliation and mediation by the NCMB, DOLE.
found anywhere in the CBA.
employment including proposals for adjusting any b) Declaration of a strike or lockout, as the case may be.
grievances or questions arising under such agreement and
c) Referral of case to compulsory or voluntary arbitration.
3. executing a contract incorporating such agreements if Mitsubishi Motors Phils Salaried Employees
2013
requested by either party but such duty does not compel ART 264. Duty to Bargain Collectively When There Exists a CBA. — Union v. Mitsubishi Motors Phils Corp.
any party to agree to a proposal or to make any concession. When there is a CBA, the duty to bargain collectively shall also mean WON member-employees are entitled to full reimbursement of
that neither party shall terminate nor modify such agreement during medical expenses incurred by their dependents regardless of any
(4) Mandatory Provisions in the Collective Bargaining its lifetime. amounts paid by the latter’s health insurance provider.
Agreement (CBA)
Freedom period. — However, either party can serve a written NO. The conditions set forth in the CBA provision indicate an
1) Grievance Procedure. — They shall establish a machinery
notice to terminate or modify the agreement at least sixty (60) intention to limit MMPC’s liability only to actual expenses incurred
for the adjustment and resolution of grievances arising from
days prior to its expiration date. It shall be the duty of both by the employees’ dependents, that is, excluding the amounts paid
a) the interpretation or implementation of their CBA and parties to keep the status quo and to continue in full force and e ect by dependents’ other health insurance providers.
b) the interpretation or enforcement of company personnel the terms and conditions of the existing agreement during the
Since the subject CBA provision is an insurance contract, the rights
policies. 60-day period and/or until a new agreement is reached by the parties.
and obligations of the parties must be determined in accordance
2) Voluntary Arbitration. — All grievances submitted to the with the general principles of insurance law. Being in the nature of a
grievance machinery which are not settled within seven (7) non-life insurance contract and essentially a contract of indemnity,
calendar days from the date of its submission shall Hongkong Bank Independent Labor Union v. HSBC 2018 the CBA provision obligates MMPC to indemnify the covered
automatically be referred to voluntary arbitration prescribed employees’ medical expenses incurred by their dependents but only
WON HSBC could validly enforce the credit-checking requirement
in the CBA. up to the extent of the expenses actually incurred. This is consistent
under its BSP-approved Plan in processing the salary loan
with the principle of indemnity which proscribes the insured from
3) “No Strike, No Lockout” Clause. — No strike or lockout applications of covered employees even when the said requirement is
recovering greater than the loss.
shall occur during the e ectivity of the CBA. However, this not recognized under the CBA.
only applies if the ground relied upon is economic in nature.
NO. The Plan was never made part of the CBA. Tolerating HSBC's
The “No Strike, No Lockout” clause is inapplicable to prevent
conduct would be tantamount to allowing a blatant circumvention 5 Unfair Labor Practices
a strike or lockout which is grounded on ULP.
a) Nature and Aspect b) By Employers a) As to violation of CBA. — It is ULP if what is violated

is an ECONOMIC provision of the CBA and that the
ART 258. Concept of Unfair Labor Practice and Procedure for violation is gross and agrant; otherwise, it is not ULP.
1) To interfere with, restrain or coerce employees in the
Prosecution Thereof. — Unfair labor practices violate the b) As to jurisdiction
exercise of their right to self-organization;
constitutional right of workers and employees to
2) Yellow Dog Contract. To require as a condition of i) LA → NLRC → CA. — gross and agrant violation
self-organization, are inimical to the legitimate interests of
employment that a person or an employee shall not join a of an economic provision, a ULP;
both labor and management, including their right to bargain
collectively and otherwise deal with each other in an atmosphere of labor organization or shall withdraw from one to which he ii) Grievance Machinery → VA → CA. — violation
freedom and mutual respect, disrupt industrial peace and hinder the belongs; of
promotion of healthy and stable labor-management relations. 3) To contract out services or functions being performed by 1. a political provision; or
Consequently, unfair labor practices are not only violations of the union members when such will interfere with, restrain or
2. an economic provision that is NOT gross and
civil rights of both labor and management but are also criminal coerce employees in the exercise of their right to
agrant.
o enses against the State. self-organization;
c) Totality of Conduct Doctrine. — Expressions of
Subject to the exercise by the President or by the SOLE of the 4) To initiate, dominate, assist or otherwise interfere with
opinion by an employer which, though innocent in
powers vested in them by Articles 263 and 264 of this Code, the the formation or administration of any labor organization,
themselves, frequently were held to be culpable because of
civil aspects of all cases involving unfair labor practices, which including the giving of nancial or other support to it or its
the circumstances under which they were uttered, the
may include claims for actual, moral, exemplary and other organizers or supporters;
history of the particular employer's labor relations or
forms of damages, attorney's fees and other a rmative relief, 5) To discriminate in regard to wages, hours of work and other anti-union bias or because of their connection with an
shall be under the jurisdiction of the Labor Arbiters. terms and conditions of employment in order to encourage established collateral plan of coercion or interference.
The Labor Arbiters shall resolve such cases within thirty (30) or discourage membership in any labor organization.
calendar days from the time they are submitted for decision. 6) To dismiss, discharge or otherwise prejudice or discriminate SONEDCO v. Universal Robina 2016
Recovery of civil liability in the administrative proceedings against an employee for having given or being about to
An employer who refuses to bargain with the union and tries to
shall bar recovery under the Civil Code. give testimony under this Code; restrict its bargaining power is guilty of unfair labor practice. In
No criminal prosecution may be instituted without a final 7) To violate the duty to bargain collectively; determining whether an employer has not bargained in good faith,
judgment nding that an unfair labor practice was committed, the totality of all the acts of the employer at the time of negotiations
8) To pay negotiation or attorney's fees to the union or its o cers
having been rst obtained. The nal judgment in the administrative must be taken into account.
or agents as part of the settlement of any issue in collective
proceedings shall not be binding in the criminal case nor be
bargaining or any other dispute; or
considered as evidence of guilt but merely as proof of compliance
of the requirements therein set forth. 9) To violate a collective bargaining agreement. Adamson Univ Faculty and
2020
10) NOTES Employees Union v. Adamson Univ
their right to self-organization that it shall be unlawful and

Petitioner's dismissal, which was brought about by his personal acts, 5) To ask for or accept negotiation or attorney's fees from
shall constitute ULP.
does not constitute unfair labor practice as provided under the employers as part of the settlement of any issue in collective
Labor Code. Dismissing him was not meant to violate the right of bargaining or any other dispute; or 7) Company Union. — To initiate, dominate, assist or
the university employees to self-organize. Neither was it meant to otherwise interfere with the formation or administration of
6) To violate a collective bargaining agreement.
interfere with the Union's activities. Likewise, petitioner failed to any labor organization, including the giving of nancial or
prove that the proceedings were done with haste and bias. Finally, Examples of ULPs other support to it or its organizers or supporters.
petitioner cannot raise the defense that he was the Union's
1) Surface bargaining. — De ned as “going through the 8) Boulwarism. — the tactic of making a "take-it-or-leave-it"
president; this does not make him immune from liability for his acts
motions of negotiating” without any legal intent to reach an o er in a negotiation, with no further concessions or
of misconduct.
agreement. discussion.
c) By Organizations It involves the question of whether an employer’s conduct

United Polyresins, Inc. v. Pinuela 2017
demonstrates an unwillingness to bargain in good faith or is
merely hard bargaining. WON Pinuela was illegally dismissed as the charges of
1) To restrain or coerce employees in the exercise of their right
to self-organization. However, a labor organization shall have 2) Blue sky bargaining. — Making exaggerated or misappropriation against him were unsubstantiated.
the right to prescribe its own rules with respect to the unreasonable proposals. YES. Respondent's expulsion from PORFA is grounded on the
acquisition or retention of membership; union's Constitution. However, these provisions refer to
3) Featherbedding. — see above.
2) To cause or attempt to cause an employer to discriminate impeachment and recall of union o cers, and not expulsion from
4) Yellow dog contract. — An agreement which exacts from union membership. In short, any o cer found guilty of violating
against an employee, including discrimination against an
workers as a condition of employment, that they shall not join these provisions shall simply be removed, impeached or recalled,
employee with respect to whom membership in such
or belong to a labor organization, or attempt to organize one, from o ce, but not expelled or stripped of union membership.
organization has been denied or to terminate an employee on
during their period of employment or that they shall withdraw
any ground other than the usual terms and conditions under It was therefore an error on the part of PORFA and petitioners to
therefrom, in case they are already members of a labor
which membership or continuation of membership is made terminate respondent's employment based on said provision of the
organization.
available to other members; union's Constitution. Such a ground does not constitute just cause
5) Runaway shop. — Is an industrial plant that is moved by its for termination.
3) To violate the duty, or refuse to bargain collectively with
owners from one location to another to escape union labor
the employer, provided it is the representative of the A review of the PORFA Constitution itself reveals that the only
regulations or state laws. It may also be a relocation motivated
employees; provision authorizing removal from the union is found in Article X,
by anti-union animus rather than for business reasons.
4) Featherbedding. To cause or attempt to cause an employer Section 6, that is, on the ground of failure to pay union dues,
6) Contracting out. — It is only when the contracting out of a special assessments, nes, and other mandatory charges.
to pay or deliver or agree to pay or deliver any money or other
job, work or service being performed by union members will
things of value, in the nature of an exaction, for services which The matter of respondent's alleged failure to return petitioners'
interfere with, restrain or coerce employees in the exercise of
are not performed or not to be performed, including the P300K which was lent to PORFA is immaterial as well. It may not
demand for fee for union negotiations;
be used as a ground to terminate respondent's employment; under 4) Strike vote wherein at least a majority of the members of the j) In de ance of an assumption or certi cation or return-to-work
the Labor Code, such a contribution by petitioners to PORFA union approve the holding of strike through secret balloting in order;
is illegal and constitutes unfair labor practice. a meeting called for the purpose;
k) In violation of a TRO or an injunction order;
5) Strike vote report submitted at least 7 days before intended
l) After notice of strike converted to preventive mediation
date of strike;
case;
6 Peaceful Concerted Activities
6) Cooling o period.
m) Against prohibition by law;
a) Strikes (Valid vs. Illegal) a) Union busting = NONE;
n) By a minority union;
b) ULP = 15 days;
o) By an illegitimate union;
"Strike" refers to any temporary stoppage of work by the
c) CBD = 30 days;
concerted action of employees as a result of a labor or industrial p) By dismissed EEs;
dispute. Elements: From date of notice of strike is led.
q) In violation of company code of conduct;
a) Temporary stoppage of work; 7) 7 day waiting period or strike ban after submission of
r) As protest rallies in front of government o ces;
strike vote report.
b) Concerted activity; s) As welga ng bayan.
c) Labor dispute. Legal strike vs. illegal strike
Prohibited acts during strike
Grounds for strike When a strike is ILLEGAL
a) Doesn’t comply with procedural requirements; ARTICLE 279. Prohibited Activities. —
There are only TWO strikeable grounds:
b) For an unlawful purpose; a. No labor organization or employer shall declare a strike or
a) Collective bargaining deadlock; AND
lockout without first having bargained collectively or
c) Based on non-strikeable grounds;
b) ULP. without rst having led the notice required or without the
d) Didn’t bargain collectively rst; necessary strike or lockout vote rst having been obtained and
Mandatory procedural requirements e) Violated the no strike no lockout clause; reported to the DOLE.
1) Based on a valid and factual ground; f) Failure to submit issues to grievance procedure and exhaust No strike or lockout shall be declared after assumption of
2) A notice of strike led with the NCMB; the steps therein; jurisdiction by the President or the SOLE or after certi cation
g) While C-M is ongoing at NCMB; or submission of the dispute to compulsory or voluntary
3) Notice of strike vote to the NCMB, at least 24 hours before arbitration or during the pendency of cases involving the same
such vote; h) Based on issues already brought to arbitration; grounds for the strike or lockout.
i) Pending case involving same ground in the notice of strike;
or egress from the employer's premises for lawful purposes, or

Any worker whose employment has been terminated as a Refers to the temporary refusal of an employer to furnish work as a
obstruct public thoroughfares.
consequence of any unlawful lockout shall be entitled to result of a labor or industrial dispute.
reinstatement with full backwages.
“Strike area" means the establishment, warehouses, depots, plants Grounds for lockout
Any union o cer who knowingly participates in an illegal or o ces, including the sites or premises used as runaway shops, of
strike and any worker or union o cer who knowingly the employer struck against, as well as the immediate vicinity Same as grounds for strike
participates in the commission of illegal acts during a actually used by picketing strikers in moving to and fro before all a) Collective bargaining deadlock; AND
strike may be declared to have lost his employment status. points of entrance to and exit from said establishment.
b) ULP.
Mere participation of a worker in a lawful strike shall not "Strike-breaker" means any person who obstructs, impedes, or
constitute su cient ground for termination of his employment, interferes with by force, violence, coercion, threats, or intimidation Mandatory procedural requirements
even if a replacement had been hired by the employer during any peaceful picketing a ecting wages, hours or conditions of
such lawful strike. work or in the exercise of the right of self-organization or collective 1) Based on a valid and factual ground;
bargaining. 2) A notice of lockout led with the NCMB;
b. No person shall obstruct, impede, or interfere with by force,
violence, coercion, threats or intimidation, any peaceful 3) Notice of lockout vote to the NCMB, at least 24 hours
Liability of union o cers and members for illegal strike and
picketing by employees during any labor controversy or in the before such vote;
illegal acts during strike
exercise of the right to self-organization or collective bargaining,
4) Lockout vote wherein at least a majority of the members of
or shall aid or abet such obstruction or interference.
Knowingly Committed Illegal the board of directors approve the holding of lockout through
c. No employer shall use or employ any strike-breaker, nor shall Participated Acts secret balloting in a meeting called for the purpose;
any person be employed as a strike-breaker.
Union O cer DISMISSED DISMISSED 5) Lockout vote report submitted at least 7 days before
d. No public o cial or employee, including o cers and personnel intended date of lockout;
of the AFP or PNP, or armed person, shall bring in, introduce Union Member - DISMISSED
6) Cooling o period.
or escort in any manner, any individual who seeks to replace
strikers in entering or leaving the premises of a strike area, or b) Picketing a) ULP = 15 days;
work in place of the strikers. b) CBD = 30 days;
Marching to-and-fro with placards that make known the issues
e. The police force shall keep out of the picket lines unless From date of notice of lockout is led.
between the establishment and the workers.
actual violence or other criminal acts occur therein.
7) 7 day waiting period or lockout ban after submission of
Picketing is limited to harmless marching by employees who carry
f. No person engaged in picketing shall commit any act of lockout vote report.
placards or use speech to attract the public to their cause.
violence, coercion or intimidation or obstruct the free ingress to
d) Assumption of Jurisdiction by the DOLE Secretary
c) Lockouts
When, in his opinion, there exists a labor dispute causing or likely to i. On intended or impending strike or lockout —
cause a strike or lockout in an industry indispensable to the national automatically enjoined even if a Motion for
interest, the SOLE may Reconsideration is led.
Telecommuting Act
E
ii. On actual strike or lockout — strikers or locked out RA 11165
1. assume jurisdiction over the dispute and decide it or
employees should immediately return to work and
2. certify the same to the NLRC for compulsory arbitration.
employer should readmit them back.
1 De nition
In labor disputes adversely a ecting the continued operation of such iii. On cases filed or may be filed — All shall be
hospitals, clinics or medical institutions, it shall be the duty of subsumed/absorbed by the assumed or certi ed case Refers to work from an alternative workplace with the use of
the striking union or locking-out employer to provide and maintain an except when the order speci ed otherwise. The telecommunications and/or computer technologies.
effective skeletal workforce for the duration of the strike or lockout. parties to the case should inform the DOLE Secretary
The President of the Philippines shall not be precluded from of pendency thereof. 2 Telecommuting Program
determining the industries that, in his opinion, are indispensable to An employer in the private sector may o er a telecommuting
the national interest, and from intervening at any time and Manggagawa ng Komunikasyon sa Pilipinas v. PLDT 2017
program to its employees on a voluntary basis, and upon such
assuming jurisdiction over any such labor dispute in order to settle terms and conditions as they may mutually agree upon.
WON the return-to-work order of the SOLE was rendered moot when
or terminate the same.
the NLRC upheld the validity of the redundancy program. Such terms and conditions shall not be less than the minimum
a. Industry indispensable to the national interest. — Sec 16, YES. When petitioner led its Motion for Execution on pursuant to labor standards set by law, and shall include
Rule XXII, Book V, as created by DOLE Department Order this Court's ruling there was no longer any existing basis for the 1) compensable work hours,
No. 040-H-13 return-to-work order. This was because the SOLE's return-to-work
order had been superseded by the NLRC's Resolution. Hence, the 2) minimum number of work hours,
i. hospital sector;
SOLE did not err in dismissing the motion for execution on the 3) overtime,
ii. electric power industry; ground of mootness.
4) rest days, and
iii. water supply services, to exclude small water supply Garcia v. Philippine Airlines upholds the prevailing doctrine
5) entitlement to leave bene ts.
services such as bottling and re lling stations; that even if a Labor Arbiter's order of reinstatement is reversed on
appeal, the employer is obligated "to reinstate and pay the wages of In all cases, the employer shall provide the telecommuting
iv. air tra c control; and
the dismissed employee during the period of appeal until reversal by employee with relevant written information in order to
v. such other industries as may be recommended by the the higher court." adequately apprise the individual of the terms and conditions of
National Tripartite Industrial Peace Council (TIPC). the telecommuting program, and the responsibilities of the
There is no order of reinstatement from a Labor Arbiter in the case
b. E ects of assumption of jurisdiction. employee.
at bar, instead, what is at issue is the return-to-work order from the
SOLE.
3 Fair Treatment
The employer shall ensure that the telecommuting employees are IV Post-Employment Termination of Contract of Migrant Workers
given the same treatment as that of comparable employees and are
given the same treatment as that of comparable employees working Termination of Employment by Employee
Employer-Employee Relationship
at the time employer's premises. All telecommuting employee shall:
Resignation vs. Constructive Dismissal
a) Receive a rate of pay, including overtime and night shift Tests to Determine Employer-Employee
di erential, and other similar monetary bene ts not lower Relationship Preventive Suspension
than those provided in applicable laws, and collective
bargaining agreements. Kinds of Employment Reliefs from Illegal Dismissal
b) Have the right to rest periods, regular holidays, and special Regular Retirement
nonworking days.
Casual
c) Have the same or equivalent workload and performance A Employer-Employee Relationship
standards as those of comparable workerat the employer's Probationary
premises. 1) It is in personam and involves the rendition of personal
Project service by the employee, and partakes of master and servant
d) Have the same access to training and career development
relationship.
opportunities as those of comparable workers at the
Seasonal 2) Its existence is a question of law and fact. In the 2016
employer's premises, and be subject to the same appraisal
policies covering these workers. Century Properties case, SC said that the employment status of
Fixed-Term
a person is defined and prescribed by law and not by what
e) Receive appropriate training on the technical equipment
Floating Status the parties say it should be. It can not be negated by expressly
at their disposal, and the characteristics and conditions of
repudiating it in a contract.
telecommuting.
Legitimate Subcontracting vs. Labor-Only
3) In the 2011 Tongko case, SC aptly described the primary and
f) Have the same collectible rights as the workers at the
Contracting controlling test in determining the existence of an ER-EE
employer's premises, and shall not be barred from
relationship as the control over the performance of the
communicating with workers' representatives. Termination of Employment by Employer task of the one providing the service.
The employer shall also ensure that measures are taken to prevent
Just Causes
the telecommuting employee from being isolated from the rest of Tests to Determine Employer-Employee
the working community in the company by giving the 1
Authorized Causes Relationship
telecommuting employee the opportunity to meet with colleagues
on a regular basis, and opportunity to meet with colleagues on a Due Process The Four-Fold Test
regular basis, and allowing access to company information.
1) Selection and Engagement of employees;
2) Payment of Wages; Lu v. Enopia 2017 ECONOMIC REALITY TEST. The benchmark of economic
reality is the economic dependence of the worker on his employer.
3) Power of Dismissal; The fact that petitioner had registered the respondents with SSS is
WON Loreche-Amit was an employee of CDMC.
4) ⭐ Power of Control over employee’s conduct and over the proof that they were indeed his employees. The coverage of the
means, manner and method by which the work is to be Social Security Law is predicated on the existence of an EER. NO. CDMC does not exercise the power of control over petitioner.
accomplished. It was established that petitioner exercised control over respondents. Petitioner was working for two other hospitals aside from CDMC,
The control test merely calls for the existence of the right to not to mention those other hospitals which she caters to when her
Economic Reality or the Two-Tiered Test
control, and not necessarily the exercise thereof. services are needed. Such fact evinces that petitioner controls her
This test is used when there is no existing employment
The payment of respondents' wages based on the percentage share working hours. On this note, relevant is the economic reality test.
contract.
of the sh catch would not be su cient to negate the EER existing Thus, the fact that petitioner continued to work for other hospitals
1) The putative employer’s power to control the employee with between them. strengthens the proposition that petitioner was not wholly
respect to the manner and methods by which the work is to be
Petitioner wielded the power of dismissal over respondents when he dependent on CDMC.
accomplished; and
dismissed them after they refused to sign the joint shing venture Petitioner likewise admitted that she receives in full her 4% share in
2) The underlying economic realities of the activity or agreement. the Clinical Section of the hospital regardless of the number of
relationship, i.e. employee’s economic dependence on the
hours she worked therein. The rule is that
employer.
a. where a person who works for another
Depends upon the circumstances of the whole economic activity: Reyes v. Doctolero 2017
b. performs his job more or less at his own pleasure,
1) The broad extent to which the services performed are an In Mamaril v. The Boy Scout of the Philippines, there was no EER
integral part of the employer’s business. c. in the manner he sees t,
between BSP and the security guards assigned to it by an agency
2) The limited extent of the worker’s investment in the pursuant to a Guard Service Contract. In the absence of such d. not subject to de nite hours or conditions of work, and
equipment and facilities. relationship, vicarious liability under Article 2180 of the Civil Code e. is compensated according to the result of his e orts and not
cannot apply as against BSP. Similarly, we nd no EER between the amount thereof,
3) The nature and high degree of control by the employer;
MCS and respondent guards. The guards were merely assigned by
4) The worker’s limited opportunities for pro t and growth; Grandeur to secure MCS' premises pursuant to their Contract of no employer-employee relationship exists.
5) The small amount of initiative, skill, judgment or foresight Guard Services. Thus, MCS cannot be held vicariously liable for
required for the success of the claimed independent enterprise; damages caused by these guards' acts or omissions.
Fernandez v. Kalookan Slaughterhouse 2019
6) The high degree of permanency and duration of relationship;
WON Fernandez was an employee of Kalookan Slaughterhouse.
7) The degree of dependency of the worker upon the employer Loreche-Amit v. Cagayan De Oro Medical Center 2019
for his continued employment. YES. The Court in Masonic Contractor, Inc. v. Madjos ruled
that the fact that the company provided identification cards activities which are usually necessary or desirable in the usual a) By the nature of their work. Usually necessary or
and uniforms and the vague a davit of the purported employer business or trade of the employer, except desirable in the usual trade or business of an employer.
were su cient evidence to prove the existence of EER.
a) where the employment has been xed for a speci c project b) By the length of service. Have rendered at least 1 year of
Kalookan Slaughterhouse, through Tablit, was the one who engaged or undertaking the completion or termination of which has service whether continuous or not.
petitioner, paid for his salaries, and in e ect had the power to been determined at the time of the engagement of the 4) TEST of regularity. Reasonable connection between the
dismiss him. Further, Kalookan Slaughterhouse exercised control employee or particular activity performed by the employee in relation to
over petitioner's conduct through De Guzman. To the mind of the
b) where the work or service to be performed is seasonal in the employer.
Court, Kalookan Slaughterhouse was petitioner's employer and it
nature and the employment is for the duration of the 5) Repeated rehiring of a job for a xed period and the
exercised its rights as an employer through Tablit and De Guzman,
season. continuing need for an employee’s service are su cient
who were its employees.
evidence of the necessity and indispensability of an EE’s
An employment shall be deemed to be casual if it is not covered by
service to the ER’s trade or business.
the preceding paragraph:
2018 re 6) Exceptions to regular employment
American Power Conversion Corp v. Lim Provided, That any employee who has rendered at least one year of
Quasi-Contract
service, whether such service is continuous or broken, shall be a) Project;
We have this unique situation where respondent was hired directly considered a regular employee with respect to the activity in which b) Seasonal; and
by APCC of the USA, but was being paid his remuneration by a he is employed and his employment shall continue while such
separate entity — APCP BV of the Philippines, and is supervised activity exists. c) Fixed Term.
and controlled by APCS from Singapore and APC Japan - all in
furtherance of APCC's objective of doing business here unfettered Lu v. Enopia 2017
by government regulation. For all legal purposes, APCC is The primary standard for determining regular employment is the
a Regular
respondent's employer. reasonable connection between the particular activity performed by
1) Employment is regular where the employee has been engaged the employee in relation to the usual trade or business of the
to perform activities which are usually necessary or desirable employer. Respondents' jobs as shermen-crew members of F/B
2 Kinds of Employment in the usual business or trade of the employer. MG 28 were directly related and necessary to petitioner's deep-sea
2) A regular employee may either be: shing business and they had been performing their job for more
ART 295. Regular and Casual Employment. — The provisions of than one year.
a) Permanent. One who has an inde nite employment,
written agreement to the contrary notwithstanding and regardless of
whether passing the probationary stage or not; or
the oral agreement of the parties, an employment shall be deemed to
be regular where the employee has been engaged to perform b) Probationary. UST v. Samahang Manggagawa ng UST 2017
3) Two kinds of regular employees
WON the CA correctly ruled that Pontesor, et al. are regular
employees and, consequently, were illegally dismissed by petitioner. Paragele v. GMA 2020
YES. Petitioner repeatedly rehired respondents for various positions Gerardo v. Bill Sender Corp. 2018 Only casual employees performing work that is neither necessary
in the nature of maintenance workers, for various periods spanning nor desirable to the usual business and trade of the employer are
WON Geraldo was a regular employee of respondent.
the years 1990-1999. Pontesor, et al. fall under the second required to render at least one (1) year of service to attain regular
category of regular employees. Accordingly, they should be deemed YES. Geraldo was performing activities necessary or desirable in its status. Employees who perform functions which are necessary and
as regular employees but only with respect to the activities for which usual business or trade for without his services, its fundamental desirable to the usual business and trade of the employer attain
they were hired and for as long as such activities exist. purpose of delivering bills cannot be accomplished. He has been regular status from the time of engagement.
delivering mail matters for the company for more than fourteen (14)
Pontesor, et al. were not project employees of petitioner. The
years.
speci c undertakings or projects for which they were employed were
not clearly delineated. This is evidenced by the vagueness of the In Gamboa, Jr. v. Villegas, We held that the payment on a c Probationary
project descriptions set forth in their respective CEAs, which states piece-rate basis does not negate regular employment. Payment by
1) A probationary employee is one, who, for a given period of
that they were tasked "to assist" in various carpentry, electrical, and the piece is just a method of compensation and does not de ne
time, is being observed and evaluated to determine whether or
masonry work. the essence of the relations.
not he is quali ed for a permanent position (Pasamba v.
NLRC)
Expedition Construction Corp. v. Africa 2017 b Casual 2) One who is placed in a trial period whose performance is
assessed whether satisfactory or not. Duration is generally 6
First, respondents were engaged/hired by Expedition as garbage 1) An employee is considered casual if: months except
truck drivers. Second, respondents received compensation from
a) Employed to perform work merely incidental to the a) Covered by an apprenticeship agreement stipulating a
Expedition for the services that they rendered to the latter. The fact
trade or business of employer; longer period;
that respondents were paid on a per trip basis is irrelevant in
determining the existence of an employer-employee relationship b) Employment is for a de nite period; b) Manual of regulations of private schools which provide
because this was merely the method of computing the proper c) Employment status was made known at the time of for a longer period.
compensation due to respondents. Third, Expedition's power to engagement. i) Elementary and Secondary. Not more than 3 years of
dismiss was apparent when work was withheld from respondents as satisfactory service;
2) If employed for a continuous or broken period of at least 1
a result of the termination of the contracts with LGUs. Finally,
year, he is deemed regular but only with respect to the ii) Tertiary. Not more than 6 semesters or 9
Expedition has the power of control over respondents in the
activity he is employed and as long as such activity exists. The trimesters of satisfactory service.
performance of their work.
status of being regular casual is coterminous to the existence
Therefore, respondents should be accorded the presumption of 3) If the employee is not apprised of the STANDARDS that he
of the activity.
regular employment. must meet in order to hurdle probation, then he is deemed
3) There is no security of tenure for casual employees. regular after 6 months.
failed to prove his worth as an employee. (Mariwasa v. students’ probationary period should they apply in the
4) When probationary EE considered regular?
Leogardo, Jr.) same company or agency after graduation.
a) Allowed to continue work beyond probationary period;
d Project
b) NO evaluation conducted and no basis for termination; Umali v. Hobbywing Solutions Inc. 2018
presumed to have been satisfactorily complied; 1) Where employment has been xed for a specific project or
The general rule remains that an employee who was su ered to work
undertaking, the completion of which has been determined
c) Proby NOT informed of the standards required to qualify for more than the legal period of six (6) months of
at the time of engagement of EE. Elements are as follows:
as regular EE; probationary employment or less shall, by operation of law,
become a regular employee. a) employment has been xed for a speci c project or
d) EE successfully passes the period of probation.
undertaking; AND
5) The adequate performance of such duties and responsibilities WON Umali was terminated without cause when she was informed
that the period of her probationary employment had already ended b) the completion or termination of which has been
constitute the inherent and implied standard for
and her services were no longer needed. determined at the time of engagement of EE.
regularization. (Abbott Laboratories v. Alcaraz 2014 En
Banc) YES. Petitioner commenced working for the respondent on June 2) Specific project or undertaking is an activity which is NOT
19, 2012 until February 18, 2013. By that time, however, she has commonly or habitually performed or such type of work
6) When probationer informed of required standards. —
already become a regular employee. which is not done on a daily basis, but only for a speci c
Ideally, employers should immediately inform a probationary
duration of time until the completion of the project.
employee of the standards for his regularization from day one.
8) RA 10869 (JobStart Trainee). — A JobStart trainee shall 3) When project EE deemed regular?
However strict compliance is not required. The true test of
no longer be required to undergo a probationary period at
compliance is one of reasonableness. As long as he is given a a) When there is continuous rehiring even after cessation
the end of the internship phase should the trainee be hired in
reasonable time and opportunity to be made fully aware of of a project;
the same establishment upon completion of the program.
what is expected of him during the early phases of the
Three (3) Phases b) When the tasks performed by the alleged project EE are
period, the law is met. (Enchanted Kingdom v. Verzo 2015)
a) JobStart Life Skills Training. 10 days with one life vital, necessary and indispensable to the usual business or
7) When probation may exceed 6 months. — When the trade of ER.
skill taught each day;
parties agree otherwise, such as when the same is established by
b) JobStart Technical Training. Up to 3 months and 4) While there was repeated re-hiring, the hiring was NOT,
company policy or when the same is required by the nature of
is optional. however, continuous, as in fact there was a lapse of 33
work as where one must learn a particular kind of work such
as selling, or when the job requires certain quali cations, skills, months after the next project, the employee is a project and
c) JobStart Internship. Up to 3 months or 600 hours.
experience or training. not regular. (Alcatel PH v. Relos)
9) RA 10917 amending RA 9547, 7323 or SPES Act. —
Where the extension of employee’s probation was ex gratia, 5) However, if the employee is successively re-engaged to
Period of employment shall be from twenty (20) to
an act of liberality on the part of his employer to a ord the perform the same kind of work not intermittently, but
seventy-eight (78) working days only, except that during
employee a second chance to make good after having initially continuously, contract after contract, month after
Christmas vacation, employment shall be from ten (10) to
month involving the same task indicates the necessity and
fteen (15) days which may be counted as part of the
desirability of the work in the usual business of the company.

become permanent employees by reason of their length of service is
(Manalo v. TNS Phil. 2014) The fact that Ando was required to render services necessary or
not applicable to project-based employees.
desirable in the operation of EGI's business for more than a year
E. Ganzon Inc. v. Ando, Jr. 2017 Special En Banc does not in any way impair the validity of his project employment In Mercado Sr. v. NLRC, this court ruled that the proviso in the
contracts. The rehiring of construction workers on a second paragraph of Article 280, providing that an employee who
The decisive determinant in project employment is the project-to-project basis does not confer upon them regular has served for at least one year, shall be considered a regular
activity that the employee is called upon to perform. Prior employment status as it is only dictated by the practical employee, relates only to casual employees and not to project
notice of termination is not part of procedural due process if the consideration that experienced construction workers are more employees.
termination is brought about by the completion of the contract or preferred.
phase thereof for which the project employee was engaged.
WON Ando was a regular employee and was thereby illegally Innodata Knowledge Services v. Inting 2017
dismissed by EGI. Herma Shipyard Inc. v. Oliveros 2017
In order to safeguard the rights of workers against the arbitrary use
NO. The activities of project employees may or may not be usually The principal test in determining whether particular employees were of the word "project" which prevents them from attaining regular
necessary or desirable in the usual business or trade of the employer. engaged as project-based employees, as distinguished from regular status, employers claiming that their workers are project employees
In ALU-TUCP v. NLRC, two (2) categories of project employees employees, is whether they were assigned to carry out a speci c have the burden of showing that:
were distinguished: project or undertaking, the duration and scope of which was
a) the duration and scope of the employment was speci ed at
Firstly, a project could refer to a particular job or undertaking speci ed at, and made known to them, at the time of their
the time they were engaged; and
that is within the regular or usual business of the employer engagement.
b) there was indeed a project.
company, but which is distinct and separate, and identi able as Repeated rehiring of project employees to di erent projects
such, from the other undertakings of the company. Such job or does NOT ipso facto make them regular employees. WON respondent employees, as mere project employees, were validly
undertaking begins and ends at determined or determinable placed on floating status and, therefore, were validly dismissed.
WON respondents are regular employees of petitioner and not project
times. The typical example of this rst type of project is a NO. While IKSI was able to show the presence of a speci c project,
employees.
particular construction job or project of a construction the ACT Project, in the contract and the alleged duration of the
company. NO. Here, for each and every project respondents were hired, they
same, it failed to prove, however, that respondents were in reality
were adequately informed of their employment status as
Secondly, a particular job or undertaking that is not within the made to work only for that speci c project indicated in their
project-based employees at least at the time they signed their
regular business of the corporation. Such a job or undertaking employment documents and that it adequately informed them of
employment contract. While the tasks assigned to the respondents
must also be identi ably separate and distinct from the ordinary the duration and scope of said project at the time their services were
were indeed necessary and desirable in the usual business of Herma
or regular business operations of the employer. engaged.
Shipyard, the same were distinct, separate, and identifiable
In this case, the three project employment contracts signed by Ando from the other projects or contract services. The fact is IKSI actually hired respondents to work, not only on the
explicitly stipulated the agreement "to engage his services as a Project ACT Project, but on other similar projects such as the Bloomberg.
The rule that employees initially hired on a temporary basis may
Worker." When respondents were required to work on the Bloomberg
although employed on a per trip basis, has been working for 12

project, without signing a new contract for that purpose, it was 2) Not permanent, but EE still enjoys security of tenure during
years. (Poseidon Fishing v. NLRC)
already outside of the scope of the particular undertaking for which the pre-determined term.
they were hired; it was beyond the scope of their employment
3) Term employment should not circumvent security of tenure.
contracts. This act by IKSI indubitably brought respondents
Universal Robina Sugar Milling Corp v. This is shown by the criteria laid by the BRENT
outside the realm of the project employees category. 2018
Nagkahiusang Mamumuo sa Ursumco-NFL DOCTRINE:
Notwithstanding the stipulations in an employment contract or a a) Must not be entered merely to circumvent the EE’s right
duly negotiated CBA, the employment status of an employee is to security of tenure;
e Seasonal
ultimately determined by law. b) The xed period was knowingly and voluntarily
1) Employment is for the duration of a certain season.
WON URSUMCO's regular seasonal employees are regular agreed upon without any force, duress or improper
a) They are considered regular EEs if called to work from employees. pressure and absent any other circumstances vitiating
time to time, during o -season and are merely considered consent;
as on leave of absence without pay until they are
YES. Seasonal employment becomes regular seasonal employment
when the employees are called to work from time to time. On the c) Must satisfactorily appear that the ER and EE dealt with
reemployed.
other hand, those who are employed only for a single season remain each other on more or less equal terms with no moral
b) If EE has worked only for 1 season, he is not regular. as seasonal employees. As a consequence of regular seasonal dominance exercised by the former to the latter.
c) Enjoys security of tenure within the duration of the employment, the employees are not considered separated from 4) Why allow fixed term employment? It is an essential and
season. service during the o -milling season, but are only temporarily laid natural appurtenance recognized by SC. i.e.
o or on leave until re-employed. Nonetheless, in both regular
d) Their employment is never terminated but merely a) Overseas workers;
seasonal employment and seasonal employment, the employee
suspended.
performs no work during the o -milling season. b) College Deans and Department Heads.
2) Requisites for SEASONAL undertaking
Here, the concerned URSUMCO employees are performing work 5) What determines term employment? The decisive
a) Dependent on climatic or natural causes. Operations for URSUMCO even during the o -milling season as they are determinant should not be the activities the EE is called upon
must be limited to a regular, annual, or recurring part/s of repeatedly engaged to conduct repairs on the machineries and to perform, but the day certain agreed upon for the
each year and regularly closes during the remainder of the equipment. commencement and termination of the employment
year. relationship.
b) Activity is agricultural where the crops are available
f Fixed-term E. Ganzon Inc. v. Ando, Jr. 2017 Special En Banc
only at certain times of the year.
3) Deep sea shing business is not a seasonal undertaking. 1) EE performing work that is usually necessary and desirable Project employment should not be confused and interchanged with
Catching sh is not seasonal especially where the boat crew, in the business of ER wherein the employment contract xed-term employment: While the former requires a project as
stipulates the duration or term of employment. restrictively de ned above, the duration of a xed-term employment
agreed upon by the parties may be any day certain, which is i) The contractor or subcontractor does not have
Here, when Bermeo led his complaint for constructive dismissal on
understood to be "that which must necessarily come although it substantial capital, OR
September 5, 2008, it was only a week after his unsuccessful
may not be known when."
assignment in French Baker on August 28, 2008. Even if the ii) The contractor or subcontractor does not have
reckoning date would be his last assignment at Trinoma Mall, which investments in the form of tools, equipment,
ended on March 30, 2008, it is still less than the six-month period machineries, supervision, work premises, among
g Floating Status allowed by Article 301 for employees to be placed on oating status. others, AND
Thus, the ling of his complaint for constructive dismissal is
iii) The contractor's or subcontractor's employees
premature. Besides, it is unrebutted that the petitioners contacted
recruited and placed are performing activities which
Ibon v. Genghis Khan Security Services Inc. 2017 Bermeo for a new assignment even after the latter has led a
are directly related to the main business
complaint for constructive dismissal.
An employer must assign the security guard to another posting operation of the principal; OR
within six (6) months from his last deployment, otherwise, he would b) The contractor or subcontractor does not exercise the
be considered constructively dismissed; and the security guard must right to control over the performance of the work of the
be assigned to a speci c or particular client. A general Legitimate Subcontracting vs. Labor-Only
employee.
return-to-work order does not su ce. 3 Contracting
3) "Substantial capital" — refers to paid-up capital
DOLE DO No. 174 s. 2017
stock/shares at least P5M in the case of corporations,
partnerships and cooperatives; in the case of single
Superior Maintenance Services v. Bermeo 2018 a Elements
proprietorship, a net worth of at least P5M.
Article 301 of the Labor Code was applied only by analogy to 1) There is "labor-only" contracting where the person 4) Contracting or subcontracting shall only be ALLOWED if
prevent the oating status of employees hired by agencies from
supplying workers to an employer all the following circumstances concur:
becoming inde nite. This temporary o -detail of employees is not a
result of suspension of business operations but is merely a a) does not have substantial capital or investment in the a) The contractor or subcontractor is engaged in a distinct
consequence of lack of available posts with the agency's subsisting form of tools, equipment, machineries, work premises, and independent business and undertakes to perform
clients. among others, and the job or work on its own responsibility, according to its
b) the workers recruited and placed by such person are own manner and method;
WON Bermeo was constructively dismissed from work.
performing activities which are directly related to b) The contractor or subcontractor has substantial capital
NO. In Salvaloza v. NLRC, temporary o -detail or oating status the principal business of such employer. to carry out the job farmed out by the principal on his
was de ned as that "period of time when security guards are in
2) Labor-only contracting, which is totally prohibited, refers account, manner and method, investment in the form of
between assignments or when they are made to wait after being
to: tools, equipment, machinery and supervision;
relieved from a previous post until they are transferred to a new
one." a) an arrangement where c) In performing the work farmed out, the contractor or
subcontractor is free from the control and/or
direction of the principal in all matters connected with

3) Principal’s liability is comprehensive — all liabilities conclusive evidence of the status of CMS as a contractor. However,
the performance of the work except as to the result
under labor laws, not only to unpaid wages. such fact of registration of CMS prevented the legal presumption of
thereto; and
it being a mere labor-only contractor from arising.
d) The Service Agreement ensures compliance with all Nestle Philippines Inc. v. Puedan, Jr 2017
The facts failed to establish that there is any circumvention of labor
the rights and bene ts for all the employees of the
WON ODSI is a labor-only contractor of NPI, and consequently, laws as to call for the creation by the statute of an EER between
contractor or subcontractor under the labor laws.
NPI is respondents' true employer and, thus, deemed jointly and Classique Vinyl and Valencia.
b Trilateral Relationship severally liable with ODSI for respondents' monetary claims.
In legitimate contracting, there exists a trilateral relationship NO. A closer examination of the Distributorship Agreement reveals
Mago et al. v. Sunpower Manufacturing Ltd. 2018
under which there is a contract for a speci c job, work or service that the relationship of NPI and ODSI is not that of a principal and
between the principal and the contractor or subcontractor, and a a contractor, but that of a seller and a buyer/re-seller. A contractor is presumed to be a labor-only contractor, unless the
contract of employment between the contractor or subcontractor contractor is able to discharge the burden of overcoming this
The stipulations in the Distributorship Agreement do not operate
and its workers. Hence, there are three parties involved in these presumption.
to control or x the methodology on how ODSI should do its
arrangements,
business as a distributor of NPI products, but merely provide rules WON Jobcrest is a legitimate and independent contractor.
1) the principal which decides to farm out a job or service of conduct or guidelines towards the achievement of a mutually
YES. Since the petitioners do not dispute that Jobcrest was a
to a contractor or subcontractor, desired result — which in this case is the sale of NPI products to the
duly-registered contractor under Section 11 of DOLE DO No.
end consumer.
2) the contractor or subcontractor which has the capacity 18-02, there is no operative presumption that Jobcrest is a labor-only
to independently undertake the performance of the job, Thus, the foregoing circumstances show that ODSI was not a contractor.
work or service, and labor only contractor of NPI.
Conversely, the fact of registration with DOLE does not necessarily
3) the contractual workers engaged by the contractor or create a presumption that Jobcrest is a legitimate and independent
subcontractor to accomplish the job work or service. contractor. The petitioners must overcome the presumption of
Valencia v. Classique Vinyl Products Corp 2017
regularity accorded to the o cial act of DOLE.
c Solidary Liability WON Valencia is an employee of CMS and not Classique Vinyl. Jobcrest has substantial capital.
Effects of Labor-only Contracting YES. Valencia's selection and engagement was undertaken by CMS Jobcrest had substantial capital to perform the business process
1) Principal is deemed direct employer of contractor’s and conversely, this negates the existence of such element insofar as services it provided Sunpower. It has its own o ce, to which the
employees; Classique Vinyl is concerned. petitioners admittedly reported to, possessed numerous assets for
Here, Classique Vinyl presented the CMS’s Certi cate of the conduct of its business, and even continuously earned pro t as a
2) Contractor will be treated as agent of principal;
Registration with the DTI and license as a private recruitment and result.
placement agency from the DOLE. Indeed, these documents are not Sunpower does not control the manner by which the
petitioners accomplished their work. respondents, as shown by the deployment of at least one (1) CBMI
YES. Petitioners' duties were reasonably connected to the very
supervisor in each Pizza Hut branch to regularly oversee, monitor,
The fact that the petitioners were working within the premises of business of CCBPI. They were indispensable to such business
and supervise the employees' attendance and performance.
Sunpower, by itself, does not negate Jobcrest's control over the because without them the products of CCBPI would not reach its
Respondents applied for work with CBMI and were consequently
means, method, and result of the petitioners' work. The petitioners, customers.
selected and hired by the latter.
despite working in Sunpower's plant for most of the time, admit
In Pacquing v. Coca-Cola Philippines, Inc., the Court ruled that the
that whenever they le their leave application, or whenever required
sales route helpers of CCBPI were its regular employees. In this case,
by their supervisors in Jobcrest, they report to the Jobcrest o ce.
petitioners had similarly undertook to bring CCBPI's products to
Designated on-site supervisors from Jobcrest were the ones who Lingnam Restaurant v. Skills & Talent Employment 2018
its customers at their delivery points.
oversaw the performance of the employees' work within the
The legitimate job contractor provides services, while the
premises of Sunpower. WON MDTC is an independent contractor and employers of
labor-only contractor provides only manpower. The legitimate job
petitioners.
contractor undertakes to perform a speci c job for the principal
employer, while the labor-only contractor merely provides the NO. CCBPI's contention that MDTC was a legitimate labor
Abuda et al. v. L. Natividad Poultry Farms 2018 personnel to work for the principal employer. contractor and was the actual employer of petitioners does not hold
water.
WON the maintenance personnel in L. Natividad Poultry Farms can WON STEP is engaged in labor-only contracting.
be considered as its regular employees.
YES. STEP merely acted as a placement agency providing
YES. San Mateo and petitioner Del Remedios were not manpower to Lingnam Restaurant. The service rendered by STEP Termination of Employment by
independent contractors but labor-only contractors since they did in favor of Lingnam Restaurant was not the performance of a B
Employer
not have substantial investment in the form of tools, equipment, or speci c job, but the supply of personnel.
work premises. As labor-only contractors, they were considered to
be agents of L. Natividad.
1 Just Causes
Lingat v. Coca-Cola Bottlers Phils, Inc. 2018
To determine whether one is an independent contractor, the ART 297. Termination by Employer. — An employer may terminate
Phil. Pizza Inc. v. Porras 2018
possession of substantial capital is only one element. It is necessary an employment for any of the following causes:
Although not a conclusive proof of legitimacy, the certification by the to prove not only substantial capital or investment in tools,
a) Serious misconduct or willful disobedience by the
DOLE nonetheless prevents the presumption of labor-only contracting equipment, work premises, among others, but ALSO that the work
employee of the lawful orders of his employer or
from arising. It gives rise to a disputable presumption that the of the employee is directly related to the work that contractor is
representative in connection with his work;
contractor's operations are legitimate. required to perform for the principal.
b) Gross and habitual neglect by the employee of his
CBMI is a legitimate job contractor, and consequently, the WON petitioners were regular employees of CCBPI.
duties;
employer of respondents. CBMI retained control over
c) The order violated must be reasonable, lawful, and i) There must be an act, omission, or
c) Fraud or willful breach by the employee of the trust
made known to the employee; and concealment;
reposed in him by his employer or duly authorized
representative; d) The order must pertain to the duties which he has ii) The act, omission or concealment involves a
been engaged to discharge. breach of legal duty, trust, or con dence justly
d) Commission of a crime or o ense by the employee
reposed;
against the person of his employer or any immediate 3) Gross and Habitual Neglect of Duty. —
member of his family or his duly authorized representatives; iii) It must be committed against the employer or
a) Gross Neglect refers to the absence of that diligence
and his/her representative; and
that an ordinary prudent man would use in his/her
e) Other causes analogous to the foregoing. own a airs. iv) It must be in connection with the employees'
work.
b) Habitual Neglect refers to repeated failure to
1) Serious Misconduct. — Misconduct is improper or perform one's duties over a period of time, depending c) Requisites of Breach of Trust
wrong conduct. It is a transgression of some established and upon the circumstances. i) The employee holds a position of trust and
de nite rule of action, a forbidden act, a dereliction of duty,
GR: Neglect of duty must be BOTH Gross and con dence;
willful in character and implies wrongful intent and not
Habitual. ii) There exists an act justifying the loss of trust and
merely error in judgment. It must be in connection with the
EE’s work to constitute just cause for his separation. EXC: Even if NOT habitual, but there is con dence;
SUBSTANTIAL DAMAGE or injury to iii) The employee’s breach must be willful;
a) There must be misconduct;
the ER.
iv) The act must be in relation to his work which
b) The misconduct must be of such grave and
4) Fraud or Willful Breach of Trust. — would render him un t to continue.
aggravated character;
a) There are two (2) classes of positions of trust. d) Requisites of Loss of Confidence
c) It must relate to the performance of the employee's
duties; AND i) The first class consists of managerial i) There must be an act, omission or
employees, or those vested with the power to lay concealment;
d) There must be showing that the employee becomes down management policies; and
ii) The act, omission or concealment justi es the
un t to continue working for the employer.
ii) The second class consists of cashiers, auditors, loss of trust and con dence of the employer to
2) Willful Disobedience or Insubordination. — property custodians or those who, in the normal the employee;
and routine exercise of their functions, regularly
a) There must be disobedience or insubordination; iii) The employee concerned must be holding a
handle significant amounts of money or
b) The disobedience or insubordination must be willful position of trust and con dence;
property.
or intentional characterized by a wrongful and iv) The loss of trust and con dence should not be
b) Requisites of Fraud
perverse attitude; simulated;
abuse of power by the employer who has a duty to may not be terminated from employment. It is
v) It should not be used as a subterfuge for causes
protect his employee against over-sex. only when he commits illegal acts during a
which are improper, illegal, or unjusti ed; and
strike that he may be declared to have lost
c) Gross Ine ciency or poor performance. —
vi) It must be genuine and not a mere afterthought employment status. (Solidbank v. Gamier 2010)
to justify an earlier action taken in bad faith. i) Employer has set standards of performance;
ii) A union o cer who knowingly participates in an
5) Commission of a Crime. — By the employee against the ii) Standards are reasonable and in connection with illegal strike is deemed to have lost his
person of his employer or his immediate family or authorized employee’s work; AND employment status, but a union member who is
representatives. iii) Proof that EE failed to meet the standards despite merely instigated or induced to participate in the
a) There must be an act or omission given reasonable opportunity to meet the same. illegal strike is more benignly treated. (Escario v.
punishable/prohibited by law; and NLRC 2010)
d) Drug use or abuse. — the law speci es that the
b) The act or omission was committed by the employee procedure shall employ two testing methods, i.e.,
Sterling Paper Products Enterprises
against the person of the screening test and the con rmatory test. (Nacague 2017
v. KMM-Katipunan
v. Sulpicio Lines 2010)
i) employer,
The utterance of obscene, insulting or o ensive words against a
e) Attitude Problem. — An employee who cannot get
ii) any immediate member of his/her family, or superior is not only destructive of the morale of his co-employees
along with his co-employees is detrimental to the
iii) his/her duly authorized representative. and a violation of the company rules and regulations, but also
company for he can upset and strain the working
constitutes gross misconduct.
6) Analogous Causes. — No act or omission shall be environment. It is a situation analogous to loss of
trust and confidence that must be duly proved by WON Esponga was validly dismissed for serious misconduct.
considered as analogous cause unless expressly speci ed in the
company rules and regulations or policies. the employer. (Heavylift Manila v. CA) YES. In de La Cruz v. NLRC, the dismissed employee shouted,
a) Abandonment is the deliberate and unjusti ed f) Enforcement of union security clause. — "Sayang ang pagka-professional mo!" and "Putang ina mo" at the
refusal of an employee to resume his employment. company physician when the latter refused to give him a referral slip.
i) The union security clause is applicable;
Two factors should be present: Likewise, in Autobus Workers' Union (AWU) v. NLRC, the
ii) The bargaining union is requesting for the
i) the failure to report for work or absence dismissed employee told his supervisor "Gago ka" and taunted the
termination of employment due to enforcement
without valid or justi able reason; and latter by saying, "Bakit anong gusto mo, tang ina mo."
of the clause in the CBA; AND
ii) a clear intention to sever EER — manifested by Moreover, in Asian Design and Manufacturing Corporation
iii) There is su cient evidence to support the
overt acts from which it may be deduced that the v. Deputy Minister of Labor, the dismissed employee made false
union’s decision to expel the employee from the
employees have no more intention to work. and malicious statements against the foreman (his superior).
union. (Slord Development v. Noya 2019)
b) Sexual Harassment. — The gravamen of the o ense In Reynolds Philippines Corporation v. Eslava, the dismissed
g) Commission of prohibited acts during strike. —
is not the mere violation of one’s sexuality, but the employee circulated several letters to the members of the company's
i) A worker merely participating in an illegal strike
board of directors calling the executive vice-president and general the R/A e-mail betrays a truly sinister purpose which AMC had a
Red System was not remiss in reminding its drivers of the
manager a "big fool," "anti-Filipino". right to guard against.
importance of abiding by their safety regulations. Notably, Mamaril
Hence, it is well-settled that accusatory and in ammatory violated Red System's safety rules twice, and caused damage
language used by an employee towards his employer or amounting to over Php 40,000.00. To make matters worse, he even
superior can be a ground for dismissal or termination. deliberately and willfully concealed his transgressions. Bravo v. Urios College 2017
WON Bravo was properly dismissed for a just cause.
Transglobal Maritime Agency v. Chua 2017 Alaska Milk v. Ponce 2017 YES. Petitioner's act in assigning to himself a higher salary rate
without proper authorization is a clear breach of the trust and
There must be reasonable proportionality between, on the one WON Ponce was guilty of gross and habitual neglect of duties. con dence reposed in him. In addition, there was no reason for the
hand, the willful disobedience by the employee and, on the other Comptroller's O ce to undertake the preparation of its own
NO. Fault cannot rest upon Ponce's shoulders alone, inasmuch as
hand, the penalty imposed therefor. summary table because this was a function that exclusively pertained
satisfactory completion of the assigned tasks was subject to an
WON Chua was validly dismissed for insubordination. interplay of factors beyond his sole control. The fact that Ponce to the Human Resources Department.
admitted to having been delayed in some of the tasks assigned to
NO. By virtue of the POEA-SEC, Chua is indeed bound to obey
him does not establish gross and habitual neglect of duties.
the lawful commands of the captain of the ship, but only as long as
Panaligan v. Phyvita Enterprises 2017
these pertain to his duties.There is no relevance to the order to sign WON Ponce can be terminated for loss of trust and confidence.
the documents in Chua's performance of his duty as a seaman. WON there exists just and valid cause for the termination of
YES. As regards a managerial employee, the mere existence of a basis
To amount to a valid dismissal, an erring seafarer must be handed a for believing that such employee has breached the trust of his PANALIGAN, et al.'s, employment by PHYVITA.
written notice of the charge against him and must be given the employer would su ce for his dismissal. NO. No direct evidence was presented to link PANALIGAN, et al.,
opportunity to explain himself — unless, of course, there is a clear to the theft that they allegedly committed.
Ponce held the position of Director for Engineering Services and
and existing danger against the safety of the crew or the vessel in
that he was in charge of managing AMC's Engineering Department. Taking into consideration the fact that the DOLE-NCR conducted
which case notice may be dispensed with.
Hence, he belongs to the rst class of employees who occupy a an inspection of the respondent's premises on as a result of the labor
position of trust and con dence. complaint led by PANALIGAN, et al., and they were implicated in
The Court rules that his dismissal from employment is justi ed. the alleged theft incident only thereafter, a reasonable inference can
Mamaril v. Red System Company 2018
First, The opening sentence of Ponce's R/A e-mail readily exposes be made that PANALIGAN, et al.'s, termination of employment
WON Mamaril was illegally dismissed by Red System, and is the attendant willfulness in his act. Second, the act of soliciting may have been indeed a retaliatory measure designed to coerce
consequently entitled to reinstatement and full backwages; and receipts from colleagues constitutes dishonesty, inimical to AMC's them into withdrawing their complaint for underpayment of wages
interests, for the simple reason that Ponce would be collecting and nonpayment of other labor standard bene ts. Such an act is
NO. Mamaril was validly dismissed on account of his willful
receipted allowance from expenses he did not actually incur. Third, proscribed by Article 118 of the Labor Code.
disobedience of the lawful orders of Red System.
Aluag v. BIR Multi-Purpose Cooperative 2017 Maula v. Ximex Delivery Express 2017 Evic Human Resource Mgmt v. Panahon 2017
WON BIRMPC had just cause to terminate Aluag's employment. Dismissal from employment has two facets: first, the legality of the WON there was just cause in dismissing Panahon.
act of dismissal, which constitutes substantive due process; and,
YES. One of the infractions that BIRMPC cited in justifying NO. The Court nds the Crew Behavior Report sorely inadequate
second, the legality of the manner of dismissal, which constitutes
Aluag's dismissal is her failure to deposit checks on due dates, in meeting the required quantum of proof to discharge petitioners'
procedural due process.
pursuant to a member/debtor's request. The task of depositing burden. For one, the statements contained therein were
checks on due dates de nitely falls within Aluag's scope of ON SERIOUS MISCONDUCT uncorroborated and self-serving. No other evidence was presented
responsibilities. to support the statements of the Captain. In Skippers United
While this Court held in past decisions that accusatory and
Pacific, Inc. v. NLRC, the Court did not give weight and credence
BIRMPC had ample reason to lose the trust and con dence it in ammatory language used by an employee to the employer or
to the uncorroborated Chief Engineer's Report which purportedly
reposed upon her and thereby, terminate her employment. superior can be a ground for dismissal or termination, the
speci ed the causes for the seafarer's dismissal. In
circumstances peculiar to this case nd the previous rulings
Maersk-Filipinas Crewing, Inc. v. Avestruz, the Court likewise
inapplicable. The admittedly insulting and unbecoming language
disregarded the uncorroborated and self-serving electronic mails of
Gaite v. Filipino Society of Composers 2018 uttered by petitioner to the HR Manager should be viewed with
the ship captain as proof of the seafarer's supposed neglect of duty
reasonable leniency in light of the fact that it was committed under
WON Gaite was validly dismissed due to loss of trust and and perverse and wrongful attitude.
an emotionally charged state. Indeed, there was only lapse in
confidence. judgment rather than a premeditated de ance of authority. Here, while the report was signed by four (4) crew members, the
YES. Gaite's actuations constitute serious misconduct. First, not statements contained therein were, as correctly observed by the CA,
ON TOTALITY OF INFRACTIONS
only is the amount involved herein a staggering amount of P17.7M, based on acts witnessed only by Captain Buton.
In Merin v. NLRC, this Court expounded on the principle of
the alleged reallocation violated an express provision of the Incompetence or ine ciency, as a ground for dismissal, is
totality of infractions as follows:
company's Distribution Rules. Second, Gaite committed said understood to mean the failure to attain work goals or work quotas,
transfer in the performance of her duties as General Manager of The totality of infractions or the number of violations either by failing to complete the same within the allotted reasonable
FILSCAP. Third, because of this grave infraction causing the committed during the period of employment shall be period, or by producing unsatisfactory results.
depletion of the company's Special Accounts held in trust for the considered in determining the penalty to be imposed upon an
Petitioners failed to show that respondent willfully or deliberately
rightful copyright owners, Gaite's ability to duly perform and erring employee. The o enses committed by petitioner should
caused the alleged accident during the mooring operations or that
accomplish her duties and responsibilities as General Manager has not be taken singly and separately.
respondent repeatedly committed mistakes or repeatedly failed to
been seriously put into question.
Here, respondent cannot invoke the principle of totality of perform his duties. As regards the charge of intoxication, Section
On the second ground for termination, the Court nds that infractions considering that petitioner's alleged previous acts of 33(6) of the POEA SEC provides that drunkenness must be
FILSCAP validly terminated Gaite's employment on the ground of misconduct were not established in accordance with the committed while on duty to merit dismissal from employment.
loss of trust and con dence. requirements of procedural due process.
Here, respondent was admittedly o duty when he was allegedly immediately give the cash advance for the car tune-up nor did
Alcuizar was informed of the error committed, and that it was made
caught by the master drinking on board. respondents su er nancial damage by her failure to comply. The
clear to him that he was never terminated from service at that time
severe penalty of dismissal was not commensurate to her infraction.
in spite of his poor performance.
WON Alcuizar abandoned his employment.
Malcaba et al. v. Prohealth Pharma Phils. 2018
Claudia’s Kitchen Inc. v. Tanguin 2017 YES. Respondent's non-compliance with the directive in the
While this Court recognizes the inherent right of employers to
Return to Work to Our mind, signi es his intention to sever the
discipline their employees, the penalties imposed must be In abandonment, absence must be accompanied by overt acts
employment relation with petitioner, and gives credence to the
commensurate with the infractions committed. Dismissal of unerringly pointing to the fact that the employee simply does not
latter's claim that it was respondent who abandoned his job.
employees for minor and negligible o enses may be considered as want to work anymore. Mere absence or failure to report for work,
illegal dismissal. even after a notice to return to work has been served, is not enough It can be gathered that respondent's departure was merely a
to amount to an abandonment of employment. precursor to his scheme to turn the table against petitioner.
WON Nepomuceno and Palit-Ang were illegally dismissed.
Realizing that his employment was at serious risk due to his habitual
Here, there was no abandonment on the part of respondent.
YES. For an act to be considered a loss of trust and con dence, it neglect of his duties, respondent jumped the gun on petitioner by
Records are bereft of any indication that Tanguin's failure to report
must be first, work-related, and second, founded on clearly lodging a baseless complaint for illegal dismissal even though it was
for work was with a clear intent to sever her employment
established facts. he who abandoned his employment.
relationship with the petitioners. Moreover, Tanguin's act of ling a
The breach of trust must likewise be willful. Nepomuceno alleges complaint for illegal dismissal with prayer for reinstatement negates
that he was illegally dismissed merely for his failure to inform his any intention to abandon her employment.
superiors of the actual dates of his vacation leave. Maria De Leon Transportation Inc., et al. v. Macuray 2018
Nepomuceno turned over all of his pending work to a reliever An employee can not be said to have abandoned his employment
before he left for Malaysia. He was able to reach his sales quota and Mehitabel Inc v. Alcuizar 2017 when he merely availed of a company practice of taking sabbaticals
surpass his sales target even before taking his vacation leave. in order to a ord them the opportunity to recover from the stresses
The ling of a complaint for illegal dismissal does not ipso facto
Respondents did not su er any nancial damage as a result of his of driving the same long and monotonous bus routes by accepting
foreclose the possibility of abandonment. It is not the sole indicator
absence. This was also petitioner Nepomuceno's rst infraction in jobs elsewhere.
in determining whether or not there was desertion. Other
his nine (9) years of service with respondents. None of these
circumstances surrounding the case must be taken into account in WON there was just cause for dismissing Macuray due to
circumstances constitutes a willful breach of trust on his part.
resolving the issue of whether or not there was abandonment. abandonment.
The penalty of dismissal, thus, was too severe for this kind of
infraction. WON Alcuizar was dismissed by Mehitabel. NO. Macuray was not dismissed from work and he did not abandon
his employment.
Palit-Ang's failure to immediately give the money to Gamboa was NO. The publications were made through sheer inadvertence, and
not the result of a perverse mental attitude but was merely because that the vacancy is actually for the position of Purchasing O cer, Even assuming that respondent was indeed told by respondent's bus
she was busy at the time. Neither did she pro t from her failure to rather than Purchasing Manager. dispatcher Roger Pasion that he was AWOL, this was not
tantamount to dismissal, actual or constructive. An ordinary bus c) The purpose for such introduction must be valid such as
A fraction of at least six (6) months shall be considered one (1)
dispatcher has no power to dismiss an employee. to save on cost, enhance e ciency and other justi able
whole year.
economic reasons;
Common Requisites d) There is no other option available to the employer than

2 Authorized Causes the introduction of machinery, equipment or device and
a) Good faith;
the consequent termination of employment of those
ARTICLE 298. Closure of Establishment and Reduction of Personnel. b) Termination is matter of last resort; a ected thereby; and
— The employer may also terminate the employment of any c) Two (2) Separate notices served on the a ected EE and e) There must be fair and reasonable criteria in selecting
employee due to DOLE ONE MONTH prior to intended date of employees to be terminated.
termination;
1. the installation of labor-saving devices, 2) Redundancy. — exists when "the services of an employee are
d) Separation pay; in excess of what is reasonably demanded by the actual
2. redundancy,
i) Installation of labor saving Device or Redundancy — requirements of the enterprise."
3. retrenchment to prevent losses or 1 month pay or at least 1 month pay for every year of a) written notice served on both the employees and the
4. the closing or cessation of operation of the service whichever is higher; DOLE at least one month prior to the intended date of
establishment or undertaking ii) Retrenchment or closure not due to serious losses — retrenchment;
1 month pay or at least 1/2 month pay for every year b) payment of separation pay equivalent to at least one
unless the closing is for the purpose of circumventing the provisions
of service whichever is higher; month pay or at least one month pay for every year of
of this Title, by serving a written notice on the workers and the
DOLE at least one (1) month before the intended date thereof. iii) Closure due to serious losses — NONE. service, whichever is higher;
In case of termination due to the installation of labor-saving iv) CBA provision shall prevail. c) good faith in abolishing the redundant positions; and
devices or redundancy, the worker a ected thereby shall be e) Fair and reasonable criteria. d) fair and reasonable criteria in ascertaining what
entitled to a separation pay equivalent to at least his one (1) month positions are to be declared redundant and accordingly
pay or to at least one (1) month pay for every year of service, 1) Installation of labor-saving devices. — refers to the
abolished.
whichever is higher. reduction of the number of workers in any workplace made
necessary by the introduction of labor-saving machinery or 3) Retrenchment. — or downsizing is a mode of terminating
In case of retrenchment to prevent losses and in cases of closures or devices. employment initiated by the employer through no fault of the
cessation of operations of establishment or undertaking not due employee and without prejudice to the latter, resorted to by
to serious business losses or nancial reverses, the separation pay a) There must be introduction of machinery, equipment or
management during periods of business recession, industrial
shall be equivalent to one (1) month pay or at least one-half (1/2) other devices;
depression or seasonal uctuations or during lulls over
month pay for every year of service, whichever is higher. b) The introduction must be done in good faith; shortage of materials.
a) The retrenchment must be reasonably necessary and likely b) The continued employment of the employee is proof that the services of the employees are in excess of what is
to prevent business losses; prohibited by law or prejudicial to his/her health as required of the company, and that fair and reasonable criteria were
well as to the health of his/her co-employees; and used to determine the redundant positions.
b) The losses, if already incurred, are not merely de
minimis, but substantial, serious, actual and real, or, if c) There must be certi cation by a competent public PLDT's declaration of redundancy was backed by substantial
only expected, are reasonably imminent; health authority that the disease is incurable within a evidence showing a consistent decline for operator-assisted calls for
period of six (6) months even with proper medical both local and international calls because of cheaper alternatives.
c) The expected or actual losses must be proved by
treatment.
su cient and convincing evidence; Aquino v. NLRC di erentiated between separation pay and
d) As to procedural due process. — The employer must retirement bene ts:
d) The retrenchment must be in good faith for the
furnish the employee two written notices in terminations
advancement of its interest and not to defeat or 1. Separation pay is required in the cases enumerated in
due to disease, namely:
circumvent the employees' right to security of tenure; and Articles 283 and 284. We have held that it is a statutory
i) the notice to apprise the employee of the ground for right designed to provide the employee with the
e) There must be fair and reasonable criteria in
which his dismissal is sought; and wherewithal during the period that he is looking for
ascertaining who would be dismissed and who would be
another employment.
retained among the employees, such as status, e ciency, ii) the notice informing the employee of his dismissal,
seniority, physical tness, age, and nancial hardship for to be issued after the employee has been given 2. Retirement bene ts, where not mandated by law, may be
certain workers. reasonable opportunity to answer and to be heard on granted by agreement of the employees and their employer
his defense. or as a voluntary act on the part of the employer.
4) Closing or cessation of operation. — Refers to the
Retirement bene ts are intended to help the employee
complete or partial cessation of the operations and/or
Manggagawa ng Komunikasyon sa Pilipinas v. PLDT 2017 enjoy the remaining years of his life.
shut-down of the establishment of the employer.
a) There must be a decision to close or cease operation of the An order of reinstatement is di erent from a return-to-work order.
enterprise by the management; 1. The award of reinstatement, including backwages, is Acosta v. Matiere SAS 2019
b) The decision was made in good faith; and awarded by a Labor Arbiter to an illegally dismissed
employee pursuant to Article 294. In redundancy, an employer must show that it applied fair and
c) There is no other option available to the employer except reasonable criteria in determining what positions have to be declared
to close or cease operations. 2. On the other hand, a return-to-work order is issued by
redundant. Otherwise, it will be held liable for illegally dismissing
the SOLE when he or she assumes jurisdiction over a labor
5) Disease. — To be a valid ground for termination, the the employee a ected by the redundancy.
dispute in an industry that is considered indispensable to
following must be present: the national interest. WON Acosta was validly dismissed from employment on the ground
a) The employee must be su ering from any disease; of redundancy.
WON the 2002 redundancy program of PLDT was valid.
NO. Respondents' only basis for declaring petitioner's position
YES. To establish good faith, the company must provide substantial
redundant was that his function, which was to monitor the delivery
of supplies, became unnecessary upon completion of the shipments. La Consolacion College of Manila, et al. v. Pascua 2018 There is no evidence showing that Arlene was accorded due process.
However, there was no mention of monitoring shipments as part of After informing her employer of her lung cancer, she was not given
When termination of employment is occasioned by retrenchment to
petitioner's tasks. If his work pertains mainly to the delivery of the chance to present medical certi cates. Fuji immediately
prevent losses, an employer must declare a reasonable cause or
supplies, it should have been speci cally stated in his job concluded that Arlene could no longer perform her duties because
criterion for retrenching an employee. Retrenchment that
description. There was, hence no basis for respondents to consider of chemotherapy. It did not ask her how her condition would a ect
disregards an employee's record and length of service is an
his position irrelevant when the shipments had been completed. her work. Neither did it suggest for her to take a leave, even though
illegal termination of employment.
she was entitled to sick leaves. Worse, it did not present any
Likewise, respondents failed to show that they used fair and
WON Pascua's retrenchment was valid based on the criteria that she certi cate from a competent public health authority. What Fuji did
reasonable criteria in determining what positions should be
had the highest rate of pay. was to inform her that her contract would no longer be renewed,
declared redundant.
and when she did not agree, her salary was withheld. Thus, the
NO. Jurisprudence requires that the necessity of retrenchment to
In Panlilio v. NLRC, this Court held that fair and reasonable Court of Appeals correctly upheld the nding of the NLRC that
stave o genuine and signi cant business losses or reverses be
criteria may take into account the preferred status, e ciency, and for failure of Fuji to comply with due process, Arlene was illegally
seniority of employees to be dismissed due to redundancy. demonstrated by an employer's independently audited
dismissed.
nancial statements. Documents that have not been the subject
of an independent audit may very well be self-serving.
Read-Rite Phils v. Francisco, et al. 2017 The records indicate that La Consolacion su ered serious business 3 Due Process
reverses or an aberrant drop in its revenue and income, thus,
Given the diametrical nature of an involuntary and a voluntary
compelling it to retrench employees. a) Twin Notice Requirement
separation from service, one necessarily excludes the other. For sure,
an employee's termination from service cannot be voluntary La Consolacion's failure was non-compliance with using fair and
and involuntary at the same time. reasonable criteria that considered the status and seniority of the 1) The rst written notice should contain:
retrenched employee.
a) The speci c causes or grounds for termination;
La Consolacion's disregard of respondent's seniority and preferred
b) Detailed narration of the facts and circumstances that will
Flight Attendants and Stewards status relative to a part-time employee indicates its resort to an
2018 En Banc serve as basis for the charge against the employee. A
Association of the Phils. v. PAL unfair and unreasonable criterion for retrenchment.
general description of the charge will not suffice; and
In determining the validity of a retrenchment, judicial notice may be Employees who have earned their keep by demonstrating exemplary
performance and securing roles in their respective organizations c) A directive that the employee is given opportunity to
taken of the nancial losses incurred by an employer undergoing
corporate rehabilitation. In such a case, the presentation of audited cannot be summarily disregarded by nakedly pecuniary submit a written explanation within a reasonable period.
nancial statements may not be necessary to establish that the considerations. "Reasonable period" should be construed as a period of at
employer is su ering from severe nancial losses. least ve (5) calendar days from receipt of the notice.
Fuji Television v. Espiritu 2014
2) After determining that termination of employment is justi ed, 4 Termination of Contract of Migrant Workers
the employer shall serve the employee a written notice of
1) In case of termination of overseas employment without just, 1 Resignation vs. Constructive Dismissal
termination indicating that:
valid or authorized cause as de ned by law or contract, or any
1) Resignation is the VOLUNTARY act of an employee
a) all circumstances involving the charge against the unauthorized deductions from the migrant worker's salary, the
dissociating from his employment in the belief that personal
employee have been considered; and worker shall be entitled to the full reimbursement of his
reason cannot be sacri ced in favor of the exigency of the
b) the grounds have been established to justify the placement fee and the deductions made with interest at twelve
service. Personal reasons may be due to health concerns.
severance of their employment. percent (12%) per annum, plus his salaries for the unexpired
portion of his employment contract or for three (3) months 2) The law requires the EE to submit an advance notice to the
The foregoing notices shall be served personally to the for every year of the unexpired term, whichever is less5. (Sec 10) ER known as a RESIGNATION NOTICE.
employee or to the employee's last known address.
2) Termination of employment of OFWs takes place in the a) It is to be given at least 1 month before e ectivity date of
b) Hearing following instances: resignation.
a. Pre-termination of employment contract with approval of b) The notice is for the bene t of the ER.
3) After serving the rst notice, the employer should a ord the employer; c) ER has discretion to shorten the period.
employee ample opportunity to be heard and to
b. Discharge for a valid cause; d) Failure to le notice will hold EE liable for damages for
defend himself with the assistance of his representative if he
c. Su ered injury or illness; or losses.
so desires.
d. An OFW has died. 3) Acceptance of resignation is not necessary. Resignation may
"Ample opportunity to be heard" means any meaningful
however be withdrawn even if EE called it irrevocable. If the
opportunity given to the employee to answer the charges
Skippers United Pacific Inc. v. Doza 2012 ER has accepted and approved the tendered resignation,
against him and submit evidence in support of his defense,
withdrawal thereafter requires the ER’s consent.
whether in a hearing, conference or some other fair, just and The OFW can pre terminate his employment contract which is akin
reasonable way. A formal hearing or conference becomes 4) Generally, an EE who voluntarily resigns is NOT entitled to
to resignation. However, if the employer failed to submit substantial
mandatory only separation pay. There are however two exceptions:
evidence that indeed the OFW voluntarily pre-terminated his
a) when requested by the employee in writing or contract; then the OFW is deemed illegally dismissed. a) When stipulated in CBA;
b) substantial evidentiary disputes exist or a company The best proof of pre-termination is a written resignation. b) Sanctioned by established ER practice or policy.
rule or
5) Constructive dismissal occurs when an employee quits
c) practice requires it, or because continued employment is rendered impossible,
Termination of Employment by
d) when similar circumstances justify it. C unreasonable or unlikely as in the case of an o er of
Employee demotion in rank and a diminution in pay.
5
Declared unconstitutional.
6) There is constructive dismissal in the following: dismissal. work because continued employment is rendered impossible,
unreasonable or unlikely. There is involuntary resignation due
a) INVOLUNTARY RESIGNATION when continued NO. Respondent was excluded from important HR decisions
to the harsh, hostile, and unfavorable conditions set by the
employment is rendered impossible, unreasonable or which she was expected not only to be privy to, but also to have a say
employer.
unlikely; in, by virtue of her position in the company.
b) DEMOTION in rank and/or DIMINUTION of pay; There is constructive dismissal when an employee's functions, On the other hand, resignation is the voluntary act of an
which were originally supervisory in nature, were reduced; and such employee who is in a situation where one believes that personal
c) Clear DISCRIMINATION, INSENSIBILITY or reasons cannot be sacri ced in favor of the exigency of the service,
reduction is not grounded on valid grounds such as genuine
DISDAIN by an ER to his EE. and one has no other choice but to dissociate oneself from
business necessity.
7) The TEST of constructive dismissal is whether a reasonable employment. It is a formal pronouncement or relinquishment of an
The reduction in respondent's duties and responsibilities as HR o ce, with the intention of relinquishing the o ce accompanied by
person in the position of the EE would have felt compelled to
Manager amounted to a demotion that was tantamount to the act of relinquishment.
give up his position under the circumstances. It is an act
constructive dismissal.
amounting to dismissal but made to appear it is not. It is
therefore a dismissal in disguise. The above-cited circumstances indubitably present a hostile and
unbearable working environment that reasonably compelled Sumifru Corp v. Baya 2017
8) Constructive dismissal is distinguished from illegal dismissal
respondent to leave her employment. Respondent, therefore, was
in that in the latter, intent to dismiss is clearly expressed by The burden is on the employer to prove that the transfer or
constructively dismissed.
the ER. In the former however, ER NEVER indicates that he demotion of an employee was a valid exercise of management
is terminating the EE. prerogative and was not a mere subterfuge to get rid of an employee;
9) The unilateral and arbitrary reduction of the work day scheme failing in which, the employer will be found liable for constructive
Del Rio v. DPO Phils. 2018
that signi cantly reduced employees’ salaries is a form of dismissal.
constructive dismissal. (Intec Cebu v. CA 2016) WON the CA is correct in deleting the award of separation pay in WON AMSFC and DFC constructively dismissed Baya.
favor of petitioner.
10) A college professor that was later appointed as a laboratory
YES. The top management of both AMSFC and DFC, which were
custodian, divesting him of his teaching load, was YES. There was no employment contract, much less a CBA, which
sister companies at the time, were well-aware of the lack of
constructively dismissed. (Divine Word College of Laoag v. contained the stipulation that would grant separation pay to
supervisory positions in AMSFC. This notwithstanding, they still
Mina 2016) resigning employees. Neither was there a company practice or policy
proceeded to order Baya's return therein, thus, forcing him to accept
that was proven to exist in the instant case.
rank-and- le positions. Thus, AMSFC and DFC are guilty of
Diwa Asia Publishing et al. v. De Leon 2018
constructively dismissing Baya.
WON the issuance of communications to reprimand and/or correct an
Doble, Jr. v. ABB Inc. 2017
erring employee forms part of the employer's management
prerogatives and is not tantamount to harassment, let alone illegal Constructive dismissal is de ned as quitting or cessation of Cosue v. Ferritz Integrated Development Corp 2017
WON Cosue was constructively dismissed because he reported to work an investigation will naturally entail di culty. This di culty does outcome was already predetermined as petitioners were already
immediately after his suspension but was not anymore allowed to not mean that the employer is creating an inhospitable employment resolute in their decision to terminate Dagdag's employment. This is
work. atmosphere so as to ease out the employee involved in the evident by the fact that Dagdag was left with two
investigation. choices—resignation or dismissal and threatening her with possible
NO. Bare allegations of constructive dismissal, when
revocation of her teaching license.
uncorroborated by the evidence on record, as in this case, cannot be Thus, subject to the limits of ethical and lawful conduct, an
given credence. employer is free to adopt any means for conducting these In the case of Capin-Cadiz v. Brent Hospital and Colleges, Inc.
investigations. They can, for example, obtain information from the it is held that:
Records do not show any demotion in rank or a diminution in pay
entire roster of employees involved in a given work ow.
made against petitioner. Neither was there any act of clear Jurisprudence has already set the standard of morality with
discrimination, insensibility or disdain committed by respondents This Court fails to see how the petitioner's investigation amounted which an act should be gauged — it is public and secular,
against petitioner. to respondent's constructive dismissal. Other than respondent's bare not religious.
allegation, there is nothing to support the claim that her
Respondents' decision to give petitioner a graceful exit is perfectly The totality of evidence in this case does not justify the dismissal of
interviewers were hostile, distrusting, and censorious, or that the
within their discretion. It is settled that there is nothing Dagdag from her employment considering that there was no legal
interview was a mere pretext to pin her down. Respondent's
reprehensible or illegal when the employer grants the employee a impediment to marry between Dagdag and the father of her child at
recollection is riddled with impressions, unsupported by
chance to resign and save face rather than smear the latter's the time of the conception.
independently veri able facts.
employment record.
Since there was neither dismissal nor abandonment, the CA
correctly sustained the LA and the NLRC's decision to order Spectrum Security Services 2017 re Suspension of Business
Union School International et al. v. Dagdag 2018 Inc v. Grave et al. Operations
petitioner's reinstatement but without backwages, consistent
with the following pronouncement in Danilo Leonardo v. NLRC The standard of morality with which an act should be gauged is A security guard placed on reserved or o -detail status is
and Reynaldo's Marketing Corporation, et al. public and secular, not religious. deemed constructively dismissed only if the status should last more
Pregnancy of a school teacher out of wedlock is not a just cause for than six months. Any claim of constructive dismissal must be
termination of an employment absent any showing that the established by clear and positive evidence.
Philippine Pan Asia Carriers Corp v. Pelayo 2018 pre-marital sexual relations and, consequently, pregnancy out of
WON Spectrum Security constructively dismissed its employees.
wedlock, are indeed considered disgraceful or immoral.
WON Pelayo's involvement in the investigation conducted by
NO. Security guards, like other employees in the private sector, are
petitioner amounted to constructive dismissal. WON Dagdag was constructively dismissed by Union School.
entitled to security of tenure. However, their situation should be
NO. An employer who conducts investigations following the YES. Mandapat's act of suggesting that Dagdag should simply di erentiated from that of other employees or workers. The
discovery of misdeeds by its employees is not being abusive when it tender her resignation, as the school may impose harsher penalties, employment of security guards generally depends on their
seeks information from an employee involved in the work ow left Dagdag with no choice but to discontinue working for Union employers' contracts with clients who are third parties to the
which occasioned the misdeed. An employee's involvement in such School. Although there was a conduct of grievance meeting, its employment relationship, and the requirements of the latter for
security services and what will be bene cial to them dictate the 4) Reassignment or transfer as remedial measure. — The
Mamaril's initial suspension was a preventive suspension that was
posting of the security guards. purpose of reassignments is no di erent from that of
necessary to protect Red System's equipment and personnel.
preventive suspension which management could validly
In other words, their security of tenure, though it shields them from Mamaril was placed under preventive suspension considering that
impose as a disciplinary measure for the protection of the
demotions in rank or diminutions of salaries, bene ts and other during the pendency of the administrative hearings, he was noticed
company's property pending investigation of any alleged
privileges, does not vest them with the right to their positions or to have several near-accident misses and he had exhibited a lack of
malfeasance or misfeasance committed by the employee. (Ruiz
assignments that will prevent their transfers or re-assignments. Only concern for his work. His inattentiveness posed a serious threat to
v. Wendel Osaka Realty 2012)
when the period of their reserved or o -detail status exceeds the the safety of the company equipment and personnel.
reasonable period of six months without re-assignment should the
Maula v. Ximex Delivery Express 2017
a ected security guards be regarded as dismissed. Indeed, there
should be no inde nite lay-o s. After the period of six months, the Preventive suspension may be legally imposed against an employee E Reliefs from Illegal Dismissal
employers should either recall the a ected security guards to work or whose alleged violation is the subject of an investigation. Preventive
consider them permanently retrenched pursuant to the suspension is justi ed where the employee's continued employment 1. Effect or Consequences of Dismissal. — An employee who is
requirements of the law; otherwise, the employers would be held to poses a serious and imminent threat to the life or property of the unjustly dismissed from work shall be entitled to
have dismissed them, and would be liable for such dismissals. employer or of the employee's co-workers. Without this kind of a. reinstatement without loss of seniority rights and other
Under DOLE Department Order No. 014-01, the tenure of threat, preventive suspension is not proper. privileges and to his
security guards in their employment is ensured by guaranteeing that Here, it cannot be said that petitioner posed a danger on the lives of b. full backwages, inclusive of allowances, and to his
their services are to be terminated only for just or authorized causes. the o cers or employees of respondent or their properties. Being
c. other bene ts or their monetary equivalent
one of the Operation Sta , which was a rank and le position, he
could not and would not be able to sabotage the operations of computed from the time his compensation was withheld from him
D Preventive Suspension respondent. up to the time of his actual reinstatement.
1) May be de ned as the temporary removal of an EE charged for GR: When an EE is validly dismissed, NO separation pay
violation of company rules from his present status or position. is given.
Mamaril v. Red System Company 2018
It is not a disciplinary measure and should not be confused EXC: Such cause does not constitute serious misconduct
with suspension imposed as a penalty. It shall not last longer WON Red System was guilty of imposing a double penalty against nor re ect on the EE’s moral character, separation pay
than thirty (30) days. Mamaril. MAY be validly awarded. This is the DISCERNING
2) This may be imposed while an investigation is ongoing. COMPASSION doctrine.
NO. Mamaril's preventive suspension and subsequent dismissal
3) The notice of preventive suspension cannot be from the service do not partake of a double penalty; neither may his 2. Reinstatement. — Separation pay is made an alternative relief
considered as adequate notice to explain. (Tanala v. dismissal be regarded as harsh and excessive. in lieu of reinstatement in certain circumstances, like:
NLRC)
a. when reinstatement can no longer be e ected in view of 5. The rule in Bustamante is controlling that the dismissed not terminated by his employer.
the passage of a long period of time or because of the employee is to be paid backwages for the entire period that he was
There were cases, however, wherein the Court awarded separation
realities of the situation; without work, without deduction and without quali cation
pay in lieu of reinstatement to the employee even after a nding that
b. reinstatement is inimical to the employer’s interest; 6. The base gure is the wage rate at time of dismissal inclusive of there was neither dismissal nor abandonment. In Nightowl
“allowances”, excluding salary increases. Salary increases are Watchman & Security Agency, Inc. v. Lumahan, the Court
c. reinstatement is no longer feasible;
not akin to allowances or bene ts, and cannot be confused with awarded separation pay in view of the ndings of the NLRC that
d. reinstatement does not serve the best interests of the either. (Equitable Banking v. Sadac) respondent stopped reporting for work for more than ten (10) years
parties involved; and never returned.
e. the employer is prejudiced by the workers’ continued Claudia’s Kitchen Inc. v. Tanguin 2017
employment;
As to separation pay
f. facts that make execution unjust or inequitable have F Retirement
In sum, separation pay is only awarded to a dismissed employee in
supervened; or GR: Employees dismissed for just cause are generally entitled
the following instances:
g. strained relations between the employer and employee due to vested rights
1. in case of closure of establishment under Article 298;
3. Award When Reinstatement not Viable EXC: Where just cause termination proscribes the claim of
2. in case of termination due to disease or sickness under
retirement pay as cited in the retirement plan.
a. Backwages from date of dismissal until nality of Article 299;
decision; 1) Retirement has been de ned as a withdrawal from o ce,
3. as a measure of social justice in those instances where the
public station, business, occupation, or public duty. It is the
b. Separation pay from date of employment until nality of employee is validly dismissed for causes other than serious
result of a bilateral act of the parties, a voluntary agreement
decision (not date of dismissal); misconduct or those re ecting on his moral character;
between the employer and the employee whereby the latter,
c. 10% attorney’s fees based on the awards computed; and 4. where the dismissed employee's position is no longer after reaching a certain age, agrees and/or consents to sever his
d. Interest on the awards computed from date of nality of available; employment with the former.
decision until they are paid, these monetary claims being 5. when the continued relationship between the employer and 2) Under the Labor Code, only unjustly dismissed employees are
equivalent to a forbearance of credit (Javellana, Jr v. Belen the employee is no longer viable due to the strained entitled to retirement bene ts and other privileges including
2010) relations between them; or reinstatement and backwages. Since petitioner’s dismissal was
4. Backwages in general are granted on grounds of equity for 6. when the dismissed employee opted not to be reinstated, or for a just cause, he is not entitled to any retirement bene t. (Sy
earnings which a worker or employee has lost due to his illegal the payment of separation bene ts would be for the best v. Metrobank)
dismissal. It is not private compensation or damages but is awarded interest of the parties involved. 3) ⭐An employee in the private sector who did not expressly
in furtherance and e ectuation of the public objective of the agree to the terms of an early retirement plan cannot be
In ne, as a general rule, separation pay in lieu of reinstatement
Labor Code. separated from the service before he reaches the age of 65
could not be awarded to an employee whose employment was
years. The employer who retires the employee retirement plan was expressly made known and accepted Bernardo's claim for retirement bene ts cannot be denied on
prematurely is guilty of illegal dismissal, and is liable to by them. the ground that he was a part-time employee as part-time
pay his back wages and to reinstate him without loss of employees are not among those speci cally exempted
8) In contrast, the case of Jaculbe v. Silliman University did
seniority and other bene ts, unless the employee has under RA No. 7641 or its Implementing Rules. (Dela Salle
not allow the application of a lower retirement age. The
meanwhile reached the mandatory retirement age, in which Araneta U v. Bernardo 2017)
petitioner in the said case was employed sometime in 1958
case he is entitled to separation pay pursuant to the terms of
while the retirement plan, which automatically retired its
the plan, with legal interest on the backwages and separation Catotocan v. Lourdes School of Quezon City 2017
members upon reaching the age of 65 or after 35 years of
pay reckoned from the nality of the decision. (Laya, Jr v.
uninterrupted service to the university, came into being in RETIREMENT PLAN. Acceptance by the employees of an early
CA 2018 En Banc)
1970. The said retirement plan was not applied to the retirement age option must be explicit, voluntary, free, and
4) However, where the employee has been informed and had petitioner because there was no agreement to which the uncompelled.
consented, as when in accepting the employment o er, he has latter assented.
WON Catotocan's receipt of her retirement benefits will not stop her
assented to all existing rules, regulations and policy of the
9) Similarly, the case of Cercado v. UNIPROM Inc., involved a from pursuing an illegal dismissal complaint against LSQC.
employer in the employment contract, and furthermore, he
non-contributory retirement plan which provided that any
did not object to the compulsory age of retirement in the NO. LSQC did not illegally dismiss Catotocan from service. While
employee with twenty (20) years of service, regardless of age,
Retirement Plan, he is deemed bound thereto. (Banco de Oro it may be true that Catotocan was initially opposed to the idea of
may be retired at his option or at the option of the company.
Unibank v. Sagaysay 2015) her retirement at an age below 60 years, it must be stressed that
The said plan was adopted while the petitioner therein was
Catotocan's subsequent actions after her "retirement" are actually
5) Jurisprudence is replete with cases discussing the employer's employed earlier. There was no voluntary acquiescence to
tantamount to her consent to the addendum to the LSQC's
prerogative to lower the compulsory retirement age subject to UNIPROM's early retirement age option on her part.
retirement policy of retiring her from service upon serving the
the consent of its employees.
10) On the other hand, in Obusan v. PNB, the petitioner, who school for at least thirty (30) continuous years. Catotocan
6) In Pantranco North Express, Inc. v. NLRC, the Court was hired by PNB in 1979, was deemed covered by its performed all the acts to ratify her retirement in accordance with
upheld the retirement of the private respondent therein retirement plan adopted in 2000. Considering that on LSQC's retirement policy.
pursuant to a CBA allowing the employer to compulsorily February 21, 2001, PNB had informed all of its o cers and
Catotocan's repeated application and availment of the re-hiring
retire employees upon completing 25 years of service to the employees about the said retirement plan, the said plan was
program of LSQC for quali ed retirees for 3 consecutive years is a
company. then registered with the BIR and was later recognized by the
supervening event that would reveal that she has already voluntarily
Philnabank Employees Association in its CBA. Despite the
7) In Progressive Development Corporation v. NLRC, the and freely signi ed her consent to the retirement policy despite her
proper dissemination of information, no one questioned the
retirement plan, which allowed the employer to retire initial opposition to it.
retirement plan. Hence, the Court deemed it valid and
employees who had rendered more than 20 years of service,
e ective as due notice of the employer's decision to retire
was declared valid and enforceable even though it was not
an employee was adequately provided.
embodied in a CBA. In that case, the Court concluded that
PAL v. Hassaram 2017
the employees, who were hired before the execution of the 11) ⭐Retirement of Part-time Faculty. Under the rule of
employer's retirement plan, were bound by it because the statutory construction of expressio unius est exclusio alterius,
The determining factor in choosing which retirement scheme to Requisites to Perfect an Appeal With the National Labor Jurisdiction of Labor Arbiter vs. Jurisdiction
1
apply is still superiority in terms of bene ts provided.
Relations Commission of Regional Director
a) Under Art 224[217] of LC
Reinstatement and/or Execution Pending Appeal
Barroga v. Quezon Colleges of the North 2018 i. Unfair labor practice cases;
National Labor Relations Commission
While retirement from service is similar to termination of ii. Illegal dismissal;
employment insofar as they are common modes of ending Court of Appeals iii. Money claims > P5K;
employment, they are mutually exclusive, with varying juridical
Supreme Court iv. Claims for damages arising from ER-EE relations; and
bases and resulting bene ts. Retirement from service is
contractual, while termination of employment is statutory. v. Legality of strikes and lockouts.
Bureau of Labor Relations
WON the CA correctly ruled that petitioner was not illegally b) Under Art 124 of LC. — Disputes involving legislated
dismissed by respondents, but rather, retired from his employment National Conciliation and Mediation Board wage increases and wage distortion in unorganized
with the latter. establishments not voluntarily settled.
Conciliation vs. Mediation
YES. The Court is inclined to hold that petitioner retired from c) Under Art 128(b) of LC. — Where the ER contests the
service, but nonetheless, pursued the ling of the instant illegal DOLE Regional Directors ndings of the labor employment and enforcement o cer and
dismissal case in order to recover the proper bene ts due to him. In raises issues supported by documentary proofs which were not
fact, it is telling that he never asked to be reinstated as he only DOLE Secretary considered in the course of inspection.
sought the payment of his retirement bene ts. In view of the d) Under Art 233[227] of LC. — Enforcement of
Jurisdiction
foregoing, respondents must duly pay petitioner not only his compromise agreements when there is non-compliance by
retirement bene ts, but also his other monetary claims. Visitorial and Enforcement Powers any of the parties thereto.
e) Under Art 276[262-A] of LC. — Issuance of writ of
Power to Suspend E ects of Termination
execution to enforce decisions of VA or panel of VAs, in case
V Jurisdiction and Remedies of their absence or incapacity.
Remedies
Labor Arbiter f) Under Sec 10 of RA 8042. — Money claims of OFWs
Voluntary Arbitrator
arising out of EER by virtue of any law or contract, including
Jurisdiction of Labor Arbiter vs. Jurisdiction of Regional Prescription of Actions claims of death and disability bene ts and for damages.
Director g) Other cases as may be provided by law.
A Labor Arbiter
Pepsi-Cola v. Gal-lang
Non-Compete Clause" only to acts done after the cessation of the not religious in nature.
The case involves a complaint for damages for malicious
employer-employee relationship or to the "post-employment"
prosecution which was led with the RTC by the employees of the The SDA cannot hide behind the mantle of protection of the
relations of the parties. As clearly stipulated, the parties wanted to
defendant company. It does not appear that there is a doctrine of separation of church and state to avoid its responsibilities
apply said clause during the pendency of Babiano's employment,
"reasonable causal connection" between the complaint and the as an employer under the Labor Code.
and CPI correctly invoked the same before the labor tribunals.
relations of the parties as employer and employees. The
Silva v. NLRC
complaint did not arise from such relations and in fact could have PAL v. ALPAP 2018
arisen independently of an employment relationship between the For a ULP case to be cognizable by the Labor Arbiter, and the
PAL's cause of action is not grounded on mere acts of quasi-delict.
parties. This is a matter which the labor arbiter has no NLRC to exercise its appellate jurisdiction, the allegations in the
The claimed damages arose from the illegal strike and acts
competence to resolve as the applicable law is not the Labor complaint should show prima facie the concurrence of two things,
committed during the same which were in turn closely related and
Code but the Revised Penal Code. namely:
intertwined with the respondents' allegations of unfair labor
San Miguel v. Etcuban practices against PAL. 1) gross violation of the CBA; AND
In the present case, while respondents insist that their action is for The question of damages becomes a labor controversy and is 2) the violation pertains to the economic provisions of the
the declaration of nullity of their "contract of termination," what is therefore an employment relationship dispute. CBA.
inescapable is the fact that it is, in reality, an action for damages Sim v. NLRC
Perpetual Help Credit Coop v. Faburada
emanating from employer-employee relations.
There is no evidence that private respondents are members of Section 62 of the Omnibus Rules and Regulations provides that the
Respondents' claim for damages is intertwined with their having Labor Arbiters of the NLRC shall have the original and
petitioner PHCCI and even if they are, the dispute is about
been separated from their employment without just cause and, exclusive jurisdiction to hear and decide all claims arising out
payment of wages, overtime pay, rest day and termination of
consequently, has a reasonable causal connection with their of EER or by virtue of any law or contract involving Filipino
employment. Under Art. 217 of the Labor Code, these disputes
employer-employee relations with SMC. Accordingly, it cannot be workers for overseas deployment including claims for actual,
are within the original and exclusive jurisdiction of the Labor
denied that respondents' claim falls under the jurisdiction of the moral, exemplary and other forms of damages, subject to the rules
Arbiter.
labor arbiter as provided in paragraph 4 of Article 217. and procedures of the NLRC.
Austria v. NLRC
Indophil Textile Mills v. Adviento 2014 International Management Services v. Logarta 2012
The grounds invoked for petitioner's dismissal, namely:
It is obvious from the complaint that the plainti s have not alleged In the case at bar, despite the fact that respondent was employed by
misappropriation of denominational funds, willful breach of
any unfair labor practice. Theirs is a simple action for damages for Petrocon as an OFW in Saudi Arabia, still both he and his employer
trust, serious misconduct, gross and habitual neglect of duties
tortious acts allegedly committed by the defendants. Such being are subject to the provisions of the Labor Code when applicable.
and commission of an o ense against the person of his
the case, the governing statute is the Civil Code and not the Labor The basic policy in this jurisdiction is that all Filipino workers,
employer's duly authorized representative, are all based on
Code. whether employed locally or overseas, enjoy the protective mantle of
Article 282 of the Labor Code which enumerates the just
Century Properties v. Babiano 2016 causes for termination of employment. By this alone, it is Philippine labor and social legislations.
palpable that the reason for petitioner's dismissal from the service is Action for damages by employer against employee who resigned short
The CA erred in limiting the "Confidentiality of Documents and
of 30 day prior notice. Eviota v. CA cognizable by the RTC. Being an ordinary civil action, the same is pursuant to or under a By-Law enabling provision is not enough to
beyond the jurisdiction of labor tribunals. make a position a corporate office.
Petitioner does not ask for any relief under the Labor Code of the
Philippines. It seeks to recover damages agreed upon in the contract The said issue cannot be resolved solely by applying the Whoever are the corporate o cers enumerated in the by-laws are the
as redress for private respondent’s breach of his contractual Labor Code. Rather, it requires the application of the exclusive O cers of the corporation and the Board has no power to
obligation to its "damage and prejudice". Such cause of action is Constitution, labor statutes, law on contracts and the CEDAW, and create other O ces without amending rst the corporate By-laws.
within the realm of Civil Law, and jurisdiction over the controversy the power to apply and interpret the constitution and CEDAW is Real v. Sangu Phil 2011
belongs to the regular courts. More so when we consider that the within the jurisdiction of trial courts, a court of general
stipulation refers to the post-employment relations of the parties. The better policy to be followed in determining jurisdiction over a
jurisdiction.
case should be to consider concurrent factors such as the status or
Replevin case by ER against EE in Smart v. Astorga Intracorporate vs Labor Dispute. Okol v. Slimmers World relationship of the parties or the nature of the question that is
SMART’s demand for payment of the market value of the car or, in Section 25 of the Corporation Code enumerates corporate o cers subject of their controversy. In the absence of any one of these
the alternative, the surrender of the car, is not a labor, but a civil as the president, secretary, treasurer and such other o cers as may be factors, the SEC (RTC) will not have jurisdiction.
dispute. It involves the relationship of debtor and creditor rather provided for in the by-laws. In Tabang v. NLRC, we held that an When petitioner sought for reinstatement, he wanted to
than employee-employer relations. As such, the dispute falls within "o ce" is created by the charter of the corporation and the o cer is recover his position as Manager, a position which has been
the jurisdiction of the regular courts. elected by the directors or stockholders. On the other hand, an declared to be not a corporate position. The case is thus a
Action by employer to recover unpaid loans of employees who were "employee" usually occupies no o ce and generally is employed not termination dispute and, consequently, falls under the jurisdiction
dismissed. HSBC Ltd. Staff Retirement Plan v. Sps Broqueza by action of the directors or stockholders but by the managing of the Labor Arbiter pursuant to Section 217 of the Labor Code.
2010 o cer of the corporation who also determines the compensation to
Cacho v. Balagtas 2018
be paid to such employee.
The enforcement of a loan agreement involves "debtor-creditor
Under the nature of the controversy test, the disagreement must
relations founded on contract and does not in any way concern Here, petitioner was a director and o cer of Slimmers World. The
not only be rooted in the existence of an intra-corporate
employee relations. As such it should be enforced through a separate charges of illegal suspension, illegal dismissal, unpaid commissions,
relationship, but must as well pertain to the enforcement of the
civil action in the regular courts and not before the Labor reinstatement and back wages imputed by petitioner against
parties' correlative rights and obligations under the Corporation
Arbiter." respondents fall squarely within the ambit of intra-corporate
Code and the internal and intra-corporate regulatory rules of the
disputes.
Action for declaratory relief filed by female flight attendants to corporation.
question the constitutionality of their compulsory age of retirement at Corporate Officers. Matling Industrial and Commercial Corp v.
It is clear that the termination complained of is intimately and
55 compared to male workers. Halaguena v. PAL Coros 2010
inevitably linked to Balagtas's role as North Star's EVP. Balagtas's
Here, the petitioners' primary relief is the annulment of Section 144, Conformably with Section 25 of the Corporation Code, a position dismissal is an intra-corporate controversy, not a mere labor
Part A of the PAL-FASAP CBA, which allegedly discriminates must be expressly mentioned in the By-Laws in order to be dispute.
against them for being female ight attendants. The subject of considered as a corporate o ce. Thus, the creation of an office
Ellao v. BATELEC 2018
litigation is incapable of pecuniary estimation, exclusively
7) No appeal from interlocutory order shall be entertained. (Sec In case of surety bond, the same shall be issued by a
Here, the position of General Manager is expressly provided for
10 Rule VI, supra). reputable bonding company duly accredited by the
under Article VI, Section 10 of BATELEC I's By-laws. It is therefore
Commission, and shall be accompanied by original or
beyond cavil that Ellao's position as General Manager is a 8) REQUISITES (Sec 4):
certi ed true copies of the following:
cooperative o ce. Accordingly, his complaint for illegal dismissal
a) Filed within the reglementary period;
partakes of the nature of an intra-cooperative controversy. a) a joint declaration under oath by the employer, his/her
b) Veri ed by the appellant in accordance to Sec 4 Rule 7 of counsel, and the bonding company, attesting that the
RoC; bond posted is genuine, and shall be e ective until nal
Requisites to Perfect an Appeal With the c) In the form of a memorandum of appeal which shall disposition of the case;
2
National Labor Relations Commission i) State the grounds relied upon and b) an indemnity agreement between the
employer-appellant and bonding company;
1) Decisions, awards or order of LA shall be F&E unless ii) The arguments in support thereof,
appealed to NLRC within 10 cal days from receipt thereof. c) proof of security deposit or collateral securing the
iii) The relief prayed for, and
bond: provided, that a check shall not be considered as an
2) In case of decisions or resolutions of RD pursuant to Art
iv) With a statement of the date the appellant received acceptable security; and,
129, within 5 cal days.
the appealed decision, award or order;
d) notarized board resolution or secretary’s certi cate
3) If last day falls on a weekend or holiday, move to the next
d) In 3 legibly typewritten or printed copies; and from the bonding company showing its authorized
working day.
accompanied by: signatories and their specimen signatures.
4) No motion or request for extension shall be allowed.
i) Proof of payment of the required appeal fee and NO motion to reduce bond shall be entertained except on
5) Grounds for appeal: legal research fee; meritorious grounds, and only upon the posting of a bond in a
a) Prima facie evidence of abuse of discretion on the part ii) Posting of a cash or surety bond as provided in Sec reasonable amount in relation to the monetary award.
of LA or RD; 6; and The mere ling of a motion to reduce bond without
b) Decision, award or order secured through fraud or iii) Proof of service upon the other parties complying with the requisites in the preceding paragraphs
coercion, including graft and corruption; shall not stop the running of the period to perfect an appeal.
9) Appeal from Decision involving monetary award may be
c) If made purely on questions of law; and/or perfected only upon the posting of a bond (Sec 6) which 10) Prohibited appeals:
shall either be in the form of a) Appeal from any interlocutory order of the LA
d) If serious errors in the ndings of facts are raised
which may cause grave and irreparable damage or injury to a) Cash deposit; or denying a motion:
appellant. b) Surety bond i) To dismiss;
6) To be led with the Regional Arbitration Branch of the Equivalent in amount to the monetary award exclusive of ii) To inhibit;
Regional O ce where the case was heard and decided. damages and attorney’s fees. iii) For issuance of writ or execution, or
iv) To quash writ of execution; a) a statement that the reinstatement aspect is immediately 2) Exclusive Appellate Jurisdiction (EAJ)
executory; and
b) Appeal from the issuance of a certi cate of nality of a) All cases decided by the LA;
decision by LA; b) a directive for the employer to submit a report of
b) Cases decided by DOLE RD or hearing o cers involving
compliance within ten (10) calendar days from receipt of
c) Appeal from orders issued by LA in the course of small money claims under Art 129
the said decision.
execution proceedings.
3) The NLRC is a quasi-judicial body tasked to promote and
Malcaba et al. v. Prohealth Pharma Phils. 2018 maintain industrial peace by resolving labor and management
Reinstatement and/or Execution Pending disputes involving both local and overseas workers through
3
Appeal Before any labor tribunal takes cognizance of termination disputes, compulsory arbitration and alternative modes of dispute
it must rst have jurisdiction over the action. The Labor Arbiter and resolution.
1) Sec 12 Rule XI, supra. — In case the decision includes an
the NLRC only exercise jurisdiction over termination disputes
order of reinstatement, and the employer disobeys the 4) Extraordinary Remedies. —
between an employer and an employee. They do not exercise
directive under the second paragraph of Section 19 of Rule V
jurisdiction over termination disputes between a corporation and a a) Petition to annul or modify order or resolution, with
or refuses to reinstate the dismissed employee, the Labor
corporate o cer. the following grounds:
Arbiter shall immediately issue writ of execution, even
pending appeal, directing the employer i) Prima facie evidence of abuse of discretion;
a) to immediately reinstate the dismissed employee either ii) Serious errors in the ndings of facts;
National Labor Relations Commission
physically or in the payroll, and B iii) A party, by fraud, accident, mistake or excusable
2011 NLRC Rules of Procedure negligence has been prevented from taking an
b) to pay the accrued salaries as a consequence of such
non-reinstatement in the amount speci ed in the appeal;
1) Original and Exclusive Jurisdiction (OEJ)
decision. iv) Purely on Questions of law; or
a) Petition for Injunction in ordinary labor disputes
2) The Labor Arbiter shall motu proprio issue a corresponding v) Order or resolution will cause injustice if not
writ to satisfy the reinstatement wages as they accrue until b) Petition for Injunction on strikes or lockouts (Art
recti ed.
actual reinstatement or reversal of the order of reinstatement. 279)
➔ Not later than 10 cal days from receipt of order of LA,
(En Banc Resolution No. 11-12, Series of 2012) c) Certi ed cases which refer to labor disputes causing or
aggrieved party may le the petition before the NLRC,
3) The Sheri shall serve the writ of execution upon the likely to cause a strike or lockout in an industry
furnishing a copy to the adverse party.
employer or any other person required by law to obey the indispensable to the national interest, certi ed to it by
the SOLE for compulsory arbitration pursuant to Art b) Injunctive relief — writ of preliminary injunction;
same. If he/she disobeys the writ, such employer or person
may be cited for contempt in accordance with Rule IX. 278(g). c) Temporary restraining order.
4) Sec 19(2) Rule V. In case the decision of the Labor Arbiter d) Petition to annul or modify the order or resolution of
the LA. CICM Mission Seminaries School of Theology v. Perez 2017
includes an order of reinstatement, it shall likewise contain:
In the event the aspect of reinstatement is disputed, backwages, and justi ed circumstances, has relaxed the requirement of posting a event occurring after the judgment becomes nal and executory,
including separation pay, shall be computed from the time of supersedeas bond. which renders the decision unenforceable.
dismissal until the nality of the decision ordering the
The reduction of the appeal bond is allowed, subject to the
separation pay.
following conditions:
The rule is, if the LA's decision, which granted separation pay in lieu Doble, Jr. v. ABB Inc. 2017
1. the motion to reduce the bond shall be based on
of reinstatement, is appealed by any party, the employer-employee
meritorious grounds; and The provision states that either a legible duplicate original or
relationship subsists and until such time when decision becomes
certi ed true copy thereof shall be submitted. If what is submitted is
nal and executory, the employee is entitled to all the monetary 2. a reasonable amount in relation to the monetary award is
a copy, then it is required that the same is certi ed by the proper
awards awarded by the LA. posted by the appellant.
o cer of the court, tribunal, agency or o ce involved or his
It has been settled that no essential change is made by a Here, petitioners' motion to reduce bond was not predicated on duly-authorized representative. The purpose for this requirement is
recomputation as this step is a necessary consequence that meritorious and reasonable grounds and the amount tendered is not not di cult to see. It is to assure that such copy is a faithful
ows from the nature of the illegality of dismissal declared in reasonable in relation to the award. reproduction of the judgment, order, resolution or ruling subject of
that decision. By the nature of an illegal dismissal case, the In the case of McBurnie v. Ganzon, the Court has set a the petition.
reliefs continue to add on until full satisfaction thereof. provisional percentage of 10% of the monetary award
(exclusive of damages and attorney's fees) as reasonable amount of
bond that an appellant should post pending resolution by the Genpact Services Inc. v. Santos-Falceso 2017
Turks Shawarma Company v. 2017 re Reduction of Appeal NLRC of a motion for a bond's reduction. Only after the posting
Pajaron, et al. Bond The 2011 NLRC Rules of Procedure, as amended, provides, among
of this required percentage shall an appellant's period to perfect an
others, that the remedy of ling a motion for reconsideration may
The liberal interpretation of the rules applies only to justi able appeal be suspended.
be availed of once by EACH party.
causes and meritorious circumstances.
The posting of cash or surety bond is mandatory and
Dutch Movers Inc. v. Lequin, et al. 2017
jurisdictional; failure to comply with this requirement renders the Malcaba et al. v. Prohealth Pharma Phils. 2018
decision of the Labor Arbiter nal and executory. WON petitioners are personally liable to pay the judgment awards in
In appeals of illegal dismissal cases, employers are strictly mandated
WON CA erred in affirming the NLRC's dismissal of petitioners' favor of respondents.
to le an appeal bond to perfect their appeals. Substantial
appeal. YES. Valderrama v. NLRC, and David v. Court of Appeals are compliance, however, may merit liberality in its application.
NO. It is clear from both the Labor Code and the NLRC Rules of applicable here. In said cases, the Court held that the principle of
WON CA should have dismissed outright the Petition for Certiorari
Procedure that there is legislative and administrative intent to immutability of judgment, or the rule that once a judgment has
since respondents failed to post a genuine appeal bond before the
strictly apply the appeal bond requirement, and the Court should become nal and executory, the same can no longer be altered or
NLRC.
give utmost regard to this intention. However, the Court, in special modi ed and the court's duty is only to order its execution, is not
absolute. One of its exceptions is when there is a supervening
When there is a supervening event that renders reinstatement

NO. In labor cases, an appeal by an employer is perfected only YES. The more relevant rule in this case is Rule XI, Section 3 of
impossible, backwages is computed from the time of dismissal until
by ling a bond equivalent to the monetary award. the NLRC Rules, which provides:
the nality of the decision ordering separation pay.
Procedural rules require that the appeal bond led be "genuine." Section 3. Effect of Perfection of Appeal on Execution.
WON Court of Appeals committed reversible error in reckoning the
An appeal bond determined by the NLRC to be "irregular or not — The perfection of an appeal shall stay the execution of the
period of back wages and separation pay until finality of the decision
genuine" shall cause the immediate dismissal of the appeal. decision of the Labor Arbiter except execution for
of this case and not until the time, the supervening event and legal
reinstatement pending appeal.
In Quiambao v. NLRC, this Court held that the mandatory and impossibility to reinstate arose in this case.
jurisdictional requirement of the ling of an appeal bond could be Execution may be authorized even pending appeal. This Court
NO. The Court agrees with the CA that Condis is liable for
relaxed if there was substantial compliance. Quiambao proceeded nds that the principles allowing execution pending appeal invoked
backwages and separation pay until the nality of the decision
to outline situations that could be considered as substantial in Aris are equally applicable here as petitioners are poor employees,
awarding separation pay as ruled in Bani.
compliance, such as deprived of their only source of livelihood for years and reduced to
Here, the award of separation pay in lieu of reinstatement was made begging on the streets. In view of their dire straits and since the
1. late payment,
subsequent to the nality of the Decision in the Illegal Dismissal NLRC has already ruled twice on the case in a way that supports the
2. failure of the LA to state the exact amount of money Case. Condis cannot therefore evade its liability to Rogel for release of the supersedeas bond, it is proper to continue with
judgment due, and backwages and separation pay computed until the nality of this execution proceedings in this case despite a pending motion
3. reliance on a notice of judgment that failed to state that a Decision which a rms the order granting separation pay. for reconsideration.
bond must rst be led in order to appeal. For Olympia Housing v. Lapastora to apply, the employer must
Rosewood Processing v. NLRC likewise enumerated other prove the closure of its business in full and complete compliance
instances where there would be a liberal application of the with all statutory requirements prior to the date of the nality of the C Court of Appeals
procedural rules. award of backwages and separation pay.
Despite their failure to collect on the appeal bond, petitioners do

Bugaoisan v. Owi Group et al. 2018
not deny that they were eventually able to garnish the amount
Pacios et al., v. Tahanang Walang Hagdanan 2018
from respondents' bank deposits. Respondents are considered to The CA is only tasked to determine whether or not the NLRC
have substantially complied with the requirements on the posting of In authorizing execution pending appeal of the reinstatement committed grave abuse of discretion in its appreciation of factual
an appeal bond. aspect of a decision of the Labor Arbiter reinstating a dismissed or issues presented before it by any parties. The CA is not given
separated employee, the law itself has laid down a compassionate unbridled discretion to modify factual ndings of the NLRC and
policy. LA, especially when such matters have not been assigned as errors
Consolidated Distillers of Far East v. Zaragoza 2018 nor raised in the pleadings.
WON the Court of Appeals erred in affirming the suspension of the
execution proceedings.
WON the CA was correct when it went beyond the issues of the case
and the assigned errors raised by respondents when it filed the
certiorari petition under Rule 65.
NO. In a Rule 65, petition for certiorari led with the CA, the latter
must limit itself to the determination of whether or not the inferior
court, tribunal, board or o cer exercising judicial or quasi-judicial
functions acted without, in excess of or with grave abuse of
discretion amounting to lack or excess of jurisdiction.
Here, the appellate court modi ed the aforesaid decision by
reducing the award of unpaid salaries due the petitioner on the
ground that the basis should be the rst contract of employment
which had a duration of only one (1) year.
The supervisory jurisdiction of the CA under Rule 65 was con ned
only to the determination of whether or not the NLRC committed
grave abuse of discretion in deciding the issues brought before it on
appeal. To recapitulate, the CA is allowed to consider the factual
issues only insofar as they serve as the basis of the jurisdictional error
imputed to the lower court or in this case, the NLRC.
D Supreme Court
E Bureau of Labor Relations

1) ARTICLE 232. The Bureau of Labor Relations and the Labor
Relations Divisions in the regional o ces of the Department
of Labor shall have original and exclusive authority to act, interpretation or implementation of CBA which are personnel policies which should be processed through the
at their own initiative or upon request of either or both subject to grievance procedure and/or voluntary grievance machinery.
parties, on all inter-union and intra-union con icts, arbitration.
c) Applications for exemption from Wage Orders with the
and all disputes, grievances or problems arising from National Wages and Productivity Commission (NWPC)
or a ecting labor-management relations in all National Conciliation and Mediation
F d) Violations of POEA Rules and Regulations involving:
workplaces, whether agricultural or non-agricultural, Board
1) Serious o enses and o enses penalized with cancellation
except those arising from the implementation or interpretation The agency attached to DOLE principally in-charge of the of license;
of collective bargaining agreements which shall be the subject settlement of labor disputes through conciliation, mediation, and
of grievance procedure and/or voluntary arbitration. promotion of voluntary approaches to labor dispute prevention 2) Disciplinary actions against overseas workers/seafarers
and settlement. which are considered serious o enses or which carry the
2) The Bureau shall have fteen (15) working days to act on
penalty of delisting from the POEA registry at rst
labor cases before it, subject to extension by agreement of the
Salient Points of RA 10396 o ense;
parties.
1) LA or the appropriate DOLE Agency that has jurisdiction 3) Complaints initiated by the POEA;
3) ARTICLE 245. Cancellation of Registration. — The over the dispute shall only entertain only endorsed or
certi cate of registration of any legitimate labor organization, 4) Complaints against an agency whose license is revoked,
referred cases by the duly authorized o cer.
whether national or local, may be cancelled by the Bureau. cancelled, expired or otherwise delisted; and
2) Any or both parties to the dispute may pre-terminate the C-M
4) The BLR and the labor relations divisions in the regional 5) Complaints categorized under the POEA Rules and
and request referral to the appropriate DOLE Agency, or if
o ces have original and exclusive authority to act motu proprio Regulations as not subject to SEnA.
both agree, refer the unresolved issue for VA.
or upon request on: Co-conciliation-mediation. — Coordinated C-M by two or
a) Inter-union disputes or representation disputes —
DOLE DO No 151-16 or the SEnA IRR more SEADs shall be observed if the RFA is led with the SEAD
refer to cases involving petition for certification election GR: All issues arising from labor and employment shall be subject most convenient to the requesting party but outside the region
led by a duly registered labor org which seeks to be the to the 30-day mandatory conciliation-mediation. where the employer principally operates, the SEADO shall
sole and exclusive bargaining agent in an establishment. entertain the same and co-conciliate-mediate with the SEAD of the
EXC: region where the employer principally operates.
b) Intra-union disputes or internal union disputes —
a) Notices of strike/lockout or preventive mediation cases Consolidation of RFA. — Where two or more RFAs involving
disputes or grievances arising from any violation of or
with the National Conciliation and Mediation Board the same responding party and issues are led before di erent
disagreement over any provision of the constitution and
(NCMB); SEADs within the same region/o ce/unit, the RFAs shall be
by-laws of the union, including violations on conditions
of union membership as per LC. b) Issues arising from the interpretation or implementation consolidated before the rst SEAD taking cognizance of the RFAs,
of the collective bargaining agreement and those arising when practicable.
c) All disputes, grievances arising from or a ecting
from interpretation or enforcement of company
labor-management relations; except those arising from
Schedule of Conferences 2. Narrow down the disagreements and broaden areas for e. Cognizance over referred RFAs — LA or appropriate
settlement; DOLE agency.
a. Initial — within 5 working days from date of assignment of
RFA; 3. Encourage parties to generate options and enter into In case of settlement agreements
stipulations;
b. Succeeding — as many within the 30 day mandatory C-M a. Reduced in writing using the SEnA Settlement Agreement
period; 4. O er proposals and options toward mutually acceptable Form, signed by both parties and attested by the SEADO.
solutions and voluntary settlement;
c. Resetting — GR: not allowed; b. Agreement on monetary claims arising from violations of
5. Prepare the settlement agreement in consultation with the labor standards shall be fair and reasonable, and not contrary
EXC: reasonable ground, concurred by other party. In such
parties; and to law, public morals and public policy.
case, the conference shall be held not later than 3 calendar
days from original sched; 6. Monitor the voluntary and faithful compliance of the c. Types
settlement agreement.
d. Extension — GR: not extendible; i. Full;
c. Pre-termination
EXC: mutual agreement and possibility of settlement. 15 ii. Partial - installment, or reinstatement is on a future
calendar days. 1. Written withdrawal by the requesting party; agreed date.
Conduct of C-M 2. Non-appearance of either parties in two (2) consecutive d. The SEADO shall attach a duly accomplished waiver and
scheduled conferences despite due notices; or quitclaim document as proof of full compliance.
a. Appearance — GR: Personal;
3. Request for referral to the appropriate DOLE o ce or e. In case of non-compliance — The requesting party may le
EXC: Lawyers, agents may appear, with SPAs in the agency by the requesting party or both parties prior to the an action for enforcement with the NLRC/POEA/DOLE
following circumstances: expiration of the 30-day period. Regional O ce.
i. Party is outside of country; d. Issuance of Referral — within 1 day after: f. For enforcement through DOLE RO the requesting party
ii. Party is a minor or incapacitated; or 1. Expiration; may request for the issuance of a writ of execution or the
iii. Party died, with which the heir may appear conduct of compliance visit.
2. Failure to timely reach agreement;
presenting: Preventive Mediation
3. Non-appearance of responding party in 2 consecutive
1. Death Certi cate; scheduled conferences despite due notice; Preventive Mediation Cases refer to labor disputes which are
2. NSO Marriage or Birth Certi cate to prove the subject of a formal or informal request for conciliation and
4. Non-settlement of one or more issues;
relationship. mediation assistance sought by either or both parties or upon the
5. Non-compliance with agreement. initiative of the Board.
b. C-M Process — The SEADO shall:
No referral where the requesting party withdrew RFA.
1. Clarify the issues, validate positions and determine the
underlying issues;
1) Who may file a request for Preventive Mediation, c) The written recommendation must be formally 1. Jurisdiction
Notice of Strike or Lockout. — the following may le a endorsed to the Branch Director for approval;
request for preventive mediation, notice of strike or lockout: O ce Basis Jurisdiction
d) The conversion shall be done before the cooling-o
a) The president or any authorized representative of a period expires; DOLE Art Recovery of wages, simple money claims and
certi ed or duly recognized bargaining representative RD 129 other bene ts
e) Parties concerned must be formally noti ed of the
in cases of bargaining deadlocks and unfair labor
action taken by the Regional Branch through a letter VA Art All unresolved grievances arising from the
practices.
signed by the Conciliator-Mediator handling the case 261 interpretation and implementation of the CBA
b) In the absence of a certi ed or duly recognized and approved by the Branch Director; except those gross in character;
bargaining representative, the president or any Cases arising from interpretation or
f) The notice shall be dropped from the dockets and to
authorized representative of a legitimate labor enforcement of company personnel policies
be renumbered as a preventive mediation case; and
organization in the establishment on grounds of
unfair labor practice. g) A conference shall be immediately set by the Art All other labor disputes including ULP and
concerned Conciliator-Mediator. 262 bargaining deadlocks, upon agreement of the
c) The employer or any authorized representative in
parties
cases of bargaining deadlocks and unfair labor
1 Conciliation vs. Mediation
practices. SOLE Art Within 24 hours from knowledge of an
2) Where to file. — A request for preventive mediation, notice a) Conciliation — is a mild form of intervention by a neutral 263(g) occurrence of a labor dispute causing or likely to
of strike or lockout shall be led through personal service or third party, the Conciliator-Mediator, who relying on his cause a strike or lockout in an industry
by registered mail/private couriers with the Regional Branch persuasive expertise, takes an active role in assisting parties by indispensable to the national interest, SOLE
having jurisdiction over the workplace of the union members. trying to keep disputants talking, facilitating other procedural may assume jurisdiction, decide on the dispute
niceties, carrying messages back and forth between the parties, or certify the same to NLRC for compulsory
3) Conversion of Notice Strike/Lockout to Preventive and generally being a good fellow who tries to keep things arbitration.
Mediation — in converting a notice of strike or lockout to a calm and forward-looking in a tense situation.
preventive mediation case the following guidelines shall be 1) ARTICLE 129. The RD or any of the duly authorized hearing
observed: b) Mediation — is a mild intervention by a neutral third party,
o cers of DOLE have jurisdiction over claims for recovery
the Conciliator-Mediator, who advises the parties or o ers
a) Clearly determine whether the issue/s raised is/are of wages, simple money claims and other benefits,
solutions or alternatives to the problems with the end in view
valid ground/s for NS/L; provided that:
of assisting them towards voluntarily reaching their own
b) If conversion is warranted, a written recommendation mutually acceptable settlement of the dispute. a) Claim arises from ER-EE Relationship;
from the Conciliator-Mediator handling the case is b) Claimant does not seek reinstatement;
required, after due consultation with the Branch G DOLE Regional Directors
Director; c) Aggregate money claim of each <=P5K.
2) ARTICLE 268. Representation Issue in Organized Enforcement of labor legislation Monetary claims which only 4. RD issues summons served upon employer as respondent,
Establishments. — In organized establishments, when a in general involve labor standards law together with the copy of complaint;
veri ed petition questioning the majority status of the
O shoots of inspections done Sworn complaints by interested 5. ER is given 5 calendar days to answer;
incumbent bargaining agent is led, the Med-Arbiter
by labor o cers or safety party 6. After receiving the answer, RD calls for a summary hearing;
shall automatically order an election by secret ballot.
engineers
3) ARTICLE 269. Petitions in Unorganized Establishments. 7. RD decides within 30 calendar days from date of ling of
— In any establishment where there is no certi ed bargaining Involves employees still in service Present or past employees at the the complaint;
agent, a CERTIFICATION ELECTION shall time of complaint provided 8. ER may appeal with the NLRC within 5 calendar days from
automatically be conducted by the Med-Arbiter. there is no demand for receipt of decision. Appeal must be with cash or security
reinstatement bond.
4) Appeal to NLRC within 5 cal days from receipt of copy of
decision. No maximum monetary Claim per claimant not to 9. ER may the le MR from an adverse decision of the NLRC;
5) NLRC to resolve within 10 cal days from submission of last amount exceed P5K 10. Petition for Certiorari under Rule 65 to the CA not later than
pleading. 60 days from notice;
Exercised by SOLE or any of his RD or any duly authorized
6) Grounds for appeal (Art 229) duly authorized representatives, hearing o cer of DOLE 11. Appeal by certiorari under Rule 45 to the SC within 15 days
a) Prima facie evidence of abuse of discretion; i.e. the RD from notice on pure questions of law.
b) Decision, order or award secured through fraud or Appealable to SOLE, then to Appealable to NLRC Enforcement Power on Health and Safety of Workers
coercion, including graft and corruption; CA 1. An inspection is made via Art 128;
c) Made purely on questions of law; 2. Non-compliance was discovered that poses grave and
Recovery of Wages and Simple Money Claims
d) Serious errors in the ndings of facts. imminent danger to the health and safety of workers in
1. Requisites: the workplace.
2. Recovery and adjudicatory power a. Claimant is an employee or domestic worker; 3. SOLE may order stoppage of work or suspension of
Visitorial and Enforcement b. Claim does not exceed P5K; operations of unit or department concerned;
Simple Money Claim
Power 4. Within 24 hours, a hearing shall be conducted to determine
c. No claim of reinstatement;
Art 128 Art 129 whether said stoppage order shall be lifted or not.
d. Claim arose from ER-EE relationship.
a. If violation is attributable to ER, he shall pay the
Police power - Inspection and Quasi-judicial - Adjudication 2. Employee les a pro-forma complaint with the RD;
wages of EEs during the period of stoppage or
issuance of orders to compel through summary proceedings 3. RD dockets the complaint as simple money claim; suspension of operations.
compliance
b. Suspension should not exceed 6 months.
5. see RA 11058, Strengthening Compliance with Under any such circumstance, SOLE or RD must, within 5 2) Upon receipt by SOLE or RD, there will be an ORDER OF
Occupational Safety & Health Standards; working days from receipt of complaint, order immediate INSPECTION;
closure.
6. SEC. 23. Payment of Workers During Work Stoppage Due to 3) The inspection will be implemented by a Labor and
Imminent Danger. — If stoppage of work due to imminent A close-now-hear-later process is to be adhered to, which shall be Employment O cer who will then visit the employer’s
danger occurs as a result of the employer's violation or summary in nature. premises and conduct inspection.
fault, the employer shall pay the workers concerned their
4) Inspector will make an INSPECTION REPORT should
wages during the period of such stoppage of work or H DOLE Secretary there be violation or non-compliance.
suspension of operations.
a) Embodied in a NOTICE OF INSPECTION
7. In National Mines and Allied Workers Union v. Marcopper 1 Jurisdiction RESULTS;
Mining, if the suspension of operations was ordered by a
government agency other than the DOLE, the general "no b) All violations will be enumerated therein.
ARTICLE 278. Strikes, Picketing, and Lockouts. xxxx
work, no pay" rule should prevail with respect to 5) Employer is then informed of the results of the inspection;
employees' wages during the suspension period, subject to (g) When, in his opinion, there exists a labor dispute causing or
likely to cause a strike or lockout in an industry indispensable 6) Employer is given the opportunity to comply within 7 days;
existing CBA terms on leave credits and similar bene ts of
to the national interest, the SOLE may assume jurisdiction over OR
employees.
the dispute and decide it or certify the same to the Commission for 7) Employer may contest the NIR and raise issues which cannot
8. DOLE D.O. No. 198, S. 2018, distinguished from Bona fide
compulsory arbitration. xxxx be resolved without considering DOCUMENTARY
suspension of operations (Art 301).
(h) Before or at any stage of the compulsory arbitration process, the PROOFS that are not veri able in the normal course of the
Closure of Business under RA 9231 parties may opt to submit their dispute to voluntary arbitration. inspection;
DOLE DC 03-09 (i) The SOLE, the Commission or the voluntary arbitrator or panel 8) Should the employer fail to contest, as well as fails to comply
of voluntary arbitrators shall decide or resolve the dispute within to the NIR, RD will then issue an ORDER OF
SOLE or RD may order closure of business found to have violated
thirty (30) calendar days from the date of the assumption of COMPLIANCE;
any provisions of RA 9231 more than 3 times.
jurisdiction or the certi cation or submission of the dispute, 9) Employer has the following remedies from said order:
GR: Prior notice and hearing is required before issuance of
as the case may be. The decision of the President, the SOLE, the
such Closure Order, unless: a) Appeal to SOLE within 10 calendar days, with bond;
Commission or the voluntary arbitrator shall be nal and executory
EXC: ten (10) calendar days after receipt thereof by the parties. b) Motion for reconsideration with the RD within 7
calendar days;
a. Violation resulted to death, insanity, or serious physical
injury to a child employed; c) If beyond 7 but not beyond 10 days, considered an appeal
2 Visitorial and Enforcement Powers from RD to SOLE.
b. Prostitution or obscene or lewd shows; or
c. There is imminent danger in the life and limb of a child. 1) There is a report on non-compliance of employer;
10) Failure to le MR within reglementary period will make order 3 Power to Suspend E ects of Termination shall automatically be referred to voluntary arbitration prescribed
FINAL AND EXECUTORY. in the CBA.
11) Should employer be able to validly contest NIR, the ARTICLE 292. Miscellaneous Provisions. — xxxx For this purpose, parties to a CBA shall name and designate in
proceeding becomes adversarial: (b) xxxx The Secretary of the Department of Labor and advance a Voluntary Arbitrator or panel of Voluntary Arbitrators, or
Employment may suspend the effects of the termination include in the agreement a procedure for the selection of such
a) RD will endorse the case to RAB of NLRC;
pending resolution of the dispute in the event of a prima facie Voluntary Arbitrator or panel of Voluntary Arbitrators, preferably
b) Endorsed to LA; from the listing of quali ed Voluntary Arbitrators duly accredited by
nding by the appropriate o cial of the DOLE before whom such
c) May be appealed to NLRC within 10 days from receipt of dispute is pending that the termination the Board.
Decision; MR allowed within 10 days; In case the parties fail to select a Voluntary Arbitrator or panel of
1. may cause a serious labor dispute or
d) Petition for Certiorari under Rule 65 to the CA not later Voluntary Arbitrators, the Board shall designate the Voluntary
than 60 days from notice; 2. is in implementation of a mass lay-o . Arbitrator or panel of Voluntary Arbitrators, as may be necessary,
pursuant to the selection procedure agreed upon in the CBA, which
e) Appeal by certiorari under Rule 45 to the SC within 15
shall act with the same force and e ect as if the Arbitrator or panel of
days from notice on pure questions of law.
Arbitrators have been selected by the parties.
4 Remedies
12) see DOLE D.O. No. 183, S. 2017
13) In People’s Broadcasting Service v. SOLE 2012 En Banc, The ndings of the DOLE, may still be questioned through a 1) Grievance refers to any question by either the employer or the
the issue was WON the SOLE, in exercising his visitorial petition for certiorari under Rule 65 of the Rules of Court. union regarding the interpretation or implementation of any
power, can determine the existence of ER-EE relationship. YES. NOT to the NLRC, but to the CA. provision of the collective bargaining agreement or
interpretation or enforcement of company personnel policies.
14) In Balladares v. Peak Ventures, the worker need not litigate
to get what legally belongs to him, for the whole enforcement I Voluntary Arbitrator 2) Grievance handling
machinery of the DOLE exists to insure its expeditious a) An employee shall present this grievance or complaint
delivery to him free of charge. ARTICLE 273. Grievance Machinery and Voluntary Arbitration. — orally or in writing to the shop steward.
The parties to a CBA shall include therein provisions that will
15) Exception clause of Art 128. — In Meteoro v. Creative b) If the grievance is valid, the shop steward shall
ensure the mutual observance of its terms and conditions.
Creatures, respondent contested the ndings of the labor immediately bring the complaint to the employee's
inspector during and after the inspection and raised issues the They shall establish a machinery for the adjustment and resolution immediate supervisor.
resolution of which necessitated the examination of of grievances arising from the interpretation or implementation of
c) If no settlement is reached, the grievance shall be referred
evidentiary matters not veri able in the normal course of their CBA and those arising from the interpretation or enforcement
to the grievance committee which shall have ten (10)
inspection. Hence, the Regional Director was divested of of company personnel policies.
days to decide the case. (Sec 2 Rule XIX Book 5)
jurisdiction and should have endorsed the case to the All grievances submitted to the grievance machinery which are not
appropriate Arbitration Branch of the NLRC. settled within seven (7) calendar days from the date of its submission
3) Grievance; Concept and Scope. — Refers to any question Compulsory Voluntary 1. Jurisdiction
by either the employer or the union regarding
Definition The law declares Contractual proceeding ARTICLE 274. Jurisdiction of Voluntary Arbitrators and Panel of
a) the interpretation or implementation of any provision of the dispute subject wherein the parties, to obtain a Voluntary Arbitrators. — The Voluntary Arbitrator or panel of
the collective bargaining agreement or to arbitration, speedy and inexpensive nal Voluntary Arbitrators shall have original and exclusive
b) interpretation or enforcement of company personnel regardless of consent disposition of the matter, jurisdiction to hear and decide
policies or of the parties. select a judge of their own
choice and by consent, submit 1. all unresolved grievances arising from the
c) any claim by either party that the other party is violating interpretation or implementation of the CBA and
their controversy to him.
any provision of the CBA or company personnel policies.
2. those arising from the interpretation or enforcement of
4) Grievance machinery; Unresolved grievances. — Refers to Done by Labor Arbiter, Voluntary Arbitrator, an
company personnel policies.
the internal rules of procedures established by the parties in clothed with impartial 3rd person named by
their CBA with voluntary arbitration as the terminal original and both parties Accordingly, violations of a CBA, except those which are gross in
step, which are intended to resolve all issues arising from the exclusive character, shall no longer be treated as unfair labor practice and shall
implementation and interpretation of their collective jurisdiction (Art be resolved as grievances under the CBA.
agreement and the company personnel policies or company 217)
For purposes of this article, gross violations of CBA shall mean
rules and regulations. agrant and/or malicious refusal to comply with the economic
Nature Adversarial; May be done prior to or
5) Company Personnel Policies. — are guiding principles initiated by a during compulsory provisions of such agreement.
stated in broad, long-range terms that express the complaint. arbitration; (B5-R19-S5) The Commission, its Regional O ces and the Regional Directors of
philosophy or beliefs of an organization’s top authority the DOLE shall not entertain disputes, grievances or matters under
regarding personnel matters. They deal with matters Settlement of labor Private judicial system; the exclusive and original jurisdiction of the Voluntary Arbitrator or
a) A ecting e ciency and well-being of employees and disputes by a panel of Voluntary Arbitrators and shall immediately dispose and
government Non-litigious, not governed by refer the same to the Grievance Machinery or Voluntary Arbitration
b) Include the procedures in the administration of agency. technical ROC, but still provided in the CBA.
i) Wages, observes due process.
ii) Bene ts, ARTICLE 275. Jurisdiction over Other Labor Disputes. — The
Initiated Complaint; to be a) Submission agreement;
Voluntary Arbitrator or panel of Voluntary Arbitrators, upon
iii) Promotions, by answered by other b) Demand or Notice,
agreement of the parties, shall also hear and decide all other labor
party. invoking a CBA clause;
iv) Transfer and other personnel movement. Which are disputes including unfair labor practices and bargaining deadlocks.
c) Or both
not spelled out in the CBA.
Appeal to NLRC, who merely reviews for errors of fact or law. 1) Exclusive and original. —
a) all unresolved grievances arising from the 2. Remedies 5) Illegal Recruitment. — FIVE (5) years:
implementation or interpretation of the collective
1) The petition for review shall be led within 15 days If involving economic sabotage shall prescribe in twenty
bargaining agreements and
pursuant to Section 4, Rules 43 of the Rules of Court; (20) years.
b) those arising from the interpretation or enforcement
of company personnel policies 2) Rule 45, procedure before the SC. 6) Execution of Judgment — FIVE (5) YEARS.
c) wage distortion issues arising from the application of 7) Backwages as a relief for illegal dismissal is
Guagua National Colleges v. CA 2018 En Banc IMPRESCRIPTIBLE.
any wage orders in organized establishments,
d) unresolved grievances arising from the interpretation and The 10-day period stated in Article 276 should be understood as the 8) Separation pay and retirement bene ts are akin to money
implementation of the productivity incentive period within which the party adversely a ected by the ruling of the claims.
programs under R.A. 6971 Voluntary Arbitrators or Panel of Arbitrators may le a motion for
reconsideration. Only after the resolution of the motion for
2) Concurrent. — All other labor disputes including ULP and reconsideration may the aggrieved party appeal to the CA by ling
bargaining deadlocks, upon agreement of the parties. the petition for review under Rule 43 of the Rules of Court within
Before or at any stage of compulsory arbitration, parties may 15 days from notice pursuant to Section 4 of Rule 43.
opt to submit to VA instead.
3) Voluntary arbitration. — a mode of settling labor
management disputes by which the parties select a competent, J Prescription of Actions
trained and impartial person who shall decide on the merits of
the case and whose decision is nal, executory and binding. 1) Illegal dismissal —
4) Nature of proceedings. — The proceedings before a a) If with prayer of reinstatement — the EE is given a
voluntary arbitrator are non-litigious in nature. They are period of FOUR (4) YEARS from the time of his
not governed by technical rules applicable to court or judicial illegal dismissal within which to institute the
proceedings, but they must, at all times, comply with the complaint (Art 1146, NCC);
requirements of due process. b) If WITHOUT reinstatement — THREE (3)
5) Decision of voluntary arbitrator, and prohibited YEARS.
motion. — THE decision of THE voluntary arbitrator 2) Money claims — THREE (3) YEARS from the time the
SHALL BE nal and executory after ten (10) calendar days action accrued;
from receipt of the copy of the decision by the parties.
3) Unfair Labor Practice — ONE (1) YEAR from accrual;
4) Penal provisions under LC — THREE (3) YEARS;

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Labor Law and Social Legislation

Syllabus-based eReviewer for the 2023 Bar

adherence of particular countries to international standards on

1) Persons convicted of 4) Individuals, partners, o cers or directors of an insurance

purposes of deployment, in cases where the deployment does

prosecution of which, proof of criminal intent is necessary. (Sy

c) Owners and representatives of foreign principals i. who is a manager, executive or specialist

A Management Prerogative b) the corresponding penalties, when prescribed,

c) Determine who to punish; e) Not be motivated by discrimination;

the business, as determined by the SOLE, require compliance

a) De nitions b. for services rendered or to be rendered Facilities Supplements

b) Principles 4. and includes the fair and reasonable value of board,

g) Holiday Pay a) COLA; 1) Facilities. — Requisites for Deductibility:

c) Must be voluntarily accepted by the employee in character" notwithstanding.

of similar kind by reason of which, it gains the status of a

c) Postal Checks, provided a. With written permission of majority of employees;

i) Where EE is indebted to ER that has become due and e) Wage Distortion

c) He/She has presented a Solo Parent Identi cation

original contract and other improvements granted during the

charge and to receive advice on how to reduce or avoid health

employment and the same compensation, privileges, bene ts,

stated in Sec 9-A which provides that self-employed includes,

SSS Law a) All self-employed professionals;

disability, which is de ned by Section 13-A (d), and

choices results in no choice receiving a majority of the valid

a) Nature and Aspect b) By Employers a) As to violation of CBA. — It is ULP if what is violated

their right to self-organization that it shall be unlawful and

c) By Organizations It involves the question of whether an employer’s conduct

or egress from the employer's premises for lawful purposes, or

desirability of the work in the usual business of the company.

although employed on a per trip basis, has been working for 12

direction of the principal in all matters connected with

WON Bravo was properly dismissed for a just cause.

Common Requisites d) There is no other option available to the employer than

Fuji Television v. Espiritu 2014

Director g) Other cases as may be provided by law.

When there is a supervening event that renders reinstatement

Despite their failure to collect on the appeal bond, petitioners do

E Bureau of Labor Relations

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