Labor Law 1 Reviewer

LABOR LAW 1 individual and collective interactions of employers,
employees or their representatives.
SUGGESTED TEXTBOOK: SOCIAL LEGISLATION VS. LABOR LAWS
CA Azucena, The Labor Code with Social legislation: provides particular kinds of protection or
Comments and Cases (Latest Edition) benefits to society or segments thereof in furtherance of
social justice.
REFERENCES:
Labor laws are necessarily social legislation. But to
Samson S. Alcantara, and Samson B. differentiate, labor laws directly affect employment while
Alcantara Jr., Philippine Labor and Social Legislation social legislation governs effects of employment.
Annotated
Labor laws are social legislation but not all social legislation
1987 Philippine Constitution
are labor laws.
The Labor Code of the Philippines and
its Implementing Rules &
Regulations
2. Social Justice, Const., Art. II, Sec. 10; Art. XIII,
Pertinent International Human Rights Instruments
Sec. 1-3
and ILO Conventions, Recommendations and Labor-related
laws
Assigned Readings Section 10. The State shall promote social justice in
all phases of national development.
I. INTRODUCTION TO LABOR LAW Section 1. The Congress shall give highest priority to
the enactment of measures that protect and enhance
A. Labor as a Concept the right of all the people to human dignity, reduce
social, economic, and political inequalities, and
1. General Sense remove cultural inequities by equitably diffusing
Labor physical toil although it does not necessarily exclude wealth and political power for the common good.
the application of skill, thus there is skilled and unskilled
labor. To this end, the State shall regulate the acquisition,
ownership, use, and disposition of property and its
Skill familiar knowledge of any art or sciencem united with increments.
radiness and dexterity in execution or performance or in the
application of the art or science to practical purposes.
Section 2. The promotion of social justice shall
Work is broader than labor as work covers all forms of
include the commitment to create economic
physical or mental exertion, or both combined, for the opportunities based on freedom of initiative and self-
attainment of some object other than recreation or reliance.
amusement per se.
ARTICLE XIII LABOR
Section 3. The State shall afford full protection to
2. Technical sense labor, local and overseas, organized and
unorganized, and promote full employment and
Worker broader than employee as workers may refer to equality of employment opportunities for all.
self-employed people, and those working in the service and It shall guarantee the rights of all workers to self-
under the control of another, regardless of rank, title, or organization, collective bargaining and negotiations,
nature of work. and peaceful concerted activities, including the right
to strike in accordance with law. They shall be entitled
Employee salaried person working for another who
to security of tenure, humane conditions of work, and
controls or supervises the means, manner or method of
doing the work. a living wage. They shall also participate in policy and
decision-making processes affecting their rights and
benefits as may be provided by law.
B. Labor Law
The State shall promote the principle of shared
1. Definition responsibility between workers and employers and
the preferential use of voluntary modes in settling
Labor legislaton labor standards + labor relations disputes, including conciliation, and shall enforce their
mutual compliance therewith to foster industrial
a. consists of statutes, regulations and jurisprudence peace.
b. governing the relations between capital and labor
c. by providing for certain employment standards The State shall regulate the relations between
and a legal framework
workers and employers, recognizing the right of labor
d. for negotiating, adjusting and administering those
to its just share in the fruits of production and the right
standards and other incidents of employment.
of enterprises to reasonable returns to investments,
Labor standards: which sets out the minimum terms, and to expansion and growth.
conditions, and benefits of employment that employers must
provide or comply with and to which employees are entitled The aim and the reason and, therefore, the justification of 1
as a matter of legal right. labor laws is social justice.
Labor relations law: which defines the status, rights and Social Justice: JP Laurel in Calalang neither communism,
duties and the institutional mechanisms that govern the nor despotism, nor atomism not anarchy but the
humanization of laws and the equalization of social and
JRMSU | College of Law

LABOR LAW 1 REVIEWER
economic forces by the State so that justice in its rational Social Justice: JP Laurel in Calalang neither communism,
and objectively secular conception may at least be nor despotism, nor atomism not anarchy but the
approximated. humanization of laws and the equalization of social and
economic forces by the State so that justice in its rational
The promotion of the welfare of all the people, the adoption and objectively secular conception may at least be
by the Government of measures calculated to insure approximated.
economic stability of all the component elements of society
through the maintenance of proper economic and social Social justice is the promotion of the welfare of all the
equilibrium in the interrelations of the members of the people, the adoption by the Government of measures
community, constitutionality, through the adoption of calculated to insure economic stability of all the component
measures legally justifiable, or extra-constitutionally, through elements of society through the maintenance of proper
the exercise of powers underlying the existence of all economic and social equilibrium in the interrelations of the
governments, on the time-honored principle of salus populi members of the community, constitutionality, through the
est suprema lex. adoption of measures legally justifiable, or extra-
constitutionally, through the exercise of powers underlying
Labor is the primary social economic force, thus the State the existence of all governments, on the time-honored
shall protect the rights of workers and promote their principle of salus populi est suprema lex.
welfare.
Manila Electric Co. v. Sec. of Labor, 337
Constitutional Rights and Mandates SCRA 90 (2000)
The State shall afford full protection to labor and this is When will the CBA take effect?
found in the 1935, 1973, and 1987 Consti. The State affirms
labor as a primary social economic force thus, it shall protect <-o-------------------------------I x--------------------------
the right of the workers and promote their welfare. CBA expiration 6 months
Basic rights of workers guaranteed by the consti: Secretary of Labor may determine the date of retroactivity
as part of his discretionary powers. But this discretionary
1. Right to organize themselves power shall only be exercised only when jurisdiction has
2. Conduct collective bargaining or been vested.
negotiation with management
3. Engage in peaceful concerted activities, Assailed Resolution:
including to strike in accordance with Article 263(g) gives the Secretary jurisdiction. CBA
law negotiated within six months after the expiration of the
4. Enjoy security of tenure existing CBA retroacts to the day immediately following such
5. Work under humane conditions date and if agreed thereafter, the effectivity depends on the
6. Receive a living wage agreement of the parties. But the law is silent as to the
7. Participate in policy and decision-making retroactivity of a CBA arbitral award or that granted not by
processes affecting their rights and virtue of the mutual agreement of the parties but by
benefits as may be provided by law. intervention of the government. Despite the silence of the
(Sec. 3, XIII). law, the Court rules herein that CBA arbitral awards granted
Other provisions in the Consti: after six months from the expiration of the last CBA shall
retroact to such time agreed upon by both employer and the
1) Right to form unions, associations, societies for employees or their union. Absent such an agreement as to
purposes not contrary to law. retroactivity, the award shall retroact to the first day of the
2) Right to self organization shall not be denied to six-month period following the expiration of the last day of
government employees. the CBA should there be one. IN the absence of a CBA, the
3) Regular farmworkers shall have the right to own Secs determination of the date of retroactivity as part of his
directly or collectively the lands they till. discretionary powers over arbitral awards shall control.
4) The State shall by law and for common good,
undertake in cooperation with the private sector a Held: Where an arbitral award is granted beyond six months
continuing program of urban land reform and after the expiration of the existing CBA, and there is no
housing. agreement between the parties as to the date of effectivity
5) The State shall protect working women by thereof, the arbitral award shall retroact to the first day after
providing safe and healthful working conditions the six-month period following the expiration of the last day
taking into account their maternal functions. of the CBA. But instead of Dec 1, 1995 to Nov 30 1997 (CBA
6) Labor is entitled to seats allotted to party-list had a 2-year applicability period), the Court modified it to
representatives June 1, 1996 to May 31, 1998.
7) The State shall promote industrialization and full
employment based on sound agricultural On social justice: [T]his Court cannot ignore the
development and agrarian reform. enormous cost that petitioner will have to bear as a
8) Congress shall create an agency to promote the consequence of the fill retroaction of the arbitral award to
viability and growth of cooperatives. the date of the expiry of the CBA and the inevitable effect
9) The Govt shall increase salary scales of the other that it would have on the national economy. On the other
officials and employees of the National hand, under the policy of social justice, the law bends over
Government. backward to accommodate the interests of the working class
10) Career civil service employees shall be entitled to on the humane justification that those with less privilege in
appropriate separation pay and to retirement and life should have more in law. Balancing these two
other benefits under existing laws. contrasting interests, this Court turned to the dictates of
fairness and equitable justice and thus arrived at a formula
that would address the concerns of both sides. Thus, Arbitral
a. Definition/Balancing of Interest award must retroact to the first day AFTER the six-month
period following the last day of the CBA.
Calalang v. Williams, 70 Phil. 726 (1940)
Azucena:
Duman / Labor I / Prof. Battad / Page 2
PLDT employee promised to facilitate the approval of the

The Consitution has not overlooked the rights of capital. It complainants applications for telephone installation and then
provides that, the State recognizes the indispensable role of received from them an amount of money in consideration of
the private sector, encourages private enterprise, and her promise.
provides incentives to needed investments (Art. II, Sec. 20).
The rule embodied in the Labor Code is that a person
While labor is entitled to a just share in the fruits of dismissed for cause as defined therein is not entitled to
production, the enterprise has an equally important right not separation pay. The cases abovecited (where different cases
only to reasonable returns on investment but also to were cited proving that some companies still allowed
expansion and growth. separation pay despite the degree of the ground upon which
the employees were being dismissed for) constitute the
Shared Responsibility between workers and employers exception, based upon considerations of equity. Equity has
Preferential use of voluntary modes of settling disputes. been defined as justice outside law, being ethical rather than
jural and belonging to the sphere of morals than of law. It is
a. Foundation: Police Power and State Protection grounded on the precepts of conscience and not on any
sanction of positive law. Hence, it cannot prevail against the
While social justice is the raison detre of labor laws, their expressed provision of the labor laws allowing dismissal of
basis or foundation is the police power of the State. employees for cause and without any provision for
separation pay.
a. State legislatures may enact laws for the Separation pay shall be allowed as a measure of social
protection of the safety and health of employees. justice only in those instances where the employee is calidly
b. Right of every person to pursue a business, dismissed for causes other than serious misconduct or those
occupation, or profession is subject to the reflecting on his moral character. Where the reason for the
paramount right of the government as a part of its valid dismissal is, for example, habitual intoxication or an
police power to impose such restrictions and offense involving moral turpitude, life theft or illicit sexual
regulations as the protection of the public may relations with a fellow worker, the employer may not be
require. required to give the dismissed employee separation pay or
financial assistance, or whatever other name it is called on
Legal Classification: (discussed in light of the suspension of the ground of social justice.
deployment of women)
The policy of social justice is not intended to countenance
a. such classification rest on substantial distinctions wrongdoing simply because it is committed by the
b. they are germane to the purpose of the law underprivileged. At best it may mitigate the penalty but it
c. they are not confined to existing conditions certainly will not condone the offense. Compassion for the
d. they apply equally to all members of the same poor is an imperative of every humane society but only
class when the recipient is not a rascal claiming an underserved
privilege. Social justice cannot be permitted to be refuge of
b. Foundation: Police Power and State Protection scoundrels any more than can equity be an impediment to
the punishment of the guilty. Those who invoke social
CMS Estate, Inc. v. Social Security justive may do so only if their hands are clean and their
System, 132 SCRA 108 (1984) motives blameless and not simply because they happen to
be poor.
The case of two businesses, one was in real estate and the
other was in the logging business. One owner was Agabon v. NLRC, 442 SCRA 573 (2004)
demanding for a refund from SSS and it refused to subscribe
the employees of the 2nd business to SSS because the
business has not been in operation for 2 years (which was Employees were claiming illegal dismissal. Employer was
the requirement of the law) yet. asserting that there was abandonment.
The Social Security Law was enacted pursuant to the policy Abandonment is the deliberate and unjustified refusal of an
of the government to develop, establish gradually and employee to resume his employment. It is a form of neglect
perfect a social security system which shall be suitable to the of duty, hence, a just cause for termination of employment
needs of the people throughout the Philippines, and shall by the employer. For a valid finding of abandonment: (1)
provide protection against the hazards of disability, sickness, failure to report for work or absence without valid or
old age and death. It is thus clear that said enactment justifiable reason (2) clear intention to server employer-
implements the general welfare mandate of the employee relationship with the second as the more
Constitution and constitutes a legitimate exercise of determinative factor which is manifested by overt acts from
the police power of the State. which it may be deduced that the employees has no more
intention to work.
It is the intention of the law to cover as many persons as
possible so as to promote the constitutional objective of Wenphil or Belated Due Process Rule: where the
social justice. employer had a valid reason to dismiss an employee but did
not follow the due process requirement, the dismissal may
Compulsory coverage of the employer shall take effect on be upheld but the employer will be penalized to pay an
the first day of his operation, and that of the employee on indemnity to the employee.
the date of his employment (RA 1161 as amended by RA
2658). The two year prescription of the prior law must be But this was re-examined in Serrano case wherein the
considered prevailed over by the later law and moreover, the Court required that the employer pay the full backwages
legislative intent must be given effect. from the time of dismissal until the time the Court finds the
dismissal was for a just or authorized cause. It was because
c. Limits of Use of a significant number of cases involving dismissals without
requisite notices.
PLDT v. NLRC, 164 SCRA 671 (1988)

In Agabon, the Court abandoned Serrano and followed

Wenphil only that the sanctions imposed on the employer Section 5. The maintenance of peace and order, the
must be stiffer than those in Wenphil. protection of life, liberty, and property, and promotion
of the general welfare are essential for the enjoyment
An employee who is clearly guilty of conduct violative of by all the people of the blessings of democracy.
Article 282 should not be protected by the Social Justice
Clause of the Constitution. Social justice, as the terms
Section 9. The State shall promote a just and
suggests, should be used only to correct an injustice.
dynamic social order that will ensure the prosperity
JP Laurel, in Calalang: social justice must be founded on the and independence of the nation and free the people
recognition of the necessity of interdependence among from poverty through policies that provide adequate
diverse units of a society and of the protection that should social services, promote full employment, a rising
be equally and evenly extended to all groups as a combined standard of living, and an improved quality of life for
forc e in our social and economic life, consistent with the all.
fundamental and paramount objective of the state of
promoting the health, comfort and quiet of all person, and of Section 10. The State shall promote social justice in
bringing about the greatest good to the greatest all phases of national development.
number.
Section 13. The State recognizes the vital role of the
Social justice is not based on rigid formulas set in stone. It youth in nation-building and shall promote and protect
has to allow for changing times and circumstances.
their physical, moral, spiritual, intellectual, and social
well-being. It shall inculcate in the youth patriotism
5. Legal Basis
and nationalism, and encourage their involvement in
public and civic affairs.
a. International Conventions
Section 14. The State recognizes the role of women
International School Alliance of Educators v. Quisumbing, in nation-building, and shall ensure the fundamental
333 SCRA 13 (2000) equality before the law of women and men.
Foreigner teachers were given more benefits than the local Section 18. The State affirms labor as a primary
teachers. social economic force. It shall protect the rights of
workers and promote their welfare.
International law, which springs from general principle of
law, likewise proscribes discrimination. General principles of Art. XIII
law include principles of equity i.e the general principles of
fairness and justice, based on the test of what is reasonable.
Section 1. The Congress shall give highest priority to
The following embody the general principle against
the enactment of measures that protect and enhance
discrimination, the very antithesis of fairness and justice. the right of all the people to human dignity, reduce
social, economic, and political inequalities, and
Universal Declaration of Human Rights remove cultural inequities by equitably diffusing
The International Covenant on wealth and political power for the common good.
Economic, Social, and Cultural Rights
The International Convention on the Section 3. The State shall afford full protection to
Elimination of All Forms of Racial labor, local and overseas, organized and
Discrimination unorganized, and promote full employment and
The Convention against Discrimination equality of employment opportunities for all.
in Education It shall guarantee the rights of all workers to self-
The Convention Concerning organization, collective bargaining and negotiations,
Discrimination in Respect of and peaceful concerted activities, including the right
Employment and Occupation
to strike in accordance with law. They shall be entitled
to security of tenure, humane conditions of work, and
Mentioned in the case:
Bargaining Unit: is a group of employees of a given
a living wage. They shall also participate in policy and
employer, comprised of all or less than all of the entire body decision-making processes affecting their rights and
of employees, consistent with equity to the employer benefits as may be provided by law.
indicate to be the best suited to serve the reciprocal rights
and duties of the parties under the collective bargaining The State shall promote the principle of shared
provisions of the law. responsibility between workers and employers and
the preferential use of voluntary modes in settling
The factors determining the appropriate collective bargaining disputes, including conciliation, and shall enforce their
unit are: (1) the will of the employees (2) affinity and unity mutual compliance therewith to foster industrial
of the employees interest, such as substantial similarity of peace.
work and duties, or similarity of compensation and working
conditions (3) prior collective bargaining history (4) similarity The State shall regulate the relations between
of employment status.
workers and employers, recognizing the right of labor
to its just share in the fruits of production and the right
b. 1987 Constitution, Art. II, Secs. 5, 9, 10, 13, 14, 18; Art. of enterprises to reasonable returns to investments,
XIII, Secs. 1, 3, 14 and to expansion and growth.
Section 14. The State shall protect working women

ART. II by providing safe and healthful working conditions,
taking into account their maternal functions, and such
facilities and opportunities that will enhance their Art. 1306. The contracting parties may establish such
welfare and enable them to realize their full potential stipulations, clauses, terms and conditions as they
in the service of the nation. may deem convenient, provided they are not contrary
to law, morals, good customs, public order, or public
See also: 1935 Const., Art. XIV, Sec., 6; 1973 Const., Art. policy. (1255a)
II, Sec. 9
c. Collective Bargaining Agreement
1935 Constitution, Art. XIV, Sec. 6
DOLE Phils. v. Pawis ng Makabayang Obrero, 395 SCRA 112
Section 6. The State shall afford protection to labor, (2003)
especially to working women, and minors, and shall
regulate the relations between the landowner and Interpretation of the free meals provision in the CBA. Is it
tenant, and between labor and capital in industry and after the employee has worked only after more than three
in agriculture. The State may provide for compulsory hours of work or those who have rendered exactly three
arbitration. hours of overtime work?
1973 Const. Art. II, Sec. 9 The disputed provision of the CBA is clear and unambiguous.
The terms of the CBA is not susceptible to any other
interpretation. Hence the literal meaning of free meals after
Section 9. The State shall afford protection to labor,
three (3) hours of overtime work shall prevail, which is
promote full employment and equality in employment, simply that an employee shall be entitled to a free meal if he
ensure equal work opportunities regardless of sex, has rendered exactly, or no less than, three hours of
race, or creed, and regulate the relation between overtime work, not after more than or in excess of three
workers and employers. The State shall assure the hours overtime work.
rights of workers to self-organization, collective
bargaining, security of tenure, and just and humane Found in the case: Management prerogative: The exercise of
conditions of work. The State may provide for management prerogative is not unlimited. It is subject to the
compulsory arbitration. limitations found in law, a collective bargaining agreement or
the general principles of fair play and justice. This situation
constitutes one of the limitations. The CBA is the norm of
c. Labor Code (LC) and Omnibus Rules Implementing the Labor conduct between the petitioner and private respondent and
Code compliance therewith is mandated by the express policy of
the law.
d. New Civil Code of the Philippines (NCC), Arts. 19, 21, 1700-
1701 d. Past Practices
Art. 19. Every person must, in the exercise of his Davao Fruits Corporation v. Associated
rights and in the performance of his duties, act with labor Union, 225 SCRA 562 (1993)
justice, give everyone his due, and observe honesty
and good faith. Issue: WON in the computation of the 13th month pay given
by employers to their employees under PD 851, payments
for sick, vacation and maternity leaves, premiums for work
Art. 21. Any person who wilfully causes loss or injury
done rest days and special holidays and pay for regular
to another in a manner that is contrary to morals, holidays may be excluded in the computation and payment
good customs or public policy shall compensate the thereof, regardless of long-standing company practice.
latter for the damage.
A company practice favorable to the employees had
Art. 1700. The relations between capital and labor are indeed been established and the payments made
not merely contractual. They are so impressed with pursuant thereto, ripened into benefits enjoyed by
public interest that labor contracts must yield to the them. And any benefit and supplement being enjoyed
common good. Therefore, such contracts are subject by the employees cannot be reduced, diminished,
to the special laws on labor unions, collective discontinued or eliminated by the employer, by virtue
bargaining, strikes and lockouts, closed shop, wages, of Sec 10 of the Rules and Regulations Implementing
working conditions, hours of labor and similar PD 851 and Art 100 of the Labor Code which prohibit
subjects. the diminution or elimination b the employer of the
employees existing benefits.
Art. 1701. Neither capital nor labor shall act
The considerable length of time the questioned items had
oppressively against the other, or impair the interest
been included by petitioner indicates a unilateral and
or convenience of the public. voluntary act on its part, sufficient in itself to negate any
claim of mistake.
6. Sources of Law
Samahang Manggagawa sa Top Form Manufacturing-United
Workers of the Phil. (SMTFM-UWP v. NLRC, 295 SCRA 171
a. Labor Code and Related Special Legislation (Implementing
(1998)
Rules)
The case wherein the employer was charged as having
b. Contract Art. 1305-1306, New Civil Code
committed an unfair labor practice by bargaining in bad faith
and discriminating against in employees by promising at a
Art. 1305. A contract is a meeting of minds between collective bargaining conference to implement any
two persons whereby one binds himself, with respect government-mandated wage increases on an across-the-
to the other, to give something or to render some board basis.
service. (1254a)

Past promises which were written in the minutes of the and the company, and have not yet been incorporated in the
meeting. The proposal was never embodied in the CBA, CBA.
thus, the promise remained just that, a promise, the
implementation which cannot be validly demanded under the Downtrend was clear in the service award amount and the
law. parties venue were changed from paid venues to one which
was free of charge.
The law provides remedies to the petitioner union to compel
priv resp to incorporate this specific economic proposal in To be considered a regular practice, the giving of
the CBA, which they did not do. the bonus should have been done over a long period
of time, and must be shown to have been consistent
The CBA is the law between the contracting partiesthe and deliberate.
collective bargaining representative and the employer-
company. Compliance with a CBA is mandated by the e. Company Policies
expressed policy to give protection to labor. In the same
vein, CBA provision should be construed liberally rather China Banking Corporation v.
than narrowly and technically, and the courts must place a Borromeo, 440 SCRA 621 (2004)
practical and realistic construction upon it, giving due
consideration to the context in which it is negotiated and The case of a manager who was consistently promoted
purpose which it is intended to serve. This is founded on the because of a highly satisfactory performance which landed
dictum that a CBA is not an ordinary contract but one him at the AVP spot only to find out that he has done
impressed with public interest. It goes without saying, irregularities in approving several DAUD/BP in favor of one
however, that only provisions embodied in the CBA should Maniwan.
be so interpreted and complied with.
The Banks SOP provides a restitution/forfeiture of benefits
No benefits or privileges previously enjoyed by petitioner provision.
union and the other employees were withdrawn as a result
of the manner by which private resp implemented the wage It is well recognized that company policies and regulations
orders. are, unless shown to be grossly oppressive or contrary to
law, generally binding, and valid on the parties and must be
complied with until finally revised or amended unilaterally or
preferably through negotiation or by competent authority.
Moreover, management has the prerogative to discipline its
American Wire and Cable Daily employees and to impose appropriate penalties on erring
rated Employees Union American Wire and Cable co., Inc., workers pursuant to company rules and regulations. With
457 SCRA 684 (2005) more reason should these truisms apply to the respondent,
who, by reason of his position, was required to act
The company suddenly withdrew and denied certain benefits judiciously and to exercise his authority in harmony with
and entitlements which the employees have long enjoyed company policies.
like service awards, 35% premium pay of an employees
basic pay for work rendered during Holy Monday, Tuesday, Business enterprises have a prerogative to discipline its
Wednesday, December 23, 26, 27, 28, and 29, Christmas employees and to impose appropriate penalties on erring
Party and Promotional Increases. workers pursuant to company rules and regulations which
must be respected. The law, in protecting the rights of labor,
It is critical that a determination must be first made whether authorized neither oppression nor self-destruction of an
the benefits/entitlements are in the nature of a bonus or employer company which itself is possessed of rights that
not, and assuming they are so, whether they are must be entitled to recognition and respect.
demandable and enforceable obligations.
7. Classification
Bonus: is an amount granted and paid to an employee for
his industry and loyalty which contributed to the success of a. Labor Standards
the employers business and made possible the realization of
profits. It is an act of generosity granted by an enlightened b. Labor Relations
employer to spur the employee to greater efforts for the
success of the business and realization of bigger profits. The c. Welfare Legislation
granting of a bonus is a management prerogative,
something given in addition to what is ordinarily received by II. LABOR CODE OF THE PHILIPPINES
or strictly due the recipient. Thus, a bonus is not a
demandable and enforceable obligation, except when it is A. Brief History
made part of the wage, salary or compensation of the
employee. B. General Provisions
Issue: WON these bonuses can be considered part of the 1. 1. Decree Title, Art. 1
wage or salary or compensation making them enforceable
obligations. ARTICLE 1. Name of Decree. - This Decree shall
be known as the "Labor Code of the Philippines".
Held: No. For a bonus to be enforceable, it must have been
promised by the employer and expressly agreed upon by the 2. Effectivity, Art. 2
parties or it must have had a fixed amount and had been a ART. 2. Date of effectivity. - This Code shall take
long and regular practice on the part of the employer. effect six (6) months after its promulgation.
3. Policy Declaration, Art. 3
The benefits/entitlements in question were never subjects of
any express agreement between the parties. They were ART. 3. Declaration of basic policy. - The State
never incorporated in the CBA. As observed by the VA, the
shall afford protection to labor, promote full
records reveal that these benefits/entitlements have not
been subjects of any express agreement between the union
employment, ensure equal work opportunities
regardless of sex, race or creed and regulate the

relations between workers and employers. The
State shall assure the rights of workers to self-
organization, collective bargaining, security of
tenure, and just and humane conditions of work.
4. Construction in Favor of Labor, Art. 4
ART. 4. Construction in favor of labor. - All doubts

in the implementation and interpretation of the
provisions of this Code, including its
implementing rules and regulations, shall be
resolved in favor of labor.
Salinas Jr. v. NLRC, 319 SCRA 54

(1999)
2. Rule Making Power, Art. 5
ART. 5. Rules and regulations. - The Department

of Labor and other government agencies charged
with the administration and enforcement of this
Code or any of its parts shall promulgate the
necessary implementing rules and regulations.
Such rules and regulations shall become
effective fifteen (15) days after announcement of
their adoption in newspapers of general
circulation.
Reyes v. Court of Appeals, 409

SCRA 267 (2003)
Kapisanan ng mga Manggagawang

Pinagyakap v. NLRC, 152 SCRA 6 (1987)
G&M Philippines, Inc. v. Romil

Cuambot, GR No. 162308, Nov. 22, 2006
3. Technical Rules Not Binding, Art. 221
ART. 221. Technical rules not binding and prior resort

to amicable settlement. - In any proceeding before the
Commission or any of the Labor Arbiters, the rules of

evidence prevailing in courts of law or equity shall not owned or controlled corporations with original
be controlling and it is the spirit and intention of this charters.
Code that the Commission and its members and the
Labor Arbiters shall use every and all reasonable 5. Enforcement and Sanctions Arts. 217 (a)
means to ascertain the facts in each case speedily (2), (3), (4), (6); 128-129; 288-292; Consti., Art III, Secs.
and objectively and without regard to technicalities of 11 and 16
law or procedure, all in the interest of due process. In
any proceeding before the Commission or any Labor ART. 217. Jurisdiction of the Labor Arbiters and the
Arbiter, the parties may be represented by legal Commission. - (a) Except as otherwise provided
counsel but it shall be the duty of the Chairman, any under this Code, the Labor Arbiters shall have original
Presiding Commissioner or Commissioner or any and exclusive jurisdiction to hear and decide, within
Labor Arbiter to exercise complete control of the thirty (30) calendar days after the submission of the
proceedings at all stages. case by the parties for decision without extension,
even in the absence of stenographic notes, the
Huntington Steel Products, Inc. v. NLRC, 442 SCRA 551 following cases involving all workers, whether
(2004) agricultural or non-agricultural:
2. Termination disputes;
3. If accompanied with a claim for

reinstatement, those cases that workers may
file involving wages, rates of pay, hours of
work and other terms and conditions of
employment;
4. Claims for actual, moral, exemplary and

other forms of damages arising from the
employer-employee relations;
6. Except claims for Employees Compensation, Social

Security, Medicare and maternity benefits, all other
claims arising from employer-employee relations,
including those of persons in domestic or household
service, involving an amount exceeding five thousand
pesos (P5,000.00) regardless of whether
accompanied with a claim for reinstatement.
ART. 128. Visitorial and enforcement power. - (a) The

Secretary of Labor and Employment or his duly
4. Applicability, Art. 6, 276; Constitution, Art. authorized representatives, including labor regulation
IX-B, Sec. 2(1) officers, shall have access to employers records and
premises at any time of the day or night whenever
work is being undertaken therein, and the right to
ART. 6. Applicability. - All rights and benefits granted copy therefrom, to question any employee and
to workers under this Code shall, except as may investigate any fact, condition or matter which may be
otherwise be provided herein, apply alike to all necessary to determine violations or which may aid in
workers, whether agricultural or non-agricultural. (As the enforcement of this Code and of any labor law,
amended by Presidential Decree No. 570-A, wage order or rules and regulations issued pursuant
November 1, 1974). thereto.
ART. 276. Government employees. - The terms and (b) Notwithstanding the provisions of Articles 129 and
conditions of employment of all government 217 of this Code to the contrary, and in cases where
employees, including employees of government- the relationship of employer-employee still exists, the
owned and controlled corporations, shall be governed Secretary of Labor and Employment or his duly
by the Civil Service Law, rules and regulations. Their authorized representatives shall have the power to
salaries shall be standardized by the National issue compliance orders to give effect to the labor
Assembly as provided for in the New Constitution. standards provisions of this Code and other labor
However, there shall be no reduction of existing legislation based on the findings of labor employment
wages, benefits and other terms and conditions of and enforcement officers or industrial safety
employment being enjoyed by them at the time of the engineers made in the course of inspection. The
adoption of this Code. Secretary or his duly authorized representatives shall
issue writs of execution to the appropriate authority
for the enforcement of their orders, except in cases
Constitution, Art. IX-B, Sec. 2(1)
where the employer contests the findings of the labor
Section 2. (1) The civil service embraces all employment and enforcement officer and raises
branches, subdivisions, instrumentalities, and issues supported by documentary proofs which were
agencies of the Government, including government-
not considered in the course of inspection. (As within thirty (30) calendar days from the date of the
amended by Republic Act No. 7730, June 2, 1994). filing of the same. Any sum thus recovered on behalf
of any employee or househelper pursuant to this
An order issued by the duly authorized representative Article shall be held in a special deposit account by,
of the Secretary of Labor and Employment under this and shall be paid on order of, the Secretary of Labor
Article may be appealed to the latter. In case said and Employment or the Regional Director directly to
order involves a monetary award, an appeal by the the employee or househelper concerned. Any such
employer may be perfected only upon the posting of a sum not paid to the employee or househelper
cash or surety bond issued by a reputable bonding because he cannot be located after diligent and
company duly accredited by the Secretary of Labor reasonable effort to locate him within a period of three
and Employment in the amount equivalent to the (3) years, shall be held as a special fund of the
monetary award in the order appealed from. (As Department of Labor and Employment to be used
amended by Republic Act No. 7730, June 2, 1994). exclusively for the amelioration and benefit of
workers.
(c) The Secretary of Labor and Employment may
likewise order stoppage of work or suspension of Any decision or resolution of the Regional Director or
operations of any unit or department of an hearing officer pursuant to this provision may be
establishment when non-compliance with the law or appealed on the same grounds provided in Article 223
implementing rules and regulations poses grave and of this Code, within five (5) calendar days from receipt
imminent danger to the health and safety of workers of a copy of said decision or resolution, to the
in the workplace. Within twenty-four hours, a hearing National Labor Relations Commission which shall
shall be conducted to determine whether an order for resolve the appeal within ten (10) calendar days from
the stoppage of work or suspension of operations the submission of the last pleading required or
shall be lifted or not. In case the violation is allowed under its rules.
attributable to the fault of the employer, he shall pay
the employees concerned their salaries or wages The Secretary of Labor and Employment or his duly
during the period of such stoppage of work or authorized representative may supervise the payment
suspension of operation. of unpaid wages and other monetary claims and
benefits, including legal interest, found owing to any
(d) It shall be unlawful for any person or entity to employee or househelper under this Code. (As
obstruct, impede, delay or otherwise render amended by Section 2, Republic Act No. 6715, March
ineffective the orders of the Secretary of Labor and 21, 1989).
Employment or his duly authorized representatives
issued pursuant to the authority granted under this ART. 288. Penalties. - Except as otherwise provided
Article, and no inferior court or entity shall issue in this Code, or unless the acts complained of hinge
temporary or permanent injunction or restraining order on a question of interpretation or implementation of
or otherwise assume jurisdiction over any case ambiguous provisions of an existing collective
involving the enforcement orders issued in bargaining agreement, any violation of the provisions
accordance with this Article. of this Code declared to be unlawful or penal in nature
shall be punished with a fine of not less than One
(e) Any government employee found guilty of violation Thousand Pesos (P1,000.00) nor more than Ten
of, or abuse of authority, under this Article shall, after Thousand Pesos (P10,000.00) or imprisonment of not
appropriate administrative investigation, be subject to less than three months nor more than three years, or
summary dismissal from the service. both such fine and imprisonment at the discretion of
the court.
(f) The Secretary of Labor and Employment may, by
appropriate regulations, require employers to keep In addition to such penalty, any alien found guilty shall
and maintain such employment records as may be be summarily deported upon completion of service of
necessary in aid of his visitorial and enforcement sentence.
powers under this Code.
Any provision of law to the contrary notwithstanding,
ART. 129. Recovery of wages, simple money claims any criminal offense punished in this Code, shall be
and other benefits. - Upon complaint of any interested under the concurrent jurisdiction of the Municipal or
party, the Regional Director of the Department of City Courts and the Courts of First Instance. (As
Labor and Employment or any of the duly authorized amended by Section 3, Batas Pambansa Bilang 70).
hearing officers of the Department is empowered,
through summary proceeding and after due notice, to ART. 289. Who are liable when committed by other
hear and decide any matter involving the recovery of than natural person. - If the offense is committed by a
wages and other monetary claims and benefits, corporation, trust, firm, partnership, association or any
including legal interest, owing to an employee or other entity, the penalty shall be imposed upon the
person employed in domestic or household service or guilty officer or officers of such corporation, trust, firm,
househelper under this Code, arising from employer- partnership, association or entity.
employee relations: Provided, That such complaint
does not include a claim for reinstatement: Provided Title II
further, That the aggregate money claims of each PRESCRIPTION OF OFFENSES AND CLAIMS
employee or househelper does not exceed Five
thousand pesos (P5,000.00). The Regional Director
or hearing officer shall decide or resolve the complaint
ART. 290. Offenses. - Offenses penalized under this ART. 97. Definitions. - As used in this Title:
Code and the rules and regulations issued pursuant
thereto shall prescribe in three (3) years. (a) "Person" means an individual, partnership,
association, corporation, business trust, legal
All unfair labor practice arising from Book V shall be representatives, or any organized group of
filed with the appropriate agency within one (1) year persons.
from accrual of such unfair labor practice; otherwise,
they shall be forever barred. (b) "Employer" includes any person acting
directly or indirectly in the interest of an
ART. 291. Money claims. - All money claims arising employer in relation to an employee and shall
from employer-employee relations accruing during the include the government and all its branches,
effectivity of this Code shall be filed within three (3) subdivisions and instrumentalities, all
years from the time the cause of action accrued; government-owned or controlled corporations
otherwise they shall be forever barred. and institutions, as well as non-profit private
institutions, or organizations.
All money claims accruing prior to the effectivity of
this Code shall be filed with the appropriate entities (c) "Employee" includes any individual
established under this Code within one (1) year from employed by an employer.
the date of effectivity, and shall be processed or
determined in accordance with the implementing rules Art. 167. Definition of Terms.As used in this Title,
and regulations of the Code; otherwise, they shall be unless the context indicates otherwise:
forever barred.
(f) Employer means any person, natural or juridical,
Workmens compensation claims accruing prior to the employing the services of the employee.
effectivity of this Code and during the period from
November 1, 1974 up to December 31, 1974, shall be
filed with the appropriate regional offices of the (g) Employee means any person compulsorily
Department of Labor not later than March 31, 1975; covered by the GSIS under Commonwealth Act
otherwise, they shall forever be barred. The claims Numbered One hundred eighty-six, as amended,
shall be processed and adjudicated in accordance including the members of the Armed Forces of the
with the law and rules at the time their causes of Philippines, and any person employed as casual,
action accrued. emergency, temporary, substitute or contractual, or
any person compulsorily covered by the SSS under
Republic Act Numbered Eleven hundred sixty-one, as
ART. 292. Institution of money claims. - Money claims amended.
specified in the immediately preceding Article shall be
filed before the appropriate entity independently of the
criminal action that may be instituted in the proper (h) Person means any individual, partnership, firm,
courts. association, trust, corporation or legal representative
thereof.
Pending the final determination of the merits of money
claims filed with the appropriate entity, no civil action Art. 212.
arising from the same cause of action shall be filed
with any court. This provision shall not apply to (e) "Employer" includes any person acting in the
employees compensation case which shall be interest of an employer, directly or indirectly. The term
processed and determined strictly in accordance with shall not include any labor organization or any of its
the pertinent provisions of this Code. officers or agents except when acting as employer.
(f) "Employee" includes any person in the employ of

an employer. The term shall not be limited to the
ART. III, SEC. 11 AND 16, CONSTITUTION employees of a particular employer, unless the Code
Section 11. Free access to the courts and quasi- so explicitly states. It shall include any individual
judicial bodies and adequate legal assistance shall whose work has ceased as a result of or in
not be denied to any person by reason of poverty. connection with any current labor dispute or because
of any unfair labor practice if he has not obtained any
Section 16. All persons shall have the right to a other substantially equivalent and regular
speedy disposition of their cases before all judicial, employment.
quasi-judicial, or administrative bodies.
b. Factors/Tests
C. Work Relationship Ruga v. NLRC, 181 SCRA 437 (1990)
1. Employer and Employee Relationship
a. Definition of Employer and Employee, Arts. 97 (a) (b) (c),

167 (f)
(g) (h), 212 (e) (f)

Chavez v. NLRC, 448 SCRA 478 (2005)
Perpetual Help Credit v. Faburada et al., 366

SCRA 693 (2001)
Vicente Sy v. Court of Appeals, 398 SCRA 301

(2003)
Angelina Francisco v. NLRC, et al., GR No.
170087, Aug. 31, 2006

In the event that the contractor or subcontractor fails

to pay the wages of his employees in accordance with
this Code, the employer shall be jointly and severally
liable with his contractor or subcontractor to such
employees to the extent of the work performed under
the contract, in the same manner and extent that he is
liable to employees directly employed by him.
The Secretary of Labor and Employment may, by

appropriate regulations, restrict or prohibit the
contracting-out of labor to protect the rights of workers
established under this Code. In so prohibiting or
restricting, he may make appropriate distinctions
between labor-only contracting and job contracting as
well as differentiations within these types of
contracting and determine who among the parties
involved shall be considered the employer for
c. Piercing the Corporate Veil purposes of this Code, to prevent any violation or
circumvention of any provision of this Code.
Pamplona Plantatin Co., Inc. v.
Tinghil, 450 SCRA 421 (2005) There is "labor-only" contracting where the person
supplying workers to an employer does not have
substantial capital or investment in the form of tools,
equipment, machineries, work premises, among
others, and the workers recruited and placed by such
person are performing activities which are directly
related to the principal business of such employer. In
such cases, the person or intermediary shall be
considered merely as an agent of the employer who
shall be responsible to the workers in the same
manner and extent as if the latter were directly
employed by him.
ART. 107. Indirect employer. - The provisions of the

immediately preceding article shall likewise apply to
any person, partnership, association or corporation
which, not being an employer, contracts with an
independent contractor for the performance of any
work, task, job or project.
DEPARTMENT ORDER NO. 18 - 02

(Series of 2002)
.
.
RULES IMPLEMENTING ARTICLES 106 TO 109
OF THE LABOR CODE, AS AMENDED
.
.
By virtue of the power vested in the Secretary of
Labor and Employment under Articles 5 (Rule-
making) and 106 (Contractor or Subcontractor) of
the Labor Code of the Philippines, as amended,
the following regulations governing contracting
and subcontracting arrangements are hereby
issued:
Section 1. Guiding principles. - Contracting and
subcontracting arrangements are expressly
2. Independent Contractor and Labor-only Contractor, Art. 106- allowed by law and are subject to regulation for
107, 109; DO No. 18-02, S 2002 the promotion of employment and the observance
of the rights of workers to just and humane
conditions of work, security of tenure, self-
organization, and collective bargaining. Labor-
ART. 106. Contractor or subcontractor. - Whenever an
only contracting as defined herein shall be
employer enters into a contract with another person
prohibited.
for the performance of the formers work, the
employees of the contractor and of the latters
subcontractor, if any, shall be paid in accordance with Section 2 . Coverage. - These Rules shall apply to
the provisions of this Code. all parties of contracting and subcontracting
arrangements where employer-employee
relationship exists. Placement activities through (ii) the contractor does not exercise the right to
private recruitment and placement agencies as control over the performance of the work of the
governed by Articles 25 to 39 of the Labor Code contractual employee.
are not covered by these Rules.
The foregoing provisions shall be without
Section 3. Trilateral Relationship in Contracting prejudice to the application of Article 248 (C ) of
Arrangements. - In legitimate contracting, there the Labor Code, as amended.
exists a trilateral relationship under which there is
a contract for a specific job, work or service "Substantial capital or investment" refers to
between the principal and the contractor or capital stocks and subscribed capitalization in the
subcontractor, and a contract of employment case of corporations, tools, equipment,
between the contractor or subcontractor and its implements, machineries and work premises,
workers. Hence, there are three parties involved in actually and directly used by the contractor or
these arrangements, the principal which decides subcontractor in the performance or completion
to farm out a job or service to a contractor or of the job, work or service contracted out.
subcontractor, the contractor or subcontractor
which has the capacity to independently
undertake the performance of the job, work or The "right to control" shall refer to the right
service, and the contractual workers engaged by reserved to the person for whom the services of
the contractor or subcontractor to accomplish the the contractual workers are performed, to
job work or service. determine not only the end to be achieved, but
also the manner and means to be used in
reaching that end.
Section 4. Definition of Basic Terms. - The
following terms as used in these Rules, shall
mean: Section 6. Prohibitions. - Notwithstanding Section
5 of these Rules, the following are hereby
declared prohibited for being contrary to law or
(a) "Contracting" or "subcontracting" refers to an public policy:
arrangement whereby a principal agrees to put
out or farm out with a contractor or subcontractor
the performance or completion of a specific job, (a) Contracting out of a job, work or service when
work or service within a definite or predetermined not done in good faith and not justified by the
period, regardless of whether such job, work or exigencies of the business and the same results
service is to be performed or completed within or in the termination of regular employees and
outside the premises of the principal. reduction of work hours or reduction or splitting
of the bargaining unit;
(b) "Contractor or subcontractor" refers to any
person or entity engaged in a legitimate (b) Contracting out of work with a "cabo" as
contracting or subcontracting arrangement. defined in Section 1 (ii), Rule I, Book V of these
Rules. "Cabo" refers to a person or group of
persons or to a labor group which, in the guise of
(c) "Contractual employee" includes one a labor organization, supplies workers to an
employed by a contractor or subcontractor to employer, with or without any monetary or other
perform or complete a job, work or service consideration whether in the capacity of an agent
pursuant to an arrangement between the latter of the employer or as an ostensible independent
and a principal. contractor;
(d) "Principal" refers to any employer who puts (c) Taking undue advantage of the economic
out or farms out a job, service or work to a situation or lack of bargaining strength of the
contractor or subcontractor. contractual employee, or undermining his
security of tenure or basic rights, or
Section 5. Prohibition against labor-only circumventing the provisions of regular
contracting. - Labor-only contracting is hereby employment, in any of the following instances:
declared prohibited. For this purpose, labor-only
contracting shall refer to an arrangement where (i) In addition to his assigned functions, requiring
the contractor or subcontractor merely recruits, the contractual employee to perform functions
supplies or places workers to perform a job, work which are currently being performed by the
or service for a principal, and any of the following regular employees of the principal or of the
elements are present: contractor or subcontractor;
(i) The contractor or subcontractor does not have
substantial capital or investment which relates to
the job, work or service to be performed and the (ii) Requiring him to sign, as a precondition to
employees recruited, supplied or placed by such employment or continued employment, an
contractor or subcontractor are performing antedated resignation letter; a blank payroll; a
activities which are directly related to the main waiver of labor standards including minimum
business of the principal; or wages and social or welfare benefits; or a
quitclaim releasing the principal, contractor or
subcontractor from any liability as to payment of
future claims; and

(iii) Requiring him to sign a contract fixing the which shall be in writing, shall include the
period of employment to a term shorter than the following terms and conditions:
term of the contract between the principal and the (a) The specific description of the job, work or
contractor or subcontractor, unless the latter service to be performed by the contractual
contract is divisible into phases for which employee;
substantially different skills are required and this
is made known to the employee at the time of (b) The place of work and terms and conditions of
engagement; employment, including a statement of the wage
rate applicable to the individual contractual
(d) Contracting out of a job, work or service employee; and
through an in-house agency which refers to a
contractor or subcontractor engaged in the (c) The term or duration of employment, which
supply of labor which is owned, managed or shall be coextensive with the contract of the
controlled by the principal and which operates principal and subcontractor, or with the specific
solely for the principal; phase for which the contractual employee is
engaged, as the case may be.
(e) Contracting out of a job, work or service
directly related to the business or operation of the The contractor or subcontractor shall inform the
principal by reason of a strike or lockout whether contractual employee of the foregoing terms and
actual or imminent; conditions on or before the first day of his
employment.
(f) Contracting out of a job, work or service being
performed by union members when such will Section 10. Effect of Termination of Contractual
interfere with, restrain or coerce employees in the Employment. - In cases of termination of
exercise of their rights to self organization as employment prior to the expiration of the contract
provided in Art. 248 (c) of the Labor Code, as between the principal and the contractor or
amended. subcontractor, the right of the contractual
employee to separation pay or other related
Section 7. Existence of an employer-employee benefits shall be governed by the applicable laws
relationship. - The contractor or subcontractor and jurisprudence on termination of employment.
shall be considered the employer of the
contractual employee for purposes of enforcing Where the termination results from the expiration
the provisions of the Labor Code and other social of the contract between the principal and the
legislation. The principal, however, shall be contractor or subcontractor, or from the
solidarily liable with the contractor in the event of completion of the phase of the job, work or
any violation of any provision of the Labor Code, service for which the contractual employee is
including the failure to pay wages. engaged, the latter shall not be entitled to
The principal shall be deemed the employer of the separation pay. However, this shall be without
contractual employee in any of the following prejudice to completion bonuses or other
cases as declared by a competent authority: emoluments, including retirement pay as may be
provided by law or in the contract between the
(a) where there is labor-only contracting; or principal and the contractor or subcontractor.
(b) where the contracting arrangement falls within Section 11. Registration of Contractors or
the prohibitions provided in Section 6 Subcontractors. - Consistent with the authority of
(Prohibitions) hereof. the Secretary of Labor and Employment to restrict
or prohibit the contracting out of labor through
Section 8. Rights of Contractual Employees. - appropriate regulations, a registration system to
Consistent with Section 7 of these Rules, the govern contracting arrangements and to be
contractual employee shall be entitled to all the implemented by the Regional Offices is hereby
rights and privileges due a regular employee as established.
provided for in the Labor Code, as amended, to
include the following: The registration of contractors and
(a) Safe and healthful working conditions; subcontractors shall be necessary for purposes
(b) Labor standards such as service incentive of establishing an effective labor market
leave, rest days, overtime pay, holiday pay, 13th information and monitoring.
month pay and separation pay;
(c) Social security and welfare benefits; Failure to register shall give rise to the
(d) Self-organization, collective bargaining and presumption that the contractor is engaged in
peaceful concerted action; and labor-only contracting.
(e) Security of tenure.
Section 9. Contract between contractor or
subcontractor and contractual employee. - Section 12. Requirements for registration. - A
Notwithstanding oral or written stipulations to the contractor or subcontractor shall be listed in the
contrary, the contract between the contractor or registry of contractors and subcontractors upon
subcontractor and the contractual employee, completion of an application form to be provided
by the DOLE. The applicant contractor or

subcontractor shall provide in the application file, and transmit the remaining set to the Bureau
form the following information: of Local Employment. The Bureau shall devise the
necessary forms for the expeditious processing
(a) The name and business address of the of all applications for registration.
applicant and the area or areas where it seeks to
operate; Section 14. Duty to produce copy of contract
between the principal and the contractor or
(b) The names and addresses of officers, if the subcontractor. - The principal or the contractor or
applicant is a corporation, partnership, subcontractor shall be under an obligation to
cooperative or union; produce a copy of the contract between the
principal and the contractor in the ordinary
course of inspection. The contractor shall
(c) The nature of the applicant's business and the likewise be under an obligation to produce a copy
industry or industries where the applicant seeks of the contract of employment of the contractual
to operate; worker when directed to do so by the Regional
Director or his authorized representative.
(d) The number of regular workers; the list of
clients, if any; the number of personnel assigned A copy of the contract between the contractual
to each client, if any and the services provided to employee and the contractor or subcontractor
the client; shall be furnished the certified bargaining agent,
if there is any.
(e) The description of the phases of the contract
and the number of employees covered in each Section 15. Annual Reporting of Registered
phase, where appropriate; and Contractors. - The contractor or subcontractor
shall submit in triplicate its annual report using a
(f) A copy of audited financial statements if the prescribed form to the appropriate Regional
applicant is a corporation, partnership, Office not later than the 15th of January of the
cooperative or a union, or copy of the latest ITR if following year. The report shall include:
the applicant is a sole proprietorship.
(a) A list of contracts entered with the principal
The application shall be supported by: during the subject reporting period;
(a) A certified copy of a certificate of registration
of firm or business name from the Securities and (b) The number of workers covered by each
Exchange Commission (SEC), Department of contract with the principal;
Trade and Industry (DTI), Cooperative
Development Authority (CDA), or from the DOLE if
the applicant is a union; and (c) A sworn undertaking that the benefits from the
Social Security System (SSS), the Home
Development Mutual Fund (HDMF), PhilHealth,
(b) A certified copy of the license or business Employees Compensation Commission (ECC),
permit issued by the local government unit or and remittances to the Bureau of Internal Revenue
units where the contractor or subcontractor (BIR) due its contractual employees have been
operates. made during the subject reporting period.
The application shall be verified and shall include The Regional Office shall return one set of the
an undertaking that the contractor or duly-stamped report to the contractor or
subcontractor shall abide by all applicable labor subcontractor, retain one set for its file, and
laws and regulations. transmit the remaining set to the Bureau of Local
Employment within five (5) days from receipt
Section 13. Filing and processing of applications. thereof.
- The application and its supporting documents
shall be filed in triplicate in the Regional Offices Section 16. Delisting of contractors or
where the applicant principally operates. No subcontractors. - Subject to due process, the
application for registration shall be accepted Regional Director shall cancel the registration of
unless all the foregoing requirements are contractors or subcontractors based on any of
complied with. The contractor or subcontractor the following grounds:
shall be deemed registered upon payment of a
registration fee of P100.00 to the Regional Office.
(a) Non-submission of contracts between the
principal and the contractor or subcontractor
Where all the supporting documents have been when required to do so;
submitted, the Regional Office shall deny or
approve the application within seven (7) working
days after its filing. (b) Non-submission of annual report;
Upon registration, the Regional Office shall return (c) Findings through arbitration that the
one set of the duly-stamped application contractor or subcontractor has engaged in labor-
documents to the applicant, retain one set for its only contracting and the prohibited activities as
provided in Section 6 (Prohibitions) hereof; and
(d) Non-compliance with labor standards and this Rule are hereby superseded. Contracting or
working conditions. subcontracting arrangements in the construction
industry, under the licensing coverage of the
Section 17. Renewal of registration of contractors PCAB and shall not include shipbuilding and ship
or subcontractors. - All registered contractors or repairing works, however, shall continue to be
subcontractors may apply for renewal of governed by Department Order No. 19, series of
registration every three years. For this purpose, 1993.
the Tripartite Industrial Peace Council (TIPC) as
created under Executive Order No. 49, shall serve Section 21. Effectivity. - This Order shall be
as the oversight committee to verify and monitor effective fifteen (15) days after completion of its
the following: publication in two (2) newspapers of general
(a) Engaging in allowable contracting activities; circulation.
and
.
(b) Compliance with administrative reporting Manila, Philippines, 21 February 2002.
requirements.
a. Requirements for Independent Contractor
Section 18. Enforcement of Labor Standards and
Working Conditions. - Consistent with Article 128 San Miguel Corp v. NLRC & Maliksi,
(Visitorial and Enforcement Power) of the Labor GR No. 147566, Dec. 6, 2006
Code, as amended, the Regional Director through
his duly authorized representatives, including
labor regulation officers shall have the authority
to conduct routine inspection of establishments
engaged in contracting or subcontracting and
shall have access to employer's records and
premises at any time of the day or night whenever
work is being undertaken therein, and the right to
copy therefrom, to question any employee and
investigate any fact, condition or matter which
may be necessary to determine violations or
which may aid in the enforcement of the Labor
Code and of any labor law, wage order, or rules
and regulations issued pursuant thereto.
The findings of the duly authorized representative

shall be referred to the Regional Director for
appropriate action as provided for in Article 128,
and shall be furnished the collective bargaining
agent, if any.
Based on the visitorial and enforcement power of

the Secretary of Labor and Employment in Article
128 (a), (b), (c) and (d), the Regional Director shall
issue compliance orders to give effect to the labor
standards provisions of the Labor Code, other
labor legislation and these guidelines.
Section 19. Solidary liability. - The principal shall

be deemed as the direct employer of the
contractual employees and therefore, solidarily
liable with the contractor or subcontractor for
whatever monetary claims the contractual LIIKHA-PMPB v. Burlinggame corp.,
employees may have against the former in the GR No. 162833, June 15, 2007
case of violations as provided for in Sections 5
(Labor-Only contracting), 6 (Prohibitions), 8
(Rights of Contractual Employees) and 16
(Delisting) of these Rules. In addition, the
principal shall also be solidarily liable in case the
contract between the principal and contractor or
subcontractor is preterminated for reasons not
attributable to the fault of the contractor or
subcontractor.
Section 20. Supersession. - All rules and

regulations issued by the Secretary of Labor and
Employment inconsistent with the provisions of
b. Desirable Unnecessary
Coca-Cola Bottlers Phil., Inc. v.

NLRC, 307 SCRA 131 (1999) d. Effect of Finding
San Miguel Corporation v. Abella,

461 SCRA 392 (2005)
c. Labor Contractor Only; Requisites and

Prohibition
Manila Water Co., Inc. v. Pena, 434

SCRA 52 (2004) 3. Liability of Indirect Employer
Lanzaderas v. Amethyst Security &

General Services, Inc., supra

(c) While recognizing the significant

contribution of Filipino migrant workers to the
national economy through their foreign
exchange remittances, the State does not
promote overseas employment as a means
to sustain economic growth and achieve
national development. The existence of the
overseas employment program rests solely
on the assurance that the dignity and
fundamental human rights and freedoms of
the Filipino citizens shall not, at any time, be
compromised or violated. The State,
D. Pre-employment, Recruitment and Placement of therefore, shall continuously create local
Workers employment opportunities and promote the
equitable distribution of wealth and the
Reference: Arts. 12-42; POEA Rules; Book 1, Rules III-VIII, benefits of development.
Omnibus Rules; Migrant Workers and Overseas Filipinos Act
of 1995 (RA 8042); Anti-Trafficking in Persons Act 2003 (RA (d) The State affirms the fundamental
9208) and Rules and Regulations Implementing RA 9208 equality before the law of women and men
and the significant role of women in nation-
1. Pre-employment Policy Statement of Objectives, building. Recognizing the contribution of
Art. 12 (a) (f); overseas migrant women workers and their
Const., Art. II, Sec. 9; RA 8042, Sec. 2, 4 & 5. particular vulnerabilities, the State shall
apply gender sensitive criteria in the
ART. 12. Statement of objectives. - It is the policy of formulation and implementation of policies
the State: and programs affecting migrant workers and
the composition of bodies tasked for the
a) To promote and maintain a state of full welfare of migrant workers.
employment through improved manpower
(e) Free access to the courts and quasi-
training, allocation and utilization;
judicial bodies and adequate legal
assistance shall not be denied to any
f) To strengthen the network of public persons by reason of poverty. In this regard,
employment offices and rationalize the it is imperative that an effective mechanism
participation of the private sector in the be instituted to ensure that the rights and
recruitment and placement of workers, interest of distressed overseas Filipinos, in
locally and overseas, to serve national general, and Filipino migrant workers, in
development objectives; particular, documented or undocumented,
are adequately protected and safeguarded.
1987 Constitution, Art II, Sec. 9 (f) The right of Filipino migrant workers and
all overseas Filipinos to participate in the
The State shall promote a just and dynamic democratic decision-making processes of
social order that will ensure the prosperity the State and to be represented in
and independence of the nation and free the institutions relevant to overseas employment
people from poverty through policies that is recognized and guaranteed.
provide adequate social services, promote (g) The State recognizes that the ultimate
full employment, a rising standard of living, protection to all migrant workers is the
and an improved quality of life for all. possession of skills. Pursuant to this and as
soon as practicable, the government shall
REPUBLIC ACT NO. 8042 deploy and/or allow the deployment only to
SEC. 2. DECLARATION OF POLICIES-- skilled Filipino workers.
(a) In the pursuit of an independent foreign (h) Non-governmental organizations, duly
policy and while considering national recognized as legitimate, are partners of the
sovereignty, territorial integrity, national State in the protection of Filipino migrant
interest and the right to self-determination workers and in the promotion of their
paramount in its relations with other states, welfare, the State shall cooperate with them
the State shall, at all times, uphold the in a spirit of trust and mutual respect.
dignity of its citizens whether in country or
overseas, in general, and Filipino migrant (I) Government fees and other administrative
workers, in particular. costs of recruitment, introduction, placement
and assistance to migrant workers
(b) The State shall afford full protection to shall be rendered free without prejudice to
labor, local and overseas, organized and the provision of Section 36 hereof.
unorganized, and promote full employment
and equality of employment opportunities for Nonetheless, the deployment of Filipino
all. Towards this end, the State shall provide overseas workers, whether land-based or
adequate and timely social, economic and sea-based by local service contractors and
legal services to Filipino migrant workers. manning agencies employing them shall be
encouraged. Appropriate incentives may be
extended to them.
I. DEPLOYMENT ART. 14. Employment promotion. - The

Secretary of Labor shall have the power and
SEC. 4. Deployment of Migrant Workers - authority:
The State shall deploy overseas Filipino
workers only in countries where the rights of
Filipino migrant workers are protected. The (a) To organize and establish new
government recognizes any of the following employment offices in addition to the existing
as guarantee on the part of the receiving employment offices under the Department of
country for the protection and the rights of Labor as the need arises;
overseas Filipino workers:
(a) It has existing labor and social laws
protecting the rights of migrant workers;
(b) It is a signatory to multilateral
conventions, declaration or resolutions
relating to the protection of migrant workers; 3) Private Recruitment Entity Arts. 13 (e) (f), 12 (f), 14
(a)
(c) It has concluded a bilateral agreement or
arrangement with the government protecting
the rights of overseas Filipino workers; and ART. 13. (e) "Private recruitment entity"
(d) It is taking positive, concrete measures to means any person or association engaged in
protect the rights of migrant workers. the recruitment and placement of workers,
locally or overseas, without charging, directly
SEC. 5. TERMINATION OR BAN ON or indirectly, any fee from the workers or
DEPLOYMENT - Notwithstanding the employers.
provisions of Section 4 hereof, the
government, in pursuit of the national (f) "Authority" means a document issued by
interest or when public welfare so requires, the Department of Labor authorizing a
may, at any time, terminate or impose a ban person or association to engage in
on the deployment of migrant workers. recruitment and placement activities as a
private recruitment entity.
2. Private Sector Agencies and Entities ART. 12. Statement of objectives. - It is the
policy of the State:
a. Parties
1) Worker Art. 13 (a) f) To strengthen the network of public

employment offices and rationalize the
ART. 13. Definitions. - (a) "Worker" means participation of the private sector in the
any member of the labor force, whether employed or recruitment and placement of workers,
unemployed. locally and overseas, to serve national
development objectives;
2) Private Employment Agency Arts. 13 (c) (d), 12 (f), 14

(a)
ART. 14. Employment promotion. - The
Secretary of Labor shall have the power and
authority:
ART. 13. (c) "Private fee-charging
employment agency" means any person or (a) To organize and establish new
entity engaged in recruitment and placement employment offices in addition to the existing
of workers for a fee which is charged, employment offices under the Department of
directly or indirectly, from the workers or Labor as the need arises;
employers or both.
b. Recruitment and Placement
(d) "License" means a document issued by
1) Local Employment, Art. 13 (b)
the Department of Labor authorizing a
person or entity to operate a private
employment agency. (b) "Recruitment and placement" refers to
any act of canvassing, enlisting, contracting,
transporting, utilizing, hiring or procuring
ART. 12. Statement of objectives. - It is the
workers, and includes referrals, contract
policy of the State:
services, promising or advertising for
employment, locally or abroad, whether for
f) To strengthen the network of public profit or not: Provided, That any person or
employment offices and rationalize the entity which, in any manner, offers or
participation of the private sector in the promises for a fee, employment to two or
recruitment and placement of workers, more persons shall be deemed engaged in
locally and overseas, to serve national recruitment and placement.
development objectives;

2) Overseas Employment, Sec. 6, RA 8042 Employment from the time of actual signing
thereof by the parties up to and including the
Sec. 6. DEFINITIONS. - For purposes of this period of the expiration of the same without
Act, illegal recruitment shall mean any act of the approval of the Department of Labor and
canvassing, enlisting, contracting, Employment;
transporting, utilizing, hiring, procuring
workers and includes referring, contact (j) For an officer or agent of a recruitment or
services, promising or advertising for placement agency to become an officer or
employment abroad, whether for profit or member of the Board of any corporation
not, when undertaken by a non-license or engaged in travel agency or to be engaged
non-holder of authority contemplated under directly on indirectly in the management of a
Article 13(f) of Presidential Decree No. 442, travel agency;
as amended, otherwise known as the Labor (k) To withhold or deny travel documents
Code of the Philippines. Provided, that such from applicant workers before departure for
non-license or non-holder, who, in any monetary or financial considerations other
manner, offers or promises for a fee than those authorized under the Labor Code
employment abroad to two or more persons and its implementing rules and regulations;
shall be deemed so engaged. It shall
likewise include the following acts, whether (l) Failure to actually deploy without valid
committed by any persons, whether a non- reasons as determined by the Department of
licensee, non-holder, licensee or holder of Labor and Employment; and
authority.
(m) Failure to reimburse expenses incurred
(a) To charge or accept directly or indirectly by the workers in connection with his
any amount greater than the specified in the documentation and processing for purposes
schedule of allowable fees prescribed by the of deployment, in cases where the
Secretary of Labor and Employment, or to deployment does not actually take place
make a worker pay any amount greater than without the worker's fault. Illegal recruitment
that actually received by him as a loan or when committed by a syndicate or in large
advance; scale shall be considered as offense
involving economic sabotage.
(b) To furnish or publish any false notice or
information or document in relation to Illegal recruitment is deemed committed by a
recruitment or employment; syndicate carried out by a group of three (3)
or more persons conspiring or confederating
(c) To give any false notice, testimony, with one another. It is deemed committed in
information or document or commit any act large scale if committed against three (3) or
of misrepresentation for the purpose of more persons individually or as a group.
securing a license or authority under the
Labor Code; The persons criminally liable for the above
offenses are the principals, accomplices and
(d) To induce or attempt to induce a worker accessories. In case of juridical persons, the
already employed to quit his employment in officers having control, management or
order to offer him another unless the transfer direction of their business shall be liable.
is designed to liberate a worker from
oppressive terms and conditions of
employment; c. Allowed and Protected Entities
(e) To influence or attempt to influence any 1) Allowed Private Agencies and Entities, Arts. 16, 18, 25,
persons or entity not to employ any worker 12 (f)
who has not applied for employment through
his agency; ART. 16. Private recruitment. - Except as
provided in Chapter II of this Title, no person
(f) To engage in the recruitment of placement or entity other than the public employment
of workers in jobs harmful to public health or offices, shall engage in the recruitment and
morality or to dignity of the Republic of the placement of workers.
Philippines;
ART. 18. Ban on direct-hiring. - No employer
(g) To obstruct or attempt to obstruct may hire a Filipino worker for overseas
inspection by the Secretary of Labor and employment except through the Boards and
Employment or by his duly authorized entities authorized by the Secretary of Labor.
representative; Direct-hiring by members of the diplomatic
(h) To fail to submit reports on the status of corps, international organizations and such
employment, placement vacancies, other employers as may be allowed by the
remittances of foreign exchange earnings, Secretary of Labor is exempted from this
separations from jobs, departures and such provision.
other matters or information as may be ART. 25. Private sector participation in the
required by the Secretary of Labor and recruitment and placement of workers. -
Employment; Pursuant to national development objectives
(i) To substitute or alter to the prejudice of and in order to harness and maximize the
the worker, employment contracts approved use of private sector resources and initiative
and verified by the Department of Labor and in the development and implementation of a
comprehensive employment program, the capitalization as determined by the Secretary

private employment sector shall participate of Labor.
in the recruitment and placement of workers,
locally and overseas, under such guidelines, ART. 29. Non-transferability of license or
rules and regulations as may be issued by authority. - No license or authority shall be
the Secretary of Labor. used directly or indirectly by any person
ART. 12. Statement of objectives. - It is the other than the one in whose favor it was
policy of the State: issued or at any place other than that stated
in the license or authority be transferred,
f) To strengthen the network of public conveyed or assigned to any other person or
employment offices and rationalize the entity. Any transfer of business address,
participation of the private sector in the appointment or designation of any agent or
recruitment and placement of workers, representative including the establishment of
locally and overseas, to serve national additional offices anywhere shall be subject
development objectives; to the prior approval of the Department of
Labor.
2) Prohibited Business Agencies and Entities, Arts. 16, 18,
25, 26 ART. 30. Registration fees. - The Secretary
of Labor shall promulgate a schedule of fees
ART. 16. Private recruitment. - Except as provided in for the registration of all applicants for
Chapter II of this Title, no person or entity other than license or authority.
the public employment offices, shall engage in the
recruitment and placement of workers.
ART. 31. Bonds. - All applicants for license or
ART. 18. Ban on direct-hiring. - No employer may hire authority shall post such cash and surety
a Filipino worker for overseas employment except bonds as determined by the Secretary of
through the Boards and entities authorized by the Labor to guarantee compliance with
Secretary of Labor. Direct-hiring by members of the prescribed recruitment procedures, rules and
diplomatic corps, international organizations and such regulations, and terms and conditions of
other employers as may be allowed by the Secretary employment as may be appropriate.
of Labor is exempted from this provision.
POEA Rules, Book II,
ART. 25. Private sector participation in the recruitment LICENSING AND REGULATION
and placement of workers. - Pursuant to national
development objectives and in order to harness and RULE I
maximize the use of private sector resources and PARTICIPATION OF THE PRIVATE SECTOR IN THE
initiative in the development and implementation of a OVERSEAS EMPLOYMENT PROGRAM
comprehensive employment program, the private
employment sector shall participate in the recruitment Section 1. Qualifications. Only those who
and placement of workers, locally and overseas, possess the following qualifications may be
under such guidelines, rules and regulations as may permitted to engage in the business of
be issued by the Secretary of Labor. recruitment and placement of Filipino
workers:
ART. 26. Travel agencies prohibited to recruit. - Travel
agencies and sales agencies of airline companies are a. Filipino citizens, partnerships or
prohibited from engaging in the business of corporations at least seventy five percent
recruitment and placement of workers for overseas (75%) of the authorized capital stock of
employment whether for profit or not. which is owned and controlled by Filipino
citizens;
d. Government Techniques of Regulation Private Recruitment b. A minimum capitalization of Two Million
Pesos (P2,000,000.00) in case of a single
1) Licensing, Arts. 27, 28, 29, 30, 31, POEA rules and
proprietorship or partnership and a minimum
Regulations, Book II, Sec. 1 and Book II, Rule II
paid-up capital of Two Million Pesos
(P2,000,000.00) in case of a corporation;
Provided that those with existing licenses
ART. 27. Citizenship requirement. - Only shall, within four years from effectivity
Filipino citizens or corporations, partnerships hereof, increase their capitalization or paid
or entities at least seventy-five percent up capital, as the case may be, to Two
(75%) of the authorized and voting capital Million Pesos (P2,000,000.00) at the rate of
stock of which is owned and controlled by Two Hundred Fifty Thousand Pesos
Filipino citizens shall be permitted to (P250,000.00) every year.
participate in the recruitment and placement
of workers, locally or overseas. c. Those not otherwise disqualified by law or
other government regulations to engage in
ART. 28. Capitalization. - All applicants for the recruitment and placement of workers for
authority to hire or renewal of license to overseas employment.
recruit are required to have such substantial
RULE II
ISSUANCE OF LICENSE
(1) A duly executed Special Power of

Section 1. Requirements for Issuance of Attorney authenticated by the Philippine
License. - Every applicant for license to Embassy/Consulate or Labor Attache in the
operate a private employment agency or place where the principal/employers hold
manning agency shall submit a written their office; or
application together with the following
requirements: (2) A concluded service/recruitment
agreement authenticated by the Philippine
a. A certified copy of the Articles of Embassy/Consulate, or Labor Attache in the
Incorporation or of Partnership duly place where the project/job site is located;
registered with the Securities and Exchange
Commission (SEC), in the case of (3) An authenticated manpower mobilization
corporation or partnership or Certificate of request or visa approval of not less than fifty
Registration of firm or business name with (50) workers for deployment within a period
the Bureau of Domestic Trade (BDT) in the not exceeding six (6) months from issuance
case of a single proprietorship; of approved license;
b. Proof of financial capacity: In the case of

a single proprietorship or partnership,
verified income tax returns for the past two An applicant who, at the time of application
(2) years and a bank certificate of a cash is unable to present a foreign
deposit of P250,000.00, provided that the principal/employer shall, upon compliance
applicant should submit an authority to with all other licensing requirements as
examine such bank deposit. herein provided, be issued a provisional
license, subject to submission of a verified
In the case of a newly organized corporation, undertaking to deploy at least fifty (50)
submission of a bank certificate of a cash workers, exclusive of direct hired, within a
deposit of at least P250,000.00 with authority period not exceeding six (6) months from
to examine the same. For an existing date of issuance of provisional license. It is
corporation, submission of a verified financial understood that failure to comply with this
statement, corporate tax returns for the past undertaking shall result in the automatic
two (2) years and bank certification of a cash revocation of the provisional license.
deposit of at least P250,000.00 with the
corresponding authority to examine such
deposit. For manning applicants:
c. Escrow agreement in the amount of (1) A duly executed Special Power of

P200,000.00 with an accredited reputable Attorney authenticated by the Philippine
banking corporation to primarily answer for Embassy/Consulate or Labor Attache in
valid and legal claims of recruited workers as place where the vessel
a result of recruitment violations or money owners/operators/manager hold their
claims; principal office; or
d. Clearance of all members of the Board of (2) A duly concluded manning agreement
Directors, partner, or proprietor of the authenticated by the Philippine Embassy,
applicant agency from the National Bureau Consulate, or Labor Attache in the place
of Investigation (NBI) and other government where the vessel/owners/operators/
agencies as the need may require, Fiscals manager hold their principal office;
clearance in case of persons with criminal
cases; provided that where the member or (3) A manpower mobilization request of not
partner concerned is a foreigner, clearance less than fifty (50) seafarers for deployment
from his country of origin shall be within a period not exceeding six (6) months
acceptable; from issuance of approved license.
e. Proof of marketing capability; f. A verified undertaking stating that the

applicant:
For land-based applicants: (1) Shall select only medically and

technically qualified recruits;
(2) Shall assume full and complete

An applicant with an actual principal/foreign responsibility for all claims and liabilities
employer to be serviced, shall at the time of which may arise in connection with the use
application submit the following documents of license;
for evaluation:

(3) Shall assume joint and solidary liability surety. The surety bonds shall be co-
with the employer for all claims and liabilities terminus with the validity period of the
which may arise in connection with the license.
implementation of the contract, including but
not limited to payment of wages, death and Section 5. Validity of License. - Every
disability compensation and repatriation; license shall be valid for at least two (2)
years from the date of issuance unless
(4) Shall guarantee compliance with the sooner cancelled or revoked by the
existing labor and social legislations of the Secretary or suspended by the
Philippines and of the country of employment Administration for violation of the Code and
of recruited workers; and its rules and relevant decrees, orders and
issuances and other rules and regulations of
(5) Shall assume full and complete the Department. Such license shall be valid
responsibility for all acts of its officials, only at the place/s stated therein and when
employees and representatives done in used by the licensed person, partnership or
connection with recruitment and placement; corporation.
g. List of all officials and personnel involved Section 6. Non-Transferability of License. -

in the recruitment and placement, together No license shall be transferred, conveyed or
with their appointment, bio-data and two (2) assigned to any person, partnership or
copies of their passport-size pictures. corporation. It shall not be used directly or
indirectly by any person, partnership or
h. Copy of contract of lease or proof of corporation other than the one in whose
building ownership together with office favor it was issued. Violation shall cause
address. automatic revocation of license.
Section 2. Action on the Application. - Within In case of death of the sole proprietor, and in
thirty (30) calendar days from receipt of order to prevent disruption of operation and
application or requirements including proof of so as not to prejudice the interest of
payment of a non-refundable filing fee of legitimate heirs, the licensed single
P5,000.00, the Administration shall evaluate proprietorship may be allowed to continue
pertinent documents of the applicant, inspect only for the purpose of winding up its
the offices and equipment and recommend business operation.
to the Secretary the approval or denial of the
application. Section 7. Change of
Ownership/Relationship of Single
Section 3. Issuance of License. - The Proprietorship or Partnership. - Transfer or
Administration shall recommend to the change of ownership of a single
Secretary issuance of the corresponding proprietorship licensed to engage in
license upon due evaluation and compliance overseas employment shall cause the
with licensing requirements and operational automatic revocation of the license. The
standards. new owner shall be required to apply for a
license in accordance with these Rules.
Section 4. Payment of Fees and Posting of
Bonds. - Upon approval of the application, A change in the relationship of the partners
the applicant shall pay a license fee of in a partnership duly licensed to engage in
P30,000.00. It shall also post a cash bond of overseas employment which materially
P100,000.00 and a surety bond of interrupts the course of the business or
P50,000.00 from a bonding company results in the actual dissolution of the
acceptable to the Administration and duly partnership shall likewise cause the
accredited by the Insurance Commission. automatic revocation of the license.
The bonds shall answer for all valid and legal
claims arising from violations of the Section 8. Upgrading of Single
conditions for the grant and use of the Proprietorship or Partnerships. - License
license, and/or accreditation and contracts of holders which are single proprietorships or
employment. The bonds shall likewise partnerships may, subject to the guidelines
guarantee compliance with the provisions of of the Administration, convert into
the Code and its implementing rules and corporation for purposes of upgrading or
regulations relating to recruitment and raising their capabilities to respond
placement, the Rules of the Administration adequately to developments/changes in the
and relevant issuances of the Department international labor market and to enable
and all liabilities which the Administration them to better comply with their
may impose. The surety bonds shall include responsibilities arising from the recruitment
the condition that notice to the principal is and deployment of workers overseas.
notice to the surety and that any judgment
against the principal in connection with
matters falling under POEAs jurisdiction The approval of merger, consolidation or
shall be binding and conclusive on the upgrading shall automatically revoke or
cancel the licenses of the single publication shall be submitted to the

proprietorships, partnerships or corporations Administration
so merged, consolidated or upgraded.
Section 13. Transfer of Business Address
Section 9. Change of Directors of and Studio. - Any transfer of business
Corporation. - Every change in the address shall be effected only with prior
composition of the Board of Directors of a authority or approval of the Administration.
corporation licensed to participate in The approval shall be issued only upon
overseas employment shall be registered formal notice of the intention to transfer with
with the Administration within thirty (30) the following attachments:
calendar days from the date the change was
decided or approved. The corporation shall a. Copy of the companys notice to the BDT
be required to submit to the Administration or the SEC on the transfer of business
the Minutes of Proceedings duly certified by address;
the SEC, the bio-data and clearances of the
new members of the Board from the b. In the case of a corporation, a Board
government agencies identified in Section 1 Resolution duly registered with the SEC
(e) of this Rule. authorizing the transfer of business address;
Section 10. Change of Other Officers and

Personnel. - Every change or termination of c. In the case of a single proprietorship, a
appointment of officers, representatives and copy of the BDTs acknowledgment of the
personnel shall be registered with the notice to transfer; and
Administration within thirty (30) calendar
days from the date of such change. d. Copy of the contract of lease or proof of
building ownership.
The Administration reserves the right to deny
the appointment of officers and employees The new office shall be subject to the normal
who were directly involved in recruitment ocular inspection procedures by duly
irregularities. authorized representatives of the
Administration.
Section 11. Appointment of
Representatives. - Every appointment of A notice to the public of the new address
representatives or agents of licensed agency shall be published in a newspaper of general
shall be subject to prior approval or authority circulation.
of the Administration.
Section 14. Establishment of Executive
The approval may be issued upon Office. - The establishment of an executive
submission of or compliance with the office outside of the registered address shall
following requirements: be effected only with prior approval or
authority of the Administration. The approval
a. Proposed appointment or special power of may be issued upon submission of an
attorney; affidavit of undertaking to the effect that no
recruitment activity whatsoever shall be
b. Clearances of the proposed conducted thereat and that the agency has a
representative or agent from NBI; valid contract of lease or building ownership.
c. A sworn or verified statement by the Section 15. Establishment of Branch and

designating or appointing person or Extension Offices. - Branch and extension
company assuming full responsibility for all offices may be established in areas
acts of the agent or representative done in approved by the Secretary, subject to
connection with the recruitment and implementing guidelines.
placement of workers;
Section 16. Conduct of Recruitment Outside
Section 12. Publication of Change of of Registered Office, Branch or Extension
Directors/Other Officers and Personnel/ Office. - No licensed agency shall conduct
Revocation or Amendment of Appointment of any provincial recruitment, job fairs or
Representatives. - In addition to the recruitment activities of any form outside of
requirement of registration with and the address stated in the license,
submission to the Administration, every acknowledged Branch or Extension Office or
change in the membership of the Board of without first securing prior authority from the
Directors, resignation/termination of other Administration of the Center.
officers and personnel, revocation or
amendment of appointment of
representatives shall be published at least Section 17. Renewal of License. - An
once in a newspaper of general circulation, agency shall submit an application for the
in order to bind third parties. Proof of such renewal thereof to the Administration. Such

application shall be supported by the requirements set by the Administration, shall

following documents: not be renewed.
a. Proof of foreign exchange earnings issued Section 22. When to Consider Cash
by the Central Bank; Bond/Deposit in Escrow Garnished. - As
soon as an Order of Garnishment is served
b. Surety bond duly renewed or revalidated; upon the Administration/Bank, and the same
is correspondingly earmarked, the cash
c. Escrow agreement in the amount of bond/deposit in escrow of an agency shall no
P200,000.00 with an accredited reputable longer be considered sufficient. The
banking corporation to primarily answer for Administration shall forthwith serve upon the
valid and legal claims of recruited workers as agency a notice to replenish.
a result of recruitment violations or money
claims; Section 23. Replenishment of Cash or
Surety Bonds/Deposit in Escrow. - Within
d. Replenishment of the cash bond in case fifteen (15) calendar days from date of
such or any part thereof is garnished; receipt of notice from the Administration that
the bonds/deposit in escrow, or any part
e. Proof of financial capacity such as but not thereof had been garnished, the agency
limited to verified financial statements for the shall replenish the same. Failure to
past two (2) years, verified corporate or replenish such bonds/deposit in escrow
individual tax returns with confirmation within the said period shall cause the
receipts, and compliance with capitalization suspension of the license.
requirements and infusion thereof as the
case may be, as certified by the Securities
and Exchange Commission; Section 24. Refund of Cash Bond/Release
of Deposit in Escrow. - A licensed agency
f. Summary of deployment reports during the which voluntarily surrenders its license shall
validity of the license sought to be renewed; be entitled to the refund of its deposited cash
bond and release of the deposit in escrow,
g. Summary of payroll reports in case of only after posting a surety bond of similar
contractors and manning agencies during amount valid for four (4) years from
the validity of the license sought to be expiration of license.
renewed; and
Section 25. Evaluation of Performance of
h. Other requirements as may be imposed Agencies. - The Administration shall
by the Administration. undertake the annual evaluation and rating
of the performance of licensed agencies to
Section 18. Non-expiration of License. - determine the merits of their continued
Where the license holder has made timely participation in the overseas employment
and sufficient application for renewal, the program taking into consideration
existing license shall not expire until the compliance with laws and regulations and
application shall have been finally such other criteria as it may deem proper.
determined by the Administration.
Section 26. Classification and Ranking. -
Section 19. Action on Renewal of License. - The Administration may undertake the
Within thirty (30) calendar days from receipt classification and ranking of agencies. In
of the application for renewal the recognition of exemplary performance, it
Administration shall undertake evaluation may undertake schemes for incentives and
and inspection and thereafter recommend to rewards.
the Secretary the grant or denial of the
application.
2) Workers Fees, Art. 32
Section 20. Failure to Renew. - Any agency
ART. 32. Fees to be paid by workers. - Any
which fails to obtain a renewal of its license
person applying with a private fee-charging
within thirty (30) calendar days from
employment agency for employment
expiration thereof, shall be immediately
assistance shall not be charged any fee until
deemed delisted and disallowed from
he has obtained employment through its
conducting recruitment and placement.
efforts or has actually commenced
employment. Such fee shall be always
Section 21. Denial of Renewal of Licenses. covered with the appropriate receipt clearly
- Licenses of agencies which fail to conclude showing the amount paid. The Secretary of
a recruitment or manning agreement and/or Labor shall promulgate a schedule of
undertake minimum levels of worker allowable fees.
deployment and foreign exchange
generation or those which fail to meet the
3) Reports/Employment Information, Arts. 33, 14 (d)
minimum operational standards and

ART. 33. Reports on employment status. - separation from jobs, departures and such
Whenever the public interest requires, the other matters or information as may be
Secretary of Labor may direct all persons or required by the Secretary of Labor.
entities within the coverage of this Title to
submit a report on the status of employment, (i) To substitute or alter employment
including job vacancies, details of job contracts approved and verified by the
requisitions, separation from jobs, wages, Department of Labor from the time of actual
other terms and conditions and other signing thereof by the parties up to and
employment data. including the periods of expiration of the
ART. 14. Employment promotion. - The same without the approval of the Secretary
Secretary of Labor shall have the power and of Labor;
authority:
(j) To become an officer or member of the
(d) To require any person, establishment,
Board of any corporation engaged in travel
organization or institution to submit such
agency or to be engaged directly or indirectly
employment information as may be
in the management of a travel agency; and
prescribed by the Secretary of Labor.
(k) To withhold or deny travel documents

4) Prohibited Practices, Art. 34
from applicant workers before departure for
monetary or financial considerations other
than those authorized under this Code and
ART. 34. Prohibited practices. - It shall be its implementing rules and regulations.
unlawful for any individual, entity, licensee,
or holder of authority:
5) Illegal Recruitment, Art. 38; Sec. 6, RA 8042
(a) To charge or accept, directly or indirectly,

any amount greater than that specified in the
schedule of allowable fees prescribed by the ART. 38. Illegal recruitment. - (a) Any
Secretary of Labor, or to make a worker pay recruitment activities, including the prohibited
any amount greater than that actually practices enumerated under Article 34 of this
received by him as a loan or advance; Code, to be undertaken by non-licensees or
non-holders of authority, shall be deemed
(b) To furnish or publish any false notice or illegal and punishable under Article 39 of this
information or document in relation to Code. The Department of Labor and
recruitment or employment; Employment or any law enforcement officer
may initiate complaints under this Article.
(c) To give any false notice, testimony,
information or document or commit any act (b) Illegal recruitment when committed by a
of misrepresentation for the purpose of syndicate or in large scale shall be
securing a license or authority under this considered an offense involving economic
Code. sabotage and shall be penalized in
accordance with Article 39 hereof.
(d) To induce or attempt to induce a worker
already employed to quit his employment in Illegal recruitment is deemed committed by a
order to offer him to another unless the syndicate if carried out by a group of three
transfer is designed to liberate the worker (3) or more persons conspiring and/or
from oppressive terms and conditions of confederating with one another in carrying
employment; out any unlawful or illegal transaction,
enterprise or scheme defined under the first
(e) To influence or to attempt to influence paragraph hereof. Illegal recruitment is
any person or entity not to employ any deemed committed in large scale if
worker who has not applied for employment committed against three (3) or more persons
through his agency; individually or as a group.
(f) To engage in the recruitment or placement (c) The Secretary of Labor and Employment
of workers in jobs harmful to public health or or his duly authorized representatives shall
morality or to the dignity of the Republic of have the power to cause the arrest and
the Philippines; detention of such non-licensee or non-holder
of authority if after investigation it is
determined that his activities constitute a
(g) To obstruct or attempt to obstruct danger to national security and public order
inspection by the Secretary of Labor or by or will lead to further exploitation of job-
his duly authorized representatives; seekers. The Secretary shall order the
search of the office or premises and seizure
(h) To fail to file reports on the status of of documents, paraphernalia, properties and
employment, placement vacancies, other implements used in illegal recruitment
remittance of foreign exchange earnings, activities and the closure of companies,
establishments and entities found to be representatives done in connection with recruitment

engaged in the recruitment of workers for and placement;
overseas employment, without having been
licensed or authorized to do so. e. Jurisdiction
6) Enforcement 1) RTC over Criminal Action arising from Illegal Recruitment, RA

No. 8042, Sec. 9
a) Regulatory Power, Art. 36
SEC. 9. VENUE. - A criminal action arising from illegal
recruitment as defined herein shall be filed with the
ART. 36. Regulatory power. - The Secretary Regional Trial Court of the province or city where the
of Labor shall have the power to restrict and offense was committed or where the offended party
regulate the recruitment and placement actually resides at the same time of the commission
activities of all agencies within the coverage of the offense: Provided, That the court where the
of this Title and is hereby authorized to issue criminal action is first filed shall acquire jurisdiction to
orders and promulgate rules and regulations the exclusion of other courts. Provided, however, That
to carry out the objectives and implement the the aforestated provisions shall also apply to those
provisions of this Title. criminal actions that have already been filed in court
at the time of the effectivity of this Act.
b) Rule-Making Power, Art. 36 2) LA over Money Claims, RA 8042, Sec. 10
c) Visitorial Power, Art. 37 SEC. 10. MONEY CLAIMS. -

Botwithstanding any provision of law to the
contrary, the Labor Arbiters of the National
ART. 37. Visitorial Power. - The Secretary of Labor Relations Commission (NLRC) shall
Labor or his duly authorized representatives have the priginal and exclusive jurisdiction to
may, at any time, inspect the premises, hear and decide, within ninety (90) calendar
books of accounts and records of any person days after filing of the complaint, the claims
or entity covered by this Title, require it to arising out of an employer-employee
submit reports regularly on prescribed forms, relationship or by virtue of any law or
and act on violation of any provisions of this contract involving Filipino workers for
Title. overseas deployment including claims for
actual, moral, exemplary and other forms of
7) Joint and Several Liability of Agent and Principal, POEA damages.
Rules, Book II, Rule II, Sec. 1 (f) The liability of the
principal/employer and the
recruitment/placement agency for any and all
Section 1. Requirements for Issuance of claims under this section shall be joint and
License. - Every applicant for license to several. This provisions shall be
operate a private employment agency or incorporated in the contract for overseas
manning agency shall submit a written employment and shall be a condition
application together with the following precedent for its approval. The performance
requirements: bond to be filed by the
recruitment/placement agency, as provided
f. A verified undertaking stating that the by law, shall be answerable for all money
applicant: claims or damages that may be awarded to
the workers. If the recruitment/placement
agency is a juridical being, the corporate
(1) Shall select only medically and technically officers and directors and partners as the
qualified recruits; case may be, shall themselves be jointly and
solidarily liable with the corporation or
(2) Shall assume full and complete responsibility for partnership for the aforesaid claims and
all claims and liabilities which may arise in damages.
connection with the use of license;
Such liabilities shall continue
(3) Shall assume joint and solidary liability with the during the entire period or duration of the
employer for all claims and liabilities which may employment contract and shall not be
arise in connection with the implementation of the affected by any substitution, amendment or
contract, including but not limited to payment of modification made locally or in a foreign
wages, death and disability compensation and country of the said contract.
repatriation;
Any compromise/amicable
settlement or voluntary agreement on money
(4) Shall guarantee compliance with the existing
claims inclusive of damages under this
labor and social legislations of the Philippines and
section shall be paid within four (4) months
of the country of employment of recruited workers;
from the approval of the settlement by the
and
appropriate authority.
(5) Shall assume full and complete responsibility for In case of termination of overseas
all acts of its officials, employees and employment without just, valid or authorized
cause as defined by law or contract, the ART. 14. Employment promotion. - The Secretary of
workers shall be entitled to the full Labor shall have the power and authority:
reimbursement of his placement fee with
interest of twelve percent (12%) per annum, (a) To organize and establish new
plus his salaries for the unexpired portion of employment offices in addition to the existing
his employment contract or for three (3) employment offices under the Department of
months for every year of the unexpired term, Labor as the need arises;
whichever is less.
Non-compliance with the EO No. 247, Sec. 3. Powers and Functions. - In the
mandatory periods for resolutions of cases pursuit of its mandate, the Administration shall have
provided under this section shall subject the the following powers and functions:
responsible officials to any or all of the
following penalties:
(a) Regulate private sector participation in
(a) The salary of any such official the recruitment and overseas
who fails to render his decision or resolutions placement of workers by setting up a
within the prescribed period shall be, or licensing and registration system;
caused to be, withheld until the said official
complies therewith; (b) Formulate and implement, in
coordination with appropriate entities
(b) Suspension for not more than concerned, when necessary, a system
ninety (90) days; or for promoting and monitoring the
(c) Dismissal from the service with overseas employment of Filipino
disqualifications to hold any appointive public workers taking into consideration their
office for five (5) years. welfare and the domestic manpower
requirements;
Provided, however, that the
penalties herein provided shall be without (c) Protect the rights of Filipino workers
prejudice to any liability which any such for overseas employment to fair and
official may have incurred under other equitable recruitment and employment
existing laws or rules and regulations as a practices and ensure their welfare;
consequence of violating the provisions of
this paragraph. (d) Exercise original and exclusive
jurisdiction to hear and decide all claims
3) POEA over Administrative Cases arising out of an employer-employee
relationship or by virtue of any law or
a) Pre-employment Cases, Omnibus rules Impl. RA No. contract involving Filipino workers for
8042, Sec. 28 (a) overseas employment including the
disciplinary cases; and all pre-
Sec. 28. Jurisdiction of the POEA. - The employment cases which are
POEA shall exercise original and administrative in character involving or
exclusive jurisdiction to hear and decide: arising out of violation or requirement
(a) all cases, which are administrative in laws, rules and regulations including
character, involving or arising out of violations of money claims arising therefrom, or
rules and regulations relating to licensing and violation of the conditions for issuance
registration of recruitment and employment of license or authority to recruit workers.
agencies or entities; and
b) Disciplinary Cases, Sec. 28 (b) All prohibited recruitment activities and

(b) disciplinary action cases and other practices which are penal in character
special cases, which are administrative in as enumerated and defined under and
character, involving employers, by virtue of existing laws, shall be
principals, contracting partners and prosecuted in the regular courts in close
Filipino migrant workers. coordination with the appropriate
Departments and agencies concerned;
3. Public Sector Agencies
Employment Offices, Art. 12 (f); 14 (a); Sec. 3, (e) Maintain a registry of skills for
Reorganizing POEA (EO No. 247); POEA Rules overseas placement;
ART. 12. Statement of objectives. - It is the policy of
(f) Recruit and place workers to service
the State:
the requirements for trained and
competent Filipino workers by foreign
f) To strengthen the network of public
governments and their instrumentalities
employment offices and rationalize the
and such other employers as public
participation of the private sector in the
interest may require;
recruitment and placement of workers, locally
and overseas, to serve national development
(g) Promote the development of skills
objectives;
and careful selection of Filipino
workers;

(h) Undertake overseas market (b) Any licensee or holder of authority found
development activities for placement of violating or causing another to violate any
Filipino workers; provision of this Title or its implementing
rules and regulations shall, upon conviction
(i) Secure the best terms and conditions thereof, suffer the penalty of imprisonment of
of employment of Filipino contract not less than two years nor more than five
workers and ensure compliance years or a fine of not less than P10,000 nor
therewith; more than P50,000, or both such
imprisonment and fine, at the discretion of
(j) Promote and protect the well-being the court;
of Filipino workers overseas;
(c) Any person who is neither a licensee nor
(k) Develop and implement programs a holder of authority under this Title found
for the effective monitoring of returning violating any provision thereof or its
contract workers, promoting their re- implementing rules and regulations shall,
training and re-employment or their upon conviction thereof, suffer the penalty of
smooth re-integration into the imprisonment of not less than four years nor
mainstream of national economy in more than eight years or a fine of not less
coordination with other government than P20,000 nor more than P100,000 or
agencies; both such imprisonment and fine, at the
discretion of the court;
(l) Institute a system for ensuring fair
and speedy disposition of cases
involving violation or recruitment rules (d) If the offender is a corporation,
and regulations as well as violation of partnership, association or entity, the penalty
terms and conditions of overseas shall be imposed upon the officer or officers
employment; of the corporation, partnership, association
or entity responsible for violation; and if such
(m) Establish a system for speedy and officer is an alien, he shall, in addition to the
efficient enforcement of decisions laid penalties herein prescribed, be deported
down through the exercise of its without further proceedings;
adjudicatory function;
(e) In every case, conviction shall cause and
(n) Establish and maintain close carry the automatic revocation of the license
relationship and enter into joint projects or authority and all the permits and privileges
with the Department of Foreign Affairs, granted to such person or entity under this
Philippine Tourism Authority, Manila Title, and the forfeiture of the cash and
International Airport Authority, surety bonds in favor of the Overseas
Department of Justice, Department of Employment Development Board or the
Budget and Management and other National Seamen Board, as the case may
relevant government entities, in the be, both of which are authorized to use the
pursuit of its objectives. The same exclusively to promote their objectives.
Administration shall also establish and
maintain joint projects with private a. Local Employment, Art. 39
organizations, domestic or foreign, in
the furtherance of its objectives. (SEE ABOVE)
b. Overseas Employment, Art. 35; RA 8042,

4. Sanctions, Arts. 35, 39 (a) (b) (c) (d) (e); RA Sec. 7
8042, Secs. 6 , 7, 10
(SEE ABOVE FOR ART. 35)
ART. 35. Suspension and/or cancellation of
license or authority. - The Minister of Labor Sec. 6. DEFINITIONS. - For purposes of this Act,
shall have the power to suspend or cancel illegal recruitment shall mean any act of canvassing,
any license or authority to recruit employees enlisting, contracting, transporting, utilizing, hiring,
for overseas employment for violation of procuring workers and includes referring, contact
rules and regulations issued by the Ministry services, promising or advertising for employment
of Labor, the Overseas Employment abroad, whether for profit or not, when undertaken by
Development Board, or for violation of the a non-license or non-holder of authority contemplated
provisions of this and other applicable laws, under Article 13(f) of Presidential Decree No. 442, as
General Orders and Letters of Instructions. amended, otherwise known as the Labor Code of the
Philippines. Provided, that such non-license or non-
holder, who, in any manner, offers or promises for a
ART. 39. Penalties. - (a) The penalty of life fee employment abroad to two or more persons shall
imprisonment and a fine of One Hundred be deemed so engaged. It shall likewise include the
Thousand Pesos (P1000,000.00) shall be following acts, whether committed by any persons,
imposed if illegal recruitment constitutes whether a non-licensee, non-holder, licensee or
economic sabotage as defined herein; holder of authority.

(a) To charge or accept directly or indirectly any persons conspiring or confederating with one another.
amount greater than the specified in the schedule of It is deemed committed in large scale if committed
allowable fees prescribed by the Secretary of Labor against three (3) or more persons individually or as a
and Employment, or to make a worker pay any group.
amount greater than that actually received by him as
a loan or advance; The persons criminally liable for the above offenses
are the principals, accomplices and accessories. In
(b) To furnish or publish any false notice or case of juridical persons, the officers having control,
information or document in relation to recruitment or management or direction of their business shall be
employment; liable.
(c) To give any false notice, testimony, information or SEC. 7. PENALTIES -
document or commit any act of misrepresentation for
the purpose of securing a license or authority under (a) Any person found guilty of illegal recruitment shall
the Labor Code; suffer the penalty of imprisonment of not less than six
(6) years and one (1) day but not more than twelve
(d) To induce or attempt to induce a worker already (12) years and a fine not less than two hundred
employed to quit his employment in order to offer him thousand pesos (P200,000.00) nor more than five
another unless the transfer is designed to liberate a hundred thousand pesos (P500,000.00).
worker from oppressive terms and conditions of
employment; (b) The penalty of life imprisonment and a fine of not
less than five hundred thousand pesos (P500,000.00)
(e) To influence or attempt to influence any persons or nor more than one million pesos (P1,000,000.00)
entity not to employ any worker who has not applied shall be imposed if illegal recruitment constitutes
for employment through his agency; economic sabotage as defined herein.
(f) To engage in the recruitment of placement of Provided, however, that the maximum penalty shall
workers in jobs harmful to public health or morality or be imposed if the person illegally recruited is less than
to dignity of the Republic of the Philippines; eighteen (18) years of age or committed by a non-
licensee or non-holder of authority.
(g) To obstruct or attempt to obstruct inspection by the
Secretary of Labor and Employment or by his duly SEC. 10. MONEY CLAIMS. - Notwithstanding any
authorized representative; provision of law to the contrary, the Labor Arbiters of
the National Labor Relations Commission (NLRC)
(h) To fail to submit reports on the status of shall have the priginal and exclusive jurisdiction to
employment, placement vacancies, remittances of hear and decide, within ninety (90) calendar days
foreign exchange earnings, separations from jobs, after filing of the complaint, the claims arising out of
departures and such other matters or information as an employer-employee relationship or by virtue of any
may be required by the Secretary of Labor and law or contract involving Filipino workers for overseas
Employment; deployment including claims for actual, moral,
(i) To substitute or alter to the prejudice of the worker, exemplary and other forms of damages.
employment contracts approved and verified by the The liability of the principal/employer and
Department of Labor and Employment from the time the recruitment/placement agency for any and all
of actual signing thereof by the parties up to and claims under this section shall be joint and several.
including the period of the expiration of the same This provisions shall be incorporated in the contract
without the approval of the Department of Labor and for overseas employment and shall be a condition
Employment; precedent for its approval. The performance bond to
(j) For an officer or agent of a recruitment or be filed by the recruitment/placement agency, as
placement agency to become an officer or member of provided by law, shall be answerable for all money
the Board of any corporation engaged in travel claims or damages that may be awarded to the
agency or to be engaged directly on indirectly in the workers. If the recruitment/placement agency is a
management of a travel agency; juridical being, the corporate officers and directors
and partners as the case may be, shall themselves be
(k) To withhold or deny travel documents from jointly and solidarily liable with the corporation or
applicant workers before departure for monetary or partnership for the aforesaid claims and damages.
financial considerations other than those authorized
under the Labor Code and its implementing rules and Such liabilities shall continue during the
regulations; entire period or duration of the employment contract
and shall not be affected by any substitution,
(l) Failure to actually deploy without valid reasons as amendment or modification made locally or in a
determined by the Department of Labor and foreign country of the said contract.
Employment; and
Any compromise/amicable settlement or
(m) Failure to reimburse expenses incurred by the voluntary agreement on money claims inclusive of
workers in connection with his documentation and damages under this section shall be paid within four
processing for purposes of deployment, in cases (4) months from the approval of the settlement by the
where the deployment does not actually take place appropriate authority.
without the worker's fault. Illegal recruitment when
committed by a syndicate or in large scale shall be In case of termination of overseas
considered as offense involving economic sabotage. employment without just, valid or authorized cause as
defined by law or contract, the workers shall be
Illegal recruitment is deemed committed by a entitled to the full reimbursement of his placement fee
syndicate carried out by a group of three (3) or more with interest of twelve percent (12%) per annum, plus
his salaries for the unexpired portion of his Republic of the Philippines
employment contract or for three (3) months for every Congress of the Philippines
year of the unexpired term, whichever is less. Metro Manila
Non-compliance with the mandatory periods
for resolutions of cases provided under this section Twelfth Congress
shall subject the responsible officials to any or all of Second Regular Session
the following penalties:
(a) The salary of any such official who fails
to render his decision or resolutions within the
prescribed period shall be, or caused to be, withheld
until the said official complies therewith; Begun held in Metro Manila on Monday, the
twenty-second day of July, two thousand two
(b) Suspension for not more than ninety
(90) days; or
Republic Act No. 9208 May 26, 2003
(c) Dismissal from the service with
disqualifications to hold any appointive public office
for five (5) years.
AN ACT TO INSTITUTE POLICIES TO
ELIMINATE TRAFFICKING IN PERSONS
Provided, however, that the penalties herein ESPECIALLY WOMEN AND CHILDREN,
provided shall be without prejudice to any liability ESTABLISHING THE NECESSARY
which any such official may have incurred under other INSTITUTIONAL MECHANISMS FOR THE
existing laws or rules and regulations as a
PROTECTION AND SUPPORT OF
consequence of violating the provisions of this
paragraph. TRAFFICKED PERSONS, PROVIDING
PENALTIES FOR ITS VIOLATIONS, AND FOR
OTHER
5. Issues and Questions on Overseas Employment
Readings: Be it enacted by the Senate and the House of

Representatives of the Philippines in Congress
Soriano, Ma. Teresa M., assembled:
Implications of International Migration, A
Focus on the Philippine Experience , PLR, Vol 20. No. 2
(1996) Section 1. Title. This Act shall be known as the
King, Amelia M., Social and "Anti-Trafficking in Persons Act of 2003".
Economic Benefits and Costs, PLR, Vol. 9, No. 1 (1985).
Licuanan, Patricia B. Katas ng
Saudi, a closer look. PLR Vol. 9, No. 1 (1985). Section 2. Declaration of Policy. It is hereby
declared that the State values the dignity of
every human person and guarantees the respect
of individual rights. In pursuit of this policy, the
State shall give highest priority to the enactment
of measures and development of programs that
will promote human dignity, protect the people
from any threat of violence and exploitation,
eliminate trafficking in persons, and mitigate
pressures for involuntary migration and
servitude of persons, not only to support
trafficked persons but more importantly, to
ensure their recovery, rehabilitation and
reintegration into the mainstream of society.
It shall be a State policy to recognize the equal

rights and inherent human dignity of women and
men as enshrined in the United Nations
Universal Declaration on Human Rights, United
Nations Convention on the Rights of the Child,
United Nations Convention on the Protection of
Migrant Workers and their Families. United
Nations Convention Against Transnational
Organized Crime Including its Protocol to
6. Trafficking in Persons, RA 9208 and Rules and Regulations Prevent, Suppress and Punish Trafficking in
Implementing RA 9208 Persons, Especially Women and Children and
all other relevant and universally accepted
human rights instruments and other international
conventions to which the Philippines is a
signatory.
Section 3. Definition of Terms. - As used in this activities, utilizing and offering escort
Act: and sexual services as enticement for
tourists. This includes sexual services
(a) Trafficking in Persons - refers to the and practices offered during rest and
recruitment, transportation, transfer or recreation periods for members of the
harboring, or receipt of persons with or military.
without the victim's consent or
knowledge, within or across national (f) Sexual Exploitation - refers to
borders by means of threat or use of participation by a person in prostitution
force, or other forms of coercion, or the production of pornographic
abduction, fraud, deception, abuse of materials as a result of being subjected
power or of position, taking advantage to a threat, deception, coercion,
of the vulnerability of the person, or, the abduction, force, abuse of authority,
giving or receiving of payments or debt bondage, fraud or through abuse of
benefits to achieve the consent of a a victim's vulnerability.
person having control over another
person for the purpose of exploitation (g) Debt Bondage - refers to the
which includes at a minimum, the pledging by the debtor of his/her
exploitation or the prostitution of others personal services or labor or those of a
or other forms of sexual exploitation, person under his/her control as security
forced labor or services, slavery, or payment for a debt, when the length
servitude or the removal or sale of and nature of services is not clearly
organs. defined or when the value of the
services as reasonably assessed is not
The recruitment, transportation, transfer, applied toward the liquidation of the
harboring or receipt of a child for the debt.
purpose of exploitation shall also be
considered as "trafficking in persons" (h) Pornography - refers to any
even if it does not involve any of the representation, through publication,
means set forth in the preceding exhibition, cinematography, indecent
paragraph. shows, information technology, or by
whatever means, of a person engaged
(b) Child - refers to a person below in real or simulated explicit sexual
eighteen (18) years of age or one who is activities or any representation of the
over eighteen (18) but is unable to fully sexual parts of a person for primarily
take care of or protect himself/herself sexual purposes.
from abuse, neglect, cruelty,
exploitation, or discrimination because (i) Council - shall mean the Inter-Agency
of a physical or mental disability or Council Against Trafficking created
condition. under Section 20 of this Act.
(c) Prostitution - refers to any act, Section 4. Acts of Trafficking in Persons. - It

transaction, scheme or design involving shall be unlawful for any person, natural or
the use of a person by another, for juridical, to commit any of the following acts:
sexual intercourse or lascivious conduct
in exchange for money, profit or any (a) To recruit, transport, transfer; harbor,
other consideration. provide, or receive a person by any
means, including those done under the
(d) Forced Labor and Slavery - refer to pretext of domestic or overseas
the extraction of work or services from employment or training or
any person by means of enticement, apprenticeship, for the purpose of
violence, intimidation or threat, use of prostitution, pornography, sexual
force or coercion, including deprivation exploitation, forced labor, slavery,
of freedom, abuse of authority or moral involuntary servitude or debt bondage;
ascendancy, debt-bondage or
deception. (b) To introduce or match for money,
profit, or material, economic or other
(e) Sex Tourism - refers to a program consideration, any person or, as
organized by travel and tourism-related provided for under Republic Act No.
establishments and individuals which 6955, any Filipino woman to a foreign
consists of tourism packages or national, for marriage for the purpose of
acquiring, buying, offering, selling or (c) To advertise, publish, print, broadcast

trading him/her to engage in prostitution, or distribute, or cause the
pornography, sexual exploitation, forced advertisement, publication, printing,
labor, slavery, involuntary servitude or broadcasting or distribution by any
debt bondage; means, including the use of information
technology and the internet, of any
(c) To offer or contract marriage, real or brochure, flyer, or any propaganda
simulated, for the purpose of acquiring, material that promotes trafficking in
buying, offering, selling, or trading them persons;
to engage in prostitution, pornography,
sexual exploitation, forced labor or (d) To assist in the conduct of
slavery, involuntary servitude or debt misrepresentation or fraud for purposes
bondage; of facilitating the acquisition of
clearances and necessary exit
(d) To undertake or organize tours and documents from government agencies
travel plans consisting of tourism that are mandated to provide pre-
packages or activities for the purpose of departure registration and services for
utilizing and offering persons for departing persons for the purpose of
prostitution, pornography or sexual promoting trafficking in persons;
exploitation;
(e) To facilitate, assist or help in the exit
(e) To maintain or hire a person to and entry of persons from/to the country
engage in prostitution or pornography; at international and local airports,
territorial boundaries and seaports who
are in possession of unissued, tampered
(f) To adopt or facilitate the adoption of
or fraudulent travel documents for the
persons for the purpose of prostitution,
purpose of promoting trafficking in
pornography, sexual exploitation, forced
persons;
labor, slavery, involuntary servitude or
debt bondage;
(f) To confiscate, conceal, or destroy the
passport, travel documents, or personal
(g) To recruit, hire, adopt, transport or
documents or belongings of trafficked
abduct a person, by means of threat or
persons in furtherance of trafficking or to
use of force, fraud, deceit, violence,
prevent them from leaving the country or
coercion, or intimidation for the purpose
seeking redress from the government or
of removal or sale of organs of said
appropriate agencies; and
person; and
(g) To knowingly benefit from, financial

(h) To recruit, transport or adopt a child
or otherwise, or make use of, the labor
to engage in armed activities in the
or services of a person held to a
Philippines or abroad.
condition of involuntary servitude, forced
labor, or slavery.
Section 5. Acts that Promote Trafficking in
Persons. - The following acts which promote or
Section 6. Qualified Trafficking in Persons. -
facilitate trafficking in persons, shall be unlawful:
The following are considered as qualified
trafficking:
(a) To knowingly lease or sublease, use
or allow to be used any house, building
(a) When the trafficked person is a child;
or establishment for the purpose of
promoting trafficking in persons;
(b) When the adoption is effected
through Republic Act No. 8043,
(b) To produce, print and issue or
otherwise known as the "Inter-Country
distribute unissued, tampered or fake
Adoption Act of 1995" and said adoption
counseling certificates, registration
is for the purpose of prostitution,
stickers and certificates of any
pornography, sexual exploitation, forced
government agency which issues these
labor, slavery, involuntary servitude or
certificates and stickers as proof of
debt bondage;
compliance with government regulatory
and pre-departure requirements for the
purpose of promoting trafficking in (c) When the crime is committed by a
persons; syndicate, or in large scale. Trafficking is
deemed committed by a syndicate if
carried out by a group of three (3) or Section 8. Prosecution of Cases. - Any person
more persons conspiring or who has personal knowledge of the commission
confederating with one another. It is of any offense under this Act, the trafficked
deemed committed in large scale if person, the parents, spouse, siblings, children or
committed against three (3) or more legal guardian may file a complaint for
persons, individually or as a group; trafficking.
(d) When the offender is an ascendant, Section 9. Venue. - A criminal action arising
parent, sibling, guardian or a person from violation of this Act shall be filed where the
who exercises authority over the offense was committed, or where any of its
trafficked person or when the offense is elements occurred, or where the trafficked
committed by a public officer or person actually resides at the time of the
employee; commission of the offense: Provided, That the
court where the criminal action is first filed shall
(e) When the trafficked person is acquire jurisdiction to the exclusion of other
recruited to engage in prostitution with courts.
any member of the military or law
enforcement agencies; Section 10. Penalties and Sanctions. - The
following penalties and sanctions are hereby
(f) When the offender is a member of the established for the offenses enumerated in this
military or law enforcement agencies; Act:
and
(a) Any person found guilty of
(g) When by reason or on occasion of committing any of the acts enumerated
the act of trafficking in persons, the in Section 4 shall suffer the penalty of
offended party dies, becomes insane, imprisonment of twenty (20) years and a
suffers mutilation or is afflicted with fine of not less than One million pesos
Human Immunodeficiency Virus (HIV) or (P1,000,000.00) but not more than Two
the Acquired Immune Deficiency million pesos (P2,000,000.00);
Syndrome (AIDS).
(b) Any person found guilty of
Section 6. Confidentiality. - At any stage of the committing any of the acts enumerated
investigation, prosecution and trial of an offense in Section 5 shall suffer the penalty of
under this Act, law enforcement officers, imprisonment of fifteen (15) years and a
prosecutors, judges, court personnel and fine of not less than Five hundred
medical practitioners, as well as parties to the thousand pesos (P500,000.00) but not
case, shall recognize the right to privacy of the more than One million pesos
trafficked person and the accused. Towards this (P1,000,000.00);
end, law enforcement officers, prosecutors and
judges to whom the complaint has been referred (c) Any person found guilty of qualified
may, whenever necessary to ensure a fair and trafficking under Section 6 shall suffer
impartial proceeding, and after considering all the penalty of life imprisonment and a
circumstances for the best interest of the parties, fine of not less than Two million pesos
order a closed-door investigation, prosecution or (P2,000,000.00) but not more than Five
trial. The name and personal circumstances of million pesos (P5,000,000.00);
the trafficked person or of the accused, or any
other information tending to establish their (d) Any person who violates Section 7
identities and such circumstances or information hereof shall suffer the penalty of
shall not be disclosed to the public. imprisonment of six (6) years and a fine
of not less than Five hundred thousand
In cases when prosecution or trial is conducted pesos (P500,000.00) but not more than
behind closed-doors, it shall be unlawful for any One million pesos (P1,000,000.00);
editor, publisher, and reporter or columnist in
case of printed materials, announcer or producer (e) If the offender is a corporation,
in case of television and radio, producer and partnership, association, club,
director of a film in case of the movie industry, or establishment or any juridical person,
any person utilizing tri-media facilities or the penalty shall be imposed upon the
information technology to cause publicity of any owner, president, partner, manager,
case of trafficking in persons. and/or any responsible officer who
participated in the commission of the
crime or who shall have knowingly
permitted or failed to prevent its Section 12. Prescriptive Period. - Trafficking

commission; cases under this Act shall prescribe in ten (10)
years: Provided, however, That trafficking cases
(f) The registration with the Securities committed by a syndicate or in a large scale as
and Exchange Commission (SEC) and defined under Section 6 shall prescribe in twenty
license to operate of the erring agency, (20) years.
corporation, association, religious group,
tour or travel agent, club or The prescriptive period shall commence to run
establishment, or any place of from the day on which the trafficked person is
entertainment shall be cancelled and delivered or released from the conditions of
revoked permanently. The owner, bondage and shall be interrupted by the filing of
president, partner or manager thereof the complaint or information and shall
shall not be allowed to operate similar commence to run again when such proceedings
establishments in a different name; terminate without the accused being convicted
or acquitted or are unjustifiably stopped for any
(g) If the offender is a foreigner, he shall reason not imputable to the accused.
be immediately deported after serving
his sentence and be barred permanently Section 13. Exemption from Filing Fees. - When
from entering the country; the trafficked person institutes a separate civil
action for the recovery of civil damages, he/she
(h) Any employee or official of shall be exempt from the payment of filing fees.
government agencies who shall issue or
approve the issuance of travel exit Section 14. Confiscation and Forfeiture of the
clearances, passports, registration Proceeds and Instruments Derived from
certificates, counseling certificates, Trafficking in Persons. - In addition to the
marriage license, and other similar penalty imposed for the violation of this Act, the
documents to persons, whether juridical court shall order the confiscation and forfeiture,
or natural, recruitment agencies, in favor of the government, of all the proceeds
establishments or other individuals or and properties derived from the commission of
groups, who fail to observe the the crime, unless they are the property of a third
prescribed procedures and the person not liable for the unlawful act; Provided,
requirement as provided for by laws, however, That all awards for damages shall be
rules and regulations, shall be held taken from the personal and separate properties
administratively liable, without prejudice of the offender; Provided, further, That if such
to criminal liability under this Act. The properties are insufficient, the balance shall be
concerned government official or taken from the confiscated and forfeited
employee shall, upon conviction, be properties.
dismissed from the service and be
barred permanently to hold public office. When the proceeds, properties and instruments
His/her retirement and other benefits of the offense have been destroyed, diminished
shall likewise be forfeited; and in value or otherwise rendered worthless by any
act or omission, directly or indirectly, of the
(i) Conviction by final judgment of the offender, or it has been concealed, removed,
adopter for any offense under this Act converted or transferred to prevent the same
shall result in the immediate rescission from being found or to avoid forfeiture or
of the decree of adoption. confiscation, the offender shall be ordered to
pay the amount equal to the value of the
Section 11. Use of Trafficked Persons. - Any proceeds, property or instruments of the offense.
person who buys or engages the services of
trafficked persons for prostitution shall be Section 15. Trust Fund. - All fines imposed
penalized as follows: under this Act and the proceeds and properties
forfeited and confiscated pursuant to Section 14
(a) First offense - six (6) months of hereof shall accrue to a Trust Fund to be
community service as may be administered and managed by the Council to be
determined by the court and a fine of used exclusively for programs that will prevent
Fifty thousand pesos (P50,000.00); and acts of trafficking and protect, rehabilitate,
reintegrate trafficked persons into the
mainstream of society. Such programs shall
(b) Second and subsequent offenses -
include, but not limited to, the following:
imprisonment of one (1) year and a fine
of One hundred thousand pesos
(P100,000.00).
(a) Provision for mandatory services set counseling and temporary shelter to
forth in Section 23 of this Act; trafficked persons and develop a system
for accreditation among NGOs for
(b) Sponsorship of a national research purposes of establishing centers and
program on trafficking and programs for intervention in various
establishment of a data collection levels of the community.
system for monitoring and evaluation
purposes; (c) Department of Labor and
Employment (DOLE) - shall ensure the
(c) Provision of necessary technical and strict implementation and compliance
material support services to appropriate with the rules and guidelines relative to
government agencies and non- the employment of persons locally and
government organizations (NGOs); overseas. It shall likewise monitor,
document and report cases of trafficking
in persons involving employers and
(d) Sponsorship of conferences and
labor recruiters.
seminars to provide venue for
consensus building amongst the public,
the academe, government, NGOs and (d) Department of Justice (DOJ) - shall
international organizations; and ensure the prosecution of persons
accused of trafficking and designate and
train special prosecutors who shall
(e) Promotion of information and
education campaign on trafficking. handle and prosecute cases of
trafficking. It shall also establish a
mechanism for free legal assistance for
Section 16. Programs that Address Trafficking trafficked persons, in coordination with
in Persons. - The government shall establish the DSWD, Integrated Bar of the
and implement preventive, protective and Philippines (IBP) and other NGOs and
rehabilitative programs for trafficked persons. volunteer groups.
For this purpose, the following agencies are
hereby mandated to implement the following
(e) National Commission on the Role of
programs;
Filipino Women (NCRFW) - shall
actively participate and coordinate in the
(a) Department of Foreign Affairs (DFA) formulation and monitoring of policies
- shall make available its resources and addressing the issue of trafficking in
facilities overseas for trafficked persons persons in coordination with relevant
regardless of their manner of entry to government agencies. It shall likewise
the receiving country, and explore advocate for the inclusion of the issue of
means to further enhance its assistance trafficking in persons in both its local and
in eliminating trafficking activities international advocacy for women's
through closer networking with issues.
government agencies in the country and
overseas, particularly in the formulation
(f) Bureau of Immigration (BI) - shall
of policies and implementation of
strictly administer and enforce
relevant programs.
immigration and alien administration
laws. It shall adopt measures for the
The DFA shall take necessary measures apprehension of suspected traffickers
for the efficient implementation of the both at the place of arrival and
Machine Readable Passports to protect departure and shall ensure compliance
the integrity of Philippine passports, by the Filipino fiancs/fiances and
visas and other travel documents to spouses of foreign nationals with the
reduce the incidence of trafficking guidance and counseling requirement
through the use of fraudulent as provided for in this Act.
identification documents.
(g) Philippine National Police (PNP) -
It shall establish and implement a pre- shall be the primary law enforcement
marriage, on-site and pre-departure agency to undertake surveillance,
counseling program on intermarriages. investigation and arrest of individuals or
persons suspected to be engaged in
(b) Department of Social Welfare and trafficking. It shall closely coordinate
Development (DSWD) - shall implement with various law enforcement agencies
rehabilitative and protective programs to secure concerted efforts for effective
for trafficked persons. It shall provide investigation and apprehension of
suspected traffickers. It shall also Republic Act No. 6981 to the contrary
establish a system to receive complaints notwithstanding, any trafficked person shall be
and calls to assist trafficked persons and entitled to the witness protection program
conduct rescue operations. provided therein.
(h) Philippine Overseas Employment Section 19. Trafficked Persons Who are
Administration (POEA) - shall implement Foreign Nationals. - Subject to the guidelines
an effective pre-employment orientation issued by the Council, trafficked persons in the
seminars and pre-departure counseling Philippines who are nationals of a foreign
programs to applicants for overseas country shall also be entitled to appropriate
employment. It shall likewise formulate a protection, assistance and services available to
system of providing free legal trafficked persons under this Act: Provided, That
assistance to trafficked persons. they shall be permitted continued presence in
the Philippines for a length of time prescribed by
(i) Department of the Interior and Local the Council as necessary to effect the
Government (DILG) - shall institute a prosecution of offenders.
systematic information and prevention
campaign and likewise maintain a Section 20. Inter-Agency Council Against
databank for the effective monitoring, Trafficking. - There is hereby established an
documentation and prosecution of cases Inter-Agency Council Against Trafficking, to be
on trafficking in persons. composed of the Secretary of the Department of
Justice as Chairperson and the Secretary of the
(j) Local government units (LGUs) - shall Department of Social Welfare and Development
monitor and document cases of as Co-Chairperson and shall have the following
trafficking in persons in their areas of as members:
jurisdiction, effect the cancellation of
licenses of establishments which violate (a) Secretary, Department of Foreign
the provisions of this Act and ensure Affairs;
effective prosecution of such cases.
They shall also undertake an (b) Secretary, Department of Labor and
information campaign against trafficking Employment;
in persons through the establishment of
the Migrants Advisory and Information (c) Administrator, Philippine Overseas
Network (MAIN) desks in municipalities Employment Administration;
or provinces in coordination with DILG,
Philippine Information Agency (PIA),
Commission on Filipinos Overseas (d) Commissioner, Bureau of
(CFO), NGOs and other concerned Immigration;
agencies. They shall encourage and
support community based initiatives (e) Director-General, Philippine National
which address the trafficking in persons. Police;
In implementing this Act, the agencies (f) Chairperson, National Commission

concerned may seek and enlist the on the Role of Filipino Women; and
assistance of NGOs, people's
organizations (Pos), civic organizations (g) Three (3) representatives from
and other volunteer groups. NGOs, who shall be composed of one
(1) representative each from among the
Section 17. Legal Protection to Trafficked sectors representing women, overseas
Persons. - Trafficked persons shall be Filipino workers (OFWs) and children,
recognized as victims of the act or acts of with a proven record of involvement in
trafficking and as such shall not be penalized for the prevention and suppression of
crimes directly related to the acts of trafficking trafficking in persons. These
enumerated in this Act or in obedience to the representatives shall be nominated by
order made by the trafficker in relation thereto. the government agency representatives
In this regard, the consent of a trafficked person of the Council, for appointment by the
to the intended exploitation set forth in this Act President for a term of three (3) years.
shall be irrelevant.
The members of the Council may
Section 18. Preferential Entitlement Under the designate their permanent
Witness Protection Program. - Any provision of representatives who shall have a rank

not lower than an assistant secretary or (j) Complement the shared government
its equivalent to meetings, and shall information system for migration
receive emoluments as may be established under Republic Act No.
determined by the Council in 8042, otherwise known as the "Migrant
accordance with existing budget and Workers and Overseas Filipinos Act of
accounting, rules and regulations. 1995" with data on cases of trafficking in
persons, and ensure that the proper
Section 21. Functions of the Council. - The agencies conduct a continuing research
Council shall have the following powers and and study on the patterns and scheme
functions: of trafficking in persons which shall form
the basis for policy formulation and
program direction;
(a) Formulate a comprehensive and
integrated program to prevent and
suppress the trafficking in persons; (k) Develop the mechanism to ensure
the timely, coordinated, and effective
response to cases of trafficking in
(b) Promulgate rules and regulations as
persons;
may be necessary for the effective
implementation of this Act;
(l) Recommend measures to enhance
cooperative efforts and mutual
(c) Monitor and oversee the strict
assistance among foreign countries
implementation of this Act;
through bilateral and/or multilateral
arrangements to prevent and suppress
(d) Coordinate the programs and international trafficking in persons;
projects of the various member
agencies to effectively address the
(m) Coordinate with the Department of
issues and problems attendant to
Transportation and Communications
trafficking in persons;
(DOTC), Department of Trade and
Industry (DTI), and other NGOs in
(e) Coordinate the conduct of massive monitoring the promotion of
information dissemination and campaign advertisement of trafficking in the
on the existence of the law and the internet;
various issues and problems attendant
to trafficking through the LGUs,
(n) Adopt measures and policies to
concerned agencies, and NGOs;
protect the rights and needs of trafficked
persons who are foreign nationals in the
(f) Direct other agencies to immediately Philippines;
respond to the problems brought to their
attention and report to the Council on
(o) Initiate training programs in
action taken;
identifying and providing the necessary
intervention or assistance to trafficked
(g) Assist in filing of cases against persons; and
individuals, agencies, institutions or
establishments that violate the
(p) Exercise all the powers and perform
provisions of this Act;
such other functions necessary to attain
the purposes and objectives of this Act.
(h) Formulate a program for the
reintegration of trafficked persons in
Section 22. Secretariat to the Council. - The
cooperation with DOLE, DSWD,
Department of Justice shall establish the
Technical Education and Skills
necessary Secretariat for the Council.
Development Authority (TESDA),
Commission on Higher Education
(CHED), LGUs and NGOs; Section 23. Mandatory Services to Trafficked
Persons. - To ensure recovery, rehabilitation and
reintegration into the mainstream of society,
(i) Secure from any department, bureau,
concerned government agencies shall make
office, agency, or instrumentality of the
available the following services to trafficked
government or from NGOs and other
persons:
civic organizations such assistance as
may be needed to effectively implement
this Act; (a) Emergency shelter or appropriate
housing;

(b) Counseling; the DFA shall make representation with the host
government for the extension of appropriate
(c) Free legal services which shall residency permits and protection, as may be
include information about the victims' legally permissible in the host country.
rights and the procedure for filing
complaints, claiming compensation and Section 26. Extradition. - The DOJ, in
such other legal remedies available to consultation with DFA, shall endeavor to include
them, in a language understood by the offenses of trafficking in persons among
trafficked person; extraditable offenses.
(d) Medical or psychological services; Section 27. Reporting Requirements. - The

Council shall submit to the President of the
(e) Livelihood and skills training; and Philippines and to Congress an annual report of
the policies, programs and activities relative to
the implementation of this Act.
(f) Educational assistance to a trafficked
child.
Section 28. Funding. - The heads of the
departments and agencies concerned shall
Sustained supervision and follow through
immediately include in their programs and issue
mechanism that will track the progress of
such rules and regulations to implement the
recovery, rehabilitation and reintegration of the
provisions of this Act, the funding of which shall
trafficked persons shall be adopted and carried
out. be included in the annual General
Appropriations Act.
Section 24. Other Services for Trafficked
Section 29. Implementing Rules and
Persons. -
Regulations. - The Council shall promulgate the
necessary implementing rules and regulations
(a) Legal Assistance. - Trafficked within sixty (60) days from the effectivity of this
persons shall be considered under the Act.
category "Overseas Filipino in Distress"
and may avail of the legal assistance
Section 30. Non-restriction of Freedom of
created by Republic Act No. 8042,
Speech and of Association, Religion and the
subject to the guidelines as provided by
Right to Travel. - Nothing in this Act shall be
law.
interpreted as a restriction of the freedom of
speech and of association, religion and the right
(b) Overseas Filipino Resource Centers. to travel for purposes not contrary to law as
- The services available to overseas guaranteed by the Constitution.
Filipinos as provided for by Republic Act
No. 8042 shall also be extended to
Section 31. Separability Clause. - If, for any
trafficked persons regardless of their
reason, any section or provision of this Act is
immigration status in the host country.
held unconstitutional or invalid, the other
sections or provisions hereof shall not be
(c) The Country Team Approach. - The affected thereby.
country team approach under Executive
Order No. 74 of 1993, shall be the
Section 32. Repealing clause. - All laws,
operational scheme under which
presidential decrees, executive orders and rules
Philippine embassies abroad shall
and regulations, or parts thereof, inconsistent
provide protection to trafficked persons
with the provisions of this Act are hereby
insofar as the promotion of their welfare,
repealed or modified accordingly: Provided, That
dignity and fundamental rights are
this Act shall not in any way amend or repeal the
concerned.
provision of Republic Act No. 7610, otherwise
known as the "Special Protection of Children
Section 25. Repatriation of Trafficked Persons. - Against Child Abuse, Exploitation and
The DFA, in coordination with DOLE and other Discrimination Act".
appropriate agencies, shall have the primary
responsibility for the repatriation of trafficked
Section 33. Effectivity. - This Act shall take
persons, regardless of whether they are
effect fifteen (15) days from the date of its
documented or undocumented.
complete publication in at least two (2)
newspapers of general circulation.
If, however, the repatriation of the trafficked
persons shall expose the victims to greater risks,
RULES AND REGULATIONS (v) Convention on the Protection of

IMPLEMENTING REPUBLIC ACT NO. Migrant Workers and Members of
9208, OTHERWISE KNOWN AS THE their Families;
ANTI-TRAFFICKING IN PERSONS ACT (vi) Convention Against Transnational
OrganizedCrimes including its
OF 2003
Protocol to Prevent,Suppress and
Pursuant to the authority of the Inter-Agency
Punish Trafficking in Persons,
Council Against Trafficking (IACAT) under
Especially Women and Children;
Section 29 of Republic Act No. 9208 otherwise
(vii) ILO Convention No. 182
known as the Anti-Trafficking in Persons Act of
(Convention Concerning the
2003, the following
Prohibition and Immediate Action for
rules and regulations are hereby promulgated to
the Elimination of the Worst Forms
implement the provisions of said Act:
of Child Labor); and
(viii) All other relevant and universally
Article I
accepted human rights instruments
GENERAL PROVISIONS
and other international conventions
Sec. 1. Title. These rules and regulations shall
to which the Philippines is a State
be known and cited as The Rules and
Party. In all actions concerning
Regulations Implementing the Anti-Trafficking in
children, their best interests shall be
Persons Act of 2003.
the paramount consideration.
Sec. 2. Purpose. These rules and regulations
Sec. 4. Construction. These rules and
are hereby promulgated to institute policies,
regulations shall be liberally construed in favor
establish the institutional mechanism for the
of the trafficked persons to promote their human
support and protection of trafficked persons and
dignity; ensure their recovery, rehabilitation and
prescribe the procedures and guidelines for the
reintegration into the mainstream of society;
implementation of Republic Act No. 9208 in
eliminate trafficking in persons; and achieve the
order to facilitate compliance therewith and
objectives of the Act.
achieve the objectives thereof.
Sec. 3. Declaration of State Policy. The State

Article II
values the dignity of every human person and
DEFINITION OF TERMS
guarantees the respect for individual rights.
Sec. 5. Definition of Terms. As used in these
Towards this end, the State shall give the
rules and regulations, unless the context
highest priority to the enactment of measures
otherwise requires, the following terms shall be
and development of programs that will promote
understood to mean:
human dignity, protect the people from any
threat of violence and exploitation, eliminate
(a) Act refers to Republic Act No. 9208,
trafficking in persons, and mitigate pressures for
otherwise
involuntary migration and servitude of persons,
known as the Anti-Trafficking in Persons Act of
not only to support trafficked persons but more
2003;
importantly, to ensure
their recovery, rehabilitation and reintegration
(b) Council refers to the Inter-Agency Council
into the mainstream of society.
Against Trafficking (IACAT) created under
Section 20 of the Act;
The State also recognizes the equal rights and
inherent human dignity of women and men, as
(c) Trafficking in Persons refers to the
well as the rights of children, as enshrined and
recruitment, transportation, transfer or harboring,
guaranteed in the following international
or receipt of persons, with or without the victims
instruments:
consent or knowledge, within or across national
(i) Universal Declaration on Human
borders by means of threat or use of force, or
Rights;
other forms of coercion, abduction, fraud,
(ii) Convention for the Suppression of
deception, abuse of power or of position, taking
the Traffic in Persons and
advantage of the vulnerability of the person, or,
Exploitation of the Prostitution of
the giving or receiving of payments or benefits to
Others;
achieve the consent of a person having control
(iii) Convention on the Elimination of All
over another person for the purpose of
Forms of Discrimination Against
exploitation which includes at a minimum, the
Women;
exploitation or the prostitution of others or other
(iv) Convention on the Rights of the
forms of sexual exploitation, forced labor or
Child and itsOptional Protocols;
services, slavery, servitude or the removal or
sale of organs.

The recruitment, transportation, transfer, (k) Involuntary Servitude refers to a condition

harboring or receipt of a child for the purpose of of enforced, compulsory service induced by
exploitation means of any scheme, plan or pattern, intended
shall also be considered as trafficking in to cause a person to believe that, if the person
persons even if it does not involve any of the did not enter into or continue in such condition,
means set forth in the preceding paragraph. that person or another person would suffer
serious harm or other forms of abuse or physical
(d) Child refers to a person below eighteen restraint, or the abuse or threatened abuse of
(18) years of age or one who is over eighteen the legal process.
(18) but is unable to fully take care of or protect
himself/herself from abuse, neglect, cruelty, Article III
exploitation, or discrimination because of a THE INTER-AGENCY COUNCIL
physical or mental disability or condition; AGAINST TRAFFICKING (IACAT)
(e) Prostitution refers to any act, transaction, Sec. 6. Creation. The Inter-Agency Council
scheme or design involving the use of a person Against Trafficking (IACAT) shall be established
by another, for sexual intercourse or lascivious which shall be primarily tasked to coordinate,
conduct in exchange for money, profit or any monitor and oversee the implementation of the
other consideration; Act.
(f) Forced Labor and Slavery refer to the Sec. 7. Composition. The Council shall be
extraction of work or services from any person composed of the following:
by means of enticement, violence, intimidation
or threat, use of force or coercion, including (a) Secretary, Department of Justice (DOJ) as
deprivation of freedom, abuse of authority or Chairperson;
moral ascendancy, debt-bondage or deception; (b) Secretary, Department of Social Welfare and
Development (DSWD) as Co-Chairperson;
(g) Sex Tourism refers to a program (c) Secretary, Department of Foreign Affairs
organized by travel and tourism-related (DFA) as Member;
establishments and individuals which consists (d) Secretary, Department of Labor and
of tourism packages or activities, utilizing and Employment
offering escort and sexual services as (DOLE) as Member;
enticement for tourists. This includes sexual (e) Administrator, Philippine Overseas
services and practices offered during rest and Employment
recreation periods for members of the military; Administration (POEA) as Member;
(f) Commissioner, Bureau of Immigration (BI) as
(h) Sexual Exploitation refers to participation Member;
by a person in prostitution or the production of (g) Director-General, Philippine National Police
pornographic (PNP) as Member;
materials as a result of being subjected to a (h) Chairperson, National Commission on the
threat, deception, coercion, abduction, force, Role of Filipino Women (NCRFW) as Member;
abuse of authority, debt bondage, fraud or (i) One (1) representative from an NGO
through abuse of a victims vulnerability; representingthe women sector as Member;
(j) One (1) representative from an NGO
(i) Debt Bondage refers to the pledging by the representing he Overseas Filipino Workers
debtor of his/her personal services or labor or (OFWs) sector as Member; and
those of a person under his/her control as (k) One (1) representative from an NGO
security or payment for a debt, when the length representing he children sector as Member.
and nature of services is not clearly defined or
when the value of the services as reasonably The members of the Council may designate their
assessed is not applied toward the liquidation of permanent representatives who shall have a
the debt; rank not lower than an Assistant Secretary or its
equivalent to attend the meetings of the Council.
(j) Pornography refers to any representation,
through publication, exhibition, cinematography, Sec. 8. Qualifications, Selection and
indecent Appointment of NGO and its
shows, information technology, or by whatever Representatives. The NGOs, with national and
means, of a person engaged in real or simulated international networks, and its representatives to
explicit sexual activities or any representation of the Council must have a proven track record of
the sexual parts of a person primarily for sexual involvement in the prevention and suppression
purposes; and of trafficking in persons. They shall be
nominated by any

of the government agency representatives of the (m) Coordinate with the Department of
Council and shall be selected by majority vote Transportation and Communications (DOTC),
thereof and endorsed to the President. They Department of Trade and Industry (DTI), and
shall be appointed by the President for a term of other NGOs in monitoring the promotion of
three (3) years. advertisement of trafficking in the Internet;
(n) Adopt measures and policies to protect the
Sec. 9. Functions of the Council. The Council rights and needs of trafficked persons who are
shall have the following powers and functions: foreign nationals in the Philippines;
(o) Initiate training programs in identifying and
(a) Formulate a comprehensive and integrated roviding the necessary intervention or
program to prevent and suppress the trafficking assistance to trafficked
in persons; persons; and
(b) Promulgate rules and regulations as may be (p) Exercise all the powers and perform such
necessary for the effective implementation of the other functions necessary to attain the purposes
Act; and objectives of the Act.
(c) Monitor and oversee the strict
implementation of the Act; Sec. 10. Reportorial Function. Within sixty (60)
(d) Coordinate the programs and projects of the days after the closing of each calendar year, the
various member agencies to effectively address Council shall submit to the Office of the
the issues and problems attendant to trafficking President a comprehensive report on the actions
in persons; and programs
(e) Coordinate the conduct of massive taken by the Council relative to and concerning
information dissemination and campaign on the the implementation of the Act.
existence of the law and the various issues and
problems attendant to trafficking through the Sec. 11. Meetings of the Council. The Council
local government units (LGUs), concerned shall meet regularly at least once a month.
agencies, and NGOs; Special meetings may be called by the Chair as
(f) Direct other agencies to immediately respond the need arises. Majority of the members of the
to the problems brought to their attention and Council
report to the Council on action taken; shall constitute a quorum to transact business.
(g) Assist in filing of cases against individuals,
agencies, institutions or establishments that Sec. 12. Honoraria or Emoluments. The
violate the Members of the Council or their designated
provisions of the Act; permanent representatives shall receive
(h) Formulate a program for the reintegration of honoraria or emoluments as may be determined
trafficked persons in cooperation with DOLE, by the Council in
DSWD, Technical Education and Skills accordance with existing budget and accounting
Development Authority (TESDA), Commission rules and regulations.
on Higher Education (CHED), LGUs and NGOs;
(i) Secure from any department, bureau, office, Sec. 13. Implementation of the Law at Sub-
agency, or instrumentality of the government or National and Local Levels. The Council shall,
from NGOs as far as practicable, develop mechanisms to
and other civic organizations such assistance as ensure the implementation of the law and these
may be needed to effectively implement the Act; rules and regulations at the sub-national and
(j) Complement the shared government local levels
information system for migration established
under Republic Act No. 8042, otherwise known Article IV
as the Migrant Workers and Overseas Filipinos SECRETARIAT
Act of 1995 with data on cases of trafficking in
persons, and ensure that the proper agencies SEC. 14. Organization. The Department of
conduct a continuing research and study on the Justice shall establish a Secretariat to assist the
patterns and scheme of trafficking in persons Council in the performance of its functions. The
which shall form the basis for policy formulation Secretary of Justice shall determine the
and program direction; organizational structure and staffing pattern of
(k) Develop the mechanism to ensure the timely the Secretariat.
coordinated and effective response to cases of
trafficking in Sec. 15. Functions. The Secretariat shall have
persons; the following functions:
(l) Recommend measures to enhance (a) Coordinate and monitor, under the direction
cooperative efforts and mutual assistance of the Council, the implementation of the policies
among foreign countries through bilateral and/or and guidelines promulgated by the Council;
multilateral arrangements to prevent and (b) Establish, maintain and manage a central
suppress international trafficking in persons; database on trafficking in persons;
(c) Provide secretariat, records keeping and (vii) Review and recommend policies and
other services to the Council; and measures to enhance protection against
(d) Perform such other functions as may be trafficking in persons;
directed by the Council. (viii) Recommend the negotiation of mutual legal
assistance and extradition treaties with other
Article V countries in
ROLES AND RESPONSIBILITIES coordination with the DFA; and
(ix) Coordinate with and/or provide assistance to
Sec. 16. Common Roles and Responsibilities the Anti-Money Laundering Council (AMLC) on
of Council Member Agencies. All member cases of
government agencies of the Council shall have trafficking in persons with possible money
the following common roles and responsibilities: laundering underpinnings.
(a) Develop policies and programs supportive of
and consistent with the objectives of the Act; (b) Department of Social Welfare and
(b) Enhance the capability of its officers and Development (DSWD)
personnel involved in trafficking issues and
concerns through appropriate training and staff (i) Provide psycho-social counseling, temporary
support programs; shelter and other support services to
(c) Undertake information, education and victims/survivors of
advocacy campaigns against trafficking in trafficking and their families;
persons; (ii) Make available skills training and livelihood
(d) Maintain a databank on trafficking in persons services to victims/survivors of trafficking;
to be shared among relevant agencies and (iii) Develop program and other support
complement the central databank to be interventions to facilitate the recovery and
established by the Council; and reintegration of
(e) Document good practices as bases for policy trafficked victims into their families and
formulation and program development. communities;
(iv) Provide social welfare services to Filipino
Sec. 17. Specific Roles and Responsibilities victims of trafficking in other countries through
of National Government Agencies which are the DSWD
Members of the Council. The following national Social Welfare Attach and social workers
government agencies, which are member posted in foreign countries, which may include
agencies of the Council, shall have, but not but not limited to stress management,
limited to, the following roles and responsibilities repatriation and other appropriate psychosocial
in the prevention and suppression of trafficking interventions for their protection and welfare;
in persons: (v) Conduct technical assistance and capability
building activities for social welfare
(a) Department of Justice (DOJ) officers/social workers
of LGUs and NGOs;
(i) Ensure the prosecution of persons for (vi) Accredit NGOs that provide programs and
violations of the Act; services to ensure that they meet the standards
(ii) Designate and train special prosecutors who set by the
shall investigate and prosecute cases of Department; and
trafficking; (vii) Provide temporary shelter and psycho-
(iii) Establish a mechanism for free legal social services to foreign nationals who are
assistance for trafficked persons, in coordination victims of trafficking
with the DSWD, Commission on Human Rights in persons as confirmed by the Bureau of
(CHR), Integrated Bar of the Philippines (IBP) Immigration.
and other NGOs and volunteer groups;
(iv) Provide, witness protection to trafficked (c) Department of Foreign Affairs (DFA)
victims and their witnesses;
(v) Conduct training and continuing education (i) Make available its resources and facilities
program on investigation and prosecution for overseas and to provide services for trafficked
trafficking in persons
persons and other related offenses for regardless of the manner of their entry to the
prosecutors and law enforcement officers; receiving country;
(vi) Receive, evaluate, process and investigate (ii) Explore means to further enhance its
claims for compensation by trafficked victims, assistance in eliminating trafficking activities
when applicable, pursuant to Republic Act No. through closer
7309 (Victims Compensation networking with government agencies in the
Act); country and overseas, particularly in the
formulation of policies and implementation of
relevant programs;
(iii) Actively participate in bilateral, regional and recruitment for overseas employment, as
international initiatives and cooperative defined in Section 6 of R.A. No. 8042, such as
arrangements free legal advice, assistance in the preparation
aimed at suppressing trafficking in persons and and filing of administrative and criminal actions
protecting and assisting victims of trafficking to for trafficking as defined in the Act, without
include monitoring of inter-country adoption prejudice to the filing of administrative and/or
cases. criminal actions for illegal recruitment, as
(iv) Take necessary measures for the efficient defined in R.A.No. 8042, when proper;
implementation of the Machine Readable
Passports and (b) Assistance in the prosecution of persons who
Visas to protect the integrity of Philippine engage in, promote and facilitate trafficking in
passports, visas, and other travel documents to persons
reduce the incidence of trafficking in persons by means of, or in the guise of, recruitment for
through the use of fraudulent identification overseas employment, as defined in Section 6 of
documents; R.A. 8042;
(v) Establish and implement pre-marriage, on- In this connection, the POEA shall likewise
site and pre-departure counseling program on adopt a policy of confidentiality in all cases
inter-marriages. referred to it involving
For this purpose, the DFA shall promulgate the possible violations of the Act.
necessary guidelines to implement the said
program; and (iii) Adopt policies and procedures, prepare and
(vi) Integrate into the pre-departure orientation implement programs geared towards the
seminars for foreign service personnel a training eradication of
module on trafficking in persons as well as acts that
trafficking in persons. promote trafficking in persons such as, but not
limited to, the following:
(d) Department of Labor and Employment (a) Comprehensive and Integrated Education
(DOLE) Program on overseas employment which shall
be undertaken in partnership with other relevant
(i) Ensure the strict implementation of and organizations and government entities. Such
compliance with rules and guidelines relative to education program shall cover all stages of
the recruitment and employment and shall provide
employment of persons locally and overseas; information useful for overseas workers
and including a module on anti-trafficking program
(ii) Monitor, document and report cases of and measures;
trafficking in persons involving employers and
labor (b) Nationwide multi-media and sustainable
recruiters; grassroots information campaign to create
(iii) Make available existing resources such as publicawareness on the realities of overseas
employment and livelihood programs as part of employment and dangers of becoming victims of
the illegal trafficking activities;
governments measure to suppress trafficking in
persons; and (c) Conduct special operations, complementary
(iv) Conduct public awareness programs and to the power of the PNP, on persons and entities
activities to prevent victimization. engaged
in recruitment for overseas employment reported
(e) Philippine Overseas Employment to be violating the provisions of the Act for the
Administration (POEA) purpose of
effecting closure of said establishments
(i) Implement an effective pre-employment pursuant to the provisions of R.A. No. 8042; and
orientation seminar and pre-departure
counseling program (d) Database of cases involving, and
to applicants for overseas employment; personalities involved in, trafficking persons
separate and distinct from its illegal Recruitment
(ii) Formulate a system providing free legal cases for monitoring purposes;
assistance to trafficked persons which shall
include the (iv) In cases of repatriation involving workers
following: recruited and deployed by licensed agencies,
the POEA shall
(a) Provision of legal assistance to victims of notify the agency concerned to provide a plane
trafficking in persons by means of, or in the ticket or Prepaid Travel Advice (PTA) and shall
guise of, impose sanctions on said agencies for failure to

cooperate in providing welfare assistance to (x) Develop a program for the procurement and
OFWs they have deployed; and installation of International Civil Aviation
(v) Continue to regulate private sector Organization
participation in the recruitment and overseas (ICAO) compliant machine readers and fraud
placement of detection equipment at all international airports
workers through its licensing and registration and seaports in the country to deter trafficking in
system pursuant to its rules and regulation on persons; and
overseas (xi) Develop and distribute materials containing
employment. It shall formulate and implement, in advisory and other pertinent information to
coordination with appropriate entities concerned, enhance
when awareness against trafficking in persons.
necessary, a system of promoting and
monitoring the overseas employment of Filipino (g) Philippine National Police (PNP)
workers, taking into
consideration their welfare and protection from (i) Undertake surveillance, investigation and
the dangers and risks inherent in overseas arrest of individuals or persons suspected to be
employment, including illegal trafficking. engaged in
trafficking;
(f) Bureau of Immigration (BI) (ii) Coordinate closely with various law
enforcement agencies to secure concerted
(i) Strictly administer and enforce immigration efforts for effective
and alien registration laws; investigation and apprehension of suspected
(ii) Adopt measures for the apprehension of traffickers. For this purpose, it shall also:
suspected traffickers both at the place of arrival
and (a) Pursue the detection and investigation of
departure; suspected or alleged trafficking activities at
(iii) Ensure compliance by the Filipino fiancs/ airports
fiances and spouses of foreign nationals with through its Aviation Security Group, at seaports
the predeparture and counseling program and/or harbors through its Maritime Group, and
requirement of the Act; at land
(iv) Strictly implement the requirement for a transportation terminals through its police station
parental travel authority duly processed by the and when proper, file the appropriate charges
DSWD for against traffickers in the proper court;
minors traveling abroad unaccompanied by one
parent, and the travel clearance for minors (b) Coordinate with the Philippine Ports Authority
traveling abroad (PPA) which may have initially processed
unaccompanied by both parents; complaints at their Balay Silungan sa
(v) Ensure compliance by Overseas Filipino Daungan; and
Workers of the departure requirements of the
POEA; (c) Coordinate with local and barangay officials
(vi) Conduct periodic training and seminar on with respect to the apprehension and/or arrest of
fraudulent document detection and passenger traffickers.
assessment
to enhance the level of skill and competence of (iii) Establish a system to receive complaints and
all its immigration officers and agents in calls to assist trafficked persons, and the
document fraud detection; conduct of rescue operations;
(vii) Conduct periodic study of the trends, routes (iv) Direct and supervise the enforcement of its
and modus operandi employed by the traffickers andate under the Act and its rules and
including regulations;
its recruitment base, transit countries and (v) Supervise the conduct of investigations
country of destination; relating to apprehension occurring at land
(viii) Establish a network with other law transportation
enforcement agencies and immigration terminals, domestic seaports and airports and
counterparts of monitor the filing of appropriate cases against
source, transit and destination countries to traffickers;
facilitate exchange and sharing of information on (vi) Formulate plans and programs for the
the activities of prevention and/or reduction of trafficking in
trafficking syndicates; persons;
(ix) Establish network with LGUs for the effective (vii) Integrate in the program of instruction
apprehension of suspected traffickers and their comprehensive, gender sensitive and child-
cohorts; friendly
investigation and handling of cases of trafficking
in persons in the Philippine National Police
Academy (PNPA), Philippine Public Safety (ii) Maintain a databank for the effective
College (PPSC) and other training schools monitoring, documentation and prosecution of
operated and managed by the PNP; and cases on
(viii) Establish anti-trafficking section under the trafficking in persons;
Women and Children Complaint Desk (WCCD) (iii) Issue directives to the LGUs and barangays
in all city to institutionalize recruiter-monitoring
and municipal police stations. mechanisms and
increase public awareness regarding trafficking
(h) National Commission on the Role of Filipino in persons;
Women (NCRFW) (iv) Promote family and community
empowerment to prevent trafficking in persons;
(i) Actively advocate and participate in and
international and regional discussion and (v) Strengthen, activate and mobilize existing
initiatives in committees, councils, similar organizations and
trafficking in women and include the same in all special
of its international commitments and policy bodies at the local level to prevent and suppress
pronouncements. Where possible and trafficking in persons.
appropriate, work with the Department of
Foreign Affairs in forging bilateral and (b) Department of Tourism (DOT)
multilateral collaborative projects on trafficking;
(ii) Assist the Council in the formulation and (i) Formulate and implement preventive
monitoring of policies addressing the issue of measures to stop sex tourism packages and
trafficking in other activities of tourism establishments which
persons in coordination with relevant might contribute to the trafficking in persons in
government agencies; coordination with local governmentunits; and
(iii) Assist the Council in the conduct of (ii) Provide training to tourist security officers on
information dissemination and training to surveillance, investigation and rescue operation
frontline government strategies.
agencies, NGOs and the general public;
(iv) Assist in the development of gender (c) Department of Education (DepEd)
responsive documentation system in
coordination with other agencies and the (i) Integrate in the appropriate subject areas
National Statistical Coordination Board (NSCB) core messages on migration and trafficking in
through its monitoring of the situation of women the elementary
particularly on violence against women; and secondary levels by providing lesson with
(v) Assist the Council in the formulation of emphasis on their implications and social costs
prevention and reintegration programs for to persons and country;
victims of (ii) Provide opportunities for trafficked persons in
trafficking including the demand side; and (vi) the educational mainstream through the basic
Conduct studies on the root causes, magnitude education
and forms of trafficking in women and document and non-formal education curricula; and
best practices in prevention programs. (iii) Provide education and raise consciousness
of boys/men in schools and communities in
Sec. 18. Roles and Responsibilities of Other order to discourage the demand side or the
Relevant National Government Agencies. use/buying of trafficked women
Consistent with their mandates under existing and children.
laws, the following agencies shall integrate
human trafficking issues in their strategy and (d) Department of Health (DOH)
program formulation and implement programs
and services for the prevention and suppression (i) Make available its resources and facilities in
of trafficking and for the protection of trafficked providing health care to victims of trafficking
victims. which shall,
They shall likewise have the following roles and at all times, be held confidential.
responsibilities:
(e) Department of Transportation and
(a) Department of the Interior and Local Communication (DOTC)
Government (DILG)
(i) Provide guidelines for the land, sea and air
(i) Conduct a systematic information transport providers to train their personnel in
dissemination/advocacy and prevention trafficking
campaign against trafficking in persons; in persons;
(ii) Standardize guidelines for monitoring
trafficking in persons in every port; and
(iii) Monitor the promotion of advertisement of (ii) Undertake strategic researches on the
trafficking in the Internet. structure and dynamics of trafficking in persons
with transnational crime dimension, predict
(f) Commission on Human Rights (CHR) trends and analyze given factors for the
formulation of individual and collective
(i) Conduct advocacy and training programs strategies for the prevention and detection of
relating to anti-trafficking; trafficking in persons and the apprehension of
(ii) Investigate and recommend for prosecution criminal elements involved;
violations of the Act; (iii) Conduct case operations in coordination with
(iii) Provide legal and financial assistance to other law enforcement agencies; and
victims of trafficking; and (iv) Serve as the focal point in international law
(iv) Integrate anti-trafficking efforts in the enforcement coordination on trafficking in
Barangay Human Rights Action Center persons
(BHRAC); and particularly with the INTERPOL.
(v) Monitor government compliance to
international human rights treaty obligations (i) Overseas Workers Welfare Administration
related to the (OWWA)
suppression/elimination of trafficking, particularly
the Convention for the Suppression of Traffic in (i) Assist in the information and advocacy
Persons and Exploitation of the Prostitution of campaign among OFWs to prevent trafficking in
Others, the Convention on the Elimination of All persons;
Forms of Discrimination Against Women, the (ii) Assist in the documentation of cases of
Convention on the Rights of the Child, the trafficking and ensure the provision of its
Convention on the Protection of Migrant programs and
Workers and Members of Their Families, and services to OFWs and their families; and (iii)
the UN Convention Against Transnational Include a module on anti-trafficking to its
Organized Crimes including its Protocol to predeparture
Prevent, Suppress and Punish Trafficking in seminar.
Persons, Especially Women and Children.
(j) Council for the Welfare of Children (CWC)
(g) National Bureau of Investigation (NBI)
(i) Integrate in its development and strategic
(i) Conduct surveillance, monitor and investigate frameworks issues and concerns affecting
recruiters, travel agencies, hotels and other trafficking in
establishments children and ensure the adoption of such
suspected to be engaged in trafficking in frameworks by the LGUs and other
persons; stakeholders;
(ii) Coordinate closely with all the Council (ii) Vigorously advocate against trafficking of
member agencies for effective detection and children;
investigation of suspected traffickers; (iii) Improve data on trafficking in children
(iii) Formulate plans and programs for the through integration of critical and relevant
detection and prevention of trafficking, and the indicators into the
arrest and monitoring system for children;
prosecution of suspected traffickers; (iv) Adopt policies and measures that will protect
(iv) Share intelligence information on suspected and promote the rights and welfare of children
traffickers to all Council member agencies when victims of
necessary; trafficking and coordinate and monitor their
and implementation; and
(v) Foster cooperation and coordination with the (v) Address issues on trafficking of children
law enforcement agencies of other countries and through policy and program interventions.
the
INTERPOL in the investigation and (k) Philippine Information Agency (PIA)
apprehension of suspected traffickers.
(i) Enhance public awareness on trafficking in
(h) Philippine Center on Transnational Crime persons, pertinent laws and possible actions to
(PCTC) prevent
victimization and re-victimization by developing
(i) Continue to function in accordance with its public advocacy program as well as printing and
mandate pursuant to Executive Order No. 62, s. distributing
1999, on appropriate information materials.
matters concerning trafficking in persons with
transnational dimension; (l) Technical Education and Skills Development
Authority (TESDA)
trafficking and other support services for their

(i) Provide skills and entrepreneurial training to families;
trafficked victims; and (e) Document and/or assist in the documentation
(ii) Formulate a special program to ensure the of cases of trafficking;
provision of appropriate skills training for (f) Disseminate guidelines to all its network
trafficked victims. members, local and international, on policies
and programs
Sec. 19. Roles and Responsibilities of Local addressing issues on trafficking in persons;
Government Units (LGUs). The LGUs shall (g) Formulate educational module to address
have the following roles and responsibilities: thedemand side of trafficking; and
(h) Perform such other tasks as may be agreed
(a) Monitor and document cases of trafficked upon by the Council.
persons in their areas of jurisdiction;
(b) Effect the cancellation of licenses of Sec. 21. Assistance of Other Agencies and
establishments which violate the provisions of Institutions. In implementing the Act and these
the Act and rules and regulations, the agencies concerned
ensure its effective prosecution; may seek and enlist the assistance of NGOs,
(c) Undertake an information campaign against peoples
trafficking in persons through the establishment organizations (POs), civic organizations and
of the Migrants Advisory and Information other volunteer groups, which will all likewise be
Network (MAIN) desks in municipalities and encouraged to assume the same roles and
provinces in coordination with the DILG, PIA, responsibilities enumerated in the preceding
Commission on Filipino Overseas (CFO), NGOs Section.
and other concerned agencies;
(d) Encourage and support community based Article VI
initiatives which address trafficking in persons; REPORTING OF SUSPECTED/ ALLEGED
(e) Provide basic social services for the TRAFFICKING INCIDENT
prevention, rescue, recovery, rehabilitation and
reintegration/after care support services to Sec. 22. Who May and To Whom to Report.
victims of trafficking in persons and their Any person who has any knowledge or learns of
families; facts or circumstances that give rise to a
(f) Enact ordinances or issuances aimed at reasonable belief that a person will be, or may
providing protection and support to trafficked be, or has been trafficked shall immediately
persons and adopt measures to prevent and report the same, either orally, in writing or
suppress trafficking in persons; and through other means, to any member of the
(g) Strengthen, activate and mobilize existing Council, the barangay authorities, the nearest
committees, councils, similar organizations and police or other law enforcement agency, the
special bodies local social welfare and development office or
at the provincial, city, municipal and barangay the local Council for the Protection of Children.
levels to prevent and suppress trafficking in In the case of trafficking cases abroad, the
persons. report shall be made to the Philippine
Embassy/Consulate which has jurisdiction over
Sec. 20. Roles and Responsibilities of Non- the place where the trafficking occurred or
Government Organizations which are where the trafficked person is
Members of the Council. The NGO members found.
of the Council shall have the following roles and
responsibilities: Sec. 23. Action on the Report. The agency,
entity or person
(a) Assist government agencies in formulating to whom the report is made shall immediately
and implementing policies, programs and IEC act as soon as the report is received in
campaign against trafficking; coordination with other relevant government
(b) Assist in capability-building activities of agency for appropriate intervention. For this
government personnel and share their purpose, the Council shall develop a mechanism
experiences and to ensure the timely, coordinated and effective
expertise in handling trafficking cases; response to cases of trafficking in persons.
(c) Coordinate with concerned government
agencies, LGUs and other NGOs in reporting Article VII
alleged perpetrators, rescuing victims of INTERCEPTION, ARREST AND
trafficking, and conducting investigation/ INVESTIGATION OF TRAFFICKERS
surveillance, if indicated;
(d) Undertake programs and activities for the Sec. 24. Procedure in the Interception, Arrest
prevention, rescue, recovery and reintegration of and Investigation of Traffickers in Persons at
the victims of
International Airport or Seaport. When an development officers or active NGOs concerned

offense punishable under the Act or any other with trafficking in persons in the locality.
offense in relation thereto or in furtherance
thereof has been committed, or is actually being Sec. 27. Rights of the Person Arrested,
committed in the presence of an immigration Investigated or Detained. In all cases, the
officer assigned at the international airport or rights of the person arrested, investigated or
seaport, detained as provided by the Philippine
he/she shall immediately cause the interception Constitution and under Republic Act No. 7438
and/or arrest of the persons involved for (An Act Defining Certain Rights of Persons
investigation. The DOJ Task Force Against Arrested, Detained or Under Custodial
Trafficking shall cause the filing of appropriate Investigation As Well As The Duties of the
case in court when Arresting, Detaining and Investigating Officers,
evidence warrants. If the person arrested is a and Providing Penalties For Violations Thereof)
foreigner, the concerned B.I. shall, at all times, be respected.
investigating unit shall take full custody over the
arrested person, conduct the investigation Article VIII
proper motu proprio and endorse the complaint RESCUE/RECOVERY AND REPATRIATION
and supporting documents to the prosecutor for OF VICTIMS
inquest or MTC Judge for appropriate
proceedings. Sec. 28. The Country Team Approach. The
country team approach under Executive Order
Sec. 25. Procedure in the Interception, Arrest No. 74, series of 1993 and further enunciated in
and Investigation of Traffickers in Persons at Republic Act No. 8042 shall be the operational
Local Airport, Seaport and Land scheme under which Philippine embassies
Transportation Terminals. In cases where the abroad shall provide protection to trafficked
violation is committed at local seaport, airport or persons regardless of their immigration status.
in land transportation terminals, the members of Under the Country Team Approach, all officers,
the law enforcement agency shall representatives and personnel of the Philippine
immediately cause the interception and/or arrest government posted abroad regardless of their
of the suspected traffickers. Thereafter, the mother agencies shall, on a per country basis,
investigation shall be conducted by the law act as one-country team with mission under the
enforcement agency on the person/s leadership of the Ambassador or the head of
intercepted/arrested, and mission.
referred to the Prosecutors Office of the place
where the offense was committed or to the DOJ Sec. 29. Rescue at the Country of
Task Force Against Trafficking in Persons or Destination.
Task Force on Passport Irregularities or
Municipal Trial Court of (a) Procedure. When the victim is a Filipino
the place where the crime was committed in national and at the time of rescue is residing
case of municipalities and non-chartered cities abroad, the embassy or consulate which has
for purposes of inquest or preliminary jurisdiction over the place where the victim is
investigation as the case may be. residing shall verify the veracity of the report of
incidence of trafficking and inquire about the
Sec. 26. Creation of a Joint Task Force condition of the victim.
Against Trafficking in Persons. For the Consistent with the country team approach, the
purpose of the above provisions, there shall be Post concerned shall send a team composed of
created a Joint Task Force Against Trafficking in a consular officer and personnel from the
Persons to be assigned at airports composed of Philippine Overseas Labor Office (POLO) or the
Prosecution, BI, PNP, and NBI personnel and Filipino Workers Resource Center (FWRC), the
another Task Force at land transportation Office of the Social Welfare Attach as the case
terminals and local seaports and airports to be may be, to conduct a visit to the jail,
composed of Prosecution, PNP, BI, PPA, and establishment, work site or residence of the
PCG personnel. The DOJ National Task Force victim. In the case of Posts without attached
Against Trafficking in Persons shall issue the services, the team
necessary will be composed of a consular officer and
operational guidelines for the effective personnel from the Assistance-to-Nationals
coordination, apprehension, investigation and section.
prosecution of violations of the Act. The DOJ The Post shall make representations with the
Task Force assigned at local seaports, airports police authorities or other relevant law
and land transportation enforcement agencies with respect to the
terminals shall cooperate or coordinate with the conduct of rescue operations.
local authorities, local social welfare and

Rescue operation shall also be made in (OUMWA), allocation of funds for the repatriation
cooperation and close coordination with some of the victim. In appropriate cases and to avoid
NGOs, local contacts or private individuals re-victimization, the Post may withdraw the
when necessary. passport of the victim and forward it to the DFA
and in
In countries and areas where the services of the its place issue a Travel Document (FA Form
FWRC is not accessible, a mobile type of 79(B)) valid for direct travel to the Philippines.
services shall be extended by the country team The Post concerned shall report to the DFA,
members to trafficked persons regardless of through the OUMWA, copy furnished the Office
their status in the host country. of Consular Affairs, the actual date of
Thereafter, the victim will be encouraged to repatriation and other pertinent information and
execute a sworn statement, recounting among submit a copy of the sworn statement and other
others, the people/establishment involved in the relevant documents.
recruitment/transfer and deployment, the modus
operandi employed to recruit, transport and In appropriate cases, especially when the victim
deploy the victim, and other pertinent is suffering from mental illness, has suffered
information which could provide a lead in the physical or sexual abuse or has received serious
investigation and eventual prosecution of the threats to his or her life and safety, the victim will
perpetrators. be
met upon arrival in the Philippines by DSWD
(b) Assistance to Trafficked Persons. The personnel, in coordination with the Joint Task
trafficked person shall be provided with Force Against Trafficking in Persons and other
temporary shelter and other forms of assistance. government agencies such as OWWA, BI and
DOH. In the case of mentally ill patients, minors,
In countries where there is an Filipino Workers and other persons requiring special care, the
Resource Center, the services available to Post shall designate a duly authorized individual
overseas Filipinos as provided for in Republic to escort said victims to the Philippines.
Act No. 8042 shall also be extended to trafficked
persons regardless of their status in the host The victim will be encouraged, if he or she has
country. not done so before, to execute a sworn
statement with the view of filing the appropriate
(c) Legal Assistance Fund. Trafficked persons charges against the suspected trafficker in the
shall be considered under the category Philippines. Should the victim request the
Overseas Filipinos in assistance of DFA, OUMWA shall interview the
Distress and may avail of the Legal Assistance victim and make recommendations for
Fund created by Republic Act No. 8042, subject investigation with law enforcement agencies
to the guidelines as provided by law, including such as the PNP and the NBI. In cases where
rules and regulations issued by the DFA as recruitment agencies are involved, the case
to its utilization and disbursement. shall also be referred to the POEA for
appropriate action. The report shall also be
Sec. 30. Repatriation of Trafficked Persons. forwarded to the BI for case build up. The victim
The DFA, in coordination with DOLE and other may be referred to the DSWD/Local Social
appropriate agencies, shall have the primary Welfare
responsibility for the repatriation of trafficked And Development Office or to the NBI One-Stop
persons, regardless of whether they are Shop for psychosocial interventions,
documented or undocumented. psychological and medical examination and
follow-through therapy sessions. Protective
If, however, the repatriation of trafficked persons custody and emergency shelter shall also be
shall expose the victims to greater risks, the DFA provided to the victim, in appropriate cases.
shall make representation with the host
government for the extension of appropriate Sec. 32. Rescue Within the Country. Rescue
residency permits operations within the country shall be primarily
and protection, as may be legally permissible in undertaken by the law enforcement agencies in
the host country. coordination with LGUs, DOLE, DSWD and
DOH. Upon receipt of a report of a suspected or
Sec. 31. Procedure for Repatriation. In alleged trafficking ncident or activity, the law
accordance with existing rules and regulations enforcement agency to which the report is made
on the use and disbursement of Assistance-to- shall conduct rescue operations of trafficked
Nationals Fund of the DFA for the repatriation of persons. At the minimum, rescue operations
distressed OFWs, the Post shall immediately shall be guided by the following:
request the DFA, through the Office of the
Undersecretary for Migrant Workers Affairs (a) Conduct of rescue operation of trafficked
persons shall be properly coordinated with the
concerned agencies particularly DSWD/local rehabilitation and reintegration of

social welfare and development officer; victims/survivors shall be undertaken.
(b) The rescue team shall ensure full protection
of the rights of the trafficked person as well as Sec. 34 Procedure. The following procedure
the traffickers while under its custody and shall be undertaken in implementing a
control; comprehensive program for the recovery,
(c) After the rescue operation, the investigation rehabilitation and reintegration of
of the case shall be referred to the Women and victims/survivors of trafficking:
Children Complaint Desk (WCCD) desk of PNP,
the Violence Against Women and Children (a) The victim/survivor of trafficking may go to
Division (VAWCD) of the NBI or other similar the nearest DSWD/LGU Social Welfare and
units or desks; Development Office for assistance;
(d) After the completion of the necessary (b) Upon referral/interview the DSWD/Local
documents for the filing of cases, the rescue Government Social Worker shall conduct an
team shall effect the appropriate and immediate intake assessment
turn-over of the trafficked person to DSWD/local to determine appropriate intervention with the
social welfare and development officer; and victim/survivor;
(e) In the course of investigation of the trafficked (c) The social worker shall prepare a social case
person, the investigator handling the case shall study report/case summary for the
ensure that victim/survivors admission to a residential
the victim shall be accorded with proper facility for temporary shelter or community-
treatment and investigated in a child-friendly and based services;
gender-sensitive (d) Provide services/interventions based on the
environment. In the conduct of investigative rehabilitation plan in coordination with
interviews on children, the law enforcers shall appropriate agencies,
likewise be guided by the Rule on the e.g. counseling, legal, medical and educational
Examination of a Child Witness promulgated by assistance; livelihood and/or skills training; as
Supreme Court, as may be applicable. For this well as appropriate services to the family of the
purpose, the investigators shall be properly trafficked victim/survivor; and
trained in the handling of cases of trafficked (e) Monitor implementation and periodically
persons. evaluate/update the rehabilitation plan until the
victim/ survivor has been reintegrated with
Article IX his/her family and community.
REHABILITATION AND
REINTEGRATION OF VICTIMS Sec. 35. Capability Building of Service
Providers. The frontline agencies and the
Sec. 33. Comprehensive Program. The service providers must undergo training and
DSWD, LGUs and other concerned agencies other capability building activities to enhance
shall provide a comprehensive, gendersensitive their knowledge and skills in handling cases of
and child friendly program for the recovery, trafficking to prevent exacerbation of traumatic
rehabilitation stress and facilitate more effective crisis
and reintegration of victims/survivors of interventions, healing and reintegration services.
trafficking, such as but not limited to the
following: Sec. 36. Documentation. Data banking,
research and documentation of best practices in
(a) Implementation of residential care, child rehabilitation and reintegration programs shall
placement, educational assistance, livelihood be conducted to identify efficient and effective
and skills training measures and services for the victims of
and other community-based services must be trafficking and their families.
responsive to the specific needs and problems
of the victims/survivors and their families;
(b) Active involvement and participation of the
victims/survivors in the rehabilitation and
reintegration process shall be encouraged. In
order to empower them and to prevent their re-
victimization, capability building programs must Article X
be provided; and Law, Rules and Local PROSECUTION, CIVIL FORFEITURE AND
Instruments 5 3 RECOVERY OF CIVIL DAMAGES
(c) Active cooperation and coordination with
NGOs and other members of the civil society Sec. 37. Who May File a Complaint.
including the business community, tourism- Complaints for violations of the Act may be filed
related industries as well as the media in the by the following:

(a) Any person who has personal knowledge of separate properties of the offender and if the
the commission of the offense; same is insufficient to satisfy the claim, the
(b) The trafficked person or the offended party; balance shall be taken from the forfeited
(c) Parents or legal guardians; properties as may be ordered by the court.
(d) Spouse; (b) During the pendency of the criminal action,
(e) Siblings; or no property or income used or derived therefrom
(f) Children. which are subject to confiscation and forfeiture,
shall be disposed, alienated or transferred and
The foregoing persons may also seek the the same shall be in custodia legis and no bond
assistance of the Council in the filing of shall be admitted for the release of the same.
complaint. (c) The trial prosecutor shall avail of the
provisional remedies in criminal cases to ensure
Sec. 38. Institution of Criminal Action; Effect. the confiscation,
The institution of the criminal action before the preservation and forfeiture of the said properties.
Office of the Prosecutor or the court, as the case (d) If the offender is a public officer or employee,
may be, for purposes of preliminary investigation the forfeiture of his/her property found to be
shall interrupt the running of the period for unlawfully acquired shall be governed by
prescription of the offense charged. The Republic Act No. 1379 otherwise known as An
prescriptive period shall commence to run again Act Declaring Forfeiture in Favor of the State
when such proceedings terminate without the Any Property Found to Have Been Unlawfully
accused being convicted or acquitted or are Acquired by Any Public Officer or Employee and
unjustifiably stopped for any reason not Providing for the Proceedings Therefore.
imputable to the accused.
Article XI
Sec. 39. Institution of Criminal and Civil LEGAL PROTECTION AND OTHER
Actions. Pursuant to the Revised Rules on SERVICES
Criminal Procedure, when a criminal action is
instituted, the civil action arising from the offense Sec. 43. Legal Protection. Trafficked persons
charged shall be deemed instituted with the shall be recognized as victims of the act or acts
criminal action unless the offended party waives of trafficking. As such, they shall not be
the civil action, reserves the right to institute it penalized for crimes directly related to the acts
separately or institutes the civil action prior to of trafficking enumerated under the Act or in
the criminal action. obedience to the order made by the trafficker in
relation thereto. In this regard, the consent of the
Sec. 40. Exemption from Filing Fees. When trafficked person to the intended exploitation set
the trafficked person institutes a separate civil forth in the Act shall be irrelevant.
action for the recovery of civil damages, he/she
shall be exempt from the payment of filing fees. Sec. 44. Preferential Entitlement under the
Witness Protection Program. Any provision of
Sec. 41. Venue. The offenses punishable under Republic Act No. 6981 to the contrary
the Act shall be considered as a continuing notwithstanding, any trafficked person shall be
offense and may be filed in the place where the entitled to the witness protection program
offense was committed or where any of its provided therein.
elements occurred or where the trafficked Sec. 45. Immunity from Criminal Prosecution.
person actually resides at the time of the Any person who has personal knowledge in the
commission of the offense. Provided, that the commission of any of the offenses penalized
court where the criminal action is first filed shall under the Act and who voluntarily gives material
acquire jurisdiction to the exclusion of other information relative thereto and willingly testifies
courts. against the offender shall be exempt from
prosecution for the offense with reference to
Sec. 42. Forfeiture of the Proceeds and which his information and testimony were given,
Instruments Derived from Trafficking in subject to the following conditions:
Persons.
(a) After conviction, all proceeds and (a) The information and testimony are necessary
instruments, including any real or personal for the conviction of the accused; and
property used in the commission of the offense, (b) Such information and testimony are not yet in
shall be ordered confiscated and forfeited in the possession of the state.
favor of the State unless the owner thereof can
prove the lack of knowledge of the use of such Sec. 46. Mandatory Services. To ensure
property in the said illegal activity. Any award for recovery, rehabilitation and reintegration into the
damages arising from the commission of the mainstream of society, concerned government
offense may be satisfied and charged against agencies shall make available the following
the personal and services to trafficked persons:
(b) Sponsorship of a national research program

(a) Emergency shelter or appropriate housing; on trafficking and establishment of a data
(b) Counseling; collection system for monitoring and evaluation
(c) Free legal services which shall include purposes;
information about the victims rights and the (c) Provision of necessary technical and material
procedure for filing complaints, claiming support services to appropriate government
compensation and such other legal remedies agencies and nongovernment organizations
available to them, in a language understood by (NGOs);
the trafficked person; (d) Sponsorship of conferences and seminars to
(d) Medical or psychological services; provide venue for consensus building among the
(e) Livelihood and skills training; and public, the academe, government, NGOs and
(f) Educational assistance to a trafficked child. international organizations; and
(e) Promotion of information and education
Sustained supervision and follow through campaign on trafficking.
mechanism that will track the progress of
recovery, rehabilitation and reintegration of the The Trust Fund may also be used to support the
trafficked persons shall be adopted and carried operations of the Secretariat.
out.
Sec. 50. Use and Disbursement of Trust
Sec. 47. Legal Protection of Trafficked Fund. The use and disbursement of the trust
Persons Who are Foreign Nationals. fund shall be subject to the approval of at least
Trafficked persons in the Philippines who are two-thirds (2/3) of the members of the Council
nationals of a foreign country shall be entitled to and shall be
appropriate protection, assistance and services governed by existing government accounting
available to the trafficked persons and shall be and auditing rules and regulations.
allowed to continued presence in the Philippines
for a period of fifty-nine (59) days to enable them Article XIII
to effect the prosecution of the offenders. Such INTERNATIONAL COOPERATION
period may be renewed upon showing of proof Sec. 51. International Cooperation. The
by the trial prosecutor that their further testimony Council, in close coordination with the DFA and
is essential to the prosecution of the case. The other concerned agencies, shall promote
trial prosecutor shall course his request for cooperation, technical assistance and
extension to the Council which shall accordingly partnership among governments and regional
act upon the same. If such request is granted, and international organizations on the following
the registration and immigration fees of aspects:
such foreign nationals shall be waived. The
Council, for this purpose, shall develop (a) Prevention, protection, prosecution,
additional repatriation and reintegration aspects of
guidelines to implement this provision. trafficking in persons, especially women and
children;
Article XII (b) Systematic exchange of information and
TRUST FUND good practices among law enforcement and
immigration authorities;
Sec. 48. Trust Fund; Sources. All fines (c) Prevention, detection, investigation and
imposed under the Act and the proceeds and prosecution of trafficking in persons, including
properties forfeited and confiscated pursuant to the protection
Section 14 of the Act and Article IX, Section 5 of of victims through exchanges and joint training
these rules and at the bilateral, regional and international levels,
regulations shall accrue to a Trust Fund to be between and among relevant officials including
administered and managed by the Council. police, judges, prosecutors, immigration officers,
other law enforcement agents as well as
Sec. 49. Utilization. The Trust Fund shall be consular authorities; and
used exclusively for programs that will prevent (d) Repatriation of victims of trafficking with due
acts of trafficking and protect, rehabilitate, regard to their safety and in consideration of
reintegrate trafficked persons into the humanitarian
mainstream of society. Such programs shall and compassionate factors.
include, but not limited to the following:
(a) Provision for mandatory services set forth in

Section 23 of the Act; and Section 47 of these
Rules and Article XIV
Regulations. CONFIDENTIALITY

Sec. 52. Confidentiality. At any stage of the (d) To undertake or organize tours and travel
investigation, prosecution and trial of an offense plans consisting tourism packages or activities
under this Act, law enforcement officers, for the purpose of utilizing and offering persons
prosecutors, judges, court personnel and for prostitution, pornography or sexual
medical practitioners, as well as parties to the exploitation;
case, shall recognize the right to privacy of the (e) To maintain or hire a person to engage in
trafficked person and the accused. Towards this prostitution or pornography;
end, law enforcement officers, prosecutors and (f) To adopt or facilitate the adoption of persons
judges to whom the complaint has been referred for the purpose of prostitution, pornography,
may, whenever necessary to ensure a fair and sexual exploitation,forced labor, slavery,
impartial proceeding, and after considering all involuntary servitude or debt bondage;
circumstances for the best interest of the parties, (g) To recruit, hire, adopt, transport or abduct a
order a closed-door investigation, prosecution or person, by means of threat or use of force,
trial. The name and personal circumstances of fraud, deceit, violence, coercion, or intimidation
the trafficked person or of the accused, or any for the purpose of removal or sale of organs of
other information tending to establish their said person; and
identities and such circumstances or information (h) To recruit, transport or adopt a child to
shall not be disclosed to the public. In case engage in armed activities in the Philippines or
when the prosecution or trial is conducted abroad.
behind closed doors, it shall be unlawful for any
editor, publisher, reporter or columnist in case of Sec. 54. Acts that Promote Trafficking in
printed materials, announcer or producer in case Persons. Any person, natural or juridical, who
of television and radio, producer and director of shall commit the following acts which promote or
a film in case of the movie industry, or any facilitate trafficking in persons, shall be
person utilizing tri-media or information penalized with the penalty of imprisonment of
technology to cause publicity of and case of fifteen (15) years and a fine of not less than Five
trafficking in persons. hundred thousand pesos (P500,000.00) but not
more than One million pesos (P1,000,000.00):
Article XV
OFFENSES AND PENALTIES (a) To knowingly lease or sublease, use or allow
to used any house, building or establishment for
Sec. 53. Acts of Trafficking in Persons. Any the purpose of promoting trafficking in persons;
person, natural or juridical, who commits any of (b) To produce, print and issue or distribute
the following acts shall suffer the penalty of unissued, tampered or fake counseling
imprisonment of twenty (20) years and a fine of certificates, registration stickers and certificates
not less than One million pesos (P1,000,000.00) of any government agency which issues these
but not more than Two million pesos certificates and stickers as proof of compliance
(P2,000,000.00): with government regulatory and pre-departure
requirements for the purpose of promoting
(a) To recruit, transport, transfer, harbor, provide, trafficking in persons;
or receive a person by any means, including (c) To advertise, publish, print, broadcast or
those done under the pretext of domestic or distribute, or cause the advertisement,
overseas employment or training or publication, printing,
apprenticeship, for the purpose of prostitution, broadcasting or distribution by any means,
pornography, sexual exploitation, forced labor, including the use of information technology and
slavery, involuntary servitude or debt bondage; the internet of any brochure, flyer, or any
(b) To introduce or match for money, profit or propaganda material that promotes trafficking in
material, economic or other consideration, any persons;
person or, as (d) To assist in the conduct of misrepresentation
provided for under Republic Act No. 6955, any or fraud for purposes of facilitating the
Filipino woman with a foreign national, for acquisition of clearances and necessary exit
marriage for the purpose of acquiring, buying, documents from government agencies that are
offering, selling or trading him/her to engage in mandated to provide pre-departure registration
prostitution, pornography, sexual exploitation, and services for departing persons for the
forced labor, slavery, involuntary servitude or purpose of promoting trafficking
debt bondage; in persons;
(c) To offer or contract marriage, real or (e) To facilitate, assist or help in the exit and
simulated, for the purpose of acquiring, buying, entry of persons from/to the country at
offering, selling, or trading them to engage in international and local airports, territorial
prostitution, pornography, sexual exploitation, boundaries and seaports who are in possession
forced labor or slavery, involuntary servitude or of unissued, tampered or fraudulent and travel
debt bondage; documents for the purpose of promoting
trafficking in persons;
(f) To confiscate, conceal, or destroy the (a) If the offender is a corporation, partnership,
passport, travel documents, or personal association, club, establishment or any judicial
documents or belongings of trafficked persons in person, the
furtherance of trafficking or to prevent them from penalty shall be imposed upon the owner,
leaving the country or seeking redress from the president, partner, manager, and/or any
government or appropriate agencies; and responsible officer who participated in the
(g) To knowingly benefit from, financial or commission of the crime or who shall have
otherwise or make use of, the labor or services knowingly permitted or failed to prevent its
of a person held to a condition of involuntary commission;
servitude, forced labor , or slavery. (b) The registration with the Securities and
exchange Commission (SEC) and license to
Sec. 55. Qualified Trafficking in Persons. The operate of the erring agency, corporation,
following are considered as qualified trafficking association, religious group, tour or travel agent,
and shall be penalized with the penalty of life club or establishment, or any place or
imprisonment and a fine of not less than Two entertainment shall be cancelled and revoked
million pesos (2,000,000.00) but not more than permanently. The owner, president, partner or
Five million pesos (5,000,000.00); manager thereof shall not be allowed to operate
similar establishment in a different name;
(a) When the trafficked person is a child; (c) If the offender is a foreigner, he shall be
(b) When the adoption is effected through immediately deported after serving his sentence
Republic Act No. 8043, otherwise known as the and be barred
Inter-Country Adoption Act of 1995 and said permanently from entering the country;
adoption is for the purpose of prostitution, (d) Any employee or official of government
pornography, sexual exploitation, forced labor, agencies who shall issue or approve the
slavery, involuntary servitude or debt bondage; issuance of travel exit clearances, passports,
(c) When the crime is committed by a syndicate , registration certificates, counseling certificates,
or in large scale. Trafficking is deemed marriage license, and other similar documents to
committed by a syndicate if carried out by a persons, whether judicial or natural, recruitment
group of three (3) or more persons conspiring or agencies, establishments or other individuals or
confederating with one another. It is deemed groups, who fail to observe the prescribed
committed in large scale if committed against procedures and the requirement as provided for
three (3) or more persons , by laws, rules and regulations, shall be held
individually or as a group; administratively liable, without prejudice to
(d) When the offender is an ascendant, parent, criminal liability under the Act. The concerned
sibling, guardian or a person who exercises government official or employee shall, upon
authority over the trafficked person or when the conviction, be dismissed from the service and be
offense is committed by a public officer or barred permanently to hold public office. His/her
employee; retirement and other benefits shall likewise be
(e) When the trafficked person is recruited to forfeited; and
engage in prostitution with any member of the (e) Conviction by final judgment of the adopter
military or law for any offense under this Act shall result in the
enforcement agencies; immediate
(f) When the offender is a member of the military rescission of the decree of adoption.
orlaw enforcement agencies; and
(g) When by reason or on occasion of the act of Sec. 58. Use of Trafficked Persons. Any
trafficking in persons, the offended party dies, person who buys or engages the services of
becomes insane, suffers mutilation or is afflicted trafficked persons for prostitution shall be
with Human Immunodeficiency Virus HIV or the penalized as follows:
Acquired Immune Deficiency Syndrome (AIDS).
(a) First offense six (6) months of community
Sec. 56. Violation of Confidentiality service as may be determined by the court and
Provisions. Any person who violates Section 7 a fine of Fifty thousand pesos (P50,000.00); and
of the Act and Section 52, Article XIV hereof
shall suffer the penalty of imprisonment of six (6) (b) Second and subsequent offenses
years and a fine not less than Five hundred imprisonment of one year (1) year and a fine of
thousand pesos (P500,000.00) but not more One hundred thousand pesos (P100,000.00).
than One million pesos (P1,000,000.00).
The Council shall coordinate with the Supreme
Sec. 57. Application of Penalties and Other Court through the Office of the Court
Sanctions. The following shall be applied in the Administrator for the issuance of appropriate
imposition of penalties: guidelines and measures for the judiciary to
implement this provision particularly on the

aspect of implementing the penalty of

community service.
Article XV
FUNDING
a. Coverage
Sec. 59. Inclusion in Agency Appropriations.
Almodiel v. NLRC, 223 SCRA 341
The heads of departments and agencies
(1993)
concerned shall immediately include in their
annual appropriations the funding necessary to
implement programs and services required by
the Act and these regulations.
In the interim, the funding necessary to carry out

their mandate under the law may be charged
against their Gender and Development (GAD)
budget.
Article XVII
FINAL PROVISIONS
Sec. 60. Non-Restriction of Freedom of

Speech and of Association, Religion and the
Right to Travel. Nothing in these rules and
regulations shall be interpreted as a restriction of
the freedom and of association, religion and the
right to travel for purposes not contrary to law as
guaranteed by the Constitution.
Sec. 61. Saving Clause. The provisions of

Republic Act No. 7610, otherwise known as the
Special Protection of Children Against Child
Abuse, Exploitation and Discrimination Act shall
remain applicable and shall not in any way be
amended or repealed by the provisions of the
Act and these rules and regulations.
Sec. 62. Separability Clause. The declaration

b. Conditions for grant of Permit, Omnibus
of invalidity of any provision of these rules and
Guidelines, Rule III. 1, 2, 3
regulations or part thereof shall not affect the
validity of the remaining provisions.
RULE III. Revocation/Cancellation of Employment
Sec. 63. Repealing Clause. Pertinent Permits Issued
provisions of all laws, presidential decrees,
executive orders and rules and regulations, or
1. The permits issued may, motu proprio or
parts thereof, contrary to or inconsistent with the upon a petition, be cancelled or revoked
provisions of the Act and these rules and based on any of the following grounds:
regulations are hereby repealed or modified
accordingly. 1.1 Misrepresentation of facts or falsification
of the documents submitted;
Sec. 64. Effectivity. These rules and regulations 1.2 The foreign national has been declared
shall take effect fifteen (15) days after its as an undesirable alien by competent
complete publication in at least two (2) authorities;
newspapers of general circulation. 1.3 Non-compliance with the conditions for
which the AEP was issued;
7. Alien Employment Regulation 1.4 Failure to renew AEP within one (1) year
after its expiration.
Reference: Arts. 12 (e), 40-42; Omnibus Rules, Book I, Rule
XIV, DO 12, 16 Nov. 2001; Omnibus Guidelines for Issuance
2. Petitions for cancellation or revocation of
of Employment Permits to Foreign Nationals); Const., Art.
XII, Sec. 12 permits issued shall be resolved within thirty
(30) calendars from receipt thereof.

3. Any aggrieved party may file a Motion for 7.4 The permits of resident foreign nationals
Reconsideration and/or Appeal and the shall be valid for multiple employers,
same shall be resolved based on Paragraph regardless of the nature and duration of their
4 of this Rule. employment, provided that they shall report
changes in their employment status and the
identity of their employers to the DOLE
Regional Office which has issued the permit.
General Milling Corp. v. Torres, 196

SCRA 215 (1991)
d. Revocation/Cancellation/Grounds, Omnibus Guidelines, Rule

III.1
RULE III. Revocation/Cancellation of Employment

Permits Issued
1. The permits issued may, motu proprio or upon a

petition, be cancelled or revoked based on any of
the following grounds:
1.1 Misrepresentation of facts or falsification of the

documents submitted;
1.2 The foreign national has been declared as
an undesirable alien by competent authorities;
1.3 Non-compliance with the conditions for
which the AEP was issued;
1.4 Failure to renew AEP within one (1) year
after its expiration.
E. Human Resources Development
Reference: Arts. 57-81; Technical Education and Skills

Development Authority Act of 1994 (TESDA) (RA 7796);
Dual Training Systems Act of 1994 (RA 7686); Magna Carta
for Disabled Persons (RA 7277)
1. Policy Objectives, RA 7796, Secs. 2-3
SEC. 2. Declaration of Policy. - I t is hereby declared

the policy of the State to provide relevant, accessible,
c. Validity of AEP, Omnibus Rules, Rule II.7 high quality and efficient technical education and skills
development in support of the development of high
quality Filipino middle-level manpower responsive to
and in accordance with Philippine development goals
7. Validity of Permits - The validity of permits shall and priorities.
be as follows:
The State shall encourage active participation of
7.1 As a general rule, the validity of permits various concerned sectors, particularly private
shall be for a period of one (1) year, unless enterprises, being direct participants in and immediate
the employment contract, consultancy beneficiaries of a trained and skilled workforce, in
services, or other modes of engagement or providing technical education and skills development
term of office for elective officers, provides opportunities.
for a longer period.
7.2 The effectivity of the renewal shall be on
the day after the expiration of the previous SEC. 3. Statement of Goals and Objectives. - It is the
permit, regardless of whether or not the goal and objective of this Act to:
renewal is granted before or after the
expiration of the previous permit. Promote and strengthen the quality of technical
7.3 As a general rule, the permits shall be education and skills development programs to attain
valid only for the position and the employer international competitiveness;
for which it was issued, except in case of
foreign nationals who are holders of multiple Focus technical education and skills development on
positions in one corporation, where one AEP meeting the changing demands for quality middle-level
shall be valid for such multiple positions. manpower;
following requirements in all instances are strictly

Encourage critical and creative thinking by disseminating complied with:
the scientific and technical knowledge base of middle-level (a) The employer shall ensure the protection,
manpower development programs; health, safety, morals and normal development of
the child;
Recognize and encourage the complementary roles of
public and private institutions in technical education and (b) The employer shall institute measures to
skills development and training systems; and prevent the child's exploitation or discrimination
taking into account the system and level of
Inculcate desirable values through the development of remuneration, and the duration and arrangement
moral character with emphasis on work ethic, self-discipline, of working time; and
self-reliance and nationalism. (c) The employer shall formulate and implement,
subject to the approval and supervision of
competent authorities, a continuing program for
training and skills acquisition of the child.
2. Apprentice
In the above exceptional cases where any such
a. Definition, RA 7796, Sec. 4 (j) child may be employed, the employer shall first
secure, before engaging such child, a work permit
"Apprentice" is a person undergoing training for an from the Department of Labor and Employment
approved apprenticeable occupation during an which shall ensure observance of the above
apprenticeship agreement; requirements.
The Department of Labor and Employment shall
b. Apprenticeable Occupation, RA 7796, promulgate rules and regulations necessary for
Sec. 4 (m) the effective implementation of this Section."
(m) "Apprenticeable Occupation" is an occupation Sec. 2. All laws, decrees, executive orders, rules
officially endorsed by a tripartite body and approved and regulations or parts thereof contrary to, or
for apprenticeship by the authority; inconsistent with this Act are hereby modified or
repealed accordingly.
c. Qualification, RA 7610, as amended by Sec. 3. This Act shall take effect fifteen (15) days
RA 7658, Sec. 12 after its complete publication in the Official
Gazette or in at least two (2) national newspapers
or general circulation whichever comes earlier.
REPUBLIC ACT NO. 7658
Approved: November 9, 1993
AN ACT PROHIBITING THE EMPLOYMENT OF
CHILDREN BELOW 15 YEARS OF AGE IN PUBLIC d. Allowed Employment; Requirement
AND PRIVATE UNDERTAKINGS, AMENDING FOR Program Approval
THIS PURPOSE SECTION 12, ARTICLE VIII OF R.
A. 7610. Nitto Enterprises v. NLRC,
258 SCRA 654 (1995)
Section 1. Section 12, Article VIII of R. A. No. 7610
otherwise known as the "Special Protection of
Children Against Child Abuse, Exploitation and
Discrimination Act" is hereby amended to read as
follows:
"Sec. 12. Employment of Children. Children

below fifteen (15) years of age shall not be
employed except:
(1) When a child works directly under the sole
responsibility of his parents or legal guardian and
where only members of the employer's family are
employed: Provided, however, That his
employment neither endangers his life, safety,
health and morals, nor impairs his normal
development; Provided, further, That the parent or
legal guardian shall provide the said minor child
with the prescribed primary and/or secondary
education; or
(2) Where a child's employment or participation in
public entertainment or information through
cinema, theater, radio or television is essential:
Provided, The employment contract is concluded
by the child's parents or legal guardian, with the
express agreement of the child concerned, if
possible, and the approval of the Department of
Labor and Employment: and Provided, That the

breach of any such agreement, unless he has

exhausted all available administrative remedies.
5. Learners
e. Terms and Conditions of Employment,
Art. 61, 72 a. Definition, RA 7796, Sec. 4
(n) Learners" refer to persons hired as trainees in semi-

ART. 61. Contents of apprenticeship agreements. - skills and other industrial occupations which are non-
Apprenticeship agreements, including the wage rates apprenticeable. Learnersship programs must be approved
of apprentices, shall conform to the rules issued by by the Authority;
the Secretary of Labor and Employment. The period
of apprenticeship shall not exceed six months. b. Allowed Employment, Art. 74 (b)
Apprenticeship agreements providing for wage rates
below the legal minimum wage, which in no case shall ART. 74. When learners may be hired. - Learners may be
start below 75 percent of the applicable minimum employed when no experienced workers are available, the
wage, may be entered into only in accordance with employment of learners is necessary to prevent
apprenticeship programs duly approved by the curtailment of employment opportunities, and the
Secretary of Labor and Employment. The Department employment does not create unfair competition in terms of
shall develop standard model programs of labor costs or impair or lower working standards.
apprenticeship. (As amended by Section 1, Executive
Order No. 111, December 24, 1986). c. Terms and Conditions of Employment,
Arts. 75, 76
ART. 72. Apprentices without compensation. - The
Secretary of Labor and Employment may authorize
the hiring of apprentices without compensation whose ART. 75. Learnership agreement. - Any employer
training on the job is required by the school or training desiring to employ learners shall enter into a
program curriculum or as requisite for graduation or learnership agreement with them, which agreement
board examination. shall include:
3. Costs, Art. 71 (a) The names and addresses of the learners;

ART. 71. Deductibility of training costs. - An additional
deduction from taxable income of one-half (1/2) of the
(b) The duration of the learnership period, which
value of labor training expenses incurred for developing
the productivity and efficiency of apprentices shall be shall not exceed three (3) months;
granted to the person or enterprise organizing an
apprenticeship program: Provided, That such program is (c) The wages or salary rates of the learners which
duly recognized by the Department of Labor and shall begin at not less than seventy-five percent
Employment: Provided, further, That such deduction shall (75%) of the applicable minimum wage; and
not exceed ten (10%) percent of direct labor wage: and
Provided, finally, That the person or enterprise who wishes (d) A commitment to employ the learners if they so
to avail himself or itself of this incentive should pay his desire, as regular employees upon completion of
apprentices the minimum wage. the learnership. All learners who have been allowed
or suffered to work during the first two (2) months
4. Enforcement, Arts. 65, 66, 67 shall be deemed regular employees if training is
terminated by the employer before the end of the
stipulated period through no fault of the learners.
ART. 65. Investigation of violation of apprenticeship
agreement. - Upon complaint of any interested person
The learnership agreement shall be subject to
or upon its own initiative, the appropriate agency of
inspection by the Secretary of Labor and
the Department of Labor and Employment or its
Employment or his duly authorized representative.
authorized representative shall investigate any
violation of an apprenticeship agreement pursuant to
such rules and regulations as may be prescribed by ART. 76. Learners in piecework. - Learners
the Secretary of Labor and Employment. employed in piece or incentive-rate jobs during the
training period shall be paid in full for the work
done.
ART. 66. Appeal to the Secretary of Labor and
Employment. - The decision of the authorized agency
of the Department of Labor and Employment may be 6. Differently-Abled Worker (Handicapped), RA
appealed by any aggrieved person to the Secretary of 7277
Labor and Employment within five (5) days from
receipt of the decision. The decision of the Secretary a. Definition, RA 7277, Sec. 4 (a) (b) (c) (d)
of Labor and Employment shall be final and
executory. Sec. 4. Definition of Terms. For purposes of
this Act, these terms are defined as follows:
ART. 67. Exhaustion of administrative remedies. - No (a) Disabled persons are those suffering from
person shall institute any action for the enforcement restriction or different abilities, as a result of a
of any apprenticeship agreement or damages for mental, physical or sensory impairment, to

perform an activity in the manner or within the advocate for and encourage respect for disabled
range considered normal for a human being; persons. The State shall exert all efforts to
remove all social, cultural, economic,
(b) Impairment is any loss, diminution or environmental and attitudinal barriers that are
aberration of psychological, physiological, or prejudicial to disabled persons.
anatomical structure or function;
c. Coverage, RA 7277, Sec. 3
(c) Disability shall mean 1) a physical or mental
Sec. 3. Coverage. This Act shall cover all disabled
impairment that substantially limits one or more
persons and, to the extent herein provided,
psychological, physiological or anatomical
departments, offices and agencies of the National
function of an individual or activities of such
Government or nongovernment organizations
individual; 2) a record of such an impairment; or
involved in the attainment of the objectives of this
3) being regarded as having such an impairment;
Act.
(d) Handicap refers to a disadvantage for a given d. Rights and Privileges, RA 7277, Secs. 5, 6, 7
individual, resulting from an impairment or a
disability, that limits or prevents the function or Sec. 5. Equal Opportunity for Employment. No
activity, that is considered normal given the age disable person shall be denied access to
and sex of the individual; opportunities for suitable employment. A qualified
disabled employee shall be subject to the same
terms and conditions of employment and the
b. Policy Declaration, RA 7277, Sec. 2 same compensation, privileges, benefits, fringe
benefits, incentives or allowances as a qualified
Sec. 2. Declaration of Policy The grant of the able bodied person.
rights and privileges for disabled persons shall be Five percent (5%) of all casual emergency and
guided by the following principles: contractual positions in the Departments of Social
(a) Disabled persons are part of Philippine Welfare and Development; Health; Education,
society, thus the State shall give full support to Culture and Sports; and other government
the improvement of the total well-being of agencies, offices or corporations engaged in
disabled persons and their integration into the social development shall be reserved for disabled
mainstream of society. Toward this end, the State persons.
shall adopt policies ensuring the rehabilitation,
self-development and self-reliance of disabled Sec. 6. Sheltered Employment If suitable
persons. It shall develop their skills and potentials employment for disabled persons cannot be
to enable them to compete favorably for available found through open employment as provided in
opportunities. the immediately preceding Section, the State shall
endeavor to provide it by means of sheltered
(b) Disabled persons have the same rights as employment. In the placement of disabled
other people to take their proper place in society. persons in sheltered employment, it shall accord
They should be able to live freely and as due regard to the individual qualities, vocational
independently as possible. This must be the goals and inclinations to ensure a good working
concern of everyone the family, community and atmosphere and efficient production.
all government and nongovernment
organizations. Disabled persons' rights must Sec. 7. Apprenticeship. Subject to the
never be perceived as welfare services by the provisions of the Labor Code as amended,
Government. disabled persons shall be eligible as apprentices
or learners: Provided, That their handicap is not
(c) The rehabilitation of the disabled persons shall as much as to effectively impede the performance
be the concern of the Government in order to of job operations in the particular occupation for
foster their capacity to attain a more meaningful, which they are hired; Provided, further, That after
productive and satisfying life. To reach out to a the lapse of the period of apprenticeship, if found
greater number of disabled persons, the satisfactory in the job performance, they shall be
rehabilitation services and benefits shall be eligible for employment.
expanded beyond the traditional urban-based
centers to community based programs, that will
ensure full participation of different sectors as
supported by national and local government Bernardo v. NLRC & FEBTC, 310 SCRA
agencies. 186 (1999)
(d) The State also recognizes the role of the

private sector in promoting the welfare of
disabled persons and shall encourage partnership
in programs that address their needs and
concerns.
(e) To facilitate integration of disabled persons

into the mainstream of society, the State shall
(f) Re-assigning or transferring a disabled

employee to a job or position he cannot perform
by reason of his disability;
(g) Dismissing or terminating the services of a

disabled employee by reason of his disability
unless the employer can prove that he impairs the
satisfactory performance of the work involved to
the prejudice of the business entity: Provided,
however, That the employer first sought to
provide reasonable accommodations for disabled
persons;
(h) Failing to select or administer in the most

effective manner employment tests which
accurately reflect the skills, aptitude or other
factor of the disabled applicant or employee that
such tests purports to measure, rather than the
impaired sensory, manual or speaking skills of
such applicant or employee, if any; and
e. Discrimination, RA 7277, Secs. 32, 33
(i) Excluding disabled persons from membership
Sec. 32. Discrimination on Employment. No in labor unions or similar organizations.
entity, whether public or private, shall
discriminate against a qualified disabled person Sec. 33. Employment Entrance Examination.
by reason of disability in regard to job application Upon an offer of employment, a disabled
procedures, the hiring, promotion, or discharge of applicant may be subjected to medical
employees, employee compensation, job training, examination, on the following occasions:
and other terms, conditions, and privileges of (a) all entering employees are subjected to such
employment. The following constitute acts of an examination regardless of disability;
discrimination:
(a) Limiting, segregating or classifying a disabled (b) information obtained during the medical
job applicant in such a manner that adversely condition or history of the applicant is collected
affects his work opportunities; and maintained on separate forms and in separate
medical files and is treated as a confidential
(b) Using qualification standards, employment medical record; Provided, however, That:
tests or other selection criteria that screen out or (1) supervisors and managers may be informed
tend to screen out a disabled person unless such regarding necessary restrictions on the work or
standards, tests or other selection criteria are duties of the employees and necessary
shown to be job-related for the position in accommodations;
question and are consistent with business
necessity; (2) first aid and safety personnel may be informed,
when appropriate, if the disability may require
(c) Utilizing standards, criteria, or methods of emergency treatment;
administration that:
(3) government officials investigating compliance
(1) have the effect of discrimination on the basis with this Act shall be provided relevant
of disability; or information on request; and
(2) perpetuate the discrimination of others who (4) the results of such examination are used only
are subject to common administrative control. in accordance with this Act.
(d) Providing less compensation, such as salary,
wage or other forms of remuneration and fringe f. Enforcement, Secs. 44, 45, 46
benefits, to a qualified disabled employee, by
reason of his disability, than the amount to which
a non-disabled person performing the same work Sec. 44. Enforcement by the Secretary of Justice.
is entitled;
(a) Denial of Right
(1) Duty to Investigate the Secretary of Justice
(e) Favoring a non-disabled employee over a shall investigate alleged violations of this Act, and
qualified disabled employee with respect to shall undertake periodic reviews of compliance of
promotion, training opportunities, study and covered entities under this Act.
scholarship grants, solely on account of the (b) Potential Violations If the Secretary of
latter's disability; Justice has reasonable cause to believe that
(1) any person or group of persons is engaged in
a pattern or practice of discrimination under this
Act; or
_______________________________________
(2) any person or group or persons has been _______________________________________
discriminated against under this Act and such _______________________________________
discrimination raises an issue of general public _______________________________________
importance, the Secretary of Justice may
_______________________________________
commence a legal action in any appropriate
court. _______________________________________
Sec. 45. Authority of Court. The court may _______________________________________
grant any equitable relief that such court _______________________________________
considers to be appropriate, including, to the _______________________________________
extent required by this Act: _______________________________________
(a) granting temporary, preliminary or permanent
_______________________________________
relief;
_______________________________________
_______________________________________
(b) providing an auxiliary aid or service,
modification of policy, practice or procedure, or _______________________________________
alternative method; and _______________________________________
_______________________________________
(c) making facilities readily accessible to and _______________________________________
usable by individuals with disabilities. _______________________________________
_______________________________________
Sec. 46. Penal Clause. (a) Any person who _______________________________________
violates any provision of this Act shall suffer the _______________________________________
following penalties: _______________________________________
(1) for the first violation, a fine of not less than
_______________________________________
Fifty thousand pesos (P50,000.00) but not
exceeding One hundred thousand pesos _______________________________________
(P100,000.00) or imprisonment of not less than six _______________________________________
(6) months but not more than two (2) years, or _______________________________________
both at the discretion of the court; and _______________________________________
_______________________________________
(2) for any subsequent violation, a fine of not less _______________________________________
than One hundred thousand pesos (P100,000.00) _______________________________________
but not exceeding Two hundred thousand pesos
_______________________________________
(P200,000.00) or imprisonment for not less than
two (2) years but not more than six (6) years, or _______________________________________
both at the discretion of the court. _______________________________________
(b) Any person who abuses the privileges granted _______________________________________
herein shall be punished with imprisonment of not _______________________________________
less than six (6) months or a fine of not less than _______________________________________
Five thousand pesos (P5,000.00), but not more
than Fifty thousand pesos (P50,000.00), or both, at
_______________________________________
the discretion of the court. _______________________________________
(c) If the violator is a corporation, organization or Habol:

any similar entity, the officials thereof directly Alien Employment Regulation
involved shall be liable therefor.
Reference: Arts. 12 (e), 40-42; Omnibus Rules, Book I, Rule
XIV, DO 12, 16 Nov. 2001; Omnibus Guidelines for Issuance
(d) If the violator is an alien or a foreigner, he shall of Employment Permits to Foreign Nationals); Const., Art.
be deported immediately after service of sentence XII, Sec. 12
without further deportation proceedings.
Labor Code
Art. 12 (e) To regulate the employment of aliens, including
NOTES: the establishment of a registration and/or work permit
system;
_______________________________________
_______________________________________ ART. 40. Employment permit of non-resident aliens. - Any
_______________________________________ alien seeking admission to the Philippines for employment
purposes and any domestic or foreign employer who desires
_______________________________________ to engage an alien for employment in the Philippines shall
_______________________________________ obtain an employment permit from the Department of Labor.
_______________________________________
_______________________________________ The employment permit may be issued to a non-resident
_______________________________________ alien or to the applicant employer after a determination of
_______________________________________ the non-availability of a person in the Philippines who is
competent, able and willing at the time of application to
_______________________________________ perform the services for which the alien is desired.
_______________________________________
For an enterprise registered in preferred areas of (2) That the non-resident alien worker and the employer
investments, said employment permit may be issued upon shall bind themselves to train at least two (2) Filipino
recommendation of the government agency charged with understudies for a period to be determined by the Secretary
the supervision of said registered enterprise. of Labor and Employment; and
ART. 41. Prohibition against transfer of employment. - (a) (3) That he shall not engage in any gainful employment
After the issuance of an employment permit, the alien shall other than that for which he was issued a permit.
not transfer to another job or change his employer without
prior approval of the Secretary of Labor.
(c) A designation by the employer of at least two (2)
understudies for every alien worker. Such understudies must
(b) Any non-resident alien who shall take up employment in be the most ranking regular employees in the section or
violation of the provision of this Title and its implementing department for which the expatriates are being hired to
rules and regulations shall be punished in accordance with ensure the actual transfer of technology.
the provisions of Articles 289 and 290 of the Labor Code. SECTION 6. Issuances of employment permit. The
Secretary of Labor and Employment may issue an
employment permit to the applicant based on:
In addition, the alien worker shall be subject to deportation
a) Compliance by the applicant and his employer with the
after service of his sentence.
requirements of Section 2 hereof;
ART. 42. Submission of list. - Any employer employing non-

b) Report of the Bureau Director as to the availability or non-
resident foreign nationals on the effective date of this Code
availability of any person in the Philippines who is
shall submit a list of such nationals to the Secretary of Labor
competent, able, and willing to do the job for which the
within thirty (30) days after such date indicating their
services of the applicant are desired;
names, citizenship, foreign and local addresses, nature of
employment and status of stay in the country. The Secretary
of Labor shall then determine if they are entitled to an c) His assessment as to whether or not the employment of
employment permit. the applicant will redound to the national interest;
Omnibus Rules, Book I, Rule XIV

d) Admissibility of the alien as certified by the Commission
on Immigration and Deportation;
RULE XIV
Employment of Aliens
e) The recommendation of the Board of Investments or
other appropriate government agencies if the applicant will
SECTION 1. Coverage. This Rule shall apply to all aliens
be employed in preferred areas of investments or in
employed or seeking employment in the Philippines, and
accordance with imperatives of economic developments; and
their present or prospective employers.
f) Payments of a P100.00 fee.

SECTION 2. Submission of list. All employers employing
foreign nationals, whether resident or non-resident shall
submit a list of such nationals to the Bureau indicating their SECTION 7. Duration of employment permit. Subject to
names, citizenship, foreign and local addresses; nature of renewal upon showing of good cause, the employment
employment and status of stay in the Philippines. permit shall be valid for a minimum period of one (1) year
starting from the date of its issuance unless sooner revoked
by the Secretary of Labor and Employment for violation of
SECTION 3. Registration of resident aliens. All employed
any provisions of the Code or of these Rules.
resident aliens shall register with the Bureau under such
guidelines as may be issued by it.
SECTION 8. Advice to Commission on Immigration and
Deportation. The Bureau shall advice the Commission on
SECTION 4. Employment permit required for entry. No
Immigration and Deportation on the issuance of an
alien seeking employment, whether on resident or non-
employment permit to an applicant.
resident status, may enter the Philippines without first
securing an employment permit from the Department of
Labor and Employment. If an alien enters the country under SECTION 9. Understudy Training Program. The employer
a non-working visa and wishes to be employed thereafter, shall submit a training program for his understudies to the
he may only be allowed to be employed upon presentation Bureau within thirty (30) days upon arrival of the alien
of a duly approved employment permit. workers. The supervision of the training program shall be
the responsibility of the Bureau and shall be in accordance
with standards established by the Secretary of Labor and
SECTION 5. Requirements for employment permit
Employment.
application. The application for an employment permit
shall be accompanied by the following:
Omnibus Guidelines for Issuance of Employment
Permits to Foreign Nationals DO 12, November 12,
(a) Curriculum vitae duly signed by the applicant indicating
2001.
his educational background, his work experience and other
data showing that he possesses high technical skills in his
trade or profession; DEPARTMENT ORDER NO. 12
(Series of 2001)
(b) Contract of employment between the employer and the .
principal which shall embody the following, among others: .
OMNIBUS GUIDELINES FOR THE ISSUANCE OF
EMPLOYMENT PERMITS TO FOREIGN
(1) That the non-resident alien worker shall comply with all
NATIONALS.
applicable laws and rules and regulations of the Philippines;

. having jurisdiction over the intended place of

. work.
Pursuant to the provisions of Articles 5 and 40 of
P. D. 442, as amended, the provisions of Rule XIV, 2. Fees - The applicant shall pay filing, publication
Book I of its Implementing Rules and Regulations, and permit fees in the amount of Eight thousand
Section 17(5), Chapter 4, Title VII of the pesos (P8,000.00) for each application for AEP
Administrative Code of 1987, the following with a validity of one (1) year. Three thousand
Omnibus Guidelines for the issuance of pesos (P3,000.00) shall be charged for every
Employment Permits are hereby promulgated: additional year of validity or a fraction thereof.
Rule I
Coverage and Exemption 3. An AEP shall be issued based on the following:
1. The following shall apply for Alien Employment 3.1. Compliance bye the applicant employer or the
Permit (AEP): foreign national with the substantive and
1.1. All foreign nationals seeking admission to the documentary requirements;
Philippines for the purpose of employment;
3.2. Determination of the DOLE Secretary that
1.2. Missionaries or religious workers who intend there is no Filipino national who is competent,
to engage in gainful employment; able and willing to do the job for which the
services of the applicant is desired;
1.3. Holders of Special Investors Resident Visa
(SIRV), Special Retirees Resident Visa (SRRV), 3.3. Assessment of the DOLE Secretary that the
Treaty Traders Visa (9d) or Special Non-immigrant employment of the foreign national will redound
Visa (47(a)2), who occupy any executive, advisory, to national benefit;
supervisory, or technical position in any 4. Denial of Application for AEP - An application
establishment; for AEP may be denied based on the ground of
non-compliance with any of the requirements for
1.4. Agencies, organizations or individuals issuance of AEP or for misrepresentation of facts
whether public or private, who secure the in the application or submission of falsified or
services of foreign professionals to practice their tampered documents.
professions in the Philippines in the Philippines
under reciprocity and other international Foreign nationals whose applications have been
agreements; denied shall not be allowed to re-apply in any of
the DOLE Regional Offices.
1.5. Non-Indo-Chinese Refugees who are asylum
seekers and given refugee status by the United
Nations High Commissioner on Refugees 5. Renewal of Permit - An application for renewal
(UNHCR) or the Department of Justice under DOJ of AEP shall be filed at least fifteen (15) days
Department Order No. 94, series of 1998; before its expiration. For elective officers,
applications for renewal shall be filed upon
1.6. Resident foreign nationals seeking election or at least thirty (30) days before the
employment in the Philippines. effectivity of the applicant's term of office if the
2. Exemption. The following categories of foreign succeeding term of office is ascertained.
nationals are exempt from securing an
employment permit in order to work in the Failure to file the application for renewal of permit
Philippines. within the prescribed period shall be subject to
2.1 All members of the diplomatic services and fines of Five Thousand Pesos (5,000.00), if filed
foreign government officials accredited by the within six (6) months after the prescribed period
Philippine Government; and Ten Thousand Pesos (10,000.00), if filed after
2.2 Officers and staff of international six (6) months. Failure to renew the AEP within
organizations of which the Philippine government one (1) year after its expiration shall be a cause
is a cooperating member, and their legitimate for its revocation or cancellation.
spouse desiring to work in the Philippines;
2.3 Foreign nationals elected as members of the 6. The employer shall notify the DOLE-RO which
Governing board who do not occupy any other issued the permit of the date of the assumption to
position, but have only voting rights in the duty of the foreign national within thirty (30) days
corporation; and from issuance of the permit.
2.4 All foreign nationals granted exemption by
special laws and all other laws that may be
7. Validity of Permits - The validity of permits shall
promulgated by the Congress.
be as follows:
Rule II
Procedures in the Processing of Applications for
AEP 7.1. As a general rule, the validity of permits shall
be for a period of one (1) year, unless the
1. All foreign nationals seeking employment in the employment contract, consultancy services, or
Philippines under Rule 1 hereof or their other modes of engagement or term of office for
prospective employers, shall file their elective officers, provides for a longer period.
applications with the DOLE Regional Office
7.2. The effectivity of the renewal shall be on the
day after the expiration of the previous permit,

regardless of whether or not the renewal is 1. The DOLE Regional Directors, after due notice
granted before or after the expiration of the and hearing, shall have the power to order and
previous permit. impose a fine of Five Thousand Pesos (P5,000.00)
on foreign nationals found working without an
7.3. As a general rule, the permits shall be valid AEP for less than one (1) year and Ten Thousand
only for the position and the employer for which it Pesos (P10,000.00) for more than one (1) year.
was issued, except in case of foreign nationals
who are holders of multiple positions in one 2. All applications for employment
corporation, where one AEP shall be valid for permit/certificates pending at the DOLE-RO upon
such multiple positions. the effectivity of these Guidelines shall be
covered and processed under the provisions of
7.4. The permits of resident foreign nationals shall these Guidelines.
be valid for multiple employers, regardless of the
nature and duration of their employment,
provided that they shall report changes in their 3. Holders of provisional and extended AEPs
employment status and the identity of their issued under Memorandum dated 24 August 2001
employers to the DOLE Regional Office which has regarding Alternative Interim Measures for the
issued the permit. Issuance of Alien Employment Permits, shall
Rule III apply for an AEP pursuant to these Guidelines on
Revocation/Cancellation of Employment Permits or before the expiration of the provisional and
Issued extended AEP.
1. The permits issued may, motu proprio or upon 4. Foreign nationals who are already working in
a petition, be cancelled or revoked based on any the country and who have not yet secured the
of the following grounds: requisite employment permit shall have ninety
1.1 Misrepresentation of facts or falsification of (90) days from the effectivity of these Guidelines
the documents submitted; to secure the said employment permit without
penalty.
1.2 The foreign national has been declared as an
undesirable alien by competent authorities; Rule V
Miscellaneous Provisions
1.3 Non-compliance with the conditions for which
the AEP was issued;
1.4 Failure to renew AEP within one (1) year after 1. Manual of Operations. - The Bureau of Local
its expiration. Employment shall issue a Manual of Operations to
2. Petitions for cancellation or revocation of implement the provisions of these Guidelines.
permits issued shall be resolved within thirty (30)
calendars from receipt thereof. 2. Separability Clause. - If any provision or part of
this Department Order or the application thereof
3. Any aggrieved party may file a Motion for to any person or circumstance is held invalid by
Reconsideration and/or Appeal and the same shall the Courts, the remaining valid provisions of this
be resolved based on Paragraph 4 of this Rule. Department Order shall not be affected.
4. Remedies in Case of Denial or Cancellation - A 3. Repealing Clause. - All guidelines, rules and
Motion for Reconsideration maybe filed by an regulations and agreements inconsistent herewith
aggrieved party within seven (7) calendar days are hereby repealed or modified accordingly.
after receipt of the Order of Denial/Cancellation.
The DOLE Regional Director shall resolve the said 4. Effectivity. - These guidelines shall take effect
Motion for Reconsideration within ten (10) fifteen (15) days after its publication in two (2)
calendar days from receipt thereof. newspapers of general circulation.
Constitution, Art. XII, Sec. 12
A motion for Reconsideration filed after the period
of seven (7) calendar days but within ten (10) Section 12. The State shall promote the preferential
calendar days after receipt of the denial shall be use of Filipino labor, domestic materials and locally
treated as an appeal. produced goods, and adopt measures that help make
them competitive.
An appeal from the decision of the DOLE Regional
Director may be filed with the Secretary of labor F. Conditions of Work
and Employment within ten (10) calendar days
from receipt of an Order from the DOLE Regional Reference: Arts. 82-90; Omnibus Rules, Book III, Rules l,
Director. The decision of the Secretary of Labor lA, ll
and Employment shall be final and unappealable.
Title I
WORKING CONDITIONS
AND REST PERIODS
Rule IV
Penal and Transitory Provisions
Chapter I ART. 87. Overtime work. - Work may be performed

HOURS OF WORK beyond eight (8) hours a day provided that the
employee is paid for the overtime work, an additional
ART. 82. Coverage. - The provisions of this Title shall compensation equivalent to his regular wage plus at
apply to employees in all establishments and least twenty-five percent (25%) thereof. Work
undertakings whether for profit or not, but not to performed beyond eight hours on a holiday or rest
government employees, managerial employees, field day shall be paid an additional compensation
personnel, members of the family of the employer equivalent to the rate of the first eight hours on a
who are dependent on him for support, domestic holiday or rest day plus at least thirty percent (30%)
helpers, persons in the personal service of another, thereof.
and workers who are paid by results as determined by
the Secretary of Labor in appropriate regulations. ART. 88. Undertime not offset by overtime. -
Undertime work on any particular day shall not be
As used herein, "managerial employees" refer to offset by overtime work on any other day. Permission
those whose primary duty consists of the given to the employee to go on leave on some other
management of the establishment in which they are day of the week shall not exempt the employer from
employed or of a department or subdivision thereof, paying the additional compensation required in this
and to other officers or members of the managerial Chapter.
staff.
ART. 89. Emergency overtime work. - Any employee
"Field personnel" shall refer to non-agricultural may be required by the employer to perform overtime
employees who regularly perform their duties away work in any of the following cases:chan robles virtual
from the principal place of business or branch office of law library
the employer and whose actual hours of work in the
field cannot be determined with reasonable certainty. (a) When the country is at war or when any other
national or local emergency has been declared by the
ART. 83. Normal hours of work. - The normal hours of National Assembly or the Chief Executive;
work of any employee shall not exceed eight (8) hours
a day. (b) When it is necessary to prevent loss of life or
property or in case of imminent danger to public
Health personnel in cities and municipalities with a safety due to an actual or impending emergency in
population of at least one million (1,000,000) or in the locality caused by serious accidents, fire, flood,
hospitals and clinics with a bed capacity of at least typhoon, earthquake, epidemic, or other disaster or
one hundred (100) shall hold regular office hours for calamity;
eight (8) hours a day, for five (5) days a week,
exclusive of time for meals, except where the (c) When there is urgent work to be performed on
exigencies of the service require that such personnel machines, installations, or equipment, in order to
work for six (6) days or forty-eight (48) hours, in which avoid serious loss or damage to the employer or
case, they shall be entitled to an additional some other cause of similar nature;
compensation of at least thirty percent (30%) of their
regular wage for work on the sixth day. For purposes
of this Article, "health personnel" shall include resident (d) When the work is necessary to prevent loss or
physicians, nurses, nutritionists, dietitians, damage to perishable goods; and
pharmacists, social workers, laboratory technicians,
paramedical technicians, psychologists, midwives, (e) Where the completion or continuation of the work
attendants and all other hospital or clinic personnel. started before the eighth hour is necessary to prevent
serious obstruction or prejudice to the business or
ART. 84. Hours worked. - Hours worked shall include operations of the employer.
(a) all time during which an employee is required to
be on duty or to be at a prescribed workplace; and (b) Any employee required to render overtime work under
all time during which an employee is suffered or this Article shall be paid the additional compensation
permitted to work. required in this Chapter.
Rest periods of short duration during working hours ART. 90. Computation of additional compensation. -
shall be counted as hours worked. For purposes of computing overtime and other
additional remuneration as required by this Chapter,
ART. 85. Meal periods. - Subject to such regulations the "regular wage" of an employee shall include the
as the Secretary of Labor may prescribe, it shall be cash wage only, without deduction on account of
the duty of every employer to give his employees not facilities provided by the employer.
less than sixty (60) minutes time-off for their regular
meals. BOOK THREE
Conditions of Employment
ART. 86. Night shift differential. - Every employee
shall be paid a night shift differential of not less than RULE I
ten percent (10%) of his regular wage for each hour of Hours of Work
work performed between ten oclock in the evening
and six oclock in the morning.
SECTION 1. General statement on coverage. The (e) Workers who are paid by results, including those
provisions of this Rule shall apply to all employees in who are paid on piece-work, "takay," "pakiao" or task
all establishments and undertakings, whether basis, and other non-time work if their output rates are
operated for profit or not, except to those specifically in accordance with the standards prescribed under
exempted under Section 2 hereof. Section 8, Rule VII, Book Three of these regulations,
or where such rates have been fixed by the Secretary
SECTION 2. Exemption. The provisions of this of Labor and Employment in accordance with the
Rule shall not apply to the following persons if they aforesaid Section.
qualify for exemption under the conditions set forth
herein: (f) Non-agricultural field personnel if they regularly
perform their duties away from the principal or branch
(a) Government employees whether employed by the office or place of business of the employer and whose
National Government or any of its political actual hours of work in the field cannot be determined
subdivision, including those employed in government- with reasonable certainty.
owned and/or controlled corporations;
SECTION 3. Hours worked. The following shall be
(b) Managerial employees, if they meet all of the considered as compensable hours worked:
following conditions:
(a) All time during which an employee is required to
(1) Their primary duty consists of the management of be on duty or to be at the employer's premises or to
the establishment in which they are employed or of a be at a prescribed work place; and
department or sub-division thereof.
(b) All time during which an employee is suffered or
(2) They customarily and regularly direct the work of permitted to work.
two or more employees therein.
SECTION 4. Principles in determining hours worked.
(3) They have the authority to hire or fire employees The following general principles shall govern in
of lower rank; or their suggestions and determining whether the time spent by an employee is
recommendations as to hiring and firing and as to the considered hours worked for purposes of this Rule:
promotion or any other change of status of other
employees, are given particular weight. (a) All hours are hours worked which the employee is
required to give his employer, regardless of whether
(c) Officers or members of a managerial staff if they or not such hours are spent in productive labor or
perform the following duties and responsibilities: involve physical or mental exertion.
(1) The primary duty consists of the performance of (b) An employee need not leave the premises of the
work directly related to management policies of their work place in order that his rest period shall not be
employer; counted, it being enough that he stops working, may
rest completely and may leave his work place, to go
elsewhere, whether within or outside the premises of
(2) Customarily and regularly exercise discretion and his work place.
independent judgment; and
(c) If the work performed was necessary, or it
(3) (i) Regularly and directly assist a proprietor or a benefited the employer, or the employee could not
managerial employee whose primary duty consists of abandon his work at the end of his normal working
the management of the establishment in which he is hours because he had no replacement, all time spent
employed or subdivision thereof; or (ii) execute under for such work shall be considered as hours worked, if
general supervision work along specialized or the work was with the knowledge of his employer or
technical lines requiring special training, experience, immediate supervisor.
or knowledge; or (iii) execute, under general
supervision, special assignments and tasks; and
(d) The time during which an employee is inactive by
reason of interruptions in his work beyond his control
(4) Who do not devote more than 20 percent of their shall be considered working time either if the
hours worked in a work week to activities which are imminence of the resumption of work requires the
not directly and closely related to the performance of employee's presence at the place of work or if the
the work described in paragraphs (1), (2) and (3) interval is too brief to be utilized effectively and
above. gainfully in the employee's own interest.
(d) Domestic servants and persons in the personal SECTION 5. Waiting time. (a) Waiting time spent
service of another if they perform such services in the by an employee shall be considered as working time if
employer's home which are usually necessary or waiting is an integral part of his work or the employee
desirable for the maintenance and enjoyment thereof, is required or engaged by the employer to wait.
or minister to the personal comfort, convenience, or
safety of the employer as well as the members of his
employer's household. (b) An employee who is required to remain on call in
the employer's premises or so close thereto that he
cannot use the time effectively and gainfully for his
own purpose shall be considered as working while on rate for the first eight hours on a special holiday or
call. An employee who is not required to leave word at rest day plus at least thirty percent (30%) thereof.
his home or with company officials where he may be
reached is not working while on call. (b) Employees of public utility enterprises as well as
those employed in non-profit institutions and
SECTION 6. Lectures, meetings, training programs. organizations shall be entitled to the premium and
Attendance at lectures, meetings, training overtime pay provided herein, unless they are
programs, and other similar activities shall not be specifically excluded from the coverage of this Rule
counted as working time if all of the following as provided in Section 2 hereof.
conditions are met:
(c) The payment of additional compensation for work
(a) Attendance is outside of the employee's regular performed on regular holidays shall be governed by
working hours; Rule IV, Book Three, of these Rules.
(b) Attendance is in fact voluntary; and SECTION 10. Compulsory overtime work. In any of
the following cases, an employer may require any of
(c) The employee does not perform any productive his employees to work beyond eight (8) hours a day,
work during such attendance. provided that the employee required to render
overtime work is paid the additional compensation
required by these regulations:
SECTION 7. Meal and Rest Periods. Every
employer shall give his employees, regardless of sex,
not less than one (1) hour time-off for regular meals, (a) When the country is at war or when any other
except in the following cases when a meal period of national or local emergency has been declared by
not less than twenty (20) minutes may be given by the Congress or the Chief Executive;
employer provided that such shorter meal period is
credited as compensable hours worked of the (b) When overtime work is necessary to prevent loss
employee: of life or property, or in case of imminent danger to
public safety due to actual or impending emergency in
(a) Where the work is non-manual work in nature or the locality caused by serious accident, fire, floods,
does not involve strenuous physical exertion; typhoons, earthquake, epidemic or other disaster or
calamities;
(b) Where the establishment regularly operates not
less than sixteen (16) hours a day; (c) When there is urgent work to be performed on
machines, installations, or equipment, in order to
avoid serious loss or damage to the employer or
(c) In case of actual or impending emergencies or some other causes of similar nature;
there is urgent work to be performed on machineries,
equipment or installations to avoid serious loss which
the employer would otherwise suffer; and (d) When the work is necessary to prevent loss or
damage to perishable goods;
(d) Where the work is necessary to prevent serious
loss of perishable goods. (e) When the completion or continuation of work
started before the 8th hour is necessary to prevent
serious obstruction or prejudice to the business or
Rest periods or coffee breaks running from five (5) to operations of the employer; or
twenty (20) minutes shall be considered as
compensable working time.
(f) When overtime work is necessary to avail of
favorable weather or environmental conditions where
SECTION 8. Overtime pay. Any employee covered performance or quality of work is dependent thereon.
by this Rule who is permitted or required to work
beyond eight (8) hours on ordinary working days shall
be paid an additional compensation for the overtime In cases not falling within any of these enumerated in
work in the amount equivalent to his regular wage this Section, no employee may be made to work
plus at least twenty-five percent (25%) thereof. beyond eight hours a day against his will.
SECTION 9. Premium and overtime pay for holiday RULE I-A

and rest day work. (a) Except employees referred Hours of Work of Hospital and Clinic Personnel
to under Section 2 of this Rule, an employee who is
permitted or suffered to work on special holidays or SECTION 1. General statement on coverage. This
on his designated rest days not falling on regular Rule shall apply to:
holidays, shall be paid with an additional
compensation as premium pay of not less than thirty (a) All hospitals and clinics, including those with a bed
percent (30%) of his regular wage. For work capacity of less than one hundred (100) which are
performed in excess of eight (8) hours on special situated in cities or municipalities with a population of
holidays and rest days not falling on regular holidays, one million or more; and
an employee shall be paid an additional
compensation for the overtime work equivalent to his

(b) All hospitals and clinics with a bed capacity of at Employers are not precluded from changing the time
least one hundred (100), irrespective of the size of the at which the work day or work week begins, provided
population of the city or municipality where they may that the change is not intended to evade the
be situated. requirements of this Rule.
SECTION 2. Hospitals or clinics within the meaning of SECTION 7. Overtime work. Where the exigencies
this Rule. The terms "hospitals" and "clinics" as of the service so require as determined by the
used in this Rule shall mean a place devoted primarily employer, any employee covered by this Rule may be
to the maintenance and operation of facilities for the scheduled to work for more than five (5) days or forty
diagnosis, treatment and care of individuals suffering (40) hours a week, provided that the employee is paid
from illness, disease, injury, or deformity, or in need of for the overtime work an additional compensation
obstetrical or other medical and nursing care. Either equivalent to his regular wage plus at least thirty
term shall also be construed as any institution, percent (30%) thereof, subject to the provisions of this
building, or place where there are installed beds, or Book on the payment of additional compensation for
cribs, or bassinets for twenty-four (24) hours use or work performed on special and regular holidays and
longer by patients in the treatment of disease, injuries, on rest days.
deformities, or abnormal physical and mental states,
maternity cases or sanitorial care; or infirmaries, SECTION 8. Hours worked. In determining the
nurseries, dispensaries, and such other similar names compensable hours of work of hospital and clinic
by which they may be designated. personnel covered by this Rule, the pertinent
provisions of Rule 1 of this Book shall apply.
SECTION 3. Determination of bed capacity and
population. (a) For purposes of determining the SECTION 9. Additional compensation. Hospital
applicability of this Rule, the actual bed capacity of and clinic personnel covered by this Rule, with the
the hospital or clinic at the time of such determination exception of those employed by the Government,
shall be considered, regardless of the actual or bed shall be entitled to an additional compensation for
occupancy. The bed capacity of hospital or clinic as work performed on regular and special holidays and
determined by the Bureau of Medical Services rest days as provided in this Book. Such employees
pursuant to Republic Act No. 4226, otherwise known shall also be entitled to overtime pay for services
as the Hospital Licensure Act, shall prima facie be rendered in excess of forty hours a week, or in excess
considered as the actual bed capacity of such hospital of eight hours a day, whichever will yield the higher
or clinic. additional compensation to the employee in the work
week.
(b) The size of the population of the city or
municipality shall be determined from the latest official SECTION 10. Relation to Rule I. All provisions of
census issued by the Bureau of the Census and Rule I of this Book which are not inconsistent with this
Statistics. Rule shall be deemed applicable to hospital and clinic
personnel.
SECTION 4. Personnel covered by this Rule. This
Rule applies to all persons employed by any private RULE II
or public hospital or clinic mentioned in Section 1 Night Shift Differential
hereof, and shall include, but not limited to, resident
physicians, nurses, nutritionists, dieticians,
pharmacists, social workers, laboratory technicians SECTION 1. Coverage. This Rule shall apply to all
paramedical technicians, psychologists, midwives, employees except:
and attendants.
(a) Those of the government and any of its political
SECTION 5. Regular working hours. The regular subdivisions, including government-owned and/or
working hours of any person covered by this Rule controlled corporations;
shall not be more than eight (8) hours in any one day
nor more than forty (40) hours in any one week. (b) Those of retail and service establishments
regularly employing not more than five (5) workers;
For purposes of this Rule a "day" shall mean a work
day of twenty-four (24) consecutive hours beginning (c) Domestic helpers and persons in the personal
at the same time each calendar year. A "week" shall service of another;
mean the work of 168 consecutive hours, or seven
consecutive 24-hour work days, beginning at the (d) Managerial employees as defined in Book Three
same hour and on the same calendar day each of this Code;
calendar week.
(e) Field personnel and other employees whose time

SECTION 6. Regular working days. The regular and performance is unsupervised by the employer
working days of covered employees shall not be more including those who are engaged on task or contract
than five days in a work week. The work week may basis, purely commission basis, or those who are paid
begin at any hour and on any day, including Saturday a fixed amount for performing work irrespective of the
or Sunday, designated by the employer. time consumed in the performance thereof.

SECTION 2. Night shift differential. An employee

shall be paid night shift differential of no less than ten
per cent (10%) of his regular wage for each hour of
work performed between ten o'clock in the evening
and six o'clock in the morning.
b. Coverage/Exemptions, Art. 82, 276; Rule l,
Sec.s 1-4
SECTION 3. Additional compensation. Where an
employee is permitted or suffered to work on the (See Above)
period covered after his work schedule, he shall be
entitled to his regular wage plus at least twenty-five 1) Government Employees, Const., Art. IX-B, Sec.
per cent (25%) and an additional amount of no less 2(1)
than ten per cent (10%) of such overtime rate for each
hour or work performed between 10 p.m. to 6 a.m.
ARTICLE IX B. THE CIVIL SERVICE
COMMISSION
SECTION 4. Additional compensation on scheduled Section 2. (1) The civil service embraces all
rest day/special holiday. An employee who is branches, subdivisions, instrumentalities, and
required or permitted to work on the period covered agencies of the Government, including government-
during rest days and/or special holidays not falling on owned or controlled corporations with original
regular holidays, shall be paid a compensation charters.
equivalent to his regular wage plus at least thirty
(30%) per cent and an additional amount of not less 2) Managerial Employees, Art. 82; Rule I, Sec. 2 (b)
than ten (10%) per cent of such premium pay rate for (c)
each hour of work performed.
SECTION 5. Additional compensation on regular

holidays. For work on the period covered during (b) Managerial employees, if they meet all of the
regular holidays, an employee shall be entitled to his following conditions:
regular wage during these days plus an additional
compensation of no less than ten (10%) per cent of (1) Their primary duty consists of the management of
such premium rate for each hour of work performed. the establishment in which they are employed or of a
department or sub-division thereof.
SECTION 6. Relation to agreements. Nothing in
this Rule shall justify an employer in withdrawing or (2) They customarily and regularly direct the work of
reducing any benefits, supplements or payments as two or more employees therein.
provided in existing individual or collective
agreements or employer practice or policy.
(3) They have the authority to hire or fire employees
of lower rank; or their suggestions and
1. Hours of Work
recommendations as to hiring and firing and as to the
promotion or any other change of status of other
a. Regulation; Rationale
employees, are given particular weight.
Manila Terminal Co. Inc. v. CIR, 91
Phil. 625 (1952) (c) Officers or members of a managerial staff if they
perform the following duties and responsibilities:
(1) The primary duty consists of the performance of

work directly related to management policies of their
employer;
(2) Customarily and regularly exercise discretion and

independent judgment; and
(3) (i) Regularly and directly assist a proprietor or a

managerial employee whose primary duty consists of
the management of the establishment in which he is
employed or subdivision thereof; or (ii) execute under
general supervision work along specialized or
technical lines requiring special training, experience,
or knowledge; or (iii) execute, under general
supervision, special assignments and tasks; and
(4) Who do not devote more than 20 percent of their

hours worked in a work week to activities which are
not directly and closely related to the performance of
the work described in paragraphs (1), (2) and (3)
above.

Asia Pacific Christening, Inc. v. Farolan, 393 SCRA 454

(2004)
3) Field Personnel, Art. 82; Rule I, Sec. 2 (f)
Merdicar Fishing Corp v. NLRC, 297

SCRA 440 (1998)
Charlito Peranda v. Baganga Plywood Corp., et al., G.R.

159577, May 3, 2006
Auto Bus Transport Systems, Inc.
v. Bautista, 458 SCRA 578 (2005)

4) Dependent Family Members
5) Domestic Helpers, Art. 141, 145; Rule I, Sec. 2 (d)

c. Normal Hours of Work, Art. 83
Chapter III
EMPLOYMENT OF HOUSEHELPERS
ART. 141. Coverage. - This Chapter shall apply to all persons
ART. 83. Normal hours of work. - The normal hours of work
rendering services in households for compensation.
of any employee shall not exceed eight (8) hours a day.
"Domestic or household service" shall mean service in the

Health personnel in cities and municipalities with a
employers home which is usually necessary or desirable for
population of at least one million (1,000,000) or in hospitals
the maintenance and enjoyment thereof and includes
and clinics with a bed capacity of at least one hundred (100)
ministering to the personal comfort and convenience of the
shall hold regular office hours for eight (8) hours a day, for
members of the employers household, including services of
five (5) days a week, exclusive of time for meals, except
family drivers.
where the exigencies of the service require that such
personnel work for six (6) days or forty-eight (48) hours, in
ART. 145. Assignment to non-household work. - No which case, they shall be entitled to an additional
househelper shall be assigned to work in a commercial, compensation of at least thirty percent (30%) of their
industrial or agricultural enterprise at a wage or salary rate regular wage for work on the sixth day. For purposes of this
lower than that provided for agricultural or non-agricultural Article, "health personnel" shall include resident physicians,
workers as prescribed herein. nurses, nutritionists, dietitians, pharmacists, social workers,
laboratory technicians, paramedical technicians,
psychologists, midwives, attendants and all other hospital or
clinic personnel.
(d) Domestic servants and persons in the personal
service of another if they perform such services in the
employer's home which are usually necessary or
desirable for the maintenance and enjoyment thereof, d. Compensable Hours of Work In general
1) On Duty, Art. 84 (a); Rule I, Sec. 3 (a), Sec. 4 (a)
safety of the employer as well as the members of his
employer's household.
ART. 84. Hours worked. - Hours worked shall include (a) all
6) Persons in the Personal Service of Another, Rule I, Sec. 2 (d)
time during which an employee is required to be on duty or
to be at a prescribed workplace; and (b) all time during
which an employee is suffered or permitted to work.
(d) Domestic servants and persons in the personal
service of another if they perform such services in the Rest periods of short duration during working hours shall be
employer's home which are usually necessary or counted as hours worked.
desirable for the maintenance and enjoyment thereof,
safety of the employer as well as the members of his SECTION 3. Hours worked. The following shall be
employer's household. considered as compensable hours worked:
7) Piece Workers, Rule I, Sec. 2 (e) (a) All time during which an employee is required to
be on duty or to be at the employer's premises or to
be at a prescribed work place; and
(e) Workers who are paid by results, including those
who are paid on piece-work, "takay," "pakiao" or task SECTION 4. Principles in determining hours worked.
basis, and other non-time work if their output rates are The following general principles shall govern in
in accordance with the standards prescribed under determining whether the time spent by an employee is
Section 8, Rule VII, Book Three of these regulations, considered hours worked for purposes of this Rule:
or where such rates have been fixed by the Secretary
of Labor and Employment in accordance with the (a) All hours are hours worked which the employee is
aforesaid Section. required to give his employer, regardless of whether
or not such hours are spent in productive labor or
involve physical or mental exertion.
Labor Congress v. NLRC, 290
SCRA 509 (1998)

3) At Work, Art. 84 (b); Rule I, Sec. 3 (b)
ART. 84. Hours worked. - Hours worked shall include (a) all
time during which an employee is required to be on duty or
to be at a prescribed workplace; and (b) all time during
which an employee is suffered or permitted to work.
Sec. 3(b) All time during which an employee is

suffered or permitted to work.
e. Specific Rules
b) Shorter Meal Period (Less than One Hour, but Not Less
1) Rest Period
than 20 min.), Rule I, Sec. 7, 1st par.
a) Short Duration or Coffee Break, Art. 84, 2 nd par.; Book III,
(See Above)
Rule I, Sec. 7, 2nd par.
4) Waiting Time, Rule I, Sec. 5 (a)
Rest periods of short duration during working hours shall be SECTION 5. Waiting time. (a) Waiting time spent by an
counted as hours worked. employee shall be considered as working time if waiting is
an integral part of his work or the employee is required or
engaged by the employer to wait.
SECTION 7. Meal and Rest Periods. Every employer shall
give his employees, regardless of sex, not less than one (1)
Arica v. NLRC, 170 SCRA 776
hour time-off for regular meals, except in the following cases
(1989)
when a meal period of not less than twenty (20) minutes
may be given by the employer provided that such shorter
meal period is credited as compensable hours worked of the
employee:
Rest periods or coffee breaks running from five (5) to twenty

(20) minutes shall be considered as compensable working
time.
b) More than 20 min., Rules I, Sec. 4 (b)
SECTION 4. Principles in determining hours worked.

The following general principles shall govern in determining
whether the time spent by an employee is considered hours
worked for purposes of this Rule:
(b) An employee need not leave the premises of the

work place in order that his rest period shall not be counted,
it being enough that he stops working, may rest completely
and may leave his work place, to go elsewhere, whether
within or outside the premises of his work place.
2) Meal Period
a) Regular Meal Period (One Hour), Art. 85; Rule I, Sec. 7, 1 st

par.
4) On Call, Rule I, Sec. 5 (b)
ART. 85. Meal periods. - Subject to such regulations as the
Secretary of Labor may prescribe, it shall be the duty of b) An employee who is required to remain on call in the
every employer to give his employees not less than sixty employer's premises or so close thereto that he cannot use
(60) minutes time-off for their regular meals. the time effectively and gainfully for his own purpose shall
be considered as working while on call. An employee who is
SECTION 7. Meal and Rest Periods. Every employer shall not required to leave word at his home or with company
give his employees, regardless of sex, not less than one (1) officials where he may be reached is not working while on
hour time-off for regular meals, except in the following cases call.
when a meal period of not less than twenty (20) minutes
may be given by the employer provided that such shorter 5) Inactive due to Work Interruptions, Book III, Rule I,
meal period is credited as compensable hours worked of the Sec. 4 (d)
employee:
SECTION 4. Principles in determining hours worked. The
Philippine Airlines, Inc. v. NLRC, 302 SCRA 582 (1999) following general principles shall govern in determining

whether the time spent by an employee is considered hours

worked for purposes of this Rule:
(d) The time during which an employee is inactive by reason

of interruptions in his work beyond his control shall be
considered working time either if the imminence of the
resumption of work requires the employee's presence at the
place of work or if the interval is too brief to be utilized f. Overtime Work Pay, Arts. 87-90; Rule I, Secs. 8-11
effectively and gainfully in the employee's own interest.
ART. 87. Overtime work. - Work may be performed

University of Pangasinan
beyond eight (8) hours a day provided that the employee
Faculty Union v. University of Pangasinan, 127 SCRA 691
is paid for the overtime work, an additional compensation
(1984)
equivalent to his regular wage plus at least twenty-five
percent (25%) thereof. Work performed beyond eight
hours on a holiday or rest day shall be paid an additional
compensation equivalent to the rate of the first eight
hours on a holiday or rest day plus at least thirty percent
(30%) thereof.
ART. 88. Undertime not offset by overtime. - Undertime

work on any particular day shall not be offset by overtime
work on any other day. Permission given to the employee
6) Work after Normal Hours, Rule I, Sec. 4 (c) to go on leave on some other day of the week shall not
exempt the employer from paying the additional
(c) If the work performed was necessary, or it benefited the compensation required in this Chapter.
employer, or the employee could not abandon his work at
the end of his normal working hours because he had no ART. 89. Emergency overtime work. - Any employee may
replacement, all time spent for such work shall be be required by the employer to perform overtime work in
considered as hours worked, if the work was with the any of the following cases:chan robles virtual law library
knowledge of his employer or immediate supervisor.
7) Lectures, Meetings, Training Programs, Rule I, Sec. 6 (a) When the country is at war or when any other national
or local emergency has been declared by the National
Assembly or the Chief Executive;
SECTION 6. Lectures, meetings, training programs.

Attendance at lectures, meetings, training programs, and (b) When it is necessary to prevent loss of life or property
other similar activities shall not be counted as working time or in case of imminent danger to public safety due to an
if all of the following conditions are met: actual or impending emergency in the locality caused by
serious accidents, fire, flood, typhoon, earthquake,
epidemic, or other disaster or calamity;
(a) Attendance is outside of the employee's regular working
hours;
(c) When there is urgent work to be performed on
machines, installations, or equipment, in order to avoid
(b) Attendance is in fact voluntary; and serious loss or damage to the employer or some other
cause of similar nature;
(c) The employee does not perform any productive work
during such attendance. (d) When the work is necessary to prevent loss or
damage to perishable goods; and
8) Travel Time
(e) Where the completion or continuation of the work
Rada v. NLRC, 205 SCRA 69 started before the eighth hour is necessary to prevent
(1992) serious obstruction or prejudice to the business or
operations of the employer.
Any employee required to render overtime work under

this Article shall be paid the additional compensation
required in this Chapter.
ART. 90. Computation of additional compensation. - For

purposes of computing overtime and other additional
remuneration as required by this Chapter, the "regular
wage" of an employee shall include the cash wage only,
without deduction on account of facilities provided by the
employer.
RULE I
SECTION 8. Overtime pay. Any employee covered by this

Rule who is permitted or required to work beyond eight (8)

hours on ordinary working days shall be paid an additional

compensation for the overtime work in the amount 3) Undertime Work/Leave, Art. 88
equivalent to his regular wage plus at least twenty-five
percent (25%) thereof. 4) Additional Compensation, Art. 87
5) No Computation Formula Basic Contract

SECTION 9. Premium and overtime pay for holiday and rest
day work. (a) Except employees referred to under Section
Manila Terminal Co., Inc. v.
2 of this Rule, an employee who is permitted or suffered to
CIR, supra
work on special holidays or on his designated rest days not
falling on regular holidays, shall be paid with an additional
compensation as premium pay of not less than thirty percent
(30%) of his regular wage. For work performed in excess of
eight (8) hours on special holidays and rest days not falling
on regular holidays, an employee shall be paid an additional
compensation for the overtime work equivalent to his rate
for the first eight hours on a special holiday or rest day plus
at least thirty percent (30%) thereof.
(b) Employees of public utility enterprises as well as those

employed in non-profit institutions and organizations shall be
entitled to the premium and overtime pay provided herein,
unless they are specifically excluded from the coverage of
this Rule as provided in Section 2 hereof.
(c) The payment of additional compensation for work

performed on regular holidays shall be governed by Rule IV,
Book Three, of these Rules.
SECTION 10. Compulsory overtime work. In any of the

following cases, an employer may require any of his
employees to work beyond eight (8) hours a day, provided
that the employee required to render overtime work is paid 6) Proof of Work/Employer Obligation
the additional compensation required by these regulations:
Social Security System v.
(a) When the country is at war or when any other national Court of Appeals, 348 SCRA 1 (2000)
or local emergency has been declared by Congress or the
Chief Executive;
(b) When overtime work is necessary to prevent loss of life

or property, or in case of imminent danger to public safety
due to actual or impending emergency in the locality caused
by serious accident, fire, floods, typhoons, earthquake,
epidemic or other disaster or calamities;
(c) When there is urgent work to be performed on machines,

installations, or equipment, in order to avoid serious loss or
damage to the employer or some other causes of similar
nature;
(d) When the work is necessary to prevent loss or damage

to perishable goods;
(e) When the completion or continuation of work started

before the 8th hour is necessary to prevent serious
obstruction or prejudice to the business or operations of the
employer; or
(f) When overtime work is necessary to avail of favorable

weather or environmental conditions where performance or
quality of work is dependent thereon.
In cases not falling within any of these enumerated in this

Section, no employee may be made to work beyond eight g. Nightwork, Art. 86; Rule II, Secs. 1-6
hours a day against his will.
ART. 86. Night shift differential. - Every employee shall be
1) Overtime in Ordinary Working Day, Art. 87; Rule I, paid a night shift differential of not less than ten percent
Sec. 8 (10%) of his regular wage for each hour of work performed
between ten oclock in the evening and six oclock in the
2) Emergency or Compulsory Overtime Work, Art. 89 morning.

SECTION 1. General statement on coverage. This Rule (f) When the work is necessary to avail of favorable weather
shall apply to all employers whether operating for profit or or environmental conditions where performance or quality of
not, including public utilities operated by private persons. work is dependent thereon.
SECTION 2. Business on Sundays/Holidays. All No employee shall be required against his will to work on his
establishments and enterprises may operate or open for scheduled rest day except under circumstances provided in
business on Sundays and holidays provided that the this Section: Provided, However, that where an employee
employees are given the weekly rest day and the benefits as volunteers to work on his rest day under other
provided in this Rule. circumstances, he shall express such desire in writing,
subject to the provisions of Section 7 hereof regarding
additional compensation.
SECTION 3. Weekly rest day. Every employer shall give
his employees a rest period of not less than twenty-four (24)
consecutive hours after every six consecutive normal work 1) Coverage/Exclusion,
days. Rule II, Sec. 1
2) Additional
SECTION 4. Preference of employee. The preference of
Compensation, Art. 86
the employee as to his weekly day of rest shall be respected
by the employer if the same is based on religious grounds.
Shell Oil Co. of the
The employee shall make known his preference to the
Philippines, Ltd. v. National Labor Union, 81 Phil. 315 (1948)
employer in writing at least seven (7) days before the
desired effectivity of the initial rest day so preferred.
Where, however, the choice of the employee as to his rest

day based on religious grounds will inevitably result in
serious prejudice or obstruction to the operations of the
undertaking and the employer cannot normally be expected
to resort to other remedial measures, the employer may so
schedule the weekly rest day of his choice for at least two
(2) days in a month.
SECTION 5. Schedule of rest day. (a) Where the weekly

rest is given to all employees simultaneously, the employer
shall make known such rest period by means of a written
notice posted conspicuously in the work place at least one
week before it becomes effective. 2. Weekly rest Periods
Reference: Arts. 91-93; Omnibus Rules, Book III,

(b) Where the rest period is not granted to all employees Rule III, Secs. 1-9
simultaneously and collectively, the employer shall make
known to the employees their respective schedules of
weekly rest through written notices posted conspicuously in Chapter II
the work place at least one week before they become WEEKLY REST PERIODS
effective. ART. 91. Right to weekly rest day. - (a) It shall be the duty
of every employer, whether operating for profit or not, to
SECTION 6. When work on rest day authorized. An provide each of his employees a rest period of not less than
employer may require any of his employees to work on his twenty-four (24) consecutive hours after every six (6)
scheduled rest day for the duration of the following consecutive normal work days.
emergencies and exceptional conditions:
(b) The employer shall determine and schedule the weekly
(a) In case of actual or impending emergencies caused by rest day of his employees subject to collective bargaining
serious accident, fire, flood, typhoon, earthquake, epidemic agreement and to such rules and regulations as the
or other disaster or calamity, to prevent loss of life or Secretary of Labor and Employment may provide. However,
property, or in cases of force majeure or imminent danger to the employer shall respect the preference of employees as
public safety; to their weekly rest day when such preference is based on
religious grounds.
(b) In case of urgent work to be performed on machineries,

equipment or installations to avoid serious loss which the ART. 92. When employer may require work on a rest day. -
employer would otherwise suffer; The employer may require his employees to work on any
day:
(c) In the event of abnormal pressure of work due to special

circumstances, where the employer cannot ordinarily be (a) In case of actual or impending emergencies caused by
expected to resort to other measures; serious accident, fire, flood, typhoon, earthquake, epidemic
or other disaster or calamity to prevent loss of life and
property, or imminent danger to public safety;
(d) To prevent serious loss of perishable goods;
(b) In cases of urgent work to be performed on the

(e) Where the nature of the work is such that the employees machinery, equipment, or installation, to avoid serious loss
have to work continuously for seven (7) days in a week or which the employer would otherwise suffer;
more, as in the case of the crew members of a vessel to
complete a voyage and in other similar cases; and

(c) In the event of abnormal pressure of work due to special undertaking and the employer cannot normally be expected
circumstances, where the employer cannot ordinarily be to resort to other remedial measures, the employer may so
expected to resort to other measures; schedule the weekly rest day of his choice for at least two
(2) days in a month.
(d) To prevent loss or damage to perishable goods;
SECTION 5. Schedule of rest day. (a) Where the weekly
rest is given to all employees simultaneously, the employer
(e) Where the nature of the work requires continuous
shall make known such rest period by means of a written
operations and the stoppage of work may result in
notice posted conspicuously in the work place at least one
irreparable injury or loss to the employer; and
week before it becomes effective.
(f) Under other circumstances analogous or similar to the

(b) Where the rest period is not granted to all employees
foregoing as determined by the Secretary of Labor and
simultaneously and collectively, the employer shall make
Employment.
known to the employees their respective schedules of
weekly rest through written notices posted conspicuously in
ART. 93. Compensation for rest day, Sunday or holiday the work place at least one week before they become
work. - (a) Where an employee is made or permitted to effective.
work on his scheduled rest day, he shall be paid an
additional compensation of at least thirty percent (30%) of
SECTION 6. When work on rest day authorized. An
his regular wage. An employee shall be entitled to such
employer may require any of his employees to work on his
additional compensation for work performed on Sunday only
scheduled rest day for the duration of the following
when it is his established rest day.chan robles virtual law
emergencies and exceptional conditions:
library
(a) In case of actual or impending emergencies caused by

(b) When the nature of the work of the employee is such
serious accident, fire, flood, typhoon, earthquake, epidemic
that he has no regular workdays and no regular rest days
or other disaster or calamity, to prevent loss of life or
can be scheduled, he shall be paid an additional
property, or in cases of force majeure or imminent danger to
compensation of at least thirty percent (30%) of his regular
public safety;
wage for work performed on Sundays and holidays.

(c) Work performed on any special holiday shall be paid an
equipment or installations to avoid serious loss which the
employer would otherwise suffer;
the regular wage of the employee. Where such holiday work
falls on the employees scheduled rest day, he shall be
entitled to an additional compensation of at least fifty per (c) In the event of abnormal pressure of work due to special
cent (50%) of his regular wage. circumstances, where the employer cannot ordinarily be
expected to resort to other measures;
(d) Where the collective bargaining agreement or other
applicable employment contract stipulates the payment of a (d) To prevent serious loss of perishable goods;
higher premium pay than that prescribed under this Article,
the employer shall pay such higher rate.
(e) Where the nature of the work is such that the employees
have to work continuously for seven (7) days in a week or
more, as in the case of the crew members of a vessel to
Weekly Rest Periods complete a voyage and in other similar cases; and
SECTION 1. General statement on coverage. This Rule (f) When the work is necessary to avail of favorable weather
shall apply to all employers whether operating for profit or or environmental conditions where performance or quality of
not, including public utilities operated by private persons. work is dependent thereon.
SECTION 2. Business on Sundays/Holidays. All No employee shall be required against his will to work on his
establishments and enterprises may operate or open for scheduled rest day except under circumstances provided in
business on Sundays and holidays provided that the this Section: Provided, However, that where an employee
employees are given the weekly rest day and the benefits as volunteers to work on his rest day under other
provided in this Rule. circumstances, he shall express such desire in writing,
subject to the provisions of Section 7 hereof regarding
additional compensation.
SECTION 3. Weekly rest day. Every employer shall give
his employees a rest period of not less than twenty-four (24)
consecutive hours after every six consecutive normal work SECTION 7. Compensation on rest day/Sunday/holiday.
days. (a) Except those employees referred to under Section 2,
Rule I, Book Three, an employee who is made or permitted
to work on his scheduled rest day shall be paid with an
SECTION 4. Preference of employee. The preference of
additional compensation of at least 30% of his regular wage.
the employee as to his weekly day of rest shall be respected
An employee shall be entitled to such additional
by the employer if the same is based on religious grounds.
compensation for work performed on a Sunday only when it
The employee shall make known his preference to the
is his established rest day.
employer in writing at least seven (7) days before the
desired effectivity of the initial rest day so preferred.
(b) Where the nature of the work of the employee is such
that he has no regular work days and no regular rest days
Where, however, the choice of the employee as to his rest
can be scheduled, he shall be paid an additional
day based on religious grounds will inevitably result in
serious prejudice or obstruction to the operations of the
compensation of at least 30% of his regular wage for work

performed on Sundays and holidays.
(c) Work performed on any special holiday shall be paid with

an additional compensation of at least 30% of the regular
wage of the employees. Where such holiday work falls on
the employee's scheduled rest day, he shall be entitled to
additional compensation of at least 50% of his regular wage.
(d) The payment of additional compensation for work

performed on regular holiday shall be governed by Rule IV,
Book Three, of these regulations.
(e) Where the collective bargaining agreement or other

applicable employment contract stipulates the payment of a
higher premium pay than that prescribed under this Section,
the employer shall pay such higher rate.
SECTION 8. Paid-off days. Nothing in this Rule shall

justify an employer in reducing the compensation of his
employees for the unworked Sundays, holidays, or other rest
days which are considered paid-off days or holidays by
agreement or practice subsisting upon the effectivity of the
Code.
SECTION 9. Relation to agreements. Nothing herein shall

prevent the employer and his employees or their
representatives in entering into any agreement with terms
more favorable to the employees than those provided c. Premium Pay, Art. 93 9a) (b) (c)
herein, or be used to diminish any benefit granted to the
employees under existing laws, agreements, and voluntary d. CBA on Higher Premium Pay, Art. 93 (d)
employer practices.
3. Holidays
Reference: art. 94; Executive Order 203 (1987); Omnibus

Rules, Book III, Rule IV
Chapter III
HOLIDAYS, SERVICE INCENTIVE LEAVES
AND SERVICE CHARGES
ART. 94. Right to holiday pay. - (a) Every worker shall be
paid his regular daily wage during regular holidays, except in
retail and service establishments regularly employing less
than ten (10) workers;
a. Coverage, Art. 82, 91; Rule III, Sec. 1
ART. 82. Coverage. - The provisions of this Title shall apply (b) The employer may require an employee to work on any
to employees in all establishments and undertakings holiday but such employee shall be paid a compensation
whether for profit or not, but not to government employees, equivalent to twice his regular rate; and
managerial employees, field personnel, members of the
family of the employer who are dependent on him for (c) As used in this Article, "holiday" includes: New Years
support, domestic helpers, persons in the personal service of Day, Maundy Thursday, Good Friday, the ninth of April, the
another, and workers who are paid by results as determined first of May, the twelfth of June, the fourth of July, the
by the Secretary of Labor in appropriate regulations. thirtieth of November, the twenty-fifth and thirtieth of
December and the day designated by law for holding a
As used herein, "managerial employees" refer to those general election.
whose primary duty consists of the management of the
establishment in which they are employed or of a
EXECUTIVE ORDER NO. 203 June 30, 1987
department or subdivision thereof, and to other officers or
members of the managerial staff.
PROVIDING A LIST OF REGULAR HOLIDAYS AND
"Field personnel" shall refer to non-agricultural employees SPECIAL DAYS TO BE OBSERVED THROUGHOUT
who regularly perform their duties away from the principal THE PHILIPPINES AND FOR OTHER PURPOSES
place of business or branch office of the employer and
whose actual hours of work in the field cannot be WHEREAS, a Cabinet Assistance Secretariat
determined with reasonable certainty. Committee was constituted to review all existing
public holidays;
b. Determination; compulsory Work;
Compensation, Arts. 91, 92 WHEREAS, there are too many holidays being
observed which has caused confusion among the
Manila Electric Co. v. Public
public.
Utilities Employees Assn, 79 Phil. 409
NOW, THEREFORE, I, CORAZON C. AQUINO, SECTION 1. Coverage. This rule shall apply to all
President of the Philippines, do hereby order: employees except:
Sec. 1. Unless otherwise modified by law, order or (a) Those of the government and any of the political
proclamation, the following regular holidays and subdivision, including government-owned and controlled
special days shall be observed in this country: corporation;
(b) Those of retail and service establishments regularly

A. Regular Holidays employing less than ten (10) workers;
New Year's Day January (c) Domestic helpers and persons in the personal service of
another;
Maundy Thursday Movable date

(d) Managerial employees as defined in Book Three of the
Code;
Good Friday Movable date
(e) Field personnel and other employees whose time and
performance is unsupervised by the employer including
Araw ng Kagitingan April 9 those who are engaged on task or contract basis, purely
(Bataan and Corregidor commission basis, or those who are paid a fixed amount for
Day) performing work irrespective of the time consumed in the
performance thereof.
Labor Day May 1
SECTION 2. Status of employees paid by the month.
Employees who are uniformly paid by the month,
Independence Day June 12 irrespective of the number of working days therein, with a
salary of not less than the statutory or established minimum
wage shall be paid for all days in the month whether worked
National Heroes Day Last Sunday of or not.
August
For this purpose, the monthly minimum wage shall not be
Bonifacio Day November 30 less than the statutory minimum wage multiplied by 365
days divided by twelve.
Christmas Day December 25 SECTION 3. Holiday Pay. Every employer shall pay his
employees their regular daily wage for any worked regular
holidays.
Rizal Day December 30
As used in the rule, the term 'regular holiday' shall

B. Nationwide Special Days exclusively refer to: New Year's Day, Maundy Thursday,
Good Friday, the ninth of April, the first of May, the twelfth
of June, the last Sunday of August, the thirtieth of
All Saints Day November 1 November, the twenty-fifth and thirtieth of December.
Nationwide special days shall include the first of November
and the last day of December.
Last Day of the Year December 31
As used in this Rule legal or regular holiday and special

holiday shall now be referred to as 'regular holiday' and
Sec. 2. Henceforth, the terms "legal or regular 'special day', respectively.
holiday" and "special holiday", as used in laws,
orders, rules and regulations or other issuances shall
SECTION 4. Compensation for holiday work. Any
now be referred to as "regular holiday" and "special employee who is permitted or suffered to work on any
day", respectively. regular holiday, not exceeding eight (8) hours, shall be paid
at least two hundred percent (200%) of his regular daily
Sec. 3. All laws, orders, issuances, rules and wage. If the holiday work falls on the scheduled rest day of
regulations or parts thereof inconsistent with this the employee, he shall be entitled to an additional premium
Executive Order are hereby repealed or modified pay of at least 30% of his regular holiday rate of 200%
accordingly. based on his regular wage rate.
SECTION 5. Overtime pay for holiday work. For work

Sec. 4. This Executive Order shall take effect
performed in excess of eight hours on a regular holiday, an
immediately.
employee shall be paid an additional compensation for the
overtime work equivalent to his rate for the first eight hours
Done in the City of Manila, this 30th day of June, in on such holiday work plus at least 30% thereof.
the year of Our Lord, nineteen hundred and eighty-
seven. Where the regular holiday work exceeding eight hours falls
on the scheduled rest day of the employee, he shall be paid
RULE IV an additional compensation for the overtime work equivalent
Holidays with Pay to his regular holiday-rest day for the first 8 hours plus 30%
thereof. The regular holiday rest day rate of an employee the first holiday, in which case he is entitled to his holiday
shall consist of 200% of his regular daily wage rate plus pay on the second holiday.
30% thereof.
SECTION 11. Relation to agreements. Nothing in this Rule
SECTION 6. Absences. (a) All covered employees shall be shall justify an employer in withdrawing or reducing any
entitled to the benefit provided herein when they are on benefits, supplements or payments for unworked holidays as
leave of absence with pay. Employees who are on leave of provided in existing individual or collective agreement or
absence without pay on the day immediately preceding a employer practice or policy.
regular holiday may not be paid the required holiday pay if
he has not worked on such regular holiday.
a. Definition
(b) Employees shall grant the same percentage of the
holiday pay as the benefit granted by competent authority in 1) Retail Establishments, Rule Impl. RA 6727, par. F
the form of employee's compensation or social security
payment, whichever is higher, if they are not reporting for f) Retail Establishment is one principally engaged in the
work while on such benefits. sale of goods to end-users for personal or household use;
2) Service Establishment, Rule Impl. RA 6727, par. g

(c) Where the day immediately preceding the holiday is a
non-working day in the establishment or the scheduled rest
g) Service Establishment is one principally engaged in the
day of the employee, he shall not be deemed to be on leave
sale of service to individuals for their own or household use
of absence on that day, in which case he shall be entitled to
and is generally recognized as such;
the holiday pay if he worked on the day immediately
preceding the non-working day or rest day.
b. Coverage/Exclusions, Art. 94 (a)
SECTION 7. Temporary or periodic shutdown and temporary
cessation of work. (a) In cases of temporary or periodic ART. 94. Right to holiday pay. - (a) Every worker shall be
shutdown and temporary cessation of work of an paid his regular daily wage during regular holidays, except in
establishment, as when a yearly inventory or when the retail and service establishments regularly employing less
repair or cleaning of machineries and equipment is than ten (10) workers;
undertaken, the regular holidays falling within the period
shall be compensated in accordance with this Rule. Mantrade/FMMC Division
Employees and Workers Union v. Bacungan, 144 SCRA 510
(b) The regular holiday during the cessation of operation of (1986)
an enterprise due to business reverses as authorized by the
Secretary of Labor and Employment may not be paid by the
employer.
SECTION 8. Holiday pay of certain employees. (a) Private

school teachers, including faculty members of colleges and
universities, may not be paid for the regular holidays during
semestral vacations. They shall, however, be paid for the
regular holidays during Christmas vacation;
(b) Where a covered employee, is paid by results or output,

such as payment on piece work, his holiday pay shall not be
less than his average daily earnings for the last seven (7)
actual working days preceding the regular holiday; Provided,
However, that in no case shall the holiday pay be less than
the applicable statutory minimum wage rate.
(c) Seasonal workers may not be paid the required holiday

pay during off-season when they are not at work.
(d) Workers who have no regular working days shall be

entitled to the benefits provided in this Rule.
SECTION 9. Regular holiday falling on rest days or Sundays.

(a) A regular holiday falling on the employee's rest day
shall be compensated accordingly.
(b) Where a regular holiday falls on a Sunday, the following

day shall be considered a special holiday for purposes of the
Labor Code, unless said day is also a regular holiday. Cirineo Bowling Plaza, Inc. v. Gerry
Sensing, et al., 448 SCRA 175 (2005)
SECTION 10. Successive regular holidays. Where there
are two (2) successive regular holidays, like Holy Thursday
and Good Friday, an employee may not be paid for both
holidays if he absents himself from work on the day
immediately preceding the first holiday, unless he works on


his regular wage. An employee shall be entitled to such
additional compensation for work performed on Sunday only
when it is his established rest day.
SECTION 2. Business on Sundays/Holidays. All

establishments and enterprises may operate or open for
business on Sundays and holidays provided that the
employees are given the weekly rest day and the benefits as
provided in this Rule.
Wellington Investment Inc. v.

Trajano, 245 SCRA 561 (1995)
c. Holiday Pay, Art. 94 (b)
(b) The employer may require an employee to work on any

holiday but such employee shall be paid a compensation
equivalent to twice his regular rate; and
1) Faculty in Private School, Rule IV, Sec. 8 (a)
SECTION 8. Holiday pay of certain employees. (a) Private

school teachers, including faculty members of colleges and
universities, may not be paid for the regular holidays during
semestral vacations. They shall, however, be paid for the
regular holidays during Christmas vacation;
6) Divisor as Factor
Trans-Asia Phil. Employees Association v.

NLRC, 320 SCRA 347 (1999)
8) Muslim Holiday, Art. 169-172; PD 1083 (Feb. 1977)
BOOK FIVE
MISCELLANEOUS AND TRANSITORY PROVISIONS
TITLE I
MUSLIM HOLIDAYS
Article 169. Official Muslim holidays. The following are

hereby recognized as legal Muslim holidays:
(a) 'Amun Jadid (New Year), which falls on the

first day of the first lunar month of Muharram;
(b) Maulid-un-Nabi (Birthday of the Prophet

Muhammad), which falls on the twelfth day of the
third lunar month of Rabi-ul-Awwal;
(c) Lailatul Isra Wal Mi'raj (Nocturnal Journey and

Ascension of the Prophet Muhammad), which falls
on the twenty-seventh day of the seventh lunar
7) Sunday, Art. 93 9a), 2nd Sentence; Rule III, Sec. 2 month of Rajab;
ART. 93. Compensation for rest day, Sunday or holiday (d) 'Id-ul-Fitr (Hari Raya Pausa), which falls on the
work. - (a) Where an employee is made or permitted to first day of the tenth lunar month of Shawwal,
work on his scheduled rest day, he shall be paid an
commemorating the end of the fasting season;

and d. Absences, Rule lV, Secs. 6 (a), 10
SECTION 6. Absences. (a) All covered employees shall be

(e) 'Id-ul-Adha (Hari Raja Haji), which falls on the
entitled to the benefit provided herein when they are on
tenth day of the twelfth lunar month of Dhu 1-
leave of absence with pay. Employees who are on leave of
Hijja.
absence without pay on the day immediately preceding a
regular holiday may not be paid the required holiday pay if
Article 170. Provinces and cities where officially observed. he has not worked on such regular holiday.
(1) Muslim holidays shall be officially observed in SECTION 10. Successive regular holidays. Where there
the Provinces of Basilan, Lanao del Norte, Lanao are two (2) successive regular holidays, like Holy Thursday
del Sur, Maguindanao, North Cotabato, Sultan and Good Friday, an employee may not be paid for both
Kudarat, Sulu, Tawi-Tawi, Zamboanga del Norte holidays if he absents himself from work on the day
and Zamboanga del Sur, and in the Cities of immediately preceding the first holiday, unless he works on
Cotabato, Iligan, Marawi, Pagadian, and the first holiday, in which case he is entitled to his holiday
Zamboanga and in such other Muslim provinces pay on the second holiday.
and cities as may hereafter be created.
e. Non-Working/Schedule of Rest Day, Rule IV,
Sec. 6 (c)
(2) Upon proclamation by the President of the
Philippines, Muslim holidays may also be officially (c) Where the day immediately preceding the holiday is a
observed in other provinces and cities. non-working day in the establishment or the scheduled rest
day of the employee, he shall not be deemed to be on leave
Article 171. Dates of observance. The dates of Muslim of absence on that day, in which case he shall be entitled to
holidays shall be determined by the Office of the President the holiday pay if he worked on the day immediately
of the Philippines in accordance with the Muslim Lunar preceding the non-working day or rest day.
Calendar (Hijra).
4. Service Incentive Leave
Article 172. Observance of Muslim employees. Reference: Art. 95; Omnibus Rules, Book III, Rule V
(1) All Muslim government officials and employees

in places other than those enumerated under ART. 95. Right to service incentive leave. - (a) Every
Article 170 shall also be excused from reporting to employee who has rendered at least one year of service
office in order that they may be able to observe shall be entitled to a yearly service incentive leave of five
Muslim holidays. days with pay.
(2) The President of the Philippines may, by (b) This provision shall not apply to those who are already
proclamation, require private offices, agencies or enjoying the benefit herein provided, those enjoying
establishments to excuse their Muslim employees vacation leave with pay of at least five days and those
from reporting for work during a Muslim holiday employed in establishments regularly employing less than
without reduction in their usual compensation. ten employees or in establishments exempted from granting
this benefit by the Secretary of Labor and Employment after
considering the viability or financial condition of such
establishment.
San Miguel Corp. v. Court of
Appeals, 375 SCRA 311 (2002) (c) The grant of benefit in excess of that provided herein
shall not be made a subject of arbitration or any court or
administrative action.
a. Coverage, Art. 95 (a) (b)
Makati Haberdashery Inc. N. NLRC,

179 SCRA 449 (1989)

childbirth or any miscarriage.
SECTION 3. Definition of Term. - For purposes of

this Act, Paternity Leave refers to the benefits
Labor Congress v. NLRC, supra granted to a married male employee allowing him not
to report for work for seven (7)
b. Computation and Liability
days but continues to earn the compensation therefor,
on the condition that his spouse has delivered a child
Sentinel Security Agency, Inc. v.
NLRC, 295 SCRA 123 1998) or suffered a miscarriage for purposes of enabling
him to effectively lend
support to his wife in her period of recovery and/or in
the nursing of the newly-born child.
SECTION 4. The Secretary of Labor and

Employment, the Chairman of the Civil Service
Commission and the Secretary of Health shall, within
thirty (30) days from the effectivity of
this Act, issue such rules and regulations necessary
for the proper implementation of the provisions
hereof.
SECTION 5. Any person, corporation, trust, firm,

partnership, association or entity found violating this
Act or the rules and regulations promulgated
thereunder shall be punished by a fine not exceeding
Twenty-five thousand pesos (P25,000) or
imprisonment of not less than thirty (30)days nor more
than six (6) months.
If the violation is committed by a corporation, trust

or firm, partnership, association or any other entity,
the penalty of imprisonment shall be imposed on the
entity's responsible officers, including, but not limited
to, the president, vice-president, chief executive
officer, general manager, managing director or
Auto Bus Transport Systems, Inc.
partner directly responsible therefor.
v. Bautista, supra
SECTION 6. Nondiminution Clause. - Nothing in
5. Paternity Leave, Paternity Leave of 1996 (RA this Act shall be construed to reduce any existing
8187), Secs. 1-6; Impl. Rules benefits of any form granted under existing laws,
decrees, executive orders, or any
REPUBLIC ACT NO. 8187 contract agreement or policy between employer and
employee.
AN ACT GRANTING PATERNITY LEAVE OF
SEVEN (7) DAYS WITH FULL PAY TO ALL SECTION 7. Repealing Clause. - All laws,
MARRIED MALE EMPLOYEES IN THE PRIVATE ordinances, rules, regulations, issuances, or parts
AND PUBLIC SECTORS FOR THE FIRST FOUR (4) thereof which are inconsistent with this Act are
DELIVERIES OF THE LEGITIMATE SPOUSE WITH hereby repealed or modified accordingly.
WHOM HE IS COHABITING AND FOR OTHER
PURPOSES. SECTION 8. Effectivity. - This Act shall take effect
(15) days from its publication in the Official Gazette
or in at least two (2) newspapers of national
Be it enacted by the Senate and House of circulation.
Representatives of the Philippines in Congress
assembled:
Approved:
SECTION 1. Short Title. - This Act shall be known
as the "Paternity Leave Act of 1996".
SECTION 2. Notwithstanding any law, rules and (SGD.) NEPTALI A. GONZALES

regulations to the contrary, every married male President of the Senate
employee in the private and public sectors shall be
entitled to a paternity leave of seven (7) days with full
pay for the first four (4) deliveries of the legitimate (SGD.) JOSE DE VENECIA, JR.
spouse with whom he is cohabiting. The male Speaker of the House of Representatives
employee applying for paternity leave shall notify his
employer of the pregnancy of his legitimate spouse
and the expected date of such delivery.
For purposes, of this Act, delivery shall include

This Act, which is a consolidation of Senate Bill (4) Parent left solo or alone with the
No. 1032 and House Bill No. 7134 was finally passed responsibility of parenthood due to
by the Senate and the House of Representatives on physical and/or mental incapacity of
June 8, 1996. spouse as certified by a public
medical practitioner;
(5) Parent left solo or alone with the

1. Parental Leave, Solo Parents Welfare Act of 2000 responsibility of parenthood due to
(RA 8972); Impl. Rules legal separation or de facto
separation from spouse for at least
one (1) year, as long as he/she is
entrusted with the custody of the
REPUBLIC ACT NO. 8972
children;
AN ACT PROVIDING FOR BENEFITS AND

PRIVILEGES TO SOLO PARENTS AND THEIR
responsibility of parenthood due to
CHILDREN, APPROPRIATING FUNDS THEREFOR
declaration of nullity or annulment
AND FOR OTHER PURPOSES
of marriage as decreed by a court
or by a church as long as he/she is
Be it enacted by the Senate and House of entrusted with the custody of the
Representatives of the Philippines Congress children;
assembled:
Section 1. Title. - This Act shall be known as the responsibility of parenthood due to
"Solo Parents' Welfare Act of 2000." abandonment of spouse for at least
one (1) year;
Section 2. Declaration of Policy. - It is the policy of
the State to promote the family as the foundation of (8) Unmarried mother/father who
the nation, strengthen its solidarity and ensure its total has preferred to keep and rear
development. Towards this end, it shall develop a her/his child/children instead of
comprehensive program of services for solo parents having others care for them or give
and their children to be carried out by the Department them up to a welfare institution;
of Social Welfare and Development (DSWD), the
Department of Health (DOH), the Department of
(9) Any other person who solely
Education, Culture and Sports (DECS), the
provides parental care and support
Department of the Interior and Local Government
to a child or children;
(DILG), the Commission on Higher Education
(CHED), the Technical Education and Skills
Development Authority (TESDA), the National (10) Any family member who
Housing Authority (NHA), the Department of Labor assumes the responsibility of head
and Employment (DOLE) and other related of family as a result of the death,
government and nongovernment agencies. abandonment, disappearance or
prolonged absence of the parents
or solo parent.
Section 3. Definition of Terms. - Whenever used in
this Act, the following terms shall mean as follows:
A change in the status or
circumstance of the parent claiming
(a) "Solo parent" - any individual who falls
benefits under this Act, such that
under any of the following categories:
he/she is no longer left alone with
the responsibility of parenthood,
(1) A woman who gives birth as a shall terminate his/her eligibility for
result of rape and other crimes these benefits.
against chastity even without a final
conviction of the offender: Provided,
(b) "Children" - refer to those living with and
That the mother keeps and raises
dependent upon the solo parent for support
the child;
who are unmarried, unemployed and not
more than eighteen (18) years of age, or
(2) Parent left solo or alone with the even over eighteen (18) years but are
responsibility of parenthood due to incapable of self-support because of mental
death of spouse; and/or physical defect/disability.
(3) Parent left solo or alone with the (c) "Parental responsibility" - with respect to
responsibility of parenthood while their minor children shall refer to the rights
the spouse is detained or is serving and duties of the parents as defined in Article
sentence for a criminal conviction 220 of Executive Order No. 209, as
for at least one (1) year; amended, otherwise known as the "Family
Code of the Philippines."

(d) "Parental leave" - shall mean leave self-concept or ego-building, crisis

benefits granted to a solo parent to enable management and spiritual enrichment.
him/her to perform parental duties and
responsibilities where physical presence is Section 6. Flexible Work Schedule. - The employer
required. shall provide for a flexible working schedule for solo
parents: Provided, That the same shall not affect
(e) "Flexible work schedule" - is the right individual and company productivity: Provided,
granted to a solo parent employee to vary further, That any employer may request exemption
his/her arrival and departure time without from the above requirements from the DOLE on
affecting the core work hours as defined by certain meritorious grounds.
the employer.
Section 7. Work Discrimination. - No employer shall
Section 4. Criteria for Support. - Any solo parent discriminate against any solo parent employee with
whose income in the place of domicile falls below the respect to terms and conditions of employment on
poverty threshold as set by the National Economic account of his/her status.
and Development Authority (NEDA) and subject to the
assessment of the DSWD worker in the area shall be Section 8. Parental Leave. - In addition to leave
eligible for assistance: Provided, however, That any privileges under existing laws, parental leave of not
solo parent whose income is above the poverty more than seven (7) working days every year shall be
threshold shall enjoy the benefits mentioned in granted to any solo parent employee who has
Sections 6, 7 and 8 of this Act. rendered service of at least one (1) year.
Section 5. Comprehensive Package of Social Section 9. Educational Benefits. - The DECS, CHED
Development and Welfare Services. - A and TESDA shall provide the following benefits and
comprehensive package of social development and privileges:
welfare services for solo parents and their families will
be developed by the DSWD, DOH, DECS, CHED,
TESDA, DOLE, NHA and DILG, in coordination with (1) Scholarship programs for qualified solo
local government units and a nongovernmental parents and their children in institutions of
organization with proven track record in providing basic, tertiary and technical/skills education;
services for solo parents. and
The DSWD shall coordinate with concerned agencies (2) Nonformal education programs
the implementation of the comprehensive package of appropriate for solo parents and their
social development and welfare services for solo children.
parents and their families. The package will initially
include: The DECS, CHED and TESDA shall promulgate rules
and regulations for the proper implementation of this
(a) Livelihood development services which program.
include trainings on livelihood skills, basic
business management, value orientation and Section 10. Housing Benefits. - Solo parents shall be
the provision of seed capital or job given allocation in housing projects and shall be
placement. provided with liberal terms of payment on said
government low-cost housing projects in accordance
(b) Counseling services which include with housing law provisions prioritizing applicants
individual, peer group or family counseling. below the poverty line as declared by the NEDA.
This will focus on the resolution of personal
relationship and role conflicts. Section 11. Medical Assistance. - The DOH shall
develop a comprehensive health care program for
(c) Parent effectiveness services which solo parents and their children. The program shall be
include the provision and expansion of implemented by the DOH through their retained
knowledge and skills of the solo parent on hospitals and medical centers and the local
early childhood development, behavior government units (LGUs) through their
management, health care, rights and duties provincial/district/city/municipal hospitals and rural
of parents and children. health units (RHUs).
(d) Critical incidence stress debriefing which Section 12. Additional Powers and Functions of the
includes preventive stress management DSWD. The DSWD shall perform the following
strategy designed to assist solo parents in additional powers and functions relative to the welfare
coping with crisis situations and cases of of solo parents and their families:
abuse.
(a) Conduct research necessary to: (1)
(e) Special projects for individuals in need of develop a new body of knowledge on solo
protection which include temporary shelter, parents; (2) define executive and legislative
counseling, legal assistance, medical care, measures needed to promote and protect
the interest of solo parents and their
children; and (3) assess the effectiveness of
programs designed for disadvantaged solo 2000, has been enacted to develop a comprehensive
parents and their children; program for social development and welfare services
for solo parents and their children;
(b) Coordinate the activities of various WHEREAS, to ensure the implementation of the Act,
governmental and nongovernmental the Department of Social Welfare and Development
organizations engaged in promoting and was tasked to coordinate with concerned agencies
protecting the interests of solo parents and and perform additional functions relative to the
their children; and welfare and development of solo parents and their
children;
WHEREAS, an interagency committee headed by
(c) Monitor the implementation of the DSWD and participated in by the Departments of
provisions of this Act and suggest Health (DOH), Education (DepEd), Labor and
mechanisms by which such provisions are Employment (DOLE), and Interior and Local
effectively implemented. Government (DILG), Commission on Higher
Education (CHED), Technical Education and Skills
Section 13. Implementing Rules and Regulations. - Development Authority (TESDA), and National
An interagency committee headed by the DSWD, in Housing Authority (NHA) drafted the IRR in
coordination with the DOH, DECS, CHED, TESDA, consultation with the local government units, non-
DOLE, NHA, and DILG is hereby established which government organizations and peoples organizations;
shall formulate, within ninety (90) days upon the WHEREAS, the draft IRR was deliberated upon and
effectivity of this Act, the implementing rules and approved by the members of the SDC-Cabinet level
regulations in consultation with the local government subject to the incorporation of certain comments
units, nongovernment organizations and people's during its meeting on the 10th day of April 2002;
organizations. NOW, THEREFORE, BE IT RESOLVED, AS IT IS
HEREBY RESOLVED, by the Chairman and
Section 14. Appropriations. - The amount necessary members of the NEDA Boards Social Development
to carry out the provisions of this Act shall be included Committee-Cabinet level, to approve the IRR of R.A.
in the budget of concerned government agencies in 8972.
the General Appropriations Act of the year following RESOLVED FURTHER, that this IRR shall be
its enactment into law and thereafter.1awphil.net published at least in one newspaper of general
circulation.
Adopted, this 10 day of April in the year of our Lord,
Section 15. Repealing Clause. - All laws, decrees, Two Thousand and Two, Pasig City.
executive orders, administrative orders or parts
thereof inconsistent with the provisions of this Act are RULES AND REGULATIONS IN THE
hereby repealed, amended or modified accordingly. IMPLEMENTATION OF REPUBLIC ACT NO. 8972,
AN ACT PROVIDING FOR BENEFITS AND
Section 16. Separability Clause. - If any provision of PRIVILEGES TO SOLO PARENTS AND THEIR
this Act is held invalid or unconstitutional, other CHILDREN, APPROPRIATING FUNDS THEREFOR
provisions not affected thereby shall continue to be in AND FOR OTHER PURPOSES
full force and effect. ARTICLE I
TITLE, PURPOSE AND CONSTRUCTION
Section 1. Title These rules shall be known and
Section 17. Effectivity Clause. - This Act shall take
cited as the Rules and Regulations Implementing
effect fifteen (15) days following its complete
Republic Act No. 8972, more commonly known as the
publication in the Official Gazette or in at least two (2)
Solo Parents Welfare Act of 2000.
newspaper of general circulation.
Section 2. Purpose These Rules are promulgated to
prescribe the procedure and guidelines for the
Approved. implementation of the Solo Parents Welfare Act of
2000 in order to facilitate the compliance therewith
(Sgd.) and to achieve the objectives thereof.
Section 3. Construction These Rules shall be
liberally construed in favor of the solo parent and
JOSEPH EJERCITO ESTRADA
applied in accordance with and in furtherance of the
President of the Philippines
policy and objectives of the law. In case of conflict
and/or ambiguity, which may arise in the
Republic of the Philippines
implementation of these Rules, the concerned
National Economic Development Authority
agencies shall issue the necessary clarification.
SOCIAL DEVELOPMENT COMMITTEE (SDC)
ARTICLE II
Resolution No.2 (Series 2002)
DECLARATION OF POLICIES AND OBJECTIVES
APPROVING THE IMPLEMENTING RULES AND
Section 4. Declaration of Policy It is the policy of the
REGULATIONS (IRR)
State to promote the family as the foundation of the
OF REPUBLIC ACT 8972 PROVIDING FOR
nation, strengthen its solidarity and ensure its total
BENEFITS AND PRIVILEGES
development. Towards this end, it shall develop a
TO SOLO PARENTS AND THEIR CHILDREN
comprehensive program of services for solo parents
WHEREAS, it is the policy of the State to promote the
and their children to be carried out by the Department
family as the foundation of the nation, strengthen its
of Social Welfare and Development (DSWD), the
solidarity and ensure its total development;
Department of Health (DOH), the Department of
WHEREAS, in support of this State policy, R.A. 8972,
Education (DepEd), the Department of the Interior
otherwise known as the Solo Parents Welfare Act of
and Local Government (DILG), the Commission on
Higher Education (CHED), the Technical Education (9) Any other person who solely
and Skills Development Authority (TESDA), the provides parental care and support to a child
National Housing Authority (NHA), the Department of or children provided he/she is duly licensed
Labor and Employment (DOLE) and other related as a foster parent by the DSWD or duly
government agencies and non-government appointed legal guardian by the court;
organizations or civil society.
Section 5. Objective These Rules and Regulations (10) Any family member who
seek to clarify the scope and application of the Act in assumes the responsibility of head of family
order that the proper parties may avail of its benefits. as a result of the death, abandonment,
ARTICLE III disappearance, or absence lasts for at least
DEFINITION OF TERMS one (1) year.
Section 6. Definition of terms As used in these
Rules, the following terms shall mean as follows: A change in the status or circumstance of the parent
claiming benefits under the Act, such that he/she is no
(a) Act the Solo Parents Welfare Act of longer left alone with the responsibility of parenthood,
2000; shall terminate his/her eligibility for these benefits;
(b) Solo Parent any individual who falls (c) Family shall refer to the Solo Parent
under any of the following categories: and his/her child/children; Provided, however, that the
family member referred to in Section 3, paragraph (a)
(1) A woman who gives birth as a (10) of these Rules shall include any relative by
result of rape or crimes against chastity, consanguinity up to the fourth civil degree. These
even without a final conviction of the persons shall include, but are not limited to, any
offender: Provided, that the mother keeps uncle, aunt, grandfather, grandmother, niece, nephew,
and raises the child; or cousin;
(2) Parent left solo or alone with the (d) Social Worker a person who is a
responsibility of parenthood due to death of graduate of Social Work and duly registered pursuant
spouse; to Republic Act 4373 and employed with the Social
Welfare and Development Office of the local
(3) Parent left solo or alone with the government unit where the solo parent resides;
responsibility of parenthood while the spouse
is detained, or is serving sentence for a (e) Children refer to those living with and
criminal conviction for at least one (1) year; dependent upon the solo parent for support who are
unmarried, unemployed and below eighteen (18)
The law applies to the spouses of prisoners, whether years of age, or even eighteen (18) years and
or not a final judgement has been rendered, provided above but are incapable of self-support and/or
they are in detention for a minimum period of one (1) mentally and/or physically challenged;
year;
(f) Parental responsibility with respect to
(4) Parent left solo or alone with the their minor children shall refer to the rights and duties
responsibility of parenthood due to physical of the parents as defined in Article 220 of Executive
and/or mental incapacity of spouse as Order No. 209, as amended, otherwise known as the
certified by a public medical practitioner; Family Code of the Philippines, and hereunder
enumerated as follows:
responsibility of parenthood due to legal (1) To keep them in their company,
separation or de facto separation from to support, educate and instruct them by
spouse for at least one (1) year: Provided, right precept and good example and to
that he or she is entrusted with the custody provide for their upbringing in keeping with
of the children; their means;
(6) Parent left solo or alone with the (2) To give them love and affection,
responsibility of parenthood due to advice and counsel, companionship and
declaration of nullity or annulment of understanding;
marrriage as decreed by a court or by a
church: Provided, that he/she is entrusted (3) To provide them with moral and
with the custody of the children; spiritual guidance, inculcate in them honesty,
integrity, self-discipline, self-reliance,
(7) Parent left solo or alone with the industry and thrift, stimulate their interest in
responsibility of parenthood due to civic affairs, and inspire in them compliance
abandonment of spouse for at least one (1) with the duties of citizenship;
year;
(4) To furnish them with good and
(8) Unmarried mother/father who wholesome educational materials, supervise
has preferred to keep and rear his/her their activities, recreation and association
child/children instead of having others care with others, protect them from bad company,
for them or give them up to a welfare and prevent them from acquiring habits
institution; detrimental to their health, studies and
morals;
Section 8. Qualifications of Solo Parent A solo

(5) To represent them in all matters parent seeking benefits other than those provided for
affecting their interest; under Sections 16, 17, 18, 19, 20, 21 and 23 of these
Rules shall be qualified on the basis of the following:
(6) To demand from them respect
and obedience; (a) A resident of the area where the
assistance is sought, as certified by
(7) To Impose discipline on them as the barangay captain; Provided, that
may be required under the circumstances; if the solo parent is a transferee from
and another barangay, he/she is required
to secure a clearance from his/her
(8) To perform such other duties as previous barangay, indicating
are imposed by law and upon parents and whether or not he/she has availed of
guardians; any benefits for solo parents, and
the nature of such benefits.
(g) Parental leave shall mean leave
benefits granted to a solo parent to enable him/her to (b) With an income level equal to or below
perform parental duties and responsibilities where the poverty threshold as set forth by
physical presence is required; NSCB and assessed by a social worker
as provided for under Section 7 of
(h) Flexible work schedule is the right these Rules.
granted to a solo parent employee to vary his/her
arrival and departure time without affecting the core
work hours as defined by the employer;
(i) DSWD shall refer to the Department of

Social Welfare and Development;
(j) DOH shall refer to the Department of

Health;
(k) DOLE shall refer to the Department of
Labor and Employment;
(l) DepEd shall refer to the Department of

Education;
(m) DILG shall refer to the Department of

the Interior and Local Government;
(n) CHED shall refer to the Commission

on Higher Education;
(o) NHA shall refer to the National

Housing Authority;
(p) TESDA shall refer to the Technical

Education and Skills Development Authority;
(q) NEDA shall refer to the National

Economic and Development Authority;
(r) NSCB shall refer to the National

Statistical Coordination Board, an attached agency of
NEDA and responsible for determining the regional
poverty threshold.
ARTICLE IV
CRITERIA FOR SUPPORT
Section 7. Criteria for Support Any solo parent
whose income in the place of domicile falls equal to
or below the poverty threshold as set by the NSCB
and subject to the assessment of the duly appointed
or designated social worker in the area shall be
eligible for assistance: Provided, however, That any
solo parent whose income is above the poverty
threshold shall enjoy the benefits mentioned in
Sections 16, 17, 18, 19, 20, 21 and 23 of these Rules.
For purposes of the Act and these Rules, the place of
domicile shall refer to the residence mentioned in
Section 8(a) of these Rules.
Section 9. Assessment an applicant who manifests Office of the City/Municipal Social

the need for assistance under the Act is subject to Welfare and Development Office to the
assessment by a social worker at the city/municipal agency concerned providing the
Social Welfare and Development Office. The appropriate assistance/service.
assessment shall cover, but not be limited to, the
following: (f) The social worker shall inform the solo
parent of the status of his/her
(a) Determination of the applicants category application within thirty (30) working
as enumerated in Article III Section 6 days from the filing of such and shall
paragraph (b) of these Rules; require him/her to visit the
agency/institution providing the
(b) Evaluation of the needs of the applicant assistance. In case the applicant is not
and his/her children as basis for qualified for services under this Act,
provision of the appropriate service and he/she will be referred to the
intervention; appropriate agency/program for
assistance.
(c) Identification of the level of readiness of
the applicant to receive a particular (g) Upon the favorable evaluation of the
service/assistance, which shall serve as social worker, a Solo Parent
basis for the conduct of social Identification Card shall be issued on
preparation activities prior to the the solo parent within 30 days upon
provision of such service/assistance; application duly signed by the
and city/municipal Social Welfare Officer
and the city/municipal mayor. The Solo
(d) Identification of existing and potentially Parent Identification Card is necessary
available resources that may support for the availment of benefits under the
the applicant and his/her children. Act and these Rules. Such Identification
Card shall be valid for only one (1) year,
Section 10. Procedure in Accessing Services for Solo but may be renewed subject to a new
Parents - A person who needs assistance under this assessment and evaluation;
Act shall comply with the following process;
(h) For the publics information and
(a) Visit the Social Welfare and Development guidance, a list of persons who applied
Office of the city or municipality of and those who were able to avail of the
her/his residence to manifest her/his benefits under this Act shall be made
need for assistance; available by the concerned
city/municipal social welfare and
(b) Fill up application form for the assistance, development office which processed
indicating but not limited to, the their applications.
following information:
Section 11. Procedure for Application of Benefits An
1. Name applicant who was determined by a social worker to
be eligible for assistance may apply for benefits under
2. Age this Act through the following;
3. Address/Area of Domicile (a) The solo parent may go to the agency

providing such benefit bringing with
4. Income per month her/him the Identification Card issued
by the Municipal/City Social Welfare
5. Source/s of income and Development Office;
6. Number of children (b) Undergo the necessary qualifying

activities required by the agency as
7. Circumstances of being solo; prescribed by these Rules; and
(c) Undergo the necessary assessment (c) Comply with the requirements set forth by
process as stipulated in Section 9 the agency providing the service for the
Article IV of these Rules; duration of the assistance (e.g.
schooling, housing) subject to existing
(d) A Social Case Study Report shall be rules of the agencies concerned.
prepared by the social worker based on
the information/data provided for by the Section 12. Procedure for Termination of Benefits
applicant, as well as his/her
assessment of said applicant, indicating (a) A solo parent shall manifest to the Social
therein the appropriate services Welfare Office his/her intention to
needed. withdraw the availment of the benefits
under this Act.
(e) The Social Case Study Report, together
with a referral letter prepared by the (b) If the solo parent does not voluntarily
social worker, shall be forwarded by the manifest his/her intention to terminate
the provision of benefits and services basic business management, value

before the lapse of one year from the orientation and the provision of seed
issuance of the Solo Parent I.D., the capital or job placement.
Social Worker, based on a report by the
employer or any interested person shall The criteria and procedure for evaluation of
conduct the necessary beneficiaries for the purposes of availing of the
assessment/evaluation to ascertain if benefits of this item shall be provided for by the DOLE
grounds for termination and withdrawal and TESDA; the provision of seed capital shall be
of benefits exist. The Identification Card guided by the credit policy of the National Credit
shall cease to be effective upon the Council as contained in E.O. No. 138, Rationalization
lapse of one year from issuance, unless of Government Directed Credit Program, passed in
renewed based on a new assessment 1999.
and evaluation. Failure to renew will
mean that he/she has changed (b) Counseling services, which include
his/her status as a solo parent. individual, peer group or family
counseling. These will focus on the
(c) The solo parent shall be informed of the resolution of personal relationship and
result of the assessment/evaluation and role conflicts.
termination of the service, if warranted,
through written notice. The termination The criteria and procedure for evaluation of
shall take effect 30 days from the beneficiaries for the purposes of availing of the
receipt of the notice of termination. In benefits of this item shall be provided for by the
cases when the service cannot be DSWD;
terminated in a period of one month,
e.g. schooling, the service shall be (c) Parent effectiveness services which
completed until its due time. include the provision and expansion of
knowledge and skills of the solo parent
The NHA and other participating housing agencies on early childhood development,
shall issue the guidelines in the termination of housing behavior management, health care and
benefits provided in sections 23 and 24 of these proper nutrition, rights and duties of
Rules. parents and children;
(d) The solo parent and his/her children shall
undergo psychosocial counseling with (d) Critical incidence stress debriefing, which
the social worker to prepare them for includes preventive stress management
independent living. strategy designed to assist solo parents
in coping with crisis situations and
Section 13. Relocation of the Family In the event a cases of abuse;
solo parent decides to relocate his/her family, he/she
shall inform the city/municipal Social Welfare and (e) Special projects for individuals in need of
Development Office. Said office shall thereupon protection which include temporary
transmit the records to the city/municipal Social shelter, counseling, legal assistance,
Welfare and Development Office of the place of medical care, self-concept or ego-
relocation. building, crisis management and
Section 14. Duty to Monitor It shall be the duty of spiritual enrichment.
the city/municipal Social Welfare Officer who receives
said records, to assign a social worker to monitor the Section 16. Flexible Work Schedule The employer
status of the relocated solo parent and his/her family. shall provide for a flexible work schedule for solo
Moreover, it shall also be the duty of said officer to parents: Provided, That the same shall not affect
coordinate with the concerned agencies of any individual and company productivity: Provided further,
changes in the status of the solo parent receiving That any employer may request exemption from the
benefits from said agencies. above requirements from the DOLE on certain
ARTICLE V meritorious grounds.
BENEFITS In the case of employees in the government service,
Section 15. Comprehensive Package of Social flexible working hours will be subject to the discretion
Development and Welfare Services A of the head of the agency. In no case shall the weekly
comprehensive package of social development and working hours be reduced in the event the agency
welfare services for solo parents and their families will adopts the flexible working hours schedule format
be developed by the DSWD, DOH, DepEd, CHED, (flexi-time). In the adoption of flexi-time, the core
TESDA, DOLE, NHA and DILG, in coordination with working hours shall be prescribed taking into
local government units and non-governmental consideration the needs of the service..
organizations with proven track record in providing Section 17. Work Discrimination No
services for solo parents. employer shall discriminate against any solo parent
The DSWD shall coordinate with concerned agencies employee with respect to terms and conditions of
the implementation of the comprehensive package of employment on account of his/her status.
social development and welfare services for solo Section 18. Parental Leave In addition to leave
parents and their families. The package will initially privileges under existing laws, parental leave of not
include: more than seven (7) working days every year shall be
granted to any solo parent employee who has
(a) Livelihood development services, which rendered service of at least one (1) year. The seven-
include training on livelihood skills, day parental leave shall be non-cumulative.
Section 19. Conditions for Entitlement of Parental

Leave A solo parent shall be entitled to parental 5. Original or Certified True Copy of
leave provided that: the transcript of record, or the
Report Care of the last year the
(a) He/She has rendered at least one (1) applicant attended school.
year of service whether continuous or
broken at the time of the affectivity of Section 23. Housing Benefits Solo parents who
the Act; meet the eligibility criteria for housing assistance
under R.A. No. 7279 (Urban Development and
(b) He/She has notified his/her employer of Housing Act of 1992) and other related rules and
the availment thereof within a regulations of participating housing agencies shall be
reasonable time period; and provided with liberal terms of payment on government
low-cost housing projects, in accordance with housing
(c) He/She has presented a Solo Parent law provisions, prioritizing applicants below the
Identification Card to his/her employer. poverty line as declared by the NSCB.
Section24. The NHA shall make available housing
Section 20. Non-conversion of Parental Leave In units to solo parents in its housing projects subject to
the event that the parental leave is not availed of, said existing disposition policies or may refer them to other
leave shall not be convertible to cash unless housing projects, as appropriate, provided that:
specifically agreed upon previously. However, if said
leave were denied an employee as a result of non- (a) The identified solo parent must be eligible
compliance with the provisions of these Rules by an for assistance under the provisions of
employer, the aforementioned leave may be used a this Act;
basis for the computation of damages.
Section 21. Crediting of Existing Leave If there is an (b) Solo parents applying for housing
existing or similar benefit under a company policy, or benefits must meet the qualification
a collective bargaining agreement or collective criteria for housing assistance under
negotiation agreement the same shall be credited as Republic Act 7279, or the Urban
such. If the same is greater than the seven (7) days Development and Housing Act
provided for in the Act, the greater benefit shall (UDHA) and other NHA eligibility
prevail. criteria under existing policies, rules
Emergency or contingency leave provided under a and regulations; and
company policy or a collective bargaining agreement
shall not be credited as compliance with the parental (c) Eligible solo parents shall file their
leave provided for under the Act and these Rules. application for housing unit directly
with the concerned NHA Project
Section 22. Educational Benefits The DepEd, CHED Offices.
and TESDA shall provide the following benefits and
privileges: Upon written request, the NHA shall provide the
DSWD a listing of NHA projects with available
(a) Scholarship programs for qualified solo housing units for disposition. This list shall be updated
parents and their children in and provided semi-annually.
institutions of basic, tertiary and Section 25. Medical Assistance The DOH shall
technical/skills education; develop a comprehensive health care program for
solo parents and their children. The program shall be
(b) Non-formal education programs implemented by the DOH through their retained
appropriate for solo parents and their hospitals and medical centers and the local
children. government units (LGUs) through their
provincial/district/city/municipal hospitals and rural
Application Procedure: health units (RHUs).
Section 26. Essential Health Packages To ensure
1. Applicant must secure application form the state of well-being of the solo parent and his/her
from either DepEd, CHED and TESDA family, healthy/medical services shall be made
depending on their need; available at all times, in all levels of health care
delivery system as mentioned in the previous section.
2. Submit the duly accomplished application These health/medical services shall be part of the
form together with the required regular essential health packages being provided at
documents to the appropriate agency. various stages of life.
The following are the documents required to be ARTICLE VI

attached with the application: ADDITIONAL POWERS AND FUNCTIONS OF THE
DSWD
1. Solo Parent Identification Card Section 27. Additional Powers and Functions of the
DSWD The DSWD shall perform the following
2. Barangay Clearance additional powers and functions relative to the welfare
and development of solo parents and their families:
3. Birth Certificate
(a) Conduct research necessary to:
4. Notice of admission from the
school
(1) develop a new body of knowledge

on solo parents;
ART. 96. Service charges. - All service charges collected by
(2) Define executive and legislative hotels, restaurants and similar establishments shall be
measures needed to promote and distributed at the rate of eighty-five percent (85%) for all
protect the interest of solo parents covered employees and fifteen percent (15%) for
and their children; and management. The share of the employees shall be equally
distributed among them. In case the service charge is
(3) Assess the effectiveness of policies abolished, the share of the covered employees shall be
and programs designed for solo considered integrated in their wages.
parents and their children;
The commissioning or contracting out for the conduct

of said research shall be inherent in the performance
of herein function; RULE VI
Service Charges
(b) Coordinate the activities of various
government agencies, LGUs, and non-
SECTION 1. Coverage. This rule shall apply only to
government organizations engaged in establishments collecting service charges such as hotels,
promoting and protecting the interests restaurants, lodging houses, night clubs, cocktail lounge,
of solo parents and their children; massage clinics, bars, casinos and gambling houses, and
similar enterprises, including those entities operating
(c) Coordinate the dissemination of primarily as private subsidiaries of the Government.
information concerning the benefits of
the Act and these Rules, as well as SECTION 2. Employees covered. This rule shall apply to
other advocacy activities; and all employees of covered employers, regardless of their
positions, designations or employment status, and
(d) Monitor the implementation of the irrespective of the method by which their wages are paid
provisions of this Act and suggest except to managerial employees.
mechanisms by which such provisions
are efficiently and effectively
As used herein, a "managerial employee" shall mean one
implemented. who is vested with powers or prerogatives to lay down and
execute management policies and/or to hire, transfer,
Section 28. Review Committee A special review suspend, lay-off, recall, discharge, assign, or discipline
committee comprised of members from the DSWD, employees or to effectively recommend such managerial
DOH, DepEd, DILG, CHED, TESDA, NHA, DOLE actions. All employees not falling within this definition shall
and other related government agencies and non- be considered rank-and-file employees.
government organizations or civil society involved in
the implementation of the provisions of the Act shall SECTION 3. Distribution of service charges. All service
be created and headed by the DSWD for the purpose charges collected by covered employers shall be distributed
of evaluating the efficacy and relevancy of the at the rate of 85% for the employees and 15% for the
provisions of the Act to the present situation. management. The 85% shall be distributed equally among
The duties and responsibilities of the members of this the covered employees. The 15% shall be for the disposition
Review Committee shall be considered as part of their by management to answer for losses and breakages and
regular functions. distribution to managerial employees at the discretion of the
management in the latter case.
ARTICLE VII
FINAL PROVISIONS SECTION 4. Frequency of distribution. The shares
Section 29. Appropriations The amount necessary referred to herein shall be distributed and paid to the
to carry out the provisions of the Act shall be included employees not less than once every two (2) weeks or twice
in the budget of concerned government agencies in a month at intervals not exceeding sixteen (16) days.
the General Appropriations Act of the year following
its enactment into law and thereafter. SECTION 5. Integration of service charges. In case the
Section 30. Repealing Clause All laws, decrees, service charges is abolished the share of covered employees
executive orders, administrative orders or parts shall be considered integrated in their wages. The basis of
thereof inconsistent with the provisions of the Act are the amount to be integrated shall be the average monthly
hereby repealed, amended or modified accordingly. share of each employee for the past twelve (12) months
Section 31. Separability Clause If any provision of immediately preceding the abolition of withdrawal of such
the Act is held invalid or unconstitutional, other charges.
provisions not affected thereby shall continue to be in
full force and effect. SECTION 6. Relation to agreements. Nothing in this Rule
Section 32. Effectivity Clause These Implementing shall prevent the employer and his employees from entering
Rules and Regulations shall take effect fifteen (15) into any agreement with terms more favorable to the
days following its publication in one (1) national employees than those provided herein, or be used to
newspaper of general circulation. diminish any benefit granted to the employees under
existing laws, agreement and voluntary employer practice.
7. Service Charges SECTION 7. This rule shall be without prejudice to existing,

future collective bargaining agreements.
Reference: Art. 96; Omnibus Rules, Book III, Rule VI
Nothing in this rule shall be construed to justify the

reduction or diminution of any benefit being enjoyed by any
employee at the time of effectivity of this rule.
a. Covered Employees, Art. 96
b. Sharing, Art. 96

G. Minimum Wages and Wage Fixing Machinery f) "Retail Establishment" is one principally engaged in the
sale of goods to end-users for personal or household use;
Reference: Art. 96; Omnibus Rules, Book III, Rules VII-VIII
g) "Service Establishment" is one primarily engaged in the
ART. 99. Regional minimum wages. - The minimum wage
sale of service to individuals for their own or household use
rates for agricultural and non-agricultural employees and
and is generally recognized as such;
workers in each and every region of the country shall be
those prescribed by the Regional Tripartite Wages and
Productivity Boards. (As amended by Section 3, Republic Act h) "Cottage/Handicraft Establishment" is one engaged in an
No. 6727, June 9, 1989). economic endeavor in which the products are primarily done
in the home or such other places for profit which requires
Art XIII, Section 3. The State shall afford full protection to manual dexterity and craftsmanship and whose capitalization
labor, local and overseas, organized and unorganized, and does not exceed P500,000, regardless of previous
promote full employment and equality of employment registration with the defunct NACIDA;
opportunities for all.
i) "National Capital Region" covers the cities of Kalookan,
It shall guarantee the rights of all workers to self- Manila, Pasay and Quezon and the municipalities of Las
organization, collective bargaining and negotiations, and Pias, Makati, Malabon, Mandaluyong, Marikina, Muntinlupa,
peaceful concerted activities, including the right to strike in Navotas, Paraaque, Pasig, Pateros, San Juan, Taguig and
accordance with law. They shall be entitled to security of Valenzuela;
tenure, humane conditions of work, and a living wage. They
shall also participate in policy and decision-making processes j) "Region III" covers the provinces of Bataan, Bulacan,
affecting their rights and benefits as may be provided by Nueva Ecija, Pampanga, Tarlac, and Zambales and the cities
law. of Angeles, Cabanatuan, Olongapo, Palayan and San Jose;
The State shall promote the principle of shared responsibility k) "Region IV" covers the provinces of Aurora, Batangas,
between workers and employers and the preferential use of Cavite, Laguna, Marinduque, Occidental Mindoro, Palawan,
voluntary modes in settling disputes, including conciliation, Quezon, Rizal and Romblon and the cities of Batangas,
and shall enforce their mutual compliance therewith to foster Cavite, Lipa, Lucena, Puerto Princesa, San Pablo, Tagaytay
industrial peace. and Trece Martires;
The State shall regulate the relations between workers and l) "Department" refers to the Department of Labor and
employers, recognizing the right of labor to its just share in Employment;
the fruits of production and the right of enterprises to
reasonable returns to investments, and to expansion and
growth. m) "Secretary" means the Secretary of Labor and
Employment;
RULE VII n) "Basic Wage" means all remuneration or earnings paid by

Wages an employer to a worker for services rendered on normal
working days and hours but does not include cost-of-living
allowances, profit sharing payments, premium payments,
SECTION 1. Definition of Terms. As used in this Rules 13th month pay or other monetary benefits which are not
considered as part of or integrated into the regular salary of
a) "Act" means Republic Act No. 6727; the workers on the date the Act became effective."
b) "Commission" means the National Wages and Productivity o) "Statutory Minimum Wage" is the lowest wage fixed by
Commission; law that an employer can pay his workers;
c) "Board" means the Regional Tripartite Wages and p) "Wage Distortion" means a situation where an increase in
Productivity Board; prescribed wage rates results in the elimination or severe
contraction of intentional quantitative differences in wage or
salary rates between and among employee groups in an
d) "Agriculture" refers to all farming activities in all its
establishment as to effectively obliterate the distinctions
branches and includes among others, the cultivation and
embodied in such wage structure based on skills, length of
tillage of the soil, production, cultivation, growing and
service, or other logical bases of differentiation;
harvesting of any agricultural or horticultural commodities,
dairying, raising of livestock or poultry, the culture of fish
and other aquatic products in farms or ponds, and any q) "Capitalization" means paid-up capital, in the case of a
activities performed by a farmer or on a farm as an incident corporation, and total invested capital, in the case of a
to or in conjunction with such farming operations, but does partnership or single proprietorship.
not include the manufacturing and/or processing of sugar,
coconut, abaca, tobacco, pineapple, aquatic or other farm CHAPTER I
products; Wage Increase
e) "Plantation Agricultural Enterprise" is one engaged in SECTION 1. Coverage. The wage increase prescribed
agriculture within an area of more than 24 hectares in a under the Act shall apply to all workers and employees in
locality and/or which employs at least 20 workers. Any other the private sector regardless of their position, designation or
agricultural enterprise shall be considered as "Non-Plantation status, and irrespective of the method by which their wages
Agricultural Enterprises"; are paid, except:

a) Household or domestic helpers, including family drivers (ii) P3,041.67 where the workers and employees do not
and workers in the personal service of another; work but considered paid on rest days, special days and
regular holidays.
b) Workers and employees in retail/service establishments
regularly employing not more than 10 workers, when (iii) P2,616.67 where the workers and employees do not
exempted from compliance with the Act, for a period fixed work and are not considered paid on Sundays or rest days.
by the Commission/Boards in accordance with Section 4 (c)
of the Act and Section 15, Chapter 1 of these Rules;
(iv) P2,183.33 where the workers and employees do not
work and are not considered paid on Saturdays and Sundays
c) Workers and employees in new business enterprises or rest days.
outside the National Capital Region and export processing
zones for a period of not more than two or three years, as
c) Workers and employees who, prior to July 1, 1989, were
the case may be, from the start of operations when
receiving a basic wage of more than P100.00 per day or its
exempted in accordance with Section 5 of the Act and
monthly equivalent, are not by law entitled to the wage
Section 15, Chapter I of these Rules;
increase provided under the Act. They may however, receive
wage increases through the correction of wage distortions in
d) Workers and employees receiving a basic wage of more accordance with Section 16, Chapter I of these Rules.
than P100.00 per day.
SECTION 5. Daily Statutory Minimum Wage Rates. The
SECTION 2. Effectivity. The Act takes effect on July 1, daily minimum wage rates of workers and employees shall
1989, 15 days following its complete publication in two be as follows:
newspapers of general circulation on June 15, 1989 pursuant
to Section 15 thereof.
Sector/Industry Under Under
R. A. 6640 R. A. 6727
SECTION 3. Amount of Minimum Wage Increase. Effective (Effective (Effective
July 1, 1989, the daily statutory minimum wage rates of Dec. 14, July 1,
covered workers and employees shall be increased as 1987) 1989)
follows:
A. NATIONAL CAPITAL REGION
a) P25.00 for those in the National Capital Region;
Non-Agriculture P64.00 P89.00
b) P25.00 for those outside the National Capital Region,
except for the following:
Agriculture
Plantation 54.00 79.00
P20.00 for those in plantation agricultural enterprises with
an annual gross sales of less than P5 million in the fiscal
Non-Plantation 43.50 68.50
year immediately preceding the effectivity of the Act;
Cottage/Handicraft
P15.00 for those in the following enterprises:
Employing more than 30
workers 52.00 77.00
1. Non-plantation agriculture
Employing not more than
2. Cottage/handicraft 30 workers 50.00 75.00
3. Retail/Service regularly employing not more than 10 Private Hospitals

workers With bed capacity of more
than 100 64.00 89.00
4. Business enterprises with a capitalization of not more than
P500,000 and employing not more than 20 workers. With bed capacity of 100
or less 60.00 85.00
SECTION 4. When Wage Increase Due Other Workers. a)
All workers and employees who, prior to July 1, 1989, were Retail/Service
already receiving a basic wage above the statutory minimum Employing more than 15
wage rates provided under Republic Act 6640 but not over workers 64.00 89.00
P100.00 per day shall receive a wage increase equivalent to
that provided in the preceding Section.
Employing 11 to 15
workers 60.00 85.00
b) Those receiving not more than the following monthly
basic wage rates prior to July 1, 1989 shall be deemed
Employing not more than
covered by the preceding subsection:
10 workers 43.00 68.00
(i) P3,257.50 where the workers and employees work

B. OUTSIDE NATIONAL CAPITAL REGION
everyday, including premium payments for Sundays or rest
days, special days and regular holidays.
Non-Agriculture 64.00 89.00

Agriculture Municipalities and Cities

Plantation with annual gross w/ population of not more
sales of P5M or more 54.00 79.00 than 150,000
Plantation with annual gross Employing more than 10

sales of less than P5M 54.00 74.00 workers 60.00 75.00
Non-plantation 43.50 58.50 SECTION 6. Suggested Formula in Determining the

Equivalent Monthly Statutory Minimum Wage Rates.
Without prejudice to existing company practices, agreements
Cottage/Handicraft
or policies, the following formula may be used as guides in
Employing more than
determining the equivalent monthly statutory minimum
30 workers 52.00 67.00
wage rates:
Employing not more

a) For those who are required to work everyday including
than 30 workers 50.00 65.00
Sundays or rest days, special days and regular holidays:
Private Hospitals 60.00 85.00

Equivalent Applicable daily wage rate (ADR) x 390.90 days
Retail/Service
Monthly =
Cities w/ population of more
than 150,000
Rate (EMR) 12
Employing more than
15 workers 64.00 89.00 Where 390.90 days =
Employing 11 to 15 workers 60.00 85.00 302 days Ordinary working days
Employing not more than 20 days 10 regular holidays x 200%

10 workers 43.00 58.00
66.30 days 51 rest days x 130%
Sugar Mills
2.60 days 2 special days x 130%
Agriculture
390.90 days Total equivalent number of days.
Plantation w/ annual gross
sales of P5M or more 48.50 73.50
b) For those who do not work but considered paid on rest
days, special days and regular holidays:
Plantation w/ annual gross ADR x 365 days
sales of less than P5M 48.50 68.50
EMR =
Non-plantation 43.50 58.50
12
Business Enterprises w/ Capitalization
of not more than P500,000 and
Where 365 days =
employing not more than 20 workers
Non-Agriculture 64.00 79.00
302 days Ordinary working days
Agriculture Plantation
Products Other than Sugar 54.00 69.00 51 days Rest days
Sugar 48.50 63.50 10 days Regular holidays
Private Hospitals 60.00 75.00 2 days Special days
Retail/Service 365 days Total equivalent number of days

Cities w/ population of more
than 150,000 c) For those who do not work and are not considered paid
on Sundays or rest days:
Employing more than ADR x 314 days
15 workers 64.00 79.00
EMR =
Employing 11 to 15 workers 60.00 75.00
12

Where 314 days = the regularization or promotion of employees shall not be

credited as compliance thereto.
SECTION 9. Workers Paid by Results.
10 days Regular holidays
a) All workers paid by results, including those who are paid
on piecework, takay, pakyaw, or task basis, shall receive not
2 days Special days (If considered
less than the applicable statutory minimum wage rates
prescribed under the Act for the normal working hours which
paid; If actually worked, shall not exceed eight hours work a day, or a proportion
thereof for work of less than the normal working hours.
this is equivalent to 2.6 days)
The adjusted minimum wage rates for workers paid by
314 days Total equivalent number of days results shall be computed in accordance with the following
steps:
d) For those who do not work and are not considered paid
on Saturdays or rest days: 1) Amount of increase in AMW - Previous AMW x 100 = %
ADR x 262 days Increase;
EMR = 2) Existing rate/piece x % increase = increase in rate/piece;
12 3) Existing rate/piece + increase in rate/piece = Adjusted

rate/piece.
Where 262 days =

Where AMW is the applicable minimum wage rate.

b) The wage rates of workers who are paid by results shall
continue to be established in accordance with Article 101 of
10 days Regular holidays the Labor Code, as amended and its implementing
regulations.
2 days Special days (If considered paid; If actually
SECTION 10. Wages of Special Groups of Workers. Wages
worked, this is equivalent to 2.6 days) of apprentices, learners and handicapped workers shall in no
case be less than 75 percent of the applicable statutory
minimum wage rates.
262 days Total equivalent number of days
All recognized learnership and apprenticeship agreements

Note: For workers whose rest days fall on Sundays, the entered into before July 1, 1989 shall be considered as
number of rest days in a year is reduced from 52 to 51 days, automatically modified insofar as their wage clauses are
the last Sunday of August being a regular holiday under concerned to reflect the increases prescribed under the Act.
Executive Order No. 201. For purposes of computation, said
holiday, although still a rest day for them, is included in the
ten regular holidays. For workers whose rest days do not fall SECTION 11. Application to Contractors. In the case of
on Sundays, the number of rest days is 52 days, as there contracts for construction projects and for security, janitorial
are 52 weeks in a year. and similar services, the prescribed wage increases shall be
borne by the principals or clients of the construction/service
contractors and the contract shall be deemed amended
Nothing herein shall be considered as authorizing the accordingly. In the event, however, that the principal or
reduction of benefits granted under existing agreements or client fails to pay the prescribed wage rates, the
employer practices/policies. construction/service contractor shall be jointly and severally
liable with his principal or client.
SECTION 7. Basis of Minimum Wages Rates. The
statutory minimum wage rules prescribed under the Act shall SECTION 12. Application to Private Educational Institution.
be for the normal working hours, which shall not exceed Private educational institutions which increased tuition
eight hours work a day. fees beginning school year 1989-1990 shall comply with the
P25.00 per day wage increase prescribed under the Act
SECTION 8. Creditable Wage Increase. effective as follows:
a) No wage increase shall be credited as compliance with a) In cases where the tuition fee increase was effected
the increases prescribed under the Act unless expressly before the effectivity of the Act, the wage increase shall take
provided under collective bargaining agreements; and, such effect only July 1, 1989.
wage increase was granted not earlier than April 1, 1989 but
not later than July 1, 1989. Where the wage increase b) In cases where the tuition fee increase was effected on or
granted is less than the prescribed increase under the Act, after the effectivity of the Act, the wage increase shall take
the employer shall pay the difference. effect not later than the date the school actually increased
tuition but in the latter case, such wage increase may not be
b) Anniversary wage increase provided in collective made retroactive in July 1, 1989.
agreements, merit wage increase, and those resulting from

Beginning school year 1990-1991, all schools shall The NLRC shall conduct continuous hearings and decide any
implement the wage increase regardless of whether or not dispute arising from wage distortions within twenty calendar
they have actually increased tuition fees. days from the time said dispute is formally submitted to it
for arbitration. The pendency of a dispute arising from a
wage distortion shall not in any way delay the applicability of
SECTION 13. Mobile and Branch Workers. The statutory
the increases in the wage rates prescribed under the Act.
minimum wage rates of workers, who by the nature of their
work have to travel, shall be those applicable in the domicile
or head office of the employer. Any issue involving wage distortion shall not be a ground for
a strike/lockout.
The minimum wage rates of workers working in branches or
agencies of establishments in or outside the National Capital SECTION 17. Complaints for Non-Compliance. Complaints
Region shall be those applicable in the place where they are for non-compliance with the wage increases prescribed
stationed. under the Act shall be filed with the Regional Offices of the
Department having jurisdiction over the workplace and shall
be the subject of enforcement proceedings under Articles
SECTION 14. Transfer of Personnel. The transfer of
128 and 129 of the Labor Code, as amended.
personnel to areas outside the National Capital Region shall
not be a valid ground for the reduction of the wage rates
being enjoyed by the workers prior to such transfer. The SECTION 18. Conduct of inspection by the Department.
workers transferred to the National Capital Region shall be The Department shall conduct inspections of establishments,
entitled to the minimum wage rate applicable therein. as often as necessary, to determine whether the workers are
paid the prescribed wage rates and other benefits granted
by law or any Wage Order. In the conduct of inspection in
SECTION 15. Exemptions.
unionized companies, Department inspectors shall always be
accompanied by the president or other responsible officer of
a) The following establishments may be exempted from the recognized bargaining unit or of any interested union. In
compliance with the wage increase prescribed under the Act: the case of non-unionized establishments, a worker
representing the workers in the said company shall
1) Retail/Service establishments regularly employing not accompany the inspector.
more than 10 workers upon application with and as
determined by the appropriate Board in accordance with The worker's representative shall have the right to submit
applicable guidelines to be issued by the Commission. his own findings to the Department and to testify on the
same if he does not concur with the findings of the labor
2) New business enterprises that may be established outside inspector.
the National Capital Region and export processing zones
from July 1, 1989 to June 30, 1993, whose operation or SECTION 19. Payment of Wages. Upon written petition of
investments need initial assistance may be exempted for not the majority of the workers and employees concerned, all
more than three years from the start of operations, subject private establishments, companies, businesses and other
to guidelines to be issued by the Secretary in consultation entities with at least twenty workers and located within one
with the Department of Trade and Industry and the kilometer radius to a commercial, savings or rural bank, shall
Department of Agriculture. pay the wages and other benefits of their workers through
any of said banks, within the period and in the manner and
New business enterprises in Region III (Central Luzon) and form prescribed under the Labor Code as amended.
Region IV (Southern Tagalog) may be exempted for two
years only from start of operations, except those that may SECTION 20. Duty of Bank. Whenever applicable and
be established in the provinces of Palawan, Oriental upon request of concerned worker or union, the bank
Mindoro, Occidental Mindoro, Marinduque, Romblon, Quezon through which wages and other benefits are paid issue a
and Aurora, which may also be exempted for not more than certification of the record of payment of said wages and
three years from the start of operations. benefits of a particular worker or workers for a particular
payroll period.
b) Whenever an application for exemption has been duly
filed with the appropriate office in the Department/Board, CHAPTER II
action by the Regional Office of the Department on any The National Wages and Productivity Commission and
complaints for alleged non-compliance with the Act shall be Regional Tripartite Wages and Productivity Boards
deferred pending resolution of the applicant for exemption.
SECTION 1. Commission. The National Wages and
c) In the event that the application for exemption is not Productivity Commission created under the Act shall hold
granted, the workers and employees shall receive the office in the National Capital Region. The Commission shall
appropriate compensation due them as provided for under be attached to the Department for policy and program
the Act plus interest of one percent per month retroactive to coordination.
July 1, 1989 or the start of operations whichever is
applicable.
SECTION 2. Powers and Functions of the Commission.
The Commission shall have the following powers and
SECTION 16. Effects on Existing Wage Structure. Where functions:
the application of the wage increase prescribed herein
results in distortions in the wage structure within an
a) To act as the national consultative and advisory body to
establishment which gives rise to a dispute therein, such
the President of the Philippines and Congress on matters
dispute shall first be settled voluntarily between the parties.
relating to wages, incomes and productivity;
In the event of a deadlock, such dispute shall be finally
resolved through compulsory arbitration by the regional
arbitration branch of the National Labor Relations
Commission (NLRC) having jurisdiction over the workplace.
b) To formulate policies and guidelines on wages, incomes areas where the Regional Offices of the Department are
and productivity improvement at the enterprise, industry and located.
national levels;
SECTION 6. Powers and Functions of the Boards. The
c) To prescribe rules and guidelines for the determination of Boards shall have the following powers and functions:
appropriate minimum wage and productivity measures at the
regional, provincial or industry levels;
a) To develop plans, programs and projects relative to
wages, incomes and productivity improvement for their
d) To review regional wage levels set by the Regional respective regions;
Tripartite Wages and Productivity Board to determine if
these are in accordance with prescribed guidelines and
b) To determine and fix minimum wage rates applicable in
national development plans;
their region, provinces or industries therein and to issue the
corresponding wage orders, subject to guidelines issued by
e) To undertake studies, researches and surveys necessary the Commission;
for the attainment of its functions and objectives, and to
collect and compile data and periodically disseminate
c) To undertake studies, researches, and surveys necessary
information on wages and productivity and other related
for the attainment of their functions, objectives and
information, including, but not limited to, employment, cost-
programs, and to collect and compile data on wages,
of-living, labor costs, investments and returns;
incomes, productivity and other related information and
periodically disseminate the same;
f) To review plans and programs of the Regional Tripartite
Wages and Productivity Boards to determine whether these
d) To coordinate with the other Boards as may be necessary
are consistent with national development plans;
to attain the policy and intention of the Labor Code;
g) To exercise technical and administrative supervision over

e) To receive, process and act on applications for exemption
the Regional Tripartite Wages and Productivity Boards;
from prescribed wage rates as may be provided by law or
any Wage Order; and
h) To call, from time to time, a national tripartite conference
of representatives of government, workers and employers
f) To exercise such other powers and functions as may be
for the consideration of measures to promote wage
necessary to carry out their mandate under the Labor Code.
rationalization and productivity; and
Implementation of the plans, programs and projects of the

i) To exercise such powers and functions as may be
Boards shall be through the respective Regional Offices of
necessary to implement this Act.
the Department, provided, however, that the Boards shall
have technical supervision over the Regional Office of the
SECTION 3. Composition of the Commission. The Department with respect to the implementation of these
Commission shall be composed of the Secretary as ex-officio plans, programs and projects.
Chairman, the Director General of the National Economic
and Development Authority (NEDA) as ex-officio Vice-
SECTION 7. Compositions of the Boards. Each Board shall
Chairman and two members each from workers and
be composed of the Regional Director of the Department as
employers sectors who shall be appointed by the President
Chairman, the Regional Directors of the National Economic
for a term of five years upon recommendation of the
and Development Authority (NEDA) and Department of
Secretary. The recommendees shall be selected from the
Trade and Industry (DTI) as Vice-Chairmen and two
lists of nominees submitted by the workers' and employers'
members each of workers and employers sectors who shall
sectors. The Executive Director of the Commission
be appointed by the President for a term of five years upon
Secretariat shall be also a member of the Commission.
the recommendation of the Secretary. The recommendees
shall be selected from the list of nominees submitted by the
The members of the Commission representing labor and workers and employers sectors.
management shall have the same rank, emoluments,
allowances and other benefits as those prescribed by law for
Each Board shall be assisted by a Secretariat.
labor and management representatives in the Employees'
Compensation Commission.
SECTION 8. Authority to Organize and Appoint Personnel.
The Chairman of the Commission shall organize such units
SECTION 4. Commission Secretariat. The Commission
and appoint the necessary personnel of the Commission and
shall be assisted by a Secretariat to be headed by an
Board Secretaries, subject to pertinent laws, rules and
Executive Director and two Deputy Directors who shall be
regulations.
appointed by the President upon recommendation of the
Secretary.
CHAPTER III
Minimum Wage Determination
The Executive Director shall have the rank of a Department
Assistant Secretary, while the Deputy Directors that of a
Bureau Director. The Executive Director and Deputy SECTION 1. Regional Minimum Wages. The minimum
Directors shall receive the corresponding salary, benefits and wage rates for agricultural and non-agricultural workers and
other emoluments of the positions. employees in every region shall be those prescribed by the
Boards which shall in no case be lower than the statutory
minimum wage rates. These wage rates may include wages
SECTION 5. Regional Tripartite Wages and Productivity
by industry, province or locality as may be deemed
Boards. The Regional Wages and Productivity Boards
necessary by the Boards.
created under the Act in all regions, including autonomous
regions as may be established by law, shall hold offices in

SECTION 2. Standards/Criteria for Minimum Wage Fixing. arbitration ten calendar days from the time the dispute was
The regional minimum wages to be established by the referred for voluntary arbitration, unless otherwise agreed
Boards shall be as nearly adequate as is economically by the parties in writing.
feasible to maintain the minimum standards of living
necessary for the health, efficiency and general well-being of
Where there are no collective agreements or recognized
the workers within the framework of the national economic
labor unions, the employer and workers shall endeavor to
and social development programs. In the determination of
correct the wage distortion. Any dispute arising therefrom
regional minimum wages, the Boards, shall, among other
shall be settled through the National Conciliation and
relevant factors, consider the following:
Mediation Board and if it remains unresolved after ten
calendar days of conciliation, it shall be referred to the
a) The demand for living wages; appropriate branch of the National Labor Relations
Commission (NLRC). The NLRC shall conduct continuous
hearings and decide the dispute within twenty calendar days
b) Wage adjustment vis-a-vis the consumer price index;
from the time said dispute is submitted for compulsory
arbitration.
c) The cost of living and changes or increases therein;
The pendency of a dispute arising from a wage distortion
d) The needs of workers and their families; shall not in any way delay the applicability of any wage
increase prescribed pursuant to the provisions of law or
e) The need to induce industries to invest in countryside; Wage Order.
f) Improvements in standards of living; SECTION 8. Non-Diminution of Benefits. Nothing in the

Act and in these Rules shall be construed to reduce any
existing laws, decrees, issuances, executive orders, and/or
g) The prevailing wage levels; under any contract or agreement between the workers and
employers.
h) Fair return of the capital invested and capacity to pay of
employers; SECTION 9. Prohibition Against Injunction. No preliminary
or permanent injunction or temporary restraining order may
i) Effects on employment generation and family income; and be issued by any court, tribunal or other entity against any
proceedings before the Commission or Boards.
j) The equitable distribution of income and wealth along the

imperatives of economic and social development. SECTION 10. Penal Provisions. Any person, corporation
trust, firm, partnership, association or entity which refuses
or fails to pay any of the prescribed increases or
SECTION 3. Wage Order. Whenever conditions in the adjustments in the wage rates made in accordance with the
region so warrant, the Board shall investigate and study all Act shall be punished by a fine not exceeding P25,000
pertinent facts; and, based on standards and criteria and/or imprisonment of not less than one year nor more
prescribed herein, shall determine whether a Wage Order than two years: Provided, that any person convicted under
should be issued. the Act shall not be entitled to the benefits provided for
under the Probation Law.
In the performance of its wage determining functions, the
Board shall conduct public hearings and consultations giving If the violation is committed by a corporation, trust or firm,
notices to employees' and employers' groups, provincial, city partnership, association or any other entity, the penalty of
and municipal officials and other interested parties. imprisonment shall be imposed upon the entity's responsible
officers, including, but not limited to, the president, vice-
SECTION 4. Effectivity of Wage Order. Any Wage Order president, chief executive officer, general manager,
issued by the Board shall take effect 15 days after its managing director or partner.
complete publication in at least one newspaper of general
circulation in the region. SECTION 11. Registration/Reporting Requirement. Any
person, company, corporation, partnership or any other
SECTION 5. Appeal to the Commission. Any party entity engaged in business shall submit annually a verified
aggrieved by the Wage Order issued by the Board may file itemized listing of their labor component to the appropriate
an appeal with the Commission within ten calendar days Board and the National Statistics Office not later than
from the publication of the Order. The Commission shall January 31 of each year, starting on January 31, 1990 in
decide the appeal within sixty calendar days from the date of accordance with the form to be prescribed by the
filing. Commission. The listing shall specify the names, salaries and
wages of their workers and employees below the managerial
level including learners, apprentices and
SECTION 6. Effect of Appeal. The filing of the appeal shall disabled/handicapped workers.
not suspend the effectivity of the Wage Order unless the
person appealing such order files with the Commission an
undertaking with a surety or sureties in such amount as may CHAPTER IV
be fixed by the Commission. Transitory Provisions
SECTION 7. Wage Distortions. Where the application of SECTION 1. Abolition of the National Wages Council and the
any wage increase resulting from a Wage Order issued by National Productivity Commission. The National Wages
any Board results in distortions in the wage structure within Council created under Executive Order No. 614 and the
an establishment, the employer and the union shall National Productivity Commission created under Executive
negotiate to correct the distortions using the grievance Order No. 615 are abolished. All properties, records,
procedure under their collective bargaining agreement. If it equipment, buildings, facilities, and other assets, liabilities
remains unresolved, it shall be decided through voluntary and appropriations of and belonging to the abovementioned
offices, as well as other matters pending herein, shall be (b) The employer or any of his agents or representatives
transferred to the Commission. All personnel of the above does not receive any pecuniary benefit directly or indirectly
abolished offices shall continue to function in a hold-over from the arrangement;
capacity and shall be preferentially considered for
appointments to or placements in the Commission/Boards.
(c) The employees are given reasonable time during banking
hours to withdraw their wages from the bank which time
Any official or employee separated from the service as a shall be considered as compensable hours worked if done
result of the abolition of offices pursuant to the Act shall be during working hours; and
entitled to appropriate separation pay of one month salary
for every year of service and/or retirement and other
(d) The payment by check is with the written consent of the
benefits accruing to them under existing laws. In lieu
employees concerned if there is no collective agreement
thereof, at the option of the employee, he shall be
authorizing the payment of wages by bank checks.
preferentially considered for employment in the government
or in any of its subdivisions, instrumentalities, or agencies,
including government owned or controlled corporations and SECTION 3. Time of payment. (a) Wages shall be paid
their subsidiaries. not less than once every two (2) weeks or twice a month at
intervals not exceeding sixteen (16) days, unless payment
cannot be made with such regularity due to force majeure or
SECTION 2. Interim Processing of Applications for Exemption
circumstances beyond the employer's control in which case
and Submission of Reports. Pending the operationalization
the employer shall pay the wages immediately after such
of the Commission and Boards, the National Wages Council
force majeure or circumstances have ceased.
shall, in the interim, receive and process applications for
exemption subject to guidelines to be issued by the
Secretary, in accordance with Section 11 of the Act. (b) In case of payment of wages by results involving work
which cannot be finished in two (2) weeks, payment shall be
made at intervals not exceeding sixteen days in proportion
Reports of establishments on their labor component,
to the amount of work completed. Final settlement shall be
including wages and salaries of their workers prescribed
made immediately upon completion of the work.
under the Act, shall be submitted to the National Wages
Council through the Regional Offices of the Department.
SECTION 4. Place of payment. As a general rule, the
place of payment shall be at or near the place of
SECTION 3. Funding Requirement. The funds necessary
undertaking. Payment in a place other than the work place
to carry out the provisions of the Act shall be taken from the
shall be permissible only under the following circumstances:
Compensation and Organization Adjustment Fund, the
Contingent Fund, and other savings under Republic Act No.
6688, otherwise known as the General Appropriations Act of (a) When payment cannot be effected at or near the place
1989, or from any unappropriated funds of the National of work by reason of the deterioration of peace and order
Treasury; Provided, that the funding requirements necessary conditions, or by reason of actual or impending emergencies
to implement the Act shall be included in the annual General caused by fire, flood, epidemic or other calamity rendering
Appropriations Act for the succeeding years. payment thereat impossible;
SECTION 4. Repealing Clause. All laws, orders, issuances, (b) When the employer provides free transportation to the
rules and regulations or parts thereof inconsistent with the employees back and forth; and
provisions of the Act and this Rules are hereby repealed,
amended or modified accordingly. If any provision or part of (c) Under any other analogous circumstances; Provided,
the Act and this Rules, or the application thereof to any That the time spent by the employees in collecting their
person or circumstance is held invalid or unconstitutional, wages shall be considered as compensable hours worked;
the remainder of the Act and these Rules or the application
of such provision or part thereof to other persons or
circumstance shall not be affected thereby. (d) No employer shall pay his employees in any bar, night or
day club, drinking establishment, massage clinic, dance hall,
or other similar places or in places where games are played
SECTION 5. Effectivity. These rules shall take effect on with stakes of money or things representing money except
July 1, 1989. in the case of persons employed in said places.
RULE VIII SECTION 5. Direct payment of wages. Payment of wages

Payment of Wages shall be made direct to the employee entitled thereto except
in the following cases:
SECTION 1. Manner of wage payment. As a general rule,
wages shall be paid in legal tender and the use of tokens, (a) Where the employer is authorized in writing by the
promissory notes, vouchers, coupons, or any other form employee to pay his wages to a member of his family;
alleged to represent legal tender is absolutely prohibited
even when expressly requested by the employee.
(b) Where payment to another person of any part of the
employee's wages is authorized by existing law, including
SECTION 2. Payment by check. Payment of wages by payments for the insurance premiums of the employee and
bank checks, postal checks or money orders is allowed union dues where the right to check-off has been recognized
where such manner of wage payment is customary on the by the employer in accordance with a collective agreement
date of the effectivity of the Code, where it is so stipulated or authorized in writing by the individual employees
in a collective agreement, or where all of the following concerned; or
conditions are met:
(c) In case of death of the employee as provided in the

(a) There is a bank or other facility for encashment within a succeeding Section.
radius of one (1) kilometer from the workplace;

SECTION 6. Wages of deceased employee. The payment declaration of bankruptcy or judicial liquidation of the
of the wages of a deceased employee shall be made to his employer's business shall be given first preference and shall
heirs without the necessity of intestate proceedings. When be paid in full before other creditors may establish any claim
the heirs are of age, they shall execute an affidavit attesting to a share in the assets of the employer.
to their relationship to the deceased and the fact that they
are his heirs to the exclusion of all other persons. In case
SECTION 11. Attorney's fees. Attorney's fees in any
any of the heirs is a minor, such affidavit shall be executed
judicial or administrative proceedings for the recovery of
in his behalf by his natural guardian or next of kin. Upon
wages shall not exceed 10 percent of the amount awarded.
presentation of the affidavit to the employer, he shall make
The fees may be deducted from the total amount due the
payment to the heirs as representative of the Secretary of
winning party.
Labor and Employment.
SECTION 12. Non-interference in disposal of wages. No

SECTION 7. Civil liability of employer and contractors.
employer shall limit or otherwise interfere with the freedom
Every employer or indirect employer shall be jointly and
of any employee to dispose of his wages and no employer
severally liable with his contractor or sub-contractor for the
shall in any manner oblige any of his employees to patronize
unpaid wages of the employees of the latter. Such employer
any store or avail of the services offered by any person.
or indirect employer may require the contractor or sub-
contractor to furnish a bond equal to the cost of labor under
contract on condition that the bond will answer for the SECTION 13. Wages deduction. Deductions from the
wages due the employees should the contractor or wages of the employees may be made by the employer in
subcontractor, as the case may be, fail to pay the same. any of the following cases:
SECTION 8. Job Contracting. There is job contracting (a) When the deductions are authorized by law, including
permissible under the Code if the following conditions are deductions for the insurance premiums advanced by the
met: employer in behalf of the employee as well as union dues
where the right to check-off has been recognized by the
employer or authorized in writing by the individual employee
(a) The contractor carries on an independent business and
himself.
undertakes the contract work on his own account under his
own responsibility according to his own manner and method,
free from the control and direction of his employer or (b) When the deductions are with the written authorization
principal in all matters connected with the performance of of the employees for payment to the third person and the
the work except as to the results thereof; and employer agrees to do so; Provided, That the latter does not
receive any pecuniary benefit, directly or indirectly, from the
transaction.
(b) The contractor has substantial capital or investment in
the form of tools, equipment, machineries, work premises,
and other materials which are necessary in the conduct of SECTION 14. Deduction for loss or damage. Where the
his business. employer is engaged in a trade, occupation or business
where the practice of making deductions or requiring
deposits is recognized to answer for the reimbursement of
SECTION 9. Labor-only contracting. (a) Any person who
loss or damage to tools, materials, or equipment supplied by
undertakes to supply workers to an employer shall be
the employer to the employee, the employer may make
deemed to be engaged in labor-only contracting where such
wage deductions or require the employees to make deposits
person:
from which deductions shall be made, subject to the
following conditions:
(1) Does not have substantial capital or investment in the
form of tools, equipment, machineries, work premises and
(a) That the employee concerned is clearly shown to be
other materials; and
responsible for the loss or damage;
(2) The workers recruited and placed by such person are

(b) That the employee is given reasonable opportunity to
performing activities which are directly related to the
show cause why deduction should not be made;
principal business or operations of the employer in which
workers are habitually employed.
(c) That the amount of such deduction is fair and reasonable
and shall not exceed the actual loss or damage; and
(b) Labor-only contracting as defined herein is hereby
prohibited and the person acting as contractor shall be
considered merely as an agent or intermediary of the (d) That the deduction from the wages of the employee
employer who shall be responsible to the workers in the does not exceed 20 percent of the employee's wages in a
same manner and extent as if the latter were directly week.
employed by him.
(c) For cases not falling under this Rule, the Secretary of 1. Minimum Wage, Art. 99; Consti., Art. XIII, Sec. 3
Labor and Employment shall determine through appropriate
orders whether or not the contracting out of labor is MINIMUM WAGE RATES
permissible in the light of the circumstances of each case
and after considering the operating needs of the employer ART. 99. Regional minimum wages. - The minimum wage
and the rights of the workers involved. In such case, he may rates for agricultural and non-agricultural employees and
prescribe conditions and restrictions to insure the protection workers in each and every region of the country shall be
and welfare of the workers. those prescribed by the Regional Tripartite Wages and
Productivity Boards. (As amended by Section 3, Republic Act
No. 6727, June 9, 1989).
SECTION 10. Payment of wages in case of bankruptcy.
Unpaid wages earned by the employees before the

Art XIII, Section 3. The State shall afford full protection to

labor, local and overseas, organized and unorganized, and
promote full employment and equality of employment
opportunities for all.
It shall guarantee the rights of all workers to self-

organization, collective bargaining and negotiations, and
peaceful concerted activities, including the right to strike in
accordance with law. They shall be entitled to security of
b. Rules
tenure, humane conditions of work, and a living wage. They
shall also participate in policy and decision-making processes
1) Definition
affecting their rights and benefits as may be provided by
law.
Chavez v. NLRC, supra
The State shall promote the principle of shared responsibility 2) No Work, No Pay (A fair days wage for a fair days
between workers and employers and the preferential use of labor)
voluntary modes in settling disputes, including conciliation,
and shall enforce their mutual compliance therewith to foster
industrial peace. Aklan Electric Corp., Inc. v. NLRC,
323 SCRA 259 (2000)
The State shall regulate the relations between workers and
employers, recognizing the right of labor to its just share in
the fruits of production and the right of enterprises to
reasonable returns to investments, and to expansion and
growth.
a. Coverage, Arts. 97 (b) (c) (e), 98
ART. 97. Definitions. - As used in this Title:
(b) "Employer" includes any person acting directly or

indirectly in the interest of an employer in relation to an
employee and shall include the government and all its
branches, subdivisions and instrumentalities, all
government-owned or controlled corporations and
institutions, as well as non-profit private institutions, or
organizations.
(c) "Employee" includes any individual employed by an

employer.
3) Equal Pay for Work of Equal Value
e) "Employ" includes to suffer or permit to work. International School Alliance of

Educators v. Quisumbing, supra
ART. 98. Application of Title. - This Title shall not apply to
farm tenancy or leasehold, domestic service and persons
working in their respective homes in needle work or in any
cottage industry duly registered in accordance with law.
Bankard Employers Union v. NLRC,
423 SCRA 148 (2004)
Philippine Fisheries Development
Authority v. NLRC, 213 SCRA 621 (1992)

2) Facilities and Supplements/Allowances

4) Form: Agreement for Compensation of
Services Millares v. NLRC & PICOP, 305
SCRA 500 (1999)
Arms Taxi v. NLRC, 219 SCRA 306
(1993)
c. Minimum Wage
1) Determination of Compliance with Minimum Wage

3) Cash Wage/Commission
Iran v. NLRC, 289 SCRA 433
(1998) Songco v. NLRC, 183 SCRA 610
(1990)

4) Gratuity and Salary/Wages, Difference
Plastic Town Center corp. v.

NLRC, 172 SCRA 580
Boie Takeda v. De la Serna, 228 (1989)
SCRA 329 (1993)
Philippine Duplicators v. NLRC, 241

SCRA 380 (1995)
5) Effect on Benefits
Davao Fruits Corporation v.

Associated Labor Union, 225 SCRA 562 (1993)

into Presidential Decree No. 442, as amended, to

read as follows:
"Art. 99. Regional Minimum Wages. - The minimum

wage rates for agricultural and non-agricultural
employees and workers in each and every region of
the country shall be those prescribed by the Regional
Tripartite Wages and Productivity Boards."
2. Wage Fixing Machinery

"Art. 120. Creation of the National Wages and
Productivity Commission. - There is hereby created a
Reference: Wage Rationalization Act (RA 6727);
Art. 120-127; Omnibus Rules, Book III, Rule IX National Wages and Productivity Commission,
hereinafter referred to as the Commission, which shall
Republic of the Philippines be attached to the Department of Labor and
Congress of the Philippines Employment (DOLE) for policy and program
Metro Manila coordination."
Second Regular Session
Begun and held in Metro Manila, on Monday, the "Art. 121. Powers and Functions of the
twenty- Commission. - The Commission shall have the
fifth day of July, nineteen hundred and eighty-eight following powers and functions:
[REPUBLIC ACT NO. 6727] (a) To act as the national consultative and advisory
body to the President of the Philippines and Congress
AN ACT TO RATIONALIZE WAGE POLICY on matters relating to wages, incomes and
DETERMINATION BY ESTABLISHING THE productivity;
MECHANISM AND PROPER STANDARDS
THEREFOR, AMENDING FOR THE PURPOSE (b) To formulate policies and guidelines on wages,
ARTICLE 99 OF, AND INCORPORATING ARTICLES incomes and productivity improvement at the
120, 121, 122, 123, 124, 126 AND 127 INTO, enterprise, industry and national levels;
PRESIDENTIAL DECREE NO. 442, AS AMENDED,
OTHERWISE KNOWN AS THE LABOR CODE OF
THE PHILIPPINES, FIXING NEW WAGE RATES, (c) To prescribe rules and guidelines for the
PROVIDING WAGE INCENTIVES FOR INDUSTRIAL determination of appropriate minimum wage and
DISPERSAL TO THE COUNTRYSIDE, AND FOR productivity measures at the regional, provincial or
OTHER PURPOSES industry levels;
Be it enacted by the Senate and House of (d) To review regional wage levels set by the Regional
Representatives of the Philippines in Congress Tripartite Wages and Productivity Boards to determine
assembled: if these are in accordance with prescribed guidelines
and national development plans;
Sec. 1. This Act shall be known as the "Wage
Rationalization Act." (e) To undertake studies, researches and surveys
necessary for the attainment of its functions and
objectives, and to collect and compile data and
Sec. 2. It is hereby declared the policy of the State periodically disseminate information on wages and
to rationalize the fixing of minimum wages and to productivity and other related information, including,
promote productivity-improvement and gain-sharing but not limited to, employment, cost-of-living, labor
measures to ensure a decent standard of living for the costs, investments and returns;
workers and their families; to guarantee the rights of
labor to its just share in the fruits of production; to
enhance employment generation in the countryside (f) To review plans and programs of the Regional
through industry dispersal; and to allow business and Tripartite Wages and Productivity Boards to determine
industry reasonable returns on investment, expansion whether these are consistent with national
and growth. development plans;
The State shall promote collective bargaining as (g) To exercise technical and administrative
the primary mode of setting wages and other terms supervision over the Regional Tripartite Wages and
and conditions of employment; and, whenever Productivity Boards;
necessary, the minimum wage rates shall be adjusted
in a fair and equitable manner, considering existing (h) To call, from time to time, a national tripartite
regional disparities in the cost of living and other conference of representatives of government, workers
socio-economic factors and the national economic and employers for the consideration of measures to
and social development plans. promote wage rationalization and productivity; and
Sec. 3. In line with the declared policy under this (i) To exercise such powers and functions as may be
Act, Article 99 of Presidential Decree No. 442, as necessary to implement this Act.
amended, is hereby amended and Articles 120, 121,
122, 123, 124, 126 and 127 are hereby incorporated
"The Commission shall be composed of the (e) To receive, process and act on applications for
Secretary of Labor and Employment as ex-officio exemption from prescribed wage rates as may be
chairman, the Director-General of the National provided by law or any Wage Order; and
Economic and Development Authority (NEDA) as ex-
officio vice-chairman, and two (2) members each from (f) To exercise such other powers and functions as
workers and employers sectors who shall be may be necessary to carry out their mandate under
appointed by the President of the Philippines upon this Code.
recommendation of the Secretary of Labor and
Employment to be made on the basis of the list of
nominees submitted by the workers and employers "Implementation of the plans, programs and
sectors, respectively, and who shall serve for a term projects of the Regional Boards referred to in the
of five (5) years. The Executive Director of the second paragraph, letter (a) of this Article, shall be
Commission Secretariat shall also be a member of through the respective regional offices of the
the Commission." Department of Labor and Employment within their
territorial jurisdiction; Provided, however, That the
Regional Boards shall have technical supervision over
"The Commission shall be assisted by a Secretariat the regional office of the Department of Labor and
to be headed by an Executive Director and two (2) Employment with respect to the implementation of
Deputy Directors, who shall be appointed by the said plans, programs and projects.
President of the Philippines, upon recommendation of
the Secretary of Labor and Employment."
"Each Regional Board shall be composed of the
Regional Director of the Department of Labor and
"The Executive Director shall have the same rank, Employment as chairman, the Regional Directors of
salary, benefits and other emoluments as that of a the National Economic and Development Authority
Department Assistant Secretary, while the Deputy and Department of Trade and Industry as vice-
Directors shall have the same rank, salary, benefits chairmen and two (2) members each from workers
and other emoluments as that of a Bureau Director. and employers sectors who shall be appointed by the
The members of the Commission representing labor President of the Philippines, upon recommendation of
and management shall have the same rank, the Secretary of Labor and Employment, to be made
emoluments, allowances and other benefits as those on the basis of the list of nominees submitted by the
prescribed by law for labor and management workers and employers sectors, respectively, and who
representatives in the Employees' Compensation shall serve for a term of five (5) years.
Commission."
"Each Regional Board to be headed by its chairman
"Art. 122. Creation of Regional Tripartite Wages shall be assisted by a Secretariat."
and Productivity Boards. - There is hereby created
Regional Tripartite Wages and Productivity Boards,
hereinafter referred to as Regional Boards, in all "Art. 123. Wage Order. - Whenever conditions in
regions, including autonomous regions as may be the region so warrant, the Regional Board shall
established by law. The Commission shall determine investigate and study all pertinent facts; and, based
the offices/headquarters of the respective Regional on the standards and criteria herein prescribed, shall
Boards. proceed to determine whether a Wage Order should
be issued.
"The Regional Boards shall have the following
powers and functions in their respective territorial Any such Wage Order shall take effect after fifteen
jurisdiction: (15) days from its complete publication in at least one
(l) newspaper of general circulation in the region.
(a) To develop plans, programs and projects relative
to wages, incomes and productivity improvement for "In the performance of its wage-determining
their respective regions; functions, the Regional Board shall conduct public
hearings/consultations, giving notices to employees'
and employers' groups, provincial, city and municipal
(b) To determine and fix minimum wage rates officials and other interested parties.
applicable in their region, provinces or industries
therein and to issue the corresponding wage orders,
subject to guidelines issued by the Commission; "Any party aggrieved by the Wage Order issued by
the Regional Board may appeal such order to the
Commission within ten (l0) calendar days from the
(c) To undertake studies, researches, and surveys publication of such order. It shall be mandatory for the
necessary for the attainment of their functions, Commission to decide such appeal within sixty (60)
objectives and programs, and to collect and compile calendar days from the filing thereof.
data on wages, incomes, productivity and other
related information and periodically disseminate the
same; "The filing of the appeal does not operate to stay
the order unless the person appealing such order
shall file with the Commission an undertaking with a
(d) To coordinate with the other Regional Boards as surety or sureties satisfactory to the Commission for
may be necessary to attain the policy and intention of the payment to the employees affected by the order of
this Code; the corresponding increase, in the event such order is
affirmed."

"Art. 124. Standards/Criteria for Minimum Wage dispute shall be decided by the voluntary arbitrator or
Fixing. The regional minimum wages to be panel of voluntary arbitrators within ten (10) calendar
established by the Regional Board shall be as nearly days from the time said dispute was referred to
adequate as is economically feasible to maintain the voluntary arbitration.
minimum standards of living necessary for the health,
efficiency and general well-being of the employees "In cases where there are no collective agreements
within the framework of the national economic and or recognized labor unions, the employers and
social development program. In the determination of workers shall endeavor to correct such distortions.
such regional minimum wages, the Regional Board Any dispute arising therefrom shall be settled through
shall, among other relevant factors, consider the the National Conciliation and Mediation Board and, if
following: it remains unresolved after ten (10) calendar days of
conciliation, shall be referred to the appropriate
(a) The demand for living wages; branch of the National Labor Relations Commission
(NLRC). It shall be mandatory for the NLRC to
(b) Wage adjustment vis--vis the consumer price conduct continuous hearings and decide the dispute
index; within twenty (20) calendar days from the time said
dispute is submitted for compulsory arbitration.
(c) The cost of living and changes or increases
therein; "The pendency of a dispute arising from a wage
distortion shall not in any way delay the applicability of
(d) The needs of workers and their families; any increase in prescribed wage rates pursuant to the
provisions of law or Wage Order.
(e) The need to induce industries to invest in the
countryside;
"As used, herein, a wage distortion shall mean a
(f) Improvements in standards of living; situation where an increase in prescribed wage rates
results in the elimination or severe contraction of
(g) The prevailing wage levels; intentional quantitative differences in wage or salary
rates between and among employee groups in an
(h) Fair return of the capital invested and capacity to establishment as to effectively obliterate the
pay of employers; distinctions embodied in such wage structure based
on skills, length of service, or other logical bases of
(i) Effects on employment generation and family differentiation.
income; and
"All workers paid by result, including those who are
(j) The equitable distribution of income and wealth paid on piecework, takay, pakyaw or task basis, shall
along the imperatives of economic and social receive not less than the prescribed wage rates per
development. eight (8) hours work a day, or a proportion thereof for
working less than eight (8) hours.
"The wages prescribed in accordance with the
provisions of this Title shall be the standard prevailing "All recognized learnership and apprenticeship
minimum wages in every region. These wages shall agreements shall be considered automatically
include wages varying with industries, provinces or modified insofar as their wage clauses are concerned
localities if in the judgment of the Regional Board to reflect the prescribed wage rates."
conditions make such local differentiation proper and
necessary to effectuate the purpose of this Title. "Art. 126. Prohibition Against Injunction. - No
preliminary or permanent injunction or temporary
"Any person, company, corporation, partnership or restraining order may be issued by any court, tribunal
any other entity engaged in business shall file and or other entity against any proceedings before the
register annually with the appropriate Regional Board, Commission or the Regional Boards."
Commission and the National Statistics Office an
itemized listing of their labor component, specifying "Art. 127. Non-Diminution of Benefits. - No Wage
the names of their workers and employees below the Order issued by any Regional Board shall provide for
managerial level, including learners, apprentices and wage rates lower than the statutory minimum wage
disabled/handicapped workers who were hired under rates prescribed by Congress."
the terms prescribed in the employment contracts,
and their corresponding salaries and wages.
Sec. 4. (a) Upon the effectivity of this Act, the
statutory minimum wage rates of all workers and
"Where the application of any prescribed wage employees in the private sector, whether agricultural
increase by virtue of a law or Wage Order issued by or non-agricultural, shall be increased by twenty-five
any Regional Board results in distortions of the wage pesos (P25.00) per day, except that workers and
structure within an establishment, the employer and employees in plantation agricultural enterprises
the union shall negotiate to correct the distortions. outside of the National Capital Region (NCR) with an
Any dispute arising from wage distortions shall be annual gross sales of less than five million pesos
resolved through the grievance procedure under their (P5,000,000.00) in the preceding year shall be paid
collective bargaining agreement and, if it remains an increase of twenty pesos (P20.00), and except
unresolved, through voluntary arbitration. Unless further that workers and employees of
otherwise agreed by the parties in writing, such cottage/handicraft industries, non-plantation
agricultural enterprises, retail/service establishments Where the application of the increases in the wage
regularly employing not more than ten (10) workers, rate under this Section results in distortions as
and business enterprises with a capitalization of not defined under existing laws in the wage structure
more than five hundred thousand pesos within an establishment and gives rise to a dispute
(P500,000.00) and employing not more than twenty therein, such dispute shall first be settled voluntarily
(20) employees, which are located or operating between the parties and in the event of a deadlock,
outside the NCR, shall be paid only an increase of the same shall be finally resolved through compulsory
fifteen pesos (P15.00): Provided, That those already arbitration by the regional arbitration branch of the
receiving above the minimum wage rates up to one National Labor Relations Commission (NLRC) having
hundred pesos (P100.00) shall also receive an jurisdiction over the workplace.
increase of twenty-five pesos (P25.00) per day, and
except that the workers and employees mentioned in It shall be mandatory for the NLRC to conduct
the first exception clause of this section shall also be continuous hearings and decide any dispute arising
paid only an increase of twenty-pesos (P20.00), and under this Section within twenty(20) calendar days
except further that those employees enumerated in from the time said dispute is formally submitted to it
the second exception clause of this Section shall also for arbitration. The pendency of a dispute arising from
be paid only an increase of fifteen pesos (P15.00): a wage distortion shall not in any way delay the
Provide, further, That the appropriate Regional Board applicability of the increases in the wage rates
is hereby authorized to grant additional increases to prescribed under this Section.
the workers and employees mentioned in the
exception clauses of this Section if, on the basis of its
determination pursuant to Article 124 of the Labor Sec. 5. Within a period of four (4) years from the
Code such increases are necessary. effectivity of this Act and without prejudice to
collective bargaining negotiations or agreements or
other employment contracts between employers and
(b) The increase of twenty-five pesos (P25.00) workers, new business enterprises that may be
prescribed under this Section shall apply to all established outside the NCR and export processing
workers and employees entitled to the same in private zones whose operation or investments need initial
educational institutions as soon as they have assistance as may be determined by the Department
increased or are granted authority to increase their of Labor and Employment in consultation with the
tuition fees during school year 1989-1990. Otherwise, Department of Trade and Industry or the Department
such increase shall be so applicable not later than the of Agriculture, as the case may be shall be exempt
opening of the next school year beginning 1990. from the application of this Act for not more than three
(3) years from the start of their operations: Provided,
(c) Exempted from the provisions of this Act are That such new business enterprises established in
household or domestic helpers and persons Region III (Central Luzon) and Region IV (Southern
employed in the personal service of another, including Tagalog) shall be exempt from such increases only for
family drivers. two (2) years from the start of their operations, except
those established in the Provinces of Palawan,
Retail/service establishments regularly employing Oriental Mindoro, Occidental Mindoro, Marinduque,
not more than ten (10) workers may be exempted Romblon, Quezon and Aurora, which shall enjoy such
from the applicability of this Act upon application with exemption for not more than three (3) years from the
and as determined by the appropriate Regional Board start of their operations.
in accordance with the applicable rules and
regulations issued by the Commission. Whenever an Sec. 6. In the case of contracts for construction
application for exemption has been duly filed with the projects and for security, janitorial and similar
appropriate Regional Board, action on any complaint services, the prescribed increases in the wage rates
for alleged non-compliance with this Act shall be of the workers shall be borne by the principals or
deferred pending resolution of the application for clients of the construction/service contractors and the
exemption by the appropriate Regional Board. contract shall be deemed amended accordingly. In the
event, however, that the principal or client fails to pay
In the event that applications for exemptions are the prescribed wage rates, the construction/service
not granted, employees shall receive the appropriate contractor shall be jointly and severally liable with his
compensation due them as provided for by this Act principal or client.
plus interest of one percent (1%) per month
retroactive to the effectivity of this Act. Sec. 7. Upon written petition of the majority of the
employees or workers concerned, all private
(d) If expressly provided for and agreed upon in the establishments, companies, businesses, and other
collective bargaining agreements, all increases in the entities with twenty five (25) or more employees and
daily basic wage rates granted by the employers three located within one (1) kilometer radius to a
(3) months before the effectivity of this Act shall be commercial, savings or rural bank shall pay the
credited as compliance with the increases in the wage wages and other benefits of their employees through
rates prescribed herein, provided that, where such any of said banks and within the period for payment of
increases are less than the prescribed increases in wages fixed by Presidential Decree No. 442, as
the wage rates under this Act, the employer shall pay amended, otherwise known as the Labor Code of the
the difference. Such increases shall not include Philippines.
anniversary wage increases, merit wage increases
and those resulting from the regularization or Sec. 8. Whenever applicable and upon request of a
promotion of employees. concerned worker or union, the bank shall issue a
certification of the record of payment of wages of a convicted under this Act shall not be entitled to the
particular worker or workers for a particular payroll benefits provided for under the Probation Law.
period.
If the violation is committed by a corporation, trust
Sec. 9. The Department of Labor and Employment or firm, partnership, association or any other entity,
shall conduct inspections as often as possible within the penalty of imprisonment shall be imposed upon
its manpower constraint of the payroll and other the entity's responsible officers, including, but not
financial records kept by the company or business to limited to, the president, vice president, chief
determine whether the workers are paid the executive officer, general manager, managing director
prescribed wage rates and other benefits granted by or partner.
law or any Wage Order. In unionized companies, the
Department of Labor and Employment inspectors Sec. 13. The Secretary of Labor and Employment
shall always be accompanied by the president or any shall promulgate the necessary rules and regulations
responsible officer of the recognized bargaining unit to implement the provisions of this Act.
of any interested union in the conduct of the
inspection. In non-unionized companies,
establishments or businesses, the inspection shall be Sec. 14. All laws, orders, issuances, rules and
carried out in the presence of a worker representing regulations or parts thereof inconsistent with the
the workers in the said company. The workers' provisions of this Act are hereby repealed, amended
representative shall have the right to submit his own or modified accordingly. In any provision or part of this
findings to the Department of Labor and Employment Act, or the application thereof to any person or
and to testify on the same if he cannot concur with the circumstance, is held invalid or unconstitutional, the
findings of the labor inspector. remainder of this Act or the application of such
provision or part thereof to other persons or
circumstances shall not be affected thereby.
Sec. 10. The funds necessary to carry out the
provisions of this Act shall be taken from the
Compensation and Organizational Adjustment Fund, Nothing in this Act shall be construed to reduce any
the Contingent Fund, and other savings under existing wage rates, allowances and benefits of any
Republic Act No. 6688, otherwise known as the form under existing laws, decrees, issuances,
General Appropriations Act of 1989, or from any executive orders, and/or under any contract or
unappropriated funds of the National Treasury: agreement between the workers and employers.
Provided, That the funding requirements necessary to
implement this Act shall be included in the annual Sec. 15. This Act shall take effect fifteen (15) days
General Appropriations Act for the succeeding years. after its complete publication in the Official Gazette or
in at least two (2) national newspapers of general
Sec. 11. The National Wages Council created circulation, whichever comes earlier.
under Executive Order No. 614 and the National
Productivity Commission created under Executive
Order No. 615 are hereby abolished. All properties,
WAGE STUDIES, WAGE
records, equipment, buildings, facilities, and other AGREEMENTS
assets, liabilities and appropriations of and belonging
to the abovementioned offices, as well as other
AND WAGE DETERMINATION
ART. 120. Creation of National Wages and Productivity
matters pending therein, shall be transferred to the
Commission. - There is hereby created a National Wages
Commission. All personnel of the above abolished and Productivity Commission, hereinafter referred to as the
offices shall continue to function in a holdover Commission, which shall be attached to the Department of
capacity and shall be preferentially considered for Labor and Employment (DOLE) for policy and program
appointments to or placement in the Commission. coordination. (As amended by Republic Act No. 6727, June
9, 1989).
Any official or employee separated from the service
as a result of the abolition of offices pursuant to this ART. 121. Powers and functions of the Commission. - The
Act shall be entitled to appropriate separation pay and Commission shall have the following powers and functions:
retirement and other benefits accruing to them under
existing laws. In lieu thereof, at the option of the (a) To act as the national consultative and advisory body to
employee, he shall be preferentially considered for the President of the Philippines and Congress on matters
employment in the government or in any of its relating to wages, incomes and productivity;
subdivisions, instrumentalities, or agencies, including
government-owned or controlled corporations and (b) To formulate policies and guidelines on wages, incomes
their subsidiaries. and productivity improvement at the enterprise, industry and
national levels;
Sec. 12. Any person, corporation, trust, firm,
partnership, association or entity which refuses or (c) To prescribe rules and guidelines for the determination of
fails to pay any of the prescribed increases or appropriate minimum wage and productivity measures at the
adjustments in the wage rates made in accordance regional, provincial, or industry levels;
with this Act shall be punished by a fine not exceeding
twenty-five thousand pesos (P25,000.00) and/or (d) To review regional wage levels set by the Regional
imprisonment of not less than one (1) year nor more Tripartite Wages and Productivity Boards to determine if
than two (2) years: Provided, That any person these are in accordance with prescribed guidelines and
national development plans;
(e) To undertake studies, researches and surveys necessary corresponding wage orders, subject to guidelines issued by
for the attainment of its functions and objectives, and to the Commission;
collect and compile data and periodically disseminate
information on wages and productivity and other related
(c) To undertake studies, researches, and surveys necessary
information, including, but not limited to, employment, cost-
for the attainment of their functions, objectives and
of-living, labor costs, investments and returns;
programs, and to collect and compile data on wages,
incomes, productivity and other related information and
(f) To review plans and programs of the Regional Tripartite periodically disseminate the same;
Wages and Productivity Boards to determine whether these
are consistent with national development plans;
(d) To coordinate with the other Regional Boards as may be
necessary to attain the policy and intention of this Code;
(g) To exercise technical and administrative supervision over
the Regional Tripartite Wages and Productivity Boards;chan
(e) To receive, process and act on applications for
robles virtual law library
exemption from prescribed wage rates as may be provided
by law or any Wage Order; and
(h) To call, from time to time, a national tripartite
conference of representatives of government, workers and
(f) To exercise such other powers and functions as may be
employers for the consideration of measures to promote
necessary to carry out their mandate under this Code.
wage rationalization and productivity; and
Implementation of the plans, programs, and projects of the

(i) To exercise such powers and functions as may be
Regional Boards referred to in the second paragraph, letter
necessary to implement this Act.
(a) of this Article, shall be through the respective regional
offices of the Department of Labor and Employment within
The Commission shall be composed of the Secretary of their territorial jurisdiction; Provided, however, That the
Labor and Employment as ex-officio chairman, the Director- Regional Boards shall have technical supervision over the
General of the National Economic and Development regional office of the Department of Labor and Employment
Authority (NEDA) as ex-officio vice-chairman, and two (2) with respect to the implementation of said plans, programs
members each from workers and employers sectors who and projects.
shall be appointed by the President of the Philippines upon
recommendation of the Secretary of Labor and Employment
Each Regional Board shall be composed of the Regional
to be made on the basis of the list of nominees submitted by
Director of the Department of Labor and Employment as
the workers and employers sectors, respectively, and who
chairman, the Regional Directors of the National Economic
shall serve for a term of five (5) years. The Executive
and Development Authority and the Department of Trade
Director of the Commission shall also be a member of the
and Industry as vice-chairmen and two (2) members each
Commission.
from workers and employers sectors who shall be
appointed by the President of the Philippines, upon the
The Commission shall be assisted by a Secretariat to be recommendation of the Secretary of Labor and Employment,
headed by an Executive Director and two (2) Deputy to be made on the basis of the list of nominees submitted by
Directors, who shall be appointed by the President of the the workers and employers sectors, respectively, and who
Philippines, upon the recommendation of the Secretary of shall serve for a term of five (5) years.
Each Regional Board to be headed by its chairman shall be
The Executive Director shall have the same rank, salary, assisted by a Secretariat. (As amended by Republic Act No.
benefits and other emoluments as that of a Department 6727, June 9, 1989).
Assistant Secretary, while the Deputy Directors shall have
the same rank, salary, benefits and other emoluments as
ART. 123. Wage Order. - Whenever conditions in the region
that of a Bureau Director. The members of the Commission
so warrant, the Regional Board shall investigate and study
representing labor and management shall have the same
all pertinent facts; and based on the standards and criteria
rank, emoluments, allowances and other benefits as those
herein prescribed, shall proceed to determine whether a
prescribed by law for labor and management representatives
Wage Order should be issued. Any such Wage Order shall
in the Employees Compensation Commission. (As amended
take effect after fifteen (15) days from its complete
by Republic Act No. 6727, June 9, 1989).
publication in at least one (1) newspaper of general
circulation in the region.
ART. 122. Creation of Regional Tripartite Wages and
Productivity Boards. - There is hereby created Regional
In the performance of its wage-determining functions, the
Tripartite Wages and Productivity Boards, hereinafter
Regional Board shall conduct public hearings/consultations,
referred to as Regional Boards, in all regions, including
giving notices to employees and employers groups,
autonomous regions as may be established by law. The
provincial, city and municipal officials and other interested
Commission shall determine the offices/headquarters of the
parties.
respective Regional Boards.
Any party aggrieved by the Wage Order issued by the

The Regional Boards shall have the following powers and
Regional Board may appeal such order to the Commission
functions in their respective territorial jurisdictions:
within ten (10) calendar days from the publication of such
order. It shall be mandatory for the Commission to decide
(a) To develop plans, programs and projects relative to such appeal within sixty (60) calendar days from the filing
wages, incomes and productivity improvement for their thereof.
respective regions;
The filing of the appeal does not stay the order unless the
(b) To determine and fix minimum wage rates applicable in person appealing such order shall file with the Commission,
their regions, provinces or industries therein and to issue the an undertaking with a surety or sureties satisfactory to the
Commission for the payment to the employees affected by dispute shall be decided by the voluntary arbitrators within
the order of the corresponding increase, in the event such ten (10) calendar days from the time said dispute was
order is affirmed. (As amended by Republic Act No. 6727, referred to voluntary arbitration.
June 9, 1989).
In cases where there are no collective agreements or
ART. 124. Standards/Criteria for minimum wage fixing. - The recognized labor unions, the employers and workers shall
regional minimum wages to be established by the Regional endeavor to correct such distortions. Any dispute arising
Board shall be as nearly adequate as is economically feasible therefrom shall be settled through the National Conciliation
to maintain the minimum standards of living necessary for and Mediation Board and, if it remains unresolved after ten
the health, efficiency and general well-being of the (10) calendar days of conciliation, shall be referred to the
employees within the framework of the national economic appropriate branch of the National Labor Relations
and social development program. In the determination of Commission (NLRC). It shall be mandatory for the NLRC to
such regional minimum wages, the Regional Board shall, conduct continuous hearings and decide the dispute within
among other relevant factors, consider the following: twenty (20) calendar days from the time said dispute is
submitted for compulsory arbitration.
(a) The demand for living wages; The pendency of a dispute arising from a wage distortion
shall not in any way delay the applicability of any increase in
prescribed wage rates pursuant to the provisions of law or
(b) Wage adjustment vis--vis the consumer price index;
wage order.
(c) The cost of living and changes or increases therein;

As used herein, a wage distortion shall mean a situation
where an increase in prescribed wage rates results in the
(d) The needs of workers and their families; elimination or severe contraction of intentional quantitative
differences in wage or salary rates between and among
(e) The need to induce industries to invest in the employee groups in an establishment as to effectively
countryside; obliterate the distinctions embodied in such wage structure
based on skills, length of service, or other logical bases of
differentiation.
(f) Improvements in standards of living;
All workers paid by result, including those who are paid on
(g) The prevailing wage levels; piecework, takay, pakyaw or task basis, shall receive not less
than the prescribed wage rates per eight (8) hours of work a
(h) Fair return of the capital invested and capacity to pay of day, or a proportion thereof for working less than eight (8)
employers; hours.
(i) Effects on employment generation and family income; All recognized learnership and apprenticeship agreements
and shall be considered automatically modified insofar as their
wage clauses are concerned to reflect the prescribed wage
rates. (As amended by Republic Act No. 6727, June 9,
(j) The equitable distribution of income and wealth along the 1989).
imperatives of economic and social development.
ART. 125. Freedom to bargain. - No wage order shall be

construed to prevent workers in particular firms or
enterprises or industries from bargaining for higher wages
The wages prescribed in accordance with the provisions of with their respective employers. (As amended by Republic
this Title shall be the standard prevailing minimum wages in Act No. 6727, June 9, 1989).
every region. These wages shall include wages varying with
industries, provinces or localities if in the judgment of the ART. 126. Prohibition against injunction. No preliminary or
Regional Board, conditions make such local differentiation permanent injunction or temporary restraining order may be
proper and necessary to effectuate the purpose of this Title. issued by any court, tribunal or other entity against any
proceedings before the Commission or the Regional Boards.
Any person, company, corporation, partnership or any other (As amended by Republic Act No. 6727, June 9, 1989).
entity engaged in business shall file and register annually
with the appropriate Regional Board, Commission and the ART. 127. Non-diminution of benefits. - No wage order
National Statistics Office, an itemized listing of their labor issued by any regional board shall provide for wage rates
component, specifying the names of their workers and lower than the statutory minimum wage rates prescribed by
employees below the managerial level, including learners, Congress. (As amended by Republic Act No. 6727, June 9,
apprentices and disabled/handicapped workers who were 1989).
hired under the terms prescribed in the employment
contracts, and their corresponding salaries and wages.
RULE IX
Wage Studies and Determination
Where the application of any prescribed wage increase by
virtue of a law or wage order issued by any Regional Board
results in distortions of the wage structure within an SECTION 1. Definition of terms. (a) "Industry" shall mean
establishment, the employer and the union shall negotiate to any identifiable group of productive units or enterprises,
correct the distortions. Any dispute arising from wage whether operated for profit or not, engaged in similar or
distortions shall be resolved through the grievance allied economic activities in which individuals are gainfully
procedure under their collective bargaining agreement and, employed.
if it remains unresolved, through voluntary arbitration.
Unless otherwise agreed by the parties in writing, such
(b) A "branch" of an industry is a work, product or service the date, time and place of the hearings. A notice thereof to
grouping thereof which can be considered a distinct division all sectors of the industry shall be given in the most
for wage-fixing purposes. expeditious manner. It may have prior consultations with
labor and management leaders in the industry for the above
purpose.
(c) "Substantial number" shall mean such an appreciable
number of employees in an industry as, in the Commission's
opinion, considering all relevant facts, may require action SECTION 9. Unsolicited testimony. Persons who offer to
under Art. 121 of the Code to effectuate the purposes of testify before the Commission shall be heard only after the
wage determination, regardless of the proportion of such Commission is satisfied, upon brief preliminary examination,
employees to the total number of employees in the industry. that they are in possession of facts relevant to the subject of
inquiry. The Chairman, or in other cases, the person
conducting the hearing, shall revise the schedule of hearings
SECTION 2. Wage studies. The National Wages Council
whenever necessary to achieve logical sequence of
shall conduct a continuing study of wage rates and other
testimony.
economic conditions in all industries, agricultural and non-
agricultural. The results of such study shall be periodically
disseminated to the government, labor and management SECTION 10. Compulsory processes. Recourse to
sectors for their information and guidance. compulsory processes under the Revised Administrative
Code to ensure the attendance of witnesses and/or the
production of relevant documentary evidence shall be used
SECTION 3. Wages recommendation. If after such study,
only on occasions of extreme importance and after other
the Commission is of the opinion that a substantial number
means shall have failed, subject to the approval of the
of employees in any given industry or branch thereof are
Secretary of Labor and Employment.
receiving wages, which although complying with the
minimum provided by law, are less than sufficient to
maintain them in health, efficiency and general well-being, SECTION 11. Hearings; where, by whom conducted.
taking into account, among others, the peculiar Commission hearings may be conducted by the Commission
circumstances of the industry and its geographical location, en banc, or, when authorized by the Commission, by any
the Commission shall, with the approval of the Secretary of member or hearing officer designated by the Chairman. The
Labor and Employment, proceed to determine whether a hearings may be held wherever the industry or branches
wage recommendation should be issued. thereof are situated; otherwise they shall be held in the
Greater Manila Area. The hearings shall be open to the
public.
SECTION 4. Criteria for wage fixing. (a) In addition to the
criteria established by Art. 123 of the Code for minimum
wage fixing, the Commission shall consider, among other SECTION 12. Hearings before single member or hearing
factors, social services and benefits given free to workers officer. Hearings conducted by a duly authorized member
and the possible effect of a given increase in the minimum or hearing officer shall be considered as hearings before the
wage on prices, money supply, employment, labor mobility Commission. The records of such hearings shall be
and productivity, labor organization efficacy, domestic and submitted to the Commission as soon as they are completed,
foreign trade, and other relevant indicators of social and indicating the time and place of the hearings and the
economic development. appearances thereat, together with a brief statement of the
findings and recommendations of the member or hearing
officer concerned.
(b) Where a fair return to capital invested cannot be
reasonably determined, or where the industry concerned is
not operated for profit, its capacity to pay, taking into SECTION 13. Testimony under oath. The testimony of all
account all resources available to it, shall be considered. witnesses shall be made under oath or affirmation and shall
be taken down and transcribed by a duly appointed
stenographic reporter.
SECTION 5. Quorum. Three (3) members of the
Commission, including its Chairman, shall constitute a
quorum to transact the Commission's business. SECTION 14. Non-applicability of technical rules. The
technical rules of evidence applied by the courts in
proceedings at law or equity shall not strictly apply in any
SECTION 6. Commission actions, number of votes required.
proceedings conducted before the Commission.
The votes of at least three (3) members of the
Commission shall be necessary to effect any decision or
recommendation it is authorized to issue under the Code and SECTION 15. Stipulation of fact. Stipulations of fact may
this rule: Provided, That in the internal regulation and be admitted with respect to any matter at issue in the
direction of the functions of the Commission's staff including proceedings.
the conduct of administrative processes and the
maintenance of proper liaison and coordination with other
SECTION 16. Documentary evidence. Written evidence
organizations, the Chairman shall not need the consent of
submitted to the Commission or any member or hearing
the Commission or any member thereof.
officer shall be properly marked to facilitate identification.
SECTION 7. Outside assistance. The Commission may call

SECTION 17. Submission of industry-report. Within sixty
upon the assistance and cooperation of any government
(60) working days from the date of the first hearing, the
agency or official, and may invite any private person or
Commission shall submit to the Secretary of Labor and
organization to furnish information in connection with
Employment an "Industry Report" which shall relate in brief
industry studies and wage fixing hearings or in aid of the
the operations that led thereto, the basic findings of
Commission's deliberations.
economic facts about the industry and the recommendations
made on the basis thereof.
SECTION 8. Schedule of hearings and notices. The
Commission shall prepare a schedule of hearings for the
SECTION 18. Action by the Secretary of Labor and
reception of evidence necessary for wage fixing in an
Employment. Within thirty (30) working days after the
industry, including a list of witnesses that it will invite and
submission of the "Industry Report," the Secretary of Labor

and Employment shall either reject or approve the
recommendation of the Commission in accordance with Art.
122 of the Code. If he approves the recommendation, he
shall issue a Wage Order adopting the same, subject to the
approval of the President of the Philippines, prescribing the
minimum wage or wages for the industry concerned. 2) Regional Tripartite Wages and Productivity Board,
RA 6727, Sec. 3; Arts. 122, 126
SECTION 19. Wage Order. The Wage Order shall specify
Nasipit Lumber Co. v. NLRC, 289
the industry or branch to which the minimum wages
SCRA 667 (1998)
prescribed therein shall apply; Provided, That no definite
rates shall be prescribed for specific job titles in the industry.
SECTION 20. Varying minimum wages. To justify different

minimum wages for different localities, the economic and
other conditions found in a particular locality must not only
be more or less uniform therein but also different from those
prevailing in other localities.
SECTION 21. Publication of Wage Order. Only such

portions of a Wage Order shall be published as shall
effectively give notice to all interested parties that such an
Order has been issued, the industry affected, the minimum
wages prescribed and the date of its effectivity.
SECTION 22. Effectivity. A Wage Order shall become

effective after fifteen (15) days from its publication as
provided in Article 124 of the Code.
SECTION 23. Internal rules of the Commission. Subject to

the approval of the Secretary of Labor and Employment, the
National Wages Council may issue rules and regulations
governing its internal procedure.
a. Rationale for Wage Rationalization, RA 6727, c. Standards/Criteria for Minimum Wage Fixing,
Sec. 2 RA 6727, Sec. 3; Art. 124
d. Wage Order, Arts. 123, 124

Sec. 2. It is hereby declared the policy of the State to
rationalize the fixing of minimum wages and to promote 1) Methods of Fixing
productivity-improvement and gain-sharing measures to
ensure a decent standard of living for the workers and their a) Floor Wage method
families; to guarantee the rights of labor to its just share in
the fruits of production; to enhance employment generation b) Salary Ceiling Method
in the countryside through industry dispersal; and to allow
business and industry reasonable returns on investment, Employers Confederation of the
expansion and growth. Phil. V. National Wage and Productivity Commission, 201
SCRA 759 (1991)
The State shall promote collective bargaining as the primary
mode of setting wages and other terms and conditions of
employment; and, whenever necessary, the minimum wage
rates shall be adjusted in a fair and equitable manner,
considering existing regional disparities in the cost of living
and other socio-economic factors and the national economic
and social development plans.
b. Agencies in Wage Fixing Machinery
1) National Wages and Productivity Commission, RA

6727, Sec. 3; Arts. 120, 121, 126

other dependent notifies the System of his claim prior to the

payments.
(b) In case of doubt as to the respective rights of rival

claimants, the System is hereby empowered to determine as
to whom payments should be made in accordance with such
regulations as the Commission may approve. If the money is
payable to a minor or incompetent, payment shall be made
by the System to such person or persons as it may consider
2) Validity
to be best qualified to take care and dispose of the minors
or incompetents property for his benefit.
Cagayan Sugar Milling Co. v.
Secretary, DOLE, 284 SCRA 150 (1998)
NCC Art. 1705. The laborer's wages shall be paid in legal
currency.
SECTION 1. Manner of wage payment. As a general rule,

wages shall be paid in legal tender and the use of tokens,
promissory notes, vouchers, coupons, or any other form
alleged to represent legal tender is absolutely prohibited
even when expressly requested by the employee.
SECTION 2. Payment by check. Payment of wages by

bank checks, postal checks or money orders is allowed
where such manner of wage payment is customary on the
date of the effectivity of the Code, where it is so stipulated
in a collective agreement, or where all of the following
conditions are met:
(a) There is a bank or other facility for encashment within a

radius of one (1) kilometer from the workplace;
(b) The employer or any of his agents or representatives

does not receive any pecuniary benefit directly or indirectly
from the arrangement;
(c) The employees are given reasonable time during banking

hours to withdraw their wages from the bank which time
3) Wage Distortion shall be considered as compensable hours worked if done
during working hours; and
Prubankers Association v.
Prudential Bank & Trust Co., 302 SCRA 74 (1999)
(d) The payment by check is with the written consent of the
employees concerned if there is no collective agreement
authorizing the payment of wages by bank checks.
Congson v. NLRC, 243 SCRA 260

(1995)
3. Wage Payment and Protection
a. Form of Payment, Art. 202; Civil Code, Art. 1705;

Rule VIII, Secs. 1, 2
ART. 202. Erroneous payment. - (a) If the System in good

faith pays income benefit to a dependent who is inferior in
right to another dependent or with whom another
dependent is entitled to share, such payments shall
discharge the System from liability, unless and until such
with stakes of money or things representing money except

in the case of persons employed in said places.
LC ART. 104. Place of payment. - Payment of wages shall be

made at or near the place of undertaking, except as
b. Time of Payment, Art. 103, Sec. 3
otherwise provided by such regulations as the Secretary of
Labor and Employment may prescribe under conditions to
ensure greater protection of wages.
ART. 103. Time of payment. - Wages shall be paid at least
once every two (2) weeks or twice a month at intervals not
See: Labor Advisory on Payment of Salaries Thru Automated
exceeding sixteen (16) days. If on account of force majeure
Teller Machines (ATM)
or circumstances beyond the employers control, payment of
wages on or within the time herein provided cannot be
made, the employer shall pay the wages immediately after
such force majeure or circumstances have ceased. No
employer shall make payment with less frequency than once
d. Person to Pay, Art. 105, Secs. 5, 6
a month.
The payment of wages of employees engaged to perform a

SECTION 5. Direct payment of wages. Payment of wages
task which cannot be completed in two (2) weeks shall be
shall be made direct to the employee entitled thereto except
subject to the following conditions, in the absence of a
in the following cases:
collective bargaining agreement or arbitration award:
(a) Where the employer is authorized in writing by the

(1) That payments are made at intervals not exceeding
employee to pay his wages to a member of his family;
sixteen (16) days, in proportion to the amount of work
completed;
(b) Where payment to another person of any part of the
employee's wages is authorized by existing law, including
(2) That final settlement is made upon completion of the
payments for the insurance premiums of the employee and
work.
union dues where the right to check-off has been recognized
by the employer in accordance with a collective agreement
SECTION 3. Time of payment. (a) Wages shall be paid or authorized in writing by the individual employees
not less than once every two (2) weeks or twice a month at concerned; or
intervals not exceeding sixteen (16) days, unless payment
cannot be made with such regularity due to force majeure or
(c) In case of death of the employee as provided in the
circumstances beyond the employer's control in which case
succeeding Section.
the employer shall pay the wages immediately after such
force majeure or circumstances have ceased.
SECTION 6. Wages of deceased employee. The payment
of the wages of a deceased employee shall be made to his
(b) In case of payment of wages by results involving work
heirs without the necessity of intestate proceedings. When
which cannot be finished in two (2) weeks, payment shall be
the heirs are of age, they shall execute an affidavit attesting
made at intervals not exceeding sixteen days in proportion
to their relationship to the deceased and the fact that they
to the amount of work completed. Final settlement shall be
are his heirs to the exclusion of all other persons. In case
made immediately upon completion of the work.
any of the heirs is a minor, such affidavit shall be executed
in his behalf by his natural guardian or next of kin. Upon
c. Place of Payment, Art. 104, Sec. 4 presentation of the affidavit to the employer, he shall make
payment to the heirs as representative of the Secretary of
SECTION 4. Place of payment. As a general rule, the
place of payment shall be at or near the place of ART. 105. Direct payment of wages. - Wages shall be paid
undertaking. Payment in a place other than the work place directly to the workers to whom they are due, except:
shall be permissible only under the following circumstances:
(a) In cases of force majeure rendering such payment
(a) When payment cannot be effected at or near the place impossible or under other special circumstances to be
of work by reason of the deterioration of peace and order determined by the Secretary of Labor and Employment in
conditions, or by reason of actual or impending emergencies appropriate regulations, in which case, the worker may be
caused by fire, flood, epidemic or other calamity rendering paid through another person under written authority given
payment thereat impossible; by the worker for the purpose; or
(b) When the employer provides free transportation to the (b) Where the worker has died, in which case, the employer
employees back and forth; and may pay the wages of the deceased worker to the heirs of
the latter without the necessity of intestate proceedings. The
claimants, if they are all of age, shall execute an affidavit
(c) Under any other analogous circumstances; Provided,
attesting to their relationship to the deceased and the fact
That the time spent by the employees in collecting their
that they are his heirs, to the exclusion of all other persons.
wages shall be considered as compensable hours worked;
If any of the heirs is a minor, the affidavit shall be executed
on his behalf by his natural guardian or next-of-kin. The
(d) No employer shall pay his employees in any bar, night or affidavit shall be presented to the employer who shall make
day club, drinking establishment, massage clinic, dance hall, payment through the Secretary of Labor and Employment or
or other similar places or in places where games are played his representative. The representative of the Secretary of
Labor and Employment shall act as referee in dividing the

amount paid among the heirs. The payment of wages under ART. 113. Wage deduction. - No employer, in his own behalf
this Article shall absolve the employer of any further liability or in behalf of any person, shall make any deduction from
with respect to the amount paid. the wages of his employees, except:
Bermiso v. Escano, Inc., 105 Phil. (a) In cases where the worker is insured with his consent by
231 (1959) the employer, and the deduction is to recompense the
employer for the amount paid by him as premium on the
insurance;
(b) For union dues, in cases where the right of the worker or
his union to check-off has been recognized by the employer
or authorized in writing by the individual worker concerned;
and
(c) In cases where the employer is authorized by law or

regulations issued by the Secretary of Labor and
Employment.
4. Wage Prohibitions SECTION 10. Payment of wages in case of bankruptcy.

Unpaid wages earned by the employees before the
a. Wage Interference in Disposal of Wages, Art. 112; declaration of bankruptcy or judicial liquidation of the
Rule VIII, Sec. 9 employer's business shall be given first preference and shall
be paid in full before other creditors may establish any claim
a. Wage Interference in Disposal of Wages, Art. to a share in the assets of the employer.
112; Rule VIII, Sec. 9
ART. 112. Non-interference in disposal of wages. - No

employer shall limit or otherwise interfere with the freedom Apodaca v. NLRC, 172 SCRA 442
of any employee to dispose of his wages. He shall not in any (1989)
manner force, compel, or oblige his employees to purchase
merchandise, commodities or other property from any other
person, or otherwise make use of any store or services of
such employer or any other person.
SECTION 9. Labor-only contracting. (a) Any person who

undertakes to supply workers to an employer shall be
deemed to be engaged in labor-only contracting where such
person:
(1) Does not have substantial capital or investment in the

form of tools, equipment, machineries, work premises and
other materials; and
(2) The workers recruited and placed by such person are

performing activities which are directly related to the
principal business or operations of the employer in which
workers are habitually employed.
(b) Labor-only contracting as defined herein is hereby

prohibited and the person acting as contractor shall be
considered merely as an agent or intermediary of the
employer who shall be responsible to the workers in the
same manner and extent as if the latter were directly
employed by him. c. Requirement to make Deposits for Loss or
Damage, Art. Arts. 114, 115; Rule VIII, Sec. 11
(c) For cases not falling under this Rule, the Secretary of
Labor and Employment shall determine through appropriate
orders whether or not the contracting out of labor is
permissible in the light of the circumstances of each case
and after considering the operating needs of the employer ART. 114. Deposits for loss or damage. - No employer shall
and the rights of the workers involved. In such case, he may require his worker to make deposits from which deductions
prescribe conditions and restrictions to insure the protection shall be made for the reimbursement of loss of or damage
and welfare of the workers. to tools, materials, or equipment supplied by the employer,
except when the employer is engaged in such trades,
occupations or business where the practice of making
b. Wage Deduction, Art. 113; Rule VIII, Sec. 10
deductions or requiring deposits is a recognized one, or is
necessary or desirable as determined by the Secretary of
Labor and Employment in appropriate rules and
regulations.

ART. 115. Limitations. - No deduction from the deposits of ART. 117. Deduction to ensure employment. - It shall be
an employee for the actual amount of the loss or damage unlawful to make any deduction from the wages of any
shall be made unless the employee has been heard employee for the benefit of the employer or his
thereon, and his representative or intermediary as consideration of a promise
of employment or retention in employment.
SECTION 11. Attorney's fees. Attorney's fees in any
judicial or administrative proceedings for the recovery of g. Retaliatory Measures, Art. 118
wages shall not exceed 10 percent of the amount awarded.
The fees may be deducted from the total amount due the ART. 118. Retaliatory measures. - It shall be unlawful for an
winning party responsibility has been clearly shown. employer to refuse to pay or reduce the wages and benefits,
discharge or in any manner discriminate against any
employee who has filed any complaint or instituted any
Dentech Manufacturing Corp.
proceeding under this Title or has testified or is about to
NLRC, 172 SCRA 588 (1989)
testify in such proceedings.
h. False Reporting, Art. 119; Rule X, Sec. 13
ART. 119. False reporting. - It shall be unlawful for any

person to make any statement, report, or record filed or
kept pursuant to the provisions of this Code knowing such
statement, report or record to be false in any material
respect.
SECTION 13. False reporting. It shall be unlawful for any

Five J Taxi v. NLRC, 235 SCRA 556
employer or any person to make any false statement, report
(1994)
or record on matters required to be kept or maintained
pursuant to the provisions of this Rule.
i. Keeping of Employees Records in a Place

other than the Workplace
South Motorists Enterprises v.

Tosoc, 181 SCRA 386 (1990)
e. Withholding of Wages, Art. 116; Civil Code,

Art. 1706
ART. 116. Withholding of wages and kickbacks prohibited. -

It shall be unlawful for any person, directly or indirectly, to
withhold any amount from the wages of a worker or induce
j. Garnishment/Execution, Civil Code, Art. 1708
him to give up any part of his wages by force, stealth,
intimidation, threat or by any other means whatsoever
without the workers consent.
NCC Art. 1708. The laborer's wages shall not be subject to
execution or attachment, except for debts incurred for food,
NCC Art. 1706. Withholding of the wages, except for a
shelter, clothing and medical attendance.
debt due, shall not be made by the employer.
GAA v. Court of Appeals, 140 SCRA

f. Deduction to Ensure Employment, Art. 117
304 (1985)

(3) Claims of laborers, masons, mechanics and other

workmen, as well as of architects, engineers and
contractors, engaged in the construction, reconstruction or
repair of buildings, canals or other works, upon said
buildings, canals or other works; xxx
Art. 2244. With reference to other property, real and

personal, of the debtor, the following claims or credits shall
be preferred in the order named:
(2) Credits for services rendered the insolvent by

employees, laborers, or household helpers for one year
preceding the commencement of the proceedings in
insolvency; xxx
Art. 1207. The concurrence of two or more creditors or of

two or more debtors in one and the same obligation does
not imply that each one of the former has a right to
demand, or that each one of the latter is bound to render,
Special Steel Corp. v. Villareal, 434 entire compliance with the prestation. There is a solidary
SCRA 19 (2004) liability only when the obligation expressly so states, or
when the law or the nature of the obligation requires
solidarity. (1137a)
5. Work Preference in the Event of Bankruptcy, Art.

110; Book III, Rule VIII, Sec. 7; civil Code, Arts. 1207, 2241
(6), 2242 (3), 2244 (2)
Republic v. Peralta, 150 SCRA 37 (1987)
LC ART. 110. Worker preference in case of bankruptcy . - In

the event of bankruptcy or liquidation of an employers
business, his workers shall enjoy first preference as regards
their wages and other monetary claims, any provisions of
law to the contrary notwithstanding. Such unpaid wages and
monetary claims shall be paid in full before claims of the
government and other creditors may be paid. (As amended
by Section 1, Republic Act No. 6715, March 21, 1989).
IRR SECTION 7. Civil liability of employer and contractors.

Every employer or indirect employer shall be jointly and
severally liable with his contractor or sub-contractor for the
unpaid wages of the employees of the latter. Such employer
or indirect employer may require the contractor or sub-
contractor to furnish a bond equal to the cost of labor under
contract on condition that the bond will answer for the
wages due the employees should the contractor or
subcontractor, as the case may be, fail to pay the same.
NCC Art. 2241. With reference to specific movable property

of the debtor, the following claims or liens shall be
preferred:
(6) Claims for laborers' wages, on the goods

manufactured or the work done; xxx
Manila Banking Corp. v. NLRC, 279 SCRA
Art. 2242. With reference to specific immovable property 602, 621-642 (1997)
and real rights of the debtor, the following claims,
mortgages and liens shall be preferred, and shall constitute
an encumbrance on the immovable or real right:

unit or department of an establishment when non-

compliance with the law or implementing rules and
regulations poses grave and imminent danger to the health
and safety of workers in the workplace. Within twenty-four
hours, a hearing shall be conducted to determine whether
an order for the stoppage of work or suspension of
operations shall be lifted or not. In case the violation is
attributable to the fault of the employer, he shall pay the
employees concerned their salaries or wages during the
period of such stoppage of work or suspension of operation.
(d) It shall be unlawful for any person or entity to obstruct,

impede, delay or otherwise render ineffective the orders of
the Secretary of Labor and Employment or his duly
authorized representatives issued pursuant to the authority
granted under this Article, and no inferior court or entity
shall issue temporary or permanent injunction or restraining
order or otherwise assume jurisdiction over any case
involving the enforcement orders issued in accordance with
this Article.
(e) Any government employee found guilty of violation of, or

abuse of authority, under this Article shall, after appropriate
administrative investigation, be subject to summary
dismissal from the service.
6. Wage Recovery/Jurisdiction, arts. 128, 129, 217, (f) The Secretary of Labor and Employment may, by
111; Book III, Rule X, Secs. 1-5 appropriate regulations, require employers to keep and
maintain such employment records as may be necessary in
aid of his visitorial and enforcement powers under this Code.
ART. 128. Visitorial and enforcement power. - (a) The
Secretary of Labor and Employment or his duly authorized
representatives, including labor regulation officers, shall ART. 129. Recovery of wages, simple money claims and
have access to employers records and premises at any time other benefits. - Upon complaint of any interested party, the
of the day or night whenever work is being undertaken Regional Director of the Department of Labor and
therein, and the right to copy therefrom, to question any Employment or any of the duly authorized hearing officers of
employee and investigate any fact, condition or matter the Department is empowered, through summary
which may be necessary to determine violations or which proceeding and after due notice, to hear and decide any
may aid in the enforcement of this Code and of any labor matter involving the recovery of wages and other monetary
law, wage order or rules and regulations issued pursuant claims and benefits, including legal interest, owing to an
thereto. employee or person employed in domestic or household
service or househelper under this Code, arising from
employer-employee relations: Provided, That such complaint
(b) Notwithstanding the provisions of Articles 129 and 217 of does not include a claim for reinstatement: Provided further,
this Code to the contrary, and in cases where the That the aggregate money claims of each employee or
relationship of employer-employee still exists, the Secretary househelper does not exceed Five thousand pesos
of Labor and Employment or his duly authorized (P5,000.00). The Regional Director or hearing officer shall
representatives shall have the power to issue compliance decide or resolve the complaint within thirty (30) calendar
orders to give effect to the labor standards provisions of this days from the date of the filing of the same. Any sum thus
Code and other labor legislation based on the findings of recovered on behalf of any employee or househelper
labor employment and enforcement officers or industrial pursuant to this Article shall be held in a special deposit
safety engineers made in the course of inspection. The account by, and shall be paid on order of, the Secretary of
Secretary or his duly authorized representatives shall issue Labor and Employment or the Regional Director directly to
writs of execution to the appropriate authority for the the employee or househelper concerned. Any such sum not
enforcement of their orders, except in cases where the paid to the employee or househelper because he cannot be
employer contests the findings of the labor employment and located after diligent and reasonable effort to locate him
enforcement officer and raises issues supported by within a period of three (3) years, shall be held as a special
documentary proofs which were not considered in the fund of the Department of Labor and Employment to be
course of inspection. (As amended by Republic Act No. used exclusively for the amelioration and benefit of workers.
7730, June 2, 1994).
Any decision or resolution of the Regional Director or

An order issued by the duly authorized representative of the hearing officer pursuant to this provision may be appealed
Secretary of Labor and Employment under this Article may on the same grounds provided in Article 223 of this Code,
be appealed to the latter. In case said order involves a within five (5) calendar days from receipt of a copy of said
monetary award, an appeal by the employer may be decision or resolution, to the National Labor Relations
perfected only upon the posting of a cash or surety bond Commission which shall resolve the appeal within ten (10)
issued by a reputable bonding company duly accredited by calendar days from the submission of the last pleading
the Secretary of Labor and Employment in the amount required or allowed under its rules.chan robles virtual law
equivalent to the monetary award in the order appealed library
from. (As amended by Republic Act No. 7730, June 2, 1994).
The Secretary of Labor and Employment or his duly

(c) The Secretary of Labor and Employment may likewise authorized representative may supervise the payment of
order stoppage of work or suspension of operations of any unpaid wages and other monetary claims and benefits,
including legal interest, found owing to any employee or and hearing, compliance with the labor standards provisions
househelper under this Code. (As amended by Section 2, of the Code and other labor legislations based on the
Republic Act No. 6715, March 21, 1989). findings of the Labor Regulation Officers or Industrial Safety
Engineers (Labor Standard and Welfare Officer) and made in
the course of inspection, and to issue writs of execution to
ART. 217. Jurisdiction of the Labor Arbiters and the
the appropriate authority of the enforcement of his order. In
Commission. - (a) Except as otherwise provided under this
line with the provisions of Article 128 in relation to Articles
Code, the Labor Arbiters shall have original and exclusive
289 and 290 of the Labor Code as amended in cases,
jurisdiction to hear and decide, within thirty (30) calendar
however, where the employer contests the findings of the
days after the submission of the case by the parties for
Labor Standards and Welfare Officers and raises issues
decision without extension, even in the absence of
which cannot be resolved without considering evidentiary
stenographic notes, the following cases involving all workers,
matters that are not verifiable in the normal course of
whether agricultural or non-agricultural:
inspection, the Regional Director concerned shall indorse the
case to the appropriate arbitration branch of the National
1. Unfair labor practice cases; Labor Relations Commission for adjudication.
2. Termination disputes; (b) The Regional Director shall give the employer fifteen
(15) days within which to comply with his order before
3. If accompanied with a claim for reinstatement, those issuing a writ of execution. Copy of such order or writ of
cases that workers may file involving wages, rates of pay, execution shall immediately be furnished the Secretary of
hours of work and other terms and conditions of Labor and Employment.
employment;
SECTION 3. Enforcement power on health and safety of
4. Claims for actual, moral, exemplary and other forms of workers. (a) The Regional Director may likewise order
damages arising from the employer-employee relations; stoppage of work or suspension of operations of any unit or
department of an establishment when non-compliance with
the law, safety order or implementing rules and regulations
5. Cases arising from any violation of Article 264 of this poses grave and imminent danger to the health and safety
Code, including questions involving the legality of strikes and of workers in the workplace.
lockouts; and
(b) Within 24 hours from issuance of the order of stoppage

6. Except claims for Employees Compensation, Social or suspension, a hearing shall be conducted to determine
Security, Medicare and maternity benefits, all other claims whether the order for the stoppage of work or suspension of
arising from employer-employee relations, including those of operation shall be lifted or not. The proceedings shall be
persons in domestic or household service, involving an terminated within seventy-two (72) hours and a copy of
amount exceeding five thousand pesos (P5,000.00) such order or resolution shall be immediately furnished the
regardless of whether accompanied with a claim for Secretary of Labor and Employment. In case the violation is
reinstatement. attributable to the fault of the employer, he shall pay the
employees concerned their salaries or wages during the
(b) The Commission shall have exclusive appellate jurisdiction period of such stoppage of work or suspension of operation.
over all cases decided by Labor Arbiters.

SECTION 4. Power to review. (a) The Secretary of Labor
and Employment, at his own initiative or upon request of the
(c) Cases arising from the interpretation or implementation employer and/or employee, may review the order of the
of collective bargaining agreements and those arising from Regional Director. The order of the Regional Director shall
the interpretation or enforcement of company personnel be immediately final and executory unless stayed by the
policies shall be disposed of by the Labor Arbiter by referring Secretary of Labor and Employment upon posting by the
the same to the grievance machinery and voluntary employer of a reasonable cash or surety bond as fixed by
arbitration as may be provided in said agreements. (As the Regional Director.
amended by Section 9, Republic Act No. 6715, March 21,
1989). (b) In aid of his power of review, the Secretary of Labor and
Employment may direct the Bureau of Working Conditions to
ART. 111. Attorneys fees. - (a) In cases of unlawful evaluate the findings or orders of the Regional Director. The
withholding of wages, the culpable party may be assessed
decision of the Secretary of Labor and Employment shall be
attorneys fees equivalent to ten percent of the amount of final and executory.
wages recovered.
SECTION 5. Interference and injunctions prohibited. It

shall be unlawful for any person or entity to obstruct,
SECTION 1. Visitorial power. The Secretary of Labor and
impede, delay or otherwise render ineffective the exercise of
Employment or his duly authorized representatives, including the enforcement power of the Secretary of Labor and
Labor Regulations Officers or Industrial Safety Engineers,
Employment, Regional Director or their duly authorized
shall have access to employer's records and premises at any representatives pursuant to the authority granted by the
time of the day or night whenever work is being undertaken
Code and its implementing rules and regulations, and no
therein, and right to copy therefrom, to question any inferior court or entity shall issue temporary or permanent
employee, and to investigate any fact, condition or matter
injunction or restraining order or otherwise assume
relevant to the enforcement of any provision of the Code jurisdiction over any case involving the enforcement orders
and of any labor law, wage order or rules and regulations
issued in accordance with the Code. In addition to the
issued pursuant thereto. penalties provided for by the Labor Code, any government
employees found guilty of violation or abuse of authority,
SECTION 2. Enforcement power. (a) The Regional shall be subject to the provisions of Presidential Decree No.
Director in cases where employer relations shall exist, shall 6.
have the power to order and administer, after due notice
Cirineo Bowling Plaza v. Gerry Sensing,

supra
Ultra Villa Food Haus v. Geniston, 309

SCRA 17 (1999)
San Miguel Corporation v. Court of

Appeals, supra
Guico v. Sec. of Labor, 298 SCRA 667
(1998)
H. Thirteenth Month Pay
1. History of the Law

3. Rationale, PD 851, Whereas Clauses and
Dentech Mfg. Corp. v. NLRC, supra LImitations
2. Coverage WHEREAS, it is necessary to further protect the level of real

wages from the ravage of worldwide inflation;
Archilles Manufacturing Corp. v, NLRC,
244 SCRA 750 (1995) WHEREAS, there has been no increase in the legal minimum
wage rates since 1970;
WHEREAS, the Christmas season is an opportune time for

society to show its concern for the plight of the working
masses so they may properly celebrate Christmas and New
Year.
Section 1. All employers are hereby required to pay all their

employees receiving a basic salary of not more than P1,000
a month, regardless of the nature of their employment, a
13th-month pay not later than December 24 of every year.
Sec. 2. Employers already paying their employees a 13th-

month pay or its equivalent are not covered by this Decree.
4. Amount and Date of Payment
a. Basic Wage/Commissions
Boie Takeda v. Dela Serna, Supra

Iran v. NLRC, supra
Honda Philippines Inc. v. Samahan

ng Malayang Manggagawa sa Honda, 460 SCRA 186 (2005)
d. Diminution
Davao Fruits Corp. v. Associated

Labor Unions, supra
I. Bonus
1. Nature
Philippine Duplicators Inc. v. NLRC,

241 SCRA 380 (1995)
b. Substitute Payment
Framanlis Farms, Inc. v. NLRC, 171

SCRA 87 (1989)
c. 14th Month Pay
Kamaya Port Hotel v. NLRC, 177

SCRA 160 (1989)
2. Definition; When Demandable
Marcos v. NLRC, 248 SCRA 146

(1995)

(a) In any industrial undertaking or branch thereof between

ten oclock at night and six oclock in the morning of the
following day; or
(b) In any commercial or non-industrial undertaking or

branch thereof, other than agricultural, between midnight
and six oclock in the morning of the following day; or
(c) In any agricultural undertaking at nighttime unless she is

given a period of rest of not less than nine (9) consecutive
hours.
ART. 131. Exceptions. - The prohibitions prescribed by the

Business Information Systems and preceding Article shall not apply in any of the following
Services, Inc. v. NLRC, 221 SCRA 9 (1993)Philippine cases:
Appliance Corp. v. Court of Appeals, 430 SCRA 525 (2004)
(a) In cases of actual or impending emergencies caused by

serious accident, fire, flood, typhoon, earthquake, epidemic
or other disasters or calamity, to prevent loss of life or
public safety;

equipment or installation, to avoid serious loss which the
(c) Where the work is necessary to prevent serious loss of

perishable goods;
(d) Where the woman employee holds a responsible position

of managerial or technical nature, or where the woman
employee has been engaged to provide health and welfare
services;
(e) Where the nature of the work requires the manual skill
and dexterity of women workers and the same cannot be
performed with equal efficiency by male workers;
(f) Where the women employees are immediate members of

the family operating the establishment or undertaking; and
American Wire and Cable Daily
Rated Employees Union v. American Wire and Cable Co.,
(g) Under other analogous cases exempted by the Secretary
Inc., 457 SCRA 684 (2005)
of Labor and Employment in appropriate regulations.
ART. 132. Facilities for women. - The Secretary of Labor and

Employment shall establish standards that will ensure the
safety and health of women employees. In appropriate
cases, he shall, by regulations, require any employer to:
(a) Provide seats proper for women and permit them to use
such seats when they are free from work and during
working hours, provided they can perform their duties in this
position without detriment to efficiency;
(b) To establish separate toilet rooms and lavatories for men

J. Working Conditions for Special Group of and women and provide at least a dressing room for
Workers women;
1. Women, Arts. 130-138; Omnibus Rules, Book III, (c) To establish a nursery in a workplace for the benefit of
Rule XII, Sec. 1; Constitution, Arts. II, Sec. 13 & XIII, Sec. the women employees therein; and
14; Convention on the Elimination of All Forms of
Discrimination Against Women (CEDAW), Arts. 11-13; ILO
Convention Nos. 100 & 111 (d) To determine appropriate minimum age and other
standards for retirement or termination in special
Chapter I occupations such as those of flight attendants and the like.
EMPLOYMENT OF WOMEN
ART. 130. Nightwork prohibition. - No woman, regardless of ART. 133. Maternity leave benefits. - (a) Every employer
age, shall be employed or permitted or suffered to work, shall grant to any pregnant woman employee who has
with or without compensation: rendered an aggregate service of at least six (6) months for
the last twelve (12) months, maternity leave of at least two ART. 137. Prohibited acts. - (a) It shall be unlawful for any
(2) weeks prior to the expected date of delivery and another employer:
four (4) weeks after normal delivery or abortion with full pay
based on her regular or average weekly wages. The
(1) To deny any woman employee the benefits provided for
employer may require from any woman employee applying
in this Chapter or to discharge any woman employed by him
for maternity leave the production of a medical certificate
for the purpose of preventing her from enjoying any of the
stating that delivery will probably take place within two
benefits provided under this Code.
weeks.
(2) To discharge such woman on account of her pregnancy,

(b) The maternity leave shall be extended without pay on
or while on leave or in confinement due to her pregnancy;
account of illness medically certified to arise out of the
pregnancy, delivery, abortion or miscarriage, which renders
the woman unfit for work, unless she has earned unused (3) To discharge or refuse the admission of such woman
leave credits from which such extended leave may be upon returning to her work for fear that she may again be
charged. pregnant.
(c) The maternity leave provided in this Article shall be paid ART. 138. Classification of certain women workers . - Any
by the employer only for the first four (4) deliveries by a woman who is permitted or suffered to work, with or
woman employee after the effectivity of this Code. without compensation, in any night club, cocktail lounge,
massage clinic, bar or similar establishments under the
effective control or supervision of the employer for a
ART. 134. Family planning services; incentives for family
substantial period of time as determined by the Secretary of
planning. - (a) Establishments which are required by law to
Labor and Employment, shall be considered as an employee
maintain a clinic or infirmary shall provide free family
of such establishment for purposes of labor and social
planning services to their employees which shall include, but
legislation.
not be limited to, the application or use of contraceptive pills
and intrauterine devices.
RULE XII
Employment of Women and Minors
(b) In coordination with other agencies of the government
engaged in the promotion of family planning, the
Department of Labor and Employment shall develop and SECTION 1. General statement on coverage. This Rule
prescribe incentive bonus schemes to encourage family shall apply to all employers, whether operating for profit or
planning among female workers in any establishment or not, including educational, religious and charitable
enterprise. institutions, except to the Government and to government-
owned or controlled corporations and to employers of
household helpers and persons in their personal service
ART. 135. Discrimination prohibited. - It shall be unlawful for
insofar as such workers are concerned.
any employer to discriminate against any woman employee
with respect to terms and conditions of employment solely
on account of her sex. Constitution Art. II, Section 13. The State
recognizes the vital role of the youth in nation-building
The following are acts of discrimination: and shall promote and protect their physical, moral,
spiritual, intellectual, and social well-being. It shall
inculcate in the youth patriotism and nationalism, and
(a) Payment of a lesser compensation, including wage, encourage their involvement in public and civic affairs.
salary or other form of remuneration and fringe benefits, to
a female employees as against a male employee, for work of
equal value; and
ARTICLE XIII WOMEN
Section 14. The State shall protect working women
by providing safe and healthful working conditions,
(b) Favoring a male employee over a female employee with taking into account their maternal functions, and such
respect to promotion, training opportunities, study and facilities and opportunities that will enhance their
scholarship grants solely on account of their sexes.
welfare and enable them to realize their full potential
in the service of the nation.
Criminal liability for the willful commission of any unlawful
act as provided in this Article or any violation of the rules
and regulations issued pursuant to Section 2 hereof shall be
penalized as provided in Articles 288 and 289 of this Code:
Provided, That the institution of any criminal action under
this provision shall not bar the aggrieved employee from
filing an entirely separate and distinct action for money
claims, which may include claims for damages and other
affirmative reliefs. The actions hereby authorized shall CEDAW
proceed independently of each other. (As amended by Article 11
Republic Act No. 6725, May 12, 1989).
1. States Parties shall take all appropriate measures
to eliminate discrimination against women in the field
ART. 136. Stipulation against marriage. - It shall be unlawful of employment in order to ensure, on a basis of
for an employer to require as a condition of employment or equality of men and women, the same rights, in
continuation of employment that a woman employee shall particular:
not get married, or to stipulate expressly or tacitly that upon (a) The right to work as an inalienable right of all
getting married, a woman employee shall be deemed
human beings;
resigned or separated, or to actually dismiss, discharge,
discriminate or otherwise prejudice a woman employee
merely by reason of her marriage.

(b) The right to the same employment opportunities, services where necessary, as well as adequate
including the application of the same criteria for nutrition during pregnancy and lactation.
selection in matters of employment;
Article 13
(c) The right to free choice of profession and States Parties shall take all appropriate measures to
employment, the right to promotion, job security and eliminate discrimination against women in other areas
all benefits and conditions of service and the right to of economic and social life in order to ensure, on a
receive vocational training and retraining, including basis of equality of men and women, the same rights,
apprenticeships, advanced vocational training and in particular:
recurrent training; (a) The right to family benefits;
(d) The right to equal remuneration, including (b) The right to bank loans, mortgages and other
benefits, and to equal treatment in respect of work of forms of financial credit;
equal value, as well as equality of treatment in the
evaluation of the quality of work; (c) The right to participate in recreational activities,
sports and all aspects of cultural life.
(e) The right to social security, particularly in cases of
retirement, unemployment, sickness, invalidity and old
age and other incapacity to work, as well as the right C100 Equal Remuneration Convention, 1951
to paid leave;
Convention concerning Equal Remuneration for Men and
(f) The right to protection of health and to safety in Women Workers for Work of Equal Value (Note: Date of
working conditions, including the safeguarding of the coming into force: 23:05:1953.)
function of reproduction. Convention:C100
Place:Geneva
Session of the Conference:34
2. In order to prevent discrimination against women
Date of adoption:29:06:1951
on the grounds of marriage or maternity and to ensure Subject classification: Equal Remuneration
their effective right to work, States Parties shall take Subject classification: Women
appropriate measures: Subject: Equality of Opportunity and Treatment
(a) To prohibit, subject to the imposition of sanctions,
dismissal on the grounds of pregnancy or of maternity
leave and discrimination in dismissals on the basis of
marital status; The General Conference of the International Labour
Organisation,
(b) To introduce maternity leave with pay or with
comparable social benefits without loss of former Having been convened at Geneva by the Governing Body of
employment, seniority or social allowances; the International Labour Office, and having met in its Thirty-
fourth Session on 6 June 1951, and
(c) To encourage the provision of the necessary

Having decided upon the adoption of certain proposals with
supporting social services to enable parents to
regard to the principle of equal remuneration for men and
combine family obligations with work responsibilities women workers for work of equal value, which is the
and participation in public life, in particular through seventh item on the agenda of the session, and
promoting the establishment and development of a
network of child-care facilities;
Having determined that these proposals shall take the form
of an international Convention,
(d) To provide special protection to women during
pregnancy in types of work proved to be harmful to
adopts this twenty-ninth day of June of the year one
them. thousand nine hundred and fifty-one the following
Convention, which may be cited as the Equal Remuneration
3. Protective legislation relating to matters covered in Convention, 1951:
this article shall be reviewed periodically in the light of
scientific and technological knowledge and shall be Article 1
revised, repealed or extended as necessary.
For the purpose of this Convention--
Article 12
1. States Parties shall take all appropriate measures
to eliminate discrimination against women in the field (a) the term remuneration includes the ordinary, basic or
of health care in order to ensure, on a basis of minimum wage or salary and any additional emoluments
equality of men and women, access to health care whatsoever payable directly or indirectly, whether in cash or
in kind, by the employer to the worker and arising out of the
services, including those related to family planning.
worker's employment;
2. Notwithstanding the provisions of paragraph I of

(b) the term equal remuneration for men and women
this article, States Parties shall ensure to women workers for work of equal value refers to rates of
appropriate services in connection with pregnancy, remuneration established without discrimination based on
confinement and the post-natal period, granting free sex.

Article 2 Article 7
1. Each Member shall, by means appropriate to the methods 1. Declarations communicated to the Director-General of the
in operation for determining rates of remuneration, promote International Labour Office in accordance with paragraph 2
and, in so far as is consistent with such methods, ensure the of Article 35 of the Constitution of the International Labour
application to all workers of the principle of equal Organisation shall indicate --
remuneration for men and women workers for work of equal
value.
a) the territories in respect of which the Member concerned
undertakes that the provisions of the Convention shall be
2. This principle may be applied by means of-- applied without modification;
(a) national laws or regulations; b) the territories in respect of which it undertakes that the
provisions of the Convention shall be applied subject to
modifications, together with details of the said modifications;
(b) legally established or recognised machinery for wage
determination;
c) the territories in respect of which the Convention is
inapplicable and in such cases the grounds on which it is
(c) collective agreements between employers and workers;
inapplicable;
or
d) the territories in respect of which it reserves its decision

(d) a combination of these various means.
pending further consideration of the position.
Article 3
2. The undertakings referred to in subparagraphs (a) and (b)
of paragraph 1 of this Article shall be deemed to be an
1. Where such action will assist in giving effect to the integral part of the ratification and shall have the force of
provisions of this Convention measures shall be taken to ratification.
promote objective appraisal of jobs on the basis of the work
to be performed.
3. Any Member may at any time by a subsequent declaration
cancel in whole or in part any reservation made in its original
2. The methods to be followed in this appraisal may be declaration in virtue of subparagraph (b), (c) or (d) of
decided upon by the authorities responsible for the paragraph 1 of this Article.
determination of rates of remuneration, or, where such rates
are determined by collective agreements, by the partes
4. Any Member may, at any time at which the Convention is
thereto.
subject to denunciation in accordance with the provisions of
Article 9, communicate to the Director-General a declaration
3. Differential rates between workers which correspond, modifying in any other respect the terms of any former
without regard to sex, to differences, as determined by such declaration and stating the present position in respect of
objective appraisal, in the work to be performed shall not be such territories as it may specify.
considered as being contrary to the principle of equal
remuneration for men and women workers for work of equal
Article 8
value.
1. Declarations communicated to the Director-General of the

Article 4
International Labour Office in accordance with paragraph 4
or 5 of Article 35 of the Constitution of the International
Each Member shall co-operate as appropriate with the Labour Organisation shall indicate whether the provisions of
employers' and workers' organisations concerned for the the Convention will be applied in the territory concerned
purpose of giving effect to the provisions of this Convention. without modification or subject to modifications; when the
declaration indicates that the provisions of the Convention
Article 5 will be applied subject to modifications, it shall give details
of the said modifications.
The formal ratifications of this Convention shall be

communicated to the Director-General of the International 2. The Member, Members or international authority
Labour Office for registration. concerned may at any time by a subsequent declaration
renounce in whole or in part the right to have recourse to
any modification indicated in any former declaration.
Article 6
3. The Member, Members or international authority
1. This Convention shall be binding only upon those concerned may, at any time at which this Convention is
Members of the International Labour Organisation whose subject to denunciation in accordance with the provisions of
ratifications have been registered with the Director-General. Article 9, communicate to the Director-General a declaration
modifying in any other respect the terms of any former
2. It shall come into force twelve months after the date on declaration and stating the present position in respect of the
which the ratifications of two Members have been registered application of the Convention.
with the Director-General.
Article 9
3. Thereafter, this Convention shall come into force for any
Member twelve months after the date on which its 1. A Member which has ratified this Convention may
ratification has been registered. denounce it after the expiration of ten years from the date

on which the Convention first comes into force, by an act Article 14

communicated to the Director-General of the International
Labour Office for registration. Such denunciation shall not
The English and French versions of the text of this
take effect until one year after the date on which it is
Convention are equally authoritative.
registered.
C111 Discrimination (Employment and Occupation)

2. Each Member which has ratified this Convention and
Convention, 1958
which does not, within the year following the expiration of
the period of ten years mentioned in the preceding
paragraph, exercise the right of denunciation provided for in Convention concerning Discrimination in Respect of
this Article, will be bound for another period of ten years Employment and Occupation (Note: Date of coming into
and, thereafter, may denounce this Convention at the force: 15:06:1960.)
expiration of each period of ten years under the terms Convention:C111
provided for in this Article. Place:Geneva
Date of adoption:25:06:1958
Article 10
Subject classification: Non-discrimination (Employment and
Occupation)
1. The Director-General of the International Labour Office Subject classification: Women
shall notify all Members of the International Labour Subject: Equality of Opportunity and Treatment
Organisation of the registration of all ratifications,
declarations and denunciations communicated to him by the
Members of the Organisation.
The General Conference of the International Labour
Organisation,
2. When notifying the Members of the Organisation of the
registration of the second ratification communicated to him,
the Director-General shall draw the attention of the Members Having been convened at Geneva by the Governing Body of
of the Organisation to the date upon which the Convention the International Labour Office, and having met in its Forty-
will come into force. second Session on 4 June 1958, and
Article 11 Having decided upon the adoption of certain proposals with

regard to discrimination in the field of employment and
occupation, which is the fourth item on the agenda of the
The Director-General of the International Labour Office shall
session, and
communicate to the Secretary-General of the United Nations
for registration in accordance with Article 102 of the Charter
of the United Nations full particulars of all ratifications, Having determined that these proposals shall take the form
declarations and acts of denunciation registered by him in of an international Convention, and
accordance with the provisions of the preceding articles.
Considering that the Declaration of Philadelphia affirms that
Article 12 all human beings, irrespective of race, creed or sex, have
the right to pursue both their material well-being and their
spiritual development in conditions of freedom and dignity,
At such times as may consider necessary the Governing
of economic security and equal opportunity, and
Body of the International Labour Office shall present to the
General Conference a report on the working of this
Convention and shall examine the desirability of placing on Considering further that discrimination constitutes a violation
the agenda of the Conference the question of its revision in of rights enunciated by the Universal Declaration of Human
whole or in part. Rights,
Article 13 adopts this twenty-fifth day of June of the year one

thousand nine hundred and fifty-eight the following
Convention, which may be cited as the Discrimination
1. Should the Conference adopt a new Convention revising
(Employment and Occupation) Convention, 1958:
this Convention in whole or in part, then, unless the new
Convention otherwise provides--
Article 1
a) the ratification by a Member of the new revising
Convention shall ipso jure involve the immediate 1. For the purpose of this Convention the term
denunciation of this Convention, notwithstanding the discrimination includes--
provisions of Article 9 above, if and when the new revising
Convention shall have come into force; (a) any distinction, exclusion or preference made on the
basis of race, colour, sex, religion, political opinion, national
b) as from the date when the new revising Convention extraction or social origin, which has the effect of nullifying
comes into force this Convention shall cease to be open to or impairing equality of opportunity or treatment in
ratification by the Members. employment or occupation;
2. This Convention shall in any case remain in force in its (b) such other distinction, exclusion or preference which has
actual form and content for those Members which have the effect of nullifying or impairing equality of opportunity or
ratified it but have not ratified the revising Convention. treatment in employment or occupation as may be
determined by the Member concerned after consultation
with representative employers' and workers' organisations,
where such exist, and with other appropriate bodies.
2. Any distinction, exclusion or preference in respect of a cultural status, are generally recognised to require special
particular job based on the inherent requirements thereof protection or assistance, shall not be deemed to be
shall not be deemed to be discrimination. discrimination.
3. For the purpose of this Convention the terms Article 6

employment and occupation include access to vocational
training, access to employment and to particular
Each Member which ratifies this Convention undertakes to
occupations, and terms and conditions of employment.
apply it to non-metropolitan territories in accordance with
the provisions of the Constitution of the International Labour
Article 2 Organisation.
Each Member for which this Convention is in force Article 7

undertakes to declare and pursue a national policy designed
to promote, by methods appropriate to national conditions
The formal ratifications of this Convention shall be
and practice, equality of opportunity and treatment in
respect of employment and occupation, with a view to
Labour Office for registration.
eliminating any discrimination in respect thereof.
Article 8
Article 3
1. This Convention shall be binding only upon those

Each Member for which this Convention is in force
Members of the International Labour Organisation whose
undertakes, by methods appropriate to national conditions
ratifications have been registered with the Director-General.
and practice--
2. It shall come into force twelve months after the date on

(a) to seek the co-operation of employers' and workers'
which the ratifications of two Members have been registered
organisations and other appropriate bodies in promoting the
with the Director-General.
acceptance and observance of this policy;
3. Thereafter, this Convention shall come into force for any

(b) to enact such legislation and to promote such
Member twelve months after the date on which its
educational programmes as may be calculated to secure the
ratification has been registered.
acceptance and observance of the policy;
Article 9
(c) to repeal any statutory provisions and modify any
administrative instructions or practices which are
inconsistent with the policy; 1. A Member which has ratified this Convention may
denounce it after the expiration of ten years from the date
on which the Convention first comes into force, by an act
(d) to pursue the policy in respect of employment under the
direct control of a national authority;
Labour Office for registration. Such denunciation shall not
take effect until one year after the date on which it is
(e) to ensure observance of the policy in the activities of registered.
vocational guidance, vocational training and placement
services under the direction of a national authority;
2. Each Member which has ratified this Convention and
which does not, within the year following the expiration of
(f) to indicate in its annual reports on the application of the the period of ten years mentioned in the preceding
Convention the action taken in pursuance of the policy and paragraph, exercise the right of denunciation provided for in
the results secured by such action. this Article, will be bound for another period of ten years
and, thereafter, may denounce this Convention at the
expiration of each period of ten years under the terms
Article 4
provided for in this Article.
Any measures affecting an individual who is justifiably

Article 10
suspected of, or engaged in, activities prejudicial to the
security of the State shall not be deemed to be
discrimination, provided that the individual concerned shall 1. The Director-General of the International Labour Office
have the right to appeal to a competent body established in shall notify all Members of the International Labour
accordance with national practice. Organisation of the registration of all ratifications and
denunciations communicated to him by the Members of the
Organisation.
Article 5
2. When notifying the Members of the Organisation of the

1. Special measures of protection or assistance provided for
registration of the second ratification communicated to him,
in other Conventions or Recommendations adopted by the
the Director-General shall draw the attention of the Members
International Labour Conference shall not be deemed to be
of the Organisation to the date upon which the Convention
discrimination.
will come into force.
2. Any Member may, after consultation with representative

Article 11
employers' and workers' organisations, where such exist,
determine that other special measures designed to meet the
particular requirements of persons who, for reasons such as The Director-General of the International Labour Office shall
sex, age, disablement, family responsibilities or social or communicate to the Secretary-General of the United Nations
for registration in accordance with Article 102 of the Charter

of the United Nations full particulars of all ratifications and
acts of denunciation registered by him in accordance with
the provisions of the preceding Articles.
b. Women under the Constitution, Art. II, Sec.

Article 12
14; Art XIII, Sec 14
At such times as it may consider necessary the Governing Philippine Association of Service
Body of the International Labour Office shall present to the Exporters v. Drilon, 163 SCRA 386 (1988)
General Conference a report on the working of this
Convention and shall examine the desirability of placing on
the agenda of the Conference the question of its revision in
whole or in part.
Article 13
1. Should the Conference adopt a new Convention revising

this Convention in whole or in part, then, unless the new
Convention otherwise provides:
a) the ratification by a Member of the new revising

Convention shall ipso jure involve the immediate
denunciation of this Convention, notwithstanding the
provisions of Article 9 above, if and when the new revising
Convention shall have come into force;
b) as from the date when the new revising Convention

comes into force, this Convention shall cease to be open to
ratification by the Members.
2. This Convention shall in any case remain in force in its

actual form and content for those Members which have Phil. Telegraph and Telephone Co.
ratified it but have not ratified the revising Convention. v. NLRC, 272 SCRA 596 (1997)
Article 14
The English and French versions of the text of this

Convention are equally authoritative.
a. Equality: Formal Equality vs. Substantive

Equality
Readings:
Bartlett, Katharine, Gender Law, in

Duke Journal of Gender Law and Policy (1994)
Formal Equality and Substantive
Equality in the Textbook on Gender and the Law by Angela
Harris
Baldoz, Rosalinda, Job
discrimination against women in the work environment: the
Philippine setting, PLR, Vol. 24, No. 1 (2000).
c. Coverage, Rule XII, Sec. I
Employment of Women and Minors
SECTION 1. General statement on coverage. This Rule

shall apply to all employers, whether operating for profit or
not, including educational, religious and charitable
institutions, except to the Government and to government-
owned or controlled corporations and to employers of

household helpers and persons in their personal service (a) Payment of a lesser compensation, including wage,
insofar as such workers are concerned. salary or other form of remuneration and fringe benefits, to
a female employees as against a male employee, for work of
equal value; and
(b) Favoring a male employee over a female employee with

respect to promotion, training opportunities, study and
d. Prohibited Acts scholarship grants solely on account of their sexes.
1) Night Work/Exception, Art. 130-131

Criminal liability for the willful commission of any unlawful
act as provided in this Article or any violation of the rules
ART. 130. Nightwork prohibition. - No woman, regardless of
and regulations issued pursuant to Section 2 hereof shall be
age, shall be employed or permitted or suffered to work,
penalized as provided in Articles 288 and 289 of this Code:
with or without compensation:
Provided, That the institution of any criminal action under
this provision shall not bar the aggrieved employee from
(a) In any industrial undertaking or branch thereof between filing an entirely separate and distinct action for money
ten oclock at night and six oclock in the morning of the claims, which may include claims for damages and other
following day; or affirmative reliefs. The actions hereby authorized shall
proceed independently of each other. (As amended by
Republic Act No. 6725, May 12, 1989).
(b) In any commercial or non-industrial undertaking or
branch thereof, other than agricultural, between midnight
and six oclock in the morning of the following day; or 10) Stipulation Against Marriage, Art. 136
ART. 136. Stipulation against marriage. - It shall be unlawful

(c) In any agricultural undertaking at nighttime unless she is
for an employer to require as a condition of employment or
given a period of rest of not less than nine (9) consecutive
continuation of employment that a woman employee shall
hours.
not get married, or to stipulate expressly or tacitly that upon
getting married, a woman employee shall be deemed
ART. 131. Exceptions. - The prohibitions prescribed by the resigned or separated, or to actually dismiss, discharge,
preceding Article shall not apply in any of the following discriminate or otherwise prejudice a woman employee
cases: merely by reason of her marriage.
(a) In cases of actual or impending emergencies caused by Duncan Association of Detailman

serious accident, fire, flood, typhoon, earthquake, epidemic PTGWO v. Glaxo Wellcome Philippines, Inc., 438 SCRA 343
or other disasters or calamity, to prevent loss of life or (2004)
public safety;

equipment or installation, to avoid serious loss which the
(c) Where the work is necessary to prevent serious loss of

perishable goods;
(d) Where the woman employee holds a responsible position

of managerial or technical nature, or where the woman
employee has been engaged to provide health and welfare
services;
(e) Where the nature of the work requires the manual skill
and dexterity of women workers and the same cannot be
performed with equal efficiency by male workers;
(f) Where the women employees are immediate members of

the family operating the establishment or undertaking; and
(g) Under other analogous cases exempted by the Secretary

of Labor and Employment in appropriate regulations. 11) Discharge on Account of Pregnancy, Art. 137
9) Discrimination, Art. 135 ART. 137. Prohibited acts. - (a) It shall be unlawful for any
employer:
ART. 135. Discrimination prohibited. - It shall be unlawful for
any employer to discriminate against any woman employee (1) To deny any woman employee the benefits provided for
with respect to terms and conditions of employment solely in this Chapter or to discharge any woman employed by him
on account of her sex. for the purpose of preventing her from enjoying any of the
benefits provided under this Code.
The following are acts of discrimination:
(2) To discharge such woman on account of her pregnancy, eight (78) days in case of caesarian delivery, subject to the
or while on leave or in confinement due to her pregnancy; following conditions:
(3) To discharge or refuse the admission of such woman "(a) That the employee shall have notified her employer of
upon returning to her work for fear that she may again be her pregnancy and the probable date of her childbirth, which
pregnant. notice shall be transmitted to the SSS in accordance with the
rules and regulations it may provide;
"(b) The full payment shall be advanced by the employer

within thirty (30) days from the filing of the maternity leave
application;
d. Facilities, Art. 132, 134
"(c) That payment of daily maternity benefits shall be a bar
to the recovery of sickness benefits provided by this Act for
ART. 132. Facilities for women. - The Secretary of Labor and the same period for which daily maternity benefits have
Employment shall establish standards that will ensure the been received;
safety and health of women employees. In appropriate
cases, he shall, by regulations, require any employer to:
"(d) That the maternity benefits provided under this section
shall be paid only for the first four (4) deliveries or
(a) Provide seats proper for women and permit them to use miscarriages;
such seats when they are free from work and during
working hours, provided they can perform their duties in this
"(e) That the SSS shall immediately reimburse the employer
position without detriment to efficiency;
of one hundred percent (100%) of the amount of maternity
benefits advanced to the employee by the employer upon
(b) To establish separate toilet rooms and lavatories for men receipt of satisfactory proof of such payment and legality
and women and provide at least a dressing room for thereof; and
women;
"(f) That if an employee member should give birth or suffer
(c) To establish a nursery in a workplace for the benefit of miscarriage without the required contributions having been
the women employees therein; and remitted for her by her employer to the SSS, or without the
latter having been previously notified by the employer of the
time of the pregnancy, the employer shall pay to the SSS
(d) To determine appropriate minimum age and other
damages equivalent to the benefits which said employee
standards for retirement or termination in special
member would otherwise have been entitled to.
occupations such as those of flight attendants and the like.
g. Sexual Harassment (RA 7877)

ART. 134. Family planning services; incentives for family
planning. - (a) Establishments which are required by law to
maintain a clinic or infirmary shall provide free family
planning services to their employees which shall include, but REPUBLIC ACT NO. 7877
not be limited to, the application or use of contraceptive pills
and intrauterine devices.
AN ACT DECLARING SEXUAL HARASSMENT
UNLAWFUL IN THE EMPLOYMENT, EDUACATION
(b) In coordination with other agencies of the government OR TRAINING ENVIRONMENT, AND FOR OTHER
engaged in the promotion of family planning, the PURPOSES
Department of Labor and Employment shall develop and
prescribe incentive bonus schemes to encourage family
planning among female workers in any establishment or Be it enacted by the Senate and House of
enterprise. Representatives of the Philippines in Congress
assembled:
e. Special Women Workers, 138
Section 1. Title. This Act shall be known as the
ART. 138. Classification of certain women workers . - Any "Anti-Sexual Harassment Act of 1995."
woman who is permitted or suffered to work, with or
without compensation, in any night club, cocktail lounge,
massage clinic, bar or similar establishments under the Sec. 2. Declaration of Policy. The State shall
effective control or supervision of the employer for a value the dignity of every individual, enhance the
substantial period of time as determined by the Secretary of development of it human resources, guarantee full
Labor and Employment, shall be considered as an employee respect for human rights, and uphold the dignity of
of such establishment for purposes of labor and social workers, employees, applicants for employment,
legislation. students or those undergoing training, instruction or
education. Towards this end, all forms of sexual
f. Maternity Leave, Social Security Law of 1997 harassment in the employment, education or training
(RA 1161, as amended by RA 8282), Sec. 14-A, RA 828 environment are hereby declared unlawful.
"SEC. 14-A. Maternity Leave Benefit. - A female member Sec. 3. Work, Education or Training-related
who has paid at least three (3) monthly contributions in the Sexual Harassment Defined. Work, education or
twelve-month period immediately preceding the semester of
training-related sexual harassment is committed by an
her childbirth or miscarriage shall be paid a daily maternity
benefit equivalent to one hundred percent (100%) of her
employee, manager, supervisor, agent of the
average daily salary credit for sixty (60) days or seventy- employer, teacher, instructor, professor, coach,
trainor, or any other person who, having authority, (a) Promulgate appropriate rules and
influence or moral ascendancy over another in a work regulations in consultation with the jointly approved by
or training or education environment, demands, the employees or students or trainees, through their
requests or otherwise requires any sexual favor from duly designated representatives, prescribing the
the other, regardless of whether the demand, request procedure for the investigation or sexual harassment
or requirement for submission is accepted by the cases and the administrative sanctions therefor.
object of said Act.
Administrative sanctions shall not be a bar to
(a) In a work-related or employment prosecution in the proper courts for unlawful acts of
environment, sexual harassment is committed when: sexual harassment.
(1) The sexual favor is made as a condition The said rules and regulations issued pursuant
in the hiring or in the employment, re-employment or to this section (a) shall include, among others,
continued employment of said individual, or in guidelines on proper decorum in the workplace and
granting said individual favorable compensation, educational or training institutions.
terms, conditions, promotions, or privileges; or the
refusal to grant the sexual favor results in limiting, (c) Create a committee on decorum and
segregating or classifying the employee which in a investigation of cases on sexual harassment. The
way would discriminate, deprive or diminish committee shall conduct meetings, as the case may
employment opportunities or otherwise adversely be, with other officers and employees, teachers,
affect said employee; instructors, professors, coaches, trainors and
students or trainees to increase understanding and
(2) The above acts would impair the prevent incidents of sexual harassment. It shall also
employees rights or privileges under existing labor conduct the investigation of the alleged cases
laws; or constituting sexual harassment.
(3) The above acts would result in an In the case of a work-related environment, the
intimidating, hostile, or offensive environment for the committee shall be composed of at least one (1)
employee. representative each from the management, the union,
if any, the employees from the supervisory rank, and
(b) In an education or training environment, from the rank and file employees.
sexual harassment is committed:
In the case of the educational or training
(1) Against one who is under the care, institution, the committee shall be composed of at
custody or supervision of the offender; least one (1) representative from the administration,
the trainors, teachers, instructors, professors or
coaches and students or trainees, as the case maybe.
(2) Against one whose education, training,
apprenticeship or tutorship is entrusted to the
offender; "The employer or head of office, educational or
training institution shall disseminate or post a copy of
this Act for the information of all concerned.
(3) When the sexual favor is made a
condition to the giving of a passing grade, or the
granting of honors and scholarships, or the payment Sec. 5. Liability of the Employer, Head of Office,
of a stipend, allowance or other benefits, privileges, or Educational or Training Institution. The employer or
considerations; or head of office, educational training institution shall be
solidarily liable for damage arising from the acts of
sexual harassment committed in the employment,
(4) When the sexual advances result in an education or training environment if the employer or
intimidating, hostile or offensive environment for the head of office, educational or training institution is
student, trainee or apprentice. informed of such acts by the offended party and no
immediate action is taken thereon.
Any person who directs or induces
another to commit any act of sexual harassment as Sec. 6. Independent Action for Damages.
herein defined, or who cooperates in the commission Nothing in this Act shall preclude the victim of work,
thereof by another without which it would not have education or training-related sexual harassment from
been committed, shall also be held liable under this instituting a separate and independent action for
Act. damages and other affirmative relief.
Sec.4. Duty of the Employer or Head of Office in Sec. 7. Penalties. Any person who violates the
a Work-related, Education or Training Environment. provisions of this Act shall, upon conviction, be
It shall be the duty of the employer or the head of the penalized by imprisonment of not less than one (1)
work-related, educational or training environment or month nor more than six (6) months, or a fine of not
institution, to prevent or deter the commission of acts less than Ten thousand pesos (P10,000) nor more
of sexual harassment and to provide the procedures than Twenty thousand pesos (P20,000), or both such
for the resolution, settlement or prosecution of acts of fine and imprisonment at the discretion of the court.
sexual harassment. Towards this end, the employer or
head of office shall:
Any action arising from the violation of the

provision of this Act shall prescribe in three (3) years.
Sec. 8. Separability Clause If any portion or

provision of this Act is declared void and
unconstitutional, the remaining portions or provisions
hereof shall not be affected by such declaration.
Sec.9. Repealing Clause. All laws, decrees,

orders, rules and regulations, other issuances, or
parts thereof inconsistent with the provisions of this
Act are hereby repealed or modified accordingly.
Sec.10. Effectivity Clause. This Act shall take

effect fifteen (15) days after its complete publication in
at least two (2) national newspaper of general
circulation.
Renato S. Gatbonton v. NLRC, et
Libres v. NLRC, 307 SCRA 675 al., 479 SCRA 416 (2006)
(1999)
2. Minors
Reference: Art.s 139-140; Omnibus Rules, Book

III, Rule XII, Secs. 2-3; Special Protection of Children Act of
2003 (RA 7610, as amended by RA 9231); ILO Convention
No.182 and ILO Recommendation No. 190
EMPLOYMENT OF MINORS
Philippine Aelous Automotive ART. 139. Minimum employable age. - (a) No child below
United Corp. v. NLRC, 331SCRA 237 (2000) fifteen (15) years of age shall be employed, except when he
works directly under the sole responsibility of his parents or
guardian, and his employment does not in any way interfere
with his schooling.
(b) Any person between fifteen (15) and eighteen (18) years
of age may be employed for such number of hours and such
periods of the day as determined by the Secretary of Labor
and Employment in appropriate regulations.
(c) The foregoing provisions shall in no case allow the

employment of a person below eighteen (18) years of age in
an undertaking which is hazardous or deleterious in nature
as determined by the Secretary of Labor and Employment.

ART. 140. Prohibition against child discrimination. - No program for prevention and deterrence of and crisis
employer shall discriminate against any person in respect to intervention in situations of child abuse, exploitation
terms and conditions of employment on account of his age. and discrimination. The State shall intervene on
behalf of the child when the parent, guardian, teacher
SECTION 2. Employable age. Children below fifteen (15) or person having care or custody of the child fails or is
years of age may be allowed to work under the direct unable to protect the child against abuse, exploitation
responsibility of their parents or guardians in any non- and discrimination or when such acts against the child
hazardous undertaking where the work will not in any way are committed by the said parent, guardian, teacher
interfere with their schooling. In such cases, the children or person having care and custody of the same.
shall not be considered as employees of the employers or
their parents or guardians.
"It shall be the policy of the State to protect and
rehabilitate children gravely threatened or
SECTION 3. Eligibility for employment. Any person of endangered by circumstances which affect or will
either sex, between 15 and 18 years of age, may be
affect their survival and normal development and over
employed in any non-hazardous work. No employer shall
discriminate against such person in regard to terms and
which they have no control.
conditions of employment on account of his age.
"The best interests of children shall be the paramount
For purposes of this Rule, a non-hazardous work or consideration in all actions concerning them, whether
undertaking shall mean any work or activity in which the undertaken by public or private social welfare
employee is not exposed to any risk which constitutes an institutions, courts of law, administrative authorities,
imminent danger to his safety and health. The Secretary of and legislative bodies, consistent with the principle of
Labor and Employment shall from time to time publish a list First Call for Children as enunciated in the United
of hazardous work and activities in which persons 18 years Nations Convention on the Rights of the Child. Every
of age and below cannot be employed. effort shall be exerted to promote the welfare of
children and enhance their opportunities for a useful
Republic of the Philippines and happy life."
Congress of the Philippines
Metro Manila Section 2. Section 12 of the same Act, as amended,
is hereby further amended to read as follows:
Twelfth Congress
Third Regular Session "Sec. 2. Employment of Children - Children below
fifteen (15) years of age shall not be employed
except:
Begun and held in Metro Manila, on Monday, the "1) When a child works directly under the sole
twenty-eighth day of July, two thousand three. responsibility of his/her parents or legal guardian and
where only members of his/her family are employed:
Provided, however, That his/her employment neither
Republic Act No. 9231 December 19, 2003 endangers his/her life, safety, health, and morals, nor
impairs his/her normal development: Provided,
AN ACT PROVIDING FOR THE ELIMINATION OF further, That the parent or legal guardian shall provide
THE WORST FORMS OF CHILD LABOR AND the said child with the prescribed primary and/or
AFFORDING STRONGER PROTECTION FOR THE secondary education; or
WORKING CHILD, AMENDING FOR THIS
PURPOSE REPUBLIC ACTNO. 7610, AS "2) Where a child's employment or participation in
AMENDED, OTHERWISE KNOWN AS THE public entertainment or information through cinema,
"SPECIAL PROTECTION OF CHILDREN AGAINST theater, radio, television or other forms of media is
CHILD ABUSE, EXPLOITATION AND essential: Provided, That the employment contract is
DISCRIMINATION ACT" concluded by the child's parents or legal guardian,
with the express agreement of the child concerned, if
Be it enacted by the Senate and the House of possible, and the approval of the Department of Labor
Representatives of the Philippines in Congress and Employment: Provided, further, That the following
assembled: requirements in all instances are strictly complied
with:
Section 1. Section 2 of Republic Act No. 7610, as
amended, otherwise known as the "Special Protection "(a) The employer shall ensure the protection, health,
of Children Against Child Abuse, Exploitation and safety, morals and normal development of the child;
Discrimination Act", is hereby amended to read as
follows: "(b) The employer shall institute measures to prevent
the child's exploitation or discrimination taking into
"Sec. 2. Declaration of State Policy and Principles. - It account the system and level of remuneration, and
is hereby declared to be the policy of the State to the duration and arrangement of working time; and
provide special protection to children from all forms of
abuse, neglect, cruelty, exploitation and "(c) The employer shall formulate and implement,
discrimination, and other conditions prejudicial to their subject to the approval and supervision of competent
development including child labor and its worst forms;
provide sanctions for their commission and carry out a
authorities, a continuing program for training and skills (P200,000.00) annually, for which he/she shall render
acquisition of the child. a semi-annual accounting of the fund to the
Department of Labor and Employment, in compliance
"In the above-exceptional cases where any such child with the provisions of this Act. The child shall have full
may be employed, the employer shall first secure, control over the trust fund upon reaching the age of
before engaging such child, a work permit from the majority.
Department of Labor and Employment which shall
ensure observance of the above requirements. "Sec. 12-D. Prohibition Against Worst Forms of Child
Labor. - No child shall be engaged in the worst forms
"For purposes of this Article, the term "child" shall of child labor. The phrase "worst forms of child labor"
apply to all persons under eighteen (18) years of shall refer to any of the following:
age."
"(1) All forms of slavery, as defined under the "Anti-
Section 3. The same Act, as amended, is hereby trafficking in Persons Act of 2003", or practices similar
further amended by adding new sections to be to slavery such as sale and trafficking of children,
denominated as Sections 12-A, 12-B, 12-C, and 12-D debt bondage and serfdom and forced or compulsory
to read as follows: labor, including recruitment of children for use in
armed conflict; or
"Sec. 2-A. Hours of Work of a Working Child. - Under
the exceptions provided in Section 12 of this Act, as "(2) The use, procuring, offering or exposing of a child
amended: for prostitution, for the production of pornography or
for pornographic performances; or
"(1) A child below fifteen (15) years of age may be
allowed to work for not more than twenty (20) hours a "(3) The use, procuring or offering of a child for illegal
week: Provided, That the work shall not be more than or illicit activities, including the production and
four (4) hours at any given day; trafficking of dangerous drugs and volatile substances
prohibited under existing laws; or
"(2) A child fifteen (15) years of age but below
eighteen (18) shall not be allowed to work for more "(4) Work which, by its nature or the circumstances in
than eight (8) hours a day, and in no case beyond which it is carried out, is hazardous or likely to be
forty (40) hours a week; harmful to the health, safety or morals of children,
such that it:
"(3) No child below fifteen (15) years of age shall be
allowed to work between eight o'clock in the evening "a) Debases, degrades or demeans the intrinsic worth
and six o'clock in the morning of the following day and and dignity of a child as a human being; or
no child fifteen (15) years of age but below eighteen
(18) shall be allowed to work between ten o'clock in "b) Exposes the child to physical, emotional or sexual
the evening and six o'clock in the morning of the abuse, or is found to be highly stressful
following day." psychologically or may prejudice morals; or
"Sec. 12-B. Ownership, Usage and Administration of "c) Is performed underground, underwater or at
the Working Child's Income. - The wages, salaries, dangerous heights; or
earnings and other income of the working child shall
belong to him/her in ownership and shall be set aside "d) Involves the use of dangerous machinery,
primarily for his/her support, education or skills equipment and tools such as power-driven or
acquisition and secondarily to the collective needs of explosive power-actuated tools; or
the family: Provided, That not more than twenty
percent (20%) of the child's income may be used for
the collective needs of the family. "e) Exposes the child to physical danger such as, but
not limited to the dangerous feats of balancing,
physical strength or contortion, or which requires the
"The income of the working child and/or the property manual transport of heavy loads; or
acquired through the work of the child shall be
administered by both parents. In the absence or
incapacity of either of the parents, the other parent "f) Is performed in an unhealthy environment exposing
shall administer the same. In case both parents are the child to hazardous working conditions, elements,
absent or incapacitated, the order of preference on substances, co-agents or processes involving
parental authority as provided for under the Family ionizing, radiation, fire, flammable substances,
Code shall apply. noxious components and the like, or to extreme
temperatures, noise levels, or vibrations; or
"Sec. 12-C. Trust Fund to Preserve Part of the
Working Child's Income. - The parent or legal "g) Is performed under particularly difficult conditions;
guardian of a working child below eighteen (18) years or
of age shall set up a trust fund for at least thirty
percent (30%) of the earnings of the child whose "h) Exposes the child to biological agents such as
wages and salaries from work and other income bacteria, fungi, viruses, protozoans, nematodes and
amount to at least two hundred thousand pesos other parasites; or
"i) Involves the manufacture or handling of explosives (20) years, or both such fine and imprisonment at the
and other pyrotechnic products." discretion of the court.
Section 4. Section 13 of the same Act is hereby "c) Any person who violates Sections 12-D(1) and 12-
amended to read as follows: D(2) shall be prosecuted and penalized in accordance
with the penalty provided for by R. A. 9208 otherwise
"Sec. 13. Access to Education and Training for known as the "Anti-trafficking in Persons Act of 2003":
Working Children - "a) No child shall be deprived of Provided, That Such penalty shall be imposed in its
formal or non-formal education. In all cases of maximum period.
employment allowed in this Act, the employer shall
provide a working child with access to at least primary "d) Any person who violates Section 12-D (3) shall be
and secondary education. prosecuted and penalized in accordance with R.A.
9165, otherwise known as the "Comprehensive
"b) To ensure and guarantee the access of the Dangerous Drugs Act of 2002"; Provided, That such
working child to education and training, the penalty shall be imposed in its maximum period.
Department of Education (DEPED) shall: (1)
formulate, promulgate, and implement relevant and "e) If a corporation commits any of the violations
effective course designs and educational programs; aforecited, the board of directors/trustees and officers,
(2) conduct the necessary training for the which include the president, treasurer and secretary
implementation of the appropriate curriculum for the of the said corporation who participated in or
purpose; (3) ensure the availability of the needed knowingly allowed the violation, shall be penalized
educational facilities and materials; and (4) conduct accordingly as provided for under this Section.
continuing research and development program for the
necessary and relevant alternative education of the "f) Parents, biological or by legal fiction, and legal
working child. guardians found to be violating Sections 12, 12-A, 12-
B and 12-C of this Act shall pay a fine of not less than
"c) The DEPED shall promulgate a course design Ten thousand pesos (P10,000.00) but not more than
under its non-formal education program aimed at One hundred thousand pesos (P100,000.00), or be
promoting the intellectual, moral and vocational required to render community service for not less than
efficiency of working children who have not thirty (30) days but not more than one (1) year, or
undergone or finished elementary or secondary both such fine and community service at the
education. Such course design shall integrate the discretion of the court: Provided, That the maximum
learning process deemed most effective under given length of community service shall be imposed on
circumstances." parents or legal guardians who have violated the
provisions of this Act three (3) times; Provided,
Section 5. Section 14 of the same Act is hereby further, That in addition to the community service, the
amended to read as follows: penalty of imprisonment of thirty (30) days but not
more than one (1) year or both at the discretion of the
court, shall be imposed on the parents or legal
"Sec. 14. Prohibition on the Employment of Children guardians who have violated the provisions of this Act
in Certain Advertisements. - No child shall be more than three (3) times.
employed as a model in any advertisement directly or
indirectly promoting alcoholic beverages, intoxicating
drinks, tobacco and its byproducts, gambling or any "g) The Secretary, of Labor and Employment or
form of violence or pornography." his/her duly authorized representative may, after due
notice and hearing, order the closure of any business
firm or establishment found to have violated any of
Section 6. Section 16 of the same Act, is hereby the provisions of this Act more than three (3) times.
amended to read as follows: He/she shall likewise order the immediate closure of
such firm or establishment if:
"Sec. 16. Penal Provisions -
"(1) The violation of any provision of this Act has
"a) Any employer who violates Sections 12, 12-A, and resulted in the death, insanity or serious physical
Section 14 of this act, as amended, shall be penalized injury of a child employed in such establishment; or
by imprisonment of six (6) months and one (1) day to
six (6) years or a fine of not less than Fifty thousand "(2) Such firm or establishment is engaged or
pesos (P50,000.00) but not more than Three hundred employed in prostitution or in obscene or lewd shows.
thousand pesos (P300,000.00) or both at the
discretion of the court.
"h) In case of such closure, the employer shall be
required to pay the employee(s) the separation pay
"b) Any person who violates the provision of Section and other monetary benefits provided for by law."
12-D of this act or the employer of the subcontractor
who employs, or the one who facilitates the
employment of a child in hazardous work, shall suffer Section 7. The same Act is hereby further amended
the penalty of a fine of not less than One hundred by adding a new section to be denominated as
thousand pesos (P100,000.00) but not more than One Section 16-A, to read as follows:
million pesos (P1,000,000.00), or imprisonment of not
less than twelve (12) years and one (1) day to twenty
"Sec. 16-A. Trust Fund from Fines and Penalties - "Sec. 15. Exemptions from Filing Fees. - When the
The fine imposed by the court shall be treated as a victim of child labor institutes a separate civil action
Trust Fund, administered by the Department of Labor for the recovery of civil damages, he/she shall be
and Employment and disbursed exclusively for the exempt from payment of filing fees.
needs, including the costs of rehabilitation and
reintegration into the mainstream of society of the "Sec. 16-C. Access to Immediate Legal, Medical and
working children who are victims of the violations of Psycho-Social Services - The working child shall have
this Act, and for the programs and projects that will the right to free legal, medical and psycho-social
prevent acts of child labor." services to be provided by the State."
Section 8. Section 27 of the same Act is hereby Section 10. Implementing Rules and Regulations -
amended to read as follows: The Secretary of Labor and Employment, in
coordination with the Committees on Labor and
"Sec. 27. Who May File a Complaint - Complaints on Employment of both Houses of Congress, shall issue
cases of unlawful acts committed against children as the necessary Implementing Rules and Regulations
enumerated herein may be filed by the following: (IRR) to effectively implement the provisions of this
Act, in consultation with concerned public and private
"(a) Offended party; sectors, within sixty (60) days from the effectivity of
this Act.
"(b) Parents or guardians;
Such rules and regulations shall take effect upon their
publication in two (2) national newspapers of general
"(c) Ascendant or collateral relative within the third circulation.
degree of consanguinity;
Section 11. Separability Clause. - If any provision of
"(d) Officer, social worker or representative of a this Act is declared invalid or unconstitutional, the
licensed child-caring institution; validity of the remaining provisions hereof shall
remain in full force and effect.
"(e) Officer or social worker of the Department of
Social Welfare and Development; Section 12. Repealing Clause. - All laws, decrees, or
rules inconsistent with the provisions of this Act are
"(f) Barangay chairman of the place where the hereby repealed or modified accordingly.
violation occurred, where the child is residing or
employed; or Section 13. Effectivity. - This Act shall take effect
fifteen (15) days from the date of its complete
"(g) At least three (3) concerned, responsible citizens publication in the Official Gazette or in at least two (2)
where the violation occurred." national newspapers of general circulation.
Section 9. The same Act is hereby further amended C182 Worst Forms of Child Labour Convention,
by adding new sections to Section 16 to be 1999
denominated as Sections 16-A, 16-B and 16-C to
read as follows: Convention concerning the Prohibition and Immediate
Action for the Elimination of the Worst Forms of Child
"Sec. 16-A. Jurisdiction - The family courts shall have Labour (Note: Date of coming into force: 19:11:2000)
original jurisdiction over all cases involving offenses Convention:C182
punishable under this Act: Provided, That in cities or Place:Geneva
provinces where there are no family courts yet, the Session of the Conference:87
regional trial courts and the municipal trial courts shall Date of adoption:17:06:1999
have concurrent jurisdiction depending on the Subject classification: Elimination of Child Labour
penalties prescribed for the offense charged. Subject classification: Children and Young Persons
Subject: Elimination of Child Labour and
"The preliminary investigation of cases filed under this Protection of Children and Young Persons
Act shall be terminated within a period of thirty (30)
days from the date of filing.
"If the preliminary investigation establishes a prima Organization,
facie case, then the corresponding information shall
be filed in court within forty eight (48) hours from the Having been convened at Geneva by the Governing
termination of the investigation. Body of the International Labour Office, and having
met in its 87th Session on 1 June 1999, and
"Trial of cases under this Act shall be terminated by
the court not later than ninety (90) days from the date Considering the need to adopt new instruments for
of filing of information. Decision on said cases shall the prohibition and elimination of the worst forms of
be rendered within a period of fifteen (15) days from child labour, as the main priority for national and
the date of submission of the case. international action, including international

cooperation and assistance, to complement the Article 3

Convention and the Recommendation concerning
Minimum Age for Admission to Employment, 1973, For the purposes of this Convention, the term the
which remain fundamental instruments on child worst forms of child labour comprises:
labour, and
(a) all forms of slavery or practices similar to slavery,
Considering that the effective elimination of the worst such as the sale and trafficking of children, debt
forms of child labour requires immediate and bondage and serfdom and forced or compulsory
comprehensive action, taking into account the labour, including forced or compulsory recruitment of
importance of free basic education and the need to children for use in armed conflict;
remove the children concerned from all such work
and to provide for their rehabilitation and social
integration while addressing the needs of their (b) the use, procuring or offering of a child for
families, and prostitution, for the production of pornography or for
pornographic performances;
Recalling the resolution concerning the elimination of
child labour adopted by the International Labour (c) the use, procuring or offering of a child for illicit
Conference at its 83rd Session in 1996, and activities, in particular for the production and
trafficking of drugs as defined in the relevant
international treaties;
Recognizing that child labour is to a great extent
caused by poverty and that the long-term solution lies
in sustained economic growth leading to social (d) work which, by its nature or the circumstances in
progress, in particular poverty alleviation and which it is carried out, is likely to harm the health,
universal education, and safety or morals of children.
Recalling the Convention on the Rights of the Child Article 4

adopted by the United Nations General Assembly on
20 November 1989, and 1. The types of work referred to under Article 3(d)
shall be determined by national laws or regulations or
Recalling the ILO Declaration on Fundamental by the competent authority, after consultation with the
Principles and Rights at Work and its Follow-up, organizations of employers and workers concerned,
adopted by the International Labour Conference at its taking into consideration relevant international
86th Session in 1998, and standards, in particular Paragraphs 3 and 4 of the
Worst Forms of Child Labour Recommendation, 1999.
Recalling that some of the worst forms of child labour
are covered by other international instruments, in 2. The competent authority, after consultation with the
particular the Forced Labour Convention, 1930, and organizations of employers and workers concerned,
the United Nations Supplementary Convention on the shall identify where the types of work so determined
Abolition of Slavery, the Slave Trade, and Institutions exist.
and Practices Similar to Slavery, 1956, and
3. The list of the types of work determined under
Having decided upon the adoption of certain paragraph 1 of this Article shall be periodically
proposals with regard to child labour, which is the examined and revised as necessary, in consultation
fourth item on the agenda of the session, and with the organizations of employers and workers
concerned.
Having determined that these proposals shall take the
form of an international Convention; Article 5
adopts this seventeenth day of June of the year one Each Member shall, after consultation with employers'
thousand nine hundred and ninety-nine the following and workers' organizations, establish or designate
Convention, which may be cited as the Worst Forms appropriate mechanisms to monitor the
of Child Labour Convention, 1999. implementation of the provisions giving effect to this
Convention.
Article 1
Article 6
Each Member which ratifies this Convention shall take
immediate and effective measures to secure the 1. Each Member shall design and implement
prohibition and elimination of the worst forms of child programmes of action to eliminate as a priority the
labour as a matter of urgency. worst forms of child labour.
Article 2 2. Such programmes of action shall be designed and

implemented in consultation with relevant government
institutions and employers' and workers'
For the purposes of this Convention, the term child organizations, taking into consideration the views of
shall apply to all persons under the age of 18. other concerned groups as appropriate.

Article 7 Article 11
1. Each Member shall take all necessary measures to 1. A Member which has ratified this Convention may
ensure the effective implementation and enforcement denounce it after the expiration of ten years from the
of the provisions giving effect to this Convention date on which the Convention first comes into force,
including the provision and application of penal by an act communicated to the Director-General of
sanctions or, as appropriate, other sanctions. the International Labour Office for registration. Such
denunciation shall not take effect until one year after
2. Each Member shall, taking into account the the date on which it is registered.
importance of education in eliminating child labour,
take effective and time-bound measures to: 2. Each Member which has ratified this Convention
and which does not, within the year following the
(a) prevent the engagement of children in the worst expiration of the period of ten years mentioned in the
forms of child labour; preceding paragraph, exercise the right of
denunciation provided for in this Article, will be bound
for another period of ten years and, thereafter, may
(b) provide the necessary and appropriate direct denounce this Convention at the expiration of each
assistance for the removal of children from the worst period of ten years under the terms provided for in
forms of child labour and for their rehabilitation and this Article.
social integration;
Article 12
(c) ensure access to free basic education, and,
wherever possible and appropriate, vocational
training, for all children removed from the worst forms 1. The Director-General of the International Labour
of child labour; Office shall notify all Members of the International
Labour Organization of the registration of all
ratifications and acts of denunciation communicated
(d) identify and reach out to children at special risk; by the Members of the Organization.
and
2. When notifying the Members of the Organization of
(e) take account of the special situation of girls. the registration of the second ratification, the Director-
General shall draw the attention of the Members of
3. Each Member shall designate the competent the Organization to the date upon which the
authority responsible for the implementation of the Convention shall come into force.
provisions giving effect to this Convention.
Article 13
Article 8
The Director-General of the International Labour
Members shall take appropriate steps to assist one Office shall communicate to the Secretary-General of
another in giving effect to the provisions of this the United Nations, for registration in accordance with
Convention through enhanced international article 102 of the Charter of the United Nations, full
cooperation and/or assistance including support for particulars of all ratifications and acts of denunciation
social and economic development, poverty registered by the Director-General in accordance with
eradication programmes and universal education. the provisions of the preceding Articles.
Article 9 Article 14
The formal ratifications of this Convention shall be At such times as it may consider necessary, the
communicated to the Director-General of the Governing Body of the International Labour Office
International Labour Office for registration. shall present to the General Conference a report on
the working of this Convention and shall examine the
Article 10 desirability of placing on the agenda of the
Conference the question of its revision in whole or in
part.
1. This Convention shall be binding only upon those
Members of the International Labour Organization
whose ratifications have been registered with the Article 15
Director-General of the International Labour Office.
1. Should the Conference adopt a new Convention
2. It shall come into force 12 months after the date on revising this Convention in whole or in part, then,
which the ratifications of two Members have been unless the new Convention otherwise provides --
registered with the Director-General.
(a) the ratification by a Member of the new revising
3. Thereafter, this Convention shall come into force Convention shall ipso jure involve the immediate
for any Member 12 months after the date on which its denunciation of this Convention, notwithstanding the
ratification has been registered. provisions of Article 11 above, if and when the new
revising Convention shall have come into force;

(b) as from the date when the new revising government institutions and employers' and workers'
Convention comes into force, this Convention shall organizations, taking into consideration the views of
cease to be open to ratification by the Members. the children directly affected by the worst forms of
child labour, their families and, as appropriate, other
2. This Convention shall in any case remain in force in concerned groups committed to the aims of the
its actual form and content for those Members which Convention and this Recommendation. Such
have ratified it but have not ratified the revising programmes should aim at, inter alia:
Convention.
(a) identifying and denouncing the worst forms of child
Article 16 labour;
The English and French versions of the text of this (b) preventing the engagement of children in or
Convention are equally authoritative. removing them from the worst forms of child labour,
protecting them from reprisals and providing for their
rehabilitation and social integration through measures
R190 Worst Forms of Child Labour which address their educational, physical and
Recommendation, 1999 psychological needs;
Recommendation concerning the prohibition and (c) giving special attention to:
immediate action for the elimination of the worst forms
of child labour
Place:Geneva (i) younger children;
Date of adoption:17:06:1999 (ii) the girl child;
Subject classification: Elimination of Child Labour
Subject classification: Children and Young Persons (iii) the problem of hidden work situations, in which
Subject: Elimination of Child Labour and girls are at special risk;
Protection of Children and Young Persons
(iv) other groups of children with special vulnerabilities
or needs;
Organization, (d) identifying, reaching out to and working with
communities where children are at special risk;
Having been convened at Geneva by the Governing
Body of the International Labour Office, and having (e) informing, sensitizing and mobilizing public opinion
met in its Eighty-seventh Session on 1 June 1999, and concerned groups, including children and their
and families.
Having adopted the Worst Forms of Child Labour II. Hazardous work
Convention, 1999, and
3. In determining the types of work referred to under
Having decided upon the adoption of certain Article 3(d) of the Convention, and in identifying
proposals with regard to child labour, which is the where they exist, consideration should be given, inter
fourth item on the agenda of the session, and alia, to:
Having determined that these proposals shall take the (a) work which exposes children to physical,
form of a Recommendation supplementing the Worst psychological or sexual abuse;
Forms of Child Labour Convention, 1999;
(b) work underground, under water, at dangerous
adopts this seventeenth day of June of the year one heights or in confined spaces;
thousand nine hundred and ninety-nine the following
Recommendation, which may be cited as the Worst
Forms of Child Labour Recommendation, 1999. (c) work with dangerous machinery, equipment and
tools, or which involves the manual handling or
transport of heavy loads;
1. The provisions of this Recommendation
supplement those of the Worst Forms of Child Labour
Convention, 1999 (hereafter referred to as "the (d) work in an unhealthy environment which may, for
Convention"), and should be applied in conjunction example, expose children to hazardous substances,
with them. agents or processes, or to temperatures, noise levels,
or vibrations damaging to their health;
I. Programmes of action
(e) work under particularly difficult conditions such as
work for long hours or during the night or work where
2. The programmes of action referred to in Article 6 of the child is unreasonably confined to the premises of
the Convention should be designed and implemented the employer.
as a matter of urgency, in consultation with relevant

4. For the types of work referred to under Article 3(d) (a) gathering and exchanging information concerning
of the Convention and Paragraph 3 above, national criminal offences, including those involving
laws or regulations or the competent authority could, international networks;
after consultation with the workers' and employers'
organizations concerned, authorize employment or (b) detecting and prosecuting those involved in the
work as from the age of 16 on condition that the sale and trafficking of children, or in the use,
health, safety and morals of the children concerned procuring or offering of children for illicit activities, for
are fully protected, and that the children have prostitution, for the production of pornography or for
received adequate specific instruction or vocational pornographic performances;
training in the relevant branch of activity.
(c) registering perpetrators of such offences.
III. Implementation
12. Members should provide that the following worst
5. (1) Detailed information and statistical data on the forms of child labour are criminal offences:
nature and extent of child labour should be compiled
and kept up to date to serve as a basis for
determining priorities for national action for the (a) all forms of slavery or practices similar to slavery,
abolition of child labour, in particular for the prohibition such as the sale and trafficking of children, debt
and elimination of its worst forms as a matter of bondage and serfdom and forced or compulsory
urgency. labour, including forced or compulsory recruitment of
children for use in armed conflict;
(2) As far as possible, such information and statistical
data should include data disaggregated by sex, age (b) the use, procuring or offering of a child for
group, occupation, branch of economic activity, status prostitution, for the production of pornography or for
in employment, school attendance and geographical pornographic performances; and
location. The importance of an effective system of
birth registration, including the issuing of birth (c) the use, procuring or offering of a child for illicit
certificates, should be taken into account. activities, in particular for the production and
trafficking of drugs as defined in the relevant
(3) Relevant data concerning violations of national international treaties, or for activities which involve the
provisions for the prohibition and elimination of the unlawful carrying or use of firearms or other weapons.
worst forms of child labour should be compiled and
kept up to date. 13. Members should ensure that penalties including,
where appropriate, criminal penalties are applied for
6. The compilation and processing of the information violations of the national provisions for the prohibition
and data referred to in Paragraph 5 above should be and elimination of any type of work referred to in
carried out with due regard for the right to privacy. Article 3(d) of the Convention.
7. The information compiled under Paragraph 5 above 14. Members should also provide as a matter of
should be communicated to the International Labour urgency for other criminal, civil or administrative
Office on a regular basis. remedies, where appropriate, to ensure the effective
enforcement of national provisions for the prohibition
and elimination of the worst forms of child labour,
8. Members should establish or designate appropriate such as special supervision of enterprises which have
national mechanisms to monitor the implementation of used the worst forms of child labour, and, in cases of
national provisions for the prohibition and elimination persistent violation, consideration of temporary or
of the worst forms of child labour, after consultation permanent revoking of permits to operate.
with employers' and workers' organizations.
15. Other measures aimed at the prohibition and
9. Members should ensure that the competent elimination of the worst forms of child labour might
authorities which have responsibilities for include the following:
implementing national provisions for the prohibition
and elimination of the worst forms of child labour
cooperate with each other and coordinate their (a) informing, sensitizing and mobilizing the general
activities. public, including national and local political leaders,
parliamentarians and the judiciary;
10. National laws or regulations or the competent
authority should determine the persons to be held (b) involving and training employers' and workers'
responsible in the event of non-compliance with organizations and civic organizations;
national provisions for the prohibition and elimination
of the worst forms of child labour. (c) providing appropriate training for the government
officials concerned, especially inspectors and law
11. Members should, in so far as it is compatible with enforcement officials, and for other relevant
national law, cooperate with international efforts professionals;
aimed at the prohibition and elimination of the worst
forms of child labour as a matter of urgency by: (d) providing for the prosecution in their own country
of the Member's nationals who commit offences under
its national provisions for the prohibition and their physical, moral, spiritual, intellectual, and social
immediate elimination of the worst forms of child well-being. It shall inculcate in the youth patriotism
labour even when these offences are committed in and nationalism, and encourage their involvement in
another country; public and civic affairs.
b. Coverage, RA 9231, Sec. 2, par. 3 on Sec.

(e) simplifying legal and administrative procedures
12; Book III, Rule XII, Sec. 1
and ensuring that they are appropriate and prompt;
(See Above)
(f) encouraging the development of policies by
undertakings to promote the aims of the Convention; c. Employment of Children, Art. 139; RA 7610,
Sec. 12-16; DOLE Memo Circular No. 2, S 1998 Re;
Hazardous and Non-Hazardous Establishments
(g) monitoring and giving publicity to best practices on
the elimination of child labour; RA 7610
(h) giving publicity to legal or other provisions on child ARTICLE VIII

labour in the different languages or dialects; Working Children
(i) establishing special complaints procedures and Section 12. Employment of Children. - Children
making provisions to protect from discrimination and below fifteen (15) years of age may be employed
reprisals those who legitimately expose violations of except:
the provisions of the Convention, as well as
establishing helplines or points of contact and
(1) When a child works directly under the
ombudspersons;
sole responsibility of his parents or legal
guardian and where only members of the
(j) adopting appropriate measures to improve the employer's family are employed: Provided,
educational infrastructure and the training of teachers however, That his employment neither
to meet the needs of boys and girls; endangers his life, safety and health and
morals, nor impairs his normal development:
(k) as far as possible, taking into account in national Provided, further, That the parent or legal
programmes of action: guardian shall provide the said minor child
with the prescribed primary and/or
secondary education; or
(i) the need for job creation and vocational training for
the parents and adults in the families of children
working in the conditions covered by the Convention; (2) When a child's employment or
and participation in public & entertainment or
information through cinema, theater, radio or
television is essential: Provided, The
(ii) the need for sensitizing parents to the problem of
employment contract concluded by the
children working in such conditions.
child's parent or guardian, with the express
agreement of the child concerned, if
16. Enhanced international cooperation and/or possible, and the approval of the Department
assistance among Members for the prohibition and of Labor and Employment: Provided, That
effective elimination of the worst forms of child labour the following requirements in all instances
should complement national efforts and may, as are strictly complied with:
appropriate, be developed and implemented in
consultation with employers' and workers'
(a) The employer shall ensure the protection,
organizations. Such international cooperation and/or
health, safety and morals of the child;
assistance should include:
(b) the employer shall institute measures to

(a) mobilizing resources for national or international
prevent the child's exploitation or
programmes;
discrimination taking into account the system
and level of remuneration, and the duration
(b) mutual legal assistance; and arrangement of working time; and;
(c) technical assistance including the exchange of (c) The employer shall formulate and
information; implement, subject to the approval and
supervision of competent authorities, a
(d) support for social and economic development, continuing program for training and skill
poverty eradication programmes and universal acquisition of the child.
education.
In the above exceptional cases where any such child
a. Minors under the Constitution, Art. II, Sec. 13 may be employed, the employer shall first secure,
before engaging such child, a work permit from the
Section 13. The State recognizes the vital role of the Department of Labor and Employment which shall
youth in nation-building and shall promote and protect ensure observance of the above requirement.

The Department of Labor Employment shall

promulgate rules and regulations necessary for the
effective implementation of this Section.
Section 13. Non-formal Education for Working

Children. - The Department of Education, Culture and
Sports shall promulgate a course design under its 3. Househelpers/Caregivers
non-formal education program aimed at promoting the
intellectual, moral and vocational efficiency of working Reference: Arts. 141-152; Omnibus Rules, Book III, Rule
children who have not undergone or finished XIII
elementary or secondary education. Such course
design shall integrate the learning process deemed Chapter III
most effective under given circumstances. EMPLOYMENT OF HOUSEHELPERS
ART. 141. Coverage. - This Chapter shall apply to all persons
Section 14. Prohibition on the Employment of
Children in Certain Advertisements. - No person shall
"Domestic or household service" shall mean service in the
employ child models in all commercials or
employers home which is usually necessary or desirable for
advertisements promoting alcoholic beverages, the maintenance and enjoyment thereof and includes
intoxicating drinks, tobacco and its byproducts and ministering to the personal comfort and convenience of the
violence. members of the employers household, including services of
family drivers.
Section 15. Duty of Employer. - Every employer shall
comply with the duties provided for in Articles 108 and ART. 142. Contract of domestic service. - The original
109 of Presidential Decree No. 603. contract of domestic service shall not last for more than two
(2) years but it may be renewed for such periods as may be
agreed upon by the parties.
Section 16. Penalties. - Any person who shall violate
any provision of this Article shall suffer the penalty of
a fine of not less than One thousand pesos (P1,000) ART. 143. Minimum wage. - (a) Househelpers shall be paid
but not more than Ten thousand pesos (P10,000) or the following minimum wage rates:
imprisonment of not less than three (3) months but
not more than three (3) years, or both at the discretion (1) Eight hundred pesos (P800.00) a month for househelpers
of the court; Provided, That, in case of repeated in Manila, Quezon, Pasay, and Caloocan cities and
violations of the provisions of this Article, the municipalities of Makati, San Juan, Mandaluyong,
offender's license to operate shall be revoked. Muntinlupa, Navotas, Malabon, Paraaque, Las Pias, Pasig,
Marikina, Valenzuela, Taguig and Pateros in Metro Manila
and in highly urbanized cities;
d. Hours of Work, RA 9231, Sec. 3 on Sec. 12-a
(2) Six hundred fifty pesos (P650.00) a month for those in
e. Prohibitions Against Worst Forms of Child other chartered cities and first-class municipalities; and
Labor, Sec. 3 on Sec. 12-d; Sec 5 on sec. 14
(3) Five hundred fifty pesos (P550.00) a month for those in
other municipalities.
Provided, That the employers shall review the employment

f. Discrimination, Art. 140 contracts of their househelpers every three (3) years with
the end in view of improving the terms and conditions
g. Jurisdiction, Sec. 9 on Sec. 16-A thereof.
Reading: Provided, further, That those househelpers who are

receiving at least One thousand pesos (P1,000.00) shall be
Del Rosario and Bonga, Issues and covered by the Social Security System (SSS) and be entitled
Gaps Governing Child Labor, in Child Labor in the to all the benefits provided thereunder. (As amended by
Philippines, A Review of Selected Studies and Policy Papers, Republic Act No. 7655, August 19, 1993).
pp. 178-183 (2000).
ART. 144. Minimum cash wage. - The minimum wage rates
prescribed under this Chapter shall be the basic cash wages
which shall be paid to the househelpers in addition to
lodging, food and medical attendance.
ART. 145. Assignment to non-household work. - No

househelper shall be assigned to work in a commercial,
industrial or agricultural enterprise at a wage or salary rate
lower than that provided for agricultural or non-agricultural
workers as prescribed herein.
ART. 146. Opportunity for education. - If the househelper is

under the age of eighteen (18) years, the employer shall
give him or her an opportunity for at least elementary
education. The cost of education shall be part of the househelper, whether it be hourly, daily, weekly, or monthly,
househelpers compensation, unless there is a stipulation to or by piece or output basis.
the contrary.
SECTION 3. Children of househelpers. The children and
ART. 147. Treatment of househelpers. - The employer shall relatives of a househelper who live under the employer's
treat the househelper in a just and humane manner. In no roof and who share the accommodations provided for the
case shall physical violence be used upon the househelper. househelpers by the employer shall not be deemed as
househelpers if they are not otherwise engaged as such and
are not required to perform any substantial household work.
ART. 148. Board, lodging, and medical attendance. - The
employer shall furnish the househelper, free of charge,
suitable and sanitary living quarters as well as adequate SECTION 4. Employment contract. The initial contract for
food and medical attendance. household service shall not last for more than two (2) years.
However, such contract may be renewed from year to year.
ART. 149. Indemnity for unjust termination of services. - If
the period of household service is fixed, neither the SECTION 5. Minimum monthly wage. The minimum
employer nor the househelper may terminate the contract compensation of househelpers shall not be less than the
before the expiration of the term, except for a just cause. If following rates:
the househelper is unjustly dismissed, he or she shall be
paid the compensation already earned plus that for fifteen
(a) Sixty pesos (P60.00) a month for those employed in the
(15) days by way of indemnity.
cities of Manila, Quezon, Pasay and Caloocan, and in the
municipalities of Makati, San Juan, Mandaluyong,
If the househelper leaves without justifiable reason, he or Muntinlupa, Navotas, Malabon, Paraaque, Las Pias, Pasig
she shall forfeit any unpaid salary due him or her not and Marikina, in the Province of Rizal.
exceeding fifteen (15) days.
(b) Forty-five pesos (P45.00) a month for those employed in
ART. 150. Service of termination notice. - If the duration of other chartered cities and first class municipalities; and
the household service is not determined either in stipulation
or by the nature of the service, the employer or the
(c) Thirty pesos (P30.00) a month for those in other
househelper may give notice to put an end to the
municipalities.
relationship five (5) days before the intended termination of
the service.
SECTION 6. Equivalent daily rate. The equivalent
minimum daily wage rate of househelpers shall be
ART. 151. Employment certification. - Upon the severance of
determined by dividing the applicable minimum monthly rate
the household service relation, the employer shall give the
by thirty (30) days.
househelper a written statement of the nature and duration
of the service and his or her efficiency and conduct as
househelper. SECTION 7. Payment by results. Where the method of
payment of wages agreed upon by the employer and the
househelper is by piece or output basis, the piece or output
ART. 152. Employment record. - The employer may keep
rates shall be such as will assure the househelper of the
such records as he may deem necessary to reflect the actual
minimum monthly or the equivalent daily rate as provided in
terms and conditions of employment of his househelper,
this issuance.
which the latter shall authenticate by signature or
thumbmark upon request of the employer.
SECTION 8. Minimum cash wage. The minimum wage
rates prescribed under this Rule shall be basic cash wages
which shall be paid to the househelpers in addition to
lodging, food and medical attendance.
SECTION 9. Time and manner of payment. Wages shall

be paid directly to the househelper to whom they are due at
least once a month. No deductions therefrom shall be made
by the employer unless authorized by the househelper
RULE XIII
himself or by existing laws.
Employment of Househelpers
SECTION 10. Assignment to non-household work. No

SECTION 1. General statement on coverage. (a) The
househelper shall be assigned to work in a commercial,
provisions of this Rule shall apply to all househelpers
whether employed on full or part-time basis.
lower than that provided for agricultural and non-agricultural
workers.
(b) The term "househelper" as used herein is synonymous to
the term "domestic servant" and shall refer to any person,
SECTION 11. Opportunity for education. If the
whether male or female, who renders services in and about
househelper is under the age of eighteen (18) years, the
the employer's home and which services are usually
employer shall give him or her an opportunity for at least
necessary or desirable for the maintenance and enjoyment
elementary education. The cost of such education shall be
thereof, and ministers exclusively to the personal comfort
part of the househelper's compensation, unless there is a
and enjoyment of the employer's family.
stipulation to the contrary.
SECTION 2. Method of payment not determinant. The

SECTION 12. Treatment of househelpers. The employer
provisions of this Rule shall apply irrespective of the method
shall treat the househelper in a just and humane manner. In
of payment of wages agreed upon by the employer and

no case shall physical violence be inflicted upon the

househelper. ART. 141. Coverage. - This Chapter shall apply to all persons
SECTION 13. Board, lodging and medical attendance. The
employer shall furnish the househelper free suitable and "Domestic or household service" shall mean service in the
sanitary living quarters as well as adequate food and medical employers home which is usually necessary or desirable for
attendance. the maintenance and enjoyment thereof and includes
ministering to the personal comfort and convenience of the
members of the employers household, including services of
SECTION 14. Indemnity for unjust termination of service.
family drivers.
If the period for household service is fixed, neither the
employer nor the househelper may terminate the contract
before the expiration of the term, except for a just cause. If c. Non-Household Work, Art. 145
the househelper is unjustly dismissed, he or she shall be
paid the compensation already earned plus that for fifteen ART. 145. Assignment to non-household work. - No
(15) days by way of indemnity. househelper shall be assigned to work in a commercial,
lower than that provided for agricultural or non-agricultural
If the househelper leaves without justifiable reason, he or
workers as prescribed herein.
she shall forfeit any unpaid salary due him or her not
exceeding fifteen (15) days.
Apex Mining Co. NLRC, 196 SCRA
251 (1991)
SECTION 15. Employment certification. Upon the
severance of the household service relationship, the
househelper may demand from the employer a written
statement of the nature and duration of the service and his
or her efficiency and conduct as househelper.
SECTION 16. Funeral expenses. In case of death of the

househelper, the employer shall bear the funeral expenses
commensurate to the standards of life of the deceased.
SECTION 17. Disposition of the househelper's body.

Unless so desired by the househelper or by his or her
guardian with court approval, the transfer or use of the body
of the deceased househelper for purposes other than burial
is prohibited. When so authorized by the househelper, the
transfer, use and disposition of the body shall be in
accordance with the provisions of Republic Act No. 349.
SECTION 18. Employment records. The employer may

keep such records as he may deem necessary to reflect the
actual terms and conditions of employment of his
househelper which the latter shall authenticate by signature
or thumbmark upon request of the employer.
SECTION 19. Prohibited reduction of pay. When the

compensation of the househelper before the promulgation of
these regulations is higher than that prescribed in the Code e. Conditions of Employment, Arts. 121-152;
and in this issuance, the same shall not be reduced or Civil Code, Arts. 1689-1699
diminished by the employer on or after said date.
SECTION 20. Relation to other laws and agreements. ART. 151. Employment certification. - Upon the severance of
Nothing in this Rule shall deprive a househelper of the right the household service relation, the employer shall give the
to seek higher wages, shorter working hours and better househelper a written statement of the nature and duration
working conditions than those prescribed herein, nor justify of the service and his or her efficiency and conduct as
an employer in reducing any benefit or privilege granted to househelper.
the househelper under existing laws, agreements or
voluntary employer practices with terms more favorable to
the househelpers than those prescribed in this Rule. ART. 152. Employment record. - The employer may keep
such records as he may deem necessary to reflect the actual
terms and conditions of employment of his househelper,
a. Definition, Rule XIII, Sec. 1 (b) which the latter shall authenticate by signature or
thumbmark upon request of the employer.
(b) The term "househelper" as used herein is synonymous to
the term "domestic servant" and shall refer to any person,
whether male or female, who renders services in and about CIVIL CODE
the employer's home and which services are usually Art. 1689. Household service shall always be reasonably
necessary or desirable for the maintenance and enjoyment compensated. Any stipulation that household service is
thereof, and ministers exclusively to the personal comfort without compensation shall be void. Such compensation
and enjoyment of the employer's family. shall be in addition to the house helper's lodging, food, and
medical attendance.
b. Coverage, Art. 141

Art. 1690. The head of the family shall furnish, free of a. Coverage and Regulation, Arts. 153-155; DO 5,
charge, to the house helper, suitable and sanitary quarters DOLE, 4 Feb. 1992, now Book III, Rule XIV
as well as adequate food and medical attendance.
ART. 153. Regulation of industrial homeworkers. - The
employment of industrial homeworkers and field personnel
Art. 1691. If the house helper is under the age of eighteen
shall be regulated by the government through the
years, the head of the family shall give an opportunity to the
appropriate regulations issued by the Secretary of Labor and
house helper for at least elementary education. The cost of
Employment to ensure the general welfare and protection of
such education shall be a part of the house helper's
homeworkers and field personnel and the industries
compensation, unless there is a stipulation to the contrary.
employing them.
Art. 1692. No contract for household service shall last for

ART. 154. Regulations of Secretary of
more than two years. However, such contract may be
Labor. - The regulations or orders to be
renewed from year to year.
issued pursuant to this Chapter shall be
designed to assure the minimum terms
Art. 1693. The house helper's clothes shall be subject to and conditions of employment
stipulation. However, any contract for household service applicable to the industrial homeworkers
shall be void if thereby the house helper cannot afford to or field personnel involved.
acquire suitable clothing.
ART. 155. Distribution of homework. -
Art. 1694. The head of the family shall treat the house For purposes of this Chapter, the
helper in a just and humane manner. In no case shall "employer" of homeworkers includes
physical violence be used upon the house helper. any person, natural or artificial who, for
his account or benefit, or on behalf of
Art. 1695. House helper shall not be required to work more any person residing outside the country,
than ten hours a day. Every house helper shall be allowed directly or indirectly, or through an
four days' vacation each month, with pay. employee, agent contractor, sub-
contractor or any other person:
Art. 1696. In case of death of the house helper, the head of

the family shall bear the funeral expenses if the house (1) Delivers, or causes to be delivered,
helper has no relatives in the place where the head of the any goods, articles or materials to be
family lives, with sufficient means therefor. processed or fabricated in or about a
home and thereafter to be returned or
to be disposed of or distributed in
Art. 1697. If the period for household service is fixed neither accordance with his directions; or
the head of the family nor the house helper may terminate
the contract before the expiration of the term, except for a
just cause. If the house helper is unjustly dismissed, he shall (2) Sells any goods, articles or materials to be processed or
be paid the compensation already earned plus that for fabricated in or about a home and then rebuys them after
fifteen days by way of indemnity. If the house helper leaves such processing or fabrication, either by himself or through
without justifiable reason, he shall forfeit any salary due him some other person.
and unpaid, for not exceeding fifteen days.
Art. 1698. If the duration of the household service is not RULE XIV
determined either by stipulation or by the nature of the Employment of Homeworkers
service, the head of the family or the house helper may give
notice to put an end to the service relation, according to the SECTION 1. General statement on coverage. This Rule
following rules: shall apply to any homeworker who performs in or about his
home any processing of goods or materials, in whole or in
(1) If the compensation is paid by the day, notice part, which have been furnished directly or indirectly by an
may be given on any day that the service shall employer and thereafter to be returned to the latter.
end at the close of the following day;
SECTION 2. Definitions. As used in this Rule, the following
(2) If the compensation is paid by the week, terms shall have the meanings indicated hereunder:
notice may be given, at the latest on the first
business day of the week, that the service shall be (a) "Home" means any room, house, apartment, or other
terminated at the end of the seventh day from the premises used regularly, in whole or in part, as a dwelling
beginning of the week; place, except those situated within the premises or
compound of an employer, contractor, and the work
(3) If the compensation is paid by the month, performed therein is under the active or personal supervision
notice may be given, at the latest, on the fifth day by, or for, the latter.
of the month, that the service shall cease at the
end of the month. (b) "Employer" means any natural or artificial person who,
for his own account or benefit, or on behalf of any person
Art. 1699. Upon the extinguishment of the service relation, residing outside the Philippines, directly or indirectly, or
the house helper may demand from the head of the family a through any employee, agent, contractor, sub-contractor; or
written statement on the nature and duration of the service any other person:
and the efficiency and conduct of the house helper.
(1) Delivers or causes to be delivered any goods or articles
3. Homeworkers to be processed in or about a home and thereafter to be

returned or to be disposed of or distributed in accordance decide the case within ten (10) working days from receipt of
with his direction; or the case. Its decision shall be final and unappealable.
(2) Sells any goods or articles for the purpose of having such SECTION 7. Liability of employer and contractor.
goods or articles processed in or about a home and then Whenever an employer shall contract with another for the
repurchases them himself or through another after such performance of the employer's work, it shall be the duty of
processing. such employer to provide in such contract that the
employees or homeworkers of the contractor and the latter's
sub-contractor shall be paid in accordance with the
(c) "Contractor" or "sub-contractor" means any person who,
provisions of this Rule. In the event that such contractor or
for the account or benefit of an employer, delivers or caused
sub-contractor fails to pay the wages or earnings of his
to be delivered to a homeworker goods or articles to be
employees or homeworkers as specified in this Rule, such
processed in or about his home and thereafter to be
employer shall be jointly and severally liable with the
returned, disposed of or distributed in accordance with the
contractor or sub-contractor to the workers of the latter, to
direction of the employer.
the extent that such work is performed under such contract,
in the same manner as if the employees or homeworkers
(d) "Processing" means manufacturing, fabricating, finishing, were directly engaged by the employer.
repairing, altering, packing, wrapping or handling any
material.
b. Definition, DO 5, Sec. 2, DO 5
SECTION 3. Payment for work. (a) Immediately upon c. Registration, Secs. 4-6
receipt of the finished goods or articles, the employer shall
pay the homeworker or the contractor or sub-contractor, as d. Conditions of Employment/Deductions, Secs. 6-9
the case may be, for the work performed; Provided,
However, that where payment is made to a contractor or f. Joint and Several Liability of
sub-contractor, the homeworker shall be paid within the Employer/Contractor, Sec. 11
week after the contractor or sub-contractor has collected the
goods or articles from the homeworkers. g. Prohibitions, Sec. 13
(b) The Secretary of Labor and Employment shall from time h. Enforcement, Sec. 10
to time establish the standard minimum piece or output rate
in appropriate orders for the particular work or processing to
be performed by the homeworkers.
NOTES:
SECTION 4. Deductions. No employee, contractor, or sub-
contractor shall make any deduction from the homeworker's _______________________________________
earnings for the value of materials which have been lost,
destroyed, soiled or otherwise damaged unless the following
_______________________________________
conditions are met: _______________________________________
_______________________________________
(a) The homeworker concerned is clearly shown to be _______________________________________
responsible for the loss or damage; _______________________________________
_______________________________________
(b) The employee is given reasonable opportunity to show _______________________________________
cause why deductions should not be made;
_______________________________________
_______________________________________
(c) The amount of such deduction is fair and reasonable and
shall not exceed the actual loss or damages; and
_______________________________________
_______________________________________
(d) The deduction is made at such rate that the amount
_______________________________________
deducted does not exceed 20% of the homeworker's _______________________________________
earnings in a week. _______________________________________
_______________________________________
SECTION 5. Conditions for payment of work. (a) The _______________________________________
employer may require the homeworker to re-do work which _______________________________________
has been improperly executed without having to pay the
stipulated rate more than once. _______________________________________
_______________________________________
(b) An employer, contractor, or sub-contractor need not pay _______________________________________
the homeworker for any work which has been done on _______________________________________
goods and articles which have been returned for reasons _______________________________________
attributable to the fault of the homeworker.
_______________________________________
_______________________________________
SECTION 6. Disagreement between homeworkers and
employer. In cases of disagreement between the
_______________________________________
homeworker and the employer, contractor or sub-contractor _______________________________________
on matters falling under Section 4 (a), 5 and 6 of this Rule, _______________________________________
either party may refer the case to the Regional Office having _______________________________________
jurisdiction over the homeworker. The Regional Office shall
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
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_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
_______________________________________
L. Employee Classification
1. Coverage, Art. 278
2. Employer Recognition
Philippine Federation of Credit

Cooperatives, Inc. v. NLRC, 300 SCRA 72 (1998)
Pangilinan v. General Milling corp.,
434 SCRA 159 (2004)
3. Employer Determination/Designation
De Leon v. NLRC, 176 SCRA 615 (1989)

Violeta v. NLRC, 280 SCRA 520 (1997)
San Miguel Corporation v. NLRC, 297
SCRA 277 (1998)
4. Management Prerogative
Manila Electric Co. v. NLRC, 263 SCRA

531 (1996)
PAL, Inc. v. Pascua, 409 SCRA 195
(2003)
Coca-cola Bottlers Phil., Inc. Sales Force
Union-PTGWO-BALAIS v. Coca-cola Bottlers Phil., Inc., GR
No. 155651, 464 SCRA 507 (2005)
5. Kinds of Employee
a. Regular Employees, art. 280, 1st par.; 280, 2nd

par.; 281, last sentence; 75(d); Omnibus rules, Book VI,
Rule 1, Secs. 5(a), (b) and 6.
1) Type
Pangilinan v. General Milling

Corporation., 434 SCRA 159 (2004)
2) Nature of Work
Perpetual Help Credit Corp., Inc. v.

Faburada, et al., 366 SCRA 693 ( 2001)
K. Mental, Dental and Occupational Safety Magsalin v. National Organization of
Working Men, 403 SCRA 199 (2003)
Reference: Art. 156-165; Omnibus Rules, Book Hacienda Fatima v. National Federation
IV, Rule I, Secs. 1-10; Rule II, Secs. 1-!0 of Sugarcane Workers Food and General Trade, 396 SCRA
518 (2003)
1. Coverage, Rule I, Sec. 1 Pentagon International Shipping, Inc. v.
Adelantar, 235 SCRA 342 (2004)
2. First Aid Treatment, Art. 156 Lopez v. Metropolitan Waterworks and
Sewerage System, 462 SCRA 428 (2005)
3. Emergency Medical and Dental Services
3) Extended Period
a. When Required, Art. 157
Andon Electric co., Inc. v.
b. When Not Required, Art. 158 NLRC, 308 SCRA 340 (1999)
4. Employer assistance, Art. 161 4) Repeated Renewal of Contract

5. Occupational Safety and Health
Standards, Training of Maraguinot v. NLRC, 284
Supervisor/Technician SCRA 539 (1998)
Universal Plastic Corp. v.
a. When Required, Rule II, Secs. 5 (a) (d) Catapang, 473 SCRA 189 (2005)
b. When Not Required, Rule II, Sec. 5 (e) b. Project Employee, art. 280, 1st par.
6. Enforcement/DOLE Obligations, Arts. 1) Definition

162-165
Imbuido v. NLRC, 329 SCRA
Note: Arts. 166-208: repealed by SSS Law of 357 (2000)
1997 (RA 1161, as amended); Re: Art. 209, see National Association of Trade Union v.
Health Insurance act of 1995 (RA 7875); Book IV, Rule II, Comm. Abella, 323 SCRA 50 (2005)
Sec. 8

2) Project Employees
Mariwasa Manufacturing, Inc.
Sandoval Shipyards, Inc. v. v. Leogardo, 169 SCRA 465 (1989)
NLRC, 136 SCRA 674 (1985)
Villa v. NLRC, 284 SCRA 105 6) Absorbed Employees
(1998)
Chua v. Court of Appeals, 440 Cebu Stevedoring Co. Inc. v.
SCRA 121 (2004) Regional Director, 168 SCRA 315 (1988)
3) Workpool Employees 7) Rule on Private School Teachers
Aguilar Corp. v. NLRC, 269 Escorpizo v. Univ. of Baguio,

SCRA 596 (1997) 306 SCRA 497 (1999)
Maraguinot v. NLRC, supra La Consolacion College v.
Casual, Art. 280, 2nd par.; Omnibus rules, Book VI, NLRC, 366 SCRA 226 (2001)
Rule 1, Sec. 5 (b) Chiang Kai Sheck College v.
Court of Appeals, 437 SCRA 171 (2004)
1) Nature of Work
I. Termination of Employment
A.M. Oreta and Co. Inc. v.
NLRC, 176 SCRA 218 (1989) 1. Coverage, Art. 278; Book VI, Rule 1, Sec. 1
2) One Year Service
2. Security of Tenure, Art 279; 277 (b)
Kimberly v. Drilon, 185 SCRA
190 (1990) a. Nature/Rationale
Integrated Contractor and
Plumbing Works, Inc. v. Court of Appeals, 464 SCRA 544 Llosa Tan v. Silahis
(2005) Internatioinal Hotel, 181 SCRA 738 (1990)
San Miguel Corp. v. Abella, Sonza v. ABS-CBN
supra Broadcasting Corp., 431 SCRA 381 (2004)
Metro Eye Security, Inc. v.
c. Fixed-Term Julie V. Solsona, GR No. 167637, Sept. 28, 2007
Brent School v. Zamora, 181 SCRA b. Coverage

702 (1990)
Palomares v. NLRC, 277 SCRA 439 Labajo v. Alejandro, 165 SCRA 747
(1997) (1988)
Philips Semiconductor etc. v. Skihworld Management and
Fadriquela, 422 SCRA 408 (2004) marketing Corporation v. NLRC, 186 SCRA 465 (1990)
Interorient Maritime Enterprises
d. Seasonal Inc. v. NLRC, 235 SCRA 268 (1994)
Phil. Tobacco Flue-curing & c. Management Prerogative

Redrying Corp. v. NLRC, 300 SCRA 37 (1998)
Hacienda Bino v. Cuenca, 456 SCRA 300 Philippine American Life & General
(2005) Insurance Co. v. Gramaze, 442 SCRA 274 (2004)
e. Probationary d. Requisites for Lawful Dismissal
1) Definition Perpetual Help Credit Corp., Inc. v.

Faburada, supra
Philippine Federation of Credit
Cooperatives, Inc. v. NLRC, supra e. Burden of Proof
Cebu Marine Beach Resort v. NLRC, 414
SCRA 173 (2003) Azcor Manufacturing v. NLRC, 303 SCRA
26 (1999)
2) Employer Right to Set Period/Obligation Chavez v. NLRC, supra
Orient Express Placement f. Measure of Penalty

Philippines v. NLRC, 273 SCRA 256 1997)
Farrol v. Court of Appeals, 435
3) Duration/Exception SCRA 543 (2000)
Valiao v. Court of Appeals, 435
A Prime Security Services, SCRA 543 (2004)
Inv. V. NLRC, 322 SCRA 283 (2000) Etcuban v. Sulpicio Lines, Inc. 448
Mitsubishi Motors v. NLRC, SCRA 516 (2005)
226 SCRA 417 (1993)
g. Factors
4) Criteria Regularization
Associated Labor Union v. NLRC,
Alcira v. NLRC, 431 SCRA 508 302 SCRA 708 (1999)
(2004) Philippine Long distance Telephone
C. Inc. v. NLRC, 303 SCRA 9 (1999)
5) Extension of Contract

3. Termination of Employment by Employee
a. Resignation
Cheniver Deco Print v. NLRC, 325

SCRA 758 (2000)
China Banking Corp. v. Borromeo,
supra
Willi Hahn Enterprises v. Maghuyo,
447 SCRA 349 (2004)
BMG Records (Phils.), Inc. et al. v.
Aida C. Aparecio, et al., GR 153290, Sept. 5, 2007
1) Just Causes, Art. 285 (b)
2) Without Just Cause Requisites, Art. 285 (a); Const. Art.

III, Sec. 18 (2)
Pascua v. NLRC, 287 SCRA

554 (1998)
Azcor v. NLRC, supra
Phil. Wireless Inc. v. NLRC,
310 SCRA 653 (1999)
A Prime Security Services, Inc.
v. NLRC, supra
b. Performance of Military or Civic duty, Art. 286,

Book VI, Rule I, Sec. 12
4. Termination of Employment by Employer
a. Basis of Right and Requirements, Arts. 282-

284; 277 (b)
1) Basis
PLDT v. Tolentino, 438 SCRA 555

(2004)
2) Substantive and Procedural Due Process
Philippine National Bank v.

Cabanag, 460 SCRA 514 (2005)

b. Just Causes Substantive Due Process

f) Past offenses
1) Serious Misconduct/Willful Disobedience
(Insubordination) La Carlota Planters Assn.
Valiao v. Court of Appeals, v. NLRC, 298 SCRA 252 (1998)
supra Ramoran v. Jardine CMG,
Villamor Golf Club v. Phil, 472 Inc. 326 SCRA 208 (2000)
SCRA 36 (2005)
Coca-Cola Bottlers, Phil., Inc. g) Habitual Infractions
v. Kapisanan ng Malayang Manggagawa sa Coca-Cola, 452
SCRA 480 (2005) Gustilo v. Wyeth Phil.,
R Transport Corp. v. Ejaneira, Inc., 440 SCRA 67 (2004)
428 SCRA 725 (2004)
Micro Sales Operation h) Immorality
Network v. NLRC, 472 SCRA 328 (2005)
Santos v. NLRC, 287
2) Gross and Habitual Neglect of Duties SCRA 117 (1998)
Cebu Filveneer Corporation v. i) Conviction of Crime

NLRC, 286 SCRA 556 (1998)
Reyes v. Maxims Tea House, Sampaguita Garments
398 SCRA 288 (2003) Corp. v. NLRC, 233 SCRA 260 1994)
Chua v. NLRC, 453 SCRA 244
(2005) j) Qualification Requirements
3) Fraud or Willful Breach of Trust Lanzaderas v. Amethyst

Security & General Services, Inc., supra
Santos v. San Miguel Corp.,
399 SCRA 172 (2003) 7) Constructive Dismissal
Dela Cruz , NLRC, 416 SCRA
226 (2003) Philippine American Life
Phil. National Construction v. Gramaje, 442 SCRA 274 (2003)
Corp. v. Matias, 395 SCRA 720 (2003) Dinglasan v. Atienza, 433
SCRA 263 (2004)
4) Commission of Crime, Art. 282 (d) Dusit Hotel Nikko v.
National Union in Hotel, Restaurant and Allied Industires,
Sampaguita Garments 466 SCRA 374 (2005)
Corporation v. NLRC, 233 SCRA 260 (1994) Angelina Francisco v.
NLRC, et al., supra
5) Analogous, Art. 282 (e)
8) Transfer
Cathedral School of
Technology v. NLRC, 214 SCRA 551, 559 (1992) OSS Security and Allied
Services Inc. v. NLRC, 325 SCRA 157 (2000)
6) Others Just Causes Claimed by Lanzaderas v. Amethyst
Employer Security and General Services, Inc., supra
Mendoza v, Rural Bank, etc.,
a) Abandonment 433 SCRA 756 (2004)
Nueva Ecija Electric 9) Promotion

Cooperative v. NLRC, 461 SCRA169 (2005)
Chavez v. NLRC, supra Phil. Telegraph & Telephone Corp.
Floren Hotel v. NLRC, v. Court of Appeals, 412 SCRA 263 (2003)
456 SCRA 128 (2005)
10) Preventive Suspension
b) Courtesy Resignation
Philippine Airlines, Inc. v. NLRC,
Batongbacal v. 292 SCRA 40 (1998)
Associated Bank, 168 SCRA 600 (1988)
11) Residency Training
c) Change of Ownership
Felix v. Buenaseda, 240 SCRA 139
Manlimos v. NLRC, 242 (1995)
SCRA 145 (1995)
c. Substantive Requirements Business Related
d) Habitual Absenteeism Causes, Art. 283
Union Motor Corp. v. 1) Basis

NLRC, 445 SCRA 683 (2004)
Edge Apparel Inc. v. NLRC, 286
e) Fixed-Term Employment SCRA 302 (1998)
Magsalin v. National 2) Business Related or Authorized Causes

Organization of Working Men, supra

a) Installation of Labor Saving Devices, Art. 283

b) Use of Position Paper
Complex Electronics Employees
Assn. v. NLRC, 310 SCRA 403 (1999) Shoppes Manila, Inc. v. NLRC,
419 SCRA 354 (2004)
b) Retrenchment to Prevent Losses, Art. 283
5) Decision/Award Const., Art. VIII, Sec.
Asian Alcohol Corp. v. NLRC, 305 SCRA 14
415 (1999)
NDC-Guthrie Plantations, Inc. v. NLRC, Pepsi-Cola Products Phil., Inc.
362 SCRA 416.(2001) v. Court of Appeals, 443 SCRA 580 (2004)
Composite Enterprises, Inc. v. Emilio M.
Caparoso, et al., GR No. 159919, Aug. 8, 2007 6) Burden of Proof
c) Redundancy, Art. 283 Equitable PCIBank v. Caguioa,

466 SCRA 658 (2005)
Asufrin v. San Miguel Corp., 425 SCRA
270 (2004) 7) Degree of Proof/Substantial Evidence
Golden Tread Knitting Industries, Inc. v.
NLRC, 304 SCRA 568 Philtread Tire & Tubber Corp.
Lopez Sugar Corp. v. Franco, 458 SCRA v. Vicente, 441 SCRA 574 (2004)
515 (2005) Etcuban v. Sulpicio Lines,
Inc., supra
d) Closure of Business, Art. 283
8) Prescription
Mac Adams Metal Engineering
Workers Union-Independent v. Mac Adams Metal Salvador v. Phil. Mining
Engineering, 414 SCRA 411 (2003) service Corp., 395 SCRA 729 (2003)
SSS v. Hon. Chaves, 440
SCRA 269 (2004) 9) Dismissal of Case, Purely on Technical
ME-SHURN Corporation v. ME- Ground
SHURN Workers Union-FSM, 448 SCRA 41 (2005)
Quintano v. NLRC, 446 SCRA
e) Temporary Closure, Art. 286 195 (2004)
Valdez v. NLRC, 286 SCRA 87 10) Criminal Cases

(1998)
Quiambao v. NLRC, 254 SCRA
3) Disease, Art 284 211 (1996)
Vicente Sy v. Court of 5. Reliefs/Remedies in Illegal Dismissal, Art. 279; 223

Appeals, supra
a. In General; Twin Remedies
d. Procedural Requirements, Art. 277 (b); Book VI,
Rule I, Secs. 1-3 Omnibus Rules Nueva Ecija Electric
Cooperative v. NLRC, supra
1) In General/Liability for Non-Compliance with Mt. Carmel College v. Jocelyn
Procedural Requirements Resuena, et al., GR No. 173076, October 10, 2007
Lorenzo Ma. D.G. Aguilar v.
Serrano v. NLRC, 323 SCRA Burger Machine Holdings Corp., et al., GR 172062, Feb. 21,
445 (2000) 2007
Santos v. San Miguel Corp.,
supra 1) Reinstatement
Agabon v. NLRC, supra
a) Definition
2) Right to Counsel
PNOC-EDC, et al. v. Abella,
Salaw v. NLRC, 202 SCRA 7, 448 SCRA 549 (2005)
12-15 (1991) Pheschem Industrial Corp. v.
Moldez, 458 SCRA 339 (2005)
3) Notice
b) Effect of Failure to Ask Relief
Agabon v. NLRC, supra
Caingat v. NLRC, 453 SCRA Pheschem Industrial Corp. v.
142 (2005) Moldez, supra
4) Hearing c) Exceptions
a) Hearing i) Closure of Business
Permex, Inc. v. NLRC, 323 ii) Economic Business Conditions

SCRA 121 (2000)
Arboleda v. NLRC, 303 SCRA Union of Supervisors (RB)
39 (1999) NATU, etc. v. Sec. of Labor, 128 SCRA 442 (1984)

Central Luzon Conference v. CA,

iii) Employees Unsuitability 466 SCRA 711 (04)
Divine Word High School v. c. Separation Pay

NLRC, 143 SCRA 346 (1986)
1) When As Alternative
iv) Employees Retirement/Overage
Coca-Cola Bottlers Phils. Inc. v.
Espejo v. NLRC, 255 SCRA Vital, 438 SCRA 278 (2004)
430 (1996) National Federation of Labor v.
Court of Appeals, 440 SCRA 604 (2004)
v) Antipathy and Antagonism Strained Etcuban Jr. v. Sulpicio Lines, Inc.,
Relations supra
Composite enterprises, Inc. v.
Acesite Corp. v. NLRC, 449 Emilio M. Caparoso, et al., supra
SCRA 360 (2005)
BPI Employees Union v. BPI, 2) Computation/Rationale
454 SCRA 357 (2005)
Sagum v. Court of Appeals, Business Day Information
459 SCRA 223 (2005) Systems and Services, Inc. v. NLRC, 221 SCRA 9 (1993)
Millares v. NLRC, 305 SCRA
vi) Not Feasible 500 (1999)
Bustamante v. NLRC, 265 SCRA 1 3) Effect of Receipt

(1996)
Arino v. NLRC, 290 SCRA 489
c) Offer to Reinstate (1998)
Ranara v. NLRC, 212 SCRA 631 c. Financial Assistance

(1992)
1) When Allowed
2) Backwages
Philippine Long Distance
a) Effect of Failure to Claim Telephone Co. v. NLRC, 164 SCRA 671 (1988)
Pinero v. NLRC, 437 SCRA 112
De La Cruz v. NLRC, 299 (2004)
SCRA 1 (1998)
2) When Not Allowed
b) Effect of Failure to Order
Phil. Construction Corp. v.
Aurora Land etc. v. NLRC, 212 NLRC, 170 SCRA 207 (1989)
SCRA 48 (1997) Chua v. NLRC, 218 SCRA 545
St. Michaels Inst. v. Santos, 371 (1993)
SCRA 383 (2001)
e. Indemnity
b) Computation
Arms Taxi v. NLRC, supra
Mercury Drug Co. Inc. v. CIR, 56 Serrano v. NLRC, supra
SCRA 694 (1974)
Bustamante v. NLRC, supra f. Liability of Corporate Officers
Torres v. NLRC, 330 SCRA 311
(2000) Acesite Corp. v. NLRC, supra
Kay Products, Inc. v. CA464 SCRA
544 (2005) J. Retirement, Art. 287; Book VI, Rule II, Omnibus
Standard Electric Manufacturing Rules; RA No. 7641; RA No. 8558 (1998) ; Labor Advisory on
Corp. v. Standard Electric Employees Union, 468 SCRA 316 Retirement Pay (Oct. 1999)
(2005)
BPI Employees Union v. BPI, supra 1. Retirement
c) Fringe Benefit a. Types of Retirement Plan
Aurora Land etc. v. NLRC, supra PAL v. Airline Pilots

Association of the Phil., 373 SCRA 302 (2002)
b. Damages Naguit v. NLRC, 408 SCRA
617 (2003)
Collegio de San Juan de Letran- Sta. Catalina College v. NLRC,
Calamba v. Villas, 399 SCRA 550 (2003) 416 SCRA 233 (2003)
Tolosa v. NLRC, 401 SCRA 391 Gerlach v. Reuters Ltd., Phil.
(2003) 448 SCRA 535 (2005)
Maguiling v. Phil. Tuberculosis
Society, Inc. 450 SCRA 465 (2005) 1) Basis
Acesite Corp v. NLRC, supra
Sagum v. Court of Appeals, 459 Gamogamo v. PNOC shipping
SCRA 223 (2005) and Transport Corp., 381 SCRA 742 (2002)

2) Interpretation
Lopez v. National Steel Corp.,

423 SCRA 109 (2004)
Solomon v. Association of
International Shipping Lines, Inc., 457 SCRA 254 (2005)
4) Eligibility
Brion v. South Phil. Union

Mission of the Seventh Day Adventist Church, 307 SCRA 497
(1999)
REMINDERS:
1. Voluntary recitation will be graded generously.

The professor however reserves the right to call on students
for recitation.
2. The 20% rule on absences will be strictly
observed. Three times of tardiness will be considered
absent. All those who come between 15 to 30 minutes after
the class will be marked late; after 30 mins, absent.
3. No make-up mid-term examination will be given.
REQUIREMENT:
Attendance/Recitation/Assigned Work - 30%

Mid-Term Examination -
30%
Final Examination -
30%

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What are the main components of labor law?

What are the main components of labor law?

What are the main types of labor standards?

What are the main types of labor standards?

LABOR LAW 1 individual and collective interactions of employers,

employees or their representatives.

SUGGESTED TEXTBOOK: SOCIAL LEGISLATION VS. LABOR LAWS

JRMSU | College of Law

PLDT employee promised to facilitate the approval of the

Duman / Labor I / Prof. Battad / Page 3

In Agabon, the Court abandoned Serrano and followed

Section 14. The State shall protect working women

Duman / Labor I / Prof. Battad / Page 5

regardless of sex, race or creed and regulate the

4. Construction in Favor of Labor, Art. 4

ART. 4. Construction in favor of labor. - All doubts

Salinas Jr. v. NLRC, 319 SCRA 54

2. Rule Making Power, Art. 5

ART. 5. Rules and regulations. - The Department

Reyes v. Court of Appeals, 409

Kapisanan ng mga Manggagawang

G&M Philippines, Inc. v. Romil

ART. 221. Technical rules not binding and prior resort

Duman / Labor I / Prof. Battad / Page 7

3. If accompanied with a claim for

4. Claims for actual, moral, exemplary and

6. Except claims for Employees Compensation, Social

ART. 128. Visitorial and enforcement power. - (a) The

(f) "Employee" includes any person in the employ of

C. Work Relationship Ruga v. NLRC, 181 SCRA 437 (1990)

1. Employer and Employee Relationship

a. Definition of Employer and Employee, Arts. 97 (a) (b) (c),

Duman / Labor I / Prof. Battad / Page 10

Chavez v. NLRC, 448 SCRA 478 (2005)

Perpetual Help Credit v. Faburada et al., 366

Vicente Sy v. Court of Appeals, 398 SCRA 301

Duman / Labor I / Prof. Battad / Page 11

In the event that the contractor or subcontractor fails

The Secretary of Labor and Employment may, by

ART. 107. Indirect employer. - The provisions of the

DEPARTMENT ORDER NO. 18 - 02

Duman / Labor I / Prof. Battad / Page 13

Duman / Labor I / Prof. Battad / Page 14

The findings of the duly authorized representative

Based on the visitorial and enforcement power of

Section 19. Solidary liability. - The principal shall

Section 20. Supersession. - All rules and

Coca-Cola Bottlers Phil., Inc. v.

San Miguel Corporation v. Abella,

c. Labor Contractor Only; Requisites and

Manila Water Co., Inc. v. Pena, 434

Lanzaderas v. Amethyst Security &

Duman / Labor I / Prof. Battad / Page 17

(c) While recognizing the significant

I. DEPLOYMENT ART. 14. Employment promotion. - The

1) Worker Art. 13 (a) f) To strengthen the network of public

2) Private Employment Agency Arts. 13 (c) (d), 12 (f), 14

Duman / Labor I / Prof. Battad / Page 19

comprehensive employment program, the capitalization as determined by the Secretary