Dokumen - Tips Labor Law Memory Aid

7/25/2019 Labor Law Memory Aid
San eda College of Law 1
MEMORY AID IN LABOR LAW
1. defect which is congenital or ART. 211. DECLARATION OF

acquired during minority POLICY
2. legitimate spouse living with the
employee  LABOR RELATIONS – the interactions
3. the parents of
dependent said him
upon employee wholly
for regular between
and theirthe representatives
employer and employees
and the
support mechanism by which the standards and
other terms and conditions of
BENEFITS employment are negotiated, adjusted
1. for life to the primary beneficiaries, and enforced.
guaranteed for five years
2. for not more than 60 months to the  LABOR RELATIONS LAW – those
secondary beneficiaries in case there intended to stabilize the relations of
are not primary beneficiaries employees and their employers, adjust
3. in no case shall the total benefit be differences between them through the
less than P15,000.00 encouragement of collective bargaining,
and settle labor disputes through
BENEFICIARIES conciliation, mediation and arbitration.
PRIMARY BENEFICIARIES
A. dependent spouse until he
 it defines the status, rights, and
remarries duties and the institutional
B. dependent children (legitimate, mechanisms that govern the
legitimated, natural born or legally individual and collective
adopted) interactions of employers,
employees or their
SECONDARY BENEFICIARIES representatives.
A. illegitimate children and legitimate
 Absent an employer-employee
descendants relation, there is no labor
B. parents, grandparents, relations to speak of.
grandchildren
- Collective bargaining process is
TITLE III possible only when there is a labor
MEDICARE organization, i.e., (1) labor union
or (2) employee association.
(Repealed by National Health Insurance
Act of 1995) POLICY is intended to install industrial
(See annex for “ PHILHEALTH ”) democracy centered on collective
bargaining, leading to social justice as
PAG-IBIG Law- creates a provident the end goal.
savings system for employees, public and
private, with housing as the primary PARTIES TO LABOR RELATIONS CASES:
investment. 1. employee’s organization,
2. management, and
3. the public
BOOK FIVE The public is always to be

considered in disputes between

labor and capital, and it has
LABOR RELATIONS been held that the rights of the
general public are paramount.
TITLE I  Labor relations policy under the LC
is embodied in Section 3 Article XIII of
POLICY AND DEFINITIONS the 1987 Constitution which guarantees
to all workers their right among others
to:
http://slidepdf.com/reader/full/labor-law-memory-aid 1/75
1. Self-organization, premises of the employer’s business is a

2. Collective bargaining and regular employee and is not included in
negotiations, the definition of domestic helper.
3. Peaceful and concerted
activities
strike in including thewith
accordance rightlaw,
to FELIX vs. BUENASEDA
Residency (240 SCRA
or resident physician 139):
position
and in a medical specialty is not employment
4. Participate
in policy and but connotes training and temporary
decision-making processes status. (No E-E relationship)
affecting their rights and
benefits as may be provided by
law.  WORKER’S ASSOCIATION - any
association of workers organized for the
ART. 212. DEFINITIONS mutual aid and protection of its
members or for any legitimate purpose
EMPLOYER - one who employs the other than for collective bargaining.
services of others; one for whom
employees work and who pays their  INDEPENDENT UNION – It refers to
wages or salaries. any labor organization operating at the
any person acting in the interest of an enterprise level whose legal personality
employer, directly or indirectly. The is derived through an independent action
term does not include a labor for registration with the Bureau of Labor
organization or any of its officers and Relations (BLR) of the Department of
agents, EXCEPT when acting as an Labor and Employment prescribed under
employer. Art. 234. It may be affiliated with a
federation, national or industry union, in
EMPLOYEE- one who works for an which case it may also be referred to as
employer; a person working for salary or an affiliate.
wages.
Shall not be limited to the
 FEDERATION - any labor organization
employees of a particular with at least 10 locals/chapters or
employer, and it shall include affiliates each of which must be a duly
any individual whose work certified or recognized as the sole and
has ceased as a result of or in exclusive collective bargaining agent of
connection with any current the employees of an appropriate
labor dispute or because of any bargaining unit.
unfair labor practice IF he has
not obtained any other: LEGITIMATE WORKER’S ASSOCIATION
1. Substantially equivalent – refers to an association of workers
and organized for mutual aid and protection
2. Regular employment of its members of for any legitimate
(Art.212f) purpose other than collective bargaining
registered with the Department in
ICAWO vs. CIR (16 SCRA 562): The accordance with Rule III, Sections 2-C
category of “any employee” is so broad and 2-D of these rules.
as to justify employee status for
supervisors, regular workers, casual  LABOR MANAGEMENT COUNCIL
employees, emergency laborers, - Deals with the employer on
substitute workers, seasonal workers, matters affecting the employee’s
part-time workers and other special rights, benefits and welfare.
work groups. - Purposes are to:
a. promote gainful employment
APEX MINING CO., vs. NLRC (196 SCRA b. improve working conditions and
251): Laundrywoman not actually c. achieve increased productivity
serving the family of the employer but (RA 6971)
working in the staff houses or within the

LABOR ORGANIZATION — any union or efforts; reprisal or discrimination

association of employees which exists in due to union activities; company
whole in part for the purpose of unionism]
collective bargaining with employers b. Representation disputes [e.g.,
concerning
employment.terms and conditions of determination
bargaining unit;of the
ULPcollective
strike;
uncertainty as to determination
LEGITIMATE LABOR ORGANIZATION- of the sole and exclusive
any labor organization which is duly bargaining agent of the
registered with the Department of employees in an appropriate
Labor. The term includes a bargaining unit which is the
local/chapter of the Bureau of Labor majority union]
Relations directly chartered by a c. Bargaining disputes [e.g., refusal
legitimate federation or national union to bargain (ULP); bargaining
which has been duly reported to the deadlock; economic strike or
Department in accordance with Rule VI, lockout]
Section 2 of Book V of the Rules d. Contract administration or
Implementing the LC. personnel policy disputes [ e.g.,
noncompliance with CBA
 LABOR DISPUTE – includes any provisions (ULP if gross
controversy or matter concerning: noncompliance with economic
provisions); disregard of
1. terms or conditions of employment grievance machinery; violation
OR no strike/no lockout agreement]
2. the association or representation of e. Employment tenure disputes
persons in negotiating, fixing, [e.g., non regularization of
maintaining, changing or arranging employees; illegal termination;
the terms and conditions of
employment
non-issuance of employment
contract]
of whether the disputants
REGARDLESS
stand in the proximate relation of  PARTIES TO A DISPUTE:
employer and employee. 1. PRIMARY PARTIES – employer,
employees, union
2. SECONDARY PARTIES – voluntary
 The test of whether a labor
arbitrator, agencies of DOLE (BLR,
controversy comes within the definition
VAC), NLRC, Sec. of Labor, Office of
of a labor dispute depends on whether it
the President
involves or concerns terms, conditions of
employment, or representation.
TITLE II
 TYPES OF LABOR DISPUTES:
1. Labor Standards Disputes NATIONAL LABOR RELATIONS
a. Compensation [e.g., COMMISSION
underpayment
wage; stringent of outputminimum
quota; CHAPTER I
illegal pay deductions]
b. Benefits [ e.g., nonpayment of CREATION AND COMPOSITION
holiday pay, overtime pay or other
benefits]
c. Working conditions [e.g., unrectified ART. 213. NATIONAL LABOR
work hazards] RELATIONS COMMISSION
2. Labor Relations Disputes  NLRC – an administrative body with

a. Organizational right dispute/ quasi-judicial functions and the principal
unfair labor practice [e.g., government agency that hears & decides
coercion, restraint or labor-management disputes; attached to
interference in unionization
the DOLE for program & policy 3. employer and

coordination only. management sector-
nominated by the Employer’s
POWERS of the NLRC – as amended by Confederation of the
R.A. 6715 Philippines (ECOP)
EN BANC  QUALIFICATIONS OF THE CHAIRMAN AND
THE COMMISSIONERS:
1. Promulgating rules & 1. must be a member of the
regulations governing the Philippine Bar;
hearing & disposition of cases 2. must have been engaged in the
before any of its divisions and practice of law in the Philippines
regional branches and for at least 15 years;
formulating policies affecting 3. must have experience or
its administration and exposure in handling labor
operations. management relations for at
least 5 years; and
2. Under R.A. 7700: to allow cases 4. preferably a resident of the
within the jurisdiction of any region where he is to hold office.
division to be heard and
decided by any other decision  The appointment of the Chairman
whose docket allows the and the Commissioners of the NLRC
additional workload. are not subject to confirmation by
the Commission on Appointments.
DIVISION
 QUALIFICATIONS OF EXECUTIVE
1. Exercises adjudicatory or LABOR ARBITERS/LABOR ARBITERS:
appellate power over decisions 1. must be members of the
of Labor Arbiters and Regional Philippine Bar;
Directors of the DOLE over 2. must have been engaged in the
monetary claims not over practice of law in the Philippines
P5,000.00 and all other powers, for at least 7 years; and
functions and duties through its 3. must have experience or
divisions. exposure in handling labor
management relations for at
 TRIPARTISM least 3 years.
 The NLRC is composed of five (5)  TERMOF OFFICE OF THE CHAIRMAN,

divisions. COMMISIONERS, AND LABOR ARBITERS:
 Three (3) sectors are  They shall hold office during good
represented in the composition behavior until they reach the age of
65 unless removed for causes as
of the NLRC. provided by law or become
 Each division composed of three incapacitated to discharge the
commissioners will have function of his office.
representatives from the
following: A. EXCLUSIVE AND ORIGINAL
JURISDICTION OF THE NLRC:
1. from the public sector -
nominated by the Secretary 1. Cases certified to it for compulsory
of Labor arbitration by the Secretary of Labor
2. workers organizations- under Art. 263 – CERTIFIED CASES;
nominated by the labor
federation 2. INJUNCTION CASES under Art. 218
and 264; AND

3. CONTEMPT CASES courts and are well-nigh conclusive if

supported by substantial evidence.
B. EXCLUSIVE APPELLATE JURISDICTION
OF THE NLRC: - Labor cases are not subject to
Barangay Conciliation
rules of procedure sincesuppletory
are merely ordinary
1. Cases DECIDED BY LABOR
ARBITERS under Art 217b of the in character vis-à-vis labor disputes
Labor Code and Sec 10 RA which are primarily governed by labor
8012(Migrant Workers Act); and laws.
2. Cases DECIDED BY THE REGIONAL - The failure of the petitioner to

OFFICES OF DOLE IN THE EXERCISE file a motion for reconsideration of the
OF ITS ADJUDICATORY FUNCTION decision of NLRC before filing a petition
under Art 129 of the Labor Code over for certiorari has in certain instances
monetary claims of workers been held not to be a fatal omission.
amounting to not more that
P5,000.00 - In certain cases however the
filing of a Motion for Reconsideration is
THE NLRC ONLY SITS EN BANC
 deemed a condition sine qua non for the
FOR PURPOSES OF: filing of a Petition for Certiorari.
a. promulgating rules and regulations CHAPTER II

governing the hearing and disposition of POWERS AND DUTIES
cases before any of its divisions and
regional branches, and
ART. 217. JURISDICTION OF
b. formulating policies affecting its LABOR ARBITERS AND THE COMMISSION
administration and operations.
The Commission may only sit
  EXCLUSIVE AND ORIGINAL
en banc for the determination JURISDICTION OF LABOR ARBITERS:
of policies and NOT for
purposes of adjudication. (RA - Except as otherwise provided
6715) under this Code the Labor Arbiters
shall have original and exclusive
 Adjudication of cases certified jurisdiction to hear and decide, within
to the NLRC, or appealed to it 30 calendar days after the submission of
from the decision of its Labor the case by the parties for decision
Arbiters are referred to and without extension, even in the absence
decided by its five (5) divisions. of stenographic notes, the following
cases involving all workers, whether
-Petitions for certiorari (Rule 65) agricultural or non-agricultural:
against decisions of the NLRC should
1. ULP cases;
henceforth be initially
Court of Appeals in strictfiled with the
observance of
the doctrine on the hierarchy of courts 2. TERMINATION disputes;
as the appropriate forum for the relief
desired. The Court of Appeals is 3. If accompanied WITH A
procedurally equipped to resolve unclear CLAIM FOR REINSTATEMENT,
or ambiguous factual finding, aside from those cases that workers may
the increased number of its component file involving wages, rates of
divisions. (St. Martin’s Funeral Homes pay, hours of work and other
vs. NLRC; G.R. No. 130866) terms and conditions of
employment;
- Findings of facts of a labor tribunal
are accorded the utmost respect by the 4. Claims for actual, moral,
exemplary and other forms of
DAMAGES arising from employer- voluntary arbitrator by

employee relations; agreement of the parties under
Art. 262. The law prefers
5. CASES ARISING FROM ANY voluntary over compulsory
VIOLATION
Code, OF ART 264
including of this
questions arbitration.
involving the legality of strikes  Cases which must be disposed of
and lockouts; by the labor arbiter by referring the
same to the grievance machinery and
6. Except claims for Employees voluntary arbitration:
Compensation, Social Security,
Medicare and maternity benefits, a. Disputes on the interpretation or
ALL OTHER CLAIMS ARISING implementation of CBA and
FROM EMPLOYER-EMPLOYEE
RELATIONS, including those of b. those arising from the
persons in domestic or household interpretation or enforcement of
service, involving an amount company personnel policies.
exceeding P5,000.00 regardless
of whether accompanies with a  The labor arbiter and the NLRC have
claim for reinstatement; no jurisdiction over claims filed by
employees against international
7. MONETARY CLAIMS OF agencies such as IRRI, WHO etc.
OVERSEAS CONTRACT WORKERS unless they expressly waive their
under the Migrant Workers Act of immunity. (Lasco vs. UNRFNRE)
1995; and
 They also have no jurisdiction over
8. Claims of employees against illegal dismissal cases of corporate
GOCCs if the latter does not officers which fall under PD 902-A
have an original charter and has and now fall under the jurisdiction of
been incorporated under the the Regular Courts pursuant to the
Corporation Code. New Securities Regulation Code.
[Formerly under the jurisdiction of
 Although the provision speaks of the Securities and Exchange
EXCLUSIVE AND ORIGINAL Commission (SEC) (Dily-Daly Nakpil vs
JURISDICTION OF labor arbiters, NLRC)]
the cases enumerated may
instead be submitted to a
 In the absence of service of ART. 218. POWERS OF THE
summons or a valid waiver COMMISSION
thereof, the hearings and
judgment rendered by the labor  POWERS OF THE NLRC:
arbiter are null and void. a. Rule-making power
[promulgation of rules &
 COMPULSORY ARBITRATION: The regulations governing disposition
process of settlement of labor disputes of cases before any of its
by a government agency which has the divisions/regional offices]
authority to investigate and make and b. Power to issue compulsory
award binding to the parties. processes [administer oaths,
summon parties, issue
The NLRC may conduct compulsory subpoenas]
arbitration only in national interest cases c. Power to investigate matters and
referred to it by the DOLE secretary. hear disputes within its
jurisdiction [adjudicatory
 Labor arbiters’ jurisdiction is power—original & appellate
employment related. jurisdiction over cases]
d. Contempt power [218]

e. Power to issue injunctions and upon the defendants by the

restraining orders granting of the relief
 That complainants has no
 PROCEDURE FOR THE ISSUANCE adequate remedy at law
OF RESTRAINING
a. filing of a verifiedORDER/ INJUNCTION:
PETITION

That public officers charged
with the duty to protect
complainant’s property are
b. HEARING AFTER DUE AND PERSONAL unable or unwilling to furnish
NOTICE has been served in such manner adequate protection.
as the Commission shall direct, to:
a. all known persons against e. Posting of a BOND
whom the relief is sought and
b. also to the Chief Executive IRREPARABLE INJURY: An injury
or other public officials of the which cannot be adequately
province or city within which the compensated in damages due to the
unlawful acts have been nature of the injury itself or the nature
threatened or committed of the right or property injured or when
charged with the duty to protect there exists no pecuniary standard for
the complainant’s property. the measurement of damages.
c. RECEPTION AT THE HEARING OF ADEQUATE REMEDY: One that

THE TESTIMONIES OF WITNESSES affords relief with reference to the
with opportunity for cross- matter in controversy and which is
examination, in support of the appropriate to the particular
allegations of the complaint made circumstances of the case.
under oath as well as testimony in
opposition thereto  The power of the NLRC to enjoin
or restrain the commission of any or all
d. FINDING OF FACT of the Commission prohibited or unlawful acts under Art.
to the effect that : 218 of the Labor Code can only be
prohibited or unlawful acts

exercised in a labor dispute.
have been threatened and will
be committed, or have been  REQUISITES BEFORE TRO MAY
committed and will be BE ISSUED EX PARTE:
continued unless restrained, 1. The complainant shall ALLEGE
but no injunction or temporary THAT, unless a TRO is issued
restraining order shall be without notice, a substantial
issued on account of any and irreparable injury to
threat, prohibited or unlawful complaint’s property will be
act, except against the unavoidable;
persons, association or 2. TESTIMONY UNDER OATH is
organization making the threat sufficient, if sustained, to justify
or committing the prohibited the Commission in issuing a
or unlawful act or actually temporary injunction upon
authorizing or ratifying the hearing after notice;
same after actual knowledge 3. The complainant shall first FILE
thereof. AN UNDERTAKING WITH
That
 substantial and ADEQUATE SECURITY/BOND in
irreparable injury to the an amount to be fixed by the
complainant’s property will Commission sufficient to
follow recompense those enjoined for
 That as to each item of any loss, expenses or damage
relief to be granted, greater caused by the improvident or
injury will be inflicted upon erroneous issuance of such order
complainant by the denial of or injunction, including all
the relief than will be inflicted reasonable costs, together with

a reasonable attorney’s fee, and protection to labor.

(Principe vs.
expense of defense against the Philippine-Singapore Transport Services
granting of any injunctive relief Inc.)
sought in the same proceeding
and subsequently denied by the
Commission.  or
judicial RES JUDICATA proceedings
quasi-judicial applies onlyand
to
 The TRO shall be effective NOT to the exercise of administrative
for no longer than 20 days and shall powers.
become void at the expiration of said
20 days counted from the date of the  APPROVAL OF AN AMICABLE
posting of the bond. SETTLEMENT BY A LABOR ARBITER
 It may be lifted or it may be An amicable settlement of a labor
upgraded to a permanent injunction. dispute should be approved by the labor
 The procedural and arbiter before whom the case is pending
substantial requirements of Art 218 after being satisfied that:
(e) must be strictly complied with
before an injunction may issue in a a. it was VOLUNTARILY ENTERED into
labor dispute. by the parties and
 THE FOLLOWING CAN ISSUE  after having EXPLAINED TO THEM
INJUNCTIONS/ TRO IN LABOR DISPUTES: THE TERMS AND CONSEQUENCES
thereof.
1. President (ART. 263, g)
2. Secretary of Labor (ART. 263, g) PURPOSE: for the employee’s
3. NLRC (218) protection—because the labor arbiter
4. Labor Arbiters (ART. 217/RULE XI before whom the case is pending would
Sec. 1 of IR&R) be in a better position than just any
5. Regional Directors other person to personally determine the
6. Med- Arbiters voluntariness of the agreement and
certify its validity (Periquet vs. NLRC).
ART. 219. OCULAR INSPECTION
 The Rules of Court are applied in
 The Chairman, any Commissioner, a suppletory character.
labor Arbiter or their duly authorized
representatives may, at anytime during  COMPROMISE, as a way of
working hours: settling disputes is encouraged
a. Conduct an ocular inspection on through compromise, the

any establishment, building, parties, by making reciprocal

ship, place or premises, concessions, avoid litigation
including any work, material, or put an end to one already
implement, machinery, commenced.
appliance or any object therein;
and ART. 222. APPEARANCES AND
b. Ask any employee, laborer, or FEES
any person as the case may be
for any information or date APPEARANCE OF NON-LAWYERS
concerning any matter or BEFORE THE COMMISSION:
question relative to the object
of the investigation GENERAL RULE: ONLY lawyers can
appear before the NLRC or a Labor
ART. 221. TECHNICAL RULES Arbiter
NOT BINDING AND PRIOR RESORT TO
AMICABLE SETTLEMENT EXCEPTIONS: Non-Lawyers can
 The NLRC may disregard technical appear ONLY in the following instances:
rules of procedure in order to give life to
the constitutional mandate affording 1. if they represent themselves;
2. if they represent their distinguished from

organization or members union funds
thereof; or PURPOSE: to PURPOSE: to
3. if he is a duly accredited fix the limit on the prevent the
amount of imposition on the
member of the legal
duly recognized aidDOJ
by the office
in attorney’s fees. workers of the duty
The victorious to individually
cases referred thereto by the party may recover contribute their
latter or by the IBP. in any respective shares in
administrative or the fee to be paid to
ATTORNEY’S FEES: judicial the attorney for his
1. Art. 111 Labor Code (simple proceeding. services to the union.
monetary claim)
The maximum amount to be CHAPTER III
given a lawyer for his legal
assistance rendered which is 10% of APPEAL
the total monetary award adjudged
the employees excluding the award ART. 223. APPEAL
for moral and exemplary damages.
To demand more than this is  GROUNDS FOR APPEAL:
unlawful.
1. If there is prima facie evidence of
2. Art. 222 abuse of discretion on the part of
the Labor Arbiter
a. Attorney’s fees for CBA 2. If the decision, order or award was
negotiations and conclusion shall secured through fraud or coercion,
be in the amount agreed upon by including graft and corruption;
the parties to be taken from the 3. If made purely on questions of law;
union funds and not from and
individual union members. 4. If serious errors in the findings of
facts are raised which would cause
b. This article prohibits the grave or irreparable damage or
payment of attorney’s fees only injury to the appellant.
where the same is effected
through forced contributions
 PERIODS WITHIN WHICH TO
from the workers form their own
APPEAL:
funds as distinguished from union
funds.
A. decisions of the regional director:
c. Neither the lawyer nor the
 within 5 calendar days from
union itself may require the
receipt of the order [129 LC —
individual workers to assume the
Recovery of wages and simple
obligation to pay the attorney’s
money claims of the amount not
fees from their own pockets.
Any agreement to the contrary exceeding P5,000.00].
shall be null and void.
B. decisions of the labor arbiter:
 ARTICLE 211 VS ARTICLE 222
 within 10 calendar days from
the receipt of the decision.
ART. 211 ART. 222
 The appeal must be under oath
Prohibits the Prohibits the
award of payment of and must state specifically the
attorney’s fees attorney’s fees only grounds relied upon and the
which exceed 10% when it is effected supporting arguments.
of the amount of through forced  Where the 10th day falls on a
wages recovered. contribution from the Saturday, Sunday or legal
workers from their holiday, the appeal may be filed
own funds as
on the next business day. (Rules prejudiced by the delay in

of Procedure of NLRC) the service of said copy of
the appeal—technical rules
 PERIOD TO APPEAL—NOT must yield to the broader
EXTENDIBLE interest
justice. of
(Modernsubstantial
Fishing
It is the policy of the state

to settle expeditiously labor Gear Labor Union vs. Noriel)

disputes.  A mere notice of appeal
The perfection of an appeal
 does not stop the running of
within the statutory/ the reglementary period of
reglementary period is not appeal.
only mandatory but also
jurisdictional and failure to EXECUTION PENDING APPEAL - the
do so renders the questioned decision of the labor arbiter ordering
decision final and executory the reinstatement of a dismissed or
as to deprive the appellate separated employee shall be
court of jurisdiction to alter immediately executory insofar as the
the final judgment of the reinstatement aspect is concerned and
RDs and LAs. (Aboitiz the posting of an appeal bond by the
Shipping Employees employer shall not stay such
Association vs. Trajano) execution.
 REQUISITES FOR THE
PERFECTION OF AN APPEAL TO THE  There is no need for a
NLRC: motion for the issuance of
1. Filing of A VERIFIED writ of execution on the
MEMORANDUM OF APPEAL within reinstatement order as it is
the required period of appeal; self-executory. (Pioneer
2. In case of monetary award, when Texturizing Co. vs. NLRC)
the appellee is the employer he
should file an APPEAL BOND Perfection of appeal within the

corresponding to the monetary reglementary period is both
award excluding awards for moral MANDATORY and JURISDICTIONAL.
and exemplary damages and (ACDA vs NLRC; Volkschel vs NLRC)
attorney’s fees.
Where
 the employer  Non-service of the copy of the
failed to post a bond to appeal/appeal memorandum to the
perfect its appeal, the adverse party is not a jurisdictional
remedy of the employee is a effect and does not justify dismissal of
motion to dismiss the the appeal.
appeal, NOT a petition for
mandamus.
The intention of the
  AMOUNT OF APPEAL BOND: amount
equal to the monetary award exclusive
lawmakers
bond an is to make the
indispensable of damages (moral and exemplary) plus
requisite for the perfection attorney’s fees.
of an appeal by the
employer.  OPTIONS OF THE EMPLOYER IN
3. Appeal fee of P150; COMPLYING WITH AN ORDER OF
4. Proof of service - furnish the REINSTATEMENT WHICH IS
other party with a copy of the IMMEDIATELY EXECUTORY:
memo of appeal. 1. He can ADMIT THE DISMISSED
employee back to work under the
 Failure to give a copy of same terms and conditions prevailing
the appeal to the appellee prior to his dismissal or separation or
within 10 days is not fatal IF to a substantially equivalent position
the latter was not

if the former position is already ART 224. EXECUTION OF

filled up, OR DECISIONS, ORDER, OR AWARDS
2. He can REINSTATE THE EMPLOYEE The decision of the Secretary of

MERELY
PAYMENT IN OFTHE THEPAYROLL WITH
ACCRUED Labor,
Regionalthe Commission,
Director theArbiter,
the Labor Bureau the
or
SALARIES. Med-Arbiter or the Voluntary Arbitrator
Failure to exercise one
 shall be final and executory after 10
of the foregoing options may calendar days from receipt thereof by
be compelled under pain of the parties and shall be executory
contempt and the employer within ten (10) years.
may be made to pay instead
the salary of the employee.  The foregoing may, upon its
own initiative or on motion of
 A petition for relief from the any interested party, issue a
decision of the labor arbiter must writ of execution on a
strictly comply with 2 reglementary judgment within 5 years from
periods: the date it becomes final and
executory.
1. The petition must be filed within 60  An independent action is
days from knowledge of the required for the execution of the
judgment; and final judgement within the next
2. The petition must be filed within a of following 5 years [ Phil.
fixed period of 6 months from entry National Railways vs NLRC (177
of such judgment. SCRA740, Sept. 19, 1989)]
Petitions filed beyond
  The immediate execution of
said period will no longer be judgment should be undertaken
entertained. only when the monetary award
had been carefully and
 APPEAL FROM THE DECISION OF THE accurately determined by the
NLRC: NLRC and only after the
employer is given the
No law allows an appeal from a opportunity to be heard and to
decision of the Secretary of Labor, or raise objections to the
the NLRC, or of a voluntary arbitrator. computation.
In these cases, the special civil action of
certiorari, prohibition or mandamus TITLE III
under Rule 65 of the Rules of Court may BUREAU OF LABOR RELATIONS
be lodged with the Court of Appeals.
(St. Martin’s Funeral Home vs. CA)
 No Motion for Reconsideration is ART. 226. BUREAU OF LABOR
allowed for any order, decision RELATIONS
or award ofa a Labor

However MotionArbiter.
for Pursuant to E.O. 126, the NATIONAL
Reconsideration of a Labor CONCILIATION AND MEDIATION BOARD
Arbiter’s decision, award or (NCMB) has absorbed the conciliation,
order which has all the elements mediation and voluntary arbitration
of an appeal may be treated as functions of the BLR.
appeal.
 Only one Motion for  Jurisdiction over labor-
Reconsideration of the decision, management problems or
award or order of the disputes is also exercised by
commission on appealed cases other offices such as the DOLE
before it. regional offices, and the Office
of the Secretary, NLRC, POEA,
OWWA, SSS-ECC, the regional a. cancellation of registration of a

wage and productivity boards, labor organization filed by its
NWPC, and even the regular members or by any other labor
courts over intra-corporate organization;
 disputes.
EXCLUSIVE AND ORIGINAL b. conduct
worker’s of election ofassociation
union and
JURISDICTION OF THE BLR officers/nullification of election
of union and worker’s
-to act at its own initiative or upon
association officers;
the request of either or both parties on
c. audit/accounts examination of
all:
union or worker’s association
1. INTRA- union conflicts funds;
d. deregistration of CBA;
2. INTER - union conflicts e. validity/invalidity of union
affiliation or disaffiliation;
3. all DISPUTES, GRIEVANCES OR f. validity/invalidity of
PROBLEMS ARISING FROM OR acceptance/non-acceptance for
AFFECTING LABOR MANAGEMENT union membership;
RELATIONS IN ALL WORKPLACES g. validity/invalidity of
WHETHER AGRICULTURAL OR NON- impeachment/ expulsion of
AGRICULATURAL. union and worker’s association
officers;
 The parties may however, by h. validity/invalidity of voluntary
agreement, settle their recognition;
differences by submitting their i. opposition to application for
case to a voluntary arbitrator union and CBA registration;
rather than taking the case to j. violations of or disagreements
the BLR. over any provision in a union or
worker’s association constitution
 CASES WHERE THE BLR HAS NO and by-laws;
JURISDICTION: k. disagreements over chartering or
Those arising from the registration of labor
implementation or interpretation of organizations and CBAs;
collective bargaining agreements which l. violations of the rights and
shall be subject of grievance procedure conditions of union or worker’s
and/or voluntary arbitration. association membership;
m. violations of the rights of
 INTRA-UNION DISPUTES – refers to legitimate labor organizations,
any conflict between and among union except interpretation of CBAs;
members, including grievances arising n. such other disputes or conflicts
from any violation of the rights and involving the rights to self-
conditions of membership, violation of or organization, union membership,
disagreement over any provision of the and collective bargaining –
union’s constitution and by-laws, or
disputes arising from chartering or 1. between and among
affiliation. legitimate labor
organizations
 MED-ARBITER- an officer in the 2. between and among
regional office or bureau authorized to members of a union or
hear, conciliate, and decide worker’s association
representation cases or assist in the
disposition of intra or inter-union EXTENDED COVERAGE (Section 2 Rule XI
disputes. DO 40-03)
Other related labor relations
COVERAGE OF INTER/INTRA-UNION disputes shall include any conflict
DISPUTES (Sec. 1 Rule XI DO 40-03) between a labor organization and the
employer or any individual, entity, or collective bargaining or to any other

group that is not a labor organization or conflict or dispute between legitimate
worker’s association. This includes: labor organizations based on any
violations of their rights as labor
1. cancellation
of unions of andregistration
workers organizations.
WHO 1. For grounds under Sec. 1:
associations; and a. any LLO
2. a petition for interpleader b. member(s) thereof
specially concerned
2. For grounds under Sec. 2—any
 SPECIAL REQUIREMENTS AS TO THE party-in-interest
FILING OF CASES: WHERE 1. Regional Office that issued its
A. INVOLVING ENTIRE MEMBERSHIP certificate of registration or
FILED
certificate of creation of
chartered local- If it involves labor
1. The complaint must be signed by unions with independent
at least 30% of the entire registrations, chartered locals,
membership of the union and worker’s association, its officers
2. It must also show exhaustion of or members
2. Directly with the Bureau—If it
administrative remedies. involves a Federation/National
Unions/Industry Unions, its
B. INVOLVING A MEMBER ONLY - In such officers or members
case only the affected member may FORMAL 1. in writing
2. verified under oath
file the complaint. REQUIRE-
3. contains the following
MENTS averments
 Redress must first be sought a. name, address and other
personal circumstances of the
within the union itself in
complainant(s) or petitioner(s);
accordance with its constitution b. name, address and other
and by-laws EXCEPT under any personal circumstances of the
of the following circumstances: respondent(s) or person(s)
a. futility of intra-union remedies charged;
c. nature of the complaint or
b. improper expulsion procedure
petition;
c. undue delay in appeal as to d. facts and circumstances
constitute substantial injustice surrounding the complaint or
d. the action is for damages petition;
e. lack of jurisdiction of the e. cause(s) of action or specific
investigating body violation(s) committed;
f. action of the administrative f. a statement that the
agency is patently illegal, administrative remedies provided
for in the constitution and by-laws
arbitrary, and oppressive
-have been exhausted or
g. issue is purely a question of law -such remedies are not
h. where the administrative agency readily available to the
had already prejudged the complainant(s) or
case petitioner(s) through no fault
i. where the administrative agency of his/their own or
was practically given the -compliance with such
administrative remedies does
opportunity
did not. to act on the case but it not apply to complainant(s) or
petitioner(s);
 Imposition of fees by the union g. relief(s) prayed for;
affects the entire membership, h. certificate of non-forum
therefore it requires that the shopping; and
i. other relevant matters
complaint should be signed by at
least 30% of the membership of
the union. EFFECTS OF FILING/PENDENCY OF
INTER/INTRA-UNION DISPUTE AND
OTHER LABOR RELATIONS DISPUTES
 INTER-UNION DISPUTES -refers to any (Section 3 Rule XI DO 40-03)
conflict between and among legitimate - The rights, relationships and obligations of
labor organizations involving the parties litigants against each other and
representation questions for purposes of other parties-in-interest prior to the
institution of the petition shall continue to labor-management relations in all

remain during the pendency of the petition workplaces, necessarily, in the
and until the date of finality of the decision exercise of this jurisdiction over
rendered therein. Thereafter, the rights, labor-management relations, the
relationships and obligations of the parties
litigants against each other and other parties- Med-Arbiter
original andhas exclusive,
the authority,
to
in-interest shall be governed by the decision
so ordered. determine the existence of an
- The filing or pendency of any inter/intra- employer-employee relationship.
union disputes is not a prejudicial question to (MY San Biscuits, Inc. vs. Laguesma
any petition for certification election and G.R. No. 9511, 22 April 1991)
shall not be a ground for the dismissal of a
petition for certification election or  In cases where there is
suspension of proceedings for certification
overlapping of jurisdiction,
election.
determine the principal issue.
 SUMMARY OF RULES ON The agency that has jurisdiction
INTRA/INTER-UNION DISPUTES (Rule XI thereon may decide on the
DO 40-03) incidental issues.
 MODES OF APPEAL IN INTRA/INTER-  ADMINISTRATIVE FUNCTIONS OF THE

UNION DISPUTES (Rule XI DO 40-03) BLR:
HOW (formal 1. Under oath 1. The REGULATION OF REGISTRATION
requirements) 2. Consist of a of the labor unions;
memorandum of appeal 2. The KEEPING OF A REGISTRY of
3. Based on either of labor unions;
the following grounds:
3. The maintenance of a FILE OF CBAS.
a. Grave abuse of
discretion ART. 227. COMPROMISE
b. Gross violation AGREEMENTS; and
of the Rules 4. The maintenance of a file of all
4. With supporting settlements or final decisions of the
arguments and evidence Supreme Court, Court of Appeals,
PERIOD Within 10 days from NLRC and other agencies on labor
receipt of decision disputes.
TO WHOM 1. Bureau of Labor
APPEALABLE Relations—if the case  REQUIREMENTS:
originated from the Med
a. must be freely entered into;
Arbiter/Regional
Director b. must not be contrary to law, morals
2. Sec. Of Labor—if the or public policy; and
case originated from the c. must be approved by the authority
Bureau before whom the case is pending [see
WHERE FILED Regional Office or to discussion on article 221—approval of
the BLR, where the labor arbiter of an amicable
complaint originated settlement in a case before him.
(records are transmitted 
to the BLR or Sec. of the
May be effected atand
proceedings any stage
even
Within 24 hours from
receipt of the when there is already a final
memorandum of appeal) executory judgment (2040 NCC).
 Cannot be entered into when
the final judgment is already in
 DETERMINATION OF EMPLOYER- the process of execution.
EMPLOYEE RELATIONSHIP: (Jesalva vs. Bautista)
- Since the BLR has the original and

exclusive jurisdiction to decide,
inter alia, all disputes, grievances or
problems arising from or affecting
FORMAL REQUIREMENTS OF A VALID 3. The CONSIDERATION MUST BE

COMPROMISE AGREEMENT: REASONABLE (required only when
1. in writing entered without the assistance of
2. signed in the presence of the regional DOLE)
director or
representative. his duly authorized  Dire necessity is not an
acceptable ground for annulling
WITH vs. WITHOUT ASSISTANCE OF the releases, especially in the
DOLE-COMPROMISE AGREEMENTS absence of proof that the
Without assistance With the employees were forced to
of DOLE assistance of execute them. (Veloso vs. DOLE)
DOLE
a. WAIVER OF REINSTATEMENT – like
VALIDITY/BINDING waivers of money claims, a waiver of
EFFECT reinstatement must be regarded as a
- Valid and binding - Valid and binding personal right which must be
upon the parties upon the parties exercised personally by the workers
b. REPUDIATION themselves. (Jag & Haggar Jeans and
- Can be - Can no longer be Sportswear Corp. vs. NLRC)
repudiated by the repudiated—
parties by going to becomes final and  ART 231. REGISTRY OF UNIONS
the Commission binding upon the AND FILE OF COLLECTIVE
parties upon AGREEMENT
NOTE: ULP cases execution EXCEPT
are not subject to a. in case of non  The CBA is more than a contract,
compromise. compliance it is highly impressed with public
with the interest for it is an essential
compromise instrument to promote industrial
agreement; peace.
or  Must be filed directly with the
if there is Bureau or the Regional Offices of
prima facie DOLE within thirty (30) days
evidence that the from execution.
settlement was  An UNREGISTERED CBA does not
obtained through bar certification election
fraud, [contract bar rule will not apply
misrepresentation in the absence of registration.
, or coercion [See discussion on Arts. 253 &
253-A]
OPTIONS WHEN COMPROMISE
AGREEMENT IS VIOLATED:  Registration of the CBA is not a
1. enforce compromise by writ of requisite for its validity.
execution
2. regard it as rescinded and insist upon LIBERTY FLOUR MILLS EMPLOYEES v.
original demand. LFM, INC. 180 SCRA 668
 The certification of the CBA by the
 REQUIREMENTS OF A VALID BLR is not required to put a stamp of
QUITCLAIM: validity to such contract. Once it is duly
entered into and signed by the parties, a
1. The quitclaim must be CBA becomes effective as between the
VOLUNTARILY ARRIVED at by the parties regardless of whether or not the
parties; same has been certified by the BLR.
2. It must be WITH THE ASSISTANCE of
the Bureau of Labor Standards,
Bureau of Labor Relations or any
representative of the DOLE; and
ART 232. PROHIBITION ON TITLE IV

CERTIFICATION ELECTION
LABOR ORGANIZATIONS
CONTRACT BAR RULE: provides that
while a valid
subsisting and registered
for a fixed period of 5 CBA
yearsis, CHAPTER I
the Bureau is not allowed to hold an
election contesting the majority status REGISTRATION AND CANCELLATION
of the incumbent union except during
the sixty (60) day period immediately
prior to its expiration, which period is ART. 234. REQUIREMENTS OF
called the freedom period. REGISTRATION
LABOR ORGANIZATION - Any union or
 The existence of the CBA bars the association of employees which exists in
holding of an inter-union electoral whole or in part for the purpose of:
contest and the filing of the Petition for a. collective bargaining or
Certification Election except within the b. of dealing with employer
freedom period. concerning
employment.terms and conditions of
PURPOSE: to minimize union It is the agent of the

“politicking” until the proper time employees of an appropriate

comes. bargaining unit.
ART 233. PRIVILEGED PRINCIPLE OF AGENCY APPLIED

COMMUNICATION
 Principal – employees
PRIVILEGED COMMUNICATION: Any  Agent – local/chapter
statement of such privacy that the law  Agent of agent – federation
exempts the person receiving the
information from the duty to disclose it. LEGITIMATE LABOR ORGANIZATION or
LABOR UNION
 Information and statements made at
conciliation proceedings shall be treated – any labor organization duly registered
as privileged communication and shall with the Department of Labor and
not be used as evidence in the Employment, and Bureau of Labor
Commission. Relations.

 Conciliators and similar officials  Not every legitimate labor
may not testify in any court or organization can act as
body regarding any matters bargaining representative and be
taken up at conciliation certified as such. This is true
proceedings conducted by them. only of a union that has won in
certification election or has been
voluntarily recognized by the
employer.
PURPOSE OF FORMATION OF LABOR

UNIONS: for securing a fair and just
wages and good working conditions for
the laborers; and for the protection of
labor against the unjust exactions of
capital
MODES OF ACQUIRING LEGITIMACY FOR the organizational meeting.

LABOR ORGANIZATIONS In such a case, the factual
circumstances of the
1. Registration with the BLR ratification shall be recorded
2. (Independent Union)

Affiliation with a legitimate labor in the minutes
organizational of the
meeting(s).
federation (These are called reportorial
requirements)
[REGISTRATION REQUIREMENTS FOR
LABOR ORGANIZATIONS (as amended by  The application for registration of
DO 40-03)] labor unions xxx, shall be certified under
3. Application for registration oath by its Secretary or Treasurer, as the
4. Attachments case may be, and attested by its
 name of the applicant labor president.
union, its principal address;
 the name of its officers and their  The attachments must now be in
respective addresses; one(1) original copy and two (2)
duplicate copies which shall accompany
o approximate number of the application or notice, and submitted
employees in the bargaining to the Regional Office or the Bureau.
unit where it seeks to
operate, with a statement  A prescribed registration fee must be
that it is not reported as a paid before the issuance of the
chartered local of any certificate of registration
federation or national union;
Where to file application for
o the minutes of the registration:
organizational meeting(s)
and the list of employees 1. For registration of independent labor
who participated in the said unions, chartered locals, worker’s
meeting(s); associations shall be filed with the
Regional office where the applicant
o the name of all its members principally operates. It shall be
comprising at least 20% of processed by the Labor Relations Division
the employees in the at the Regional office.
bargaining unit;
2. Applications for registration of
o the annual financial reports federations, national unions or workers’
if the applicant has been in associations operating in more than one
existence for one or more region shall be filed with the bureau or
years, unless it has not the regional offices, but shall be
collected any amount from processed by the bureau.
the members, in which case
a statement to this effect  MINISTERIAL DUTY OF THE BLR
shall be included in the COMPELLABLE BY MANDAMUS- to
application; review the application for registration
and not the issuance of a Certificate of
o the applicant’s constitution Registration.
and by-laws, minutes of its
adoption or ratification, and - After a labor organization had filed
the list of the members who the necessary papers and documents for
participated in it. The list of registration, it becomes mandatory for
ratifying members shall be the BLR to check if the requirements
dispensed with where the under Article 234 have been sedulously
constitution and by-laws was complied with. If its application for
ratified or adopted during
registration is vitiated by falsification
and serious irregularities, especially registration, the application should also

those appearing on the face of the be accompanied by the following:
application and the supporting 1. Proof of affiliation of at least 10
documents, a labor organization should locals or chapters, each of which
be deniedorganization.
labor recognition as a(Progressive
legitimate must be acollective
exclusive duly recognized soleagent
bargaining and
Development Corporation-Pizza Hut vs. in the establishment or industry in
Laguesma et al., GR No. 115077, April which it operates, supporting the
18, 1997) registration of such applicant
federation or national union;
 PURPOSE OF REGISTRATION - 2. The names and addresses of the
Registration with the BLR is the companies where the locals or
operative act that gives rights to a labor chapters operate and the list of all
organization. the members in each company
involved.
 It is the fact of being registered
with the DOLE that makes a  A LOCAL UNION MAY AFFILIATE WITH
labor organization legitimate in A FEDERATION - The procedure of
the sense that it is clothed with affiliation would depend on whether the
legal personality to claim union is independently registered or not.
representational and bargaining
rights enumerated in Article 242 REQUIREMENTS OF AFFILIATION (as
or to strike or picket under amended by DO 40-03)
Article 263. 1. Report of affiliation of
 The requirement of registration independently registered labor union
is NOT a curtailment of the 2. Attachments:
right to association. It is merely a. resolution of the labor union’s
a condition sine qua non for the board of directors approving the
acquisition of legal personality affiliation;
by labor organizations, b. minutes of the general
associations or unions and the membership meeting approving
possession of the rights and the affiliation;
privileges granted by law to c. the total number of members
labor organizations. comprising the labor union and
 A valid exercise of police power the names of members who
since the activities in which approved the affiliation;
labor organizations, associations, d. the certificate of affiliation

or unions of workers are engaged issued by the federation in favor
affect public interest, which of the independently registered
should be protected. (PAFLU vs. labor union; and
Sec. Of Labor) e. written notice to the employer
concerned if the affiliating union
 is the incumbent bargaining
with at least- 10
FEDERATION any locals/chapters
labor organization
or agent.
affiliates each of which must be duly
certified or recognized as the sole and  A union of supervisory employees may
exclusive collective bargaining agent of affiliate with a national federation of
the employer they represent. labor organizations of rank and file
employees PROVIDED that:
 REQUIREMENTS BEFORE A
FEDERATION CAN BE ISSUED A a. the federation is not actively
CERTIFICATE OF REGISTRATION: involved in union affairs in the
company; and
Aside from the application, which b. the rank and file employees are not
must be accompanied with the directly under the control of the
requirements for registration of a labor supervisors
 ONCE AFFILIATED, A LOCAL

UNION MAY DISAFFILIATE FROM THE
FEDERATION.
INDEPENDENT
REGISTRATION CHARTERING
 Obtained  A duly
by union registered
organizers federation/n
in an ational union
enterprise issues a
through charter to a
their own union in an
action enterprise
and registers
the charter
with the
regional
office or the
BIR.
 Indepen-  Chapter/local
dent
union
 With legal  No legal

personalit personality of
y of its its own as
own long as it has
not availed
itself of
independent
registration.
 Applicatio  Charter
n for certificate is
registratio issued by a
n is filed federation or
with and national
will be union is filed
acted with the
upon
the DOLEby regional
office or BLR
regional with 30 days
office after the
where the issuance of
applicant’ the charter
s principal certificate.
office is
located.
INDEPENDENTLY UNREGISTERED
REGISTERED
a.HOW TO -by signing a contract of -by application of the union

AFFILIATE affiliation with the federation for the
issuance of a charter
certificate to be submitted to
the Bureau accompanied by
the following:
a. Copies of its constitution
and by-laws
b. Statement of the set of
officers and
Books of accounts, all of
which must be certified by
the Secretary/Treasurer and
attested to by the President.
In such case, the union
becomes a local chapter of
the Federation.
b. EFFECT OF - would not affect its being a upon severance, it would

DISAFFILIATION legitimate labor organization cease to be a legitimate labor
TO THE UNION and therefore it would organization and would no
continue to have legal longer have legal personality
[local] personality and to possess all and the rights and privileges
the rights and privileges of a granted by law to legitimate
legitimate labor organization. organization, unless the local
chapter is covered by
registered a duly
collective
bargaining agreement. In the
latter case, the local or
chapter will not lose its legal
personality until the
expiration of the CBA. After
the CBA expires it will lose its
legal personality unless it
registers as an independent
union.
c. EFFECT OF - an existing CBA would The CBA would continue to be
DISAFFILIATION continue
labor to be valid as can
organization the valid. Theitslocal
not lose chapter until
personality will
TO THE CBA
continue administering the the expiration of the CBA.
CBA After the CBA expires the
local union looses its
personality, unless it registers
anew.
d. ENTITLEMENT -labor organization is entitled - union dues may no longer

TO UNION DUES to the union dues and not the be collected as there would
AFTER federation from which the no longer any labor union that
DISAFFILIATION labor organization is allowed to collect such
disaffiliated. union dues from the
employees.
Note: Follow the principle of
agency between federation
and local.
 Principal – employees
 Agent – local/chapter
Agent of agent – federation
WHEN TO DISAFFILIATE  The revocation shall divest the

local chapter of its legal
GENERAL RULE: A labor union may personality upon receipt of the
disaffiliate from the mother union to notice by the Bureau, unless in
form an independent union only during the meantime the local chapter
the 60-day freedom period has acquired independent
immediately preceding the expiration of registration. (Rule VIII Section 5
the CBA. of the IRR)
EXCEPTION: DISAFFILIATION BY WORKER’S ASSOCIATION: Association

MAJORITY of workers for the mutual aid and
protection of its members or for any
 This happens when there is a legitimate purpose other than collective
substantial shift in allegiance on bargaining.
the part of the majority of the
members of the union. In such ART. 236. DENIAL OF REGISTRATION;
a case, however, the CBA APPEAL
continues to bind the members
of the new or disaffiliated and - Decisions of the BLR denying the
independent union up to the registration of a labor organization is
CBA’s expiration date. appealable to the Secretary of Labor
within 10 calendar days from receipt of
LIMITATION: disaffiliation should be in the decision, on grounds of:
accordance with the rules and
procedures stated in the Constitution a. grave abuse of discretion; or
and by-laws of the federation. b. gross incompetence
- even before the onset of the
 A prohibition to disaffiliate in freedom period, disaffiliation may
the Federation’s constitution or still be carried out, but such
by-laws is valid—intended for its disaffiliation must be effected by a
own protection. majority of the union members in
the bargaining unit.
 REVOCATION OF CHARTER BY THE
FEDERATION - by serving the decision of the regional office or the
local/chapter a verified notice of bureau denying the application for
revocation, copy furnished the Bureau on registration shall be:
the ground of disloyalty or such other 1. in writing
grounds as may be specified in its 2. stating in clear terms the reason for
constitution or by-laws. the decision
3. applicant union must be furnished a
copy of said decision

ART. 238. CANCELLATION OF MODES OF APPEAL

REGISTRATION; APPEAL
DENIAL or CANCELLATION BY:
The certificate of registration of
A. Regional Office
any legitimate
be cancelled by labor organization
the BLR shall
if it has reason  transmit records within 24
to believe, after due hearing, that the hours from receipt of Memo of
said labor organization no longer meets Appeal
one or more of the requirements  BUREAU decides within 20
prescribed by law . days from receipt of records
 SUPREME COURT- Rule 65
 GROUNDS FOR CANCELLATION: B. Bureau
1. Failure to comply with any of the  transmit records within 24
requirements prescribed under hours from receipt of memo
Arts. 234 (requirements for of appeal
registration of a labor union) &  SEC. OF DOLE decides within
237 (add’l. reqts. federation 20 days from receipt of
registration) of the Code. records
 SUPREME COURT- Rule 65
2. Violation of any of the provisions
of Art. 239 (grounds for *Appeal by memo of appeal
cancellation of union within 10 days from receipt of
registration) of the Code notice.
GROUNDS:
3. Commission of any of the acts 1. Grave abuse of discretion
enumerated under Art. 241 2. Violation of rules as
(rights and conditions of amended.
membership) of the code- No
petition for cancellation based
on this ground 0may be granted
unless supported by at least 30%
of all the members of the  EFFECT OF CANCELLATION OF
respondent labor organization or REGISTRATION IN THE COURSE OF
worker’s association. PROCEEDINGS
- Where a labor union is a party
 A pronouncement as to in a proceeding and later it loses its
the illegality of the registration permit in the course or
strike is not within the during the pendency of the case, such
meaning of Art. 239 of union may continue as a party without
the Code which provides need of substitution of parties, subject
for the grounds for however to the understanding that
cancellation of union whatever decision may be rendered
registration. therein will be binding only upon those
members of the union who have not
signified their desire to withdraw from
the case before its trial and decision on
the merits. [Principle of Agency
applied—the employees are the
principals, and the labor organization is
merely an agent of the former,
consequently, the cancellation of the
union’s registration, would not deprive
the consenting member-employees of
their right to continue the case as they
are the considered as the principals]
ART 239. GROUNDS FOR preparation of the financial report

CANCELLATION OF UNION itself;
REGISTRATION 3. Failure to submit a LIST OF
INDIVIDUAL MEMBERS of the Bureau
 GROUNDS FOR CANCELLATION OF once a year and
the Bureau; or whenever required by
UNION REGISTRATION:
4. Failure to comply with the
A. FRAUDULENT ACTS REQUIREMENTS UNDER ARTICLES
237.
1. Misrepresentation, False statement
or Fraud in connection with C. UNLAWFUL ACTS
[RATIFICATION OF CONSTI/BY- 1. Acting as a labor contractor or
LAWS]: engaging in the “CABO” SYSTEM, or
otherwise engaging in any activity
a. the ADOPTION OR prohibited by law;
RATIFICATION of the 2. Entering into collective bargaining
constitution and by-laws or agreements which provide terms and
amendments thereto, conditions of employment below
b. the MINUTES of ratification, minimum standard established by
and law [CBA-BELOW MINIMUM
c. the LIST OF MEMBERS who took STANDARDS]; (Sweetheart
part in the ratification. Agreements)
3. Asking for or ACCEPTING
2. Misrepresentation, false statement ATTORNEY’S FEES OR NEGOTIATION
or fraud in connection with the FEES from the employers;
[ELECTION PAPERS]: 4. Other than for mandatory activities
under this Code, checking off special
a. ELECTION of officers, assessment or any other fees without
b. MINUTES of the election of duly signed individual written
officer and the list of voters, or authorization of the members
c. failure to submit these [UNLAWFUL ASSESSMENTS];
documents together with the list of
the newly elected/appointed CANCELLATION OF REGISTRATION
officers and their postal addresses A. FOR:
within 30 days from election 1. Legitimate individual labor
union.
B. INACTION OR OMISSION 2. Chartered local
3. Worker’s association
1. Failure to submit the following
documents [RATIFICATION OF  WHERE TO FILE
CONSTI/BY-LAWS]: Regional Director who has
a. the adoption or ratification of jurisdiction over the place
the constitution and by-laws or where respondent principally
amendments thereto, operates (30 days to decide).
b. the minutes of ratification, and
the list of members who took  WHO MAY FILE
part in the ratification - Any party in interest, if ground
*Within 30 days from adoption or is:
ratification of the constitution and a. Failure to comply with any of
by-laws or amendments thereto. the requirements under Arts.
2. Failure to submit the Annual 234, 237 and 238 LC
Financial report to the Bureau within b. Violation of any provision under
30 days after the closing of every Art. 239, LC
fiscal year and misrepresentation, Take note of the cancellation
false entries and fraud in the proceedings if violation is D and
J of Art. 239, LC
organizations, CBAs executed

B. FOR: and their effectivity period, in
1. Federations the case of federations or
2. National or Industry unions national unions, within 30 days
3. Trade union centers after thewell
year, as close of updated
as the each fiscal
list
 WHERE TO FILE of their authorized
- Bureau Director ( 30 days to representatives, agents or
decide) signatories in the different
regions of the country.
 WHO MAY FILE
 RULES ON ADMINISTRATIVE
- Only the members of the
CANCELLATION OF CERTIFICATE OF
Labor Organization concerned
REGISTRATION OF LLOs DUE TO NON-
if grounds are actions
COMPLIANCE WITH THE REPORTORIAL
involving violations of Art.
REQUIREMENTS:
241, subject to the 39% rule
WHEN Failure to comply with its

REPORTING REQUIREMENTS OF LABOR PROPER legal duty to submit the
UNIONS AND WORKERS ASSOCIATIONS documents required to
(Rule V DO 40-03) be submitted under Rule
- It shall be the duty of every legitimate V of DO 40-03 for 5
labor union and workers’ association to consecutive years
submit to the Regional Office or Bureau
which issued its certificate of WHO MAY 1. Motu propio by the
registration or certificate of creation of FILE THE Bureau
chartered local, as the case may be, two PETITION 2. Any party-in-interest
(2) copies of each of the following 1st Notice
documents: THREE- Bureau shall send by
a. any amendment to its NOTICE registered mail with return
constitution and by-laws and the REQUIRE card notice for compliance
indicating the documents it
minutes of adoption or MENT failed to submit and the
ratification of such amendments, corresponding period in
within 30 days from its adoption which they were required,
or ratification; with notice to comply with
b. annual financial reports within the said reportorial
30 days after the close of each requirements and to submit
fiscal or calendar year; proof thereof to the Bureau
c. updated list of newly-elected within 10 days from receipt
officers, together with the thereof
2nd Notice
appointive offices or agents who
Where no response is
are entrusted with the handling received by the Bureau
of funds, within 30 days after
each regular or special election within
release 30of days
the 1from
st the
notice,
of officers, or from the another notice for
occurrence of any change in the compliance shall be made
officers of agents of the labor by the Bureau, with warning
organization or workers that failure on its part to
association’ comply with the reportorial
requirements within the
d. updated list of individual
time specified shall cause
members of chartered locals, the continuation of the
independent unions and workers’ proceedings for the
associations within 30 days after administrative cancellation
the close of each fiscal year; and of its registration
e. updated list of its chartered 3rd Notice
Where no response is again
locals and affiliates or member
received by the Bureau c. to require adequate records of

within 30 days from release income and expenses;
of the 2nd notice, the d. to access financial records;
Bureau shall cause the e. to vote on officers
publication of the notice of
cancellation of registration
of the labor organization in f. compensation;
to vote on special assessment;
2 newspapers of general g. to be deducted a special
circulation. assessment only with the
member’s written authorization.
When no response is
received by the Bureau 4. Right to Information - the right to
within 30 days from the be informed about:
date of publication or when a. the organization’s
the Bureau has verified the
constitution and by- laws,
dissolution of the labor
organization, it shall order b. the collective bargaining
the cancellation of agreement, and labor laws.
registration of the labor
organization AND cause its 
Any violation of the above rights
de-listing from the roster of and conditions of membership
legitimate labor shall be a ground for
organizations cancellation of union registration
or expulsion of an officer from
office, whichever is appropriate.
CHAPTER II At least 30% of all the members
of the union or any member or
RIGHTS AND CONDITIONS OF members specifically concerned
MEMBERSHIP IN A LABOR may report such violation to the
ORGANIZATION Bureau.
ART. 241. RIGHTS AND CONDITIONS  PERSONS WHO ARE PROHIBITED

OF MEMBERSHIP IN A LABOR FROM BECOMING MEMBERS/OFFICERS
ORGANIZATION OF A LABOR ORGANIZATION UNDER THE
LABOR CODE (see also notes under Art.
 GENERAL GROUPINGS OF THE 243 on persons who are not granted the
RIGHTS OF THE UNION MEMBERS: right to self-organization):
1. Political right - the right to vote and 1. Subversives or those engaged in
be voted for, subject to lawful subversive activities [Art.241
provisions on qualifications and (e)]
disqualifications. 2. Persons who have been convicted
of a crime involving moral
2. Deliberative and Decision-Making turpitude shall not be eligible for
election as union officer or for
Right - the right
deliberations on to major
participate in
policy appointment to any position in the
questions and decide them by secret union. [Art. 241 (f)]
ballot.
 In general, a union is free to
3. Rights Over Money Matters - the select its own members, and no
right of the members: person has an absolute right to
membership in a union.
a. against imposition of excessive
fees; LIMITATIONS [see discussion on union
b. right against unauthorized security arrangements under Art. 248] :
collection of contributions or
unauthorized disbursements; a. The labor org. cannot compel
employees to become members of

their labor organization if they are NATURE AND PURPOSE OF CHECK-OFF:

already member of rival union. to facilitate the collection of

dues necessary for the union’s

b. persons mentioned in Art. 241(e) life and sustenance.
[subversives] offrom
are prohibited the becoming
labor code
a  Union dues are the lifeblood of
member a labor organization. the union.
c. members of religious organization REQUIREMENTS WITH REGARD TO

whose religion forbade CHECK-OFFS (Art. 241 [o]):
membership in labor organization
could not be compelled into union - NO special assessment, attorney’s
membership. fees, registration fees or any other
extraordinary fees may be checked off
REQUIREMENTS IN MAKING SPECIAL from any amount due an employee
ASSESSMENTS or OTHER WITHOUT an individual written
EXTRAORDINARY FEES (Art. 241 [n]): authorization duly signed by the
employee.
1. there must be a WRITTEN
RESOLUTION The authorization should specifically
2. he resolution must have BEEN state the:
APPROVED BY A MAJORITY of all
the members a. amount
b. purpose and the beneficiary
3. the approval must be AT A GENERAL of the deduction.
MEMBERSHIP MEETING DULY called
for that purpose  Jurisdiction over check-off disputes is
with the Regional Director of the DOLE,
 The secretary of the organization not the Labor Arbiter
shall record the minutes of the
meeting including:  UNION DUES VS. AGENCY FEE
UNION DUES AGENCY FEE
a. the list of all members present, a. DEDUCTED FROM - non-members of the
b. the votes cast, and - members of a bargaining agent
c. the purpose of the assessment or union for the (union) for the
fees payment of union enjoyment of the
dues. benefits under the
CBA.
 The record shall be attested by
b. CONSENT - May be deducted
the President. - May not be from the salary of
deducted from the employees without
 Substantial compliance to the salaries of the union their consent.
aforementioned procedure is not members without
enough—the requirements must the written consent
be strictly complied with in view of the workers
of the fact that the special affected
assessment will diminish the
compensation of union members. Agency fee cannot be imposed on

(Palacol et. al vs. Ferrer-Calleja employees already in the service and are
et. al) members of another union. If a closed
shop agreement cannot be applied to
 CHECK-OFF - a method of deducting them, neither may an agency fee, as a
from an employee’s pay at prescribed lesser form of union security, be
period, the amounts due to the union for imposed to them. (NABAILU vs. San
fees, fines or assessments. Miguel Brewery Inc)
 EXCEPTION TO THE REQUIREMENT CHAPTER III

OF INDIVIDUAL WRITTEN
AUTHORIZATION: RIGHTS OF LEGITIMATE LABOR
ORGANIZATIONS
1. F or mandatory
under activities provided
the Code; and
ART. 242. RIGHTS OF LEGITIMATE
2. When non-members of the union LABOR ORGANIZATIONS
avail of the benefits of the CBA.
RIGHTS OF A LEGITIMATE LABOR
- said non-members may be assessed ORGANIZATION [USERFOE]:
union dues equivalent to that paid by
members 1. Undertake activities for benefit of
members
- only by a Board Resolution 2. Sue and be sued
approved by majority of the members in 3. Exclusive representative of all
a general meeting called for the purpose employees
4. Re
present union members
Will the employees-members of 5. Furnished by employers of audited
another union not be considered as financial statements
free riders? 6. Own properties
7. Exempted from taxes
No since when the union bids to be the
bargaining agent, it voluntarily assumes
the responsibility of representing all TITLE V
employees in the appropriate bargaining
unit. COVERAGE
 SPECIAL ASSESSMENT vs. CHECK-OFF ART. 243. COVERAGE AND
SPECIAL CHECK-OFF EMPLOYEES’ RIGHT TO SELF–
ASSESSMENTS ORGANIZATION
a. HOW APPROVED (Union Dues)
-by written resolution -by obtaining the
approved by majority individual written  PERSONS/EMPLOYEES ELIGIBLE TO
of all the members at authorization duly JOIN A LABOR ORGANIZATION FOR
a meeting duly called signed by the PURPOSES OF COLLECTIVE
for that purpose employee which must
specify: BARGAINING:
a. amount
b. purpose and 1. All persons employed in
c. beneficiary of commercial, industrial and
the deduction.
b. EXCEPTION TO (Agency Fees) agricultural (CIA) enterprises, and
SUCH REQUIREMENT -not necessary if:
-no exception—written 1. For mandatory 2. In religious, charitable, medical or
resolution is activities provided
mandatory at all under the Code; and educational (RCME)
instances. 2. When non-members
whether operating for profit
institutions
or not
of the union avail of
the benefits of the  PERSONS/EMPLOYEES ELIGIBLE TO
CBA. Said non- JOIN A LABOR ORGANIZATION FOR
members may be
assessed agency fees MUTUAL AID AND PROTECTION
equivalent to that (AIRSIW):
paid by members only 1. Ambulant,
by a Board Resolution 2. Intermittent,
approved by majority
of the members in a 3. R ural,
general meeting 4. Self-employed people
called for the 5. Itinerant workers and
purpose. 6. Workers without any definite
employers,
 PERSONS/EMPLOYEES WHO ARE NOT  whose duties are of a highly

GRANTED THE RIGHT TO SELF- confidential or highly technical
ORGANIZATION: (HEMACEN) in nature (212 LC)
1. H igh-level
(E.O. 180 government employees
Sec. 3) (MANAGERIAL 4. Members of including
Philippines, the Armedpolice
Forces of the
officers,
GOVERNMENT EMPLOYEES) policemen, firemen and jail guards
(E.O. 180 Sec. 4);
GOVERNMENT – GOVERNMENT –
OWNED OR OWNED OR 5. Confidential employees (Metrolab
CONTROLLED CONTROLLED vs. Confesor)
CORPORATIONS WITH CORPORATIONS
AN ORIGINAL WITHOUT 6. Employees of cooperatives who are
CHARTER ORIGINAL members (Benguet Elec. Coop. vs
CHARTER Calleja)
a. LAW
- Employees cannot stage - The GOCC is
strikes since they are created under
7. Non-Employees (Rosario Bros. vs
governed by the Civil Corporation Code, Ople)
Service Law. They are then employees are
enjoined by Civil Service covered by the Labor Foreigners validly working in the
Memorandum Circular Code. Therefore Philippines [with permit from DOLE]
No. 6, under pain of the employees have
can form labor organizations, provided
administrative sanctions the same rights as
from staging strikes, those as employees the same right to form, join or assist in
demonstrations, mass of private the formation of labor unions is also
leaves, walkouts and corporations, one of given to Filipinos in their country of
other concerted which is the right to origin. This embodies the principle of
activities. strike. reciprocity.
b. BARGAINING RIGHTS
- Corporations with
original charters - The GOCC is MAY SECURITY GUARDS FORM A LABOR
cannot bargain with created under ORGANIZATION?
the government Corporation Code, YES. Under RA 6715, they may now
concerning the terms being governed by the freely join a labor organization of the
and conditions of Labor Code, they can rank-and-file or that of the supervisory
their employment. bargain with the
However, they can government
union, depending on their rank. (Meralco
negotiate with the concerning the terms vs. Secretary of Labor)
government on those and
terms and conditions conditions of EXTENT OF THE RIGHT TO SELF-
of employment which their employment. ORGANIZATION
are not fixed by law. Thus, they have 1. To form, join and assist labor
Thus, they have unlimited bargaining
limited bargaining rights.
organizations for the purpose of
rights. collective bargaining through
representatives of their own choosing
c.PURPOSE OF and
ORGANIZATION - Can form, join or 2. To engage in lawful concerted
- Can only form, join or assist labor
assist labor organization organization for activities for the same purpose- for
for purposes not contrary purposes of CBA, etc. their mutual aid and protection.
to law.
ART. 244. RIGHTS OF EMPLOYEES IN
2. Employees of international THE PUBLIC SERVICE
organizations with immunities (ICMC vs.
Calleja) THE FOLLOWING ARE CONSIDERED
NEGOTIABLE IN GOCCs WITH ORIGINAL
3. Managerial employees CHARTER:
whose functions are normally
 1. schedule of vacation and other
considered as policy-making or leaves
managerial
2. work assignment of pregnant women
3. personnel growth and development however, such bargaining power

4. communication system – lateral and is limited.
vertical
5. provision for protection and safely NOTE: The Public Sector Labor
6. provision
handicapped for facilities
personnel for Management
by E.O. 180 Council (PSLMC), to
has jurisdiction created
hear
7. provision for first-aid medical charges of ULP filed by government
services for married women employees against their employer.
8. annual medical/physical examination
9. recreational, social, athletic and  REASONS WHY EMPLOYEES IN GOCCs
cultural activities and facilities INCORPORATED UNDER THE
(Rules implementing WO 180) CORPORATION CODE ARE ALLOWED TO
ORGANIZE:
 THE FOLLOWING ARE CONSIDERED 1. they are not involved in public
NOT NEGOTIABLE: service
2. terms of employment are not fixed
1. Those which require appropriation of by law
funds, such as: 3. they areLabor
of the governed
Code by
notthe
byprovisions
the Civil
a. increase in salary Service Law
emoluments and other
allowance not presently ART. 245. INELIGIBILITY OF
provided for by law MANAGERIAL EMPLOYEES TO JOIN ANY
b. facilities requiring capital LABOR ORGANIZATION; RIGHT OF
outlays SUPERVISORY EMPLOYEES.
c. car plan
d. provident fund  MANAGERIAL EMPLOYEE - one who is
e. special hospitalization, vested with powers or prerogatives to
medical and dental services lay down and execute management
f. rice/sugar/other subsidies policies and /or to hire, transfer,
g. travel expenses suspend, lay-off, recall, discharge,
h. increase in retirement assign or discipline employees.
benefits
 MANAGERIAL EE UNDER LS AND LR
2. Those that involve the exercise of Managerial Managerial
management prerogatives, such as: Employees under Employees
Labor Standards under Labor
a. appointments Relations
b. promotion a. POWERS/DUTIES
c. assignments/details - primary duty consists - See definition
d. reclassification/upgrading of of the management of above
position the establishment in
e. revision of compensation which they are
structure employed or of a
f. penalties imposed as a result department or
of disciplinary actions subdivision
g. selection of personnel to b. EXTENT - does not include
attend seminar, trainings, - includes the officers the managerial
study grants and members of the staff since they are
h. distribution of work load managerial staff classified as
supervisory
i. external communication
employees [who
linkages may/may not be
 Government employees and eligible to join a
employees of government-owned labor union with
and controlled corporations with the rank and file
employees]
original charters may bargain,
c. PURPOSE OF - to determine an judgment [or merely

DEFINITION employee’s routinary/clerical in nature]
- to determine w/n eligibility in then they may join the union
certain employees are joining/forming a composed of the rank and file
covered by Book III of labor union.
the LC on Conditions of employees.
Employment. NOTE: It is the nature of the employee’s
functions and not the nomenclature or
Reason for ineligibility in the title given to his job which determines
collective bargaining process, whether he has a rank and file or
managerial employees are the alter ego managerial status. (Engineering
of the employers and thus they are Equipment, Inc. vs. NLRC)
supposed to be on the side of the
employer to act as its representatives, MAY THEY AFFILIATE WITH A
and to see to it that its interests are FEDERATION OF LABOR ORGANZATIONS
well protected. The employer is not OF RANK AND FILE EMPLOYEES?
assured of such protection if these
employees are union members. YES. Provided that:
In the same manner, the labor

a. the federation is not actively
union might not be assured of involved in union affairs in the
their loyalty to the union in company; and
view of the evident conflict of b. the rank and file employees are
interest. not directly under the control of
The union can also become
 the supervisors (Adamson vs.
company-dominated with the Adamson)
presence of managerial
employees in Union Membership  EFFECT OF HAVING MIXED
(Bulletin Publishing Co. Inc. vs. MEMBERSHIP – A union whose
Hon. Augusto Sanchez). membership is a mixture of the
supervisors and the rank and file is not
 SUPERVISORY EMPLOYEES - those and cannot become a legitimate labor
who, in the interest of the employer, organization. It cannot petition for a
effectively recommend such managerial certification election, much less ask to
actions if the exercise of such authority be recognized as the bargaining
is not merely routinary or clerical in representative of employees.
nature but requires the use of
independent judgment.  CONFIDENTIAL EMPLOYEES - by the
very nature of their functions, they
MAY SUPERVISORY EMPLOYEES FORM, assist and act in a confidential capacity
ASSIST, JOIN A LABOR ORGANIZATION? to, or, have access to confidential
matters of persons who exercise
YES, on their own and NOT with the managerial functions in the field of
rank-and-file employees (RA 6715). labor relations. Therefore, the rationale
behind the ineligibility of managerial
 The TEST IS: Do they exercise employees to form, assist or join a labor
independent judgment which is union equally applies to them. (Philips
not subject to evaluation of Industrial Dev’t Inc. Vs. NLRC)
other department heads/other
superiors? If in the affirmative, - they are entrusted with confidence on
then they may-must form a labor delicate matters, or with the custody,
organization of their own handling, or care and protection of the
[separate from the rank and file employer’s property. Under the
employees] doctrine of necessary implication,
 If their responsibilities do not confidential employees are similarly
inherently require the exercise disqualified under Article 245. (Republic
of discretion and independent Planters Bank vs. Torres)

NOTE: The phrase “in the field of labor TITLE VI

relations” is important. It stresses labor
nexus, i.e., confidentiality of the UNFAIR LABOR PRACTICES
position is related or linked to labor
relations matters.
Access to information which is

CHAPTER I
regarded by the employer to be CONCEPT
confidential from the business
standpoint, such as financial
information or technical trade
ART. 247. UNFAIR LABOR PRACTICES
secrets, will not render an
employee a confidential
 NATURE OF UNFAIR LABOR
employee. (SMC Supervisors &
PRACTICES:
Exempt Union vs. Hon.
Laguesma, et al.)
1. VIOLATE THE CONSTITUTIONAL
Confidentiality is not a matter of

RIGHT of workers and employees to
official rank, it is a matter of job self-organization;
content and authority. It is not 2. are INIMICAL TO THE LEGITIMATE
measured by closeness to or INTERESTS of both
distance from top management, labor and management, including
but by the significance of the their right to bargain collectively
jobholder’s role in the pursuit of and otherwise deal with each
corporate objectives and other in an atmosphere of freedom
strategies. and mutual respect
 Every managerial position is 3. DISRUPT INDUSTRIAL PEACE; and
confidential because one does 4. hinder the promotion of healthy and
not become a manager without stable labor-management relations
having gained the confidence of and mutual respect [LABOR-MNGT
the appointing authority. But RELATIONS-UNSTABLE];
not every confidential employee
is managerial; he may be a  2 ELEMENTS OF UNFAIR LABOR
supervisory or even a rank-and- PRACTICE:
file employee.
1. employer-employee relationship
between the offender and the
ART. 246. NON-ABRIDGEMENT OF offended
THE RIGHT TO SELF-ORGANIZATION 2. act done is expressly defined in
the Code as an act of unfair
“THE RIGHT TO SELF-ORGANIZATION labor practice
SHALL NOT BE ABRIDGED” MEANS: 3. it is now considered a criminal
offense triable by the criminal
It shall be unlawful for any person to: court
a. restrain, NOTE: Prohibited acts are all related to
b. coerce, the workers' self-organizational right and
c. discriminate against, or the the observance of a CBA, except Art.
d. unduly interfere 248 (f) dismissing or prejudicing an
employee for giving testimony under the
- with employees and workers in their Code.
exercise of the right to self-organization.
 ULP has a technical meaning.
 Any act intended to weaken or It is a practice unfair to labor,
defeat the right is regarded by although the offender may either
law as an offense, which is be an employer or a labor
technically called “unfair labor organization
practice.”
It refers to acts opposed to CHAPTER II

workers' right to organize.
Without this, the act, no matter UNFAIR LABOR PRACTICES
how unfair, is not ULP. OF EMPLOYERS

It commonly connotes anti-
unionism.
 It also refers to gross violation of ART 248. ULP THAT MAY BE
CBA provisions. Gross means the COMMITTED BY AN EMPLOYER (1-10)
act is malicious and flagrant.
 2 ASPECTS OF UNFAIR LABOR

1. To INTERFERE WITH, RESTRAIN OR
PRACTICE:
COERCE EMPLOYEES
CIVIL CASE CRIMINAL CASE - in the exercise of their right
A. PERSONS LIABLE to self-organization;
1. Officers and 1. Agents and
agents of officers who INTERFERENCE
employer or participated or
2. Labor authorized or ratified Examples:
organization, the act.
officers and 2. Agents,
- outright and unconcealed intimidation
agents representatives, members - interrogation
of the government board, employer must communicate to the
including ordinary employee the purpose of questioning
members 1. assure him that no reprisal would
B. JURISDICTION take place
-Labor Arbiters of -MTC/RTC as the case 2. obtain employee participation
the NLRC may be. voluntarily
C. QUANTUM OF PROOF NEEDED
3. must be free from employer
-substantial -beyond reasonable doubt
hostility to union organization
evidence [subject to prosecution 4. must not be coercive in nature
and punishment] -intimidating
employer expressions of opinion by
D. PRESCRIPTIVE PERIOD
- one year from - one year from the TEST OF INTERFERENCE OR COERCION -
the accrual of the accrual of the ULP act, whether the employer has engaged in
ULP act. however it will be
conduct which it may reasonably be said
suspended once the
administrative case has tends to interfere with the free exercise
been filed and would only of the employees' right and it is not
continue running once the necessary that there be direct evidence
administrative case has that any employee was in fact
attained finality. intimidated or coerced by the
Final judgment in the statements of threats or the employer if
administrative there is a reasonable interference that
proceeding
ULP has beenfinding that
committed the anti-union conduct of the employer
does have an adverse effect of self-
is a prerequisite in filing
a criminal case for ULP organization and collective bargaining.
NOTE: Final judgment in
the administrative 2. TO REQUIRE AS A CONDITION FOR
proceedings shall not be EMPLOYMENT THAT A PERSON OR
binding in the criminal AN EMPLOYEE
case nor shall be - shall not join a labor
considered as an organization or
evidence of guilt but
- shall withdraw from one to
merely as a proof of
compliance of the which he belongs;
requirements prescribed
by the Code.
 YELLOW DOG CONTRACT - A promise 5. To DISCRIMINATE IN REGARD TO

exacted from workers as a condition of WAGES, hours of work, and other
employment that they are not to belong terms and conditions of
to, or attempt to foster, a union during employment in order to encourage or
their period
and void of employment. It is null
because: discourage
labor organization.membership in any
- It is contrary to public policy
for it is tantamount to involuntary TEST OF DISCRIMINATION- whenever
servitude. benefits or privileges given to one is not
- It is entered into without given to the other under similar or
consideration for employees in identical conditions when directed to
waiving their right to self- encourage or discourage union
organization membership (see more discussions
- Employees are coerced to sign below)
contracts disadvantageous to their
family. 6. To DISMISS, DISCHARGE OR
Does Art. 248 (3) mean that an OTHERWISE PREJUDICE OR
employer cannot contract out work? DISCRIMINATE against an employee
- for having given or being about
NO. Contracting out services is not ULP
to give testimony under this
per se. It is ULP only when the following
Code; (The only ULP act which is
conditions exist:
not anti-unionism)
1. the service contracted- out
are being performed by
DISCRIMINATION BECAUSE OF
union members; and
TESTIMONY
2. such contracting-out
TEST: the subject matter of the

interferes with, restrains, or
testimony can be anything under
coerce employees in the
the Code
exercise of their right to
self-organization. what is ULP is the employer's

retaliatory act regardless of the

HOWEVER , when the contracting-out is subject of employee's complaint
being done to minimize expenses, then it or testimony
is a valid exercise of management
prerogative. 7. TO VIOLATE THE DUTY TO BARGAIN
COLLECTIVELY AS PRESCRIBED BY
3. To CONTRACT OUT SERVICES OR THIS CODE;
FUNCTIONS BEING PERFORMED BY
UNION MEMBERS 8. TO PAY NEGOTIATION OR
when such will interfere with, ATTORNEY’S FEES TO THE UNION OR
-
restrain or coerce employees in ITS OFFICERS OR AGENTS
the - as part of the settlement of any
- exercise of their right to self- issue in collective bargaining
organization; or any other disputes; or
4. To INITIATE, DOMINATE, ASSIST 9. To VIOLATE A COLLECTIVE
OR OTHERWISE INTERFERE BARGAINING AGREEMENT.(GROSSLY!)
- with the formation or - the violation must be gross and
administration of any labor with respect to the economic
organization, provision of the CBA (flagrant
- including the giving of financial or and with malice)
other support to it or its  All the aforementioned acts (Nos. 1-
organizers or officers; (Formation 9) must have a relation to the
of Company Union) employees’ exercise of their to self -
organization. Anti-union or anti-
organization motive must be proved
because it is a definitional element employee quits as a result of the

of ULP. prohibition
RUNAWAY SHOP - an industrial plant
moved by its owners from one location  THREE COMPONENTS OF ART. 248(5)
to another or
regulations to state
escape laws
union orlabor
to (DISCRIMINATION):
discriminate against employees at the 1. It prohibits discrimination in
old plant because of their union terms and conditions of
activities. employment in order to encourage
or discourage membership in the
 COMPANY UNIONISM union;
1. Initiation of the company union 2. It gives validity to union security
idea by: agreements ;
a. outright formation by 3. It allows an agency shop
employer or his arrangement whereby agency fees
representatives may be collected from non-union
b. employee formation on members.
outright demand or
influence by employer
 SECURITY ARRANGEMENTS -
c. managerially motivated stipulations in the CBA requiring
formation by employees membership in the contracting union as
2. financial support to the union by: a condition for employment or retention
a. employer defrays union of employment in the company.
expenses
b. pays attorney's fees to the
attorney who drafted the  PRINCIPLES OF UNION SECURITY
Constitution or by laws of ARRANGEMENTS:
the union 1. Protection - To shield union members
3. employer encouragement and from whimsical and abusive exercise
assistance by immediate granting of management prerogatives.
of exclusive recognition as 2. Benefits - An additional membership
bargaining agent without will insure additional source of
determining whether the union income to the union in the form of
represents majority of the union dues and special assessment.
employees 3. Self-preservation- It strengthens the
4. supervisory assistance by soliciting union through selective
membership, permitting union acceptance of new members on the
activities during work time or basis of commitment and loyalty.
coercing employees to join the
union by threats of dismissal or  DIFFERENT KINDS OF UNION
demotion. SECURITY ARRANGEMENTS:
(EXCEPTIONS TO ULP ON
 DISCRIMINATION FOR OR AGAINST INTERFERENCE ON THE EMPLOYEES’
UNION MEMBERSHIP EXERCISE OF THEIR RIGHT TO SELF-
ORGANIZATION)
TEST OF DISCRIMINATION: That the 1. CLOSED-SHOP AGREEMENT - the
discharge of an employee was motivated employer undertakes not to employ any
by his union activity. Such inference individual who is not a member of the
must be based on evidence, direct or contracting union and the said individual
circumstantial, not upon mere suspicion. once employed must, for the duration of
the agreement, remain a member of the
 CONSTRUCTIVE DISCHARGE - ULP union in good standing as a condition for
where employer prohibits employees continued employment.
from exercising their rights under the - does not have any retroactivity
Code, on pain of discharge, and the - apply only to new hires
EXCEPTIONS: either join the union or pay to the union

a. employees belonging to any as exclusive bargaining agent a sum
religious sect which prohibit equal to that paid by the members.
affiliation of their members with any

labor
by organization
such are —
agreement not
Thecovered
free This is directed against
“FREE RIDER” employees who
exercise of religious belief is benefit from union activities
superior to contract rights without contributing support to
(Victoriano vs. Elizalde Rope the union, to prevent a situation
Workers). of non-union members enriching
b. members of the rival union are not themselves at the expense of
covered by such arrangement. union members.
SEMI-CLOSED SHOP AGREEMENT- has  Employee members of

no requirement for the employee to another/rival union are not
remain as member of the contracting considered free riders since
union in good standing as a condition when the union [agent] bids to
for continued employment. be the bargaining agent, it
voluntarily assumed the
2. UNION SHOP AGREEMENT - responsibility of representing all
stipulation whereby any person can be the employees in the
employed by the employer but once appropriate bargaining unit.
employed such employee must, within a
specific period, become a member of the
contracting union and remain as such in REQUIREMENTS FOR A VALID
good standing for continued employment TERMINATION BY THE EMPLOYER OF
for the duration of the CBA [take note of THE SERVICES OF AN EMPLOYEE
the exceptions in the preceding PURSUANT TO A UNION OR CLOSED-
number.] SHOP AGREEMENT:
3. MAINTENANCE OF MEMBERSHIP 1. The agreement must be expressed in

CLAUSE - the agreement DOES NOT a CLEAR AND UNEQUIVOCAL way so
require non-members to join the as not to leave room for
contracting union BUT provides that interpretation because it is a
those who are members thereof at the limitation to the exercise of the
time of the execution of the CBA and right to self-organization.
those who may thereafter on their own  Any doubt must be resolved
volition become members must for the against the existence of a
duration of the agreement maintain closed-shop agreement.
their membership in good standing as a
condition for continued employment in 2. The agreement can only have
the company for the duration of the PROSPECTIVE APPLICATION and
CBA. cannot be applied retroactively.
4. PREFERENTIAL SHOP AGREEMENT – 3. It can only be exercised by giving the
an agreement whereby the employer employee his right to DUE PROCESS.
merely agrees to give preference to the - The employer has the right to
members of the bargaining union in satisfy himself that there are
hiring, promotion or filing vacancies and sufficient bases for the request
retention in case of lay-off. The of the union.
employer has the right to hire from the - The termination of the services
open market if union members are not of the employee is not automatic
available. upon the request of the union.
5. AGENCY SHOP AGREEMENT - an 4. It cannot be applied to employees

agreement whereby employees must
who are already MEMBERS OF THE
RIVAL UNION or to the employees  FEATHERBEDDING - refers to the

based on their religious beliefs. practice of the union or its agents in
causing or attempting to cause an
CHAPTER III employer to pay or deliver or agree to
pay or deliver
value, in the money
nature orofother things for
exaction, of
UNFAIR LABOR PRACTICES OF
LABOR ORGANIZATIONS services which are not performed or not
ART. 249. UNFAIR LABOR PRACTICES to be performed, as when a union
OF LABOR ORGANIZATIONS demands that the employer maintain
personnel in excess of the latter’s
a. To RESTRAIN OR COERCE employees requirements.
in the exercise of their right to self- It is not featherbedding if the

organization. However, a labor work is performed no matter

organization shall have the right to how unnecessary or useless it
prescribe its own rules with respect may be.
to the acquisition or retention of
membership;  SWEETHEART DOCTRINE – considers
b. To CAUSE OR ATTEMPT TO CAUSE it ULP for a labor organization to ask for
AN EMPLOYER TO DISCRIMINATE or accept negotiation or attorney’s fees
AGAINST AN EMPLOYEE , including from the employer in settling a
discrimination bargaining issue or dispute
c. To VIOLATE THE DULY OR REFUSE
TO BARGAIN COLLECTIVELY with  resulting CBA is considered a
the employer provided that it is the “sweetheart contract” – a CBA
representative of the employees; that does not substantially
d. TO CAUSE OR ATTEMPT TO CAUSE improve the employees’ wages
AN EMPLOYER TO PAY OR DELIVER and benefits.
OR AGREE TO PAY OR DELIVER ANY
MONEY or other things of value, in
the nature of an exaction, for
services which are not performed or TITLE VII
not to be performed, including the
demand for a fee for union COLLECTIVE BARGAINING AND
negotiations; (This is called ADMINISTRATION OF AGREEMENTS
FEATHERBEDDING)
e. To ASK FOR OR ACCEPT ART. 250. PROCEDURE IN
NEGOTIATION OR ATTOR NEY’S FEES COLLECTIVE BARGAINING
FROM EMPLOYERS as part of the COLLECTIVE BARGAINING –negotiation
settlement of any issue in collective by an organization or group of workmen,
bargaining or any other dispute; or in behalf of its members, with the
f. To GROSSLY VIOLATE A COLLECTIVE employer, concerning wages, hours of
BARGAINING AGREEMENT. work and other terms and conditions of
- The
mustviolation
be withmust be gross and
respect to employment and the settlement of
disputes by negotiation between an
economic provisions of the CBA employer and the representative of his
flagrantly and with malice. employees.
Negotiation towards a collective

 PERSONS CIVILLY LIABLE FOR agreement.

ULP:
1. Officers and agents of employer  The mechanics of collective
2. Labor organization, officers and bargaining is set in motion only when the
agents following JURISDICTIONAL
3. Agents and officers who PRECONDITIONS are present:
participated or authorized or
ratified the act.
1. POSSESSION OF THE STATUS OF  8 STAGES IN THE NEGOTIATION FOR

MAJORITY representation by the A COLLECTIVE BARGAINING
employees’ representative in AGREEMENT:
accordance with any of the means of 1. PRELIMINARY process - written
selection or designation
by the Labor Code; provided for notice
be clearfor negotiation
and which must
unequivocal
2. NEGOTIATION Process
2. proof of MAJORITY 3. EXECUTION Process – signing of the
REPRESENTATION (Certification of agreement
the BLR that the representative of 4. PUBLICATION for at least 5 days
the employees in the sole and before ratification
exclusive bargaining agent having 5. RATIFICATION by the majority of
won in a certification election); and all the workers in the bargaining
3. a DEMAND TO BARGAIN under unit represented in the negotiation
Article 250 (a) of the Labor Code. (not necessary in case of arbitral
(Kiok Loy vs. NLRC) award)
6. REGISTRATION Process
COLLECTIVE BARGAINING AGREEMENT Requisites for registration:
(CBA) - a negotiated contract between a a. mandatory provisions
legitimate labor organization and the b. payment of P1, 000
employer concerning: c. 5 copies of CBA
a. wages, d. proof of ratification
b. hours of work, and 7. ADMINISTRATION Process – the CBA
c. all other terms and shall be jointly administered by
conditions of employment in the management and the
a bargaining unit, including bargaining agent for a period of 5
mandatory provisions for years
grievances and arbitration 8. INTERPRETATION AND
machineries. APPLICATION Process
PROCEDURE IN COLLECTIVE  MANDATORY PROVISIONS OF THE

BARGAINING CBA:
1. wages
1. Written NOTICE with statement of 2. hours of work
proposals 3. grievance machinery
2. REPLY by the other party within 10 4. voluntary arbitration
calendar days with counter proposals 5. family planning
3. In case of differences, either party 6. rates of pay
may REQUEST FOR A CONFERENCE 7. mutual observance clause
which must be held within 10 days
from receipt of request.
 In addition, the Bureau requires
4. If not settled NCMB MAY INTERVENE that the CBA should include a
AND ENCOURAGE the parties to clear statement of the terms of
submit the dispute to a voluntary the CBA.
arbitrator
5. If not resolved, the parties may go to Note: Employer’s duty to bargain is
where they want AND RESORT TO limited to mandatory bargaining
ANY OTHER LAWFUL MEANS [either subjects; as to other matters, he is free
to settle the dispute or submit it to a to bargain or not to bargain.
voluntary arbitrator].
 During the conciliation ART. 252. MEANING OF DUTY TO
proceeding in the Board, the BARGAIN COLLECTIVELY
parties are prohibited from doing
any act which may disrupt or DUTY TO BARGAIN COLLECTIVELY -

impede the early settlement of the performance of a mutual obligation:
the disputes (250[d] LC).

a. to MEET AND CONVENE promptly d. gross violation of the CBA

and expeditiously in good faith for
the purpose of negotiating an Do economic exigencies justify refusal
agreement with respect to wages, to bargain?
hours of work andofall employment
and conditions other terms An employer has been held not guilty of
including proposals for adjusting refusal to bargain by adamantly
any grievances or questions arising rejecting the union's economic demands
under such agreement and where he is operating at a loss, on a low
profit margin, or in a depressed industry,
b. EXECUTING A CONTRACT as long as he continues to negotiate.
incorporating such agreements if But financial hardship constitutes no
requested by either party. excuse for refusing to bargain
collectively.
LIMITATIONS:
ACTS NOT DEEMED REFUSAL TO
1. the duty to bargain collectively does BARGAIN:
not compel any party to: 1. adoption of an adamant bargaining
a. agree to a proposal; or position in good faith
b. make a concession.
No room for “Take it or Leave it” 2. refusal to bargain over demands for
posture. commission of ULP
2. the parties cannot stipulate terms 3. refusal to bargain during period of

and conditions of employment which illegal strike
are below the minimum requirements
prescribed by law 4. there is no request for bargaining
(Meaning of duty to bargain when there 5. union seeks recognition for an

exists a CBA, see discussion under Art. inappropriately large unit
253)
6. union seeks to represent some
 Collective bargaining does not persons who are excluded from the Code
end with the execution of the
agreement. It is a continuous 7. the rank-and-file unit includes
process. The duty to bargain supervisors or inappropriate otherwise
imposes on the parties during
the term of their agreement the 8. the demand for recognition and
mutual obligation to meet and bargaining is made within the year
confer promptly and following a certification election in
expeditiously and in good faith which the clear choice was no union and
for the purpose of adjusting any no ad interim significant change has
grievances or question arising taken place in the unit
under such agreement. (Republic
Savings Bank vs. CA) 9. the union makes unlawful bargaining
demands
FOUR (4) FORMS OF ULP IN BARGAINING TO THE POINT OF
BARGAINING: DEADLOCK OR IMPASSE:
a. failure or refusal to meet and
convene 1. over a mandatory subject - party
b. evading the mandatory subjects may insist on bargaining and will not be
of bargaining construed as bargaining in bad faith
c. bad faith in bargaining
[boulwarism], including failure or REASON: duty to bargain requires
refusal to execute the CBA, if meeting and convening on the terms and
conditions of employment
requested
but does not require assent to the other evading bargaining on terms and
party's proposals. conditions of employment - in short,
Party A is committing ULP.
2. over a non-mandatory subject -
party
point may not insistotherwise,
of impasse, on bargaining to the
he will be posture ofWhat
NOTE: the settlement
making rule forbids
of ais non-
the
construed as bargaining in bad faith. mandatory subject a pre-condition to the
discussion or settlement of a mandatory
253 253-A/256 subject.
A.FREEDOM PERIOD ART. 253. DUTY TO BARGAIN

-the notice of intention to - representation COLLECTIVELY WHEN THERE EXISTS A
terminate, amend or alter aspect of the COLLECTIVE BARGAINING AGREEMENT
the provisions of the CBA
shall be filed within the
CBA shall be for
sixty (60) day period, a term of five  GENERAL RULE: When there is an
immediately prior to the (5). A petition existing CBA, the duty to bargain
expiration of the CBA. for certification collectively shall also mean that neither
-the economic provisions election may be party shall TERMINATE nor MODIFY such
however may be entertained and agreement during its lifetime. It is the
renegotiated not later than a certification duty of both parties to:
three (3) years. Those election may be
economic provisions conducted within a. keep the status quo and
entered within 6 months
the 60-day b. to continue in the full force and
from the expiry of their
term as fixed in the CBA period effect the terms and conditions of
shall retroact to the day immediately the existing CBA
immediately following such prior to the
date, if beyond 6 months expiration of the  EXCEPTION: during the 60-day period
the effectivity is by CBA. prior to its expiration, upon service of a
agreement of the parties. written notice of a party’s intention to
terminate or modify the same, a party
B. WHAT MAY BE may choose to terminate or modify the
CHANGED DURING THE 60- - representation non-representational aspect of the CBA
DAY FREEDOM PERIOD aspect—it may be only after the expiration of CBA of fixed
-re-negotiable provisions of resolved by holding
duration.
the CBA particularly the certification
non-representation aspect election
(ECONOMIC PROVISIONS  DUTY TO BARGAIN COLLECTIVELY
may be renegotiated not UNDER 253 AND 253-A/256
later than three (3) years.
 AUTOMATIC RENEWAL CLAUSE – Art.
EXAMPLE: The employer's insistence 253 provides that the CBA shall remain
that the union should change its effective and enforceable even after the
negotiator before bargaining can expiration of the period fixed by the
proceed to the employees' wage and parties as long as no new agreement is
benefits is an instance of bad-faith reached by them.
bargaining because the composition of
the negotiating panel is not a mandatory  WHAT MAY BE DONE DURING THE
subject of bargaining. 60-DAY FREEDOM PERIOD:
Hence, if Party A insists on first settling a. A labor union may DISAFFILIATE

a non-mandatory subject before tackling from the mother union to form a
a mandatory subject, Party B may local or independent union only
complain that Party A's posture is just an during the 60-day freedom period
excuse to avoid bargaining on the immediately preceding the
mandatory, essential subjects of expiration of the CBA. [take note of
bargaining; thus, Party B can charge that the limitation-see discussions on
Party A is bargaining in bad faith or is registration of labor unions]

b. either party can serve a written ART. 254. NO INJUNCTION RULE

notice to TERMINATE OR MODIFY
the agreement at least 60 days prior No temporary or permanent
to its expiration period [on re- injunction or restraining order in any
negotiable/non-representation
aspect of the CBA—see discussion on case involving
disputes or issued
shall be growing
by out
any of labor
court or
253] other entity, except as otherwise
c. a petition for CERTIFICATION provided in Articles 218 (Powers of the
ELECTION may be filed Commission/NLRC) and 264 (Prohibited
Activities) of this Code.
ART. 253– A. TERMS OF A
COLLECTIVE BARGAINING AGREEMENT REASON: injunction contradicts the
(CONTRACT BAR RULE) constitutional preference for voluntary
modes of dispute settlement
 DURATION OF THE CBA:
 In cases of strikes/picketing, third
1. With respect to the parties or innocent bystanders may
representation aspect, the same secure a court (regular court)
lasts for 5 years injunction to protect their rights.
(PAFLU vs. CLORIBEL)
2. With respect to other provisions
[economic provisions], the same may ART. 255. EXCLUSIVE BARGAINING
last for a maximum period of 3 years REPRESENTATION AND WORKER’S
after the execution of the CBA PARTICIPATION IN POLICY AND
DECISION-MAKING
RULE ON RETROACTIVE EFFECTS OF
OTHER ECONOMIC PROVISIONS WITH WHAT IS THE MEANING OR EXTENT OF
FIXED TERM OR DATES OF EXPIRY AS THE WORKERS’ RIGHT T O
PROVIDED IN THE CBA: PARTICIPATE IN POLICY AND DECISION-
MAKING PROCESSES?
a. Those made within 6 months after
the date of expiry of the CBA Such right refers ONLY to
- Any agreement on such other participation in grievance procedures
provisions of the CBA made within 6 and voluntary modes of settling disputes
months after the date of expiry of the and NOT to formulation of corporate
CBA is subject to AUTOMATIC programs and policies.
RETROACTION to the day immediately
following such date of expiry. NOTE: An employer may solicit
questions, suggestions and complaints
b. Those not made within 6 months the from employees eventhough the
parties may agree to the DATE OF employees are represented by a union,
RETROACTION . provided:
- This rule applies only if there
is an EXISTING AGREEMENT. If THERE IS 1. the collective bargaining
NO EXISTING AGREEMENT, there is no representative executes an
retroactive effect because the date agreement waiving the right to be
agreed upon shall be the start of the present on any occasion when
period of agreement. employee grievances are being
adjusted by the employer and
NOTE: Article 253-A on retroaction does
not apply if the provisions were imposed 2. employer acts strictly within the
by the Secretary of Labor by virtue of terms of this waiver agreement.
arbitration. It applies only if the
agreement was voluntarily made by the
parties.
ONE-UNION, ONE-COMPANY POLICY -  FOUR FACTORS IN DETERMINING THE

the proliferation of unions in an APPROPRIATE BARGAINING UNIT:
employer unit is discouraged as a matter
of policy unless there are compelling 1. the EXPRESS WILL OR DESIRE of the
reasons which would
of employees thedeny a certain
right to class
self- employees

(Globe
the desires of Doctrine);
all the employees
organization for purposes of collective are relevant to the
bargaining. determination of the appropriate
bargaining unit. The relevance
EXCEPTION: of the wishes of the employees
- supervisory employees who are concerning their inclusion or
allowed to form their own unions apart exclusion from a proposed
from the rank-and-file employees bargaining unit is inherent in the
basic right to self organization
- the policy should yield to the right of
employees to form unions for purposes 2. the SUBSTANTIAL AND MUTUALITY
not contrary to law, self-organization INTEREST factor;
and to enter into collective bargaining
negotiations. 3. prior collective bargaining HISTORY;
and
 two companies cannot be
treated into a single bargaining unit 4. EMPLOYMENT STATUS, such as
even if their businesses are related. a. temporary
b. seasonal, and
 subsidiaries or corporations c. probationary employee
formed out of former divisions of a
mother company following a  THINGS TO CONSIDER IN
reorganization may constitute a DETERMINING THE COMMUNITY
separate bargaining unit. OF INTEREST DOCTRINE:
 LABOR MANAGEMENT COUNCILS - 1. similarity in the scale and manner of

deal with the employer on matters determining earnings
affecting employee’s rights, benefits and
welfare. 2. similarity in employment benefits,
They may be formed even if there
 hours of work and other terms and
is already a union in the company. conditions of employment
ARTS. 256-259 PETITION FOR 3. similarity in the kinds of work

CERTIFICATION ELECTION performed
 BARGAINING UNIT- a group of 4. similarity in the qualifications, skills

employees of a given employer, and training of the employees
comprised
entire bodyofofallthe
or employees,
less than all the
which, 5. frequency of contract or interchange
consistent with equity to the employer, among the employees
indicate to be best suited to serve the
reciprocal rights and duties of the 6. common supervision and
parties under the collective bargaining determination of labor-relations
provision of the law. policy
 CERTIFICATION YEAR - refers to the 7. history of previous collective

period wherein collective bargaining bargaining
should begin, which is within 12 months
following the determination and 8. desires of the affected employees
certification of employees' exclusive
bargaining representative. 9. extent of union organization
 MODES OF CHOOSING THE EXCLUSIVE certifies a labor organization of an

BARGAINING UNIT: appropriate bargaining unit of a
company after a showing that such
1. SELECTION - certification election petition is supported by at least a
2. DESIGNATION - voluntary recognition majority
bargaining ofunit.
the employees
IT in the
IS NO LONGER
A. CERTIFICATION ELECTION – the ALLOWED. (EO 111)
process of determining by secret ballot
the sole and exclusive bargaining agent VOLUNTARY RECOGNITION – the process
of the employees in an appropriate whereby the employer recognizes a labor
bargaining unit, for purposes of organization as the exclusive bargaining
collective bargaining representative of the employees in the
appropriate bargaining unit after a
 CERTIFICATION vs. CONSENT showing that the labor organization is
ELECTION supported by at least a majority of the
CERTIFICATION CONSENT employees in the bargaining unit.
ELECTION ELECTION
 EFFECT OF VOLUNTARY
A. NATURE RECOGNITION BY THE EMPLOYER -
- separate and distinct - a separate and through voluntary recognition by the
from a consent distinct process employer, the labor organization is
election and has nothing recognized by the employer as the
to do with the exclusive bargaining agent which may
import and collectively bargain with such employer.
effect of a
certification
election C.E. IN AN ORGANIZED AND AN
UNORGANIZED ESTABLISHMENT
B. PURPOSE
- to determine the sole - to determine ORGANIZED UNORGANIZED
and exclusive the issue of
bargaining agent of all majority A. WHEN MANDATORY ON
the employees in an representation THE PART OF BLR Upon:
appropriate bargaining of all the - upon the filing of a a. the filing
unit for the purpose of workers in the verified petition by a
of a verified
collective bargaining; appropriate legitimate labor
collective organization questioning petition by a
bargaining unit the majority status of the legitimate
mainly for the incumbent bargaining labor
purpose of agent within the 60-day organization;
determining the freedom period before the or
administrator of expiration of a CBA. b. upon the
the CBA when - The petition must be filing of a
the contracting supported by the written petition by
union suffered consent of at least 25% of
the employer
massive ALL THE EMPLOYEES IN when such
disaffiliation but THE APPROPRIATE
not for the BARGAINING UNIT. employer is
purpose of - the employer cannot file requested by
determining the a petition for certification the
bargaining agent election; only a legitimate employees to
for purposes of labor organization can file bargain
collective such petition. collectively .
bargaining.
B. PERIOD FOR FILING THE

DIRECT CERTIFICATION - the process PETITION
whereby the Med-Arbiter directly a. when there is a CBA,
- any time,
the labor organization can subject (c) NOT ONE OF THE

file a petition for however to CHOICES OBTAINED THE
certification election the ONE- MAJORITY (50%+1-SECOND
within the 60-day freedom ELECTION- MAJORITY) of the valid votes
period (CONTRACT-BAR
RULE) PER-YEAR
RULE. cast;
b. when there is no CBA,
then the labor organization (d) the TOTAL VOTES FOR
can file a petition for THE UNIONS IS AT LEAST 50%
certification election at of the votes cast;
any time, subject to the
Deadlock Bar Rule. (e) there is NO
UNRESOLVED CHALLENGED
VOTES or election protest
 REQUISITES BEFORE A LABOR UNION which if sustained can
CAN BE DECLARED A WINNER (DOUBLE materially alter the results
MAJORITY RULE):
(f) the two choices which
1. Majority of the eligible voters cast garnered the highest votes will
their votes AND be voted and the one which
garners the highest number of
2. Majority of the valid votes cast is for votes will be declared the
such union. winner provided they get the
majority votes of the total
votes cast
 HOW TO DETERMINE THE DOUBLE
MAJORITY RULE: Who will participate in the run –
off?
1. In determining the eligible votes cast The unions receiving the highest
[FIRST MAJORITY], include spoiled and second highest number of votes
ballots cast.
2. In determining valid votes [SECOND  Re – Run Election vs. Run – off
MAJORITY], eliminate spoiled ballots Election
but include challenged votes RE – RUN ELECTION RUN – OFF
ELECTION
Conducted when
RUN-OFF ELECTION: Held in two none of the
instances: choices, including
A run-off election is proper if the the choice of No
following conditions exist namely: Union, receives a
1. if one choice majority of the
receives a valid vote cast.
(a) a VALID ELECTION took plurality of vote
place because majority of the and the This
no lesspresupposes
than three
Collective Bargaining Unit remaining competing choices.
members voted [FIRST choices results In this situation, an
MAJORITY]; in a tie; election is
2. if all choices conducted
(b) the said election received the between the union
presented at least THREE choices receiving
same number of
CHOICES, e.g., Union One, the largest and the
votes; second largest
Union Two, and No Union In both number of the
(Take Note: “No Union shall instances, the valid votes cast.
not be a choice in the run – off NO UNION is also
election); a choice
 RULES WHICH PREVENT THE 3. CBA was hastily concluded way
HOLDING OF A CERTIFICATION ahead of the freedom period
ELECTION [DONC]: 4. CBA is incomplete in itself
1. Deadlock bar rule- when there 5. CBA does not foster industrial peace
is
thea deadlock
same hasinbeen
collective bargaining
submitted and
to NCMB 6. because
CBA was of schism in violation of an
concluded
for conciliation and mediation the same order enjoining the parties from
bars any petition or conduct of entering into a CBA until the issue of
certification election. representation is resolved
2. One year bar rule 7. Petition is filed during the 60-day
3. Negotiation bar rule freedom period
4. Contract bar rule
SUCCESSOR-IN-INTEREST DOCTRINE –
1. CONTRACT-BAR RULE - while a valid When an employer with an existing CBA
and registered CBA of a fixed duration is is succeeded by another employer, the
subsisting, the BLR is not allowed to hold successor-in-interest who is a buyer in
an election contesting the majority good faith has no liability to the
status of the incumbent union during the employees in continuing employment
five year term of the CBA except during and the collective bargaining agreement
the sixty day period immediately prior to because these contracts are in personam
the expiration of the CBA.
EXCEPT:
REQUIREMENTS IN ORDER TO INVOKE a. when the successor-in-interest
CONTRACT-BAR RULE: expressly assumes the obligation or
b. the sale is a device to
1. Agreement is in WRITING AND circumvent the obligation or
SIGNED by all contracting parties. c. the sale or transfer is made in
2. It must contain THE TERMS AND bad faith
CONDITIONS of employment.
3. Covered employees in an appropriate SUBSTITUTIONARY DOCTRINE – where
bargaining unit [ABU EES COVERED]. there occurs a shift in the employees’
4. It is for a REASONABLE PERIOD or union allegiance after the execution of a
duration. collective bargaining contract with the
5. It must be RATIFIED. employer, the employees can change
6. It must be REGISTERED with the their agent (the labor union) but the
Bureau. collective bargaining contract which is
7. The violation of the contract bar rule still subsisting continues to bind the
or the existence of a duly registered employees up to its expiration date.
CBA must be specifically IMPLEADED They may, however, bargain for the
AS A DEFENSE. shortening of said expiration date.
 EFFECT OF AN INVALID AND  The employees cannot revoke

UNREGISTERED CBA- there is no bar and the validly executed collective
therefore a certification election may be bargaining contract with their
held. employer by the simple
expedient of changing their
NOTE: Registration of CBA only puts into bargaining agent. The new
effect the contract bar rule but the CBA agent must respect the contract.
itself is valid and binding even if (Benguet Consolidated, Inc. vs.
unregistered. Employees and Workers Union-
PAFLU)
 EXCEPTIONS TO THE CONTRACT-BAR
RULE:  LIMITATION AS TO ITS APPLICATION
– it cannot be invoked to support the
1. CBA is not registered contention that a newly certified
2. CBA deregistered collective bargaining agent automatically
assumes all the personal undertakings of a. when the employer directly

the former agent—like the “no strike bargains with the employee
clause” in the CBA executed by the disregarding the union.
latter (Benguet Consolidated Inc. vs. BCI

Employees and Workers Union-PAFLU). The

Unionaim was tothe
through dealemployees,
with the
2. DEADLOCK BAR RULE - a petition for rather than with the employees
certification election cannot be through the union.
entertained if, before the filing of the b. Employer submits its proposals
petition for certification election, a and adopts a take it or leave it
bargaining deadlock to which an stand. This is not negotiation
incumbent or certified bargaining agent because the take it or leave it stand
is a party, had been submitted to implies threat.
conciliation or arbitration or had become
the subject of a valid notice of strike or 3. Side Bar Technique
lockout.
DEADLOCK – arises when there is an

impasse, which presupposes reasonable TITLE VII- A
effort at good faith bargaining which, (as incorporated by RA 6715)
despite noble intentions, did not
conclude in an agreement between the
parties.
GRIEVANCE MACHINERY AND
INDICATIONS OF A GENUINE VOLUNTARY ARBITRATION
DEADLOCK:
1. the submission of the deadlock ART. 260. GRIEVANCE MACHINERY
to a third party conciliator or AND VOLUNTARY ARBITRATION
arbitrator  GRIEVANCE MACHINERY - a
2. the deadlock is the subject of mechanism for the adjustment of
a valid notice of strike or lockout controversies or disputes arising from
the interpretation or implementation of
3. NEGOTIATION BAR RULE - a petition the CBA and the interpretation or
for certification election cannot be enforcement of company personnel
entertained if, before the filing of the policies
petition for certification election, the
duly recognized or certified union has  GRIEVANCE - arises when a dispute or
commenced negotiations with the controversy arises over the
employer in accordance with Art. 250 of implementation or interpretation of a
the Labor Code. CBA or from the implementation or
enforcement of company personnel
4. CERTIFICATION YEAR RULE – no policies, and either the union or the
petition for certification election may be employer invokes the grievance
filed within one year from the date of a machinery provision for the adjustment
valid certification, consent, or run-off or resolution of such dispute or
election or from the date of voluntary controversy.
recognition
NATURE OF GRIEVANCE PROCEDURE -
 EXAMPLES OF BAD FAITH It is a “must” provision in any CBA and
BARGAINING: no collective agreement can be
registered in the absence of such
procedure.
1. Surface Bargaining – occurs when
It is a part of the continuous
employer constantly changes its
process of collective bargaining intended
positions over the agreement.
to promote a friendly dialogue between
2. Boulwarism – occurs:
labor and management as a means of b) Those arising from the

maintaining industrial peace. interpretation or enforcement of
company personnel polices.
 VOLUNTARY ARBITRATION - c) Hear and decide wage
contractual proceedings
a dispute select a judgewhere parties
of their to
own distortion
applicationissues arising
of any wage from the
orders
choice and by consent submit their in organized establishments.
controversy to him for determination. d) Unresolved grievances arising
All grievances not settled within 7 from the interpretation and
days from the date of its submission to implementation of the
the grievance machinery shall productivity incentive programs
automatically be referred voluntary under RA 6071 .
arbitration prescribed in the CBA.
Although
 the provision  It is the labor arbiter and not the
mentions “parties to a grievance machinery which has
collective bargaining jurisdiction over dismissals pursuant
agreement,” it does not to the union security clause.
mean that a grievance 
violations of CBA, except those
machinery cannot be set up which are gross in character, shall no
in a CBA-less enterprise. In longer be treated as ULP and shall
any work place where be resolved as grievances.
grievance can arise, a
grievance machinery GROSS VIOLATION – flagrant and/or
(regardless of name) can be malicious refusal to comply with the
established. economic provisions of the CBA.
 In a unionized company, Art.
255 allows an employee, 2. JURISDICTION BY AGREEMENT OF
union member or not, to THE PARTIES (Art. 262)
raise a grievance directly to
the employer. -all other disputes including ULP
and bargaining deadlocks
 ARBITRATION MAY BE INITIATED BY:  The disputes the parties may
submit to a Voluntary Arbitrator
1. SUBMISSION AGREEMENT – can include any or all the
where the parties define the disputes mentioned in Art. 217
disputes to be resolved; or which otherwise fall under the
2. DEMAND OR NOTICE invoking a exclusive jurisdiction of a labor
collective agreement arbiter.
arbitration clause.  Voluntary arbitration may be
viewed as a master procedure to
prevent or resolve labor disputes
ART 261. JURISDICTION OF
VOLUNTARY ARBITRATORS OR PANEL  GROUNDS
DECISIONS FOROF
JUDICIALVOLUNTARY
REVIEW OF
OF VOLUNTARY ARBITRATORS
ARBITRATORS:
JURISDICTION OF VOLUNTARY
ARBITRATORS: 1. Lack of jurisdiction
2. Grave abuse of discretion
1. EXCLUSIVE ORIGINAL JURISDICTION 3. Violation of due process
CONFERRED BY LAW 4. Denial of substantial justice
5. Erroneous interpretation of the law
a) All grievances arising from the
interpretation or implementation  A voluntary arbitrator is a “quasi -
of the CBA. judicial instrumentality (Sec 9 BP129
as amended by RA 7902);” hence, a
petition for certiorari under Rule 65 force, violence, coercion, threats or

of the Rules of Court will lie where a intimidation with any peaceful picketing
grave abuse of discretion or an act by employees during any labor
without or in excess of jurisdiction controversy affecting wages, hour or
of the may
which voluntary arbitrator
be filed with theisCourt
shown,
of conditions
the right oftoworkself
or inorganization
the exercise of
or
Appeals. collective bargaining
 STRIKE AREA – the establishment,
TITLE VIII warehouse, depots, plants or offices,
including the sites or premises used as
STRIKES AND LOCKOUTS AND runaway shops of the employer struck
against, as well as the immediate
FOREIGN INVOLVEMENT IN TRADE
vicinity actually used by picketing
UNION ACTIVITIES strikers in moving to an fro before all
CHAPTER I points of entrance to and exit from said
STRIKES AND LOCKOUTS establishment
SOME EXAMPLES OF STRIKES AND
ART. 263. STRIKES, PICKETING AND
LOCKOUTS THEIR VALIDITY
A. SIT-DOWN STRIKE - is
characterized by a temporary work
 STRIKE - Any temporary stoppage stoppage of workers who thereupon
of work by the concerted action of seize or occupy property of the employer
employees as a result of an industrial or refuse to vacate the premises of the
or labor dispute. employer. ILLEGAL- amounts to a
IMPORTANCE: it is the most criminal act because the employees
effective weapon of labor in protecting trespass on the premises of the
the rights of employees to improve the employer.
terms and conditions of their
B. WILDCAT STRIKE- is a work stoppage
employment.
that violates the labor contract and is
 Government employees may form
labor unions but are not allowed to not authorized
is not it fails ILLEGAL-
by the union.
valid because It
to comply
strike.
with certain requirements of the law, to
 Only legitimate labor organizations wit: notice of strike, vote, and report on
are given the right to strike. strike vote.
 Ununionized workers may hold a C. SYMPATHETIC STRIKES- are work
protest action but not a strike stoppages of workers of one company to
 Not all concerted activities are make common cause with other strikers
strikes; they may only be protest of other companies, without demands or
actions. And they do not necessarily grievances of their own against the
cause work stoppage by the employer. ILLEGAL - because there is no
protesters. A strike, in contrast, is labor dispute between the workers who
always a group action accompanied are joining the strikers and the latter’s
by work
 stoppage.
LOCKOUT - means the temporary employer.
D. SECONDARY STRIKES- are work
refusal of an employer to furnish work as stoppages of workers of one company to
a result of an industrial or labor dispute. exert pressure on their employer so that
the latter will in turn bring pressure
 PICKETING - the act marching to upon the employer of another company
and fro the employer’s premises, usually with whom another union has a labor
accompanied by the display of placards dispute. ILLEGAL- because there is no
and other signs making known the facts labor dispute involved.
involved in a labor dispute. This is an
exercise of one’s freedom of speech. IS A “WELGA NG BAYAN” LEGAL?
NO. A “welga ng bayan” is illegal
 STRIKE-BREAKER - any person because it is a political strike and
who obstructs, impedes or interferes by
therefore there is neither a bargaining and strike vote case of dismissal

deadlock nor any ULP. It is a political maybe dispensed from employment
rally. with. They may of their officers duly
strike immediately. elected in
accordance with the
 GROUNDS
OF STRIKE: FOR THE union’s Constitution
DECLARATION and By-laws, which
1. deadlock in collective bargaining may constitute
(ECONOMIC); and/or union busting
where the
2. unfair labor practices (POLITICAL) existence of the
union is
threatened.
ECONOMIC STRIKE ULP STRIKE
- BUT it must still
[POLITICAL] observe the
A. NATURE mandatory 7-day
period before it
- A voluntary strike - An involuntary can stage a valid
because
employee the
will strike; the labor
organization is
strike.
E. STRIKE DURATION PAY IN CASE OF A
declare a strike to forced to go on LEGAL STRIKE
compel management strike because of
to grant its demands. the ULP - not entitled to said - may be awarded
committed pay based on the the said paid in the
against them by principle that a ‘fair discretion of the
the employer. It authority deciding
day’s wage accrues
is an act of self- the case.
only for a fair day’s
defense since the labor’
employees are
being pushed to  CHARACTERISTICS OF STRIKES:
the wall and their 1. there must be an established
only remedy is to relationship between the strikers and
stage a strike. the person/s against whom the strike is
B. INITIATED BY: called
- The collective - either 2. the relationship must be one of
bargaining agent of a. Collective employer and employee
the appropriate bargaining agent 3. the existence of a dispute
bargaining unit can or between the parties and the utilization
declare an economic b. the legitimate by labor of the weapon of concerted
strike. labor organization refusal to work as a means of persuading
in behalf of its or coercing compliance with the working
members men’s demands
C. COOLING OFF PERIOD 4. the contention advanced by the
-30 days from the
filing of the notice of workers
the that although
employment the iswork
relation ceases,
deemed to
strike before the -15 days from the continue albeit in a state of belligerent
intended date of filing of the suspension
actual strike subject notice of strike. 5. there is work stoppage, which
to the 7-day strike stoppage is temporary
ban. 6. the work stoppage is done
D. EXCEPTION TO THE COOLING- through the concerted action of the
OFF PERIOD employees
- No exception— - the cooling off 7. the striking group is a legitimate
mandatory. period may be labor organization, and in case of
dispensed with, and bargaining deadlock, is the employees’
the union may take sole bargaining representative.
immediate action in
- Notice of strike
 TESTS IN DETERMINING THE d. 7-day strike ban

LEGALITY OF A STRIKE:
1. Purpose Test 7-DAY STRIKE BAN – it is the 7 day
2. Compliance with Procedural and waiting period before the date of the
substantive
3. Meansrequirements of law
employed test purported
intending strike [withina which
to conduct strikethe union
must at
least submit a report to the Department
1. PURPOSE TEST - The strike must be as to the result of the strike vote]
due to either intended to give the Department an
- bargaining deadlock and/or opportunity TO VERIFY whether the
- unfair labor practice. projected strike really carries the
imprimatur of the majority of the union
2. COMPLIANCE WITH PROCEDURAL & members in addition to the cooling off
SUBSTANTIVE REQUIREMENTS OF period before actual strike.
LAW to wit (a-d):
3. MEANS EMPLOYED TEST-A strike
a. notice of strike may be legal at its inception but
b. 30/15-day cooling-off period eventually be declared illegal if the
before the intended date of actual strike is accompanied by violence
strike subject to the 7-day strike ban. which violence is widespread,
pervasive and adopted as a matter of
COOLING –OFF PERIOD - that period policy and not merely violence which
of time given the NCMB to mediate and is sporadic which normally occur in a
conciliate the parties. strike area [see prohibited activities
It is that span of time
 under art. 264].
allotted by law for the
parties to settle NOTE: The 3 tests must concur.
theirdisputes in a peaceful Non-compliance with any of the
manner, before staging a aforementioned requisites renders the
strike or lockout. strike illegal.
c. strike vote  EFFECT OF GOOD FAITH OF

STRIKERS ON LEGALITY OF STRIKE - A
STRIKE VOTE - a requirement strike may be considered legal where the
wherein the decision to declare a strike union believed that the company
must be: committed ULP and the circumstances
1. approved by a MAJORITY of the warranted such belief in good faith,
total union membership in the although subsequently such allegations
bargaining unit concerned [not of ULP are found out as not true. (Bacus
of the whole bargaining unit], vs. Ople)
2. obtained by SECRET BALLOT
in MEETINGS OR  TOTALITY DOCTRINE - the
REFERENDA called for the culpability of an employer’s remarks are
purpose. to be evaluated not only on the basis of
their implicit implications but are to be
PURPOSE OF A STRIKE VOTE: - to appraised against the background of and
ensure that the intended strike is a in conjunction with collateral
majority decision circumstances.
The report on the strike
 Under this “doctrine” expressions
vote must be submitted to the of opinion by an employer which, though
DOLE at least 7 days before innocent in themselves, frequently were
the intended strike subject to held to be culpable because:
the cooling-off period.
a. of the circumstances
under which they were uttered
b. the history of the particular (PAL vs. Sec. of Labor, 23 January

employer’s labor relations of 1991).
anti-union bias or
c. because of their connection d. Issues submitted to the Secretary
with
plan ofan established
coercion collateral
or interference. for resolution
involved and dispute
in the labor such itself.
issues
WHEN CAN THE SEC. OF LABOR (St. Scholastica’s College vs.
ASSUME JURISDICTION OVER A STRIKE? Torres; 29 June 1992)
1. there exists a labor dispute causing or
likely to cause a strike or lockout in a e. Secretary of Labor may subsume
INDUSTRY INDISPENSABLE TO THE pending labor cases before Labor
NATIONAL INTEREST, Arbiters which are involved in the
2. the Secretary of Labor and dispute and decide even issues
Employment may: falling under the exclusive and
a. decide it, or original jurisdiction of labor
b. certify the same to the NLRC for arbiters such as the declaration of
COMPULSORY ARBITRATION. legality or illegality of strike.
(Int’l P harmaceuticals vs. Sec of
NOTE: What constitutes Labor; 09 January 1992).
indispensable industry is based solely
upon the discretion of the Secretary of f. Power of Sec. of Labor is plenary
Labor. and discretionary. (St. Luke’s
Medical Center vs. Torres; 29 June

EFFECTS OF THE ASSUMPTION 1993; reiterated in PAL vs.
OF JURISDICTION OF THE SECRETARY Confesor; 10 March 1994).
1. AUTOMATICALLY ENJOINS the IN CASE THE STRIKE IS DECLARED

intended or impending strike or LEGAL, ARE THE STRIKERS ENTITLED
lockout as specified in the TO STRIKE DURATION PAY?
assumption or certification order;
GENERAL RULE: Strikers are not
2. if one has already taken place at entitled to their wages during the period
the time of assumption or of a strike, even if the strike is legal .
certification, all striking or locked-
out employees shall IMMEDIATELY EXCEPTIONS:
RETURN TO WORK ; and
1. In case of a ULP STRIKE, in the
3. the employer shall immediately discretion of the authority deciding
resume operations and READMIT ALL the case [see table for more
WORKERS under the same terms and distinction bet. Economic and ULP
conditions prevailing before the strike]
strike or lockout.
2. Where the strikers VOLUNTARILY
 A motion for reconsideration does AND UNCONDITIONALLY OFFERED
not suspend the effects as the TO RETURN TO WORK , but the
assumption order is immediately employer refused to accept the
executory. offer [e.g. of an “unconditional
offer”: “we will return tomorrow”
 ISSUES THAT THE SECRETARY OF and NOT “willing to return
LABOR CAN RESOLVE WHEN HE provided]
ASSUMES JURISDICTION OVER A LABOR
DISPUTE:  They are entitled to backwages from
the date the offer was made
c. Only issues submitted to the
Secretary may be resolved by him.
3. Where there is RETURN-TO-WORK ART. 264. PROHIBITED

ORDER and the employees are ACTIVITIES
discriminated against.
 LABOR ORGANIZATIONS
- They are date
entitled to backwages
from the of discrimination. 1. No labor organization or employer
shall declare a strike or lockout
 RULE ON REINSTATEMENT OF
STRIKING WORKERS:  without first having
bargained collectively in
GENERAL RULE : Striking employees accordance with Title VII of
are entitled to reinstatement, regardless this Book or
of whether or not the strike was the
consequence of the employer’s ULP  without first having filed
REASON: because while out on the notice required in Art. 263
strike, the strikers are not considered to or
have abandoned their employment, but
rather have only ceased from their labor. 
without the necessary
strike or lockout vote first
 The declaration of a strike is having been obtained and
NOT a renunciation of reported to the Department.
employment relation.
EXCEPTIONS - The following strikers NO strike or lockout shall be

are NOT entitled to reinstatement: declared:
1. Union officers who knowingly
participate in an illegal strike; and a. AFTER assumption of
2. any striker/union member who jurisdiction by the President
knowingly participates in the or the Secretary or
commission of illegal acts during the
strike. b. AFTER certification or
submission of the dispute to
 Those union members who compulsory or voluntary
joined an illegal strike but have arbitration or
not committed any illegal act
shall be reinstated but without c. DURING the pendency of
any backwages. cases involving the same
grounds for the strike or
 RULE IN STRIKES IN HOSPITALS lockout.
1. It shall be the duty of striking  THIRD PERSONS

employees or locking-out employer to
2. NO person [3rd persons] all obstruct,
provide andWORKFORCE
SKELETAL maintain anof effective
medical impede or interfere with by force,
and other health personnel for the violence, coercion, threats or
duration of the strike or lockout. intimidation
any peaceful picketing by

2. SECRETARY OF LABOR MAY employees

IMMEDIATELY ASSUME JURISDICTION
WITHIN 24 HOURS FROM  during any labor
KNOWLEDGE of the occurrence of controversy or in the
such strike or lock-out or certify it to exercise of the right of self-
the Commission for compulsory organization or collective
arbitration. bargaining or
 shall aid or abet such

obstruction or interference. ART. 265. IMPROVED OFFER vs.
REDUCED OFFER BALLOTING
 EMPLOYERS
IMPROVED OFFER REDUCED

3. NO employer shall use or employ BALLOTING OFFER
any STRIKE-BREAKER nor shall any BALLOTING
person be employed as a
strikebreaker. 1. a referendum 1. a
conducted by the NCMB referendum
PUBLIC OFFICIAL OR EMPLOYEE on or before the 30 th day conducted by
of the strike, for the the NCMB for the
purpose of determining purpose of
4. NO public official or employee, whether or not the determining
including officers and personnel of improved offer of the whether or not
the New Armed Forces of the employer is acceptable the reduced
Philippines of the Integrated to the union members. offer of the
National Police, or armed persons, union is
acceptable to
 shall bring in, introduce or the board of
escort in any manner, any directors,
trustees or
individual who seeks to
partners.
replace strikes in entering PURPOSE
or leaving the premises of a 2. to determining 2. to
strike area, or work in place whether or not the determining
of the strikers. improved offer of the whether or not
EMPLOYER is acceptable the improved
 The police force shall keep to the union members. offer of the
out of the picket lines  to ascertain the UNION is
unless actual violence or real sentiment of acceptable to
the silent majority the union
other criminal acts occur
therein: of theon strike.
members union members.
to ascertain
the real
Provided , That nothing herein shall sentiment of the
be interpreted to prevent any public silent majority
officers from taking any measure of the union
necessary to: members on
strike.
a. maintain peace and order, PERIOD OF FILING
3. on or before the 3. on or
30th day of the strike before the 30th
b. protect life and property, day of the
and/or lockout
LIMITATION 4. applies
c. enforce the law and legal
order. 4. applies
economic only to
strikes only to economic
strikes-deadlock
(deadlock) in bargaining
(lockout)
ENGAGED IN PICKETING
 PERSONS
NO person engaged in PICKETING shall:
 ART. 266. ARREST AND DETENTION
a. commit any act of violence,
coercion or intimidation or General rule is that a police officer
cannot arrest or detain a union
b. obstruct the free ingress to or member for union activities without
egress from the employer’s premises previous consultations with the
for lawful purposes,or Secretary of Labor EXCEPT on
c. obstruct public thoroughfares grounds of:

a. national security fact that the complaint did not pray for
reinstatement will not prejudice the
b. public peace employee, because technicalities of law
and procedure are frowned upon in labor
c. commission of a crime proceedings (General
College v. NLRC; Baptist
219 SCRA 549). Bible
BOOK SIX What happens if there is an order

of reinstatement but the position is no
POST EMPLOYMENT longer available?
The employee should be given a
SUBSTANTIALLY EQUIVALENT POSITION.
TITLE I If NO SUBSTANTIALLY EQUIVALENT
POSITION IS AVAILABLE, reinstatement
TERMINATION OF should not be ordered because that
EMPLOYMENT would in effect compel the employer to
do the impossible. In such a situation,
 ART. 279. SECURITY OF TENURE the employee should merely be given
 SECURITY OF TENURE - the SEPARATION PAY CONSISTING OF ONE
constitutional right granted the MONTH SALARY FOR EVERY YEAR OF
employee, that the employer shall not SERVICE (1:1).
terminate the services of an employee
except for just cause or when authorized  CIRCUMSTANCES WHEN
by law. COMPANY MAY NOT REINSTATE DESPITE
RELIEFS AVAILABLE TO AN ORDER OF REINSTATEMENT
ILLEGALLY DISMISSED EMPLOYEE: 1. TRANSFER OF BUSINESS OWNERSHIP
-There is no law requiring a
A. REINSTATEMENT - Restoration of purchasing corporation to absorb the
the employee to the state from which he employees of the selling corporation.
has been unjustly removed or separated A fortiori, reinstatement of unjustly
without loss of seniority rights and other dismissed employees CANNOT be
privileges. enforced against the new owner
UNLESS there is an express

FORMS OF REINSTATEMENT: agreement on the assumption of
1. ACTUAL OR PHYSICAL REINSTATEMENT liabilities by the purchasing
- the employee shall be admitted corporation;
back to work 2. When reinstatement is rendered
2. PAYROLL REINSTATEMENT IMPOSSIBLE due to the abolition of
- the employee is merely reinstated the position;
in the payroll. 3. When the business has CLOSED
DOWN;
May a court order the 4. PHYSICAL INCAPACITY of the
reinstatement of a dismissed employee; and
employee even if the prayer of the 5. DOCTRINE OF STRAINED RELATIONS
complaint did not include such relief? - When the employer can no longer
trust the employee and vice-versa,
YES. So long as there is a finding reinstatement could not effectively
that the employee was illegally serve as a remedy. This doctrine only
dismissed, the court can order the applies only to positions which
reinstatement of an employee even if require trust and confidence
the complaint does not include a prayer
for reinstatement, unless, of course, the - Under the circumstances
employee has waived his right to where the employment
reinstatement. By law, an employee who relationship has become so
is unjustly dismissed is entitled to strained to preclude a
reinstatement, among others. The mere harmonious working
relationship, and that all hopes employee but this management

at reconciliation are nil after prerogative is limited by the Labor Code
reinstatement, it would be which provides that the employer can
more beneficial to accord the terminate an employee only for a just
employee backwages
separation pay. and cause or when
limitation authorized
is because by law.
no less than This
the
constitution recognizes and guarantees
B. BACKWAGES – the relief given to employee’s right to security of tenure.
an employee to compensate him for lost (Art. 279, Labor Code; Art. XIII, Sec. 3,
earnings during the period of his Constitution)
dismissal.
ART. 280. REGULAR AND CASUAL
 PERIOD COVERED BY THE EMPLOYMENT
PAYMENT OF BACKWAGES - REGULAR EMPLOYMENT - one wherein
Backwages shall cover the period from an employee is engaged to perform
the date of dismissal of the employee up activities which are usually necessary or
to the date of actual reinstatement desirable in the usual business or trade
of the employer.
 HOW COMPUTED - Under existing - He is a regular employee at the point
law, backwages is computed from the of hiring.
time of the illegal dismissal up to time of
actual reinstatement. Test of regularity: nature of
employment.
 INCLUDED IN THE COMPUTATION
OF BACKWAGES CASUAL EMPLOYMENT – one wherein an
1. transportation and emergency employee is engaged to perform
allowances activities which are not necessary or
2. vacation or service incentive leave desirable in the usual trade or business
and sick leave of the employer.
3. 13th month pay. - becomes a regular employee after
one (1) year of service.
NOTE: facilities such as uniforms, -
shoes, helmets and ponchos should NOT REGULAR EMPLOYEE VS.
be included in the computation of PROJECT EMPLOYEE
backwages.
REASON: said items are given free, PROJECT REGULAR
to be used only during official tour of EMPLOYEE EMPLOYEE
duty not for private or personal use.
A project employee is A regular
 CIRCUMSTANCES THAT PREVENT
one whose employee is one
employment is fixed engaged to perform
AWARD OF BACKWAGES:
for a specific project activities which are
1. death of the employee or undertaking the usually necessary or
2. physical and mental incapacity
3. business reverses completion of which
has been determined desirable in the
business or usual
trade of
4. closure of business at the time of the the employer
5. reinstatement of dismissed employee engagement of the
confinement in jail employee. (See Art.
280 LC)
Which takes precedence in
conflicts arising between employer’s
MANAGEMENT PREROGATIVE and the
employees’ right to security of tenure?  TEMPORARY EMPLOYMENT OR
The employee’s right to security EMPLOYMENT FOR A FIXED SPECIFIC
of tenure. Thus, an employer’s PERIOD - one wherein an employee is
management prerogative includes the engaged to work on a specific project or
right to terminate the services of the undertaking which is usually necessary or
desirable in the usual business or trade PROBATIONARY EMPLOYMENT

of the employer, the completion of CONTRACT:
which has been determined at the time 1. the power must be exercised in
of the engagement of the employee. accordance with the specific
- He does not
employee. Thebecome a regular
employment is requirements
[COMPLIANCE ofWITH the SPECIFIC
contract
coterminous with the specific REQUIREMENTS];
period. 2. if a particular time is prescribed,
the termination must be within such
 SEASONAL EMPLOYMENT - one time and if formal notice is
wherein an employee is engaged to work required, then that form must be
during a particular season on an activity used [WITHIN PARTICULAR
that is usually necessary or desirable in PRESCRIBED TIME];
the usual business or trade of the 3. the employer’s dissatisfaction
employer. must be real and in good faith, not
Pakiao employees are considered
 feigned so as to circumvent the
employees as long as the contract or the law
employer exercises control over [DISSATISFACTION—REAL AND IN
the means by which such GOOD FAITH]; and
workers are to perform their 4. there must BE NO UNLAWFUL
work. DISCRIMINATION in the dismissal.
 Employee is considered an GENERAL RULE: Probationary

regular employee insofar as the employment shall not exceed six months
season to which he was from the date the employee started
employed is concerned. working.
- during the off-season his
employment is merely EXCEPTIONS:
suspended not terminated 1. when it is covered by an
(Phil. Tobacco Flue Curring apprenticeship agreement stipulating a
and Drying Corp. vs. NLRC). longer period; or
2. when the parties to an
 PROBATIONARY PERIOD OF employment contract agree otherwise,
EMPLOYMENT - the period needed to such as when the same is established by
determine the fitness for the job , i .e., company policy or when the same is
the time needed to learn the job. required by the nature of the work to be
It is the period during which the performed by the employee
employer may determine if the
employee is qualified for possible  EFFECT IF PROBATIONARY
inclusion in the regular force. EMPLOYEE IS ALLOWED TO WORK
PURPOSE: To afford the employer an BEYOND 6 MONTHS
opportunity to observe the fitness of a
probationary employee at work. If the probationary employee is
NOTE:The standard which the allowed to work beyond the period of 6
probationary employee is to meet must months or the agreed probationary
be made known by the employer to the period, said employee becomes a regular
employee at the time of engagement. employee by operation of law.
The services of probationary employees Under the Labor Code, “an
may be terminated for the same causes employee who is allowed to work after a
as in the case of regular employee, probationary period shall be considered
except that there is an additional ground a regular employee.” (Art. 281.)
– failure to meet the standard. ART. 282. TERMINATION BY
EMPLOYER
 LIMITATIONS ON THE
EMPLOYER’S POWER TO TERMINATE A  SECURITY OF TENURE - An
employer CANNOT terminate the
services of an employee EXCEPT for a omission of the employee.

just cause or when authorized by law. (Nadura v. Benguet
 GUIDELINES TO DETERMINE THE Consolidated; G.R. No. L-17780)
VALIDITY OF TERMINATION:
2. Gravity
1. Positionof the offense by
occupied the  DUE PROCESS For
BY THE EMPLOYER - TO termination
BE OBSERVED of
employee the employment based on the any of the
3. Degree of damage to the just causes for termination, the
employer requirements of due process that an
4. Previous infractions of the same employer must comply with are: (TWIN
offense NOTICES)
5. Length of service
1. Written NOTICE should be served
A. JUST CAUSES [MaNaBaCA]: to the employee specifying the
1. Serious MISCONDUCT OR WILLFUL ground or grounds for termination
DISOBEDIENCE by the employee of and giving the said employee
the lawful orders of his employer or reasonable opportunity within
representative in connection with his which to explain;
work; 2. A HEARING OR CONFERENCE
 Misconduct- transgression of should be held during which the
some established and definite employee concerned, with the
rule of action, a forbidden act, a assistance of counsel, if the
dereliction of duty, willful in employee so desires, is given the
character, and implies wrongful opportunity to respond to the
intent and not mere error in charge, present his evidence and
judgment. (Dept. of Labor present the evidence presented
Manual, Sec. 4353.01) against him;
3. A WRITTEN NOTICE OF
2. Gross and habitual NEGLECT by the TERMINATION, if termination is
employee of his duties; (Repeated the decision of the employer,
absenteeism and tardiness) should be served on the employee
indicating that upon due
3. FRAUD OR WILLFUL BREACH by the consideration of all the
employee of the trust reposed in him circumstances, grounds have been
by his employer or duly organized established to justify his
representative termination.
Fraud
 must be committed  For termination of
against the employer or his employment based on
representative and in connection authorized causes, the
with the employee’s work. requirements of due process
( (Dept. of Labor Manual, Sec. shall be deemed complied with
4353.01 [3]) upon service of a written notice
to the employee and the
4. Commission of a CRIME OR OFFENSE appropriate Regional office of
BY THE EMPLOYEE AGAINST THE the Department of Labor and
PERSON OF HIS EMPLOYER or any employment at least thirty days
immediate member of his family or before the effectivity of the
his duly authorized representative; termination specifying the
and grounds for termination.
 Conviction or prosecution is not
required. NOTE: Under the so-called WENPHIL
DOCTRINE if the services of the
5. Other causes ANALOGOUS to the employee was terminated due to a just
foregoing. or authorized cause but the affected
A cause must be due to the

employee’s right to due process has
voluntary or willful act or been violated, the dismissal is legal but

the employee is entitled to damages by 2. REDUNDANCY (superfluity in the

way of indemnification for the violation performance of a particular work)
of the right.
 redundancy, for purposes of the

SERRANO vs. ISETANN et. al. Labor
abandoned the WENPHIL servicesCode,
of an exists where
employee are the
in
DOCTRINE and ruled that if the excess of what is reasonably
employee is dismissed under just demanded by the actual
or authorized cause but the requirements of the enterprise.
affected employee’s right to due (Wishire File Co. Inc. vs. NLRC)
process has been violated, his
dismissal becomes ineffectual.  Reorganization as a cost-saving
Therefore, the employee is device is acknowledged by
entitled to backwages from the jurisprudence. An employer is not
time he was dismissed until the precluded from adopting a new
determination of the justness of policy conducive to a more
the cause of the dismissal. economical and effective
management, and the law does not
 AGABON vs. NLRC (Nov. 17, require that the employer should
2004) abandoned the Serrano be suffering financial losses before
doctrine and REINSTATED THE he can terminate the services of
WENPHIL DOCTRINE. The the employee on the ground of
sanctions, however must be redundancy (DOLE PHILIPPINES,
stiffer than that imposed in INC et al., vs. NATIONAL LABOR
Wenphil. RELATIONS COMMISSION et al.)
PREVENTIVE SUSPENSION – when 3. RETRENCHMENT to prevent losses

there is an imminent threat to the lives (there is excess of employees and
and properties of the employer, his employer wants to prevent financial
family and representatives as well as the losses)
offender’s co-workers by the continued
service of the employee then he may be CONDITIONS UNDER WHICH AN
placed under preventive suspension EMPLOYER MAY RETRENCH:
pending his investigation, leading to (a) substantial losses which are not
termination. merely de minimis in extent;
(b) imminence of such substantial
 preventive suspension should not losses;
last for more than thirty (30) (c) retrenchment would effectively
days. The employee should be prevent the expected and additional
made to resume his work after losses;
30 days. (d) the alleged losses and expected
losses must be proven by sufficient and
- it can be extended provided the convincing evidence. ( NDC-GUTHRIE
employee’s wages are paid after the PLANTATIONS, INC., vs. NATIONAL LABOR
30 day period. RELATIONS COMMISSION, ET. AL)
ARTS. 283-284. 4. closing or CESSATION OF

OPERATION of the establishment or
B. AUTHORIZED CAUSES OF undertaking UNLESS the closing is for
TERMINATION BY THE EMPLOYER: the purpose of circumventing the
provisions of the Labor Code.
1. installation of labor-saving devices
(AUTOMATION) 5. INSTALLATION of labor saving
devices(Automation, Robotics)
6. DISEASE service, whichever is

higher
a. the disease is incurable Retrenchment Equivalent to one
within 6 months and the month pay or at least
one-half month pay for
continued employment
the employee of
is prohibited every year of service
by law or prejudicial to his Closures or Equivalent to one
cessation of month pay or at least
health as well as to the
operations not one-half month pay for
health of his co-employees due to serious every year of service
business losses or (If due to severe
b. with a certification from financial reverses financial losses, no
public heath officer that the separation pay due.)
disease is incurable within 6 Disease Equivalent to at
months despite due least one-month salary
medication and treatment. or to ½ month salary
for every year of
service, whichever is
 Before an employer could
greater, a fraction of at
dismiss an employee based on a least 6 months shall be
disease, Section 8 of Rule 1, Book VI considered one (1)
of the Omnibus Rules Implementing whole year.
the Labor Code requires a
certification by a competent public
health authority that the disease is
of such a nature or at such stage NOTE: ARTICLE 283 governs the
that it cannot be cured within a grant of separation benefits ‘in case of
period of 6 months even with proper closures or cessation of operation’ of
medical treatment. (Cathay Pacific business establishments NOT due to
Airways vs. NLRC and Martha serious business losses or cessation of
Singson) operation [North Davao Mining Corp. vs.
NLRC, et al]. Therefore, the employee
 DISCRIMINATION IN ANY FORM FROM is not entitled to such benefit if the
PRE-EMPLOYMENT TO POST- closure was due to SERIOUS BUSINESS
EMPLOYMENT, INCLUDING HIRING, LOSSES.
PROMOTION OR ASSIGNMENT, BASED
ON THE ACTUAL, PERCEIVED OR
SUSPECTED HIV STATUS OF AN  When termination of employment
INDIVIDUAL IS PROHIBITED. is brought by the failure of an employee
TERMINATION FROM WORK ON THE to meet the standards of the employer in
SOLE BASIS OF ACTUAL, PERCEIVED case of probationary employment, it
OR SUSPECTED HIV STATUS IS shall be sufficient that a written notice
DEEMED UNLAWFUL. (SEC. 35, RA is served the employee within a
8504, HIV/AIDS LAW) reasonable time from the effective date
of termination.
CAUSE OF SEPARATION
TERMINATION PAY  When termination is brought
Automation Equivalent to at about by the completion of the contract
least one month pay or or phase thereof, no prior notice is
at least one month pay required
for every year of
service, whichever is
higher
Redundancy Equivalent to at
least one month pay or
at least one month pay
for every year of
ART. 285. TERMINATION BY BENEFITS- A retiree is entitled to

EMPLOYEE a retirement pay equivalent to at least
½ month salary for every year of service,
TERMINATION BY THE EMPLOYEE: a fraction of at least six (6) months
a. WITHOUT JUST CAUSE- by serving a being considered as one whole year.

WRITTEN NOTICE on the employer at Unless the parties provide for
least one month in advance. The broader inclusions, the term “one half
employer upon whom no such notice was (1/2) month salary” shall mean:
served may hold the employee liable for 15 days plus 1/12 of the 13 th

damages. month pay and

b. WITH JUST CAUSE - An employee may  the cash equivalent of NOT more
put an end to establish WITHOUT than 5 days of service incentive
SERVING ANY NOTICE on the employer leaves.
for any of the following just causes (22.5 days per year of service)
[SUCA]:
Under Section 26, R.A. No. 4670,
1. SERIOUS INSULT by the otherwise known as the Magna Carta for
employer or his representative Public School Teachers, public school
on the hour and person of the teachers having fulfilled the age and
employee; service requirements of the applicable
2. Inhuman and UNBEARABLE retirement laws shall be given ONE
TREATMENT accorded the RANGE SALARY RAISE upon retirement,
employee by the employer or his which shall be the basis of the
representative; computation of the lump sum of the
3. Commission of a CRIME OR retirement pay and the monthly benefit
OFFENSE by the employer or his thereafter.
representative against the
person of the employee or any of NOTE: Exempted from the payment
the immediate members of his of retirement pay are retail, service and
family; and agricultural establishments or operations
4. Other causes ANALOGOUS to any employing NOT more than ten (10)
of the foregoing. employees or workers.
ART. 287. RETIREMENT Age Retirement

60-65 Optional but the
 RETIREMENT AGE - The age of employee must have served
retirement is that specified in the CBA or at least 5 years
in the employment contract. In the
absence of a retirement plan or 65 Compulsory (no need
agreement providing for retirement for five years of service)
benefits of employees in an
establishment, an employee upon
reaching the age of 60 years or more,
but not beyond 65 years which is hereby
declared as the compulsory retirement
age, who has served at least 5 years in
said establishment.
 The rule is different with respect
to underground mining employees
whose optional retirement age is
50-60 provided they have at least
served for a period of 5 years (Art.
287 as amended by RA 8558).
NOTE: The period of prescription

BOOK SEVEN mentioned under Article 292 of the
Labor Code refers to and is limited to
money claims, all other cases of injury
TRANSITORY AND FINAL
PROVISIONS to rights byof thea Civil
governed workingman being
Code. Hence,
REINSTATEMENT prescribes in 4 years.
TITLE II VENUE: The Regional Arbitration Branch
PRESCRIPTION OF OFFENSES AND where the workplace is located (NLRC
CLAIMS Rules of Procedure.
ART. 291. MONEY CLAIMS
 PERIODS OF PRESCRIPTION
Cause Period
Prescription of
MONEY 3 years from the
CLAIMS accrual of the causes of
action
ULP 1 year from the
accrual of the cause of
action
ILLEGAL 4 years from the
DISMISSAL accrual of the cause of
action
REINST 4 years
ATEMENT
thereto as a result of the

Appendices integration shall be subject
to agreements between the
employers and the
SPECIAL LAWS
d. employees concerned
The private benefit plan
SOCIAL SECURITY SYSTEM which the employer shall
RA1161 as amended by RA 8282 continue for his employees
shall remain under the
 COVERAGE: employer’s managementand
control unless there is an
Compulsory: existing agreement to the
1. Compulsory upon all employees contrary.
not over 60 years of age and e. Nothing in this Act shall be
their employers construed as a limitation on
2. In case of domestic helpers, the right of employers and
their monthly income should not employees to agree on and
be less than one thousand pesos
Limitation: Sec. 9 (a)
adopt benefits which are
over and above those
a. Any benefit already earned provided under this act
by the employees under
private benefit plans existing 3. Compulsory upon such self- employed
at the time of the approval persons as may be determined by the
of the Act shall not be Commission including but not limited to
discontinued, reduced or the following (Sec 9-A): ( APAPI)
otherwise impaired 1. All self employed
b. Private plans which are professionals
existing and in force at the 2. Partners and single
time of compulsory coverage proprietors
shall be integrated with the 3. Actors and actresses
plan of the SSS in such a way directors, scriptwriters and
where the employer’s news correspondents who do
contribution to his private not fall within the definition
plan is more than that of the term employee in
required of him in this Act, Section 8 (d) of this Act
he shall pay to the SSS only 4. Professional athletes,
the contribution required of coaches, trainers, and
him and he shall continue his jockeys
contribution to such private 5. Individual farmers and
plan less his contribution to fishermen
the SSS so that the
employer’s total Voluntary:
contribution to his benefit
plan and and to the SSS 1. Spouses who devote full time to
shall be the same as his managing the household and
contribution to his private family affairs, unless they are
benefit plan before any also engaged in other vocation or
compulsory coverage. employment which is subject to
c. Any changes, adjustments, mandatory coverage, may be
modifications, eliminations covered by the SSS on a
or improvements in the voluntary basis.
benefits to be available 2. Filipinos recruited by foreign
under the remaining private based employers for employment
plan, which may be abroad may be covered by the
necessary to adopt by reason SSS on a voluntary basis
of the reduced contribution
3. Employees separated from person who is under his orders as regards
employment may continue to the employment except the Government
pay contributions to maintain his and any of its political subdivisions,
right to full benefits (Sec. 11) branches or instrumentalities, including
4. Self-employed
(11-A) with no income corporations
Government owned or controlled by the
Self- employed person shall be
BY AGREEMENT: both the employer and employee at the
same time
Any foreign government,
international organization, or their  EMPLOYEE
wholly-owned instrumentality employing
workers in the Philippines, may enter Any person who performs
into an agreement with the Philippine services for an employer in which either
government for the inclusion of such or both mental and physical efforts are
employees in the SSS except those used and who receives compensation for
already covered by their respective civil such services, where there is an
service retirement systems (Sec.8 (j (4)). employer- employee relationship.
Self- employed person shall be
EXCLUDED EMPLOYMENT (SEC. 8 (J)): both the employer and employee at the
1. Employment purely casual and not same time
for the purpose of occupation or
business of the employer  DEPENDENTS:
2. Service performed on or in
connection with an alien vessel by 1. The legal spouse entitled by law
an employee if he is employed when to receive support from the
such vessel is outside the member
Philippines. 2. the legitimate, legitimated or
3. Service performed in the employ of legally adopted and illegitimate
the Philippine government or child who is unmarried, not
instrumentality or agency thereof. gainfully employed and has not
4. Service performed in the employ of reached 21 years of age or if 21
a foreign government, international years of age, he is congenitally
organization, or their wholly owned incapacitated or while still a
instrumentality; minor has been permanently
5. Services performed by temporary incapacitated and incapable of
employees, which may be excluded self- support, physically and
by regulation of the commission. mentally and
3. the parent who is receiving
 EFFECTIVE DATE OF COVERAGE: regular support from the
1. Employer: It shall take effect on member
the first day of his operation
2. Employee: On the day of his  BENEFICIARIES
employment
3. Self-employed: It shall take a. The dependent spouse until he
effect upon his registration with or she remarries, the
SSS dependent legitimate,
legitimated or legally adopted
Definition of Terms and illegitimate children who
shall be the primary
 EMPLOYER beneficiaries of the member
Any person natural or juridical, b. PROVIDED that the dependent
domestic or foreign, who carries on in illegitimate children shall be
the Philippines, any trade business, entitled to 50% of the share of
industry undertaking or activity of any the legitimate, legitimated or
kind and uses the services of another legally adopted children.
c. PROVIDED FURTHER in the resumption of self-employment

absence of the legitimated, of a retired employee who is
legally adopted or legitimate less than 65 years old.
children, illegitimate children
shall be entitled to 100% of
the benefits. 4. Death Benefits
d. IN THEIR ABSENCE, the 5. Permanent disability benefits
dependent parents who shall
be the secondary 6. Funeral Benefit
beneficiaries. A funeral grant equivalent to Twelve
e. IN THE ABSENCE OF ALL of thousand pesos (P12, 000.00) shall
the foregoing, any person be paid, in cash or in kind, to help
designated by the covered defray the cost of funeral expenses
employee as secondary upon the death of a member,
beneficiary. including permanently totally
disabled member or retiree.
Benefits
7. Sickness benefit
1. Monthly pension Requirements:
a. A member must have paid at
2. Dependents pension least 3 monthly contributions
It shall be paid for each dependent in the twelve month period
child conceived on or before the immediately preceding the
date of the contingency but not semester of sickness or injury
exceeding five, beginning with the b. and is confined therefor for
youngest without substitution more than three days in a
PROVIDED that where there are hospital or elsewhere with the
legitimate and illegitimate children, approval of the SSS
the former shall be preferred.
8. Maternity Leave Benefit
3. Retirement benefits It shall be paid to a female
A member who has paid at least 120 employee who has paid at least 3
monthly contributions prior to monthly contributions in the twelve
the semester of retirement and month period immediately preceding
who: the semester of her childbirth or
a. has reached the age of miscarriage PROVIDED:
60 years and is already a. That the employee shall have
separated from notified her employer of her
employment or has pregnancy and the probable
ceased to be self- date of her childbirth which
employed notice shall be transmitted to
b. has reached the age of the SSS.
65 years, shall be b. The full payment shall be
entitled for as advanced by the employer
A covered member who is 60 years within 30 days from the filing
old not qualified under No. 1 of the maternity leave
shall still be entitled to application
retirement benefits PROVIDED, c. Payment of daily maternity
he is separated from benefits shall be a bar to the
employment and is not recovery of sickness benefits
continuing payment of d. The maternity benefits
contributions to the SSS on his provided under this section
own. shall be paid only for the first
4 deliveries or miscarriages
SUSPENSION OF MONTHLY PENSION: e. The SSS shall immediately
Upon the re-employment or reimburse the employer 100%
of the benefits advanced by GOVERNMENT SERVICE

the latter INSURANCE SYSTEM
f. If no contributions were RA 8291
remitted by the employer or
no notice was
employer shallgiven
be to SS, the
liable for
 COMPULSORY MEMBERSHIP (Sec. 3)
Compulsory for all employees (as
damages equivalent to the defined in Section 2 (d) of GSIS Law)
benefits which said employee receiving compensation who have not
member would otherwise have reached the compulsory retirement age,
been entitled to. irrespective of employment status,
EXCEPT MEMBERS OF THE ARMED
 Non-transferability of benefits FORCES AND THE PNP , subject to the
(Sec. 15) condition that they must settle first their
Such benefits are not transferable financial obligations with the GSIS and
and no power of attorney or other contractuals who have no employer and
document executed by those employee relationship with the agencies
entitled thereto, in favor of any they serve.
agent, attorney or any other person
for the collection thereof on their EXCEPT FOR THE MEMBERS OF
behalf shall be recognized, except THE JUDICIARY AND CONSTITUTIONAL
when they are physically unable to COMMISSIONS WHO SHALL HAVE LIFE
collect personally such benefits. INSURANCE ONLY, all members of the
GSIS shall have life insurance,
Sources of Fund retirement and all other social security
1. Collection: protection such as disability,
Beginning on the last day of the survivorship, separation and
month when an employee’s unemployment benefits.
compulsory coverage takes effect
and every month thereafter during  COMPUTATION OF SERVICE
his employment, his employer shall The computation of service for
pay the employer’s contribution and the purpose of determining the amount
shall deduct and withhold from such of benefits payable shall be FROM THE
employee’s monthly salary the DATE OF THE ORIGINAL APPOINTMENT / ELECTION
employees contribution. INCLUDING PERIODS OF SERVICE AT DIFFERENT
The same time of collection for TIMES UNDER THE AUTHORITY OF THE R EPUBLIC
self-employed OF THE PHILIPPINES AND THOSE THAT MAY BE
2. Remittance: PRESCRIBED BY THE GSIS IN COORDINATION
It shall be remitted within the first WITH THE CIVIL SERVICE COMMISSION .
10 days of each calendar month All service credited for
following the month for which they retirement, resignation or separation for
are applicable or within such time which corresponding benefits have been
as the Commission may prescribe. awarded shall be EXCLUDED in the
For self-employed they shall
remit their contributions quarterly computation ofin service
reinstatement in case
the service of
of an
on such dates and schedules as the employer and subsequent retirement or
Commission may require. separation which is compensable.
(NOTE: SEE TABLE ON SOCIAL WELFARE Definition of Terms
LEGISLATION FOR COMPARISON WITH
GSIS)  Employer:
The national government, its
political subdivisions, branches,
agencies or instrumentalities
including GOCC’s and financial
institutions with original charters,
the constitutional commissions and and/or mental faculties of the

the judiciary member
 Permanent Total Disability
 Employee or Member: Accrues or arises when recovery
Any
whileperson
in the receiving
service ofcompensation
an employer from
Section impairment mentioned
2 (Q) (defining disability) in
is
as defined herein, whether by medically remote
election or appointment,
irrespective of status appointment,  Temporary Total Disability
Accrues or arises when impaired
 Dependents: physical and/or mental faculties can
1. The legitimate spouse dependent be rehabilitated and/or restored to
for support upon the member or their normal functions
pensioner
2. The legitimate, legitimated  Permanent Partial Disability
legally adopted child, including Accrues or arises upon the
the illegitimate child who is: irrevocable loss or impairment of
a. unmarried, certain portion/s of the physical
b. not gainfully employed, faculties, despite which the member
c. not over the age of is able to pursue a gainful
majority, occupation.
d. or is over the age of
majority but Sources of Fund
incapacitated and
incapable of self-support  Contributions
due to a mental or 1. It shall be mandatory for the
physical defect acquired member and the employer to
prior to age of majority pay the monthly contributions.
3. Parents dependent upon the 2. The employer shall include in its
member for support annual appropriation the
necessary amounts for its share
 Primary Beneficiary of the contributions indicated
The legal dependent spouse until above PLUS any additional
he/she remarries premiums that may be required
on account of the hazards or
 Secondary Beneficiary risks of its employees
The dependent parents and subject occupation.
to the restrictions on dependent 3. Failure to do so shall subject the
children, the legitimate descendants employers to penal or
administrative sanctions.
 Disability
Any loss or impairment of the normal  Collection and Remittance
functions of the physical and/or 1. Collection: The employer shall
mental faculty of a member which report to the GSIS all pertinent
reduces or eliminates his/her information regarding the
capacity to continue with his/her employee and shall deduct each
current gainful occupation or engage month from the salary or
in any other gainful occupation. compensation of each employee
the contribution payable by him.
 Total Disability 2. Remittance: The employer shall
Complete incapacity to continue remit directly to the GSIS the
with his present employment or employees and employers
engage in any gainful occupation due contributions within the first ten
to the loss or impairment of the (10) days of the calendar month
normal functions of the physical following the month to which the
contributions apply.

 Benefits 2. Notorious negligence

3. Habitual intoxication, or
1. SEPARATION BENEFITS (SEC. willful intention to kill
11): himself or another.
Separation benefits are given to
the: Specific conditions for
a. The member resigns or entitlement (Sec. 16):
separates from the service He shall receive monthly income
after he has rendered at benefit for life equal to the basic
least three (3) years of monthly pension effective from
service but less than fifteen the date of the disability.
(15) years or PROVIDED:
b. The member resigns or
separates from office after 1. He is in the service at the
he has rendered at least time of the disability
fifteen (15) years of service 2. IF SEPARATED FROM
and is below sixty (60) years SERVICE, he has paid at
of age at the time of least 36 monthly
resignation or separation. contributions within the 5
year period immediately
Separation benefits likewise preceding the disability or
include: has paid a total of at least
180 monthly contributions
UNEMPLOYMENT OR prior to the disability
INVOLUNTARY SEPARATION 3. IF HE WAS IN SERVICE AND
BENEFITS (Sec. 12): shall be HAS PAID A TOTAL OF AT
paid to a permanent employee LEAST 180 MONTHLY
who is involuntarily separated CONTRIBUTIONS, in addition
from the service due to the to the monthly income
abolition of his office or position benefit, he shall receive a
usually resulting from cash payment equivalent to
reorganization PROVIDED that 18 times his basic monthly
he has been paying integrated pension
contributions for at least one (1) 4. However, a member cannot
year prior to contributions. enjoy the monthly income
benefit for permanent
2. RETIREMENT BENEFITS: disability and the old age
retirement simultaneously.
Conditions for entitlement (Sec.
13-A): Unless the member has reached
Member has rendered at least 15 the minimum retirement age,
years of service disability benefits shall be
He is at least 60 years of age at SUSPENDED when:
the time of retirement
He is not receiving a monthly 1. He is reemployed
pension benefit from 2. He recovers from his
permanent total disability disability as determined by
the GSIS, whose decision
3. PERMANENT DISABILITY shall be final and binding
BENEFITS 3. He fails to present himself
General Conditions for for medical examination
Entitlement (Sec. 15): when required by the GSIS
The member must have suffered  PERMANENT PARTIAL
permanent disability for reasons DISABILITY (Sec. 17):
NOT DUE to: He must satisfy specific
1. Grave misconduct conditions 1-3.
4. TEMPORARY DISABILITY death or has paid a total of

BENEFITS (Sec. 18) at least 180 monthly
contributions.
The member shall be entitled to
75% of the forcurrent
compensation daily
each day or 2. SURVIVORSHIP
CASH PAYMENTPENSION PLUSTO
EQUIVALENT A
fraction thereof of temporary 100% OF HIS AVERAG`E
disability benefit not exceeding MONTHLY COMPENSATION FOR
120 days in one calendar year EVRY YEAR OF SERVICE
after exhausting all sick leave PROVIDED: The deceased was in
credits and collective bargaining the service at the time of his
agreement sick leave benefits. death with at least three years of
PROVIDED: service
1. He is in service at the time
of his disability 3. SURVIVORSHIP PENSION PLUS A
2. If separated, he has CASH PAYMENT EQUIVALENT TO
rendered at least 3 years of 100% OF HIS AVERAGE MONTHLY
service and has paid at least COMPENSATION FOR EVERY
6 monthly contributions in YEAR OF SERVICE HE PAID
the 12- month period CONTRIBUTIONS BUT NOT LESS
immediately preceding the THAN P12, 000
disability PROVIDED That the deceased has
HOWEVER , a member cannot rendered at least 3 years of
enjoy temporary total disability benefit service prior to his death but does
and sick leave pay simultaneously not qualify under 1 and 2.
IN ADDITION, If the disability
requires more extensive treatment that  ORDER OF PAYMENT OF THE
lasts beyond 120 days, the payment of SURVIVORSHIP PENSION
the temporary total disability benefit
may be extended by the GSIS but not to 1. When the dependent spouse is
exceed a total of 240 days the only survivor, he/shall
LASTLY, and in no case shall the receive the basic survivorship
benefit be less than 70 pesos a day. pension for life or until he/she
remarries.]
5. SURVIVORSHIP BENEFITS:
 For purposes of survivorship 2. When only dependent children
benefits, legitimate children are the survivors, they shall be
shall include legally adopted entitled to the basic
and legitimated children. survivorship pension for as long
as they are qualified, plus the
 Death of a Member dependent children’s pension.
Upon the death of a member, the
primary beneficiaries shall be entitled 3. When the survivors are the
to: dependent spouse and the
dependent children, the
1. SURVIVORSHIP PENSION, dependent spouse shall receive
PROVIDED: the basic survivorship pension
for life or until he/she
a. Member was in service at remarries, and the dependent
the time of his death children shall receive the
b. If separated from service, dependents pension.
has rendered at least 3
years of service and paid
36 monthly contributions
with the 5- year period
immediately preceding his
 IN THE ABSENCE OF PRIMARY

BENEFICIARIES, THE SECONDARY
BENEFICIARIES SHALL BE ENTITLED
TO:
1. Cash
100% ofpayment equivalent
his average to
monthly
compensation for each year of
service he paid contributions,
but not less than P12,000
PROVIDED that the member is in
service at the time of his death
and has at least 3 years of
service.
2. In the absence of secondary
beneficiaries , the benefits
under this paragraph shall be
paid to the legal heirs
6. FUNERAL BENEFITS:
It shall not be less than twelve

thousand pesos (P12,000.00)
PROVIDED that it shall be
increased to at least eighteen
thousand pesos (P18,000.00)
after five years and shall be paid
upon death.
7. LIFE INSURANCE BENEFITS
All employees except members

of the AFP and the PNP shall be
compulsorily covered with life
insurance.
Adjudication of Claims and Disputes
 PRESCRIPTION OF CLAIMS
Claims for benefits under the Act
except for life and retirement shall
prescribe AFTER 4 YEARS FROM THE
DATE OF THE CONTINGENCY.
 JURISDICTION
GSIS shall have the exclusive and
original jurisdiction to settle any dispute
arising under the Act and any other laws
administered by the GSIS.
Appealable under Rule 43 and 45
Of the 1997 Rules of Civil Procedure. The
appeal shall not stay the execution of
the order or award unless ordered by the
Boards, CA, or SC and the appeal shall be
without prejudice to the special civil
action of certiorari when proper.

LABOR LAW COMMITTEE

CHAIRPERSON: Francis Benedict Réotutar ASSISTANT CHAIRPERSON: Juanito Lim, Jr. SUBJECT HEADS: Aimee Roselle Sabilala(Labor Standards), Elsa
Villaflor(Labor Relations), Maria Fe Taal (Special Laws) EDP: Flora Sherry Basquiñez
ASST. EDP’S: Jennifer Trinidad, Ma. Jasmine Isip, Emil Bien Ongk iko, Kareen Faye Pioquinto

LABOR LAW COMMITTEE


LABOR LAW COMMITTEE


LABOR LAW COMMITTEE


LABOR LAW COMMITTEE


LABOR LAW COMMITTEE



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7/25/2019 Labor Law Memory Aid

San eda College of Law 1

MEMORY AID IN LABOR LAW

1. defect which is congenital or ART. 211. DECLARATION OF

considered in disputes between

San eda College of Law 2

MEMORY AID IN LABOR LAW

1. Self-organization, premises of the employer’s business is a

working in the staff houses or within the

San eda College of Law 3

MEMORY AID IN LABOR LAW

LABOR ORGANIZATION — any union or efforts; reprisal or discrimination

2. Labor Relations Disputes  NLRC – an administrative body with

San eda College of Law 4

MEMORY AID IN LABOR LAW

the DOLE for program & policy 3. employer and

 The NLRC is composed of five (5)  TERMOF OFFICE OF THE CHAIRMAN,

and 264; AND

San eda College of Law 5

MEMORY AID IN LABOR LAW

3. CONTEMPT CASES courts and are well-nigh conclusive if

2. Cases DECIDED BY THE REGIONAL - The failure of the petitioner to

a. promulgating rules and regulations CHAPTER II

San eda College of Law 6

MEMORY AID IN LABOR LAW

DAMAGES arising from employer- voluntary arbitrator by

d. Contempt power [218]

San eda College of Law 7

MEMORY AID IN LABOR LAW

e. Power to issue injunctions and upon the defendants by the

c. RECEPTION AT THE HEARING OF ADEQUATE REMEDY: One that

the relief than will be inflicted reasonable costs, together with

San eda College of Law 8

MEMORY AID IN LABOR LAW

a reasonable attorney’s fee, and protection to labor.

any establishment, building, parties, by making reciprocal

San eda College of Law 9

MEMORY AID IN LABOR LAW

2. if they represent their distinguished from

San eda College of Law 10

MEMORY AID IN LABOR LAW

on the next business day. (Rules prejudiced by the delay in

to settle expeditiously labor Gear Labor Union vs. Noriel)

the latter was not

San eda College of Law 11

MEMORY AID IN LABOR LAW

if the former position is already ART 224. EXECUTION OF

2. He can REINSTATE THE EMPLOYEE The decision of the Secretary of

or award ofa a Labor

San eda College of Law 12

MEMORY AID IN LABOR LAW

OWWA, SSS-ECC, the regional a. cancellation of registration of a

San eda College of Law 13

MEMORY AID IN LABOR LAW

employer or any individual, entity, or collective bargaining or to any other

San eda College of Law 14

MEMORY AID IN LABOR LAW

institution of the petition shall continue to labor-management relations in all

 MODES OF APPEAL IN INTRA/INTER-  ADMINISTRATIVE FUNCTIONS OF THE