MANILA LAW COLLEGE

LABOR RELATIONS
COURSE OUTLINE
SY.2021-2022

BOOK FIVE
LABOR RELATIONS
(Arts. 211-277 now Arts. 218-292 of the Labor Code)

I. Declaration of Policy (Art.211 LC now Art.218)

II. Definitions (Art. 212 now Art. 219)

i. Employer
ii. Employee
iii. Managerial
iv. Supervisory
v. Rank and File
vi. Company Union
vii. Labor Organization
viii. Labor Dispute
ix. Voluntary arbitrator
x. Strike
xi. Lockout
xii. Internal Union dispute
xiii. Strike breaker
xiv. Strike Area

III. Creation and Composition

A. National Labor Relations Commission (NLRC)
i. Appointment and Qualifications
ii. Salaries benefits and other emoluments

B. Jurisdiction of the Labor Arbiters and NLRC (art. 217 now art. 224) Exclusive and
Original; Exclusive Appellate

i. Powers of the NLRC

ii. Ocular inspection
iii. Technical Rules not binding and prior resort to amicable settlement
iv. Appearance and fees (Art.222 now Art. 228)
v. Appeal (Art. 223 now Art. 229)
vi. Execution of Decisions, Orders or Awards (Art.224 now Art.230)
Relevant rules: The 2011 NLRC Rules of Procedure as amended.

C. Bureau of Labor Relations (Art.226 now Art. 232)

i. Jurisdiction (Original and appellate)
 ii. Appeal of the BLR Decision

D. Compromise agreements Release and Quitclaim (Art.227 now Art. 233)

i. Requirements of valid quitclaim

E. Registry of Unions and file of collective Bargaining

i. Procedure for registration
ii. Prohibition on Certification Election
a. Contract Bar rule (Requisites)

F. Privileged Communication

IV. Labor Organization (Registration and Cancellation Arts.234-240 now Arts. 240-249)

A. Requirements for Registration

B. Classification of Labor Organization
C. Grounds for Cancellation of Union Registration
D. Voluntary Cancellation of Registration

V. Rights and Conditions of Membership (Right to Self-Organization)

A. Rights and Conditions of Membership in a Labor Organization (Art.241 now Art. 250)

i. Prohibited from becoming members/officer of a Labor Organization

ii. Union dues
iii. Agency fees (Requisites)
iv. Check-off (requirements)
v. Difference between Special Assessment and Check-off

B. Rights of Legitimate Labor Organization (Arts.242-242-A now Art. 251-252)

C. Coverage of the Right to Self-Organization

i. Extent
ii. Persons/employees not granted the right to self-organization
iii. Non-abridgement of the right to self-organization

VI. Unfair Labor Practices

A. Unfair Labor Practice and procedure for prosecution thereof (Art. 247 now Art. 258)
B. Unfair Labor Practices of Employers (Art. 248 now Art. 259)
i. Interference
ii. Yellow dog contract
iii. Contracting out
a. Runway shop
iv. Company unionism
v. Discrimination
vi. Violation of duty to bargain
a. Surface bargaining

vii. Paid negotiation

viii. Violation of CBA
a. Union Security Clauses
i. Closed-shop agreement
ii. Union Shop agreement
iii. Maintenance Membership Shop Agreement
 iv. Preferential Shop Agreement
v. Agency Shop Agreement

C. Unfair Labor Practices of Labor Organizations

i. Restrain or Coerce employees in the exercise of their right to self-organization
ii. Discrimination
iii. Violate the duty, or refuse to bargain collectively
iv. Featherbedding
v. To ask for or accept negotiation or attorney’s fees from employers (Sweetheart
Contract)
vi. Grossly violate a CBA
a. Blue sky bargaining

VII. Collective Bargaining and Administration of Agreements

A. Procedure in Collective bargaining (Art. 250, now Art. 261)

B. Duty to bargain collectively in the absence of collective bargaining agreements (Art. 251,
now Art. 262)
C. Meaning of Duty to bargain collectively (Art. 252, now Art. 263)
D. Duty to bargain collectively when there exists a collective bargaining agreement (Art. 253,
now Art. 264)
E. Terms of a collective bargaining agreement (Art. 253-A, now Art. 265)
F. Injunction prohibited
G. Exclusive Bargaining Representation and Workers’ Participation in policy and decision
making (Art.255 now Art. 267)
H. Petition for certification election (Arts. 256-259, now Arts. 268-272)
i. Factors in determining appropriate bargaining unit
ii. Methods to determine bargaining unit
a. Certification election (Organized and Unorganized establishment)
b. Consent election
c. Direct Certification
d. Voluntary Recognition
iii. Grounds for dismissal of Certification election
iv. Requisites before a labor union can be declared a winner (Double Majority)
v. How to determine the Double Majority Rule
vi. Run-off Election (Requisites)
vii. Re-run Election
I. Employer as By-stander (Art. 258-A, now Art. 271)
J. Rules which prevent the holding of Certification Election
i. Contract Bar Rule (Exceptions)
ii. Deadlock Bar Rule
iii. Negotiation Bar Rule
iv. Certification Year Rule

VIII. Grievance Machinery and Voluntary Arbitration

A. Jurisdiction of Voluntary Arbitrator or Panel of Voluntary Arbitrators
B. Subject Matter of Grievance
C. Procedures
D. Remedies

IX. National Conciliation and Mediation Board

A. Nature of Proceedings
B. Conciliation versus Mediation
C. Preventive Mediation

X. Strikes and Lockouts

A. Strikes, Picketing and Lockout (Art. 263, now Art. 278)
 B. Requisites of a valid Strike, Picketing and Lockout
i. When can Secretary of Labor assume jurisdiction over strike
ii. Effects of assumption of jurisdiction
C. Prohibited activities during Strike (Art. 264, now Art. 279)
D. Illegal Strike
i. Liabilities of Union Officers, Ordinary Workers
E. Improved Offer Balloting/ Reduced Offer Balloting
F. Arrest and Detention
G. Penalties for Violation in relation to Art. 264 (Art. 272, now Art. 287)

BOOK SIX
POST EMPLOYMENT
(Arts. 278-286 now Arts. 293-301 of the Labor Code)

I. Coverage
II. Security of Tenure (Art. 279, now Art. 294)
III. Kinds of Employment (Art. 280-281, now Art. 295-296)

A. Probationary
 Voyeur Visage Studio Inc. vs. CA, G.R. No. 144939, March 18, 2005;
 Dela Cruz Jr. vs. NLRC G.R. No. 145417, Dec.11, 2003;
 Cals Poultry Supply Corp. vs. Roco G.R. No. 150660, July 30, 2002;
 Dusit Hotel Nikko vs. Gatbonton, G. R. No. 161654, May 05, 2006;
 San Miguel Corp. vs. Del Rosario, G.R. No. 168194, Dec.13, 2005;
i. Grounds to terminate probationary employment

B. Regular
i. Two kinds of regular employees
ii. Three ways of attaining regular employees
a. By nature of work
b. By period of service
c. By probationary employment
 Philips Semiconductors Phils Inc. vs. Fadriquela, G.R. 141717, April 14,
2004
 Conti vs. NLRC, G.R, No. 119253, April 10, 1997
 Brent school Inc. vs. Zamora GR. No.48494, Feb.05, 1990

C. Project employment
i. Two (2) Categories of project employees
 GMA Network Inc. vs. Pabriga, G.R. No. 176419, Nov. 27, 2013
 Leyte Geothermal Power Progressive Employees Union- ALU-TUCP vs.
PNOC EDC, G.R. No. 170351, March 30, 2011
ii. Indicators of project employment
iii. Work pool principle
iv. Termination of project employment
Relevant Rules: D.O. 19 series of 1993 and Policy Instruction No. 20

Case Study:

 Maraguinot vs. NLRC G.R. No. 120969, 02 January 1998;

  Equipment Technical Services vs. CA, G.R. No. 157680, 08 October
2008

D. Seasonal
E. Casual
F. Fixed-term

IV. Termination by Employer (Art. 282 now Art. 297)

A. Just Causes

i. Serious Misconduct or willful Disobedience (Requisites)

 Bughaw Jr. vs. Treasure Industrial Corp., G.R. No. 173151. 28 March 2008
 Villamor Golf Club vs. Pehid, G.R. No.166152. 04 October 2005
 Micro Sales Operation Network vs. NLRC, G.R. No. 155279, 11 October
2011
 Acesite Corp., et. Al. vs. NLRC, G.R. No.152308. 26 January 2005
 Yabut vs. Manila Electric Company, G.R. No.190436, 16 January 2012

ii. Gross/Habitual Neglect of Duties (Requisites)

 St. Lukes Medical center, Inc. and Robert Kuan vs. Estrelito Nazario, G.R.
No. 152166, 20 October 2010
 Uniwide Sales Warehouse vs. NLRC, 547 SCRA 220 (2008)
a. Abandonment of work (Requisites)
 Miranda vs. Carion, G.R. No.143540, 11 April 2003
 CRC Agricultural Trading vs, NLRC, G.R. No.177664, 23 December 2009

iii. Fraud/ Willful Breach of Trust (Requisites)

 Enriquez vs. BPI, G.R. No.172812, 12 February 2008
 De la Cruz vs. Coca-Cola Bottlers 31 July 2009
 Sanden Aircon Philippines vs. Rosales, G.R. No.169260, 23 March 2011
 Alvarez vs. Golden Tri Bloc Inc., G.R. No.202158, 25 September 2013

iv. Commission of Crime/Offense

v. Other analogous causes

a. Example, Violation of company rules, incompetence, failure to attain work
quota

B. Authorized causes (Art. 283, now Art. 298)

i. Installation of Labor Saving Device

 Magnolia Dairy Products Corp vs. NLRC G. R. No. 114952, Jan. 29, 1996

ii. Redundancy (Requisites)

 Nippon Housing Phil. Inc. vs. Leynes G.R. No.177816, 03 August 2011
 Maya Farms Employees Organization vs. NLRC, G.R. No.106256, 28
December 1994
 Smart Communications Inc. vs. Astorga, G.R. No.148132, 28 January 2008

iii. Retrenchment (Downsizing/Delayering) (Requisites)

 Anabe vs. Asian construction G.R. No.183233, 23 December 2009
 Lambert Pawn Brokers and Jewelry Corp. vs. Binamira, G.R. No.170464, 12
July 2010
 Andrada vs, NLRC G.R. No.173231, 28 December 2007
 Composite Enterprise Inc. vs. Caparoso, G.R. No.159919, 08 August 2007
 iv. Closure of business operations (Requisites)
a. Two kinds
i. Due to serious business losses
ii. Not due to serious business losses
 Espina Vs. CA, G.R. No.164582, 28 March 2007
 North Davao Mining Corp. vs. NLRC, G.R. No.112546, 13 March
1996
v. Disease

C. Termination by Employee (Art.285 now Art. 300)

i. Serious insult
ii. Inhuman and unbearable treatment
iii. Commission of a crime or offense by employer or representative
iv. Other causes analogous to any of the foregoing

D. Due Process
i. Twin Notice Requirement
ii. Hearing, Opportunity to be heard
 Agabon vs. NLRC, G.R. No.158693, 17 November 2004
 Abbott Laboratories Phil. Vs, Alcaraz, G.R. No.192571, 23 July 2013
 King of Kings Transport Inc. vs. Mamac, G.R. No.166208, 29 June 2007
 Jaka foods Processing Corp. vs. Pacot G.R. No.151378, 28 March 2005

E. Relief for Illegal Dismissal

i. Reinstatement
ii. Separation Pay In lieu of Reinstatement (Principle of Strained Relations)
 Session Delights Ice Cream and Fast Food vs. CA, G.R. No.172149, 08
February 2010
 Leopard Security and Investigation Agency vs. Quitoy, G.R. No.186344, 20
February 2013
iii. Back wages
 Phil. Journalist Inc. vs, Mosqueda, G.R. No.141430, 07 May 2004

F. Preventive Suspension
 Phil. National Bank vs. Velasco, G.R. No.166096, 11 September 2008
 Mandapat vs. Add Force Personnel Services Inc., G.R. No.180285, 06 July
2010

G. Constructive Dismissal (also Read Art. 286 now Art.301)

i. Forced Resignation
ii. Demotion in Rank
iii. Discrimination
 Diamond taxi and Bryan Ong vs. Llamas, G.R. No.190724, 12 March 2014
 Ang vs. San Joaquin Jr. G.R. No.185549, Aug 07, 2013

H. Management Prerogative
i. Definition
ii. Limitation in its exercise
iii. Different kinds of Management prerogatives
a. Discipline
b. Transfer of employees
c. Productivity standard
d. Change of working hours
e. Bona fide Occupational Qualifications
f. Post-Employment restrictions

I. Retirement (Art.287 now Art 302)

 i. Coverage
ii. Amount of Retirement pay (computation)

iii. Retirement benefits of part time workers and workers paid by results
iv. Retirement Benefit of Underground or Surface Mine Employees under RA 8558 as
amended by RA 10757
Case Study:

 Rogelio Reyes vs NLRC, G.R. No. 160233. August 8, 2007;

 Alberto Oxales vs. United Laboratories, Inc., G.R. No. 152991 July 21, 2008
 Bibiano C. Elegir vs. Philippine Airlines, Inc. G.R. No. 181995, July 16, 2012;
 Banco Filipino Savings and Mortgage Bank vs. Miguelito M. Lazaro/Miguelito M.
Lazaro vs. Banco Filipino Savings and Mortgage Bank, et al .G.R. No. 185346 &
G.R. No. 185442 June 27, 2012.

BOOK SEVEN
TRANSITORY AND FINAL PROVISIONS

J. Penalties (Art 288 now Art.303)

K. Prescription (Arts.290-292 now Arts. 305-307)
i. Offenses
ii. Money claims

GRADING PLAN –

A. Examinations

Mid-Term Exam – 30%

Final Exam - 40%

B. Case Digest– 15%

C. Class Participation & Attendance – 15%

100%

(Reference: P.D. 442 as amended Labor Code of the Philippines;

-Labor Code with comments and cases by Cesario Azucena Jr.

-Labor Law with comments by Joselito Guianan Chan)

“CHANCE FAVORS THE PREPARED MIND”

TSV/Nemesis S.Y.21-22