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Labor Law Review
What is Labor?
As an act: Exertion by human beings of physical or mental eorts, or both, towars the prouction
of goos an services!
As a sector of society: "hat sector or group in a society, which erives its livelihoo chie#y from
renition of wor$ or services in exchange for compensation uner managerial irection (Mendoza,
2001).
Refers to wor$ers, whether agricultural or non%agricultural
Constitutional Mandates on LaborThe State shall protect and promote the interests of the Filipino Laborer:
Art. II, Sec. 9."he &tate shall promote a 'ust an ynamic social orer that will ensure the prosperity an
inepenence of the nation an free the people from poverty through policies that provie ae(uate social
services, promote full employment, a rising stanar of living an improve (uality of life for all!
Art. II, Sec. 18. "he &tate a)rms labor as a primary social economic force! *t shall protect the rights, of
wor$ers an promote their welfare!
Art. XII, Sec. 12."he &tate shall promote the preferential use of +ilipino labor, omestic materials an
locally prouce goos, an aopt measures that help ma$e them competitive!
Art XIII, Sec. 14. "he &tate shall protect women by proviing safe an healthful wor$ing conitions,
ta$ing into account their maternal functions, an such facilities an opportunities that will enhance their
welfare an enable them to realie their full potential in the service of the nation!
Art. XV, Sec. 8."he &tate shall, from time to time, review to upgrae the pensions an other bene-ts ueto retirees of both the government an the private sectors!
Rights of Wor$ers
Art. Ill, Sec. 8."he right of the people, incluing those employe in the public an private sectors, to
form unions, associations, or societies for purposes not contrary to law, shall not be abrige! .formation of
labor organiations/
Art. Ill, Sec. 18(2). 0o involuntary servitue in any form shall exist except as a punishment for a crime
whereof the party shall have been uly convicte!
rotection to Labor !la"se
Art. XIII, Sec. 3"he &tate shall aor full protection to labor, local an overseas, organie an
unorganie, an promote full employment an e(uality of employment opportunities for all!
*t shall guarantee the rights of all wor$ers to self%organiation, collective bargaining an negotiations, an
peaceful concerte activities, incluing the right to stri$e in accorance with law! "hey shall be entitle to
security of tenure, humane conitions of wor$, an a living wage! "hey shall also participate in policy an
ecision%ma$ing process aecting their rights an bene-ts as may be provie by law!
rotection to Labor !la"se
Art. XIII, Sec. 3, cont.
"he &tate shall promote the principle of share responsibility between wor$ers an employers an the
preferential use of voluntary moes in settling isputes, incluing conciliation, an shall enforce their
mutual compliance therewith to foster inustrial peace!
"he &tate shall regulate the relations between wor$ers an employers, recogniing the right of labor to its
'ust share in the fruits of prouction1 an the right of enterprises to reasonable returns of investments, an
to expansion an growth!
Commit Art. XIII, Sec. 3 to memory!
2e-nes rights of wor$ers uner Labor &tanars an Labor Relations:
3ner Labor &tanars
&ecurity of "enure4
Living wage4
&hare in the fruits of prouction4 an
5umane conitions of wor$!
3ner Labor Relations
&elf%6rganiation
7ollective bargaining an negotiations
8eaceful concerte activities, incluing stri$e4 8articipation in policy an ecision%ma$ing processes!
Social, Labor and Welfare Legislation
7onstitutional provisions on labor are not self%executory, hence the nee for &ocial Legislation,
Labor Legislation an Welfare Legislation
&ocial Legislation % Laws that provie particular $ins of protection or bene-ts to society or
segments thereof in furtherance of social 'ustice!
Labor Legislation % &tatutes, regulations an 'urispruence governing the relations between capital
an labor! *t provies for certain employment stanars an a legal framewor$ for negotiating,
a'usting an aministering those stanars an other incients of employment!
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Welfare Legislation % 8rovies for the minimum economic security, of the wor$er an his family in
case, of loss of earnings ue to eath, ol age, isability, ismissal, in'ury or isease!
Social Legislation and Labor Legislation, Distinguised
&ocial legislation encompasses labor legislation, thus is broaer in scope than the latter! All labor laws are
social legislations but not all social legislations are labor laws!
Labor La, de"ned.
"he law governing the rights an uties of employers an employees with respect to Labor
&tanars an Labor Relations!
Labor &tanars Law eals with the minimum stanars as to wages, hours of wor$ an other termsan conitions of employment that employers must provie their employees!
Labor Relations Law e-nes the status, rights an uties as well as the institutional mechanisms that
govern the iniviual an collective interactions between employers, employees an their representatives
#e $ili%%ine Labor Code, and &ter Las
8resiential 2ecree 0o! 99
2eals with Labor &tanars an Labor Relations
;ecame eective 0ovember @==/
0ational 5ealth *nsurance Act
8aternity Leave Act Retirement 8ay Law
5ome utual 2evelopment +un Law
Anti%&exual 5arassment Act
Anti%7hil Labor Act
te or-ers em%loyer
)ene"ts are %aid by
go(ernment agencies
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Attainment of &ocial Gustice
;alance the interest of labor an capital .eliminate oppression/
Labor is aore a greater measure of protection
"here is greater supply of labor than eman for their services4
"hose who have less in life shoul have more in law4
"he nee for employment by labor comes from vital, an even esperate necessity
.survival/4
)asic $rinci%les
Wat are te basic %rinci%les in te constitution and labor'related las on %rotection to labor/ "he state shall aor full protection to labor, promote full employment, e(ual wor$ opportunities
without bias or iscrimination, regulate the relations of employers an employees, an assure
wor$ers rights .refer to protection to labor cla"se #rt. $%%%, Sec. &, 1' !onst! H Art! B, Labor 7oe/4
"he relation of capital an labor are impresse with public interest, hence employment contracts
are not orinary contracts .#rt. 100, *!!/4
*n case of oubt or ambiguity, labor laws an rules are to be construe in favor of labor .#rt. +,
Labor !ode, #rt. 102, !iil !ode/
*+ "5ERE *& 263;" as to the meaning of the legal an contractual provision, the above%
mentione applies!
*+ "5E 8R6I*&*60 *& 7LEAR A02 30A;*363&, it must be applie in accorance with its
express terms! .eralco v! 0LR7, R 0o! >D>@B, Guly
7onuct business4
8rescribe rules4
&elect an hire employees4
"ransfer or ischarge employees4
2iscipline of employees, an
Return of investment an expansion of business!
Management $rerogati(es
(-"ral an/ of !antilan ! . "le, - *o. 1'30, Febr"ar4 2, 200).
3ner the doctrine of mana5ement prero5atie, every employer has the inherent right to
regulate, accoring to his own iscretion an 'ugment, all aspects of employment, incluing
hiring, wor$K assignments, wor$ing methos, the time, place an manner of wor$, wor$
supervision, transfer of employees, lay%o of wor$ers, an iscipline, ismissal, an recall ofemployees
(Mendoza . -"ral an/ of L"cban, - *o. 133+21, "l4 , 200+).
anagement prerogatives, however, are sub'ect to limitations provie by
law,
contract or collective bargaining agreements an
general principles of fair play an 'ustice
$re'*m%loyment
State $olicy on *m%loyment
Article
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8romote an maintain a state of full employment through improve manpower training,
allocation an utiliation4
8rotect every citien by securing for him the best possible terms an conition of
employment4
+acilitate a free choice of available employment by persons see$ing wor$ in conformity with
the national interest4
+acilitate an regulate the movement of wor$ers in conformity with the national interest4
Article
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When an accommoating state observes anJor complies with the international laws an
stanars for migrant wor$ers4
Where there is a guarantee from the accommoating state to protect the rights of +ilipino
migrant wor$ers!
A'uicatory +unctions
Aministrative cases involving violations of licensing rules an regulations an registration
of recruitment an employment agencies or entities4
86EA has the power to:
&uspen or cancel license4 an 6rer the refun or reimbursement of such illegally collecte fees (6astern #ss"rance
and S"ret4 !orp. . Sec. of Labor, - *os. '+&730, an"ar4 1, 1''0)
2isciplinary action cases an other special cases which are aministrative in character,
involving employers, principals, contracting partners an +ilipino migrant wor$ers!
6ther eneral 8rovisions
anatory Remittance .Article /
Exceptions
+ilipino servicemen wor$ing in 3!&! military *nstallations4
Where the wor$er1s immeiate family members, epenents, or bene-ciaries are resiing
with him abroa4 an
*mmigrants an
+ilipino professionals an employees wor$ing with 3nite 0ations agencies or specialie
boies .Resolution 0o! /!
Wat if an &W fails4refuses to remit/
Wor$er shall be suspene or exclue from the list of eligible wor$ers for overseas employment!
&ubse(uent violations shall warrant his repatriation!
Employers who fail to comply shall be exclue from the overseas employment program!
8rivate employment agencies or entities shall face cancellation or revocation of their licenses or
authority to recruit, without pre'uice to other liabilities uner existing laws an regulations
Recruitment an 8lacement Agencies .private/
Art! >, L7: +ilipino citiens, or 7orporations, partnerships or entities at least >CP of the authorie
an voting capital stoc$ of which is owne an controlle by +ilipino citiens!
Art! D, L7:
8rivate employment agency for local employment
+or single proprietorship or partnership Ominimum net worth of two ./ hunre
thousan pesos!
+or corporations O a minimum pai up capital of -ve .C/ hunre thousan pesos!
8rivate recruitment or manning agency for overseas employment
+or single proprietorship or partnership O minimum capitaliation of two ./ million
pesos!
+or corporations Ominimum pai up capital of two ./ million pesos4
increase capitaliation or pai%up capital to two ./ million pesos at the rate of
two hunre -fty thousan pesos .8C,/ every year!
"hose not otherwise is(uali-e by law or other government regulations to engage in the
recruitment an placement of wor$ers for overseas employment.
*ntities dis5uali"ed from %artici%ating as a recruitment entity
6)cials or employees of the 26LE or other government agencies irectly involve in overseas
employment program an their relatives within the 9th egree of consanguinity or a)nity4
"ravel agencies an sales agencies of airline companies .Art! @, L7/!
6)cers or members of the boar of any corporation or members in a partnership engage in the
business of a travel agency4
7orporations an partnerships, when any of its o)cers, members of the boar, or partners, is also
an o)cer, member of the boar, or partner of a corporation or partnership engage in the business
of a travel agency .interloc$ing o)cers/4
8ersons, partnerships or corporations which have erogatory recors
"hose whose Licenses have been previously cancelle or revo$e .&ec! , Rule *, Rules anRegulations on the Recruitment an Employment of Lan%;ase Wor$ers/!
License or Autority6 Limitations
3se only by the person or entity in whose favor it was issue4
3se only in the 8lace state in the license!
Recruitment an placement must be unerta$en at their authorie o)cial aresses!
8rovincial recruitment anJor 'ob fairs may be allowe only when authorie by 86EA in writing!
% AR"! =, Labor 7oe
1ecruitment Agencies, )ond
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All applicants for license or authority shall post such cash an surety bons as etermine by the
&ecretary of Labor, incluing escrow eposits!
% AR"! B,
oo/ %, %mplementin5 -e5"lations of L!/!
"he recruitment agency may still be sue even if agency agreement between recruitment agency
an principal is alreay severe if no notice of the termination was given to the employee base on
#rt. 1'21 of the *e? !iil !ode (!atan . *L-!, - *o. 2', #pril 13, 1').
Exemption: Where the wor$ers themselves insiste for the recruitment agency to sen them bac$to their foreign employer espite their $nowlege of its inability to pay their wages, the 7ourt
absolve the agency from liability (Fea5le !onstr"ction !orp. . a4da, - *o. 2&10, "ne 1,
1''0).
7ontract by 8rincipal: Even if it was the principal of the manning agency who entere into contract
with the employee, the manning agent in the 8hilippines is 'ointly an soliarily liable with the
principal (Sea5"ll Maritime !orp. . alaton5an, - *os. &&373&, Febr"ar4 2, 1'').
What fees will a wor$er pay, an when?
A1#. 3:, LC
7harging of fees only after employment obtaine or actual commencement of employment!
All fees pai shall be covere with appropriate receipt!
86EAQs authority
&uspen or cancel license4 an
6rer the refun or reimbursement of such illegally collecte fees .6astern #ss"rance and
S"ret4 !orp. . Sec. of Labor, - *os. '+&730, an"ar4 1, 1''0/!
8lacement fees cannot be collecte from a hire wor$er until he has signed te em%loyment
contract an shall be covere by receipts clearly showing the amount pai .Sec. 2@aA, -"le >, oo/
%%, -"les and -e5"lations oernin5 8erseas 6mplo4ment/!
anning agencies shall not charge any fee from seafarer%applicants for its recruitment an
placement services!
;o oter fees or carges including %rocessing fees sall be im%osed against any or-er.
Recruitment Agencies, 8rohibite Acts
! +urnish any false information in relation to recruitment or employment4B! ive any false notice, testimony etc! or commit any act of misrepresentation to secure a license or
authority4
9! *nuce or attempt to inuce a wor$er to (uit his 'ob in lieu of another oer "nless it is esigne to
liberate the wor$er from oppressive terms of employment4
C! *n#uence or attempt to in#uence any person or entity not to employ any wor$er who has not
applie for employment through his agency4
@! Engage in recruitment or placement of 'obs harmful to public health, morality or to the ignity of
the 8hilippines4
>! 6bstruct or attempt to obstruct inspection by the Labor &ecretary or his authorie representatives4
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D! +ail to -le reports, on the status of employment, placement etc! an such other matters as may be
re(uire by the &6LE4
=! &ubstitute or alter employment contracts without the approval of the &ecretary of Labor4
Recruitment Agencies, &uspension, 7ancellation, Revocation
&uspension or 7ancellation 8rohibite acts .#rt. &+)B
7harging a fee before the wor$er is employe or in excess of the authorie amount4
Recruitment activities in places outsie the authorie area4
2eploying wor$ers without processing through the 86EA4 an
Avertisements .'ob announcements/ without 86EA1s prior approval .&ec!9, Rule **, oo/ %>,
86# -"les).
rounds for 1e(ocation of License
Accumulate three counts of suspension by an agency base on -nal an executory orers
within the valiity perio of its license4
Iiolation of the conitions of license4
Engaging in acts of misrepresentation for the purpose of securing a license or renewal
thereof4 an
Engaging in the recruitment or placement of wor$ers to 'obs harmful to the public health or
morality or to the ignity of the Republic of the 8hilippines (Sec.&, -"le %, oo/ >%, -"les and
-e5"lations oernin5 8erseas 6mplo4ment).
*llegal Recruitment
Any act of canvassing, enlisting, contracting, transporting, utiliing, hiring, or procuring wor$ers an
inclues referring, contract services, promising or avertising for employment abroa, whether for
pro-t or not, when unerta$en by a non%licensee or non%holer of authority contemplate uner
Article
prohibite practices enumerate uner#rt. &+ (eople . Sadiosa, - *o. 100+, Ma4 13, 1''B
Sec. 10, -.#. 0+2).
*llegal Recruitment as an 6ense *nvolving Economic &abotage
?ualifying Circumstances
When illegal recruitment is committe by a &02*7A"E, i.e., if it is carrie out by three .B/ or
more persons conspiring anJor confeerating with one another4 or
When illegal recruitment is committe in a LARE &7ALE, i.e., if it is committe against
three .B/ or more persons iniviually or as a group!
$ersons con(icted ill su+er te folloing sanctions
Automatic revocation of the license or authority .#rt. &'@eA, L!/4
+orfeiture of the cash an surety bons .#rt. &'@eA, L!/4 an 7onviction of the crime of estafa, if foun guilty thereof .eople . !alonzo, - *os. 1131307
33, September 2, 1''/!
Why istinguish *llegal Recruitment?
;ecause of istinctions as to:
8rescriptive 8erio
8enalties
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8p! vs! "uguinay
R"7 ;r! @, ;aguio 7ity
three elements of illegal recruitment in largescale
a/ the oener has no vali license or
authority re(uire by law to enable
him to lawfully engage in recruitment
an placement of wor$ers4
b/ the oener unerta$es any of the
activities within the meaning of
recruitment an placementM uner Article .a// for as long as
they occupy any executive, avisory, supervisory, or technical position in any
establishment!
AE8, ;asis for *ssuance
;asis for issuance
7ompliance by the applicant or employer or the foreign national with the substantive
an ocumentary re(uirements!
2etermination of the 26LE &ecretary that there is no available +ilipino national who is
competent, able an willing to o the 'ob for the employer!
Assessment of the 26LE &ecretary that the employment of the foreign national will
reoun to national bene-t!
AE8, When 3nnecessary
All members of iplomatic service an foreign government o)cials accreite by an
with reciprocity arrangement with the 8hilippine government4
6)cers an sta of international organiations of which the 8hilippines is a
cooperating member, an their legitimate spouses esiring to wor$ in the 8hilippines4 +oreign nationals electe as members of the overning ;oar who o not occupy any
other position, but have only voting rights in the corporation4
All foreign nationals grante exemption by law4
+oreign nationals who come to the 8hilippines to teach, present anJor conuct
+oreign nationals who come to the 8hilippines to teach, present anJor conuct
research stuies in universities an colleges as visiting, exchange or a'unct
professors uner formal agreements between the universities or colleges in the
8hilippines an foreign universities or colleges4 or between the 8hilippine government
an foreign government4 provie that the exemption is on a reciprocal basis4
Sim%le *conomic Sabotage
$rescri%ti
(e $eriodC ears ears
Im%rison
ment
8rision
mayorLife imprisonment
ine
8,
%
8C,
8C,%8
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6wners an representatives of foreign nationals whose companies are accreite by
the 86EA who come to the 8hilippines for a limite perio an solely for the purpose
of interviewing +ilipino applicants for employment abroa4
Resient foreign nationals an temporary or probationary resient visa holers
employe or see$ing employment in the 8hilippines!
AE8, Ialiity
6ne year or
7o%terminus with the uration of employment, consultancy services or other moes of
employment or term of o)ce, which in no case shall excee -ve years! &ai AE8 is vali forthe positionJs an company for which it was issue!
*n case of assignment in the companyQs subsiiaries, branch o)ces an 'oint ventures an
those assigne in the hea(uarters with oversight function in any of the branch o)ces,
operation or pro'ects in the country, one AE8 shall be re(uire an vali for all the sai
assignments irrespective of their placeJs!
rouns for the enial of AE8
isrepresentation of facts in the application4
&ubmission of falsi-e ocuments4
2erogatory recor of foreign national4
Availability of a +ilipino who is competent, able an willing to o the 'ob intene for the foreign
national!
rouns for suspension of AE8
"he continue stay of the foreign national may result in amage to the interest of the inustry or
the country4
"he employment of the foreign national is suspene by the employer or by orer of the 7ourt!
rouns for revocationJcancellation of AE8
0on%compliance with any of the re(uirements or conitions for which the AE8 was issue4
isrepresentation of facts in the application4
&ubmission of falsi-e or tampere ocuments4
eritorious ob'ection or information against the employment of the foreign national as
etermine by the Regional 2irector4
+oreign national has a erogatory recor4 or
Employer terminate the employment of the foreign national!
Appeal an 8enalties
Appeal maybe -le by any aggrieve party with the &ecretary of Labor an Employment within
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"o establish a national apprenticeship program4 an
"o establish apprenticeship stanars for the protection of apprentices!
ey #erms, de"ned.
Apprenticeship % practical training on the 'ob supplemente by relate theoretical instruction, for a
highly s$ille or technical occupation for a perio of not less than three months but not more than
six months!
Apprentice % a wor$er who is covere by a written apprenticeship agreement with an iniviual
employer or any of the entities recognie uner this chapter, with an apprenticeship program uly
approve by the 26LE! Apprenticeable 6ccupation % any trae, form of employment or occupation which re(uires more
than B months of practical training on the 'ob supplemente by relate theoretical instruction!
Apprenticeship Agreement O an employment contract wherein the employer bins himself to train
the apprentice an the apprentice in turn accepts the terms of training!
6n%the%'ob%training O practical wor$ experience through actual participation in prouctive activities
given to or ac(uire by an apprentice!
5ighly "echnical *nustries O a trae, business, enterprise, inustry or other activity which is
engage in the application of avance technology!
A%%rentice, 5uali"cations.
At least %, oo/ %%, -"les implementin5 the Labor !ode)
*m%loyment of A%%rentices
Employer may employ apprentices when
"hey are classi-e as highly technical inustries4 an
"he tas$ to be performe is an apprenticeable occupation as etermine by the &ecretary ofLabor!
Re(uisites for a Iali Apprenticeship
Tuali-e uner Article C=4
Apprentice earns not less than >CP of the prescribe minimum salary4 (Sec 1&, -"le >%,
oo/ %%, -"les %mplementin5 the Labor !ode)
Apprenticeship agreement uly execute an signe4
Apprenticeship program must be approve by the &ecretary of Labor4 otherwise, the
apprentice shall be eeme a regular employee (*itto 6nterprises . *L-!, - *o. 11+&&,
September 2', 1''3)B an
8erio of apprenticeship shall not excee six .@/ months .&ec! 1', -"le >%, oo/ %%, -"les
%mplementin5 the Labor !ode).
A%%renticesi% Agreement
7ontent
+ull name an aress of the contracting parties4
2ate of birth of the apprentice4
0ame of trae, occupation or 'ob in which the apprentice shall be traine an the ates on
which such training will begin an will proximately en4
Approximate number of hours of on%the%'ob training with compulsory theoretical instructions
which the apprentice shall unergo uring his training4
&cheule of the wor$ processes of the traeJ occupation in which the apprentice shall be
traine H the approximate time to be spent on the 'ob in each process4
rauate scale of wages to be pai to the apprentice4
8robationary perio of the apprentice uring which either party may summarily terminatetheir agreement4 an
An Apprenticeship "ransfer 7lause (Sec. 1, -"le >%, oo/ %%, -"les %mplementin5 the Labor
!ode).
A%%renticesi% $rogram, (enue
Within the sponsoring -rm, establishment or entity4 6R
Within a 26LE training center or other public training institutions4 6R
*nitial training in trae funamentals in a training center or other institutions with subse(uent
actual wor$ participation within the sponsoring -rm or entity uring the -nal stage of training!
=iolations, A%%renticesi% Agreements
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*nvestigation of Iiolation of Apprenticeship Agreement (#rt. 3)
Either party to an agreement may terminate the same after the probationary perio only for
a vali cause!
Action may be initiate upon complaint of any intereste person or upon 26LE1& own
initiative!
=alid Causes to #erminate A%%renticesi% Agreements
4 the emplo4er
5abitual absenteeism in on%the%'ob training an relate theoretical instructions4
Willful isobeience of company rules or insuborination to lawful orer of a superior: 8oor physical conition, permanent isability or prolonge illness which incapacitates the
apprentice from wor$ing4
"heft or malicious estruction of company property anJor e(uipment4
8oor e)ciency or performance on the 'ob or in the classroom for a prolonge perio espite
warnings uly given to the apprentice4 an
Engaging in violence or other forms of gross misconuct insie the employer1s premises!
4 the apprentice
&ubstanar or eleterious wor$ing conitions within the employer1s premises:
Repeate violations by the employer of the terms of the apprenticeship agreement4
7ruel or inhumane treatment by the employer or his suborinates4
8ersonal problems which in the opinion of the apprentice shall prevent him from a
satisfactory performance of his 'ob4 an
;a health or continuing illness! (Sec23, -"le >%, oo/ %%, -"les %mplementin5 the Labor
!ode)
A%%eal B *A1
Appeal (#rt. )
"he ecision of an authorie agency of the 2epartment of Labor may be appeale to the
&ecretary of Labor, within C ays from receipt of the averse ecision!
"he ecision of the &ecretary of Labor shall be -nal an executory!
Exhaustion of Aministrative Remeies (#rt. )
"he exhaustion of aministrative remeies is a conition preceent to the institution of
action!
"he plant apprenticeship committee shall have initial responsibility for settling ierencesarising out of apprenticeship agreements (Sec. &2b, -"le >%, oo/ %%, -"les %mplementin5 the
Labor !ode).
&rgani2ation of A%%renticesi% $rograms
AR"! >: "he organiation of apprenticeship program shall be primarily a voluntary unerta$ing of
employers, except as provie for in Article >!
Exceptions: (#rt. 2)
When grave national emergencies, particularly those involving the security of the state, arise or
particular re(uirements of economic evelopment so eman, the &ecretary of Labor an
Employment may recommen to the 8resient of the 8hilippines the compulsory training of
apprentices re(uire in certain traes, occupations, 'obs, or employment levels where shortage of
traine manpower is eeme critical!
Where services of foreign technicians are utilie by private companies in apprenticeable traes
sai companies are re(uire to set up appropriate apprenticeship programs! (Sec. +1, -"le >%, oo/
%%, -"les %mplementin5 the Labor !ode)
*m%loyer $ri(ileges
An aitional euction from taxable income of
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provie the stuents are given real opportunities, incluing such facilities as may be reasonable
an necessary to -nish their chosen courses uner such agreement
"he stuentJscholar is not consiere an employee! ;ut if he causes in'ury or amage to a thir
person, the school may be hel liable uner#rt. 210 of the 7ivil 7oe (Filamer !hristian %nstit"te
. %#!, - *o. 3112, #"5"st 1, 1''2).
A%%renticesi% agreement (alidity
Atlanta *nustries, *nc! anJor Robert 7han vs! Aprilito R! &ebolino, et al!, !R! 0o! B, Gan!
in violation of the law an the rules! oreover, with the expiration of the -rst agreement an the
retention of the employees, the employer, to all intents an purposes, recognie the completion of
their training an their ac(uisition of a regular employee status! "o foist upon them the secon
apprenticeship agreement for a secon s$ill which was not even mentione in the agreement itself,
is a violation of the Labor 7oeQs implementing rules an is an act manifestly unfair to the
employees!
Learners
Learners % persons hire as trainees in semis$ille an other inustrial occupations which are non%
apprenticeable an which may be learne through practical training on the 'ob in a relatively short
perio of time which shall not excee B months!
Learnership Agreement % employment an training contract entere into between the employer anthe learner!
0o re(uirement for theoretical instruction
Wen Learners May be @ired
0o experience wor$ers are available4
"he employment of learners being necessary to prevent curtailment of employment opportunities4
an
"he employment will neither create unfair competition in terms of labor costs nor impair wor$ing
stanars!
Employment of minors as learners
A minor below -fteen .CP of the applicable minimum wage4 an
A commitment to employ the learner, if he so esires, as a regular employee upon
completion of training!
A learner who has wor$e uring the -rst two months shall be eeme a regular employee if
training is terminate by the employer before the en of the stipulate perio through no fault of
the learner
Distinctions
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$reliminary Discussions
Employees 0ot 7overe by 8rovisions on Wor$ing 7onitions:
overnment Employees
anagerial Employees
6)cers an members of a managerial sta
2omestic &ervants an 8ersons in the 8ersonal &ervice of Another
Wor$ers 8ai by Results
0on%Agri +iel 8ersonnel
embers of an employerQs +amilyDe"nitions
0ormal hours of wor$ % Eight hours per wor$ ay
Wor$ ay O 9 consecutive%hour perio which commences from the time the employee regularly
starts to wor$
Wor$ wee$ O a wee$ consisting of consecutive wor$ ays beginning at
the same hour an on the same calenar ay each calenar wee$!
$olicies regarding ours of or-
Reuction of eight%hour wor$ing ay is not prohibite, provie there is no reuction in wor$ersQ
pay
8ayment of wages of part%time wor$ers shoul be in proportion only to the hours wor$e!
anagement has the prerogative, whenever exigencies of the service so re(uire, to change thewor$ing hours of its employees!
Wor$ays may be reuce on account of losses where the losses sought to be prevente are
cause by factors outsie of the employerQs control!
Allowe by the 26LE as it is more humane to $eep wor$ers employe rather than cause the
outright termination of their services
Com%ressed Wor- Wee-
&ix%ay wor$ wee$ may be compresse to -ve ays
&ub'ect to conitions impose by the 26LE:
Employees voluntarily agree to wor$ extene hours
0o iminution in ta$e%home pay an fringe bene-ts
Ialue of bene-ts that will accrue to the employees is more than or at least commensurate
with the overtime pay that is ue them
Wor$ oes not involve strenuous physical exertion an with rest perios
"emporary arrangement only, as etermine by 26LE
Eect of reuction of wor$ays on wages an allowances
"he employer may euct the wages an living allowances corresponing to the ays ta$en
o from the wor$ wee$, in the absence of an agreement speci-cally proviing that a
reuction in the number of wor$ays will not aversely aect the remuneration of the
employees!
Situations Contem%lated Witin @ours Wor-edE
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All time uring which an employee is re(uire to be on uty or to be at the employerQs premises or
to be at a prescribe wor$place, an
All time uring which an employee is suere or permitte to wor$
7oee brea$s an rest perios of short uration
Waiting time, if waiting is integral part of employeeQs wor$, or he is engage by employer to wait
&leeping while on uty, if wor$ allows sleeping without interrupting or pre'uicing wor$, or when
there is an express agreement between employer an employee
Employee is re(uire to remain on call in the employerQs premises that he cannot use the time
eectively an gainfully for his own purpose! "raveling
+rom home to wor$ O not compensable
"raveling that is all in a ayQs wor$ O compensable
"ravel away from home O compensable
&eminars, training, meetings, lectures
ust be sanctione by employer to be compensable
7;A 0egotiations or grievance meeting
Meal $eriod
6ne hour time o for regular meals
0ot compensable, except if employee is re(uire to wor$ while eating .even if employer
pays for meal/
*f reuce to less than minutes, consiere as a brea$4 compensable
Employee may o anything he wants, an leave premises provie he returns on time
;igt Sift Di+erential and &(ertime Wor-
0&2:
6" on regular holiay: 8lus BP of .;5Rx/ .Article =9.b//
6" on rest ay an regular holiay: 8lus B of .;5R x !@/
&+setting of Fndertime by &(ertime
*f an employee wor$ for only > hours on any given ay .uner time assuming his regular wor$ing
perio is eight hours aily/, he cannot be compelle to ma$e up for his time e-ciency by re(uiring
him to rener wor$ for an aitional one hour on another ay! Article D> of the Labor 7oe, reas:
#rticle . ;ndertime not oCset b4 oertime.3nertime wor$ on any particular ay shall not be
oset by overtime wor$ on any other ay! x x x
6setting uner%time against overtime woul eprive the employee of the aitional compensation
for the overtime wor$ he has renere! 3nertime is covere only by the regular hourly rate
whereas overtime is sub'ect to aitional overtime rate! *f the two are to be oset, the employee
loses overtime pay to which he is entitle!
*mergency &(ertime Wor-
As a general rule, employees may not be compelle to wor$ in excess of eight hours or to rener
overtime wor$ on any given ay against his will!
"he exception to this rule is foun in Article D= of the Labor 7oe! 3ner the sai article, employeesmay be compelle to perform overtime wor$!
*mergency &(ertime Wor-
7ountry is at war or uner any national or local emergency4
0ecessary to prevent loss of life or property, or in case of imminent anger to public safety4
3rgent wor$ to be performe on machines, etc!, in orer to avoi serious loss or amage to
theemployer4
Wor$ is necessary to prevent loss or amage to perishable goos4
7ompletion or continuation of wor$ is necessary to prevent serious obstruction or pre'uice to the
business4 or
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0ecessary to avail of favorable weather or environmental conitions!
Managerial *m%loyees not *ntitled to &(ertime $ay
Article D: "he provisions of the Labor 7oe on wor$ing conitions an rest perios shall not apply
to managerial employees! "his inclues overtime pay for overtime wor$!
&upervisory employees are consiere as o)cers or members of the managerial sta .for purposes
of LA;6R &"A02AR2&/, an hence are not entitle to overtime, rest ay an holiay pay! . 0atQl
&ugar Re-neries 7orp! vs! 0LR7, !R! 0o! @olidays and S%ecial Days
Republic Act =9= amene &ection @, 7hapter >, ;oo$ * of E6 =, also $nown as theAministrative 7oe of , eclaring certain ays .speci-c or movable/ as special or regular
holiays4
RA =D9=: Eiul Aha shall be celebrate as a national holiay4
1egular @olidays
0ew earQs 2ay
auny "hursay
oo +riay
Araw ng Uagitingan O April =
Labor 2ay O ay