LABOR LAW REVIEWER

SERVICE CHARGES

Art. 96. Service Charges – All service charges collected by hotels, restaurants and similar establishments shall be distributed at the rate of eighty five percent (85%) for all covered employees and fifteen percent (15%) for management. The share of the employees shall be equally distributed among them. In case the service charge is abolished, the share of the covered employees shall be considered integrated in their wages.

-distributed equally regardless of position or employment status.

- distribution shall be done twice a month.

- 15% management share may answer for losses and breakages.

- may also distribute to the managers at the discretion of the management.

13 month pay

- Not a statutory obligation, required by PD 851- Additional income based on wage but is not part of wage- 1/12th of the total basic salary earned by employee within a calendar year- All are entitled to this benefit provided that they have worked for at least one month during the

calendar year- Employee who has resigned were terminated at any time before the time for payment of the

13th Month payment is entitled to this benefit pro rata. (All are entitled to this benefit provided that they have worked for at least one month during the calendar year

- Employee who has resigned were terminated at any time before the time for payment of the 13th Month payment is entitled to this benefit pro rata. (in proportion to the length of time he worked during the year)

Exception- Managerial employee unless established practice of the company- Employers who already paying their employees a 13th Month pay or its equivalent.- Government Employees Remarks/Notes

o Bonus provided in the CBA is meant to be in addition to the legally required 13th Month pay.

o Earnings and other remuneration which are not part of the basic salary shall not be included in the computation of the 13th Month pay.

Commission v. Basic Salary

Wage- paid to any employeeIn terms of MoneyWhich is payable by the employerFor the services rendered or to be render

PRESCRIPTIVE PERIOD FOR MONEY CLAIMS

Art 207. Penal Provisions . –

(b) any person securing entitlement to any benefit or payment under this title, whether for him or for some person, commits fraud, collusion, falsification, misrepresentation of facts or any other anomaly shall be punishable with a fine not less than 500 pesos nor not more than 5,000

(c) Commit by any person who has been employed by the Commission, or recidivist, the imprisonment shall not be less than one (1) year;

-if committed by lawyers, physicians or other professional, shall be disqualified from the practice of his profession;

- if committed by any official, employee or personnel of this commission, shall be dismissed with prejudiced to reemployment if the government services.

ART 291. MONEY CLAIMS

- All money claims arising from employer-employee relations accruing DURING the effectivity of this Code shall be filed within three (3) YEARS FROM THE TIME THE CAUSE OF ACTION ACCRUED; otherwise they shall be forever barred;

- All money claim accruing PRIOR to the effectivity of this Code shall be filed with the appropriate entities established under this Code within one (1) YEAR FROM THE DATE OF EFFECTIVITY, AND SHALL BE PROCESS IN ACCORDANCE WITH THE IRR OF THE CODE; otherwise they shall be forever barred;

- Workermen’s compensation claims accruing PRIOR to the effectivity of this CODE and DURING the period of Nov. 1, 1974 up to Dec 31, 1974, shall be filed within the appropriate offices of DOLE not later that March 31, 1975; otherwise they shall be forever barred.

Remarks:

- Money Claim is considered to be property within the protection of constitutional guarantee of DUE PROCESS OF LAW

- The PRESCRIPTIVE PERIOD for filing of Illegal dismissal complaint is FOUR (4) YEARS and not three.

- Prescription/PRESCRIPTIVE PERIOD refers to the length of time within which an action or complaint can be filed. It fixes a deadline or expiry date. After that date, the complaint cannot be entertained.

- Regarding MONEY CLAIMS, an employee who was illegally dismissed is entitled to recover benefits he lost, such as the value of SIL. The recoverable value of SIL does not have to be limited to 3 years.

ART 292 INSTITUTION OF MONEY CLAIMS

- Money claims shall be filed before the appropriate entity INDEPENDENTLY OF THE CRIMINAL ACTION that may be instituted in the proper courts.

- No civil action arising from the same cause shall be filed with any court.- Not apply to employee compensation cases.

SERVICE INCENTIVE LEAVE

Art 95. Service Incentive Leave –

- Every employee who has rendered atleast one (1) YEAR of service shall be entitle to a yearly service incentive leave of five (5) DAYS with pay.

- Shall not apply to those:o who are already enjoying the benefit herein;o those enjoying vacation leave with pay atleast five (5) days; ando those employed in establishment regularly employing less than 10 employeeso other establishment exempted from granting this benefit by the Secretary of the Labor

- Benefit in excess shall not be made a subject or arbitration or any court or administrative action.

REMARKS:

- No law requires VL or SL to private employees. It depends on the voluntary employer policy or CBA.

- S.I.L is LEGALLY REQUIRED, as well as the PATERNITY LEAVE, MATERNITY LEAVE and PARENTAL LEAVE (Solo Parent Acts).

- Unused SIL at the end of the year should be converted to cash.- Piece-rate employees are entitled to holiday pay, service incentive leave and other specific

benefits.

VISITORIAL POWER

Art 37. Visitorial Power – The Secretary of Labor or his duly authorized representative may, at any time, inspect the premises, books of accounts, and records of any person or entity covered by this title, require it to submit reports regularly on prescribed forms, and act on violations of any provisions of this Title.

Art 128. Visitorial and Enforcement Power

- The Secretary of Labor shall have:o Access to employers records and premises at any time;o To copy therefrom;o To question any employee and investigate any fact, condition r matter which may be

necessary to determine violations.o Power to order stoppage of work or suspension of operations of any unit or department

of an establishment when non compliance which poses grave and imminent danger to the health and safety of workers

o Require employers to keep and maintain such employment recrds as may be necessary in aid of his visitorial and enforcement power under this code.

- The Secretary of Labor shall have: (in cases where EER still exists)o The power to issue compliance orders to give effect to labor legislation based on the

findings of labor employment and enforcement

o Power to issue writs of execution to the appropriate authority for the enforcement of their orders (strictly for inspection)

Art 274. Visitorial Power –

Remarks :

- Request of examination of books of accounts of labor union or organization shall be filed with the Regional Office that issued certificate of registration/ certificate of creation of chartered local

- Request for examination of books of account of federations/national unions and trade unions center shall be filed with the Bureau of Labor Relations.

- Complaint or petition for audit examination of funds and book of accounts shall prescribe within 3 years from the date of submission of the annual financial report to the Department.

- Decision granting the conduct of audit shall include the appointment of the Audit Examiner and the directive to submit report and recommendations within 10 days from termination of audit.

- The decision granting the conduct of audit is interlocutory and shall not be appealable.- The decision denying or dismissing the complaint r petition for audit may be appealed within 10

days from the receipt thereof.

LABOR STANDARDS

II. LEAVES

A. SERVICE INCENTIVE LEAVEB. MATERNITY LEAVE

a. Any employer shall grant t any PREGNANT WOMAN EMPLOYEE, who has rendered an aggregate service of at least six (6) months for the last twelve (12) months, maternity leave of at least (2) weeks prior to the expected date of delivery and another (4) weeks after normal delivery or abortion with full pay based on her regular or average weekly wages. Employer may require a production f a medical certificate stating the delivery will probably take place within two weeks.

b. The maternity leave shall be paid by the employer only for the first four (4) deliviries by a woman employee

Remarks:- RA 8282 (SSS law) provides specific benefits for Maternity leave for a female member who has

paid at least 3 monthly contributions in their 12 month period immediately preceding the semester of her childbirth/miscarriage, shall be entitled for 1 whole salary for 6o days of 78 days for caesarean delivery.

- Requisite:o Employee shall notify her employer of her pregnancy;o Full payment shall be advanced by the employer within 30 days from filing maternity

leave;o Payment of maternity leave is a bar o receive other sickness leave at the same period;o Maternity leave be paid for the 1st 4 deliveries f miscarriage;o SSS shall immediately reimburse the employer of 100% of amount of maternity benefits

C. PATERNITY LEAVE

- As provided under R.A 8187, it grants 7 days of paternity leave with full pay to “married” male employees, provided:

A married employee is employed at the time of the delivery of his child He is cohabitating with hi spouse Has applied the paternity leave; Wife has given birth

D. PATERNAL LEAVE- As provided by the Solo Parent Act (RA 8972) it provides a leave privilege of not more than 7

working days every year to any solo parent who has rendered service for at least 1 year- Applicable for any woman who gives birth as a result of

o Rape;o Widowo Legally separated

E. BATTERED WOMAN LEAVE- As provided by RA 9262 (Anti VAWC Act) it provides a paid leave up to ten (10) days in addition

to other leave. It is extendible when necessity is arises.- It covers the day of medical to seeking legal actions- Not convertible to cash

III WORKERS

A. WOMEN WORKERSa. ACTS OF DISCRIMINATION

i. Payment of lesser compensation to female employee as against a male employee, for equal value of work;

ii. Favoring a male employee over a female with respect to promotion solely on account of sexes.

b. STIPULATION AGAINST MARRIAGEi. Company policy of not accepting a married applicant or to deem resigned upon

marriage of a female employee, is discriminatory and therefore, illegal.c. PROHIBITED ACTS AGAINST WOMEN

i. To deny any woman employee from the enjoyment of her benefits;ii. Discharge such woman on account of her pregnancy;

iii. Discharge or refuse the admission of such woman upon returning for fear that she may again be pregnant

d. CLASSIFICATION OF CERTAIN WOMEN WORKERSi. Woman employee in club, restaurant etc. which is under the effective control or

supervision of the employer for a substantial period of time as determined by the Secretary of labor, is considered as an employee of that establishment.

e. SEXUAL HARRASSMENTi. As provided by the RA 7877, SH victim maybe a male or female.

ii. It is committed when a person demand, request, requires any sexual favour from another.

iii. It maybe an employer, employee, supervisor, agent or any other person with authority.

iv. Valid reason to dismiss. Mala in se.f. PENALTIES and LIABILITIES

i. Not less than 1,000 nor more than 10,ooo and imprisonment of not less than 3 months nor more than 3 years or both

ii. Alien be deported upon completion of sentenceiii. MTCiv. Liability shall be imposed to the guilty officer/officers of the corp.

B. EMPLOYMENT OF MINOR WORKERSa. CHILDREN – Person below 18 years of age or those over but are unable to fully take

care/protect of themselves from abuse, neglect, cruelty, exploitation, discrimination because of their physical, mental disability or condition

b. WORKING CHILD – Any person between 15 and 18 years of age may be employed fr such number of hours and such period of the day as determined by the Secretary of Labor in appropriate regulations

c. PERIOD OF HOURS –i. A child below 15 – not more than 20 hours a week; not more than 4 hours a day

ii. 15 but below 18 – not more than 8 hours a day and in no case beyond 40 a weekiii. No (i) shall work between 8 in the evening til 6 in the morning; No (ii) shall be

allowed to work between 10 in the evening til 6 in the morningd. PROHIBITIONS/EXCEPTION

i. No child below 15 shall be employed, except:1. when he works directly under the sole responsibility of his parents and

his employment does not in any way interfere with the schooling.2. His employment neither endangered his life, safety, health and morals

C. HOUSEHELPERSa. Coverage : all person rendering household service for compensation

i. Household Service – services in the employer’s home which necessary for the maintenance thereof.

b. Contract: Not more than 2 years but may renewc. Minimum Wage: 800,650 and 550 in addition to the lodging, food and medical

attendance. d. Education : for household worker 18 below shall be given an opportunity to study at

least elementary. The cost of such education be part of compensation.e. Treatment : shall be treat in a just and humane mannerf. Illegal termination : paid for compensation already earned plus 16 days by way of

indemnityg. Termination Notice: at least 5 days

D. EMPLOYMENT OF HOMEWORKERS (INDUSTRIAL HOMEWORKERS – FACTORY WORKER)a. shall be regulated by the Government through appropriate regulations issued by the

DOLE

E. HANDICAPPED WORKERSa. Are those earning capacity is impaired by age or physical or mental deficiency or injury.b. Handicapped may be employed when their employment is necessary to prevent

curtailment and does not create unfair competition and labor.c. Employment Agreement:

i. Name and Address of the handicapped worker;ii. Rate to be paid which shall not be less than 75% of MW;

iii. Duration of the working periodiv. The nature of work to be performed.

d. No disabled person shall be denied access to opportunity of suitable employmente. May acquire a status of regular employeef. Eligible for apprenticeship if their disability is not effectively impede the performance

of job