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2016 LABOR LAW MOCK BAR EXAMINATION 8 October 2016
1pm to 5pm
This mock bar examination consists of 21 items in 6 pages. Write your answers in your Bar Examination Notebook in the same order the questions are posed. Write your answers only at the front, not the back, page of every sheet in your Examination Notebook. In your answers, use the numbering system in the questionnaire. If the sheets provided in your Examination Notebook are not sufficient for your answers, use the back pages of every sheet of your Examination Notebook, starting at the back of the first page and the succeeding back pages as may be necessary. Answer the questions questions legibly, clearly, and concisely. Start each number on a separate page. An answer to a sub-question under the same number may be written continuously on the same page and the immediately succeeding pages until completed. Your answer should demonstrate your ability to analyze the facts presented by the question, to select the material from the immaterial facts, and to discern the points upon which the question turns. It should show your knowledge and understanding of the pertinent principles and theories of law involved. It should demonstrate your ability to apply the law to the given facts, and to reason logically in a lawyer-like manner to a sound conclusion from the given premises. A mere "Yes" or "No" answer without any corresponding explanation or discussion will not be given any credit. Thus, always briefly but fully explain your answers although the question does not expressly ask for an explanation. At the same time, remember that a complete explanation does not require that you volunteer information or discuss legal doctrines that are not necessary or pertinent to the solution to the problem. You do not need to to re-write or repeat the question in your Examination Notebook. Make sure you do not write your name or any extraneous notes or distinctive marking/s on your Examination Notebook that can serve as an identifying mark/s (such as names that are not in the given questions, prayers, or private notes to the Examiner). Writing, leaving or making any distinguishing or identifying mark in the Examination Notebook is considered cheating and can disqualify you for the Bar examinations. You can use the questionnaire for outlines/notes you may wish/need to write during the examination.
I Giving in to the demands of various labor federations, the Regional Tripartite Wages and Productivity Board (RTWPB) for the National Capital Region issued a Wage Order giving an across-the-board wage increase of P25 per day for all employees in Metro Manila. Is the Wage Order valid? !"#$%&% ()*+ ,-# ./-0$1-&$)1% $1 2-3)# 2-45 677 #$89&% #:%:#;:< =>?@ 3A !"#$%&% B:;$:4 C:1&:# D1*5 E1-"&9)#$F:< #:G#)<"*&$)1H "%:H )# <$%%:0$1-&$)1 $% %&#$*&7A G#)9$3$&:< -1< %9-77 3: G#)%:*"&:< &) &9: I"77 :/&:1& )I &9: 7-4H $1*7"<$18 -<0$1$%&#-&$;: *)0G7-$1&% 4$&9 4$&9 &9: JII$*: )I &9: &9: ,-# C)1I$<-1&H K"G#:0: C)"#&5 C)"#&5
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II
Mica is a call center agent at ATT & Co. Makati. She was hired as a contractual employee three years ago. Her contracts would be for a duration of four to five months at a time, usually after a one - month interval. Her re-hiring was contingent on her performance for the immediately preceding contract. Five months after the expiration of her last contract, Mica went to the Human Resources Department to inquire why she was not yet being recalled to work. She was told that her performance during her last contract was not satisfactory. Mica filed a case for illegal dismissal. The employer countered that she is not a regular employee but a mere contractual employee. Is Mica a regular employee?
III a) What is overtime? b) Who are entitled to overtime payment? c) Are seafarers entitled to overtime pay? IV
For humanitarian reasons, a bank hired several handicapped workers to count and sort out currencies. Their employment contract was for five (5) months. The bank terminated their employment on the ground that their contract has expired prompting the handicapped workers to file with the Labor Arbiter a complaint for illegal dismissal. a. Will their action prosper? b. Explain the rights of disabled workers under the Magna Carta for the disabled persons.
V
A group of employees in HHO Factory belonging to a religious sect, in conformity with the teachings and dictates of their religion, refused to join the labor union in the factory. The labor union was able to negotiate a substantial wage increase in its collective bargaining agreement with the management. A provision in the CBA stated that the wage increase would be paid to the members of the union only in view of a “closed shop” union security clause in the new agreement. The members of the sect protested and demanded that the wage increase be extended to them. The officers of the union countered by demanding the termination of their employment with the company pursuant to the “closed shop” provision in the CBA. a. Is the CBA provision valid? b. Should the company comply with the union’s demand of terminating the members of the religious sect?
VI
What is wage distortion? Explain the ways to correct wage distortion. !"#$%&% ()*+ ,-# ./-0$1-&$)1% $1 2-3)# 2-45 677 #$89&% #:%:#;:< =>?@ 3A !"#$%&% B:;$:4 C:1&:# D1*5 E1-"&9)#$F:< #:G#)<"*&$)1H "%:H )# <$%%:0$1-&$)1 $% %&#$*&7A G#)9$3$&:< -1< %9-77 3: G#)%:*"&:< &) &9: I"77 :/&:1& )I &9: 7-4H $1*7"<$18 -<0$1$%&#-&$;: *)0G7-$1&% 4$&9 &9: JII$*: )I &9: ,-# C)1I$<-1&H K"G#:0: C)"#&5
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VII
Unicorn Security Services Inc. (USSI) is an independent contractor and security agency which provides guards for Philippine Airlines (PAL). Because of USSI’s breach of the security service agreement, PAL terminated the same after 30-day notice. USSI “as trustee” for its security guards filed an action for recovery of termination pay benefits against PAL before the Labor Arbiter. PAL filed a motion to dismiss on the ground that there is no employer-employee relationship between USSI and its employees on one hand and PAL on the other. The Labor Arbiter did not rule on the motion to dismiss. Later on the Labor Arbiter rendered a decision in favor of USSI. The Labor Arbiter stated that since PAL is an “indirect employer” under Article 107 of the Labor Code, there is an employer -employee relationship between PAL and the security guards. Did the Labor Arbiter have jurisdiction over the case?
VIII
Based on a letter from an anonymous complainant, the Secretary of the Department of Labor and Employment ordered the inspection of Company Bisit. The officer who conducted the inspection found out that Company Bisit had not paid the employees’ salaries for the past three months. On the basis of these findings, the Secretary of Labor ordered the stoppage of work or suspension of operations of Company Bisit, invoking the visitorial and enforcement power under Article 128 of the Labor Code. Is the Secretary’s action correct? Explain.
IX
The Malayang Unyon ng mga Manggagawa at Obrero (MUMO), an independent union filed a petition for registration with the BLR. The management opposed its petition on the ground that MUMO is a leftist organization and always espousing radical ideas. During the pendency of the petition, a certification election was held and MUMO won the election. However, the management refused to bargain with MUMO and instead filed a petition for injunction with the RTC of Manila to enjoin the union from bargaining with the management. MUMO filed a case for damages with the Regional Trial Court contending among others that the refusal of the management to bargain with MUMO constitutes ULP. Identify and resolve all the issues involved in this case.
X
Manny Yiak, a CPA-lawyer and Bank Manager conducted an orientation seminar for newly-hired employees of the bank, among them, Miss Rosa Mariposa who at that time was wearing a skimpy dress. After the seminar, Manny requested Rosa to stay, purportedly to !"#$%&% ()*+ ,-# ./-0$1-&$)1% $1 2-3)# 2-45 677 #$89&% #:%:#;:< =>?@ 3A !"#$%&% B:;$:4 C:1&:# D1*5 E1-"&9)#$F:< #:G#)<"*&$)1H "%:H )# <$%%:0$1-&$)1 $% %&#$*&7A G#)9$3$&:< -1< %9-77 3: G#)%:*"&:< &) &9: I"77 :/&:1& )I &9: 7-4H $1*7"<$18 -<0$1$%&#-&$;: *)0G7-$1&% 4$&9 &9: JII$*: )I &9: ,-# C)1I$<-1&H K"G#:0: C)"#&5
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discuss some work assignment. Left alone in the training room, Manny asked Rosa for her cell phone number and also to go out with him for dinner and ballroom dancing. Thereafter, he persuaded her to accompany him to the mountain Tagaytay. During all these, Manny told Rosa that most, if not all, of the lady supervisors in the bank are promoted to their positions with high salaries and benefits because of his favorable endorsement. Did Manny commit acts of sexual harassment in a work-related or employment environment? Reasons.
XI
Marcia, a forty-five-year-old employee has served her employer for twenty years. Under the CBA, an employee may retire at the age of fifty-five or after completing twenty years of service, whichever comes first. Her employer told her to retire based on the CBA provision and already computed her retirement pay. However, Marcia rejected the offer contending that she is too young to retire and that she would find difficulty looking for another job should she retire at that age. Despite Marcia’s objection, the employer issued a check corresponding to her retirement pay and told her to pack her things and do not report to work anymore. Marcia filed a case for illegal dismissal. Would the case for illegal dismissal prosper under the circumstances?
XII Acme Corporation mortgaged its building to the Bank of the Philippine Archipelago in order to secure a loan of P50,000,000. The building was built by Delta Builders, Inc. using material furnished by Altis Corporation. The contract price for the construction, the price of the materials, and the 6- month’s wages of the workers of Acme are all unpaid. Acme also has unpaid income taxes owing to the BIR. Since Acme failed to pay the loan, the bank foreclosed on the mortgage and the building was sold at the foreclosure sale for P40,000,000 to Value Partners, Ltd. Who would have a right to the P40,000,000? Explain.
XIII
Pabla was a sales representative of Acme Marketing Corporation. She obtained loans and cash advances from the company. Later she was dismissed for gross inefficiency. Pabla filed an illegal dismissal case against the company with the Labor Arbiter. While the labor case was pending, the company filed a suit with the RTC to collect the loans from Pabla. Pabla filed a motion to dismiss for lack of jurisdiction, contending that it is the labor arbiter which has jurisdiction over claims arising from employer-employee relations. How should the RTC rule on the motion to dismiss?
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XIV
Respondent was directly hired while on tourist status by the PNB Branch in Singapore. She was subsequently dismissed by the head of the PNB Singapore Branch without notice and hearing. Back in the Philippines, she filed an illegal dismissal case against the PNB with the Regional Arbitration Branch of Quezon City where she resides. It is contended that the RAB has no jurisdiction over the complaint since Respondent was hired in Singapore and thus governed by Singaporean law. Does the Labor Arbiter have jurisdiction over the complaint for illegal dismissal? XV
The CBA between the company and the contracting union stipulated that all labor disputes must be submitted to the grievance procedure in the CBA and thereafter to voluntary arbitration. Alleging illegal termination of employment, Magno filed a case for illegal dismissal with the Labor Arbiter. The employer countered that the case must be dismissed for failure of Magno to submit his case to the grievance machinery and voluntary arbitration. If you were the Labor Arbiter what would you do?
XVI
On orders of his supervisor Nica worked on November 1, a Saturday which was also her rest day. If her income for eight hours is P490.00, how much would she receive for working for that particular day?
XVII
The existing CBA between PINAGKAISAHAN Labor Union and Ultra Company is now on its sixth year. The CBA started on October 1, 2009 and originally had a four (4)-year period. Before the expiration of the CBA on September 30, 2013, the parties decided to extend the term of the CBA for two (2) more years, until September 2015. The CBA (including the extension) has been registered with the DOLE. On September 1, 2015, NAISAHAN Union filed a Petition for Certification Election, challenging the status of PINAGKAISAHAN as the sole and exclusive bargaining representative. Should NAISAHAN’s Petition for Certification Election be entertained? Explain.
XVIII
MINI was recently organized as a local chapter of MAXI federation. MAXI issued the charter certificate on September 9, 2015. Since the union has a membership base of more than eigh ty percent of the 300 rank and file employees of the company, MINI’s officers and members are very eager to act as organized workers. They want to immediately file a Petition for Certification Election on Monday, September 28 th, and to file a Notice of Strike for !"#$%&% ()*+ ,-# ./-0$1-&$)1% $1 2-3)# 2-45 677 #$89&% #:%:#;:< =>?@ 3A !"#$%&% B:;$:4 C:1&:# D1*5 E1-"&9)#$F:< #:G#)<"*&$)1H "%:H )# <$%%:0$1-&$)1 $% %&#$*&7A G#)9$3$&:< -1< %9-77 3: G#)%:*"&:< &) &9: I"77 :/&:1& )I &9: 7-4H $1*7"<$18 -<0$1$%&#-&$;: *)0G7-$1&% 4$&9 &9: JII$*: )I &9: ,-# C)1I$<-1&H K"G#:0: C)"#&5
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Unfair Labor Practices, within the same week, if necessary, if the employer will initiate harassment acts upon discovery of the union’s establishment, and the filing of the Petition for Certification Election. Can MINI legally do these actions? Explain. XIX
XYZ Potato Corporation, owned and operated by three elderly brothers and two sisters, has been in business for 40 years. Due to serious business losses and financial reverses during the last five years, they decided to close the business. a) As counsel for the corporation, what steps will you take prior to its closure? b) Are the employees entitled to separation pay? c) If the reason for the closure is due to the old age of the brothers and sisters, is the closure allowed by law?
XX
Arkady is a medical representative of Wellfit Pharmaceuticals, Inc. The employment contract he signed with Wellfit contains the following stipulation: You agree to disclose to management any existing or future relationship you may have, either by consanguinity or affinity, with co-employees or employees of competing drug companies. Should it pose a possible conflict of interest in management discretion, you agree to resign voluntarily from the Company as a matter of Company policy.
Later Arkady met and fell in love with Olga, a medical representative of Saxon Drug Corporation, a competing drug company. Arkady disclosed the relationship and eventual marriage to Wellfit. Wellfit, invoking the above provision, asked Arkady to resign or to have his wife resign. Arkady refused to do so. After due proceedings, Arkady was dismissed on the ground of conflict of interest. Was Arkady ’s dismissal on such ground proper? Explain.
XXI
Negotiations between Bank of the Philippine Archipelago, the Philippines’ largest bank, and its union collapsed after the parties were unable to agree upon the terms of the proposed salary increase. Reliable reports indicate that there is a great likelihood that the union will declare a strike. Acting on such reports, the Secretary of Labor assumed jurisdiction over the labor dispute. Did the Secretary of Labor act properly in assuming jurisdiction over the labor dispute? Explain.
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