LABOR RELATIONS BOOK FIVE LABOR RELATIONS Title I POLICY AND DEFINITIONS Chapter I POLICY Art. 211. Declara! " Plic#. A. It is the policy of the State: a. To promote and emphasize the primacy of free free colle collec ce e !ar" !ar"ain ainin" in" and and ne"oa ne"oaon ons# s# incl$din" ol$ntary ar!itraon# mediaon and conc concil ilia iao on# n# as mode modess of se%l se%lin in" " la!o la!orr or ind$strial disp$tes&
!. To prom promot ote e free free trad trade e $nio $nioni nism sm as an instr$ment for the enhancement of democracy and and the the prom promo oon on of soci social al '$s '$sce ce and and deelopment& c. To foster the free and ol$ntary or"anizaon of a stron" and $nited la!or moement& d. To promote promote the enli"hte enli"htenmen nmentt of (or)ers (or)ers concernin" their ri"hts and o!li"aons as $nion mem!ers and as employees& e. To pro proid ide e an ade* ade*$a $ate te admi admini nist strrae ae machi machiner nery y for for the e+ped e+pedio io$s $s se%lem se%lement ent of la!or or ind$strial disp$tes& f. To ens$re ens$re a sta!l sta!le e !$t dynamic dynamic and '$st '$st ind$strial peace& and ". To ens$r ens$re e the parc parcipa ipao on n of (or) (or)er erss in decision and policy,ma)in" processes a-ecn" their ri"hts# d$es and (elfare. B. To enco$ra"e a tr$ly democrac method of re"$lan" the relaons !et(een the employers and employees !y mean meanss of a"re a"reem emen ents ts free freely ly ente entere red d into into thro thro$" $"h h collece !ar"ainin"# no co$rt or administrae a"ency or ocial shall hae the po(er to set or /+ (a"es# rates of pay# ho$rs of (or) or other terms and condions of employm employment# ent# e+cept e+cept as other(ise other(ise proide proided d $nder $nder this 0ode. 1As amended !y Secon 2# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<<
=La!or =La!or Relao Relaons> ns> refers refers to the intera interacon conss !et(een !et(een employer and employees or their representaes and the mechanism !y (hich the standards and other terms and condions of employment are ne"oated# ad'$sted and enforced. The "oernment la!or relaons policy is declared in Art. 855 (hich is a foc$sed ela!oraon of the !asic la!or policy policy anno$nce anno$nced d in Art.2 Art.2 (hich# (hich# in t$rn# t$rn# echoe echoess the const$ const$onal onal mandate mandates. s. The policy policy intends intends to a%a a%ain in social '$sce thro$"h ind$strial peace and pro"ress. The la%er is fo$nded on employee parcipaon and collece inter interac acon onss !et( !et(een een emplo employe yerr and and emplo employe yees. es. In 7ana"ement parlance# the inp$t is the pares? ri"hts and d$es# the process is (or)er?s or"anizaon and collece !ar"a !ar"aini inin"# n"# and the o$tp$t o$tp$t is ind$st ind$stria riall peace peace and pro"ress to(ards social '$sce as the end "oal. @or) stoppa"e stoppa"e)no )no(n (n as =stri) =stri)e> e> !y employe employees es or =loc)o$t> !y the employeris not fao$red in la(. It is reco reco"ni "nize zed d as a le"al le"al ri"ht ri"ht !$t re"$la re"$late ted d as to the p$rpos p$rpose e and manne mannerr of doin" doin" it. eia eiao on n from from the mandatory mandatory re*$irements re*$irements has aderse aderse conse*$ences to the iolator iolators. s. @or) @or) stoppa"e stoppa"e## !eca$se !eca$se it is co$nter co$nter,, prod$ce# prod$ce# is and has to !e considered a meas$re of last resort. The principle !ehind la!or $nionism in priate ind$stry is that that ind$ ind$st stri rial al peac peace e cann cannot ot !e sec$ sec$re red d thro thro$" $"h h comp$lsion !y la(. la(. Relaons Relaons !et(een priate employers and their employees employees rest rest on an essenall essenally y ol$ntar ol$ntary y !asis. !asis. S$!'ect S$!'ect to the minim$m minim$m re*$iremen re*$irements ts of (a"e (a"e la(s and other la!or and (elfare le"islaon# the terms and condions of employment in the $nionized priate sector sector are are se%led se%led thro$" thro$"h h the proce process ss of colle collec ce e !ar"ainin". Beca$se la!or relaons are primarily =domesc# =domesc#>> third pares# een the Coernment# shy a(ay from meddlin"# as m$ch as it can !e helped. This is (hy an in,ho$se pro!lem solin" str$ct$re# str$ct$re# called "rieance machinery# machinery# is a re*$irement in 0BAs. If this machinery fails# the pares thems themsel eles es are are free free to select select any any third third party party## calle called d ol$ntary ar!itrator# to resole their di-erences. The la(s# as a force that !alances the pares? ri"hts and o!li"ao o!li"aons# ns# are admi%ed admi%edly ly necessary necessary in the ind$strial ind$strial 5 seDn". 5
1. OVERVIE$ AND VIE$POINT
=La!or =La!or Standard Standards> s> refers refers to the minim$m terms and condions of employment (hich employees are le"ally entled to and employers m$st comply (ith.
Art. 54. The relaons !et(een capital and la!or are not merely contract contract$al. $al. They are so impressed impressed (ith p$!lic p$!lic interest interest that la!or contracts m$st yield to the common "ood. Art. 59. Eery person m$st# in the e+ercise of his ri"hts and in the performance of his d$es# act (ith '$sce# "ie eeryone his d$e# and o!sere honesty and "ood faith.
Az$cena# 0esario Alero Fr. Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
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2. $ORKERS% OR&ANI'ATION
A la!or la!or or trade trade $nion is a com! com!ina inaon on of (or)m (or)men en or"anized for the $lmate p$rpose of sec$rin" thro$"h $nited acon the most fao$ra!le condions as re"ards (a"es# ho$rs of la!or# condions of employment# etc.# for its mem!ers. In the pop$lar sense a la!or $nion is $nderstood to !e a complet completely ely or"aniz or"anized ed !ody of d$es,pa d$es,payin" yin" mem!ers mem!ers## operan" operan" thro$"h thro$"h elected elected ocers ocers and const$ const$n" n" a militant# ital and f$nconin" or"an. It may !e said that (hile eery la!or $nion is a la!or or"anizaon# not eery la!or or"anizaon is a la!or $nion. The di-erence is one of or"anizaon# composion and operaon. (. $)Y $ORKERS OR&ANI'E
Self,help thro$"h economic acon necessarily re*$ires increasin increasin" " the !ar"ai !ar"ainin" nin" po(er po(er of employe employees& es& hence hence one of the !asic p$rposes of a la!or $nion is to eliminate compeon amon" employees in the la!or mar)et. Three other h$man desires sho$ld !e noted amon" the forces that led (or)ers to or"anize: 15; One is the desire for 'o! sec$rity. 18; Employees (ished to s$!st$te (hat (e sho$ld term =the r$le of la(> for the ar!itrary and oKen capricio$s e+ercise of po(er !y the !oss. 12; inally# $nions helped to "ie employees a sense of parcipaon in the !$siness enterprises of (hich they are are part parta a f$nc f$ncon on of la!or la!or $nions $nions (hich (hich !ecam !ecame e important as or"anizaons spread into mass prod$con ind$stries. The The $nio $nion n is the the reco reco"n "niz ized ed inst instr$ r$me ment ntal alit ity y and and mo$thpiece of the la!orers. *. ILO CONVENTION NO. +, <<<<<<<< Chapter II DEFINITIONS Art. 212. De-!i!. a. M0ommiss M0ommissionM ionM means means the Naonal Naonal La!or Relao Relaons ns 0ommission or any of its diisions# as the case may !e# as proided $nder this 0ode.
!. MB$rea$M means the B$rea$ of La!or Relaons andor the La!or La!or Rela Relaons ons iisi iisions ons in the re"io re"ional nal oces oces
LABOR RELATIONS esta esta!li !lishe shed d $nder $nder resi residen dena all ecre ecree e No. 5# in the epartment of La!or. c. MBoa MBoarrdM mean meanss the the Nao Naona nall 0onc 0oncil ilia iao on n and and 7ediaon Board esta!lished $nder E+ec$e Order No. 583. d. M0o$ncilM means the Triparte Gol$ntary Ar!itraon Adisory 0o$ncil esta!lished $nder E+ec$e Order No. 583# as amended. e. MEmployerM incl$des any person acn" in the interest of an employer# directly or indirectly. The term shall not incl$de any la!or or"anizaon or any of its ocers or a"ents e+cept (hen acn" as employer. f. MEmployeeM incl$des any person in the employ of an employer. The term shall not !e limited to the employees of a parc$lar employer# $nless the 0ode so e+plicitly state states. s. It shall shall incl$de incl$de any indiid$al indiid$al (hose (or) has ceased as a res$lt of or in connecon (ith any c$rrent la!or disp$te or !eca$se of any $nfair la!or pracce pracce if he has not o!tained any other s$!stanally e*$ialent and re"$lar employment. ". MLa!or or"anizaonM means any $nion or associaon of emplo employe yees es (hich (hich e+is e+ists ts in (hole (hole or in part part for for the p$rpos p$rpose e of colle collec ce e !ar"a !ar"aini inin" n" or of dealin dealin" " (ith (ith empl employ oyer erss conce oncern rnin in" " term termss and and condi ondio ons ns of employment. h. MLe"i MLe"ima mate te la!or la!or or"ani or"aniza zao onM nM means means any any la!or la!or or"aniz or"anizao aon n d$ly re"ist re"istered ered (ith the epartme epartment nt of La!or and Employment# and incl$des any !ranch or local thereof. i. M0ompany $nionM means any la!or or"anizaon (hose formaon# f$ncon or administraon has !een assisted !y any act de/ned as $nfair la!or pracce !y this 0ode. '. MBar"ainin" MBar"ainin" representaeM representaeM means a le"imate le"imate la!or or"anizaon (hether or not employed !y the employer. ). Mnfair la!or pracceM pracceM means any $nfair la!or pracce as e+pressly de/ned !y the 0ode. l. MLa!or MLa!or disp$teM disp$teM incl$des incl$des any controer controersy sy or ma%er ma%er concernin" terms and condions of employment or the associaon or representaon of persons in ne"oan"# /+in"# maintainin"# chan"in" or arran"in" the terms and condio condions ns of employm employment# ent# re"ardl re"ardless ess of (hether (hether the disp$tants stand in the pro+imate relaon of employer and employee. m. M7ana"erial employeeM is one (ho is ested (ith the po(e po(ers rs or prer prero" o"a ae ess to lay lay do(n do(n and and e+ec e+ec$t $te e
Az$cena# 0esario Alero Fr. Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
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2. $ORKERS% OR&ANI'ATION
A la!or la!or or trade trade $nion is a com! com!ina inaon on of (or)m (or)men en or"anized for the $lmate p$rpose of sec$rin" thro$"h $nited acon the most fao$ra!le condions as re"ards (a"es# ho$rs of la!or# condions of employment# etc.# for its mem!ers. In the pop$lar sense a la!or $nion is $nderstood to !e a complet completely ely or"aniz or"anized ed !ody of d$es,pa d$es,payin" yin" mem!ers mem!ers## operan" operan" thro$"h thro$"h elected elected ocers ocers and const$ const$n" n" a militant# ital and f$nconin" or"an. It may !e said that (hile eery la!or $nion is a la!or or"anizaon# not eery la!or or"anizaon is a la!or $nion. The di-erence is one of or"anizaon# composion and operaon. (. $)Y $ORKERS OR&ANI'E
Self,help thro$"h economic acon necessarily re*$ires increasin increasin" " the !ar"ai !ar"ainin" nin" po(er po(er of employe employees& es& hence hence one of the !asic p$rposes of a la!or $nion is to eliminate compeon amon" employees in the la!or mar)et. Three other h$man desires sho$ld !e noted amon" the forces that led (or)ers to or"anize: 15; One is the desire for 'o! sec$rity. 18; Employees (ished to s$!st$te (hat (e sho$ld term =the r$le of la(> for the ar!itrary and oKen capricio$s e+ercise of po(er !y the !oss. 12; inally# $nions helped to "ie employees a sense of parcipaon in the !$siness enterprises of (hich they are are part parta a f$nc f$ncon on of la!or la!or $nions $nions (hich (hich !ecam !ecame e important as or"anizaons spread into mass prod$con ind$stries. The The $nio $nion n is the the reco reco"n "niz ized ed inst instr$ r$me ment ntal alit ity y and and mo$thpiece of the la!orers. *. ILO CONVENTION NO. +, <<<<<<<< Chapter II DEFINITIONS Art. 212. De-!i!. a. M0ommiss M0ommissionM ionM means means the Naonal Naonal La!or Relao Relaons ns 0ommission or any of its diisions# as the case may !e# as proided $nder this 0ode.
!. MB$rea$M means the B$rea$ of La!or Relaons andor the La!or La!or Rela Relaons ons iisi iisions ons in the re"io re"ional nal oces oces
LABOR RELATIONS esta esta!li !lishe shed d $nder $nder resi residen dena all ecre ecree e No. 5# in the epartment of La!or. c. MBoa MBoarrdM mean meanss the the Nao Naona nall 0onc 0oncil ilia iao on n and and 7ediaon Board esta!lished $nder E+ec$e Order No. 583. d. M0o$ncilM means the Triparte Gol$ntary Ar!itraon Adisory 0o$ncil esta!lished $nder E+ec$e Order No. 583# as amended. e. MEmployerM incl$des any person acn" in the interest of an employer# directly or indirectly. The term shall not incl$de any la!or or"anizaon or any of its ocers or a"ents e+cept (hen acn" as employer. f. MEmployeeM incl$des any person in the employ of an employer. The term shall not !e limited to the employees of a parc$lar employer# $nless the 0ode so e+plicitly state states. s. It shall shall incl$de incl$de any indiid$al indiid$al (hose (or) has ceased as a res$lt of or in connecon (ith any c$rrent la!or disp$te or !eca$se of any $nfair la!or pracce pracce if he has not o!tained any other s$!stanally e*$ialent and re"$lar employment. ". MLa!or or"anizaonM means any $nion or associaon of emplo employe yees es (hich (hich e+is e+ists ts in (hole (hole or in part part for for the p$rpos p$rpose e of colle collec ce e !ar"a !ar"aini inin" n" or of dealin dealin" " (ith (ith empl employ oyer erss conce oncern rnin in" " term termss and and condi ondio ons ns of employment. h. MLe"i MLe"ima mate te la!or la!or or"ani or"aniza zao onM nM means means any any la!or la!or or"aniz or"anizao aon n d$ly re"ist re"istered ered (ith the epartme epartment nt of La!or and Employment# and incl$des any !ranch or local thereof. i. M0ompany $nionM means any la!or or"anizaon (hose formaon# f$ncon or administraon has !een assisted !y any act de/ned as $nfair la!or pracce !y this 0ode. '. MBar"ainin" MBar"ainin" representaeM representaeM means a le"imate le"imate la!or or"anizaon (hether or not employed !y the employer. ). Mnfair la!or pracceM pracceM means any $nfair la!or pracce as e+pressly de/ned !y the 0ode. l. MLa!or MLa!or disp$teM disp$teM incl$des incl$des any controer controersy sy or ma%er ma%er concernin" terms and condions of employment or the associaon or representaon of persons in ne"oan"# /+in"# maintainin"# chan"in" or arran"in" the terms and condio condions ns of employm employment# ent# re"ardl re"ardless ess of (hether (hether the disp$tants stand in the pro+imate relaon of employer and employee. m. M7ana"erial employeeM is one (ho is ested (ith the po(e po(ers rs or prer prero" o"a ae ess to lay lay do(n do(n and and e+ec e+ec$t $te e
Az$cena# 0esario Alero Fr. Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
8J L A T O N
mana"ement policies andor to hire# transfer# s$spend# lay,o-# recall# dischar"e# assi"n or discipline employees. S$perisory employees are those (ho# in the interest of the employer# employer# e-ecely e-ecely recommend s$ch mana"erial mana"erial acons if the e+ercise of s$ch a$thority is not merely ro$nary or clerical in nat$re !$t re*$ires the $se of independent '$d"ment. All employees not fallin" (ithin any of the a!oe de/nions are considered ran),and,/le employees employees for p$rposes of this Boo). n. MGol$ntary Ar!itratorM means any person accredited !y the Board as s$ch or any person named or desi"nated in the 0ollece Bar"ainin" A"reement A"reement !y the pares to act as their their Gol$nt ol$ntary ary Ar!itr Ar!itrat ator or## or one chose chosen n (ith (ith or (itho$t the assistance of the Naonal 0onciliaon and 7edia 7ediao on n Board Board## p$rs$a p$rs$ant nt to a selec selecon on proce proced$r d$re e a"reed $pon in the 0ollece Bar"ainin" A"reement# or any ocial that may !e a$thorized !y the Secretary of La!or La!or and Employm Employment ent to act as Gol$nt Gol$ntary ary Ar!itra Ar!itrator tor $pon the (ri%en re*$est and a"reement of the pares to a la!or disp$te. o. MStri)eM means any temporary stoppa"e of (or) !y the concerted concerted acon of employees employees as a res$lt of an ind$strial or la!or disp$te. p. MLoc MLoc) )o$tM o$tM mean meanss any any temp tempor orar ary y ref$ ref$sa sall of an employer to f$rnish (or) as a res$lt of an ind$strial or la!or disp$te. *. MInt MIntern ernal al $nion $nion disp$t disp$teM eM incl$d incl$des es all disp$t disp$tes es or "rieances arisin" from any iolaon of or disa"reement oer any proision of the const$on and !y,la(s of a $nion# incl$din" any iolaon of the ri"hts and condions of $nion mem!ership proided for in this 0ode. r. MStri)e MStri)e,!re ,!rea) a)erM erM means means any person person (ho o!str$ct o!str$cts# s# impedes# or interferes (ith !y force# iolence# coercion# threats# or inmidaon any peacef$l pic)en" a-ecn" (a"es# ho$rs or condions of (or) or in the e+ercise of the ri"ht of self,or"anizaon or collece !ar"ainin". s. MStri) MStri)e e areaM areaM means means the esta!lis esta!lishmen hment# t# (areho$s (areho$ses# es# depots# plants or oces# incl$din" the sites or premises $sed as r$na(ay shops# of the employer str$c) a"ainst# as (ell (ell as the the imme immedi diat ate e ici icini nity ty act$ act$al ally ly $sed $sed !y pic)en" pic)en" stri)ers in moin" to and fro !efore all points of entr entran ance ce to and and e+it e+it from from said said esta esta!l !lis ishm hmen ent. t. 1As 1As amended !y Secon P# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< 1. E/PLOYER0E/PLOYEE RELATIONS)IP ESSENTIAL
LABOR RELATIONS The e+istenc e+istence e of employe employer,e r,emplo mployee yee relaons relaonship# hip# as e+plained in Boo) III# is determined !y the presence of the follo(in" elements# namely: 1a; selecon and en"a"ement of the employee& 1!; payment of (a"es& 1c; po(er to dismiss& and 1d; po(er to control the employee?s cond$ct. The fo$rth is the most important element. 2. $)O ARE E/PLOYEES
The term =employee>: 15; shall incl$de any employee 18; 18; and shall shall not !e limit limited ed to the employ employee ee of any any parc$la parc$larr employe employerr# $nless $nless the Act so e+plicitl e+plicitly y states states other(ise 12; and shall incl$de any indiid$al 1a; (hose (or) has ceased as a res$lt of# or in connecon (ith any c$rrent la!or disp$te 1!; 1!; and and (ho (ho has has not not o!ta o!tain ined ed any any othe otherr s$!stanally e*$ialent and re"$lar employment. =Emp =Emplo loye yee> e> ref refers ers to any any pers person on (or) (or)in in" " for for an emplo employe yerr. It incl$d incl$des es one (hose (hose (or) (or) has cease ceased d in connecon (ith any c$rrent la!or disp$te or !eca$se of any any $nf $nfair air la!o la!orr prac pracc ce e and and one one (ho (ho has has !een !een dismissed from (or) !$t the le"ality of the dismissal is !ein" contested in a for$m of appropriate '$risdicon. =Employer> refers to any person or enty (ho employs the serices of others# one for (hom employees (or) and and (ho pays their their (a"es (a"es or salari salaries. es. An emplo employe yerr incl$des any person directly or indirectly acn" in the inte intere rest st of an empl employ oyer er.. It shal shalll also also refe referr to the the enterprise (here a la!or or"anizaon operates or see)s to operate. An empl employ oyer er may may !e !ro$ !ro$"h "htt into into !ar" !ar"ai aini nin" n" and and economic economic relaonshi relaonship p (ith persons not in his act$al act$al employ& s$ch persons are "ien the stat$s and "hts of =employees> in relaon to him# in order to accord to them the protecon of the Act. Th$s# The nat$re of a =la!or =la!or disp$te> disp$te> does not re*$ire re*$ire that the disp$tan disp$tants ts sho$ld stand in the pro+imate relaon of employer and employe employee# e# (ith conse*$en conse*$entt proteco protecon n of concert concerted ed
Az$cena# 0esario Alero Fr. Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
2J L A T O N
LABOR RELATIONS ac acie iess carri carried ed o$t !y many many person personss !elon" !elon"in" in" to seeral employers.
A. La!or Standards isp$tes: 15; 0ompensaon 1$nderpayment of minim$m (a"e;
8.5 =One (hose (or) has ceased...> 18; Bene/ts 1nonpayment of holiday pay; 0essaon of (or) d$e to stri)e stri)e or loc)o$t# loc)o$t# or to dismissal or s$spensions const$n" $nfair la!or pracces# does not in itself a-ect the =employee> stat$s# in the sense that that the the ri"h ri"hts ts and and !ene !ene/t /tss of the the empl employ oyee ee are are protected as tho$"h there had !een no interr$pon of serice# e-ece $pon act$al ret$rn to (or). (. LABOR OR&ANI'ATION AS E/PLOYER
E+ceponally# a la!or or"anizaon may !e deemed an =empl employ oyer> er> (hen (hen it is acn acn" " as s$ch s$ch in rela relao on n to persons persons renderin" renderin" serices serices $nder $nder hire# hire# parc$la parc$larly rly in connecon (ith its acies for pro/t or "ain.
12; @or)in" condions 1$nrec/ed (or) hazards; B. La!or Relaons isp$tes: 15; Or"anizaonal Ri"ht isp$te L 1coercion; 18; 18; Repre eprese sent nta aon on isp isp$t $tes es 1det 1deter ermi mina nao on n appropriate collece !ar"ainin" $nit;
of
12; Bar"ainin" isp$tes 1ref$sal to !ar"ain; 1P; 0ontract Administraon or ersonnel olicy isp$tes 1noncompliance 1noncompliance (ith 0BA 0BA proision; proision;
*. LABOR DISPTE
The test of (hether a la!or controersy controersy comes (ithin the de/ni de/nion on of a la!or la!or disp$t disp$te e depend dependss on (hethe (hetherr it inoles or concerns terms# condions of employment or representaon. The e+istence of a la!or disp$te is not ne"ae !y the fact that the plain-s and defendants defendants do not stand in the pro+imate relaon of employer and employee. . LABOR DISPTES AND RE/EDIES3 A S//ARY S//ARY
6.5 e/nion =La!or =La!or isp$t isp$te> e> incl$d incl$des es any any contr contro oer ersy sy or ma%e ma%err concernin" terms and condions of employment or the associaon or representaon of persons in ne"oan"# /+in"# maintainin"# chan"in" or arran"in" the terms and condion condionss of employme employment# nt# re"ardl re"ardless ess of (hether (hether the disp$tants stand in the pro+imate relaon of employer and employee. 6.8 Tests or 0riteria of =La!or isp$te> A. Nat$r Nat$re: e: isp$t isp$te e arises arises from from emplo employe yer, r,emp employ loyee ee rela elaons onshi hip# p# alth altho$ o$"h "h disp disp$t $tan ants ts need need not not !e pro+imately =employee> or =employer> of the other. B. S$!' S$!'ec ectt ma%e ma%er: r: isp isp$t $te e conc concer erns ns 15; 15; term termss or cond condi ion onss of empl employ oyme ment nt&& or 18; 18; asso associ cia aon on or repr repres esen enta tao on n of pers person onss in ne"o ne"oa an n"# "# /+in /+in"# "# main mainta tain inin in"# "# or chan chan"i "in" n" term termss or cond condi ion onss of employment. 6.2 Qinds of La!or isp$tes
16; Employment Ten$re isp$tes 1nonre"$larizaon of employees; 6.P Remedies in La!or isp$tes 1SEE TABLE 1; <<<<<<<< Title II NATIONAL LABOR RELATIONS CO//ISSION Chapter I CREATION AND CO/POSITION
Art. 852. Naonal La!or La!or Relaon Relaonss 0ommissio 0ommission. n. There There shall !e a Naonal La!or Relaons 0ommission (hich shal shalll !e a%ac a%ache hed d to the the epa epart rtme ment nt of La!o La!orr and and Employment for pro"ram and policy coordinaon only# composed of a 0hairman and fo$rteen 15P; 7em!ers. ie 16; mem!ers each shall !e chosen from amon" the nominees of the (or)ers and employers or"anizaons# respec respecely ely.. The 0hairma 0hairman n and the fo$r 1P; remainin remainin" " mem!ers mem!ers shall come come from from the p$!lic p$!lic sector sector## (ith the la%er to !e chosen from amon" the recommendees of the Secretary of La!or and Employment. Employment. pon ass$mpon into oce# the mem!ers nominated !y the (or)ers (or)ers and employe employers rs or"aniz or"anizao aons ns shall shall diest diest thems themsel eles es of any any alia aliaon on (ith (ith or inter interes estt in the federaon or associaon to (hich they !elon". The 0ommission may sit en !anc or in /e 16; diisions# each composed composed of three three 12; mem!ers. mem!ers. S$!'ect S$!'ect to the pen$lmate sentence of this para"raph# the 0ommission shall sit en !anc only for p$rposes of prom$l"an" r$les and re"$laons "oernin" the hearin" and disposion of cases !efore any of its diisions and re"ional !ranches#
Az$cena# 0esario Alero Fr. Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
PJ L A T O N
and form$lan" policies a-ecn" its administraon and oper opera aon ons. s. The The 0omm 0ommis issi sion on shal shalll e+erci ercise se its its ad'$dicatory and all other po(ers# f$ncons# and d$es thro$"h its diisions. Of the /e 16; diisions# the /rst# second and third diisions shall handle cases comin" from the Naonal 0apital Re"ion and the parts of L$zon& and the fo$rth and /Kh diisions# cases from the Gisayas and 7indanao# respecely& respecely& roided that the 0ommission siDn" en !anc may# on temporary or emer"ency !asis# allo( cases (ithin the '$risdicon of any diision to !e heard and decided !y any other diision (hose doc)et allo(s the addional (or)load and s$ch transfer (ill not e+pose li"ants to $nnecessary addional e+pense. The dii diisi sion onss of the the 0omm 0ommis issi sion on shal shalll hae hae e+cl e+cl$s $si ie e appellate '$risdicon oer cases (ithin their respece territorial '$risdicons. As amended !y Rep$!lic Act No. 44. The conc$rrence of t(o 18; 0ommissioners of a diision shall !e necessary for the prono$ncement of '$d"ment or resol resol$ $on. on. @hene @heneer er the re*$i re*$ire red d mem!e mem!ers rship hip in a diision is not complete and the conc$rrence of t(o 18; commiss commissioner ionerss to arrie arrie at a '$d"ment '$d"ment or resol$o resol$on n cannot !e o!tained# the 0hairman shall desi"nate s$ch n$m!er n$m!er of addiona addionall 0ommissio 0ommissioners ners from the other other diisions as may !e necessary. The concl$sions of a diision on any case s$!mi%ed to it for decision shall !e reached in cons$ltaon !efore the case is assi"ned to a mem!er for the (rin" of the opinion. It shall !e mandatory mandatory for the diision to meet for p$rp p$rpos oses es of the the cons cons$l $lta tao on n orda ordain ined ed here herein in.. A cer cer/c /ca aon on to this this e-ec e-ectt si"n si"ned ed !y the the res resid idin in" " 0ommissioner of the diision shall !e iss$ed and a copy thereof a%ached to the record of the case and sered $pon the pares. The 0hairman shall !e the residin" 0ommissioner of the /rst diision and the fo$r 1P; other mem!ers from the p$!lic sector shall !e the residin" 0ommissioners 0ommissioners of the second# third# fo$rth and /Kh diisions# respecely. In case case of the the e-ec e-ec e e a!se a!senc nce e or inca incapa paci city ty of the the 0hairma 0hairman# n# the residin residin" " 0ommissio 0ommissioner ner of the second second diision shall !e the Acn" 0hairman. The 0hairm 0hairman# an# aided !y the E+ec E+ec$ $e e 0ler) 0ler) of the 0ommission# shall hae administrae s$perision oer the 0ommis 0ommissio sion n and and its re"io re"ional nal !ranc !ranches hes and all its personnel personnel## incl$din" incl$din" the E+ec$ E+ec$e e La!or Ar!iters Ar!iters and La!or Ar!iters. The 0ommission# (hen siDn" en !anc shall !e assisted !y the same E+ec$e 0ler) and# (hen acn" thr$ its iisions# !y said E+ec$e 0ler)s for the second# third# fo$rt o$rth h and and /Kh ii iisi sion ons# s# resp respec ec el ely y# in the the performance of s$ch similar or e*$ialent f$ncons and
LABOR RELATIONS d$es as are dischar"ed !y the 0ler) of 0o$rt and ep$ty 0ler)s of 0o$rt of the 0o$rt of Appeals. 1As amended !y Secon 6# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< Art. Art. 85P. 85P. Uead Uead*$ *$ar arte ters rs## Bran Branch ches es and and ro roin inci cial al E+tension nits. The 0ommission and its irst# Second and and Thir Third d dii diisi sion onss shal shalll hae hae thei theirr main main oce ocess in 7etropolitan 7anila# and the o$rth and iKh diisions in the 0ies of 0e!$ and 0a"ayan de Oro# respecely. The The 0omm 0ommis issi sion on shal shalll esta esta!l !lis ish h as many many re"i re"ion onal al !ranches as there are re"ional oces of the epartment of La!or La!or and Emplo Employm yment ent## s$!,re s$!,re"io "ional nal !ranc !ranches hes or proincial e+tension $nits. There shall !e as many La!or Ar!it Ar!iter erss as may may !e necess necessary ary for for the e-ec e-ec e e and and ecient ecient operao operaon n of the 0ommissi 0ommission. on. Each Each re"ional re"ional !ranch shall !e headed !y an E+ec$e La!or Ar!iter. 1As amended !y Secon 3# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< 1. NLRC3 NATRE AND OR&ANI'ATION
5.5 0reaon and A$tonomy Before the adent of the La!or 0ode the la!or co$rt (as the 0o$rt of Ind$strial Relaons. @hen maral la( (as declared in Septem!er 5948# No. 85 1Octo!er 5P# 5948; 5948; a!olished a!olished the 0IR and replaced replaced it (ith an ad hoc Naonal Naonal La!or La!or Relao Relaons ns 0ommissio 0ommission. n. This NLR0 (as short,lied as it "ae (ay to the NLR0 (hich the La!or 0ode created in 594P. 5.8 Administr Administra ae e S$perisi S$perision on ele"at ele"ated ed to the OLE Secretary E+ec$e Order No. 8P dele"ated to the Secretary of La!or La!or =admini =administr stra ae e s$perisio s$perision n oer oer the NLR0# NLR0# its re"ional !ranches and all its personnel.> The Order cited t(o t(o o!'e o!'ec ce es: s: 15; 15; to f$rt f$rthe herr impr impro oe e the the rate ate of disposion of cases and 18; to enhance e+isn" meas$res for the preenon of "raK and corr$pon in the NLR0. 5.2 Essenal 0haracter nder nder Rep$!li Rep$!licc Act Act No. 3456 in 599# 599# as $nder $nder the former former la(# la(# the Naonal Naonal La!or Relao Relaons ns 0ommissio 0ommission n con conn$ n$es es to act act coll colle" e"ia iall lly y# (het (hethe herr it perf perfor orms ms administ administra rae e or r$le,ma)i r$le,ma)in" n" f$ncons f$ncons or e+erc e+ercises ises appellate '$risdicon '$risdicon to reie( decisions and /nal orders of the La!or Ar!iters. 5.P Triparte 0omposion The same Arcle Arcle 852# 852# as amended# amended# proides proides that the 0hairma 0hairman n and t(enty t(enty,thre ,three e mem!ers mem!ers composin" composin" the
Az$cena# 0esario Alero Fr. Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
6J L A T O N
Naonal La!or Relaons 0ommission shall !e chosen from the (or)ers# employers and the p$!lic sectors. 5.6 Allocaon of o(ers Bet(een NLR0 En Banc and Its iision The =diision: is a le"al enty# not the persons (ho sit in it. Uence# an indiid$al commissioner has no ad'$dicatory po(er# altho$"h# of co$rse# he can conc$r or dissent in decidin" a case. The la( lod"es the ad'$dicatory po(er on each of the ei"ht diisions# not on the indiid$al commissioners not on the (hole commission. 5.3 The NLR0 R$les of roced$re =The 86 Reised R$les of roced$re of the Naonal La!or Relaons 0ommission> (as p$!lished in ne(spapers on ecem!er 82# 86 and too) e-ect on Fan$ary 4# 83. <<<<<<<< Art. 856. Appointment and H$ali/caons. The 0hairman and other 0ommissioners shall !e mem!ers of the hilippine Bar and m$st hae en"a"ed in the pracce of la( in the hilippines for at least /Keen 156; years# (ith at least /e 16; years e+perience or e+pos$re in the /eld of la!or,mana"ement relaons# and shall prefera!ly !e residents of the re"ion (here they are to hold oce. The E+ec$e La!or Ar!iters and La!or Ar!iters shall li)e(ise !e mem!ers of the hilippine Bar and m$st hae !een en"a"ed in the pracce of la( in the hilippines for at least seen 14; years# (ith at least three 12; years e+perience or e+pos$re in the /eld of la!or,mana"ement relaons: roided# Uo(eer# that inc$m!ent E+ec$e La!or Ar!iters and La!or Ar!iters (ho hae !een en"a"ed in the pracce of la( for at least /e 16; years may !e considered as already *$ali/ed for p$rposes of reappointment as s$ch $nder this Act. The 0hairman and the other 0ommissioners# the E+ec$e La!or Ar!iters and La!or Ar!iters shall hold oce d$rin" "ood !ehaior $nl they reach the a"e of si+ty,/e years# $nless sooner remoed for ca$se as proided !y la( or !ecome incapacitated to dischar"e the d$es of their oce. The 0hairman# the diision residin" 0ommissioners and other 0ommissioners shall !e appointed !y the resident# s$!'ect to con/rmaon !y the 0ommission on Appointments. Appointment to any acancy shall come from the nominees of the sector (hich nominated the predecessor. The E+ec$e La!or Ar!iters and La!or Ar!iters shall also !e appointed !y the resident# $pon recommendaon of the Secretary of La!or and Employment and shall !e s$!'ect to the 0iil Serice La(# r$les and re"$laons.
LABOR RELATIONS The Secretary of La!or and Employment shall# in cons$ltaon (ith the 0hairman of the 0ommission# appoint the sta- and employees of the 0ommission and its re"ional !ranches as the needs of the serice may re*$ire# s$!'ect to the 0iil Serice La(# r$les and re"$laons# and $p"rade their c$rrent salaries# !ene/ts and other emol$ments in accordance (ith la(. 1As amended !y Secon 4# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< RE4IRIN& CONFIR/ATION BY CO//ISSION APPOINT/ENTS5 NCONSTITTIONAL <<<<<<<<
ON
Art. 853. Salaries# !ene/ts and other emol$ments. The 0hairman and mem!ers of the 0ommission shall receie an ann$al salary at least e*$ialent to# and !e entled to the same allo(ances and !ene/ts as those of the residin" F$sce and Associate F$sces of the 0o$rt of Appeals# respecely. The E+ec$e La!or Ar!iters shall receie an ann$al salary at least e*$ialent to that of an Assistant Re"ional irector of the epartment of La!or and Employment and shall !e entled to the same allo(ances and !ene/ts as that of a Re"ional irector of said epartment. The La!or Ar!iters shall receie an ann$al salary at least e*$ialent to# and !e entled to the same allo(ances and !ene/ts as that of an Assistant Re"ional irector of the epartment of La!or and Employment. In no case# ho(eer# shall the proision of this Arcle res$lt in the dimin$on of e+isn" salaries# allo(ances and !ene/ts of the aforemenoned ocials. 1As amended !y Secon # Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< Chapter II PO$ERS AND DTIES
Art. 854. F$risdicon of the La!or Ar!iters and the 0ommission. a. E+cept as other(ise proided $nder this 0ode# the La!or Ar!iters shall hae ori"inal and e+cl$sie '$risdicon to hear and decide# (ithin thirty 12; calendar days aKer the s$!mission of the case !y the pares for decision (itho$t e+tension# een in the a!sence of steno"raphic notes# the follo(in" cases inolin" all (or)ers# (hether a"ric$lt$ral or non, a"ric$lt$ral: 5. nfair la!or pracce cases& 8. Terminaon disp$tes& 2. If accompanied (ith a claim for reinstatement# those cases that (or)ers may /le
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
3J L A T O N
LABOR RELATIONS inolin" (a"es# rates of pay# ho$rs of (or) and other terms and condions of employment& P. 0laims for act$al# moral# e+emplary and other forms of dama"es arisin" from the employer, employee relaons& 6. 0ases arisin" from any iolaon of Arcle 83P of this 0ode# incl$din" *$esons inolin" the le"ality of stri)es and loc)o$ts& and 3. E+cept claims for Employees 0ompensaon# Social Sec$rity# 7edicare and maternity !ene/ts# all other claims arisin" from employer, employee relaons# incl$din" those of persons in domesc or ho$sehold serice# inolin" an amo$nt e+ceedin" /e tho$sand pesos 16#.; re"ardless of (hether accompanied (ith a claim for reinstatement. !. The 0ommission shall hae e+cl$sie appellate '$risdicon oer all cases decided !y La!or Ar!iters. c. 0ases arisin" from the interpretaon or implementaon of collece !ar"ainin" a"reements and those arisin" from the interpretaon or enforcement of company personnel policies shall !e disposed of !y the La!or Ar!iter !y referrin" the same to the "rieance machinery and ol$ntary ar!itraon as may !e proided in said a"reements. 1As amended !y Secon 9# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< 1. ADDITIONAL CASES
To the si+ 13; )inds of cases menoned in Arcle 854# the follo(in" sho$ld !e added: 5. 7oney claims arisin" o$t of employer,employee relaonship or !y irt$e of any la( or contract# inolin" ilipino (or)ers for oerseas deployment# incl$din" claims for act$al# moral# e+emplary and other forms of dama"es# as (ell as employment terminaon of O@s&
In its !road sense# ar!itraon is the reference of a disp$te to an imparal third person# chosen !y the pares or appointed !y stat$tory a$thority to hear and decide the case in controersy. @hen the consent of one of the pares is enforced !y stat$tory proisions# the proceedin" is referred to as comp$lsory ar!itraon. In la!or cases# comp$lsory ar!itraon is the process of se%lement of la!or disp$tes !y a "oernment a"ency (hich has the a$thority to ines"ate and to ma)e an a(ard (hich is !indin" on all the pares. 8.5 NLR0 Appellate roceedin"s Not art of Ar!itraon nder the La!or 0ode# it is the La!or Ar!iter (ho is clothed (ith the a$thority to cond$ct comp$lsory ar!itraon on cases inolin" terminaon disp$tes and other cases $nder Art. 854. @hen the La!or Ar!iter renders his decision# comp$lsory ar!itraon is deemed terminated !eca$se !y then the hearin" and determinaon of the controersy has ended. 8.8 Nat$re of roceedin"s The NLR0 R$les descri!e the proceedin"s !efore the La!or Ar!iter as non,li"io$s. S$!'ect to the re*$irements of d$e process# the technicalies of la( and proced$re in the re"$lar co$rts do not apply in NLR0la!or ar!iter proceedin"s 1Art. 885;. The ar!iter may aail himself of all reasona!le means# incl$din" oc$lar inspecon# to ascertain the facts speedily& he shall personally cond$ct the conference or hearin"s and ta)e f$ll control of the proceedin"s. 1R$le G# Sec. 8# NLR0 86 R$les of roced$re; 8.2 Arcle 854 Wields to Arts. 835 8 and 8382 (. LABOR ARBITER%S 6RISDICTION5 IN &ENERAL
The cases la!or ar!iter can hear and decide are employment,related. 2.5 S$perisory 0ontrol# 0r$cial
8. @a"e distoron disp$tes in $nor"anized esta!lishments not ol$ntarily se%led !y the pares p$rs$ant to Rep$!lic Act No. 3484# as reVected in Arcle 58P& 2. Enforcement of compromise a"reements (hen there is non,compliance !y any of the pares p$rs$ant to Arcle 884 of the La!or 0ode# as amended& and P. Other cases as may !e proided !y la(. 2. CO/PLSORY ARBITRATION BY LABOR ARBITERS
0ontrol oer the performance of the (or) is the cr$cial indicator of employment relaonship# (itho$t (hich the la!or ar!iter has no '$risdicon oer the disp$te.
8
A ol$ntary ar!itrator# $nder Art. 835# has =ori"inal and e+cl$sie> '$risdicon oer disp$tes concernin" 0BA implementaon or personnel policy enforcement. 2 In addion# $nder Art. 838# the pares may s$!mit to a ol$ntary ar!itrator 1or panel; =all other disp$tes incl$din" $nfair la!or pracces and !ar"ainin" deadloc)s.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
4J L A T O N
It is (ell,se%led in la( and '$rispr$dence that (here no employer,employee relaonship e+ists !et(een the pares and no iss$e is inoled (hich may !e resoled !y reference to the La!or 0ode# other la!or stat$tes# or any collece !ar"ainin" a"reement# it is the Re"ional Trial 0o$rt that has '$risdicon. *. VENE
The NLR0 R$les of roced$re proides:
LABOR RELATIONS The 86 NLR0 R$les# in Sec. 51c;# R$le IG states: =@hen en$e is not o!'ected to !efore the /llin" of posion papers s$ch iss$e shall !e deemed (aied.> . LABOR ARBITER%S 6RISDICTION3 .L.P. CASES
B$t its essence# capt$red in Art. 8P3# is any act intended or directed to (ea)en or defeat the (or)er?s ri"hts to self,or"anize or to en"a"e in la(f$l concerted acies. In short# $nfair la!or pracce# (hen commi%ed !y an employer# carries the e-ect of an,$nionism.
Secon 5. Gen$e. , a; All cases (hich La!or Ar!iters hae a$thority to hear and decide may !e /led in the Re"ional Ar!itraon Branch hain" '$risdicon oer the (or)place of the complainant or peoner.
7. CBA VIOLATION A/ONTIN& TO LP
or p$rposes of en$e# the (or)place shall !e $nderstood as the place or locality (here the employee is re"$larly assi"ned at the me the ca$se of acon arose. It shall incl$de the place (here the employee is s$pposed to report !ac) aKer a temporary detail# assi"nment# or trael. In case of /eld employees# as (ell as am!$lant or inerant (or)ers# their (or)place is (here they are re"$larly assi"ned# or (here they are s$pposed to re"$larly receie their salaries and (a"es or (or) instr$cons from# and report the res$lts of their assi"nment to# their employers.
,. LABOR ARBITER%S 6RISDICTION3 TER/INATION DISPTES
0ertainly# iolaons of the collece !ar"ainin" a"reement (o$ld !e $nfair la!or pracce (hich falls $nder the '$risdicon of the La!or Ar!iters and the Naonal La!or Relaons 0ommission.
Terminaon disp$tes or ille"al dismissal complaints fall (ithin the '$risdicon of a la!or ar!iter# as stated in Art. 85418;.
!; @here t(o 18; or more Re"ional Ar!itraon Branches hae '$risdicon oer the (or)place of the complainant or peoner# the Branch that /rst ac*$ired '$risdicon oer the case shall e+cl$de the others.
4.5 Terminaon of 0orporate Ocer& F$risdicon oer Intra,0orporate isp$tes Transferred from SE0 to RT0
c; @hen en$e is not o!'ected to !efore the /llin" of posion papers s$ch iss$e shall !e deemed (aied.
The dismissal of a corporate ocer !y a corporate !oard is a corporate disp$te that sho$ld !e !ro$"ht to the re"$lar co$rts.
d; The en$e of an acon may !e chan"ed or transferred to a di-erent Re"ional Ar!itraon Branch other than (here the complaint (as /led !y (ri%en a"reement of the pares or (hen the 0ommission or La!or Ar!iter !efore (hom the case is pendin" so orders# $pon moon !y the proper party in meritorio$s cases.
A corporate ocer?s dismissal is al(ays a corporate act# or an e+tra,corporate controersy and the nat$re is not altered !y the reason or (isdom (ith (hich the Board of irectors may hae in ta)in" s$ch acon. 4.8 E-ect of 0laim for Bac)(a"es# Bene/ts# or ama"es
e; 0ases inolin" oerseas ilipino (or)ers may !e /led !efore the Re"ional Ar!itraon Branch hain" '$risdicon oer the place (here the complainant resides or (here the principal oce of any of the respondents is sit$ated# at the opon of the complainant.
P.5 @or)er?s Opon The (or)er# !ein" the economically,disadanta"ed party (hether as complainantpeoner or as respondent# as the case may !ethe nearest "oernmental machinery to se%le the disp$te m$st !e placed at his immediate disposal. P.8 @aier
In intra,corporate ma%ers# s$ch as those a-ecn" the corporaon# its directors# tr$stees# ocers and shareholders# the iss$e of conse*$enal dama"es may '$st as (ell !e resoled and ad'$dicated !y the SE0. ndo$!tedly# it is sll (ithin the competence and e+perse of the SE0 to resole all ma%ers arisin" from or closely connected (ith all intra,corporate disp$tes. 4.2 7ainland . 7oilla: The eterminin" SE0 F$risdicon
=Be%er olicy> in
The !e%er policy to !e follo(ed in determinin" '$risdicon oer a case sho$ld !e to consider conc$rrent factors s$ch as the stat$s or relaonship of the pares or the nat$re of the *$eson that is the s$!'ect of their controersy.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
J L A T O N
LABOR RELATIONS 4.P Ta!an" . NLR0: SE0 F$risdicon Rearmed& 0orporate Ocer and Intra,corporate 0ontroersy e/ned An =intra,corporate controersy> is one (hich arises !et(een a stoc)holder and the corporaon. There is no disncon# *$ali/caon# nor any e+empon (hatsoeer. The proision is !road and coers all )inds of controersies !et(een stoc)holders and corporaons.
.6 SpliDn" of Acons Not Allo(ed An employee (ho has !een ille"ally dismissed so as to ca$se him moral dama"es has a ca$se of acon for reinstatement# !ac) (a"es and dama"es. @hen he inst$tes proceedin"s !efore the La!or Ar!iter# he sho$ld ma)e a claim for all said reliefs. .3 Employer?s 0omplaint for ama"es
A money claim arisin" from employer,employee relaons# e+cepn" SSSE007edicare claims# is (ithin the '$risdicon of a la!or ar!iter
An employer?s claim for dama"es a"ainst an employee may !e /led as co$nterclaim in the ille"al dismissal case /led !y the employee. S$ch claim for dama"es# arisin" from employment relaonship# is o$tside the '$risdicon of the re"$lar co$rt.
5. if the claim# re"ardless of amo$nt# is accompanied (ith a claim for reinstatement& or
8. LABOR LOCKOTS
8. if the claim# (hether or not accompanied (ith a claim for reinstatement# e+ceeds /e tho$sand pesos 16#.; per claimant.
H$esons relan" to stri)es or loc)o$ts or any form of (or) stoppa"e incl$din" incidents thereof $nder Art. 83P fall (ithin the la!or ar!iter?s '$risdicon.
.5 Only 7oney 0laims Not Arisin" from 0BA
B$t the po(er to iss$e in'$ncon is lod"ed (ith an NLR0 diision# not a la!or ar!iter. 7oreoer# =naonal interest? cases are handled di-erently. Art. 832 1"; empo(ers the OLE Secretary or the resident of the Rep$!lic to ass$me '$risdicon or refer the case to the NLR0 if the la!or disp$te or impendin" stri)e or loc)o$t inoles an ind$stry indispensi!le to naonal interest.
+. LABOR ARBITER%S 6RISDICTION3 /ONEY CLAI/S
The Gol$ntary Ar!itrator or anel of Gol$ntary Ar!itrators (ill hae ori"inal and e+cl$sie '$risdicon oer money claims Marisin" from the interpretaon or implementaon of the 0ollece Bar"ainin" A"reement and# those arisin" from the interpretaon or enforcement of company personnel policiesM# $nder Arcle 835. .8 7oney 0laims 7$st Uae Arisen from Employment 7oney claims of (or)ers (hich do not arise o$t of or in connecon (ith their employer,employee relaonship fall (ithin the "eneral '$risdicon of re"$lar co$rts of '$sce. @here the claim to the principal relief so$"ht is to !e resoled not !y reference to the La!or 0ode or other la!or relaons stat$te or a collece !ar"ainin" a"reement !$t !y the "eneral ciil la(# the '$risdicon oer the disp$te !elon"s to the re"$lar co$rts of '$sce and not to the La!or Ar!iter and the Naonal La!or Relaons 0ommission. .2 7oney 0laims of 0oop Employees .P F$risdicon oer 0laims for ama"es 7oney claims of (or)ers (hich the la!or ar!iter has ori"inal and e+cl$sie '$risdicon are comprehensie eno$"h to incl$de claims for moral dama"es of a dismissed employee a"ainst his employer.
ARBITER%S
6RISDICTION3
STRIKE AND
Sll another limit to the ar!iter?s '$risdicon is the '$risdicon of the re"$lar co$rts to hear and decide acons /led !y third pares !ein" a-ected !y a stri)e of people (ho are not their employees. inally# if a crime is commi%ed# (hether in relaon to a stri)e or not# the prosec$on of the crime has to !e done not !efore a la!or ar!iter !$t a re"$lar co$rt# !eca$se in s$ch a case the la(s to !e administered are primarily the penal la(s of the land. 19. LABOR ARBITER%S 6RISDICTION3 OF$%S /ONEY CLAI/S OR DIS/ISSAL
Secon 5 of RA P8# approed on F$ne 4# 5996# )no(n as the 7i"rant @or)ers and Oerseas ilipinos Act of 5996# transfers from the OEA to La!or Ar!iters the ori"inal and e+cl$sie '$risdicon to hear and decide claims arisin" o$t of an employer,employee relaonship or !y irt$e of any la( or contract inolin" ilipino (or)ers for oerseas deployment# incl$din" claims for act$al# moral# e+emplary and other forms of dama"es. Based on Arcle 854# La!or 0ode and Secon 5# R.A. No. P8# la!or ar!iters# clearly hae original and
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
9J L A T O N
exclui!e '$risdicon oer claims arisin" from employer, employee relaons# incl$din" "er#ina$on di%u"e inolin" all (or)ers# amon" them (hom are Oerseas ilipino @or)ers 1O@;.
11. LABOR ARBITER%S 6RISDICTION3 $&AE DISTORTION
A salary distoron case# referred to in the Arcle 58P# is resoled either thro$"h the 0BA mechanism or# in $nor"anized esta!lishments# thro$"h the N07B. I the N07B fails to resole the disp$te in ten days of conciliaon conferences# it shall !e /nal to the appropriate !ranch of the NLR0.
LABOR RELATIONS imm$nity cannot !e e+tended to commercial# priate and proprietary acts 1 (ure ge$oni;. 5P.5 Imm$nity of the N and Its Specialized A"encies 1. E:ECTIN& &OVERN/ENT
/ONEY
CLAI/S
A&AINST
T)E
Een (hen a "oernment a"ency enters into a !$siness contract (ith a priate enty# it is not the La!or 0ode !$t 0.A. No. 284 that applies in p$rs$in" a money claim 1a"ainst the Coernment; arisin" from s$ch contract. 17. LOCAL $ATER DISTRICT
12. LABOR ARBITER%S 6RISDICTION3 DISPTES OVER CO/PRO/ISE SETTLE/ENTS
Beca$se la!or la( policy enco$ra"es ol$ntary resol$on of disp$tes# compromise se%lements are ordinarily /nal and !indin" $pon the pares. B$t a compromise se%lement may itself !ecome the s$!'ect of disp$te. If there is noncompliance (ith the compromise a"reement or if there is %ri#a &acie eidence that the se%lement (as o!tained thro$"h fra$d# misrepresentaon# or coercion# then# accordin" to Arcle 884# the NLR0 thro$"h the la!or ar!iter may ass$me '$risdicon oer s$ch disp$te. 1(. SB/ISSION TO 6RISDICTION
The ace parcipaon of the party a"ainst (hom the acon (as !ro$"ht co$pled (ith his fail$re to o!'ect to the '$risdicon of the 0o$rt or *$asi,'$dicial !ody (here the acon is pendin"# is tantamo$nt to an inocaon of that '$risdicon# and a (illin"ness to a!ide !y the resol$on of the case (ill !ar said party from later on imp$"nin" the co$rt or !ody?s '$risdicon. The S$preme 0o$rt fro(ns $pon the $ndesira!le pracce of a party s$!miDn" his case for decision and then accepn" the '$d"ment only if fao$ra!le# and a%ac)in" it for lac) of '$risdicon (hen aderse.
They are *$asi p$!lic corporaons (hose employees !elon" to the ciil serice# hence# the dismissal of those employees shall !e "oerned !y the ciil serice la(# r$les and re"$laons. 53.5 E+cepon: @here NLR0 F$risdicon is Ino)ed 1,. REPBLIC ACT NO. 7,1;RETROACTIVE< <<<<<<<<
Art. 85. o(ers of the 0ommission. The 0ommission shall hae the po(er and a$thority: a. To prom$l"ate r$les and re"$laons "oernin" the hearin" and disposion of cases !efore it and its re"ional !ranches# as (ell as those pertainin" to its internal f$ncons and s$ch r$les and re"$laons as may !e necessary to carry o$t the p$rposes of this 0ode& 1As amended !y Secon 5# Rep$!lic Act No. 3456# 7arch 85# 599; !. To administer oaths# s$mmon the pares to a controersy# iss$e s$!poenas re*$irin" the a%endance and tesmony of (itnesses or the prod$con of s$ch !oo)s# papers# contracts# records# statement of acco$nts# a"reements# and others as may !e material to a '$st determinaon of the ma%er $nder ines"aon# and to tesfy in any ines"aon or hearin" cond$cted in p$rs$ance of this 0ode&
1*. I//NITY OF FOREI&N &OVERN/ENTS
In internaonal la(# Mimm$nityM is commonly $nderstood as an e+empon of the state and its or"ans from the '$dicial '$risdicon of another state. This is anchored on the principle of the soerei"n e*$ality of states $nder (hich one state cannot assert '$risdicon oer another in iolaon of the ma+im %ar in %are# non ha'e" i#%eriu# 1an e*$al has no po(er oer an e*$al;. As it stands no(# the applicaon of the doctrine of imm$nity from s$it has !een restricted to soerei"n or "oernmental acies 1 (ure i#%erii ;. The mantle of state
c. To cond$ct ines"aon for the determinaon of a *$eson# ma%er or controersy (ithin its '$risdicon# proceed to hear and determine the disp$tes in the a!sence of any party thereto (ho has !een s$mmoned or sered (ith noce to appear# cond$ct its proceedin"s or any part thereof in p$!lic or in priate# ad'o$rn its hearin"s to any me and place# refer technical ma%ers or acco$nts to an e+pert and to accept his report as eidence aKer hearin" of the pares $pon d$e noce# direct pares to !e 'oined in or e+cl$ded from the proceedin"s# correct# amend# or (aie any error# defect or irre"$larity (hether in s$!stance or in form# "ie all
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
5 J L A T O N
s$ch direcons as it may deem necessary or e+pedient in the determinaon of the disp$te !efore it# and dismiss any ma%er or refrain from f$rther hearin" or from determinin" the disp$te or part thereof# (here it is triial or (here f$rther proceedin"s !y the 0ommission are not necessary or desira!le& and d. To hold any person in contempt directly or indirectly and impose appropriate penales therefor in accordance (ith la(.
LABOR RELATIONS 5. That prohi!ited or $nla(f$l acts hae !een threatened and (ill !e commi%ed and (ill !e conn$ed $nless restrained# !$t no in'$ncon or temporary restrainin" order shall !e iss$ed on acco$nt of any threat# prohi!ited or $nla(f$l act# e+cept a"ainst the person or persons# associaon or or"anizaon ma)in" the threat or commiDn" the prohi!ited or $nla(f$l act or act$ally a$thorizin" or rafyin" the same aKer act$al )no(led"e thereof&
A person "$ilty of mis!ehaior in the presence of or so near the 0hairman or any mem!er of the 0ommission or any La!or Ar!iter as to o!str$ct or interr$pt the proceedin"s !efore the same# incl$din" disrespect to(ard said ocials# o-ensie personalies to(ard others# or ref$sal to !e s(orn# or to ans(er as a (itness or to s$!scri!e an adait or deposion (hen la(f$lly re*$ired to do so# may !e s$mmarily ad'$d"ed in direct contempt !y said ocials and p$nished !y /ne not e+ceedin" /e h$ndred pesos 16; or imprisonment not e+ceedin" /e 16; days# or !oth# if it !e the 0ommission# or a mem!er thereof# or !y a /ne not e+ceedin" one h$ndred pesos 15; or imprisonment not e+ceedin" one 15; day# or !oth# if it !e a La!or Ar!iter.
8. That s$!stanal and irrepara!le in'$ry to complainant?s property (ill follo(&
The person ad'$d"ed in direct contempt !y a La!or Ar!iter may appeal to the 0ommission and the e+ec$on of the '$d"ment shall !e s$spended pendin" the resol$on of the appeal $pon the /lin" !y s$ch person of a !ond on condion that he (ill a!ide !y and perform the '$d"ment of the 0ommission sho$ld the appeal !e decided a"ainst him. F$d"ment of the 0ommission on direct contempt is immediately e+ec$tory and $nappeala!le. Indirect contempt shall !e dealt (ith !y the 0ommission or La!or Ar!iter in the manner prescri!ed $nder R$le 45 of the Reised R$les of 0o$rt& and 1As amended !y Secon 5# Rep$!lic Act No. 3456# 7arch 85# 599;
S$ch hearin" shall !e held aKer d$e and personal noce thereof has !een sered# in s$ch manner as the 0ommission shall direct# to all )no(n persons a"ainst (hom relief is so$"ht# and also to the 0hief E+ec$e and other p$!lic ocials of the proince or city (ithin (hich the $nla(f$l acts hae !een threatened or commi%ed# char"ed (ith the d$ty to protect complainant?s property: roided# ho(eer# that if a complainant shall also alle"e that# $nless a temporary restrainin" order shall !e iss$ed (itho$t noce# a s$!stanal and irrepara!le in'$ry to complainant?s property (ill !e $naoida!le# s$ch a temporary restrainin" order may !e iss$ed $pon tesmony $nder oath# s$cient# if s$stained# to '$sfy the 0ommission in iss$in" a temporary in'$ncon $pon hearin" aKer noce. S$ch a temporary restrainin" order shall !e e-ece for no lon"er than t(enty 18; days and shall !ecome oid at the e+piraon of said t(enty 18; days. No s$ch temporary restrainin" order or temporary in'$ncon shall !e iss$ed e+cept on condion that complainant shall /rst /le an $nderta)in" (ith ade*$ate sec$rity in an amo$nt to !e /+ed !y the 0ommission s$cient to recompense those en'oined for any loss# e+pense or dama"e ca$sed !y the improident or erroneo$s iss$ance of s$ch order or in'$ncon# incl$din" all reasona!le costs# to"ether (ith a reasona!le a%orney?s fee# and e+pense of defense a"ainst the order or a"ainst the "rann" of any in'$nce relief so$"ht in the same proceedin" and s$!se*$ently denied !y the 0ommission.
e. To en'oin or restrain any act$al or threatened commission of any or all prohi!ited or $nla(f$l acts or to re*$ire the performance of a parc$lar act in any la!or disp$te (hich# if not restrained or performed forth(ith# may ca$se "rae or irrepara!le dama"e to any party or render ine-ect$al any decision in faor of s$ch party: roided# That no temporary or permanent in'$ncon in any case inolin" or "ro(in" o$t of a la!or disp$te as de/ned in this 0ode shall !e iss$ed e+cept aKer hearin" the tesmony of (itnesses# (ith opport$nity for cross, e+aminaon# in s$pport of the alle"aons of a complaint made $nder oath# and tesmony in opposion thereto# if o-ered# and only aKer a /ndin" of fact !y the 0ommission# to the e-ect:
2. That as to each item of relief to !e "ranted# "reater in'$ry (ill !e inVicted $pon complainant !y the denial of relief than (ill !e inVicted $pon defendants !y the "rann" of relief& P. That complainant has no ade*$ate remedy at la(& and 6. That the p$!lic ocers char"ed (ith the d$ty to protect complainant?s property are $na!le or $n(illin" to f$rnish ade*$ate protecon.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
55 J L A T O N
The $nderta)in" herein menoned shall !e $nderstood to const$te an a"reement entered into !y the complainant and the s$rety $pon (hich an order may !e rendered in the same s$it or proceedin" a"ainst said complainant and s$rety# $pon a hearin" to assess dama"es# of (hich hearin"# complainant and s$rety shall hae reasona!le noce# the said complainant and s$rety s$!miDn" themseles to the '$risdicon of the 0ommission for that p$rpose. B$t nothin" herein contained shall deprie any party hain" a claim or ca$se of acon $nder or $pon s$ch $nderta)in" from elecn" to p$rs$e his ordinary remedy !y s$it at la( or in e*$ity: roided# f$rther# That the recepon of eidence for the applicaon of a (rit of in'$ncon may !e dele"ated !y the 0ommission to any of its La!or Ar!iters (ho shall cond$ct s$ch hearin"s in s$ch places as he may determine to !e accessi!le to the pares and their (itnesses and shall s$!mit thereaKer his recommendaon to the 0ommission. 1As amended !y Secon 5# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<<
LABOR RELATIONS 5.8 o(er to Iss$e 0omp$lsory rocesses The 0ommission has the po(er to: a; administer oaths& !; s$mmon pares& and c; iss$e s$!poenas ad "e$)candu# and duce "ecu#. 5.2 o(er to Ines"ate and Uear isp$tes (ithin Its F$risdicon The 0ommission has the po(er to: a; cond$ct ines"aon for the determinaon of a *$eson# ma%er or controersy (ithin its '$risdicon& and !; proceed to hear and determine the disp$tes in the manner laid do(n $nder para"raph 1c; of Art. 85.
Art. 859. Oc$lar inspecon. The 0hairman# any 0ommissioner# La!or Ar!iter or their d$ly a$thorized representaes# may# at any me d$rin" (or)in" ho$rs# cond$ct an oc$lar inspecon on any esta!lishment# !$ildin"# ship or essel# place or premises# incl$din" any (or)# material# implement# machinery# appliance or any o!'ect therein# and as) any employee# la!orer# or any person# as the case may !e# for any informaon or data concernin" any ma%er or *$eson relae to the o!'ect of the ines"aon. <<<<<<<<
5.P 0ontempt o(er
1. PO$ERS OF T)E CO//ISSION
nder Arcle 859# the 0hairman# any 0ommissioner# La!or Ar!iter or their d$ly a$thorized representaes# may# at any me d$rin" (or)in" ho$rs:
5.5 R$le,7a)in" o(er The 0ommission has the po(er to prom$l"ate r$les and re"$laons: a; "oernin" the hearin" and disposion of cases !efore it and its re"ional !ranches& !; pertainin" to its internal f$ncons& and c; those that may !e necessary to carry o$t the p$rposes of this 0ode.
0ontempt is de/ned as a diso!edience to the 0o$rt !y seDn" $p an opposion to its a$thority# '$sce and di"nity. It si"ni/es not only a (illf$l disre"ard or diso!edience of the co$rtXs orders !$t s$ch cond$ct as tends to !rin" the a$thority of the co$rt and the administraon of la( into disrep$te or in some manner to impede the d$e administraon of '$sce. 5.6 o(er to 0ond$ct Oc$lar Inspecon
a; cond$ct an oc$lar inspecon on any esta!lishment# !$ildin"# ship or essel# place or premises# incl$din" any (or)# material# implement# machinery# appliance or any o!'ect therein& and !; as) any employee# la!orer# or any person# as the case may !e# for any informaon or data concernin" any ma%er or *$eson relae to the o!'ect of the ines"aon. 5.3 Ad'$dicatory o(er: Ori"inal
It is an elementary r$le in administrae la( that administrae re"$laons and policies enacted !y administrae !odies# s$ch as the Reised R$les of the NLR0# to interpret the la( (hich they are entr$sted to enforce# hae the force of la(# and are entled to "reat respect.
The NLR0 has ori"inal '$risdicon oer peons for in'$ncon or temporary restrainin" order $nder Art. 851e;.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
58 J L A T O N
Also# it has ori"inal '$risdicon to hear and decide =Naonal Interest> cases cer/ed to it !y the Secretary of La!or $nder Art. 8321";. 5.4 Ad'$dicatory o(er: Appellate The NLR0 has e+cl$sie appellate '$risdicon oer all cases decided !y la!or ar!iters 1Art. 854!; and the OLE re"ional director or hearin" ocers $nder Art. 589. The NLR0 has no appellate '$risdicon oer decisions rendered !y 15; a ol$ntary ar!itrator# or 18; the secretary of la!or# or 12; the !$rea$ of la!or relaons director on cases appealed from the OLE re"ional oces. The decisions of these three oces are appeala!le rather to the 0o$rt of Apeals. @here the la!or ar!iter has no '$risdicon or has not ac*$ired '$risdicon# neither has the NLR0. Its '$risdicon oer cases $nder Art. 8541a; is appellate# not ori"inal. 2. PO$ER TO ISSE IN6NCTION OR TE/PORARY RESTRAININ& ORDER
The NLR0 has in'$ncon po(er or# simply# the po(er to command that an act !e done or not done. The acon for in'$ncon is disnct from the ancillary remedy of preliminary in'$nconP (hich cannot e+ist e+cept only as part or an incident of an independent acon or proceedin". A (rit of preliminary in'$ncon is "enerally !ased solely on inial and incomplete eidence. 8.5 In'$ncon !y La!or Ar!iter Arcle 85 limits the "rant of in'$nce po(er to the =0ommission> meanin" the 0ommission en 'anc or any of its diisions. 8.8 Re*$isites for Iss$ance of Restrainin" Order or In'$ncon As a r$le# restrainin" orders or in'$ncons do not iss$e ex %ar"e and only aKer compliance (ith the follo(in" re*$isites# to (it: a; a hearin" held MaKer d$e and personal noce thereof has !een sered# in s$ch manner as the 0ommission shall direct# to all )no(n persons a"ainst (hom relief is so$"ht# and also to the 0hief E+ec$e and other p$!lic
LABOR RELATIONS ocials of the proince or city (ithin (hich the $nla(f$l acts hae !een threatened or commi%ed char"ed (ith the d$ty to protect complainantXs property&M !; recepon at the hearin" of Mtesmony of (itnesses# (ith opport$nity for cross,e+aminaon# in s$pport of the alle"aons of a complaint made $nder oath#M as (ell as Mtesmony in opposion thereto# if o-ered + +& c; =a /ndin" of fact !y the 0ommission# to the e-ect: 15; That prohi!ited or $nla(f$l acts hae !een threatened and (ill !e commi%ed and (ill !e conn$ed $nless restrained# !$t no in'$ncon or temporary restrainin" order shall !e iss$ed on acco$nt of any threat# prohi!ited or $nla(f$l act# e+cept a"ainst the person or persons# associaon or or"anizaon ma)in" the threat or commiDn" the prohi!ited or $nla(f$l act or act$ally a$thorizin" or rafyin" the same aKer act$al )no(led"e thereof& 18; That s$!stanal and irrepara!le in'$ry to complainantXs property (ill follo(& 12; That as to each item of relief to !e "ranted# "reater in'$ry (ill !e inVicted $pon complainant !y the denial of relief than (ill !e inVicted $pon defendants !y the "rann" of relief& 1P; That complainant has no ade*$ate remedy at la(& and 16; That the p$!lic ocers char"ed (ith the d$ty to protect complainantXs property are $na!le or $n(illin" to f$rnish ade*$ate protecon.> 8.2 0ondions for Iss$ance Ex *ar"e of a Temporary Restrainin" Order 1TRO; A temporary restrainin" order 1alid only for 8 days; may !e iss$ed ex %ar"e $nder the follo(in" condions: a; the complainant Mshall also alle"e that# $nless a temporary restrainin" order shall !e iss$ed (itho$t noce# a s$!stanal and irrepara!le in'$ry to complainantXs property (ill !e $naoida!le& !; there is Mtesmony $nder oath# s$cient# if s$stained# to '$sfy the 0ommission in iss$in" a temporary in'$ncon $pon hearin" aKer noce&M c; the Mcomplainant shall /rst /le an $nderta)in" (ith ade*$ate sec$rity in an amo$nt to !e /+ed !y the 0ommission s$cient to recompense those en'oined for any loss# e+pense or dama"e ca$sed !y the improident or erroneo$s iss$ance of s$ch order or in'$ncon# incl$din" all reasona!le costs# to"ether (ith a reasona!le a%orneyXs fee# and e+pense of defense a"ainst the order or a"ainst the "rann" of any in'$nce relief so$"ht in the same proceedin" and s$!se*$ently denied !y the 0ommission&M and
P
The sole o!'ect of (hich is to presere the stat$s *$o $nl the merits can !e heard. Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
52 J L A T O N
d; the Mtemporary restrainin" order shall !e e-ece for no lon"er than t(enty 18; days and shall !ecome oid at the e+piraon of said t(enty 18; days.
LABOR RELATIONS the "rann" of any in'$nce relief so$"ht in the same proceedin" and s$!se*$ently denied !y the 0ommission. 8.3 Scope
An in'$ry is considered irrepara!le if it is of s$ch constant and fre*$ent rec$rrence that no fair and reasona!le redress can !e had therefor in a co$rt of la(# or (here there is no standard !y (hich their amo$nt can !e meas$red (ith reasona!le acc$racy# that is# it is not s$scep!le of mathemacal comp$taon. It is considered irrepara!le in'$ry (hen it cannot !e ade*$ately compensated in dama"es d$e to the nat$re of the in'$ry itself or the nat$re of the ri"ht or property in'$red or (hen there e+ists no certain pec$niary standard for the meas$rement of dama"es. =roperty> incl$des not only tan"i!le property !$t also the ri"ht to $se s$ch property. =$!lic ocers> means local la( enforcin" ocers. The =protecon> contemplated is that (hich (o$ld ena!le the employer to proceed (ith the (or). The intent of this re*$irement is to ta)e the e+ec$e f$ncon of la( enforcement o$t of the co$rt and leae it to the appropriate e+ec$e ocers# $nless they fail to f$ncon. 8.P No Ade*$ate Remedy In addion to the other re*$irements (hich the complainant m$st sasfy in order to o!tain in'$nce relief $nder the Act# the complainant m$st sho( that =he has no ade*$ate remedy at la(.> An ade*$ate remedy at la( has !een de/ned as one =that a-ords relief (ith reference to the ma%er in controersy# and (hich is appropriate to the parc$lar circ$mstances of the case. 8.6 0ash Bond nder the NLR0 R$les of 86# no temporary restrainin" order or (rit of preliminary in'$ncon shall !e iss$ed e+cept on the condion that peoner shall /rst /le an $nderta)in" to ans(er for the dama"es and post a cash !ond in the amo$nt of iKy Tho$sand esos 16#.;# or s$ch hi"her amo$nt as may !e determined !y the 0ommission. The p$rpose of the !ond is to recompense those en'oined for any loss# e+pense or dama"e ca$sed !y the improident or erroneo$s iss$ance of s$ch order or in'$ncon# incl$din" all reasona!le costs# to"ether (ith a reasona!le a%orney?s fee# and e+pense of defense a"ainst the order or a"ainst
As to the scope of an in'$ncon iss$ed $nder the Act# !oth the Act itself and the cases restrict the operaon of s$ch in'$ncon not only to the speci/c acts complained of in the pleadin"s and proen at trial as (ron"f$l# !$t f$rther# limits the in'$ncon to only those alle"ed and proen "$ilty of act$al parcipaon# a$thorizaon or ra/caon of s$ch acts. The po(er of the NLR0 to en'oin or restrain the commission of any or all prohi!ited or $nla(f$l acts as proided in Art. 85 of the La!or 0ode# can only !e e+ercised in a la!or disp$te. 8.4 Recepon of Eidence The recepon of eidence =for the applicaon of a (rit of in'$ncon may !e dele"ated !y the 0ommission to any of its La!or Ar!iters (ho shall cond$ct s$ch hearin"s in s$ch places as he may determine to !e accessi!le to the pares and their (itnesses and shall s$!mit thereaKer his recommendaon to the 0ommission.> =La!or Ar!iter> in the precedin" sentence may no( refer to =0ommission A%orney#> a posion created !y R.A. No. 92P4 1F$ly 84# 83; to assist the 0ommission and its diisions in their appellate and ad'$dicatory f$ncons. 8. T(enty,day Life of TRO A temporary restrainin" order 1TRO;# if iss$ed at all in a peon for in'$ncon# is alid only for t(enty 18; days and !ecomes oid i%o &ac"o at the end of that period. The TRO ta)es e-ect $pon its iss$ance and not $pon receipt of the pares. The ma+im$m period of 8 days incl$des Sat$rdays# S$ndays# and holidays. 8.9 Ill$strae 0ase: Iss$ance of TRO 8.5 In'$ncon from NLR0: Not the roper Remedy a"ainst Employee?s ismissal <<<<<<<< Art. 88. 0omp$lsory ar!itraon. The 0ommission or any La!or Ar!iter shall hae the po(er to as) the assistance of other "oernment ocials and *$ali/ed priate cizens to act as comp$lsory ar!itrators on cases referred to them and to /+ and assess the fees of s$ch comp$lsory ar!itrators# ta)in" into acco$nt the nat$re of the case# the me cons$med in hearin" the case# the professional
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
5P J L A T O N
standin" of the ar!itrators# the /nancial capacity of the pares# and the fees proided in the R$les of 0o$rt. 1Repealed !y Secon 53# Batas am!ansa Bilan" 52# A$"$st 85# 595; <<<<<<<< Art. 885. Technical r$les not !indin" and prior resort to amica!le se%lement. In any proceedin" !efore the 0ommission or any of the La!or Ar!iters# the r$les of eidence preailin" in co$rts of la( or e*$ity shall not !e controllin" and it is the spirit and intenon of this 0ode that the 0ommission and its mem!ers and the La!or Ar!iters shall $se eery and all reasona!le means to ascertain the facts in each case speedily and o!'ecely and (itho$t re"ard to technicalies of la( or proced$re# all in the interest of d$e process. In any proceedin" !efore the 0ommission or any La!or Ar!iter# the pares may !e represented !y le"al co$nsel !$t it shall !e the d$ty of the 0hairman# any residin" 0ommissioner or 0ommissioner or any La!or Ar!iter to e+ercise complete control of the proceedin"s at all sta"es. Any proision of la( to the contrary not(ithstandin"# the La!or Ar!iter shall e+ert all e-orts to(ards the amica!le se%lement of a la!or disp$te (ithin his '$risdicon on or !efore the /rst hearin". The same r$le shall apply to the 0ommission in the e+ercise of its ori"inal '$risdicon. 1As amended !y Secon 55# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< 1. PROCEEDIN&S BEFORE LABOR ARBITER OR T)E CO//ISSION= TEC)NICAL RLES NOT APPLICABLE
Administrae and *$asi,'$dicial !odies# li)e the Naonal La!or Relaons 0ommission# are not !o$nd !y the technical r$les of proced$re in the ad'$dicaon of cases. Simpli/caon of proced$re# (itho$t re"ard to technicalies of la( or proced$re and (itho$t sacri/cin" the f$ndamental re*$isites of d$e process# is mandated to ins$re a speedy administraon of social '$sce. This 0o$rt constr$ed Arcle 885 of the La!or 0ode as to allo( the NLR0 or a la!or ar!iter to decide a case on the !asis of posion papers and other doc$ments s$!mi%ed (itho$t resorn" to technical r$les of eidence as o!sered in re"$lar co$rts of '$sce. 5.5 7odic$m of Admissi!ility& S$!stanal Eidence It is tr$e that administrae and *$asi,'$dicial !odies li)e the NLR0 are not !o$nd !y the technical r$les of proced$re in the ad'$dicaon of cases. Uo(eer# this proced$ral r$le sho$ld not !e constr$ed as a license to disre"ard certain f$ndamental eidenary r$les. @hile the r$les of eidence preailin" in the co$rts of la( or
LABOR RELATIONS e*$ity are not controllin" in proceedin"s !efore the NLR0# the eidence presented !efore it m$st at least hae a modic$m of admissi!ility for it to !e "ien some pro!ae al$e. Not only m$st there !e some eidence to s$pport a /ndin" or concl$sion# !$t eidence m$st !e Ms$!stanal.M MS$!stanal eidence is more than a mere scinlla. It means s$ch releant eidence as a reasona!le mind mi"ht accept as ade*$ate to s$pport a concl$sion. 5.8 0ardinal Ri"hts in H$asi,F$dicial roceedin"s There are cardinal primary ri"hts (hich m$st !e respected een in proceedin"s of this character: 5; ri"ht to a hearin"& 8; tri!$nal m$st consider the eidence presented& 2; decision m$st !e s$pported !y somethin" 1eidence;& P; s$pporn" eidence m$st !e s$!stanal& 6; ecision m$st !e rendered on the eidence presented or at least contained in the record and disclosed to the pares a-ected& 3; the !ody or 0IR or any of its '$d"es m$st act on his o(n independent consideraons of the la( and facts# and not simply accept the ie(s of the s$!ordinate in arriin" at a decision& and 4; decide in s$ch manner that pares can )no( the ario$s iss$es inoled and the reason for the decision. 5.2 Geri/caon Geri/caon is intended to ass$re that the alle"aons in the pleadin" hae !een prepared in "ood faith or are tr$e and correct# not mere spec$laons. Cenerally# lac) of eri/caon is merely a format defect that is neither '$risdiconal nor fatal. 5.P arty Respondent In a complaint for $nderpayment of (a"es and other money claims /led !y employees of a sin"le proprietorship !$siness# the respondent sho$ld !e the !$siness o(ner. This is not necessarily the person in (hose name the !$siness is re"istered. 5.6 rohi!ited leadin"s and 7oons
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
56 J L A T O N
LABOR RELATIONS Emphasizin" the aoidance of le"al technicalies# the NLR0 86 R$les 1in R$le III# SeconP; does not allo( the follo(in" moons or pleadin"s: a; 7oon to dismiss the complaint e+cept on the "ro$nd of lac) of '$risdicon oer the s$!'ect ma%er# improper en$e# re (udica"a# prescripon and for$m shoppin"& !; 7oon for a !ill of parc$lars&
d; A compromise a"reement d$ly entered into in accordance (ith this Secon shall !e /nal and !indin" $pon the pares and shall hae the force and e-ect of a '$d"ment rendered !y the La!or Ar!iter. e; The mandatory conciliaon and mediaon conference shall# e+cept for '$s/a!le "ro$nds# !e terminated (ithin thirty 12; calendar days from the date of the /rst conference. f; No moon for postponement shall !e entertained e+cept on meritorio$s "ro$nds.
c; 7oon for ne( trial& d; eon for relief from '$d"ment (hen /led (ith the La!or Ar!iter& e; eon for Cer$orari # Manda#u or prohi!ion& f; 7oon to declare respondent in defa$lt& "; 7oon for reconsideraon or appeal from any interloc$tory order of the La!or Ar!iter. 2. /ANDATORY CONCILIATION AND /EDIATION CONFERENCE= CO/PRO/ISE ENCORA&ED Secon 8. Nat$re of roceedin"s. , The proceedin"s !efore the La!or Ar!iter shall !e non,Ii"io$s in nat$re. S$!'ect to the re*$irements of d$e process# the technicalies of la( and proced$re and the r$les o!tainin" in the co$rts of la( shall not strictly apply thereto. The La!or Ar!iter may aail himself of all reasona!le means to ascertain the facts of the controersy speedily# incl$din" oc$lar inspecon and e+aminaon of (ell, informed persons. Secon 2. 7andatory 0onciliaon and 7ediaon 0onference. a; The mandatory conciliaon and mediaon conference shall !e called for the p$rpose of 15; amica!ly se%lin" the case $pon a fair compromise& 18; determinin" the real pares in interest& 12; determinin" the necessity of amendin" the complaint and incl$din" all ca$ses of acon& 1P; de/nin" and simplifyin" the iss$es in the case& 16; enterin" into admissions or sp$laons of facts& and 13; threshin" o$t all other preliminary ma%ers. The La!or Ar!iter shall preside and ta)e f$ll control of the proceedin"s. !; 0onciliaon and mediaon e-orts shall !e e+erted !y the La!or Ar!iters all thro$"ho$t the proceedin"s. Sho$ld the pares arrie at any a"reement as to the (hole or any part of the disp$te# the same shall !e red$ced to (rin" and si"ned !y the pares and their respece co$nsel or a$thorized representae# if any# !efore the La!or Ar!iter. c; In any case# the compromise a"reement shall !e approed !y the La!or Ar!iter# if aKer e+plainin" to the pares# parc$larly to the complainants# the terms# condions and conse*$ences thereof# he is sas/ed that they $nderstand the a"reement# that the same (as entered into freely and ol$ntarily !y them# and that it is not contrary to la(# morals# and p$!lic policy.
Secon P. E-ect of ail$re of 0onciliaon and 7ediaon. , Sho$ld the pares fail to a"ree $pon an amica!le se%lement# either in (hole or in part# d$rin" the mandatory conciliaon and mediaon conference# the La!or Ar!iter shall terminate the conciliaon and mediaon sta"e and proceed to p$rs$e the other p$rposes of the said conference as en$merated in the immediately precedin" Secon. ThereaKer# the La!or Ar!iter shall direct the pares to sim$ltaneo$sly /le their respece posion papers on the iss$es a"reed $pon !y the pares and as reVected in the min$tes of the proceedin"s. Secon 6. Non,Appearance of ares. , The non,appearance of the complainant or peoner d$rin" the t(o 18; seDn"s for mandatory conciliaon and mediaon conference sched$led in the s$mmons# despite d$e noce thereof# shall !e a "ro$nd for the dismissal of the case (itho$t pre'$dice. In case of non,appearance !y the respondent d$rin" the /rst sched$led conference# the second conference shall proceed as sched$led in the s$mmons. If the respondent sll fails to appear at the second conference despite !ein" d$ly sered (ith s$mmons# the La!or Ar!iter shall immediately terminate the mandatory conciliaon and mediaon conference. The La!or Ar!iter shall thereaKer allo( the complainant or peoner to /le his eri/ed posion paper and s$!mit eidence in s$pport of his ca$ses of acon# and there$pon render his decision on the !asis of the eidence on record.
It is tr$e that a compromise a"reement once approed !y the co$rt has the e-ect of re (udica"a !et(een the pares and sho$ld not !e dist$r!ed e+cept for ices of consent and for"ery. Uo(eer# se%led is the r$le that the NLR0 may disre"ard technical r$les of proced$re in order to "ie life to the const$onal mandate a-ordin" protecon to la!or and to conform to the need of protecn" the (or)in" class (hose inferiority a"ainst the employer has al(ays !een earmar)ed !y disadanta"e. 8.5 Bindin" E-ect of 0ompromise A"reement The a$thority to compromise cannot li"htly !e pres$med and sho$ld !e esta!lished !y eidence. Secon 9. A$thority to Bind arty. , A%orneys and other representaes of pares shall hae a$thority to !ind their clients in all ma%ers of proced$re& !$t they cannot# (itho$t a special po(er of a%orney or e+press consent# enter into a
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
53 J L A T O N
LABOR RELATIONS compromise a"reement (ith the opposin" party in f$ll or paral dischar"e of a clientXs claim.
his only remedy shall !e to re,/le the case in the ar!itraon !ranch of ori"in.
Also not to !e oerloo)ed is Secon 2 1c and d; of the NLR0 86 R$les of roced$re *$oted a!oe. It re*$ires the La!or Ar!iter?s approal of a compromise a"reement oer a case pendin" !efore the La!or Ar!iter.
A complaint dismissed =(itho$t pre'$dice> simply means a tentae or temporary dismissalthe complaint may !e reied thro$"h an appropriate moon. *. SB/ISSION OF POSITION PAPERS AND REPLY
8.8 H$itclaim and @aiers A deed of release or *$itclaim cannot !ar an employee from demandin" !ene/ts to (hich he is le"ally entled. 8.8a inal and E+ec$tory F$d"ment 0annot !e Ne"oated The '$d"ment may no lon"er !e modi/ed in any respect# een if the modi/caon is meant to correct (hat is perceied to !e an erroneo$s concl$sion of fact or la(# and re"ardless of (hether the modi/caon is a%empted to !e made !y the co$rt renderin" it or !y the hi"hest co$rt of the land. (. /OTION TO DIS/ISS Secon 3. 7oon to ismiss. , On or !efore the date set for the mandatory conciliaon and mediaon conference# the respondent may /le a moon to dismiss. Any moon to dismiss on the "ro$nd of lac) of '$risdicon# improper en$e# or that the ca$se of acon is !arred !y prior '$d"ment# prescripon# or for$m shoppin"# shall !e immediately resoled !y the La!or Ar!iter thro$"h a (ri%en order. An order denyin" the moon to dismiss# or s$spendin" its resol$on $nl the /nal determinaon of the case# is not appeala!le.
2.5 Mo"u %ro%rio ismissal of 0omplaint !ased on rescripon 2.8 Re +udica"a as Reason to ismiss 0omplaint or a prior '$d"ment to const$te a !ar to a s$!se*$ent case# the follo(in" re*$isites m$st conc$r: 1a; it m$st !e a /nal '$d"ment or order& 1!; the co$rt renderin" the same m$st hae '$risdicon oer the s$!'ect ma%er and oer the pares& 1c; it m$st !e a '$d"ment or order on the merits# and 1d; there m$st !e !et(een the t(o cases Identy of pares# s$!'ect ma%er# and ca$ses of acon. 2.2 No ismissal of 0omplaint despite eath 2.P Reial or Re/lin" of ismissed 0ase A dismissed case is not necessarily dead. Secon 53. Reial And Re,Openin" Or Re,ilin" Of ismissed 0ase. , A party may /le a moon to reie or re,open a case dismissed (itho$t pre'$dice# (ithin ten 15; calendar days from receipt of noce of the order dismissin" the same& other(ise#
P.5 eterminaon of necessity of Uearin" or 0lari/catory 0onference Secon . eterminaon of Necessity of Uearin" or 0lari/catory 0onference. , Immediately aKer the s$!mission !y the pares of their posion paper or reply# as the case may !e# the La!or Ar!iter shall# #o"u %ro%rio# determine (hether there is a need for a hearin" or clari/catory conference. At this sta"e# he may# at his discreon and for the p$rpose of ma)in" s$ch determinaon# as) clari/catory *$esons to f$rther elicit facts or informaon# incl$din" !$t not limited to the s$!poena of releant doc$mentary eidence# if any# from any party or (itness.
P.8 Role of the La!or Ar!iter in hearin" and clari/catory conference,, Secon 9. Role of the La!or Ar!iter in Uearin" and 0lari/catory 0onference. , a; The La!or Ar!iter shall ta)e f$ll control and personally cond$ct the hearin" or clari/catory conference. nless other(ise proided !y la(# the La!or Ar!iter shall determine the order of presentaon of eidence !y the pares# s$!'ect to the re*$irements of d$e process. Ue shall e+amine the pares and their (itnesses (ith respect to the ma%ers at iss$e& and as) *$esons only for the p$rpose of clarifyin" points of la( or fact inoled in the case. Ue shall limit the presentaon of eidence to ma%ers releant to the iss$e !efore him and necessary for a '$st and speedy disposion of the case. !; In the cross,e+aminaon of (itnesses# only releant# pernent and material *$esons necessary to enli"hten the La!or Ar!iter shall !e all o(ed. c; The La!or Ar!iter shall ma)e a (ri%en s$mmary of the proceedin"s# incl$din" the s$!stance of the eidence presented# in cons$ltaon (ith the pares. The (ri%en s$mmary shall !e si"ned !y the pares and shall form part of the records.
P.2 Non,appearance of ares& ostponement of Uearin" and 0lari/catory 0onferences. Secon 5. Non,Appearance of ares# and ostponement of Uearin"s and 0lari/catory 0onferences. , a; Non,appearance at a hearin" or clari/catory conference !y the complainant or peoner# (ho (as d$ly no/ed thereof# may !e s$cient ca$se to dismiss the case (itho$t pre'$dice. S$!'ect to Secon 53 of this R$le# (here proper '$s/caon is sho(n !y proper moon to (arrant the re,openin" of the case# the La!or Ar!iter shall call another hearin" or clari/catory conference and conn$e the proceedin"s $nl the case is /nally decided. The
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
54 J L A T O N
dismissal of the case for the second me d$e to the $n'$s/ed non,appearance of the complainant or peoner# (ho (as d$ly no/ed of the clari/catory hearin"# shall !e (ith pre'$dice. !; In case the respondent fails to appear d$rin" the hearin" or clari/catory conference despite d$e noce thereof# the complainant shall !e allo(ed to present eidence e+,parte# (itho$t pre'$dice to cross,e+aminaon at the ne+t hearin" or conference. T(o 18; s$ccessie non,appearances !y the respondent d$rin" his sched$led presentaon of eidence or opport$nity to cross,e+amine (itnesses# despite d$e noce thereof# shall !e constr$ed as a (aier on his part to present eidence or cond$ct cross,e+aminaon. c; The pares and their co$nsels appearin" !efore the La!or Ar!iter shall !e prepared for conn$o$s hearin" or clari/catory conference. No postponement or conn$ance shall !e allo(ed !y the La!or Ar!iter# e+cept $pon meritorio$s "ro$nds and s$!'ect al(ays to the re*$irement of e+pedio$s disposion of cases. In any case# the hearin" or clari/catory conference shall !e terminated (ithin ninety 19; calendar days from the date of the inial hearin" or conference. d; ara"raph 1c; of this Secon not(ithstandin"# in cases inolin" oerseas ilipino (or)ers# the a""re"ate period for cond$cn" the mandatory conciliaon and mediaon conference# incl$din" hearin" on the merits or clari/catory conference# shall not e+ceed si+ty 13; days# (hich shall !e rec)oned from the date of ac*$ision of '$risdicon !y the La!or Ar!iter oer the person of the respondents.
LABOR RELATIONS reasona!le opport$nity to e+plain their side of the controersy at hand. 6.P Inhi!ion Secon 58. Inhi!ion. , A La!or Ar!iter may ol$ntarily inhi!it himself from the resol$on of a case and shall so state in (rin" the le"al '$s/caons therefor. pon moon of a party# either on the "ro$nd of relaonship (ithin the fo$rth ciil de"ree of consan"$inity or anity (ith the aderse party or co$nsel# or on *$eson of imparality# the La!or Ar!iter may inhi!it himself from f$rther hearin" and decidin" the case. S$ch moon shall !e resoled (ithin /e 16; days from the /lin" thereof. An order denyin" or "rann" a moon for inhi!ion is inappeala!le.
6.6 $e rocess Incl$des Imparality of the Appeal Body In addion# administrae d$e process incl$des 1a; the ri"ht to noce# !e it act$al or constr$ce# of the inst$on of the proceedin"s that may a-ect a personXs le"al ri"ht& 1!; reasona!le opport$nity to appear and defend his ri"hts and to introd$ce (itnesses and releant eidence in his faor& 1c; a tri!$nal so const$ted as to "ie him reasona!le ass$rance of honesty and imparality# and one of competent '$risdicon& and 1d; a /ndin" or decision !y that tri!$nal s$pported !y s$!stanal eidence presented at the hearin" or at least ascertained in the records or disclosed to the pares.
. SB/ISSION OF T)E CASE FOR DECISION
6.5 osion apers as Basis of ecision The adaits in s$ch case may ta)e the place of their direct tesmony. The la!or ar!iter may choose# if he deems it necessary# to set the case for hearin" on the merits (here (itnesses may !e presented and e+amined !y the pares. In !oth instances# the !$rden of proin" that the terminaon (as for alid or a$thorized ca$se rests on the employer.
It is self,eident from the r$lin" case la( that the ocer (ho reie(s a case on appeal sho$ld not !e the same person (hose decision is the s$!'ect of reie(. Th$s# (e hae r$led that Mthe reie(in" ocer m$st perforce !e other than the ocer (hose decision is $nder reie(. 7. SSPENSION OF PROCEEDIN&S
To allo( la!or cases to proceed (o$ld clearly defeat the p$rpose of the a$tomac stay and seerely enc$m!er the mana"ement commi%ee?s me and reso$rces.
6.8 Lac) of Geri/caon# Not atal ,. FILIN& AND SERVICE OF PLEADIN&S AND DECISIONS
The lac) of eri/caon of the posion paper,adait is a formal# rather than a s$!stanal# defect. It is not fatal. It co$ld !e easily corrected !y re*$irin" an oath. 6.2 $e rocess: Opport$nity to Be Ueard The simple meanin" of proced$ral d$e process is that a party to a case m$st !e "ien s$cient opport$nity to !e heard. Its ery essence is to allo( all pares opport$nity to present eidence.
Secon 6. ilin" and Serice of leadin"s. , All pleadin"s in connecon (ith the case shall !e /led (ith the appropriate doc)en" $nit of the Re"ional Ar!itraon Branch or the 0ommission# as the case may!e. The party /lin" the pleadin"s shall sere the opposin" pares (ith a copy thereof and its s$pporn" doc$ments in the manner proided for in these R$les (ith proof of serice thereof.
4.5 Serice of Noce and Resol$ons A formal or trial,type hearin" is not at all mes and in all instances essenal to d$e process# the re*$irements of (hich are sas/ed (here pares are a-orded fair and
Secon 3. Serice of Noces and Resol$ons. , a; Noces or s$mmons and copies of orders# shall !e sered on the pares to
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
5 J L A T O N
the case personally !y the Baili- or d$ly a$thorized p$!lic ocer (ithin three 12; days from receipt thereof or !y re"istered mail& roided that in special circ$mstances# serice of s$mmons may !e e-ected in accordance (ith the pernent proisions of the R$les of 0o$rt& roided f$rther# that in cases of decisions and /nal a(ards# copies thereof shall !e sered on !oth pares and their co$nsel or representae !y re"istered mail& roided f$rther that in cases (here a party to a case or his co$nsel on record personally see)s serice of the decision $pon in*$iry thereon# serice to said party shall !e deemed e-ected $pon act$al receipt thereof& roided /nally# that (here pares are so n$mero$s# serice shall !e made on co$nsel and $pon s$ch n$m!er of complainants# as may !e pracca!le# (hich shall !e considered s$!stanal compliance (ith Arcle 88P 1a; of the La!or 0ode# as amended. or p$rposes of appeal# the period shall !e co$nted from receipt of s$ch decisions# resol$ons# or orders !y the co$nsel or representae of record. !; The Baili- or ocer serin" the noce# order# resol$on or decision shall s$!mit his ret$rn (ithin t(o 18; days from date of serice thereof# stan" le"i!ly in his ret$rn his name# the names of the persons sered and the date of receipt# (hich ret$rn shall !e immediately a%ached and shall form part of the records of the case. In case of serice !y re"istered mail# the Baili- or ocer shall (rite in the ret$rn# the names of persons sered and the date of mailin" of the resol$on or decision. If no serice (as e-ected# the serice ocer shall state the reason therefor in the ret$rn.
LABOR RELATIONS B$t this precept is not limited to interpretaon of le"al proisions. It e+tends li)e(ise to do$!ts a!o$t the eidence of the disp$tants. 8. DECISION OF LABOR ARBITER Secon 52. eriod to ecide 0ase. , The La!or Ar!iter shall render his decision (ithin thirty 12; calendar days# (itho$t e+tension# aKer the s$!mission of the case !y the pares for decision# een in the a!sence of steno"raphic notes& roided ho(eer# that cases inolin" oerseas ilipino (or)ers shall !e decided (ithin ninety 19; calendar days aKer the /lin" of the complaint (hich shall commence to r$n $pon ac*$ision !y the La!or Ar!iter of '$risdicon oer the respondents.
9.5 0ontents of ecisions Secon 5P. 0ontents of ecisions. , The decisions and orders of the La!or Ar!iter shall !e clear and concise and shall incl$de a !rief statement of the: a; facts of the case& !; iss$es inoled& c; applica!le la(s or r$les& d; concl$sions and the reasons therefor& and e; speci/c remedy or relief "ranted. In cases inolin" monetary a(ards# the decisions or orders of the La!or Ar!iter shall contain the amo$nt a(arded. In case the decision of the La!or Ar!iter incl$des an order of reinstatement# it shall li)e(ise contain: a; a statement that the reinstatement aspect is immediately e+ec$tory& and !; a direce for the employer to s$!mit a report of compliance (ithin ten 15; calendar days from receipt of the said decision.
4.8 roof and 0ompleteness of Serice Secon 4. roof and 0ompleteness of Serice. , The ret$rn is prima facie proof of the facts indicated therein. Serice !y re"istered mail is complete $pon receipt !y the addressee or his a"ent& !$t if the addressee fails to claim his mail from the post oce (ithin /e 16; days from the date of /rst noce of the postmaster# serice shall ta)e e-ect aKer s$ch me.
Secon P# R$le 52 of the R$les of 0o$rt (hich is s$ppletory to the r$les of the NLR0# proides as follo(s: Secon P. ersonal Serice. Serice of the papers may !e made !y delierin" personally a copy to the party or his a%orney# or !y leain" it in his oce (ith his cler) or (ith a person hain" char"e thereof. If no person is fo$nd in his oce# or his oce is not )no(n# then !y leain" the copy# !et(een the ho$rs of ei"ht in the mornin" and si+ in the eenin"# at the partyXs or a%orneyXs residence# if )no(n# (ith a person of s$cient discreon to receie the same.
+. RESOLTION OF DOBT IN LA$ OR EVIDENCE
It is no( a familiar r$le that do$!t as to the interpretaon of la!or la(s and re"$laons has to !e resoled in faor of la!or. This precept is etched in the La!or 0ode 1Art. P; and# in similar tenor# the 0iil 0ode 1Art. 548;.
9.8 No 7oons for Reconsideraon and eon for Relief from F$d"ment Secon 56. 7oons for Reconsideraon and eons for Relief from F$d"ment. , No moons for reconsideraon or peons for relief from '$d"ment of any decision# resol$on or order of a La!or Ar!iter shall !e allo(ed.Uo(eer# (hen one s$ch moon for reconsideraon is /led# it shall !e treated as an appeal proided that it complies (ith the re*$irements for perfecn" an appeal.In the case of a peon for relief from '$d"ment# the La!or Ar!iter shall eleate the case to the 0ommission for disposion.
<<<<<<<< Art. 888. Appearances and ees. a. Non,la(yers may appear !efore the 0ommission or any La!or Ar!iter only: 5. If they represent themseles& or 8. If they represent their or"anizaon or mem!ers thereof. !. No a%orney?s fees# ne"oaon fees or similar char"es of any )ind arisin" from any collece !ar"ainin" a"reement shall !e imposed on any indiid$al mem!er of the contracn" $nion: roided# Uo(eer# that a%orney?s fees may !e char"ed a"ainst $nion f$nds in an amo$nt to
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
59 J L A T O N
!e a"reed $pon !y the pares. Any contract# a"reement or arran"ement of any sort to the contrary shall !e n$ll and oid. 1As amended !y residenal ecree No. 5395# 7ay 5# 59; <<<<<<<< 1. APPEARANCE OF NON0LA$YERS Secon . Appearances. , !; A non,la(yer may appear as co$nsel in any of the proceedin"s !efore the La!or Ar!iter or 0ommission only $nder the follo(in" condions: 15; he represents himself as party to the case& 18; he represents a le"imate la!or or"anizaon# as de/ned $nder Arcle 858 and 8P8 of the La!or 0ode# as amended# (hich is a party to the case: roided# that he presents: 1i; a cer/caon from the B$rea$ of La!or Relaons 1BLR; or Re"ional Oce of the epartment of La!or and Employment a%esn" that the or"anizaon he represents is d$ly re"istered and listed in the roster of le"imate la!or or"anizaons& 1ii; a eri/ed cer/caon iss$ed !y the secretary and a%ested to !y the president of the said or"anizaon stan" that he is a$thorized to represent the said or"anizaon in the said case& and 1iii; a copy of the resol$on of the !oard of directors of the said or"anizaon "rann" him s$ch a$thority& 12; he represents a mem!er or mem!ers of a le"imate la!or or"anizaon that is e+isn" (ithin the employerXs esta!lishment# (ho are pares to the case: roided# that he presents: 1i; a eri/ed cer/caon a%esn" that he is a$thorized !y s$ch mem!er or mem!ers to represent them in the case& and 1ii; a eri/ed cer/caon iss$ed !y the secretary and a%ested to !y the president of the said or"anizaon stan" that the person or persons he is represenn" are mem!ers of their or"anizaon (hich is e+isn" in the employerXs esta!lishment& 1P; he is a d$ly,accredited mem!er of any le"al aid oce reco"nized !y the epartment of F$sce or Inte"rated Bar of the hilippines: roided# that he 1i; presents proof of his accreditaon& and 1ii; represents a party to the case& 16; he is the o(ner or president of a corporaon or esta!lishment (hich is a party to the case: roided# that he presents: 1i; a eri/ed cer/caon a%esn" that he is a$thorized to represent said corporaon or esta!lishment& and 1ii; a copy of the resol$on of the !oard of directors of said corporaon# or other similar resol$on or instr$ment iss$ed !y said esta!lishment# "rann" him s$ch a$thority.
2. C)AN&E OF LA$YER
No s$!st$on of a%orneys (ill !e allo(ed $nless the follo(in" re*$isites conc$r: 5; there m$st !e /led a (ri%en applicaon for s$!st$on&
LABOR RELATIONS 8; there m$st !e /led the (ri%en consent of the client to the s$!st$on& 2; there m$st !e /led the (ri%en consent of the a%orney to !e s$!st$ted# if s$ch consent can !e o!tained& P; in case s$ch (ri%en consent cannot !e proc$red# there m$st !e /led (ith the applicaon for s$!st$on# proof of the serice of noce of s$ch moon in the manner re*$ired !y the r$les# on the a%orney to !e s$!st$ted. (. AT)ORITY TO BIND PARTY Secon 9. A$thority to Bind arty. , A%orneys and other representaes of pares shall hae a$thority to !ind their clients in all ma%ers of proced$re& !$t they cannot# (itho$t a special po(er of a%orney or e+press consent# enter into a compromise a"reement (ith the opposin" party in f$ll or paral dischar"e of a clientXs claim.
*. ATTORNEY%S FEE
The p$rpose of the proision is to preent imposion on the (or)ers of the d$ty to indiid$ally contri!$te their respece shares in the fee to !e paid the a%orney for his serices on !ehalf of the $nion in its ne"oaons (ith the mana"ement. The o!li"aon to pay the a%orneyXs fees !elon"s to the $nion and cannot !e sh$nted to the (or)ers as their direct responsi!ility. P.5 Ne"oaon ee The 56 ne"oaon fee (hich coers a%orney?s fees# a"ency fee# and the li)e is !ased on the amo$nt of !ac)(a"es receia!le $nder the 0BA (hich is !eyond (hat the la( "rants. P.8 or Serices Rendered !y nion Ocers Arcle 888 1!; prohi!its a%orneyXs fees# ne"oaons fees and similar char"es arisin" o$t of the concl$sion of a collece !ar"ainin" a"reement from !ein" imposed on any indiid$al $nion mem!er. The collecon of the special assessment partly for the payment for serices rendered !y $nion ocers# cons$ltants and others may not !e in the cate"ory of Ma%orneyXs fees or ne"oaons fees.M B$t there is no *$eson that it is an e+acon (hich falls (ithin the cate"ory of a Msimilar char"e#M and# therefore# (ithin the coera"e of the prohi!ion in the aforemenoned arcle. <<<<<<<< Chapter III APPEAL
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
8 J L A T O N
Art. 882. Appeal. ecisions# a(ards# or orders of the La!or Ar!iter are /nal and e+ec$tory $nless appealed to the 0ommission !y any or !oth pares (ithin ten 15; calendar days from receipt of s$ch decisions# a(ards# or orders. S$ch appeal may !e entertained only on any of the follo(in" "ro$nds: a. If there is prima facie eidence of a!$se of discreon on the part of the La!or Ar!iter& !. If the decision# order or a(ard (as sec$red thro$"h fra$d or coercion# incl$din" "raK and corr$pon&
LABOR RELATIONS amended !y Secon 58# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< 1. NO /OTION FOR RECONSIDERATION OF LABOR ARBITER%S DECISION
If any "ro$nds menoned in this Arcle e+ists# the losin" party may appeal the La!or Ar!iter?s decision to the NLR0 (ithin ten 15; days from receipt of the decision. 5.5 inal ecision 0annot Be Amended
c. If made p$rely on *$esons of la(& and d. If serio$s errors in the /ndin"s of facts are raised (hich (o$ld ca$se "rae or irrepara!le dama"e or in'$ry to the appellant. In case of a '$d"ment inolin" a monetary a(ard# an appeal !y the employer may !e perfected only $pon the posn" of a cash or s$rety !ond iss$ed !y a rep$ta!le !ondin" company d$ly accredited !y the 0ommission in the amo$nt e*$ialent to the monetary a(ard in the '$d"ment appealed from. In any eent# the decision of the La!or Ar!iter reinstan" a dismissed or separated employee# insofar as the reinstatement aspect is concerned# shall immediately !e e+ec$tory# een pendin" appeal. The employee shall either !e admi%ed !ac) to (or) $nder the same terms and condions preailin" prior to his dismissal or separaon or# at the opon of the employer# merely reinstated in the payroll. The posn" of a !ond !y the employer shall not stay the e+ec$on for reinstatement proided herein. To disco$ra"e friolo$s or dilatory appeals# the 0ommission or the La!or Ar!iter shall impose reasona!le penalty# incl$din" /nes or cens$res# $pon the errin" pares. In all cases# the appellant shall f$rnish a copy of the memorand$m of appeal to the other party (ho shall /le an ans(er not later than ten 15; calendar days from receipt thereof. The 0ommission shall decide all cases (ithin t(enty 18; calendar days from receipt of the ans(er of the appellee. The decision of the 0ommission shall !e /nal and e+ec$tory aKer ten 15; calendar days from receipt thereof !y the pares.
If not appealed on me# the La!or Ar!iter?s decision !ecomes /nal and cannot !e amended. The perfecon of an appeal (ithin the stat$tory or re"lementary period is not only mandatory !$t also '$risdiconal and fail$re to do so renders the *$esoned decision /nal and e+ec$tor# th$s depriin" the appellate co$rt of '$risdicon to alter the /nal '$d"ment# m$ch less entertain the appeal. 2. PERIOD TO APPEAL FRO/ LABOR ARBITER
8.5 Ten 0alendar ays A period of ten 15; days from receipt of any order is "ranted to either or to !oth pares inoled to appeal to the Naonal La!or Relaons 0ommission. AKer mat$re and caref$l deli!eraon# @e hae arried at the concl$sion that the shortened period of ten 15; days /+ed !y Arcle 882 contemplates calendar days and not (or)in" days. @e are pers$aded to this concl$sion# if only !eca$se @e !eliee that it is precisely in the interest of la!or that the la( has commanded that la!or cases !e promptly# if not peremptorily# dispose of. This 0o$rt reiterates the doctrine en$nciated in said case that the 5,day period proided in Art. 882 of the La!or 0ode refers to 5 calendar days and not 5 (or)in" days. This means that Sat$rdays# S$ndays and Le"al Uolidays are not to !e e+cl$ded# !$t incl$ded# in co$nn" the 5, day period. This is in line (ith the o!'ece of the la( for speedy disposion of la!or cases (ith the end in ie( of protecn" the interests of the (or)in" man. 8.8 Ten,0alendar,ay R$le Not Applica!le rior to Gir,Fen 0ase 8.2 nder the 86 NLR0 R$les of roced$re
Any la( enforcement a"ency may !e dep$zed !y the Secretary of La!or and Employment or the 0ommission in the enforcement of decisions# a(ards or orders. 1As
Secon 5. eriods of Appeal. , ecisions# resol$ons or orders of the La!or Ar!iter shall !e /nal and e+ec$tory $nless appealed to the 0ommission !y any or !oth pares (ithin ten
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
85 J L A T O N
LABOR RELATIONS 15; calendar days from receipt thereof& and in case of decisions# resol$ons or orders of the Re"ional irector of the epartment of La!or and Employment p$rs$ant to Arcle 589 of the La!or 0ode# (ithin /e 16; calendar days from receipt thereof. If the 5th or 6th day# as the case may !e# falls on a Sat$rday# S$nday or holiday# the last day to perfect the appeal shall !e the /rst (or)in" day follo(in" s$ch Sat$rday# S$nday or holiday.
8.P ate of Receipt !y 7ail The r$le is that serice !y re"istered mail is complete either $pon act$al receipt !y the addressee or at the end of /e 16; days# if he does not claim it (ithin /e 16; days from the /rst noce of the postmaster. 1R$le 52# Y; The p$rpose is to place the date of receipt of pleadin"s# '$d"ments and processes !eyond the po(er of the party !ein" sered to determine at his pleas$re. 8.6 ail$re to Cie 0opy of Appeal to Aderse arty @ithin Ten ays The fail$re to "ie copy of appeal to the appellee (ithin ten 15; days is not fatal if the appellee (as not pre'$diced !y the delay in the serice of said copy of appeal. 8.3 No E+tension of eriod Secon 5. eriods of Appeal. , No moon or re*$est for e+tension of the period (ithin (hich to perfect an appeal shall !e allo(ed.
8.4 eriods Cenerally 7andatory S$ch periods are imposed (ith a ie( to preent needless delays and to ens$re the orderly and speedy dischar"e of '$dicial !$siness. Strict compliance (ith s$ch r$le is !oth mandatory and imperae. (. &RONDS OF APPEAL Secon 8. Cro$nds. , The appeal may !e entertained only on any of the follo(in" "ro$nds: a; If there is prima facie eidence of a!$se of discreon on the part of the La!or Ar!iter or Re"ional irector& !; If the deci sion# resol$on or order (as sec$red thro$"h fra$d or coercion# incl$din" "raK and corr$pon&
Secon 2. @here iled. , The appeal shall !e /led (ith the Re"ional Ar!itraon Branch or Re"ional Oce (here the case (as heard and decided.
. RE4ISITES FOR PERFECTION OF APPEAL Secon P. re*$isites or erfecon Of Appeal. , a; The appeal shall !e: 5; /led (ithin the re"lementary period proided in Secon 5 of this R$le& 8; eri/ed !y the appellant himself in accordance (ith Secon P# R$le 4 of the R$les of 0o$rt# as amended& 2; in the form of a memorand$m of appeal (hich shall state the "ro$nds relied $pon and the ar"$ments in s$pport thereof# the relief prayed for# and (ith a statement of the date the appellant receied the appealed decision# resol$on or order& P; in three 12; le"i!ly type(ri%en or printed copies& and 6; accompanied !y i; proof of payment of the re*$ired appeal fee& ii; posn" of a cash or s$rety !ond as proided in Secon 3 of this R$le& iii; a cer/cate of non,for$m shoppin"& and i; proof of serice $pon the other pares. !; A mere noce of appeal (itho$t complyin" (ith the other re*$isites aforestated shall not stop the r$nnin" of the period for perfecn" an appeal. c; The appellee may /le (ith the Re"ional Ar!itraon Branch or Re"ional Oce (here the appeal (as /led# his ans(er or reply to appellantXs memorand$m of appeal# not later than ten 15; calendar days from receipt thereof. ail$re on the part of the appellee (ho (as properly f$rnished (ith a copy of the appeal to /le his ans(er or reply (ithin the said period may !e constr$ed as a (aier on his part to /le the same. d; S$!'ect to the proisions of Arcle 85 of the La!or 0ode# once the appeal is perfected in accordance (ith these R$les# the 0ommission shall limit itself to reie(in" and decidin" only the speci/c iss$es that (ere eleated on appeal.
7. FRIVOLOS APPEAL
Secon 55# R$le GI of the NLR0 R$les of roced$re empo(ers not only the 0ommission !$t also the La!or Ar!iter to impose reasona!le penales# incl$din" /nes and cens$res# $pon a party for /lin" a friolo$s appeal. This implies that een (hen the appeal is sll (ith the La!or,Ar!iter# and not yet transmi%ed to the 0ommission# the former may already /nd it friolo$s and# there and then# terminate that appeal. 3.5 neri/ed Le%er Not roper Appeal ,. PAY/ENT OF APPEAT FEES
c; If made p$rely on *$esons of la(& andor d; If serio$s errors in the /ndin"s of facts are raised (hich# if not corrected# (o$ld ca$se "rae or irrepara!le dama"e or in'$ry to the appellant.
Secon 6. Appeal ee. , The appellant shall pay an appeal fee of One U$ndred iKy esos 156.; to the Re"ional Ar!itraon Branch or Re"ional Oce of ori"in# and the ocial receipt of s$ch payment shall form part of the records of the case.
*. $)ERE TO FILE APPEAL Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
88 J L A T O N
LABOR RELATIONS The fail$re to pay the appeal doc)en" fee confers a directory and not a mandatory po(er to dismiss an appeal# and s$ch po(er m$st !e e+ercised (ith a so$nd discreon and (ith a "reat deal of circ$mspecon considerin" all a%endant circ$mstances. +. APPEAL BOND= FILIN& ON TI/E= E:CEPTIONS Secon 3. Bond. , In case the decision of the La!or Ar!iter or the Re"ional irector inoles a monetary a(ard# an appeal !y the employer may !e perfected only $pon the posn" of a !ond# (hich shall either !e in the form of cash deposit or s$rety !ond e*$ialent in amo$nt to the monetary a(ard# e+cl$sie of dama"es and a%orneyXs fees. In case of s$rety !ond# the same shall !e iss$ed !y a rep$ta!le !ondin" company d$ly accredited !y the 0ommission or the S$preme 0o$rt# and shall !e accompanied !y ori"inal or cer/ed tr$e copies of the follo(in": a; a 'oint declaraon $nder oath !y the employer# his co$nsel# and the !ondin" company# a%esn" that the !ond posted is "en$ine# and shall !e in e-ect $nl /nal disposion of the case. !; an indemnity a"reement !et(een the employer,appellant and !ondin" company& c; proof of sec$rity deposit or collateral sec$rin" the !ond: proided# that a chec) shall not !e considered as an accepta!le sec$rity& d; a cer/cate of a$thority from the Ins$rance 0ommission& e; cer/cate of re"istraon from the Sec$ries and E+chan"e 0ommission& f; cer/cate of a$thority to transact s$rety !$siness from the Oce of the resident& "; cer/cate of accreditaon and a$thority from the S$preme 0o$rt& and h; notarized !oard resol$on or secretaryXs cer/cate from the !ondin" company sho(in" its a$thorized si"natories and their specimen si"nat$res. A cash or s$rety !ond shall !e alid and e-ece from the date of deposit or posn"# $nl the case is /nally decided# resoled or terminated# or the a(ard sas/ed.This condion shall !e deemed incorporated in the terms and condions of the s$rety !ond# and shall !e !indin" on the appellants and the !ondin" company. The appellant shall f$rnish the appellee (ith a cer/ed tr$e copy of the said s$rety !ond (ith all the a!oe,menoned s$pporn" doc$ments.The appellee shall erify the re"$larity and "en$ineness thereof and immediately report any irre"$larity to the 0ommission. pon eri/caon !y the 0ommission that the !ond is irre"$lar or not "en$ine# the 0ommission shall ca$se the immediate
dismissal of the appeal# and cens$re or cite in contempt the responsi!le pares and their co$nsels# or s$!'ect them to reasona!le /ne or penalty. No moon to red$ce !ond shall !e entertained e+cept on meritorio$s "ro$nds# and only $pon the posn" of a !ond in a reasona!le amo$nt in relaon to the monetary a(ard. The mere /lin" of a moon to red$ce !ond (itho$t complyin" (ith the re*$isites in the precedin" para"raphs shall not stop the r$nnin" of the period to perfect an appeal.
The !ond is ine ,ua non to the perfecon of appeal from the la!or ar!iter?s monetary a(ard. .5 7oon to Red$ce Bond $nder NLR0 R$les A moon to red$ce the amo$nt of the !ond may !e entertained# !$t# meanme# a !ond in reasona!le amo$nt m$st !e /led any(ay. .8 No Bond# No Appeal erfected The la(ma)ers intended the posn" of a cash or s$rety !ond !y the employer to !e the e+cl$sie means !y (hich an employer?s appeal may !e considered completed. .8a Rela+in" the Ten,day eriod .2 No isncon Bet(een =ilin"> and =erfecon> of Appeal& Star An"el ecision# Not =Genera!le> .P Amo$nt of Appeal Bond E+cl$des ama"es An appeal is deemed perfected $pon the posn" of the !ond e*$ialent to the monetary a(ard exclui!e o& #oral and exe#%lar- da#age a ell a a/orne-0 &ee. .6 Is roperty Bond Accepta!leZ WES. .3 S$persedeas Bond S$!stanal '$sce demands that it f$l/ll its commitment to post the !ond in order to stay e+ec$on of the '$d"ment a"ainst it pendin" resol$on of the appeal therefrom. This consideraon cannot !e o$t(ei"hed !y the claim that proced$ral errors (ere commi%ed !y the La!or Ar!iter. 8. RECORDS AND TRANS/ITTAL Secon 4. Records of 0ase on Appeal. , The records of a case shall hae a correspondin" inde+ of its contents (hich shall incl$de the follo(in": a; the ori"inal copy of the complaint& !; other pleadin"s and moons& c; min$tes of the proceedin"s# noces# transcripts of steno"raphic notes# if any& d; decisions#
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
82 J L A T O N
LABOR RELATIONS orders# and resol$ons as (ell as proof of serice thereof# if aaila!le& e; the comp$taon of the a(ard& f; memorand$m of appeal and the reply or ans(er thereto# if any# and proof of serice# if aaila!le& "; ocial receipt of the appeal fee& and h; the appeal !ond# if any.
Secon 55. Appeals from ecision of Other A"encies. , The R$les proided herein "oernin" appeals from the decisions or orders of La!or Ar!iters shall apply to appeals to the 0ommission from decisions or orders of the other oces or a"encies appeala!le to the 0ommission accordin" to la(.
The records shall !e chronolo"ically arran"ed and pa"ed prominently.
1(. PROCEEDIN& BEFORE T)E CO//ISSION
Secon . Transmi%al Of Records Of 0ase On Appeal. , @ithin forty,ei"ht 1P; ho$rs aKer the /lin" of the appeal# the records of the case shall !e transmi%ed !y the Re"ional Ar!itraon Branch or oce of ori"in to the 0ommission.
19. EFFECT OF APPEAL OF ARBITER%S DECISION Secon 9. erfecon Of Appeal& E-ect. , @itho$t pre'$dice to immediate reinstatement pendin" appeal $nder Secon 3 of R$le [I# once an appeal is /led# the La!or Ar!iter loses '$risdicon oer the case. All pleadin"s and moons pertainin" to the appealed case shall thereaKer !e addressed to and /led (ith the 0ommission.
5.5 E+ec$on or Reinstatement endin" Appeal Secon 3. E+ec$on of Reinstatement endin" Appeal. , In case the decision incl$des an order of reinstatement# and the employer diso!eys the direce $nder the second para"raph of Secon 5P of R$le G or ref$ses to reinstate the dismissed employee# the La!or Ar!iter shall immediately iss$e (rit of e+ec$on# een pendin" appeal# direcn" the employer to immediately reinstate the dismissed employee either physically or in the payroll# and to pay the accr$ed salaries as a conse*$ence of s$ch reinstatement at the rate speci/ed in the decision. The Sheri- shall sere the (rit of e+ec$on $pon the employer or any other person re*$ired !y la( to o!ey the same. If he diso!eys the (rit# s$ch employer or person may !e cited for contempt in accordance (ith R$le I[.
5.8 E-ect of erfecon of Appeal on E+ec$on Secon 9. E-ect of erfecon of Appeal on E+ec$on. , The perfecon of an appeal shall stay the e+ec$on of the decision of the La!or Ar!iter on appeal# e+cept e+ec$on for reinstatement pendin" appeal.
11. FRIVOLOS OR DILATORY APPEALS Secon 5. riolo$s or ilatory Appeals. , No appeal from an interloc$tory order shall !e entertained.To disco$ra"e friolo$s or dilatory appeals# incl$din" those ta)en from interloc$tory orders# the 0ommission may cens$re or cite in contempt the errin" pares and their co$nsels# or s$!'ect them to reasona!le /ne or penalty.
Secon 8. 0omposion and Internal $ncons of the 0ommission En Banc and Its iisions. !; 0ommission En Banc. , The 0ommission shall sit en !anc only for p$rposes of prom$l"an" r$les and re"$laons "oernin" the hearin" and disposion of cases !efore its iisions and Re"ional Ar!itraon Branches# and for the form$laon of policies a-ecn" its administraon and operaons. It may# on temporary or emer"ency !asis# allo( cases (ithin the '$risdicon of any iision to !e heard !y any other iision (hose doc)et allo(s the addional (or)load and s$ch transfer (ill not e+pose li"ants to $nnecessary addional e+pense. c; iisions. , nless other(ise proided !y la(# the 0ommission shall e+ercise its ad'$dicatory and all other po(ers# f$ncons and d$es thro$"h its /e 16; iisions. Each iision shall consist of one mem!er from the p$!lic sector (ho shall act as the residin" 0ommissioner and one mem!er each from the (or)ers and employers sectors# respecely. Secon P. 0ommission En Banc Session# H$or$m and Gote. , c; iision. , The presence of at least t(o 18; 0ommissioners of a iision shall const$te a *$or$m. The conc$rrence of t(o 18; 0ommissioners of a iision shall !e necessary for the prono$ncement of a '$d"ment or resol$on. @heneer the re*$ired mem!ership in a iision is not complete and the conc$rrence of t(o 18; 0ommissioners to arrie at a '$d"ment or resol$on cannot !e o!tained# the 0hairman shall desi"nate s$ch n$m!er of addional 0ommissioners from the other iisions as may !e necessary from the same sector. d; Role of 0hairman in the iision. , The 0hairman of the 0ommission may conene and preside oer the session of any iision to consider any case pendin" !efore it and parcipate in its deli!eraons# if in his '$d"ment# his presence therein (ill !est sere the interests of la!or '$sce. Ue shall not ho(eer# parcipate in the on" !y the iision# e+cept (hen he is acn" as residin" 0ommissioner of the iision in the a!sence of the re"$lar residin" 0ommissioner
52.5 Iss$es on Appeal Secon P1d; R$le GI of the NLR0 R$les of roced$re# the 0ommission shall# in cases of perfected appeals# limit itself to reie(in" those iss$es (hich (ere raised on appeal. 52.8 Technical R$les Not Bindin"
12. APPEALS FRO/ DECISION OF OT)ER A&ENCIES Secon 5. Technical R$les Not Bindin". , The r$les of proced$re and eidence preailin" in co$rts of la( and e*$ity Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
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LABOR RELATIONS shall not !e controllin" and the 0ommission shall $se eery and all reasona!le means to ascertain the facts in each case speedily and o!'ecely# (itho$t re"ard to technicalies of la( or proced$re# all in the interest of d$e process. In any proceedin" !efore the 0ommission# the pares may !e represented !y le"al co$nsel !$t it shall !e the d$ty of the 0hairman# any residin" 0ommissioner or 0ommissioner to e+ercise complete control of the proceedin"s at all sta"es.
eent that a mem!er inhi!its himself# the case shall !e ra\ed !y the E+ec$e 0ler) or ep$ty E+ec$e 0ler) to either of the t(o 18; remainin" 0ommissioners. In case t(o 18; 0ommissioners in a iision inhi!it themseles in a case or ma%er !efore it# the 0hairman shall# as far as pracca!le# appoint t(o 18; 0ommissioners from other iisions represenn" the sector of the 0ommissioners (ho inhi!ited themseles.
1*. FOR/ OF DECISION5 RESOLTION AND ORDER
52.8a Eidence S$!mi%ed on Appeal to NLR0 The se%led r$le is that the NLR0 is not precl$ded from receiin" eidence on appeal as technical r$les of eidence are not !indin" in la!or cases. In fact# la!or ocials are mandated !y the La!or 0ode to $se eery and all reasona!le means to ascertain the facts in each case speedily and o!'ecely# (itho$t re"ard to technicalies of la( or proced$re# all in the interest of d$e process. 52.2 0onciliaon7ediaon Secon 55. 0onciliaon and 7ediaon. , In the e+ercise of its e+cl$sie# ori"inal and appellate '$risdicon# the 0ommission may e+ert all e-orts to(ards the amica!le se%lement of a la!or disp$te. The se%lement of cases on appeal# to !e alid and !indin" !et(een the pares# shall !e made !efore the 0ommissioner or his a$thorized representae.
52.P 0ons$ltaon Secon 6. 0ons$ltaon. , The concl$sions of a iision on any case or ma%er s$!mi%ed to it for decision shall !e reached in cons$ltaon !efore the case is assi"ned to a mem!er for the (rin" of the opinion. It shall !e mandatory for the iision to meet for the p$rpose of the cons$ltaon ordained herein. A cer/caon to this e-ect si"ned !y the residin" 0ommissioner of the iision shall !e iss$ed and a copy thereof a%ached to the record of the case and sered $pon the pares.
Secon 52. orm of ecision# Resol$on and Order. , The decision# resol$on and order of the 0ommission shall state clearly and disnctly the /ndin"s of facts# iss$es# and concl$sions of la( on (hich it is !ased# and the relief "ranted# if any. If the decision# resol$on or order inoles monetary a(ards# the same shall contain the speci/c amo$nt a(arded as of the date the decision is rendered.
nder Art. 882# the 0ommission shall decide ll cases (ithin t(enty calendar days from receipt of the ans(er of the appellee. The decision of the 0ommission shall !e /nal and e+ec$tory aKer ten calendar days from receipt thereof !y the pares. 5P.5 Reasoned Reersal @hile it is (ithin respondent 0ommissionXs competence# as an appellate a"ency reie(in" decisions of La!or Ar!iters# to disa"ree (ith and set aside the la%erXs /ndin"s# it stands to reason that it sho$ld state an accepta!le ca$se therefor. It (o$ld other(ise !e a (himsical# capricio$s# oppressie# illo"ical# $nreasona!le e+ercise of *$asi,'$dicial prero"ae# s$!'ect to inalidaon !y the e+traordinary (rit of cer$orari . 5P.8 E+tended 7eanin" of =Appeal> $nder Arcle 882& NLR0 7ay Iss$e @rit of Cer$orari 1. FINALITY OF DECISION OF T)E CO//ISSION AND ENTRY OF 6D&/ENT
52.6 issenn" Opinion Secon 3. issenn" Opinion. , Sho$ld any mem!er of a iision indicate his intenon to (rite a dissenn" opinion# he may /le the same (ithin the period prescri!ed for decidin" or resolin" the appeal& other(ise# s$ch (ri%en dissenn" opinion shall not !e considered part of the records of the case.
52.6 Inhi!ion Secon 4. Inhi!ion. , No moon to inhi!it the enre iision of the 0ommission shall !e entertained. Uo(eer# any 0ommissioner may inhi!it himself from the consideraon and resol$on of any case or ma%er !efore the iision and shall so state in (rin" the le"al or '$s/a!le "ro$nds therefor. In the
Secon 5P. inality Of ecision Of The 0ommission And Entry Of F$d"ment. , a; inality of the ecisions# Resol$ons or Orders of the 0ommission. , E+cept as proided in Secon 9 of R$le [# the decisions# resol$ons or orders of the 0ommission shall !ecome /nal and e+ec$tory aKer ten 15; calendar days from receipt thereof !y the pares. !; Entry of F$d"ment. , pon the e+piraon of the ten 15; calendar day period proided in para"raph 1a; of this Secon# the decision# resol$on# or order shall !e entered in a !oo) of entries of '$d"ment. The E+ec$e 0ler) or ep$ty E+ec$e 0ler) shall consider the decision# resol$on or order as /nal and e+ec$tory aKer si+ty 13; calendar days from date of mailin" in the a!sence of ret$rn
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
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LABOR RELATIONS cards# cer/caons from the post oce# or other proof of serice to pares.
17. /OTION FOR RECONSIDERATION Secon 56.7OTIONS OR RE0ONSIERATION. , 7oon for reconsideraon of any decision# resol$on or order of the 0ommission shall not !e entertained e+cept (hen !ased on palpa!le or patent errors& proided that the moon is $nder oath and /led (ithin ten 15; calendar days from receipt of decision# resol$on or order# (ith proof of serice that a copy of the same has !een f$rnished# (ithin the re"lementary period# the aderse party& and proided f$rther# that only one s$ch moon from the same party shall !e entertained. Sho$ld a moon for reconsideraon !e entertained p$rs$ant to this secon# the resol$on shall !e e+ec$tory aKer ten 15; calendar days from receipt thereof.
The NLR0 R$les does not allo( a second moon for reconsideraon. The NLR0 a!$ses its discreon (hen it iolates its o(n r$les !y entertainin" s$ch a moon. A s$pplemental moon for reconsideraon /led o$tside the 5,day appeal period cannot !e entertained. 53.5 arty @ho ailed to Appeal on Time rom ecision of La!or Ar!iter 7ay Sll ile 7oon for Reconsideraon of NLR0 ecision It is also an accepted post$late that iss$es not raised in the lo(er co$rt or the la!or ar!iter may not !e raised for the /rst me on appeal. 1,. CERTIFIED CASES 1+. APPEAL FRO/ T)E NATIONAL LABOR RELATIONS CO//ISSION
5.5 Reie( !y Cer$orari !y the 0o$rt of Appeals& St. 7arn case In a n$tshell# the St. 7arn precedent states: 15; the (ay to reie( NLR0 decisions is thro$"h the special ciil acon of cer$orari $nder R$le 36& 18; the '$risdicon oer s$ch acon !elon"s to !oth the S$preme 0o$rt and the 0o$rt of Appeals& !$t 12; in line (ith the doctrine n hierarchy of co$rts# the peon sho$ld !e inially presented to the lo(er of the t(o co$rts# that is# the 0o$rt of Appeals. 5.8 @hen and @here to ile eon
Secon P.@hen and (here peon /led. The peon shall !e /led not later than si+ty 13; days from noce of the '$d"ment# order or resol$on. In case a moon for reconsideraon or ne( trial is mely /led# (hether s$ch moon is re*$ired or not# the si+ty 13; day period shall !e co$nted from noce of the denial of said moon. The peon shall !e /led in the S$preme 0o$rt or# if it relates to the acts or omissions of a lo(er co$rt or of a corporaon# !oard# ocer or person# in the Re"ional Trial 0o$rt e+ercisin" '$risdicon oer the territorial area as de/ned !y the S$preme 0o$rt. It may also !e /led in the 0o$rt of Appeals (hether or not the same is in aid of its appellate '$risdicon# or in the Sandi"an!ayan if it is in aid of its appellate '$risdicon. If it inoles the acts or omissions of a *$asi,'$dicial a"ency# $nless other(ise proided !y la( or these R$les# the peon shall !e /led in and co"niza!le only !y the 0o$rt of Appeals. No e+tension of me to /le the peon shall !e "ranted e+cept for compellin" reason and in no case e+ceedin" /Keen 156; days. 1Pa; 1Bar 7a%er No. 2# 85 F$ly 599& A.7. No. ,8,2, S0;
5.8a One ay Late The 3,day period m$st caref$lly !e o!sered. Re"lementary periods are indispensa!le interdicons a"ainst needless delays. 5.8! 0er/ed Tr$e 0opy of NLR0 ecision N$mero$s decisions iss$ed !y this 0o$rt emphasize that in appeals $nder R$le P6 and in ori"inal ciil acons for cer$orari $nder R$le 36 in relaon to R$les P3 and 63# (hat is re*$ired to !e cer/ed is the copy of the *$esoned '$d"ment# /nal order or resol$on. Since the LAXs ecision (as not the *$esoned r$lin"# it did not hae to !e cer/ed. @hat had to !e cer/ed (as the NLR0 ecision. 5.2 E-ect on NLR0?s ecision Secon 5. E-ect of eon for Cer$orari on E+ec$on. , A peon for cer$orari (ith the 0o$rt of Appeals or the S$preme 0o$rt shall not stay the e+ec$on of the assailed decision $nless a restrainin" order is iss$ed !y said co$rts.
5.P Appeal to La!or Secretary A!olished residenal ecree No. 5295 amended Arcle 882 and a!olished appeals to the Secretary of La!or. 5.6 Cro$nds for Cer$orari A party may seasona!ly aail of the special ciil acon for cer$orari # (here the tri!$nal# !oard or ocer e+ercisin" '$dicial f$ncons has acted (itho$t or in e+cess of its
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
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'$risdicon# or (ith "rae a!$se of discreon# and prayin" that '$d"ment !e rendered ann$llin" or modifyin" the proceedin"s# as the la( re*$ires# of s$ch tri!$nal# !oard or ocer. In spite of stat$tory proisions ma)in" ]/nal? the decisions of certain administrae a"encies# the S$preme 0o$rt or 0o$rt of Appeals $sin" the po(er of '$dicial reie(# has ta)en co"nizance of peons *$esonin" the decisions (here (ant of '$risdicon# "rae a!$se of discreon# iolaon of d$e process# denial of s$!stanal '$sce# or erroneo$s interpretaon of the la( (ere !ro$"ht to its a%enon. The (rit of cer$orari (ill iss$e to $ndo those acts# and do '$sce to the a""rieed party. 5.3 =Crae A!$se of iscreon> By "rae a!$se of discreon is meant capricio$s and (himsical e+ercise of '$d"ment as is e*$ialent to lac) of '$risdicon. 7ere a!$se of discreon is not eno$"h. It m$st !e "rae a!$se of discreon as (hen the po(er is e+ercised in an ar!itrary or despoc manner !y reason of passion or personal hoslity# and m$st !e so patent and so "ross as to amo$nt to an easion of a posie d$ty or to a irt$al ref$sal to perform the d$ty en'oined or to act at all in contemplaon of la(. 5.4 Sole Oce of Cer$orari The appellate co$rt?s '$risdicon to reie( a decision of the NLR0 in a peon for cerorari is con/ned to iss$es of '$risdicon or "rae a!$se of discreon. An e+traordinary remedy# a peon for cerorari is aaila!le only and restricely in tr$ly e+ceponal cases. The sole oce of the (rit of cerorari is the correcon of errors of '$risdicon incl$din" the commission of "rae a!$se of discreon amo$nn" to lac) or e+cess of '$risdicon. It does not incl$de correcon of the NLR0?s eal$aon of the eidence or of its fact$al /ndin"s. S$ch /ndin"s are "enerally accorded not only respect !$t also /nality. A party assailin" s$ch /ndin"s !ears the !$rden of sho(in" that the tri!$nal acted capricio$sly and (himsically or in total disre"ard of eidence material to the controersy# in order that the e+traordinary (rit of cerorari (ill lie. 5. Appeal from OSE0 to 0A& St. 7arn R$lin" Applies Tho$"h appeals from the NLR0 to the Secretary of La!or (ere eliminated# presently there are seeral instances in the La!or 0ode and its implemenn" and related r$les (here an appeal can !e /led (ith the Oce of the Secretary of La!or or the Secretary of La!or iss$es a r$lin"# to (it:
LABOR RELATIONS 15; nder the R$les and Re"$laons Coernin" Recr$itment and lacement A"encies for Local Employment 5P dated F$ne 6# 5994 s$persedin" certain proisions of Boo) I 1re,Employment; of the implemenn" r$les# the decision of the Re"ional irector on complaints a"ainst a"encies is appeala!le to the Secretary of La!or (ithin ten 15; (or)in" days from receipt of a copy of the order# on speci/ed "ro$nds# (hose decision shall !e /nal and inappeala!le. 18; Art. 58 of the La!or 0ode proides that an order iss$ed !y the d$ly a$thorized representae of the Secretary of La!or in la!or standards cases p$rs$ant to his isitorial and enforcement po(er $nder said arcle may !e appealed to the Secretary of La!or. Sec. 8 in relaon to Secon 2 1a;# R$le [# Boo) III 10ondions of Employment; of the implemenn" r$les "ies the Re"ional irector the po(er to order and administer compliance (ith the la!or standards proisions of the 0ode and other la!or le"islaon. Secon P "ies the Secretary the po(er to reie( the order of the Re"ional irector# and the SecretaryXs decision shall !e /nal and e+ec$tory. Sec. 5# R$le IG 1Appeals; of the R$les on the isposion of La!or Standards 0ases in the Re"ional Oces dated Septem!er 53# 594 56 proides that the order of the Re"ional irector in la!or standards cases shall !e /nal and e+ec$tory $nless appealed to the Secretary of La!or. Sec. 6# R$le G 1E+ec$on; proides that the decisions# orders or resol$ons of the Secretary of La!or and Employment shall !ecome /nal and e+ec$tory aKer ten 15; calendar days from receipt of the case records. The /lin" of a peon for cerorari !efore the S$preme 0o$rt shall not stay the e+ec$on of the order or decision $nless the a""rieed party sec$res a temporary restrainin" order from the 0o$rt (ithin /Keen 156; calendar days from the date of /nality of the order or decision or posts a s$persedeas !ond. Sec. 3 of R$le GI 1Uealth and Safety 0ases; proides that the Secretary of La!or at his o(n iniae or $pon the re*$est of the employer andor employee may reie( the order of the Re"ional irector in occ$paonal health and safety cases. The SecretaryXs order shall !e /nal and e+ec$tory.
18; Art. 823 proides that the decision of the La!or Relaons iision in the re"ional oce denyin" an applicant la!or or"anizaon# associaon or "ro$p of $nions or (or)ersX applicaon for re"istraon may !e appealed !y the applicant $nion to the B$rea$ of La!or Relaons (ithin ten 15; days from receipt of noce thereof. Sec. P# R$le G# Boo) G 1La!or Relaons;# as amended !y epartment Order No. 9 dated 7ay 5# 5994 53 proides that the decision of the Re"ional Oce denyin" the applicaon for re"istraon of a (or)ers associaon (hose place of operaon is con/ned to one re"ional '$risdicon# or the B$rea$ of La!or
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
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Relaons denyin" the re"istraon of a federaon# naonal or ind$stry $nion or trade $nion center may !e appealed to the B$rea$ or the Secretary as the case may !e (ho shall decide the appeal (ithin t(enty 18; calendar days from receipt of the records of the case.
12; Art. 82 proides that the cer/cate of re"istraon of any le"imate or"anizaon shall !e canceled !y the B$rea$ of La!or Relaons if it has reason to !eliee# aKer d$e hearin"# that the said la!or or"anizaon no lon"er meets one or more of the re*$irements prescri!ed !y la(. Sec. P# R$le GIII# Boo) G proides that the decision of the Re"ional Oce or the irector of the B$rea$ of La!or Relaons may !e appealed (ithin ten 15; days from receipt thereof !y the a""rieed party to the irector of the B$rea$ or the Secretary of La!or# as the case may !e# (hose decision shall !e /nal and e+ec$tory.
1P; Art. 869 proides that any party to a cer/caon elecon may appeal the order or res$lts of the elecon as determined !y the 7ed,Ar!iter directly to the Secretary of La!or (ho shall decide the same (ithin /Keen 156; calendar days.
LABOR RELATIONS /nal and e+ec$tory ten 15; calendar days aKer receipt thereof !y the pares. 5.9 E+ha$son of Administrae Remedies& 7oon for Reconsideraon Re*$ired The remedy of an a""rieed party in a decision or resol$on of the Secretary of the OLE is to mely /le a moon for reconsideraon as a precondion of or any f$rther or s$!se*$ent remedy# and then seasona!ly /le a special ciil acon for cer$orari $nder R$le 36 of the 5994 R$les of 0iil roced$re. eoner?s fail$re to /le its moon for reconsideraon seasona!ly is fatal to its ca$se and in e-ect# renders /nal and e+ec$tor the Resol$on of the Secretary of the OLE. A peon for cer$orari sho$ld !e preceded !y e+ha$son of administrae remedies. @hen an administrae remedy is proided !y la(# relief m$st !e so$"ht !y /rst e+ha$sn" that remedy !efore see)in" '$dicial interenon. ail$re to do so is fatal. 5.5 E+cepons
Sec. 58# R$le [I# Boo) G proides that the decision of the 7ed, Ar!iter on the peon for cer/caon elecon may !e appealed to the Secretary. Sec. 56# R$le [I# Boo) G proides that the decision of the Secretary of La!or on an appeal from the 7ed,Ar!iterXs decision on a peon for cer/caon elecon shall !e /nal and e+ec$tory. The implementaon of the decision of the Secretary armin" the decision to cond$ct a cer/caon elecon shall not !e stayed $nless restrained !y the appropriate co$rt. Sec. 56# R$le [II# Boo) G proides that the decision of the 7ed, Ar!iter on the res$lts of the cer/caon elecon may !e appealed to the Secretary (ithin ten 15; days from receipt !y the pares of a copy thereof# (hose decision shall !e /nal and e+ec$tory. Sec. 4# R$le [GIII 1Administraon of Trade nion $nds and Acons Arisin" Therefrom;# Boo) G proides that the decision of the B$rea$ in complaints /led directly (ith said oce pertainin" to administraon of trade $nion f$nds may !e appealed to the Secretary of La!or (ithin ten 15; days from receipt of the pares of a copy thereof. Sec. 5# R$le [[IG 1E+ec$on of ecisions# A(ards# or Orders;# Boo) G proides that the decision of the Secretary of La!or shall !e /nal and e+ec$tory aKer ten 15; calendar days from receipt thereof !y the pares $nless other(ise speci/cally proided for in Boo) G.
16; Art. 832 proides that the Secretary of La!or shall decide or resole the la!or disp$te oer (hich he ass$med '$risdicon (ithin thirty 12; days from the date of the ass$mpon of '$risdicon. Uis decision shall !e
It has !een held that the re*$irement of a moon for reconsideraon may !e dispensed (ith in the follo(in" instances: 15; (hen the iss$e raised is one p$rely of la(& 18; (here p$!lic interest is inoled& 12; in cases of $r"ency& and 1P; (here special circ$mstances (arrant immediate or more direct acon. On the other hand# amon" the accepted e+cepons to the r$le on e+ha$son of administrae remedies are: 15; (here the *$eson in disp$te is p$rely a le"al one& and 18; (here the controerted act is patently ille"al or (as performed (itho$t '$risdicon or in e+cess of '$risdicon. 18. CERTIFICATION OF NON0FOR/ S)OPPIN&
or$m shoppin" is the act or a%empt to present the same disp$te to di-erent ad'$dicators in the hope of sec$rin" a fao$ra!le r$lin". In relaon thereto# R$le 4# Secon 6 of the R$les of 0o$rt proides: 0er/caon a"ainst for$m shoppin".The plain- or principal party shall cerfy $nder oath in the complaint or other iniatory pleadin" assern" a claim for relief# or in a s(orn cer/caon anne+ed thereto and sim$ltaneo$sly /led there(ith: 1a; that he has not theretofore commenced any acon or /led any claim inolin" the same iss$es in any co$rt# tri!$nal or *$asi,'$dicial a"ency and# to the !est of his )no(led"e# no s$ch other acon or claim is pendin" therein&
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
8 J L A T O N
LABOR RELATIONS 8.P E+cepons: 1!; if there is s$ch other pendin" acon or claim# a complete statement of the present stat$s thereof& and 1c; if he sho$ld thereaKer learn that the same or similar acon or claim has !een /led or is pendin"# he shall report that fact (ithin /e 16; days therefrom to the co$rt (herein his aforesaid complaint or iniatory pleadin" has !een /led.
ail$re to comply (ith the fore"oin" re*$irements shall not !e c$ra!le !y mere amendment of the complaint or other iniatory pleadin" !$t shall !e ca$se for the dismissal of the case (itho$t pre'$dice# $nless other(ise proided# $pon moon and aKer hearin". The s$!mission of a false cer/caon or non,compliance (ith any of the $nderta)in"s therein shall const$te indirect contempt of co$rt# (itho$t pre'$dice to the correspondin" administrae and criminal acons. If the acts of the party or his co$nsel clearly const$te (illf$l and deli!erate for$m shoppin"# the same shall !e "ro$nd for s$mmary dismissal (ith pre'$dice and shall const$te direct contempt# as (ell as a ca$se for administrae sancons. 59.5 0er/caon of Nonfor$m Shoppin" 7$st !e 7ade !y eoner The cer/caon m$st !e made !y peoner himself and not !y co$nsel since it is peoner (ho is in the !est posion to )no( (hether he has preio$sly commenced any similar acon inolin" the same iss$es in any other tri!$nal or a"ency.
15; (hen the /ndin"s are "ro$nded enrely on spec$laon# s$rmises# or con'ect$res& 18; (hen the inference made is manifestly mista)en# a!s$rd# or impossi!le& 12; (hen there is "rae a!$se of discreon& 1P; (hen the '$d"ment is !ased on a misapprehension of facts& 16; (hen the /ndin"s of facts are conVicn"& 13; (hen in ma)in" its /ndin"s# the 0o$rt of Appeals (ent !eyond the iss$es of the case# or its /ndin"s are contrary to the admissions of !oth the appellant and the appellee& 14; (hen the /ndin"s are contrary to the trial co$rt& 1; (hen the /ndin"s are concl$sions (itho$t citaon of speci/c eidence on (hich they are !ased& 19; (hen the facts set forth in the peon as (ell as in the peonerXs main and reply !riefs are not disp$ted !y the respondent& 15; (hen the /ndin"s of fact are premised on the s$pposed a!sence of eidence and contradicted !y the eidence on record& and
29. DISPOSITION BY T)E CORT OF APPEALS
8.8 ismissal of Appeal
155; (hen the 0o$rt of Appeals manifestly oerloo)ed certain releant facts not disp$ted !y the pares# (hich# if properly considered# (o$ld '$sfy a di-erent concl$sion.
8.2 indin"s of acts Cenerally inal
8.6 E+amples: Some indin"s of acts Reersed
As a "eneral r$le# the /ndin"s of administrae a"encies are accorded not only respect !$t een /nality.
21. FRO/ CA TO SC3 ONLY 4ESTION OF LA$5 RLE *
8.5 Remand
The doctrine that the /ndin"s of facts of the NLR0 are !indin" on this 0o$rt if s$pported !y s$!stanal eidence is (ell esta!lished. Uo(eer# in the same (ay that the /ndin"s of facts $ns$pported !y s$!stanal and credi!le eidence do not !ind the S$preme 0o$rt or 0o$rt of Appeals# neither (ill (e $phold erroneo$s concl$sions of the NLR0 (hen (e /nd that the la%er commi%ed "rae a!$se of discreon in reersin" the decision of the la!or ar!iter# especially if the /ndin"s of NLR0 !ased on praccally the same facts esta!lished in the hearin"s !efore the ar!iter are spec$lae and con'ect$ral
It m$st !e /led (ithin /Keen 156; days from noce of the '$d"ment or /nal order or resol$on appealed from# or of the denial of the peoner?s moon for ne( trial or reconsideraon. The special ciil acon of cer$orari $nder R$le 36 cannot !e $sed as a s$!st$te for an appeal $nder R$le P6 that the peoner already lost. <<<<<<<< Art. 88P. E+ec$on of decisions# orders or a(ards. a. The Secretary of La!or and Employment or any Re"ional irector# the 0ommission or any La!or Ar!iter# or 7ed,Ar!iter or Gol$ntary Ar!itrator may# #o"u
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
89 J L A T O N
%ro%rio or on moon of any interested party# iss$e a (rit of e+ec$on on a '$d"ment (ithin /e 16; years from the date it !ecomes /nal and e+ec$tory# re*$irin" a sheri- or a d$ly dep$zed ocer to e+ec$te or enforce /nal decisions# orders or a(ards of the Secretary of La!or and Employment or re"ional director# the 0ommission# the La!or Ar!iter or med,ar!iter# or ol$ntary ar!itrators. In any case# it shall !e the d$ty of the responsi!le ocer to separately f$rnish immediately the co$nsels of record and the pares (ith copies of said decisions# orders or a(ards. ail$re to comply (ith the d$ty prescri!ed herein shall s$!'ect s$ch responsi!le ocer to appropriate administrae sancons.
!. The Secretary of La!or and Employment# and the 0hairman of the 0ommission may desi"nate special sheri-s and ta)e any meas$re $nder e+isn" la(s to ens$re compliance (ith their decisions# orders or a(ards and those of the La!or Ar!iters and ol$ntary ar!itrators# incl$din" the imposion of administrae /nes (hich shall not !e less than 6. nor more than 5#.. 1As amended !y Secon 52# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< 1. E:ECTION
A (rit of =E+ec$on> is an order to carry o$t# to implement# a /nal '$d"ment. nder Art. 88P# a (rit of e+ec$on may !e iss$ed !y the follo(in" ocials for the /nal decisions# order or a(ards prom$l"ated !y them: a; Secretary of La!or and Employment& !; any Re"ional irector& c; the 0ommission& d; the La!or Ar!iter& e;the 7ed,Ar!iter& f; the Gol$ntary Ar!itrator& or "; the anel of Ar!itrators. The (rit of e+ec$on on a '$d"ment may !e iss$ed #o"u %ro%rio or on moon of any interested party (ithin /e 16; years from the date it !ecomes /nal and e+ec$tory E+ec$on is done thro$"h the re"$lar or special sheri-. B$t alternaely# the Secretary# the 0ommission# any La!or Ar!iter# the Re"ional irector or the irector of the B$rea$ of La!or Relaons in appropriate cases may
LABOR RELATIONS dep$ze the hilippine Naonal olice or any la( enforcement a"encies in the enforcement of /nal a(ards# orders or decisions. 5.5 Arcle 88P is E+ec$on# Not Appeal# roced$re 5.8 Both arty and 0o$nsel Sho$ld Be No/ed 2. E:ECTION PON FINALITY OF DECISION OR ORDER Secon 5. E+ec$on pon inality of ecision or Order. , a; A (rit of e+ec$on may !e iss$ed #o"u %ro%rio or on moon# $pon a decision or order that /nally disposes of the acon or proceedin"s aKer the pares and their co$nsels or a$thorized representaes are f$rnished (ith copies of the decision or order in accordance (ith these R$les# !$t only aKer the e+piraon of the period to appeal if no appeal has !een /led# as sho(n !y the cer/cate of /nality. If an appeal has !een /led# a (rit of e+ec$on may !e iss$ed (hen there is an entry of '$d"ment as proided for in Secon 5P of R$le GII. !; No moon for e+ec$on shall !e entertained nor a (rit of e+ec$on !e iss$ed $nless the La!or Ar!iter or the 0ommission is in possession of the records of the case (hich shall incl$de an entry of '$d"ment if the case (as appealed& e+cept that# as proided for in Secon 5P of R$le G and Secon 3 of this R$le# and in those cases (here paral e+ec$on is allo(ed !y la(# the La!or Ar!iter shall retain d$plicate ori"inal copies of the decision to !e implemented and proof of serice thereof for the p$rpose of immediate enforcement. Secon 8. re,E+ec$on 0onference. , @ithin t(o 18; (or)in" days from receipt of a moon for the iss$ance of a (rit of e+ec$on# and s$!'ect to Secon 5# para"raph 1!; of this R$le# the La!or Ar!iter shall sched$le a pre,e+ec$on conference or hearin" to thresh o$t ma%ers releant to e+ec$on# incl$din" the comp$taon of the a(ard. Secon 2. orm and 0ontents of a @rit of E+ec$on. , The (rit of e+ec$on m$st !e iss$ed in the name of the Rep$!lic of the hilippines si"ned !y the 0ommission or La!or Ar!iter re*$irin" the Sheri- to e+ec$te the decision# order# or a(ard of the 0ommission or La!or Ar!iter# and m$st contain the disposie poron thereof# the amo$nt# if any# to !e demanded# and all la(f$l fees to !e collected from the losin" party or any other person re*$ired !y la( to o!ey the same. Secon P. 0omp$taon $rin" E+ec$on. , @here f$rther comp$taon of the a(ard in the decision# resol$on or order is necessary d$rin" the co$rse of the e+ec$on proceedin"s# no (rit of e+ec$on shall !e iss$ed $nl aKer the comp$taon has !een approed !y the La!or Ar!iter in an order iss$ed aKer the pares hae !een d$ly no/ed and heard on the ma%er. Secon 6. E+ec$on of 7onetary F$d"ment. , a; Immediate payment on demand. , The Sheri- shall enforce a monetary '$d"ment !y demandin" the immediate payment of the f$ll amo$nt stated in the (rit of e+ec$on and all la(f$l fees from the losin" party or any other person re*$ired !y la( to o!ey the same.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
2 J L A T O N
LABOR RELATIONS !; In the eent of fail$re or ref$sal of the losin" party to pay the '$d"ment a(ard# the Sheri- shall immediately proceed a"ainst the cash deposit or s$rety !ond posted !y the losin" party# if any& c; If the !ondin" company ref$ses to comply (ith the (rit of e+ec$on# then its president and ocers or a$thorized representaes shall !e cited for contempt# and the !ondin" company shall !e !arred from transacn" !$siness (ith the 0ommission& d; Sho$ld the cash deposit or s$rety !ond !e ins$cient# or in case the s$rety !ond cannot !e proceeded a"ainst for any reason# the Sheri- shall# (ithin /e 16; days from demand# e+ec$te the monetary '$d"ment !y leyin" on the property# personal and real# of the losin" party not e+empt from e+ec$on# s$cient to coer the '$d"ment a(ard# (hich may !e disposed of for al$e at a p$!lic a$con to the hi"hest !idder. e; roceeds of e+ec$on shall !e deposited (ith the 0ashier of the concerned iision or Re"ional Ar!itraon Branch# or (ith an a$thorized depositary !an). @here payment is made in the form of a chec)# the same shall !e paya!le to the 0ommission. Secon 4. Enforcement of @rit of E+ec$on. , In e+ec$n" a decision# resol$on or order# the Sheri-# or other a$thorized ocer acn" as Sheri- of the 0ommission# shall !e "$ided strictly !y these R$les# and !y the 7an$al on E+ec$on of F$d"ment# (hich shall form part of these R$les. In the a!sence of applica!le r$les# the R$les of 0o$rt# as amended# shall !e applied in a s$ppletory manner.
*. &ENERAL RLE3 RE&IONAL TRIAL CORT CANNOT ISSE IN6NCTION A&AINST NLRC
recedents a!o$nd con/rmin" the r$le that said co$rts hae no la!or '$risdicon to act on la!or cases or ario$s incidents arisin" therefrom# incl$din" the e+ec$on of decisions# a(ards or orders. F$risdicon to try and ad'$dicate s$ch cases pertains e+cl$siely to the proper la!or ocial concerned $nder the epartment of La!or and Employment. To hold other(ise is to sancon split '$risdicon (hich is o!no+io$s to the orderly administraon of '$sce. P.5 E+ec$on Oer roperty O(ned Only !y F$d"ment e!tor& Remedies of Third arty 0laimant& The W$pan"co 0ase A third party (hose property has !een leied $pon !y a sheri- to enforce a decision a"ainst a '$d"ment de!tor is a-orded (ith seeral alternae remedies to protect its interests. The third party may aail himself of alternae remedies c$m$laely# and one (ill not precl$de the third party from aailin" himself of the other alternae remedies in the eent he failed in the remedy /rst aailed of. Th$s# a third party may aail himself of the follo(in" alternae remedies:
Secon . E+ec$on By 7oon or By Independent Acon. , A decision or order may !e e+ec$ted on moon (ithin /e 16; years from the date it !ecomes /nal and e+ec$tory. AKer the lapse of s$ch period# the '$d"ment shall !ecome dormant# and may only !e enforced !y an independent acon (ithin a period of ten 15; years from date of its /nality.
a; ile a third party claim (ith the sheri- of the La!or Ar!iter# and
Secon 5. E-ect of eon for 0erorari on E+ec$on. , A peon for cerorari (ith the 0o$rt of Appeals or the S$preme 0o$rt shall not stay the e+ec$on of the assailed decision $nless a restrainin" order is iss$ed !y said co$rts.
Een if a third party claim (as denied# a third party may sll /le a proper acon (ith a competent co$rt to recoer o(nership of the property ille"ally seized !y the sheri-.
Secon 55. Resol$on of 7oon to H$ash. , The mere /lin" of a moon to *$ash shall not stay e+ec$on proceedin"s. A moon to *$ash shall !e resoled !y the La!or Ar!iter (ithin ten 15; (or)in" days from s$!mission of said moon for resol$on.
The ri"ht of a third,party claimant to /le an independent acon to indicate his claim of o(nership oer the properes seized is resered !y Secon 54 1no( 53;# R$le 29 of the R$les of 0o$rt.
(. APPEAL ON T)E SPERVENIN& EVENTS
E:ECTION
OF
DECISION=
A '$d"ment !ecomes /nal and e+ec$tory !y operaon of la(# not !y '$dicial declaraon. Accordin"ly# /nality of '$d"ment !ecomes a fact $pon the lapse of the re"lementary period of appeal if no appeal is perfected. In s$ch a sit$aon# the preailin" party is entled as a ma%er of ri"ht to a (rit of e+ec$on& and iss$ance thereof is a ministerial d$ty# compella!le !y mandam$s.
!; If the third party claim is denied# the third party may appeal the denial to the NLR0.
The aforesaid remedies are neertheless (itho$t pre'$dice to Xany proper aconX that a third,party claimant may deem s$ita!le to indicate Xhis claim to the property. H$ite o!io$sly# too# this Xproper aconX (o$ld hae for its o!'ect the recoery of o(nership or possession of the property seized !y the sheri-# as (ell as dama"es res$ln" from the alle"edly (ron"f$l seiz$re and detenon thereof despite the third,party claim.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
25 J L A T O N
The remedies a!oe menoned are c$m$lae and may !e resorted to !y a third,party claimant independent of or separately from and (itho$t need of aailin" of the others. P.8 RT0 In'$ncon a"ainst La!or Ar!iter or NLR0# @hen Allo(ed The re"ional trial co$rt (here the reinindicatory acon is /led can iss$e an in'$ncon or temporary restrainin" order a"ainst the e+ec$on ordered !y a la!or ar!iter or the NLR0. The "eneral r$le that no co$rt has the po(er to interfere !y in'$ncon (ith the '$d"ments or decrees of another co$rt (ith conc$rrent or coordinate '$risdicon possessin" e*$al po(er to "rant in'$nce relief# applies only (hen no third,party claimant is inoled. F$rispr$dence is li)e(ise replete (ith r$lin"s that since the third,party claimant is not one of the pares to the acon# he co$ld not# strictly spea)in"# appeal from the order denyin" his claim# !$t sho$ld /le a separate reinindicatory acon a"ainst the e+ec$on creditor or the p$rchaser of the property aKer the sale at p$!lic a$con# or a complaint for dama"es a"ainst the !ond /led !y the '$d"ment creditor in faor of the sheri-. P.2 Third arty 0laim Secon 58. Third arty 0laim. , A third party claim shall !e /led (ithin /e 16; days from the last day of posn" or p$!licaon of the noce of e+ec$on sale& other(ise the claim shall !e foreer !arred.The third party claimant shall e+ec$te an adait stan" his tle to the property or ri"ht to possession thereof (ith s$pporn" eidence# and shall /le the same (ith the Sheri- and the 0ommission or La!or Ar!iter (ho iss$ed the (rit of e+ec$on.pon receipt of the third party claim# all proceedin"s# (ith respect to the e+ec$on of the property s$!'ect of s$ch claim# shall a$tomacally !e s$spended.The La!or Ar!iter (ho iss$ed the (rit may re*$ire the third party claimant to add$ce addional eidence in s$pport of his third party claim and to post a cash or s$rety !ond e*$ialent to the amo$nt of his claim# as proided for in Secon 3 of R$le GI# (itho$t pre'$dice to the posn" !y the preailin" party of a s$persedeas !ond in an amo$nt e*$ialent to that posted !y the third party claimant.The La!or Ar!iter shall resole the propriety of s$ch third party claim (ithin ten 15; (or)in" days from s$!mission of said claim for resol$on.
LABOR RELATIONS la%erXs a"ent posts an indemnity !ond a"ainst the claim. @here the !ond is /led# the remedy of the third,party claimant is to /le an independent reiindicatory acon a"ainst the '$d"ment creditor or the p$rchaser of the property at p$!lic a$con. <<<<<<<< Art. 886. 0ontempt po(ers of the Secretary of La!or. In the e+ercise of his po(ers $nder this 0ode# the Secretary of La!or may hold any person in direct or indirect contempt and impose the appropriate penales therefor. <<<<<<<< Title III BREA OF LABOR RELATIONS
Art. 883. B$rea$ of La!or Relaons. The B$rea$ of La!or Relaons and the La!or Relaons iisions in the re"ional oces of the epartment of La!or# shall hae ori"inal and e+cl$sie a$thority to act# at their o(n iniae or $pon re*$est of either or !oth pares# on all inter,$nion and intra,$nion conVicts# and all disp$tes# "rieances or pro!lems arisin" from or a-ecn" la!or, mana"ement relaons in all (or)places# (hether a"ric$lt$ral or non,a"ric$lt$ral# e+cept those arisin" from the implementaon or interpretaon of collece !ar"ainin" a"reements (hich shall !e the s$!'ect of "rieance proced$re andor ol$ntary ar!itraon. The B$rea$ shall hae /Keen 156; (or)in" days to act on la!or cases !efore it# s$!'ect to e+tension !y a"reement of the pares. 1As amended !y Secon 5P# Rep$!lic Act No. 3456# 7arch 85# 599;. <<<<<<<< 1. BLR 6RISDICTION
The B$rea$ of La!or Relaons 1BLR; no lon"er handles =all> la!or,mana"ement disp$tes& rather# its f$ncons and '$risdicon are lar"ely con/ned to $nion ma%ers# collece !ar"ainin" re"istry# and la!or ed$caon. Secon 53. B$rea$ of La!or Relaons. , The B$rea$ of La!or Relaons shall set policies# standards# and proced$res on the re"istraon and s$perision of le"imate la!or $nion acies incl$din" denial# cancellaon and reocaon of la!or $nion permits. It shall also set policies# standards# and proced$re relan" to collece !ar"ainin" a"reements# and the e+aminaon of /nancial records of acco$nts of la!or or"anizaons to determine compliance (ith releant la(s.
P.P Sim$lated Sale# Goid A' Ini$o A third,party claim on a leied property does not a$tomacally preent e+ec$on. @hen a third,party claim is /led# the sheri- is not !o$nd to proceed (ith the ley of the property $nless the '$d"ment creditor or the
2. INTER0NION AND INTRA0NION DISPTES= D.O. NO. *909(
MInter,nion isp$teM refers to any conVict !et(een and amon" le"imate la!or $nions inolin" representaon
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
28 J L A T O N
LABOR RELATIONS *$esons for p$rposes of collece !ar"ainin" or to any other conVict or disp$te !et(een le"imate la!or $nions. MIntra,nion isp$teM refers to any conVict !et(een and amon" $nion mem!ers# incl$din" "rieances arisin" from any iolaon of the ri"hts and condions of mem!ership# iolaon of or disa"reement oer any proision of the $nionXs const$on and !y,la(s# or disp$tes arisin" from charterin" or aliaon of $nion. In interintra,$nion disp$te the complaint may !e /led !y a $nion or $nion mem!ers& in a =related la!or relaons disp$te> the complaint may !e /led !y a party,in,interest (ho is not necessarily a $nion or $nion mem!er. @hether the disp$te !e of the /rst or the second cate"ory# the complainant or peon# if it inoles an independent $nion# a chartered local# or a (or)er?s associaon# shall !e /led (ith the OLE Re"ional Oce (here the la!or or"anizaon is re"istered. B$t if the complaint inoles a federaon or an ind$strynaonal $nion# it shall !e /led (ith the BLR itself. 8.5 .O. No. P,2 The Order appears to aim the follo(in" speci/c o!'eces: 5. to simplify the formaon and re"istraon of $nions# especially chartered locals 8. to simplify and e+pedite the holdin" of cer/caon elecons 2. to promote responsi!le $nionism# parc$larly in administraon of $nion f$nds P. to a$thorize $nion mer"er# consolidaon# and chan"e of name 6. to a$thorize dere"istraon of collece !ar"ainin" a"reements 8.8 E-ect of endency Secon 2. E-ects of the /lin" pendency of interintra,$nion and other related la!or relaons disp$tes. , The ri"hts# relaonships and o!li"aons of the pares li"ants a"ainst each other and other pares,in,interest prior to the inst$on of the peon shall conn$e to remain d$rin" the pendency of the peon and $nl the date of /nality of the decision rendered therein.
8.2 Appeal
Secon 53. Appeal. , The decision of the 7ed,Ar!iter and Re"ional irector may !e appealed to the B$rea$ !y any of the pares (ithin ten 15; days from receipt thereof# copy f$rnished the opposin" party. The decision of the B$rea$ irector in the e+ercise of hisher ori"inal '$risdicon may !e appealed to the Oce of the Secretary !y any party (ithin the same period# copy f$rnished the opposin" party. The appeal shall !e eri/ed $nder oath and shall consist of a memorand$m of appeal speci/cally stan" the "ro$nds relied $pon !y the appellant# (ith s$pporn" ar"$ments and eidence. Secon 54. @here to /le appeal. , The memorand$m of appeal shall !e /led in the Re"ional Oce or B$rea$ (here the complaint or peon ori"inated. @ithin t(enty,fo$r 18P; ho$rs from receipt of the memorand$m of appeal# the B$rea$ or Re"ional irector shall ca$se the transmi%al thereof to"ether (ith the enre records of the case to the Oce of the Secretary or the B$rea$# as the case may !e. Secon 5. inality of ecision. , @here no appeal is /led (ithin the ten,day period# the B$rea$ and Re"ional irector or 7ed,Ar!iter# as the case may !e# shall enter the /nality of the decision in the records of the case and ca$se the immediate implementaon thereof. Secon 59. eriod to reply. , A reply to the appeal may !e /led !y any party to the complaint or peon (ithin ten 15; days from receipt of the memorand$m of appeal. The reply shall !e /led directly (ith the B$rea$ or the Oce of the Secretary# as the case may !e. Secon 8. ecision of the B$rea$Oce of the Secretary. , The B$rea$ irector or the Secretary# as the case may !e# shall hae t(enty 18; days from receipt of the enre records of the case (ithin (hich to decide the appeal. The /lin" of the memorand$m of appeal from the decision of the 7edAr!iter or Re"ional irector and B$rea$ irector stays the implementaon of the assailed decision. The B$rea$ or Oce of the Secretary may call the pares to a clari/catory hearin" in aid of its appellate '$risdicon. Secon 85. inality of ecision of B$rea$Oce of the Secretary. , The decision of the B$rea$ or the Oce of the Secretary shall !ecome /nal and e+ec$tory aKer ten 15; days from receipt thereof !y the pares# $nless a moon for its reconsideraon is /led !y any party therein (ithin the same period. Only one 15; moon for reconsideraon of the decision of the B$rea$ or the Oce of the Secretary in the e+ercise of their appellate '$risdicon shall !e allo(ed. Secon 88. E+ec$on of decision. , The decision of the 7ed, Ar!iter and Re"ional irector shall a$tomacally !e stayed pendin" appeal (ith the B$rea$. The decision of the B$rea$ in the e+ercise of its appellate '$risdicon shall !e immediately e+ec$tory $pon iss$ance of entry of /nal '$d"ment. The decision of the B$rea$ in the e+ercise of its ori"inal '$risdicon shall a$tomacally !e stayed pendin" appeal (ith
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
22 J L A T O N
the Oce of the Secretary. The decision of the Oce of the Secretary shall !e immediately e+ec$tory $pon iss$ance of entry of /nal '$d"ment.
(. E:TENT OF BLR AT)ORITY
In the interest of ind$strial peace and for the promoon of the sal$tary const$onal o!'eces of social '$sce and protecon to la!or# the competence of the "oernmental entr$sted (ith s$perision oer disp$tes inolin" employers and employees as (ell as Minter, $nion and intra,$nion conVicts#M is !road and e+pensie. *. KATARN&AN& PA/BARAN&AY5 NOT APPLICABLE TO LABOR DISPTES
residenal ecree No. 56 applies only to co$rts of '$sce and not to la!or relaons commissions or la!or ar!itrators? oces. No"e: 0onciliaon,mediaon is no( done !y N07G not BLR.
Instead of simplifyin" la!or proceedin"s desi"ned at e+pedio$s se%lement or referral to the proper co$rt or oce to decide it /nally# the posion ta)en !y the peoner (o$ld only d$plicate the conciliaon proceedin"s and $nd$ly delay the disposion of the la!or case. <<<<<<<< Art. 884. 0ompromise a"reements. Any compromise se%lement# incl$din" those inolin" la!or standard la(s# ol$ntarily a"reed $pon !y the pares (ith the assistance of the B$rea$ or the re"ional oce of the epartment of La!or# shall !e /nal and !indin" $pon the pares. The Naonal La!or Relaons 0ommission or any co$rt# shall not ass$me '$risdicon oer iss$es inoled therein e+cept in case of non,compliance thereof or if there is prima facie eidence that the se%lement (as o!tained thro$"h fra$d# misrepresentaon# or coercion. <<<<<<<< 1. CO/PRO/ISE A&REE/ENTS
The assistance of the BLR or the re"ional oce of the OLE in the e+ec$on of a compromise se%lement is a !asic re*$irement& (itho$t it# there can !e no alid compromise se%lement. The NLR0 or any co$rt shall not ass$me '$risdicon oer iss$es inoled therein# e+cept: a; in case of noncompliance (ith the compromise a"reement# or
LABOR RELATIONS !; if there is %ri#a &acie eidence that the se%lement (as o!tained thro$"h fra$d# misrepresentaon# or coercion. Alon" the same line# the 0o$rt reiterated in 86: There are le"imate (aiers that represent a ol$ntary and reasona!le se%lement of a (or)er?s claim (hich sho$ld !e respected !y the co$rts as the la( !et(een the pares. Indeed# not all *$itclaims are per se inalid or a"ainst p$!lic policy# e+cept 15; (here there is clear proof that the (aier (as (an"led from an $ns$specn" or "$lli!le person# or 18; (here the terms of se%lement are $nconsciona!le on their faces& in these cases# the la( (ill step in to ann$l the *$esona!le transacons. S$ch *$itclaims are re"arded as ine-ece to !ar the (or)ers from claimin" the f$ll meas$re of their le"al ri"hts.
2. FOR/AL A&REE/ENT
RE4IRE/ENTS
OF
CO/PRO/ISE
0ompromise a"reements inolin" la!or standards cases m$st !e red$ced to (rin" and si"ned in the presence of the Re"ional irector or his d$ly a$thorized representae. (. VALID CO/PRO/ISE AND 4ITCLAI/
The la( loo)s (ith disfaor $pon *$itclaims and releases !y employees (ho are inei"led or press$red into si"nin" them !y $nscr$p$lo$s employers see)in" to eade their le"al responsi!ilies. On the other hand# there are le"imate (aiers that represent a ol$ntary se%lement of la!orerXs claims that sho$ld !e respected !y the co$rts as the la( !et(een the pares. Not all (aiers and *$itclaims are inalid as a"ainst p$!lic policy. If the a"reement (as ol$ntarily entered into and represents a reasona!le se%lement# it is !indin" on the pares and may not later !e diso(ned simply !eca$se of a chan"e of mind. It is only (here there is clear proof that the (aier (as (an"led from an $ns$specn" or "$lli!le person# or the terms of se%lement are $nconsciona!le on its face# that the la( (ill step in to ann$l the *$esona!le transacon. B$t (here it is sho(n that the person ma)in" the (aier did so ol$ntarily# (ith f$ll $nderstandin" of (hat he (as doin"# and the consideraon for the *$itclaim is credi!le and reasona!le# the transacon m$st !e reco"nized as a alid and !indin" $nderta)in". *. CO/PRO/ISE S)OLD BE DLY AT)ORI'ED Secon 9. A$thority to Bind arty. , A%orneys and other representaes of pares shall hae a$thority to !ind their clients in all ma%ers of proced$re& !$t they cannot# (itho$t a special po(er of a%orney or e+press consent# enter into a compromise a"reement (ith the opposin" party in f$ll or paral dischar"e of a clientXs claim.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
2P J L A T O N
The a$thority to compromise cannot li"htly !e pres$med and sho$ld !e d$ly esta!lished !y eidence. . RLIN&S S//ARI'ED
ON
CO/PRO/ISE
SETTLE/ENTS
7. $)EN TO EFFECT CO/PRO/ISE3 FINAL DECISION5 NE&OTIABLE<
A compromise a"reement may !e e-ected at any sta"e of the proceedin"s and een (hen there is already a /nal and e+ec$tor '$d"ment. ,. OPTIONS $)EN CO/PRO/ISE A&REE/ENTS IS VIOLATED
nder Arcle 8P5 of the 0iil 0ode# sho$ld a party fail or ref$se to comply (ith the terms of a compromise or amica!le se%lement# the other party co$ld either: 15; enforce the compromise !y a (rit of e+ec$on# or 18; re"ard it as rescinded and so insist $pon his ori"inal demand. <<<<<<<< Art. 88. Indorsement of cases to La!or Ar!iters. a. E+cept as proided in para"raph 1!; of this Arcle# the La!or Ar!iter shall entertain only cases endorsed to him for comp$lsory ar!itraon !y the B$rea$ or !y the Re"ional irector (ith a (ri%en noce of s$ch indorsement or non,indorsement. The indorsement or non,indorsement of the Re"ional irector may !e appealed to the B$rea$ (ithin ten 15; (or)in" days from receipt of the noce. !. The pares may# at any me# !y m$t$al a"reement# (ithdra( a case from the 0onciliaon Secon and 'ointly s$!mit it to a La!or Ar!iter# e+cept deadloc)s in collece !ar"ainin".1Repealed !y Secon 53# Batas am!ansa Bilan" 52# A$"$st 85# 595; <<<<<<<< Art. 889. Iss$ance of s$!poenas. The B$rea$ shall hae the po(er to re*$ire the appearance of any person or the prod$con of any paper# doc$ment or ma%er releant to a la!or disp$te $nder its '$risdicon# either at the re*$est of any interested party or at its o(n iniae. <<<<<<<<
LABOR RELATIONS p$rpose of the 0ode. 1As amended !y Secon 56# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< Art. 825. Re"istry of $nions and /le of collece !ar"ainin" a"reements. The B$rea$ shall )eep a re"istry of le"imate la!or or"anizaons. The B$rea$ shall also maintain a /le of all collece !ar"ainin" a"reements and other related a"reements and records of se%lement of la!or disp$tes and copies of orders and decisions of ol$ntary ar!itrators. The /le shall !e open and accessi!le to interested pares $nder condions prescri!ed !y the Secretary of La!or and Employment# proided that no speci/c informaon s$!mi%ed in con/dence shall !e disclosed $nless a$thorized !y the Secretary# or (hen it is at iss$e in any '$dicial li"aon# or (hen p$!lic interest or naonal sec$rity so re*$ires. @ithin thirty 12; days from the e+ec$on of a 0ollece Bar"ainin" A"reement# the pares shall s$!mit copies of the same directly to the B$rea$ or the Re"ional Oces of the epartment of La!or and Employment for re"istraon# accompanied (ith eri/ed proofs of its posn" in t(o conspic$o$s places in the place of (or) and ra/caon !y the ma'ority of all the (or)ers in the !ar"ainin" $nit. The B$rea$ or Re"ional Oces shall act $pon the applicaon for re"istraon of s$ch 0ollece Bar"ainin" A"reement (ithin /e 16; calendar days from receipt thereof. The Re"ional Oces shall f$rnish the B$rea$ (ith a copy of the 0ollece Bar"ainin" A"reement (ithin /e 16; days from its s$!mission. The B$rea$ or Re"ional Oce shall assess the employer for eery 0ollece Bar"ainin" A"reement a re"istraon fee of not less than one tho$sand pesos 15#.; or in any other amo$nt as may !e deemed appropriate and necessary !y the Secretary of La!or and Employment for the e-ece and ecient administraon of the Gol$ntary Ar!itraon ro"ram. Any amo$nt collected $nder this proision shall accr$e to the Special Gol$ntary Ar!itraon $nd. The B$rea$ shall also maintain a /le and shall $nderta)e or assist in the p$!licaon of all /nal decisions# orders and a(ards of the Secretary of La!or and Employment# Re"ional irectors and the 0ommission. 1As amended !y Secon 56# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< RE&ISTRY OF NIONS AND CBA
Art. 82. Appointment of !$rea$ personnel. The Secretary of La!or and Employment may appoint# in addion to the present personnel of the B$rea$ and the Ind$strial Relaons iisions# s$ch n$m!er of e+aminers and other assistants as may !e necessary to carry o$t the
The B$rea$ shall )eep a re"istry of le"imate la!or or"anizaons.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
26 J L A T O N
The B$rea$ shall also maintain a /le of all 0ollece Bar"ainin" A"reements 10BAs; and other related a"reements. <<<<<<<< Art. 828. rohi!ion on cer/caon elecon. The B$rea$ shall not entertain any peon for cer/caon elecon or any other acon (hich may dist$r! the administraon of d$ly re"istered e+isn" collece !ar"ainin" a"reements a-ecn" the pares e+cept $nder Arcles 862# 862,A and 863 of this 0ode. 1As amended !y Secon 56# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< T)E CONTRACT0BAR RLE
Arcle 828 spea)s of the contract,!ar r$le (hich means that (hile a alid and re"istered 0BA is s$!sisn"# the B$rea$ is not allo(ed to hold an elecon contesn" the ma'ority stat$s of the inc$m!ent $nion. The e+istence of the 0BA does not allo(# that is# it !ars# the holdin" of the inter,$nion electoral contest. The elecon is le"ally allo(ed# says Art. 863# only d$rin" the =freedom period> (hich refers to the last 3 days of the /Kh year of a 0BA. The o!'ece of the r$le# o!io$sly# is to minimize $nion =polic)in"> $nl the proper me comes. <<<<<<<< Art. 822. riile"ed comm$nicaon. Informaon and statements made at conciliaon proceedin"s shall !e treated as priile"ed comm$nicaon and shall not !e $sed as eidence in the 0ommission. 0onciliators and similar ocials shall not tesfy in any co$rt or !ody re"ardin" any ma%ers ta)en $p at conciliaon proceedin"s cond$cted !y them. <<<<<<<< Title IV LABOR OR&ANI'ATIONS Chapter I RE&ISTRATION AND CANCELLATION
Art. 82P. Re*$irements of Re"istraon. , A federaon# naonal $nion or ind$stry or trade $nion center or an independent $nion shall ac*$ire le"al personality and shall !e entled to the ri"hts and priile"es "ranted !y la( to le"imate la!or or"anizaons $pon iss$ance of the cer/cate of re"istraon !ased on the follo(in" re*$irements:
LABOR RELATIONS of the or"anizaonal meen"s and the list of the (or)ers (ho parcipated in s$ch meen"s& 1c; In case the applicant is an independent $nion# the names of all its mem!ers comprisin" at least t(enty percent 18^; of all the employees in the !ar"ainin" $nit (here it see)s to operate& 1d; If the applicant $nion has !een in e+istence for one or more years# copies of its ann$al /nancial reports& and 1e; o$r copies of the const$on and !y,la(s of the applicant $nion# min$tes of its adopon or ra/caon# and the list of the mem!ers (ho parcipated in it. 1As amended !y Rep$!lic Act No. 9P5# 7ay 86# 84; <<<<<<<< Art. 82P,A. 0harterin" and 0reaon of a Local 0hapter. , A d$ly re"istered federaon or naonal $nion may directly create a local chapter !y iss$in" a charter cer/cate indican" the esta!lishment of the local chapter. The chapter shall ac*$ire le"al personality only for p$rposes of /lin" a peon for cer/caon elecon from the date it (as iss$ed a charter cer/cate. The chapter shall !e entled to all other ri"hts and priile"es of a le"imate la!or or"anizaon only $pon the s$!mission of the follo(in" doc$ments in addion to its charter cer/cate: 1a; The names of the chapterXs ocers# their addresses# and the principal oce of the chapter& and 1!; The chapterXs const$on and !y,la(s: roided# That (here the chapterXs const$on and !y,la(s are the same as that of the federaon or the naonal $nion# this fact shall !e indicated accordin"ly. The addional s$pporn" re*$irements shall !e cer/ed $nder oath !y the secretary or treas$rer of the chapter and a%ested !y its president. <<<<<<<< Art. 826. Acon on applicaon. The B$rea$ shall act on all applicaons for re"istraon (ithin thirty 12; days from /lin". All re*$isite doc$ments and papers shall !e cer/ed $nder oath !y the secretary or the treas$rer of the or"anizaon# as the case may !e# and a%ested to !y its president. <<<<<<<<
1a; iKy pesos 16.; re"istraon fee& 1!; The names of its ocers# their addresses# the principal address of the la!or or"anizaon# the min$tes
Art. 823. enial of re"istraon& appeal. The decision of the La!or Relaons iision in the re"ional oce denyin" re"istraon may !e appealed !y the applicant $nion to
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
23 J L A T O N
the B$rea$ (ithin ten 15; days from receipt of noce thereof. <<<<<<<< Art. 824. Addional re*$irements for federaons or naonal $nions. S$!'ect to Arcle 82# if the applicant for re"istraon is a federaon or a naonal $nion# it shall# in addion to the re*$irements of the precedin" Arcles# s$!mit the follo(in": a. roof of the aliaon of at least ten 15; locals or chapters# each of (hich m$st !e a d$ly reco"nized collece !ar"ainin" a"ent in the esta!lishment or ind$stry in (hich it operates# s$pporn" the re"istraon of s$ch applicant federaon or naonal $nion& and !. The names and addresses of the companies (here the locals or chapters operate and the list of all the mem!ers in each company inoled. <<<<<<<< Art. 82. 0ondions for re"istraon of federaons or naonal $nions. No federaon or naonal $nion shall !e re"istered to en"a"e in any or"anizaon acity in more than one ind$stry in any area or re"ion# and no federaon or naonal $nion shall !e re"istered to en"a"e in any or"anizaonal acity in more than one ind$stry all oer the co$ntry. The federaon or naonal $nion (hich meets the re*$irements and condions herein prescri!ed may or"anize and aliate locals and chapters (itho$t re"isterin" s$ch locals or chapters (ith the B$rea$. Locals or chapters shall hae the same ri"hts and priile"es as if they (ere re"istered in the B$rea$# proided that s$ch federaon or naonal $nion or"anizes s$ch locals or chapters (ithin its assi"ned or"anizaonal /eld of acity as may !e prescri!ed !y the Secretary of La!or.
LABOR RELATIONS MLa!or Or"anizaonM refers to any $nion or associaon of employees in the priate sector (hich e+ists in (hole or in part for the p$rpose of collece !ar"ainin"# m$t$al aid# interest# cooperaon# protecon# or other la(f$l p$rposes. MLe"imate La!or Or"anizaonM refers to any la!or or"anizaon in the priate sector re"istered or reported (ith the epartment in accordance (ith R$les III and IG of these R$les. MnionM refers to any la!or or"anizaon in the priate sector or"anized for collece !ar"ainin" and for other le"imate p$rposes. @e sho$ld note that not eery $nion is =le"imate&> only those properly re"istered are considered LLO. B$t non, re"istraon does not mean it is =ille"imate&> it simply is $nre"istered and has no le"al personality. It e+ists le"ally !$t does not possess the ri"hts of an LLO. ME+cl$sie Bar"ainin" RepresentaeM refers to a le"imate la!or $nion d$ly reco"nized or cer/ed as the sole and e+cl$sie !ar"ainin" representae or a"ent of all the employees in a !ar"ainin" $nit. M@or)ersX AssociaonM refers to an associaon of (or)ers or"anized for the m$t$al aid and protecon of its mem!ers or for any le"imate p$rpose other than collece !ar"ainin". MLe"imate @or)ersX AssociaonM refers to an associaon of (or)ers or"anized for m$t$al aid and protecon of its mem!ers or for any le"imate p$rpose other than collece !ar"ainin" re"istered (ith the epartment in accordance (ith R$le III# Secons 8,0 and 8, of these R$les. 5.5 isncon Bet(een =0ollece Bar"ainin"> and =ealin" (ith Employer>
The B$rea$ shall see to it that federaons and naonal $nions shall only or"anize locals and chapters (ithin a speci/c ind$stry or $nion. 1Repealed !y E+ec$e Order No. 555# ecem!er 8P# 593; <<<<<<<<
To !ar"ain collecely is a ri"ht that may !e ac*$ired !y a la!or or"anizaon aKer re"isterin" itself (ith the epartment of La!or and Employment and aKer !ein" reco"nized or cer/ed !y OLE as the e+cl$sie !ar"ainin" representae 1EBR; of the employees.
1. LABOR OR&ANI'ATION3 T$O BROAD PRPOSES
ealin" (ith employer# on the other hand# is a "eneric descripon of interacon !et(een employer and employees concernin" "rieances# (a"es# (or) ho$rs and other terms and condions of employment# een if the employee?s "ro$p is not re"istered (ith the epartment of La!or and Employment.
A =la!or or"anizaon> is not al(ays a $nion& it may !e an =associaon of employees.> And# the p$rpose is not only or necessarily =collece !ar"ainin"> !$t also dealin" (ith employers concernin" terms and condions of employment.
2. CLASSIFICATION OF LABOR OR&ANI'ATIONS Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
24 J L A T O N
MNaonal nionederaonM means any la!or or"anizaon (ith at least ten 15; locals or chapters each of (hich m$st !e a d$ly reco"nized collece !ar"ainin" a"ent. =Ind$stry nion> means any "ro$p of le"imate la!or or"anizaons operan" (ithin an iden/ed ind$stry# or"anized for collece !ar"ainin" or for dealin" (ith employers concernin" terms and condions of employment (ithin an ind$stry# or for parcipan" in the form$laon of social and employment policies# standards and pro"rams in s$ch ind$stry# (hich is d$ly re"istered (ith the epartment. .O. No. P,2# ho(eer# does not carry this term and this de/nion# altho$"h $nder R$le III# Secon 8,B# =la!or or"anizaons operan" (ithin an iden/ed ind$stry may also apply for re"istraon as a federaon or naonal $nion (ithin the speci/ed ind$stry !y s$!miDn" to the B$rea$ the same set of doc$ments 1as re*$ired of federaons and naonal $nions.;> =Trade nion 0enter> means any "ro$p of re"istered naonal $nions or federaons or"anized for the m$t$al aid and protecon of its mem!ers# for assisn" s$ch mem!ers in collece !ar"ainin"# or for parcipan" in the form$laon of social and employment policies# standards and pro"rams# (hich is d$ly re"istered (ith the epartment. An =alliance> is an a""re"aon of $nions e+isn" in one line of ind$stry# or in a con"lomerate# a "ro$p of franchises# a "eo"raphical area# or an ind$strial center. A =company,$nion> is a la!or or"anizaon (hich# in (hole or in part# is employer,controlled or employer, denominated. Arcle 8P1d; prohi!its !ein" a company $nion. 8.5 nions at Enterprise Leel A la!or $nion at the enterprise leel may !e created either !y 1a; independent re"istraon or 1!; charterin". Independent re"istraon is o!tained !y the $nion or"anizers in an enterprise thro$"h their o(n acon instead of thro$"h iss$ance of a charter !y a federaon or naonal $nion. An independent $nion has a le"al personality of its o(n not deried from that of a federaon. MIndependent nionM refers to a la!or or"anizaon operan" at the enterprise leel that ac*$ired le"al personality thro$"h independent re"istraon $nder Arcle 82P of the La!or 0ode and R$le III# Secon 8,A of these R$les.
0harterin"# on the other hand# ta)es place (hen a d$ly re"istered federaon or naonal $nion iss$e a charter to a $nion in an enterprise and re"isters the creaon of the
LABOR RELATIONS chapter (ith the Re"ional Oce (here the applicants operates. The $nion recipient of the charter s called a chapter or local or chartered local. Its le"al personality is deried from the federaon naonal $nion !$t it may s$!se*$ently re"ister itself independently. (. RE&ISTRATION RATIONALE
A la!or or"anizaon may !e re"istered or not. If re"istered (ith OLE# it is considered =le"imate la!or or"anizaon> 1LLO;. B$t the reerse $s not tr$e# that is# a la!or or"anizaon is not =ille"imate> '$st !eca$se it is $nre"istered. It is sll la(f$l or"anizaon and can deal (ith the employer# !$t it has no le"al personality to demand collece !ar"ainin" (ith the employer. It cannot peon for a cer/caon elecon and cannot hold a le"al stri)e. Re"istraon is merely a condion ine ,ua non for the ac*$ision of le"al personality !y la!or or"anizaons# associaons or $nions and the possession of the ri"hts and priile"es "ranted !y la( to le"imate la!or or"anizaons. S$ch re*$irement is a alid e+ercise of the police po(er# !eca$se the acies in (hich la!or or"anizaons# associaons and $nion of (or)ers are en"a"ed a-ect p$!lic interest# (hich sho$ld !e protected. 2.5 E-ect of Re"istraon nder the 0orporaon La( A la!or or"anizaon may !e or"anized $nder the 0orporaon La( as a non,stoc) corporaon and iss$ed a cer/cate of incorporaon !y the Sec$ries and E+chan"e 0ommission. B$t s$ch incorporaon has only the e-ect of "iin" to it '$ridical personality !efore re"$lar co$rts of '$sce. S$ch incorporaon does not "rant the ri"hts and priile"es of a le"imate la!or or"anizaon. *. $)ERE TO RE&ISTER
Applicaons for re"istraon of independent la!or $nions# chartered locals# and (or)er?s associaon shall !e /led (ith the Re"ional Oce (here the applicant principally operates. If the Re"ional Oce denies the applicaon# the denial is appeala!le to the B$rea$ and from there to the 0o$rt of Appeals 1not to the Secretary of La!or; if proper "ro$nds e+ist. . RE&ISTRATION RE4IRE/ENTS
6.5 Independent La!or nion
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
2 J L A T O N
LABOR RELATIONS Secon 8. Re*$irements for applicaon. , A. The applicaon for re"istraon of an independent la!or $nion shall !e accompanied !y the follo(in" doc$ments:
1f; the name and addresses of the companies (here the aliates operate and the list of all the mem!ers in each company inoled.
1a; the name of the applicant la!or $nion# its principal address# the name of its ocers and their respece addresses# appro+imate n$m!er of employees in the !ar"ainin" $nit (here it see)s to operate# (ith a statement that it is not reported as a chartered local of any federaon or naonal $nion&
La!or or"anizaons operan" (ithin an iden/ed ind$stry may also apply for re"istraon as a federaon or naonal $nion (ithin the speci/ed ind$stry !y s$!miDn" to the B$rea$ the same set of doc$ments.
6.2 @or)er?s Associaon 1!; the min$tes of the or"anizaonal meen"1s; and the list of employees (ho parcipated in the said meen"1s;& 1c; the name of all its mem!ers comprisin" at least 8^ of the employees in the !ar"ainin" $nit& 1d; the ann$al /nancial reports if the applicant has !een in e+istence for one or more years# $nless it has not collected any amo$nt from the mem!ers# in (hich case a statement to this e-ect shall !e incl$ded in the applicaon& 1e; the applicantXs const$on and !y,la(s# min$tes of its adopon or ra/caon# and the list of the mem!ers (ho parcipated in it. The list of rafyin" mem!ers shall !e dispensed (ith (here the const$on and !y,la(s (as ra/ed or adopted d$rin" the or"anizaonal meen". In s$ch a case# the fact$al circ$mstances of the ra/caon shall !e recorded in the min$tes of the or"anizaonal meen"1s;.
6.8 ederaon or Naonal nion B. The applicaon for re"istraon of federaons and naonal $nions shall !e accompanied !y the follo(in" doc$ments: 1a; a statement indican" the name of the applicant la!or $nion# its principal address# the name of its ocers and their respece addresses&
0. The applicaon for re"istraon of a (or)ersX associaon shall !e accompanied !y the follo(in" doc$ments: 1a; the name of the applicant associaon# its principal address# the name of its ocers and their respece addresses& 1!; the min$tes of the or"anizaonal meen"1s; and the list of mem!ers (ho parcipated therein& 1c; the /nancial reports of the applicant associaon if it has !een in e+istence for one or more years# $nless it has not collected any amo$nt from the mem!ers# in (hich case a statement to this e-ect shall !e incl$ded i n the applicaon& 1d; the applicantXs const$on and !y,la(s to (hich m$st !e a%ached the names of rafyin" mem!ers# the min$tes of adopon or ra/caon of the const$on and !y,la(s and the date (hen ra/caon (as made# $nless ra/caon (as done in the or"anizaonal meen"1s;# in (hich case s$ch fact shall !e reVected in the min$tes of the or"anizaonal meen"1s;.
6.P 0hartered Local 6.Pa @hen oes a 0hartered Local Become an LLO
1!; the min$tes of the or"anizaonal meen"1s; and the list of employees (ho parcipated in the said meen"1s;&
The ac*$ision of le"al personality cannot !e the da"e o& )ling of the doc$ments. Secon 2 1epartment Order No. 9# 5994; (as defean" the ery p$rpose of re"istraon of $nions (hich (as to !loc) o- Vy,!y,ni"ht $nions.
1c; the ann$al /nancial reports if the applicant $nion has !een in e+istence for one or more years# $nless it has not collected any amo$nt from the mem!ers# in (hich case a statement to this e-ect shall !e incl$ded in the applicaon&
6.P! @hen oes a 0hartered Local Ac*$ire Le"al ersonality $nder .O. No. P# Series of 82
1d; the applicant $nionXs const$on and !y,la(s# min$tes of its adopon or ra/caon# and the list of the mem!ers (ho parcipated in it. The list of rafyin" mem!ers shall !e dispensed (ith (here the const$on and !y,la(s (as ra/ed or adopted d$rin" the or"anizaonal meen"1s;. In s$ch a case# the fact$al circ$mstances of the ra/caon shall !e recorded in the min$tes of the or"anizaonal meen"1s;& 1e; the resol$on of aliaon of at least ten 15; le"imate la!or or"anizaons# (hether independent $nions or chartered locals# each of (hich m$st !e a d$ly cer/ed or reco"nized !ar"ainin" a"ent in the esta!lishment (here it see)s to operate& and
Secon . E-ect of re"istraon. , The la!or $nion or (or)ersX associaon shall !e deemed re"istered and ested (ith le"al personality on the date of iss$ance of its cer/cate of re"istraon or cer/cate of creaon of chartered local
The determinae date no( is not the date the re*$ired doc$ments (ere /led !$t the date the cer/cate (as iss$ed. And the date of iss$ance is li)ely to !e the date the doc$ments (ere /led !eca$se .O. No. P,,6# s$pplemenn" .O. No. P,2# re*$ires the Re"ional Oce or the B$rea$ to either approe or deny the applicaon for re"istraon =(ithin one 15; day from receipt thereof.> 6.Pc Reco"nion !y BLR not a 7inisterial $ty
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
29 J L A T O N
LABOR RELATIONS ,. CONSTITION5 BY0LA$S5 AND RE&LATIONS 6.Pd 0hartered Local Uas to !e Re"istered& Re*$irements 6.Pe Re"istraon Re*$irements for a 0hartered Local E. A d$ly,re"istered federaon or naonal $nion may directly create a chartered local !y s$!miDn" to the Re"ional Oce t(o 18; copies of the follo(in": 1a; A charter cer/cate iss$ed !y the federaon or naonal $nion indican" the creaon or esta!lishment of the localchapter& 1!; The names of the localchapter?s ocers# their addresses# and the principal oce of the localchapter& and 1c; The localchapter?s const$on and !y,la(s# proided that (here the localchapter?s const$on and !y,la(s is the same as that of the federaon or naonal $nion# this fact shall !e indicated accordin"ly. All of the fore"oin" s$pporn" re*$irements shall !e cer/ed $nder oath !y the Secretary or the Treas$rer of the localchapter and a%ested !y its resident. 1As amended !y O P,B,2.;
6.Pf Re*$irements Rela+ed The creaon of a local does not need s$!scripon !y a minim$m n$m!er of mem!ers. The 8 percent inial mem!ership menoned in Arcle 82P1c; is re*$ired of an independent $nion !$t not of a chartered local. 6.6 nion?s Le"imacy not S$!'ect to 0ollateral A%ac) S$ch le"al personality may !e *$esoned only thro$"h an independent peon for cancellaon of $nion re"istraon in accordance (ith R$le [IG of these R$les# and not !y (ay of collateral a%ac) in peon for cer/caon elecon proceedin"s $nder R$le GIII.
7. COLLECTIVE BAR&AININ& NIT >CB?
MBar"ainin" nitM refers to a "ro$p of employees sharin" m$t$al interests (ithin a "ien employer $nit# comprised of all or less than all of the enre !ody of employees in the employer $nit or any speci/c occ$paonal or "eo"raphical "ro$pin" (ithin s$ch employer $nit. @hile ocers lead and represent a $nion# a $nion represents a 0B. The representae is the $nion& the "ro$p represented is the 0B. The representae $nion# once determined# (ill represent een the mem!ers of other $nions as lon" as they are part of the 0B. This is (hy the representae $nion 1also called !ar"ainin" a"ent or ma'ority $nion; is called =e+cl$sie !ar"ainin" representae> 1EBR;.
Li)e other ol$ntary associaons# la!or $nions hae the ri"ht to adopt const$ons# r$les# and !y,la(s (ithin the scope of the la(f$l p$rposes of the $nion and !ind their mem!ers there!y# proided they are reasona!le# $niform# and not discriminatory# and proided they are not contrary to p$!lic policy or the la( of the land. The arcles of a"reement of a la!or $nion# (hether called a const$on# charter# !y,la(s# or any other name# const$tes a contract !et(een the mem!ers (hich the co$rts (ill enforce# if not immoral or contrary to p$!lic policy or the la( of the land. A $nion?s const$on and !y,la(s "oern the relaonship !et(een and amon" its mem!ers. As in the interpretaon of contracts# if the terms are clear and leae no do$!t as to the intenons of the pares# the literal meanin" of the sp$laon shall control. 4.5 Limitaon to By,la(s nder Art. 82P1e; it is implied that the mem!ers are the ones to adopt or rafy the $nion?s const$on and !y, la(s. It !ein" a "oernin" la( of the $nion# the 0BL sho$ld !e democracally ra/ed. 4.8 Amendments A $nion?s const$on and !y,la(s may !e amended# modi/ed and e+tended !y the d$ly const$ted $nion a$thories $nder the la(s of the state# In the a!sence of other re*$irements# and s$!'ect to ested ri"hts# a $nion const$on may !e made# chan"ed# $nmade# or s$perseded !y a ma'ority ote of the mem!ers or its const$ent !ody. nder Art. 8P51d;# ma'or policy *$esons are to !e deli!erated $pon and decided !y secret !allot !y the mem!ers. +. PROVISIONS CO//ON TO T)E RE&ISTRATION OF LABOR OR&ANI'ATIONS AND $ORKER%S ASSOCIATION
.5 A%estaon# ee# 0opies of oc$ments Secon 5. A%estaon re*$irements. , The applicaon for re"istraon of la!or $nions and (or)ersX associaons# noce for chan"e of name# mer"er# consolidaon and aliaon incl$din" all the accompanyin" doc$ments# shall !e cer/ed $nder oath !y its Secretary or Treas$rer# as the case may !e# and a%ested to !y its resident. Secon 2. Accompanyin" doc$ments. , One 15; ori"inal copy and t(o 18; d$plicate copies of all doc$ments accompanyin"
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P J L A T O N
LABOR RELATIONS the applicaon or noce shall !e s$!mi%ed to the Re"ional Oce or the B$rea$.
.8 Acon on the ApplicaonNoces Secon P. Acon on the applicaonnoce. , The Re"ional Oce or the B$rea$# as the case may !e# shall act on all applicaons for re"istraon or noce of chan"e of name# aliaon# mer"er and consolidaon (ithin ten 15; days from receipt either !y: 1a; approin" the applicaon and iss$in" the cer/cate of re"istraonac)no(led"in" the nocereport& or 1!; denyin" the applicaonnoce for fail$re of the applicant to comply (ith the re*$irements for re"istraonnoce.
.2 enial of ApplicaonRet$rn of Noce Secon 6. enial of ApplicaonRet$rn of Noce. , @here the doc$ments s$pporn" the applicaon for re"istraonnoce of chan"e of name# aliaon# mer"er and consolidaon are incomplete or do not contain the re*$ired cer/caon and a%estaon# the Re"ional Oce or the B$rea$ shall# (ithin /e 16; days from receipt of the applicaonnoce# nofy the applicantla!or or"anizaon concerned in (rin" of the necessary re*$irements and complete the same (ithin thirty 12; days from receipt of noce. @here the applicantla!or or"anizaon concerned fails to complete the re*$irements (ithin the me prescri!ed# the applicaon for re"istraon shall !e denied# or the noce of chan"e of name# aliaon# mer"er and consolidaon ret$rned# (itho$t pre'$dice to /lin" a ne( applicaon or noce. Secon 3. orm of enial of ApplicaonRet$rn of Noce& Appeal. , The noce of the Re"ional Oce or the B$rea$ denyin" the applicaon for re"istraonret$rnin" the noce of chan"e of name# aliaon# mer"er or consolidaon shall !e in (rin" stan" in clear terms the reasons for the denial or ret$rn.
.P Appeal Secon 3. orm of enial of ApplicaonRet$rn of Noce& Appeal. , The denial may !e appealed to the B$rea$ if denial is made !y the Re"ional Oce or to the Secretary if denial is made !y the B$rea$# (ithin ten 15; days from receipt of s$ch noce# on the "ro$nd of "rae a!$se of discreon or iolaon of these R$les. Secon 4. roced$re on appeal. , The memorand$m of appeal shall !e /led (ith the Re"ional Oce or the B$rea$ that iss$ed the denialret$rn of noce. The memorand$m of appeal to"ether (ith the complete records of the applicaon for re"istraonnoce of chan"e of name# aliaon# mer"er or consolidaon# shall !e transmi%ed !y the Re"ional Oce to the B$rea$ or !y the B$rea$ to the Oce of the Secretary# (ithin t(enty,fo$r 18P; ho$rs from receipt of the memorand$m of appeal. The B$rea$ or the Oce of the Secretary shall decide the appeal (ithin t(enty 18; days from receipt of the records of the case.
8. AFFILIATION
An aliate is an independently re"istered $nion that enters into an a"reement of aliaon (ith a federaon or a naonal $nion. It also refers to a chartered local (hich applies for and is "ranted an independent re"istraon !$t does not disaliate from its mother federaon or naonal $nion. A $nion# either an independent or a local# aliates (ith a federaon or naonal $nion for a n$m!er of reasons. The most common ones are to sec$re s$pport or assistance parc$larly d$rin" the formae sta"e of $nionizaon& or to $lize e+perse in preparin" and p$rs$in" !ar"ainin" proposals& or to marshal mind and manpo(er in the co$rse of a "ro$p acon s$ch as stri)e. The relaonship !et(een a local or chapter and the la!or federaon or naonal $nion is "enerally $nderstood to !e that of a"ency# (here the local is the principal and the federaon the a"ent. 9.5 Report of Aliaon& Re*$irements Secon 3. Report of Aliaon (ith federaons or naonal $nions& @here to /le. , The report of aliaon of an independently re"istered la!or $nion (ith a federaon or naonal $nion shall !e /led (ith the Re"ional Oce that iss$ed its cer/cate of re"istraon. Secon 4. Re*$irements of aliaon. , The report of aliaon of independently re"istered la!or $nions (ith a federaon or naonal $nion shall !e accompanied !y the follo(in" doc$ments: 1a; resol$on of the la!or $nionXs !oard of directors approin" the aliaon& 1!; min$tes of the "eneral mem!ership meen" approin" the aliaon& 1c; the total n$m!er of mem!ers comprisin" the la!or $nion and the names of mem!ers (ho approed the aliaon& 1d; the cer/cate of aliaon iss$ed !y the federaon in faor of the independently re"istered la!or $nion& and 1e; (ri%en noce to the employer concerned if the alian" $nion is the inc$m!ent !ar"ainin" a"ent.
19. DISAFFILIATION
The sole essence of aliaon is to increase# !y collece acon# the common !ar"ainin" po(er of local $nions for the e-ece enhancement and protecon of their interests. Admi%edly# there are mes (hen (itho$t s$ccor and s$pport local $nions may /nd it hard# $naided !y other s$pport "ro$ps# to sec$re '$sce for themseles.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P5 J L A T O N
Wet the local $nions remain the !asic $nits of associaon# free to sere their o(n interests s$!'ect to the restraints imposed !y the const$on and !y,la(s of the naonal federaon# and free also to reno$nce the aliaon $pon the terms laid do(n in the a"reement (hich !ro$"ht s$ch aliaon into e+istence. To disaliate is a ri"ht# !$t to o!sere the terms of aliaon is an o!li"aon 5.5 Local nion is the rincipal# ederaon the A"ent isaliaon of employees from their mother $nion and their formaon into a ne( $nion do not terminate their stat$s as employees of the corporaon# as the employees and mem!ers of the local $nion did not form a ne( $nion !$t merely e+ercised their ri"ht to re"ister their local $nion. 5.8 @hen to isaliate @hile it is tr$e that a local $nion is free to sere the interest of all its mem!ers and en'oys the freedom to disaliate# s$ch ri"ht to disaliate may !e e+ercised and is th$s considered a protected la!or acity only (hen (arranted !y circ$mstances. Cenerally# a la!or $nion may disaliate from the mother $nion to form a local or independent $nion only d$rin" the 3,day freedom period immediately precedin" the e+piraon of the 0BA. The =freedom period> refers to the last 3,days of the /Kh and last year of a 0BA. B$t een !efore the onset of the freedom period 1and despite the closed,shop proision in the 0BA !et(een the mother $nion and mana"ement; disaliaon may sll !e carried o$t# !$t s$ch disaliaon m$st !e e-ected !y a ma'ority of the mem!ers in the !ar"ainin" $nit. This r$lin" is tr$e ONLW if the contract of aliaon does not specify the period for possi!le disaliaon.
LABOR RELATIONS or"anizaon. It cannot /le a peon for cer/caon elecon. 5.6 isaliaon: E-ect on nion $es The o!li"aon of an employee to pay $nion d$es is cotermino$s (ith his aliaon or mem!ership. A contract !et(een an employer and the parent or"anizaon as !ar"ainin" a"ent for the employees is terminated !y the disaliaon of the local of (hich the employees are mem!ers. 5.3 isaliaon: E-ect =S$!st$onary> octrine
on
E+isn"
0BA&
the
The =s$!st$onary doctrine> proides that the employees cannot reo)e the alidly e+ec$ted collece !ar"ainin" contract (ith their employer !y the simple e+pedient of chan"in" their !ar"ainin" a"ent. The ne( a"ent m$st respect the contract. 11. REVOCATION OF C)ARTER
A federaon# naonal $nion or (or)ers? associaon may reo)e the charter iss$ed to a localchapter or !ranch !y serin" on the la%er a eri/ed noce of reocaon# copy f$rnished the B$rea$# on the "ro$nd of disloyalty or s$ch other "ro$nds as may !e speci/ed in the const$on and !yla(s of the federaon# naonal $nion or (or)ers? associaon. The reocaon shall diest the localchapter of its le"al personality $pon receipt of the noce !y the B$rea$# $nless in the meanme the localchapter has ac*$ired independent re"istraon in accordance (ith these R$les. 55.5 E-ect of 0ancellaon of Re"istraon of ederaon or Naonal nion on Locals0hapter The cancellaon of re"istraon of a federaon or naonal $nion shall operate to diest its localchapter of their stat$s as le"imate la!or or"anizaons# $nless the localschapters are coered !y a d$ly re"istered collece !ar"ainin" a"reement.
5.2 isaliaon m$st !e !y 7a'ority ecision 12 /ER&ER AND CONSOLIDATION
Arcle 8P51d; applies to disaliaon# th$s# it has to !e decided !y the enre mem!ership thro$"h secret !allon". 5.P isaliaon: E-ect on Le"al Stat$s @hen a $nion (hich is not independently re"istered disaliates from the federaon# it is not entled to the ri"hts and priile"es "ranted to a le"imate la!or
Secon 5. E-ect of mer"er or consolidaon. , @here there is a mer"er of la!or or"anizaons# the le"al e+istence of the a!sor!ed la!or or"anizaon1s; ceases# (hile the le"al e+istence of the a!sor!in" la!or or"anizaon s$!sists. All the ri"hts# interests and o!li"aons of the a!sor!ed la!or or"anizaons are transferred to the a!sor!in" or"anizaon. @here there is consolidaon# the le"al e+istence of the consolidan" la!or or"anizaons shall cease and a ne( la!or or"anizaon is created. The ne(ly created la!or or"anizaon
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P8 J L A T O N
LABOR RELATIONS shall ac*$ire all the ri"hts# interests and o!li"aons of the consolidan" la!or or"anizaons.
!$siness address& and 1e; the date (hen each of the mer"in" la!or or"anizaon.
0onsolidaon $s$ally occ$rs !et(een t(o $nions that are appro+imately the same size# (hereas mer"er oKen inoles a lar"er $nion mer"in" (ith a smaller $nion.
1(. C)AN&E OF NA/E
@hy do $nions mer"eZ They mer"e for reasons similar to those !ehind corporate mer"ers. irst# a small $nion may mer"e (ith a lar"er $nion in order to "ain access to "reater reso$rces and e+perse. Second# $nions that hae tradionally competed (ith each other for mem!ers may mer"e in order to eliminate inter,or"anizaonal conVicts. Third# $nions (hose mem!ers? s)ills hae !een o$tmoded !y technolo"ical and economic chan"es may mer"e (ith a stron"er $nion in order to maintain 'o! sec$rity and inst$onal s$rial. 58.5 Noce of 7er"er0onsolidaon Or"anizaons?& @here to ile
of
La!or
Secon . Noce of 7er"er0onsolidaon of la!or or"anizaons& @here to /le. , Noce of mer"er or consolidaon of independent la!or $nions# chartered locals and (or)ersX associaons shall !e /led (ith and recorded !y the Re"ional Oce that iss$ed the cer/cate of re"istraoncer/cate of creaon of chartered local of either the mer"in" or consolidan" la!or or"anizaon. Noce of mer"er or consolidaon of federaons or naonal $nions shall !e /led (ith and recorded !y the B$rea$.
58.8 Re*$irements of Noce of 7er"er0onsolidaon The noce of mer"er of la!or or"anizaons shall !e accompanied !y the follo(in" doc$ments: 1a; the min$tes of mer"er conenon or "eneral mem!ership meen"1s; of all the mer"in" la!or or"anizaons# (ith the list of their respece mem!ers (ho approed the same& and 1!; the amended const$on and !y,la(s and min$tes of its ra/caon# $nless ra/caon transpired in the mer"er conenon# (hich fact shall !e indicated accordin"ly.
58.2 0er/cate of Re"istraon Secon 5. 0er/cate of Re"istraon. , The cer/cate of re"istraon iss$ed to mer"ed la!or or"anizaons shall !ear the re"istraon n$m!er of one of the mer"in" la!or or"anizaons as a"reed $pon !y the pares to the mer"er. The cer/cate of re"istraon shall indicate the follo(in": 1a; the ne( name of the mer"ed la!or or"anizaon& 1!; the fact that it is a mer"er of t(o or more la!or or"anizaons& 1c; the name of the la!or or"anizaons that (ere mer"ed& 1d; its oce or
Secon 2. Noce of chan"e of name of la!or or"anizaons& @here to /le. , The noce for chan"e of name of a re"istered la!or or"anizaon shall !e /led (ith the B$rea$ or the Re"ional Oce (here the concerned la!or or"anizaonXs cer/cate of re"istraon or cer/cate of creaon of a chartered local (as iss$ed. Secon P. Re*$irements for noce of chan"e of name. , The noce for chan"e of name of a la!or or"anizaon shall !e accompanied !y the follo(in" doc$ments: 1a; proof of approal or ra/caon of chan"e of name& and 1!; the amended const$on and !y,la(s.
52.5 E-ect of 0han"e of Name The chan"e of name of a la!or or"anizaon shall not a-ect its le"al personality. All ri"hts and o!li"aons of a la!or or"anizaon $nder its old name shall conn$e to !e e+ercised !y the la!or or"anizaon $nder its ne( name. <<<<<<<< Art. 82. 0ancellaon of Re"istraon. , The cer/cate of re"istraon of any le"imate la!or or"anizaon# (hether naonal or local# may !e cancelled !y the B$rea$# aKer d$e hearin"# only on the "ro$nds speci/ed in Arcle 829 hereof. 1As amended !y Rep$!lic Act No. 9P5# 7ay 86# 84; <<<<<<<< Art. 82,A. E-ect of a eon for 0ancellaon of Re"istraon. , A peon for cancellaon of $nion re"istraon shall not s$spend the proceedin"s for cer/caon elecon nor shall it preent the /lin" of a peon for cer/caon elecon. In case of cancellaon# nothin" herein shall restrict the ri"ht of the $nion to see) '$st and e*$ita!le remedies in the appropriate co$rts. 1As amended !y Rep$!lic Act No. 9P5# 7ay 86# 84; <<<<<<<< Art. 829. Cro$nds for 0ancellaon of nion Re"istraon. , The follo(in" may const$te "ro$nds for cancellaon of $nion re"istraon: 1a; 7isrepresentaon# false statement or fra$d in connecon (ith the adopon or ra/caon of the const$on and !y,la(s or amendments thereto# the min$tes of ra/caon# and the list of mem!ers (ho too) part in the ra/caon&
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P2 J L A T O N
LABOR RELATIONS 1!; 7isrepresentaon# false statements or fra$d in connecon (ith the elecon of ocers# min$tes of the elecon of ocers# and the list of oters& 1c; Gol$ntary dissol$on !y the mem!ers. 1As amended !y Rep$!lic Act No. 9P5# 7ay 86# 84; <<<<<<<< Art. 829,A. Gol$ntary 0ancellaon of Re"istraon. , The re"istraon of a le"imate la!or or"anizaon may !e cancelled !y the or"anizaon itself. roided# That at least t(o,thirds of its "eneral mem!ership otes# in a meen" d$ly called for that p$rpose to dissole the or"anizaon: roided# f$rther# That an applicaon to cancel re"istraon is thereaKer s$!mi%ed !y the !oard of the or"anizaon# a%ested to !y the president thereof. 1As amended !y Rep$!lic Act No. 9P5# 7ay 86# 84; <<<<<<<< 1. CANCELLATION OF RE&ISTRATION= &RONDS
@hile re"istraon is the act that conerts a la!or or"anizaon to a le"imate la!or or"anizaon# cancellaon is the "oernment act that diests it of that stat$s. It there!y reerts to its character prior to the re"istraon. Altho$"h it does not cease to e+ist or !ecome an $nla(f$l or"anizaon# its '$ridical personality as (ell as its stat$tory ri"hts and priile"es are s$spended. It loses entlement to the ri"hts en$merated in Arcle 8P8 of the La!or 0ode. It cannot demand reco"nion !y or !ar"ainin" (ith the employer# cannot /le a peon for cer/caon elecon# and cannot stri)e. 5.5 =0a!o> M0a!oM refers to a person or "ro$p or persons or to a la!or "ro$p (hich# in the "$ise of a la!or or"anizaon# s$pplies (or)ers to an employer# (ith or (itho$t any monetary or other consideraon (hether in the capacity of an a"ent of the employer or as an ostensi!le independent contractor. 5.8 Administrae re*$irements>
0ancellaon&
the
=reportorial
Secon 5. Reporn" re*$irements. , It shall !e the d$ty of eery le"imate la!or $nions and (or)ers associaons to s$!mit to the Re"ional Oce or the B$rea$ (hich iss$ed its cer/cate of re"istraon or cer/cate of creaon of chartered local# as the case may !e# t(o 18; copies of each of the follo(in" doc$ments: 1a; any amendment to its const$on and !y,la(s and the min$tes of adopon or ra/caon of s$ch amendments# (ithin thirty 12; days from its adopon or ra/caon&
1!; ann$al /nancial reports (ithin thirty 12; days aKer the close of each /scal year or calendar year& 1c; $pdated list of ne(ly,elected ocers# to"ether (ith the appoine ocers or a"ents (ho are entr$sted (ith the handlin" of f$nds# (ithin thirty 12; days aKer each re"$lar or special elecon of ocers# or from the occ$rrence of any chan"e in the ocers of a"ents of the la!or or"anizaon or (or)ers associaon& 1d; $pdated list of indiid$al mem!ers of chartered locals# independent $nions and (or)ersX associaons (ithin thirty 12; days aKer the close of each /scal year& and 1e; $pdated list of its chartered locals and aliates or mem!er or"anizaons# collece !ar"ainin" a"reements e+ec$ted and their e-ecity period# in the case of federaons or naonal $nions# (ithin thirty 12; days aKer the close of each /scal year# as (ell as the $pdated list of their a$thorized representaes# a"ents or si"natories in the di-erent re"ions of the co$ntry. As $nderstood in these R$les# the /scal year of a la!or or"anizaon shall coincide (ith the calendar year# $nless a di-erent period is prescri!ed in the const$on and !y,la(s.
ail$re of the la!or or"anizaon to s$!mit the reports menoned a!oe for /e 16; consec$e years a$thorizes the B$rea$ to inst$te cancellaon proceedin"s $pon its o(n iniae or $pon complaint !y any party,in,interest. 2. $)O FILES PETITION FOR CANCELLATION Secon 8. @ho may /le. , Any party,in,interest may commence a peon for cancellaon of re"istraon# e+cept in acons inolin" iolaons of Arcle 8P5# (hich can only !e commenced !y mem!ers of the la!or or"anizaon concerned. Secon 2. Cro$nds for cancellaon. , The follo(in" shall const$te "ro$nds for cancellaon of re"istraon of la!or or"anizaons: 1"; commission of any of the acts en$merated $nder Arcle 8P5 of the La!or 0ode& proided that no peon for cancellaon !ased on this "ro$nd may !e "ranted $nless s$pported !y at least thirty 12^; percent of all the mem!ers of the respondent la!or or"anizaon&
The peon shall !e $nder oath and shall state clearly and concisely the facts and "ro$nds relied $pon# accompanied !y proof of serice to the respondent. B$t s$ch peon cannot !e entertained in the peon for cer/caon elecon /led !y the $nion. (. $)ERE TO FILE PETITION Secon 5. @here to /le. , S$!'ect to the re*$irements of noce and d$e process# the re"istraon of any le"imate independent la!or $nion# chartered local and (or)ersX associaon may !e cancelled !y the Re"ional irector# or in the case of federaons# naonal or ind$stry $nions and trade $nion centers# !y the
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
PP J L A T O N
B$rea$ irector# $pon the /lin" of an independent complaint or peon for cancellaon.
0ancellaon orders iss$ed !y the Re"ional irector are appeala!le to the BLR. The la%er?s decision is /nal and e+ec$tor# hence# not appeala!le to the OLE Secretary !$t it may !e eleated to the 0o$rt of Appeals !y cer$orari . BLR decisions on cancellaon cases that ori"inated at the BLR itself may !e appealed to the Secretary and# a"ain# !y cer$orari to the 0A. *. PROCEDRE Secon 8. roced$re. , The La!or Relaons iision of the Re"ional Oce shall ma)e a report of the la!or or"anizaonXs non,compliance and s$!mit the same to the B$rea$ for eri/caon (ith its records. The B$rea$ shall send !y re"istered mail (ith ret$rn card to the la!or or"anizaon concerned# a noce for compliance indican" the doc$ments it failed to s$!mit and the correspondin" period in (hich they (ere re*$ired# (ith noce to comply (ith the said reportorial re*$irements and to s$!mit proof thereof to the B$rea$ (ithin ten 15; days from receipt thereof. @here no response is receied !y the B$rea$ (ithin thirty 12; days from the release of the /rst noce# another noce for compliance shall !e made !y the B$rea$# (ith (arnin" that fail$re on its part to comply (ith the reportorial re*$irements (ithin the me speci/ed shall ca$se the conn$aon of the proceedin"s for the administrae cancellaon of its re"istraon. Secon 2. $!licaon of noce of cancellaon of re"istraon . , @here no response is a"ain receied !y the B$rea$ (ithin thirty 12; days from release of the second noce# the B$rea$ shall ca$se the p$!licaon of the noce of cancellaon of re"istraon of the la!or or"anizaon in t(o 18; ne(spapers of "eneral circ$laon. The B$rea$ may cond$ct an ines"aon (ithin the employerXs premises and at the la!or or"anizaonXs last )no(n address to erify the la%erXs e+istence.
<<<<<<<< Art. 8P. E*$ity of the inc$m!ent. All e+isn" federaons and naonal $nions (hich meet the *$ali/caons of a le"imate la!or or"anizaon and none of the "ro$nds for cancellaon shall conn$e to maintain their e+isn" aliates re"ardless of the nat$re of the ind$stry and the locaon of the aliates. <<<<<<<< Chapter II RI&)TS AND CONDITIONS OF /E/BERS)IP
Art. 8P5. Ri"hts and condions of mem!ership in a la!or or"anizaon. The follo(in" are the ri"hts and condions of mem!ership in a la!or or"anizaon:
LABOR RELATIONS a. No ar!itrary or e+cessie iniaon fees shall !e re*$ired of the mem!ers of a le"imate la!or or"anizaon nor shall ar!itrary# e+cessie or oppressie /ne and forfeit$re !e imposed& !. The mem!ers shall !e entled to f$ll and detailed reports from their ocers and representaes of all /nancial transacons as proided for in the const$on and !y,la(s of the or"anizaon& c. The mem!ers shall directly elect their ocers# incl$din" those of the naonal $nion or federaon# to (hich they or their $nion is aliated# !y secret !allot at interals of /e 16; years. No *$ali/caon re*$irements for candidacy to any posion shall !e imposed other than mem!ership in "ood standin" in s$!'ect la!or or"anizaon. The secretary or any other responsi!le $nion ocer shall f$rnish the Secretary of La!or and Employment (ith a list of the ne(ly,elected ocers# to"ether (ith the appoine ocers or a"ents (ho are entr$sted (ith the handlin" of f$nds# (ithin thirty 12; calendar days aKer the elecon of ocers or from the occ$rrence of any chan"e in the list of ocers of the la!or or"anizaon& 1As amended !y Secon 53# Rep$!lic Act No. 3456# 7arch 85# 599; d. The mem!ers shall determine !y secret !allot# aKer d$e deli!eraon# any *$eson of ma'or policy a-ecn" the enre mem!ership of the or"anizaon# $nless the nat$re of the or"anizaon or force ma'e$re renders s$ch secret !allot impraccal# in (hich case# the !oard of directors of the or"anizaon may ma)e the decision in !ehalf of the "eneral mem!ership& e. No la!or or"anizaon shall )no(in"ly admit as mem!ers or conn$e in mem!ership any indiid$al (ho !elon"s to a s$!ersie or"anizaon or (ho is en"a"ed directly or indirectly in any s$!ersie acity& f. No person (ho has !een conicted of a crime inolin" moral t$rpit$de shall !e eli"i!le for elecon as a $nion ocer or for appointment to any posion in the $nion& ". No ocer# a"ent or mem!er of a la!or or"anizaon shall collect any fees# d$es# or other contri!$ons in its !ehalf or ma)e any dis!$rsement of its money or f$nds $nless he is d$ly a$thorized p$rs$ant to its const$on and !y,la(s& h. Eery payment of fees# d$es or other contri!$ons !y a mem!er shall !e eidenced !y a receipt si"ned !y the ocer or a"ent ma)in" the collecon and entered into the record of the or"anizaon to !e )ept and maintained for the p$rpose&
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P6 J L A T O N
i. The f$nds of the or"anizaon shall not !e applied for any p$rpose or o!'ect other than those e+pressly proided !y its const$on and !y,la(s or those e+pressly a$thorized !y (ri%en resol$on adopted !y the ma'ority of the mem!ers at a "eneral meen" d$ly called for the p$rpose& '. Eery income or reen$e of the or"anizaon shall !e eidenced !y a record sho(in" its so$rce# and eery e+pendit$re of its f$nds shall !e eidenced !y a receipt from the person to (hom the payment is made# (hich shall state the date# place and p$rpose of s$ch payment. S$ch record or receipt shall form part of the /nancial records of the or"anizaon. Any acon inolin" the f$nds of the or"anizaon shall prescri!e aKer three 12; years from the date of s$!mission of the ann$al /nancial report to the epartment of La!or and Employment or from the date the same sho$ld hae !een s$!mi%ed as re*$ired !y la(# (hicheer comes earlier: roided# That this proision shall apply only to a le"imate la!or or"anizaon (hich has s$!mi%ed the /nancial report re*$irements $nder this 0ode: roided# f$rther# that fail$re of any la!or or"anizaon to comply (ith the periodic /nancial reports re*$ired !y la( and s$ch r$les and re"$laons prom$l"ated there$nder si+ 13; months aKer the e-ecity of this Act shall a$tomacally res$lt in the cancellaon of $nion re"istraon of s$ch la!or or"anizaon& 1As amended !y Secon 53# Rep$!lic Act No. 3456# 7arch 85# 599; ). The ocers of any la!or or"anizaon shall not !e paid any compensaon other than the salaries and e+penses d$e to their posions as speci/cally proided for in its const$on and !y,la(s# or in a (ri%en resol$on d$ly a$thorized !y a ma'ority of all the mem!ers at a "eneral mem!ership meen" d$ly called for the p$rpose. The min$tes of the meen" and the list of parcipants and !allots cast shall !e s$!'ect to inspecon !y the Secretary of La!or or his d$ly a$thorized representaes. Any irre"$laries in the approal of the resol$ons shall !e a "ro$nd for impeachment or e+p$lsion from the or"anizaon& l. The treas$rer of any la!or or"anizaon and eery ocer thereof (ho is responsi!le for the acco$nt of s$ch or"anizaon or for the collecon# mana"ement# dis!$rsement# c$stody or control of the f$nds# moneys and other properes of the or"anizaon# shall render to the or"anizaon and to its mem!ers a tr$e and correct acco$nt of all moneys receied and paid !y him since he ass$med oce or since the last day on (hich he rendered s$ch acco$nt# and of all !onds# sec$ries and other properes of the or"anizaon entr$sted to his
LABOR RELATIONS c$stody or $nder his control. The renderin" of s$ch acco$nt shall !e made: 5. At least once a year (ithin thirty 12; days aKer the close of its /scal year& 8. At s$ch other mes as may !e re*$ired !y a resol$on of the ma'ority of the mem!ers of the or"anizaon& and 2. pon acan" his oce. The acco$nt shall !e d$ly a$dited and eri/ed !y adait and a copy thereof shall !e f$rnished the Secretary of La!or. m. The !oo)s of acco$nts and other records of the /nancial acies of any la!or or"anizaon shall !e open to inspecon !y any ocer or mem!er thereof d$rin" oce ho$rs& n. No special assessment or other e+traordinary fees may !e leied $pon the mem!ers of a la!or or"anizaon $nless a$thorized !y a (ri%en resol$on of a ma'ority of all the mem!ers in a "eneral mem!ership meen" d$ly called for the p$rpose. The secretary of the or"anizaon shall record the min$tes of the meen" incl$din" the list of all mem!ers present# the otes cast# the p$rpose of the special assessment or fees and the recipient of s$ch assessment or fees. The record shall !e a%ested to !y the president. o. Other than for mandatory acies $nder the 0ode# no special assessments# a%orney?s fees# ne"oaon fees or any other e+traordinary fees may !e chec)ed o- from any amo$nt d$e to an employee (itho$t an indiid$al (ri%en a$thorizaon d$ly si"ned !y the employee. The a$thorizaon sho$ld speci/cally state the amo$nt# p$rpose and !ene/ciary of the ded$con& and p. It shall !e the d$ty of any la!or or"anizaon and its ocers to inform its mem!ers on the proisions of its const$on and !y,la(s# collece !ar"ainin" a"reement# the preailin" la!or relaons system and all their ri"hts and o!li"aons $nder e+isn" la!or la(s. or this p$rpose# re"istered la!or or"anizaons may assess reasona!le d$es to /nance la!or relaons seminars and other la!or ed$caon acies. Any iolaon of the a!oe ri"hts and condions of mem!ership shall !e a "ro$nd for cancellaon of $nion re"istraon or e+p$lsion of ocers from oce# (hicheer is appropriate. At least thirty percent 12^; of the mem!ers of a $nion or any mem!er or mem!ers specially concerned may report s$ch iolaon to the B$rea$. The B$rea$ shall hae the po(er to hear and
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P3 J L A T O N
LABOR RELATIONS decide any reported iolaon to mete the appropriate penalty. 0riminal and ciil lia!ilies arisin" from iolaons of a!oe ri"hts and condions of mem!ership shall conn$e to !e $nder the '$risdicon of ordinary co$rts. <<<<<<<< 1. DE/OCRATI'ATION OF NIONS
As $nionism?s aim is to install ind$strial democracy# the $nions themseles m$st !e democrac. This is a raonale !ehind Arcle 8P5. To democraze the $nions# Arcle 8P5 re*$ires that the $nion ocers !e elected directly !y the mem!ers thro$"h secret !allot and that the ma'or policy decisions# as a r$le# !e made !y the $nion mem!ers# a"ain# !y secret !allot. As in a rep$!lic (here soerei"nty resides in the people# the mem!ers of the $nion are the )eepers and dispensers of a$thority. The "oernin" po(er is the mem!ers# not the ocers. 2. NATRE OF RELATIONS)IP BET$EEN NION AND ITS /E/EBERS
The $nion has !een eoled as an or"anizaon of collece stren"th for the protecon of la!or a"ainst the $n'$st e+acons of capital# !$t e*$ally important is the re*$irement of fair dealin" !et(een the $nion and its mem!ers# (hich is /d$ciary in nat$re# and arises o$t of t(o factors: Mone is the de"ree of dependence of the indiid$al employee on the $nion or"anizaon& the other# a corollary of the /rst# is the comprehensie po(er ested in the $nion (ith respect to the indiid$al.M The $nion may !e considered !$t the a"ent of its mem!ers for the p$rpose of sec$rin" for them fair and '$st (a"es and "ood (or)in" condions and is s$!'ect to the o!li"aon of "iin" the mem!ers as its principals all informaon releant to $nion and la!or ma%ers entr$sted to it. 8.5 $ty of 0o$rt to rotect La!orers from n'$st E+ploitaon !y Oppressie Employers and nion Leaders F$st as this 0o$rt has stric)en do(n $n'$st e+ploitaon of la!orers !y oppressie employers# so (ill it stri)e do(n their $nfair treatment !y their o(n $n(orthy leaders. The 0onst$on en'oins the State to a-ord protecon to la!or. air dealin" is e*$ally demanded of $nions as (ell as of employers in their dealin"s (ith employees. The $nion const$on is a coenant !et(een the $nion and its mem!ers and amon" the mem!ers.
The ri"hts and condions of mem!ership laid do(n in Art. 8P5 may !e s$mmarized as follo(s: 15; olical ri"ht the mem!er?s ri"ht to ote and !e oted for# s$!'ect to la(f$l proisions on *$ali/caons and dis*$ali/caons. 18; eli!erae and decision,ma)in" ri"ht the mem!er?s ri"ht to parcipate in deli!eraons on ma'or policy *$esons and decide them !y secret !allot. 12; Ri"hts oer money ma%ers the mem!er?s ri"ht a"ainst e+cessie fees& the ri"ht a"ainst $na$thorized collecon of contri!$ons or $na$thorized dis!$rsements& the ri"ht to re*$ire ade*$ate records of income and e+penses and the ri"ht of access to /nancial records& the ri"ht to ote on ocers? compensaon& the ri"ht to ote on proposed special assessments and !e ded$cted a special assessment only (ith the mem!er?s (ri%en a$thorizaon. 1P; Ri"ht to Informaon the mem!er?s ri"ht to !e informed a!o$t the or"anizaon?s const$on and !y, la(s and the collece !ar"ainin" a"reement and a!o$t la!or la(s. Altho$"h not so denominated# Arcle 8P5 of the La!or 0ode carries the character of a !ill of ri"hts of $nion mem!ers. 2.5 Eli"i!ility for 7em!ership @hen# ho(# and $nder (hat condions does an employee !ecome a $nion mem!erZ The ans(er depends on the $nion?s const$on and !y,la(s inasm$ch as Arcle 8P9 "ies a la!or or"anizaon the ri"ht to prescri!e its o(n r$les for ac*$ision or retenon of mem!ership. Nonetheless# $nder Art. 844 an employee is already *$ali/ed for $nion mem!ership starn" on his /rst day of serice. H$alifyin" for $nion mem!ership does not necessarily mean incl$sion in the coera"e of the 0BA. The reerse is e*$ally tr$e: mem!ership in the 0B does not a$tomacally mean mem!ership in the $nion. To s$m $p: Incl$sion in the 0B depends on the determinaon of its appropriateness $nder Art. 82P and Art. 866. Incl$sion or mem!ership in a $nion depends on the $nion?s const$on and !y,la(s# (itho$t pre'$dice to Art. 8441c;.
(. RI&)TS OF NION /E/BERS Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P4 J L A T O N
LABOR RELATIONS Incl$sion or coera"e in the 0BA depends on the sp$laons in the 0BA itself. *. ELECTION OF NION OFFICERS
The ocers of the $nion are elected !y the mem!ers in secret !allot on". The elecon ta)es place at interals of /e years (hich is the term of oce of the $nion ocers incl$din" those of a naonal $nion# federaon# or trade $nion center. The Implemenn" R$les 1R$le [II# Secon 5; re*$ire the inc$m!ent president to create an elecon commi%ee (ithin 3 days !efore e+piraon of the inc$m!ent ocers? term. If the ocers (ith e+pired term do not call an elecon# the remedy# accordin" to R$le [II# is for at least 2^ of the mem!ers to /le a peon (ith the OLE Re"ional Oce. The mem!er?s fr$straon oer the performance of the $nion ocers# as (ell as their fear of a =fra$d$lent> elecon to !e held $nder the la%er?s s$perision# does not '$sfy disre"ard of the $nion?s const$on and !y, la(s.
P.8 nion Ocers 7$st Be an Employee 1f; No person (ho is not an employee or (or)er of the company or esta!lishment (here an independently re"istered $nion# aliate# local or chapter of a la!or federaon or naonal $nion operates shall henceforth !e elected or appointed as an ocer of s$ch $nion# aliate# local or chapter.
In short# one sho$ld !e employed in the company to *$alify as ocer of a $nion in that company. P.2 is*$ali/caon of nion Ocers M7oral t$rpit$deM has !een de/nes as an act of !aseness# ileness# or depraity in the priate and social d$es (hich a man o(es his fello( men# or to society in "eneral# contrary to the accepted and c$stomary r$le of ri"ht and d$ty !et(een man and man or cond$ct contrary to '$sce# honesty# modesty# or "ood morals. P.P nion Elecon rotest: roclamaon of @inners Secon 52. rotest& (hen perfected. , Any party,in,interest may /le a protest !ased on the cond$ct or mechanics of the elecon. S$ch protests shall !e recorded in the min$tes of the elecon proceedin"s. rotests not so raised are deemed (aied.
P.5 Eli"i!ility of Goters Only mem!ers of the $nion can ta)e part in the elecon of $nion ocers. Em!er in "ood standin" is any person (ho has f$l/lled the re*$irements for mem!ership in the $nion and (ho has neither ol$ntarily (ithdra(n from mem!ership nor !een e+pelled or s$spended from mem!ership aKer appropriate proceedin"s consistent (ith the la(f$l proisions of the $nion?s const$on and !y,la(s. A la!or or"anizaon may prescri!e reasona!le r$les and re"$laons (ith respect to on" eli"i!ility. A la!or or"anizaon may condion the e+ercise of the ri"ht to ote on the payment of d$es# since payin" d$es is a !asic o!li"aon of mem!ership. Uo(eer# this r$le is s$!'ect to t(o *$ali/caons in that 1a; any r$le denyin" d$es,delin*$ent mem!ers the ri"ht to ote m$st !e applied $niformly& and 1!; mem!ers m$st !e a-orded a reasona!le opport$nity to pay d$es# incl$din" a "race period d$rin" (hich d$es may !e paid (itho$t any loss of ri"hts. S$!mission of the employees names (ith the BLR as *$ali/ed mem!ers of the $nion is not a condion sine *$a non to ena!le said mem!ers to ote in the elecon of $nionXs ocers.
The protesn" party m$st formalize its protest (ith the 7ed, Ar!iter# (ith speci/c "ro$nds# ar"$ments and eidence# (ithin /e 16; days aKer the close of the elecon proceedin"s. If not recorded in the min$tes and formalized (ithin the prescri!ed period# the protest shall !e deemed dropped.
. ACTION A&AINST NION OFFICERS
A $nion ocer# aKer his elecon# may not !e e+pelled from the $nion for past malfeasance or misfeasance. To do so (o$ld n$llify the choice made !y the $nion mem!ers. The remedy a"ainst errin" $nion ocers is not referend$m !$t $nion e+p$lsion# i.e. to e+pel them from the nion. It is the !e%er part of conenonal or pra"mac sol$ons in cases of this nat$re# a!sent oerridin" consideraons to the contrary# to respect the (ill of the ma'ority of the (or)ers (ho oted in the elecons. Altho$"h decreed $nder a di-erent seDn"# it is apropos to recall the r$lin" that (here the people hae elected a man to oce# it m$st !e ass$med that they did this (ith )no(led"e of his life and character# and that they disre"arded or for"ae his fa$lts or miscond$ct# if he had !een "$ilty of any.
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P J L A T O N
7. DE PROCESS IN I/PEAC)/ENT
LABOR RELATIONS mem!ers of a $nion or any mem!er or mem!ers specially concerned.
,. E:PLSION OF /E/BER 19. VISITORIAL PO$ER
F$st as an ocer is entled to d$e process# so does a mem!er. In a case# the 0o$rt e+plicitly r$led that a mem!er of a la!or $nion may !e e+pelled only for a alid ca$se and !y follo(in" the proced$re o$tlined in the const$on and !y,la(s of the $nion. E+p$lsion of a mem!er for ar!itrary or impet$o$s reason may amo$nt to $nfair la!or pracce !y the $nion.
Arcle 8P4 a$thorizes the Secretary of La!or and Employment or his d$ly a$thorized representae to in*$ire into the /nancial acies of any la!or or"anizaon on the !asis of a complaint $nder oath# s$pported !y 8 percent of the mem!ership in order to determine compliance or noncompliance (ith the la(s and to aid in the prosec$on of any iolaon thereof.
+. RELIEF $IT)IN T)E NION
11. C)ECK0OFF AND ASSESS/ENTS
Cenerally# redress m$st /rst !e so$"ht (ithin the $nion itself in accordance (ith its const$on and !y,la(s.
A chec),o- is a method of ded$cn" from an employee?s pay at prescri!ed period# the amo$nts d$e the $nion for fees# /nes# or assessments. The ri"ht of a $nion to collect $nion d$es is reco"nized $nder Arcle 8441a;.
If intra,$nion remedies hae failed to correct any iolaons of the internal la!or or"anizaon proced$res# a case can !e /led (ith the B$rea$ of La!or Relaons# (hich is a$thorized to hear and decide cases of this nat$re. .5 E+cepons @here e+ha$son of remedies (ithin the $nion itself (o$ld praccally amo$nt to a denial of '$sce# or (o$ld !e ill$sory or ain# it (ill not !e insisted $pon# parc$larly (here property ri"hts of the mem!ers are inoled# as a condion to the ri"ht to ino)e the aid of a co$rt. 8. CONSE4ENCES OF VIOLATION OF RI&)TS
If the condions of mem!ership# or the ri"ht of the mem!ers# are iolated# the iolaon may res$lt in the cancellaon of the $nion re"istraon or the e+p$lsion of the c$lpa!le ocers. Secon P. Acons arisin" from Arcle 8P5. , Any complaint or peon (ith alle"aons of mishandlin"# misappropriaon or non,acco$nn" of f$nds in iolaon of Arcle 8P5 shall !e treated as an intra,$nion disp$te. It shall !e heard and resoled !y the 7ed,Ar!iter p$rs$ant to the proisions of R$le [I.
9.5 E+cepon: @hen 2^ Not Re*$ired @hen s$ch iolaon directly a-ects only one or t(o mem!ers# then only one or t(o mem!ers (o$ld !e eno$"h to report s$ch iolaon. It states that a report of a iolaon of ri"hts and condions of mem!ership in a la!or or"anizaon may !e made !y M1a;t least thirty percent 12^; of all the
55.5 Assessments# li)e d$es# may also !e chec)ed o- $es are de/ned as payments to meet the $nion?s "eneral and c$rrent o!li"aons. The payment m$st !e re"$lar# periodic# and $niform. ayments $sed for a special p$rpose# especially if re*$ired only for a limited me# are re"arded as assessment. ART. 8P5. Ri"hts and condions of mem!ership in a la!or or"anizaon. The follo(in" are the ri"hts and condions of mem!ership in a la!or or"anizaon. 1o; Other than for mandatory acies $nder the 0ode# no special assessment# a%orneyXs fees# ne"oaon fees or any other e+traordinary fees may !e chec)ed o- from any amo$nt d$e an employee (itho$t an indiid$al (ri%en a$thorizaon d$ly si"ned !y an employee. The a$thorizaon sho$ld speci/cally state the amo$nt# p$rpose and !ene/ciary of the ded$con.
A%orneyXs fees may not !e ded$cted or chec)ed o- from any amo$nt d$e to an employee (itho$t his (ri%en consent e+cept for mandatory acies $nder the 0ode. A mandatory acity has !een de/ned as a '$dicial process of se%lin" disp$te laid do(n !y the la(. An amica!le se%lement entered into !y the mana"ement and the $nion is not a mandatory acity $nder the 0ode. 7oreoer# the la( e+plicitly re*$ires the indiid$al (ri%en a$thorizaon of each employee concerned# to ma)e the ded$con of a%orney?s fees alid. ed$cons for $nion serice fee are a$thorized !y la( and do not re*$ire indiid$al chec),o- a$thorizaons. Not(ithstandin" its Mcomp$lsoryM nat$re# =comp$lsory ar!itraon> is not the Mmandatory acityM $nder the
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
P9 J L A T O N
LABOR RELATIONS 0ode (hich dispenses (ith a$thorizaons for chec),o-s.
indiid$al
(ri%en
15; Re*$irements The fail$re of the nion to comply strictly (ith the re*$irements set o$t !y the la( inalidates the *$esoned special assessment. S$!stanal compliance is not eno$"h in ie( of the fact that the special assessment (ill diminish the compensaon of the $nion mem!ers. Their e+press consent is re*$ired# and this consent m$st !e o!tained in accordance (ith the steps o$tlined !y la(# (hich m$st !e follo(ed to the l e%er. No shortc$ts are allo(ed. It s$!mi%ed only min$tes of the local mem!ership meen"s (hen (hat is re*$ired is a (ri%en resol$on adopted at the "eneral meen". @orse sll# the min$tes of three of those local meen"s held (ere recorded !y a $nion director and not !y the $nion secretary. The min$tes s$!mi%ed to the 0ompany contained no list of the mem!ers present and no record of the otes cast. Since it is *$ite eident that the nion did not comply (ith the la( at eery t$rn# the only concl$sion that may !e made therefrom is that there (as no alid ley of the special assessment p$rs$ant to para"raph 1n; of Arcle 8P5 of the La!or 0ode. 18; E-ects of (ithdra(al of a$thorizaons ara"raph 1o; on the other hand re*$ires an indiid$al (ri%en a$thorizaon d$ly si"ned !y eery employee in order that a special assessment may !e alidly chec)ed,o-. Een ass$min" that the special assessment (as alidly leied p$rs$ant to para"raph 1n;# and "rann" that indiid$al (ri%en a$thorizaons (ere o!tained !y the nion# neertheless there can !e no alid chec),o- considerin" that the ma'ority of the $nion mem!ers had already (ithdra(n their indiid$al a$thorizaons. A (ithdra(al of indiid$al a$thorizaons is e*$ialent to no a$thorizaon at all. 12; orms of disa$thorizaon The nion points o$t# ho(eer# that said disa$thorizaons are not alid for !ein" collece in form# as they are Mmere !$nches of randomly proc$red si"nat$res# $nder loose sheets of paper.M The contenon deseres no merit for the simple reason that the doc$ments containin" the disa$thorizaons hae the si"nat$res of the $nion mem!ers. The 0o$rt /nds these retracons to !e alid. There is nothin" in the la( (hich re*$ires that the disa$thorizaon m$st !e in indiid$al form. 1P; $rpose of the special assessment Of the stated p$rposes of the special assessment# as em!odied in the !oard resol$on of the nion# only the collecon of a special f$nd for la!or and ed$caon research is mandated# as correctly pointed o$t !y the nion. The t(o other p$rposes# namely# the p$rchase of ehicles and other items for the !ene/t of the $nion ocers and the "eneral mem!ership# and the payment of serices rendered !y $nion ocers# cons$ltants and others# sho$ld !e s$pported !y the re"$lar $nion d$es# there !ein" no sho(in" that the la%er are not s$cient to coer the same. 16; Arcle 8881!; of the La!or 0ode# =similar char"e> The last stated p$rpose is contended !y peoners to fall $nder the coera"e of Arcle 888 1!; of the La!or 0ode. The contenon is impressed (ith merit. Arcle 888 1!; prohi!its a%orneyXs fees#
ne"oaons fees and similar char"es arisin" o$t of the concl$sion of a collece !ar"ainin" a"reement from !ein" imposed on any indiid$al $nion mem!er. The collecon of the special assessment partly for the payment for serices rendered !y $nion ocers# cons$ltants and others may not !e in the cate"ory of Ma%orneyXs fees or ne"oaons fees.M B$t there is no *$eson that it i s an e+acon (hich falls (ithin the cate"ory of a Msimilar char"e#M and# therefore# (ithin the coera"e of the prohi!ion in the aforemenoned arcle. 13; nlimited discreon of $nion president# disallo(ed There is an addional proiso "iin" the nion resident $nlimited discreon to allocate the proceeds of the special assessment. S$ch a proiso may open the door to a!$se !y the ocers of the nion considerin" that the total amo$nt of the special assessment is *$ite considera!le 5#84#39P.22 collected from those $nion mem!ers (ho ori"inally a$thorized the ded$con# and 5#834#32.29 from those (ho did not a$thorize the same# or s$!se*$ently retracted their a$thorizaons. The 0o$rt# therefore# sta)es do(n the *$esoned special assessment for !ein" a iolaon of Arcle 8P5# para"raphs 1n; and 1o;# and Arcle 888 1!; of the La!or 0ode.
55.8 Three Re*$isites to 0ollect Special Assessment Arcle 8P5 spea)s of three 12; re*$isites that m$st !e complied (ith in order that the special assessment for nionXs incidental e+penses# a%orneyXs fees and representaon e+penses# as sp$lated in Arcle [II of the 0BA# !e alid and $pheld namely: 5; a$thorizaon !y a (ri%en resol$on of the ma'ority of all the mem!ers at the "eneral mem!ership meen" d$ly called for the p$rpose& 18; secretaryXs record of the min$tes of the meen"& and 12; indiid$al (ri%en a$thorizaon for chec),o- d$ly si"ned !y the employee concerned. 55.2 0hec),o- of A"ency ee This is the amo$nt# e*$ialent to $nion d$es# (hich a non,$nion mem!er pays to the $nion !eca$se he !ene/ts from the 0BA ne"oated !y the $nion. In ne"oan" the 0BA the $nion sered as the employee?s a"ent. 0hec),o- of a"ency fee is allo(ed $nder Art. 8P1e;. 55.P Ille"al 0hec),o- Cro$nd for cancellaon 55.6 Employer?s Lia!ility in 0hec),o- Arran"ement 0hec),o-s in tr$th impose an e+tra !$rden on the employer in the form of addional administrae and !oo))eepin" costs. It is a !$rden ass$med !y mana"ement at the instance of the $nion and for its !ene/t# in order to facilitate the collecon of d$es necessary for the la%erXs life and s$stenance. B$t the o!li"aon to pay $nion d$es and a"ency fees o!io$sly
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
6 J L A T O N
deoles not $pon the employer# !$t the indiid$al employee. It is a personal o!li"aon not demanda!le from the employer $pon defa$lt or ref$sal of the employee to consent to a chec),o-. The only o!li"aon of the employer $nder a chec),o- is to e-ect the ded$cons and remit the collecons to the $nion.
LABOR RELATIONS repealin" this proision. 1As amended !y Secon 54# Rep$!lic Act No. 3456# 7arch 85# 599; <<<<<<<< Art. 8P8,A. Reportorial Re*$irements. , The follo(in" are doc$ments re*$ired to !e s$!mi%ed to the B$rea$ !y the le"imate la!or or"anizaon concerned:
55.3 F$risdicon Oer 0hec),o- isp$tes The Re"ional irector of OLE# not the la!or ar!iter# has '$risdicon oer chec),o- disp$tes. <<<<<<<< Chapter III RI&)TS OF LE&ITI/ATE LABOR OR&ANI'ATIONS
Art. 8P8. Ri"hts of le"imate la!or or"anizaons. A le"imate la!or or"anizaon shall hae the ri"ht: a. To act as the representae of its mem!ers for the p$rpose of collece !ar"ainin"& !. To !e cer/ed as the e+cl$sie representae of all the employees in an appropriate !ar"ainin" $nit for p$rposes of collece !ar"ainin"& c. To !e f$rnished !y the employer# $pon (ri%en re*$est# (ith its ann$al a$dited /nancial statements# incl$din" the !alance sheet and the pro/t and loss statement# (ithin thirty 12; calendar days from the date of receipt of the re*$est# aKer the $nion has !een d$ly reco"nized !y the employer or cer/ed as the sole and e+cl$sie !ar"ainin" representae of the employees in the !ar"ainin" $nit# or (ithin si+ty 13; calendar days !efore the e+piraon of the e+isn" collece !ar"ainin" a"reement# or d$rin" the collece !ar"ainin" ne"oaon& d. To o(n property# real or personal# for the $se and !ene/t of the la!or or"anizaon and its mem!ers&
1a; Its const$on and !y,la(s# or amendments thereto# the min$tes of ra/caon# and the list of mem!ers (ho too) part in the ra/caon of the const$on and !y, la(s (ithin thirty 12; days from adopon or ra/caon of the const$on and !y,lam or amendments thereto& 1!; Its list of ocers# min$tes of the elecon of ocers# and list of oters (ithin thirty 12; days from elecon& 1c; Its ann$al /nancial report (ithin thirty 12; days aKer the close of eery /scal year& and 1d; Its list of mem!ers at least once a year or (heneer re*$ired !y the B$rea$. ail$re to comply (ith the a!oe re*$irements shall not !e a "ro$nd for cancellaon of $nion re"istraon !$t shall s$!'ect the errin" ocers or mem!ers to s$spension# e+p$lsion from mem!ership# or any appropriate penalty. 1As amended !y Rep$!lic Act No. 9P5# 7ay 86# 84; <<<<<<<< 1. NOT ANY L.L.O.
The /rst three ri"hts menoned in this arcle do not pertain to '$st a!o$t any $nion !$t only to the $nion that has !een selected as the !ar"ainin" representae of the employees in the !ar"ainin" $nit. This arcle m$st !e read in relaon to Arcle 866. 2. RI&)TS OF NION TO REPRESENT ITS /E/BERS
e. To s$e and !e s$ed in its re"istered name& and f. To $nderta)e all other acies desi"ned to !ene/t the or"anizaon and its mem!ers# incl$din" cooperae# ho$sin"# (elfare and other pro'ects not contrary to la(. Not(ithstandin" any proision of a "eneral or special la( to the contrary# the income and the properes of le"imate la!or or"anizaons# incl$din" "rants# endo(ments# "iKs# donaons and contri!$ons they may receie from fraternal and similar or"anizaons# local or forei"n# (hich are act$ally# directly and e+cl$siely $sed for their la(f$l p$rposes# shall !e free from ta+es# d$es and other assessments. The e+empons proided herein may !e (ithdra(n only !y a special la( e+pressly
It is the f$ncon of a la!or $nion to represent its mem!ers a"ainst the employer?s $nfair la!or pracces. It can /le in their !ehalf (itho$t the c$m!ersome proced$re of 'oinin" each and eery mem!er as a separate party. A la!or $nion has the re*$isite personality to s$e on !ehalf of its mem!ers for their indiid$al money claims. It (o$ld !e an $n(arranted impairment of the ri"ht to self,or"anizaon if s$ch collece enes (o$ld !e !arred from inst$n" an acon in their representae capacity. 8.5 7em!ers o$!n" Their nion
Az$cena# 0esario Alero Fr. 184;. THE LABOR CODE WITH COMMENTS AND CASES 1Gol. II;. H$ezon 0ity: Re+ rinn" 0ompany# Inc.
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