Azucena - Labor Standards - Answers to Box Questions

“dimidium facti qui coepit habet”

Chapter 1 – General Provisions Box 1 - Estacion 1. What is Labor law and what does it aim to achieve? Ans.: Labor legislation consists of statutes, regulations and jurisprudence governing the relations between capital and labor by providing for certain employment standards and a legal framework for negotiating, adjusting and administering those standards and other incidents of employment. The aim and the reason and, therefore, the justification of labor laws is social justice. 2. What are the Constitutional mandates pertaining to labor and labormanagement relations? Ans.: The basic rights guaranteed by the Constitution are: the right to organize themselves; to conduct collective bargaining or negotiation with management; to engage in peaceful concerted activities, including to strike in accordance with law; to enjoy security of tenure; to work under humane conditions; to receive a living wage; and to participate in policy and decision-making processes

Bukidnon State University – College of Law Batch 2014

affecting their rights and benefits as may be provided by law.

3. Do the Philippines labor laws meet international labor standards? Ans.: Yes. The Philippines is a member of the International Labor Organization (ILO) of the UN, a specialized agency which seeks the promotion of social justice and internationally recognized human and labor rights. The Philippine Senate on March 19, 1948 passed Resolution No. 44 concurring to the country’s acceptance of obligations under the ILO’s Constitution and By-laws. 4. Are Philippine labor laws pro-labor? Ans.: Yes, the Labor Code states that “all doubts in the implementation and interpretation of the Labor Code including its implementing rules and regulation shall be resolved in favor of labor”. The policy is to extend the decree’s applicability to a greater number of employees to enable them to avail of the benefits under the law, in consonance with the State’s avowed policy to give maximum aid and protection to labor. Chapter II – Emancipation of Tenants Box 2 - Ga

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1. What law governs agrarian reform? Ans: The Labor Code covers agrarian reform in five(5) articles only. It is a subject governed principally by R.A. no. 6657 (Comprehensive Agrarian Reform Law of 1988). 2. What are the objectives of agrarian reform? Ans: Art. 7 of the Labor Code states the Statement of Objectives. “Inasmuch as the old concept of land ownership by a few has spawned valid legitimate grievances that gave rise to the violent conflict and social tension and the redress of such legitimate grievances being one of the fundamental objectives of the New Society, it has become imperative to start reformation with the emancipation of the tiller of the soil from his bondage.”

Agrarian Reform Council (PARC) created hereunder, but in no case shall the retention by the landowner exceed five (5) hectares. Three (3) hectares may be awarded to each child of the landowner, subject to the following qualifications: (1) that he is at least fifteen (15) years of age; and (2) that he is actually tilling the land or directly managing the farm: Provided, That landowners whose lands have been covered by Presidential Decree No. 27 shall be allowed to keep the area originally retained by them thereunder; Provided, further, That original homestead grantees or direct compulsory heirs who still own the original homestead at the time of the approval of this Act shall retain the same areas as long as they continue to cultivate said homestead.

3. What process and conditions are observed to make a tenant-farmer an owner under the agrarian reform program? Ans: R.A. 6657 sets retention limits for landowners. Please be guided by the pertinent provisions of the said law. Sec. 6 provides the retention limits and Sec. 16 sets forth the procedure to make a tenant-farmer an owner under the agrarian reform law. SEC. 6. Retention Limits. - Except as otherwise provided in this Act, no person may own or retain, directly, any public or private agricultural land, the size of which shall vary according to factors governing a viable family-sized farm, such as commodity produced, terrain, infrastructure, and soil fertility as determined by the Presidential

The right to choose the area to be retained, which shall be compact or contiguous, shall pertain, to the landowner: Provided, however, That in case the area selected for retention by the landowner is tenanted, the tenant shall have the option to choose whether to remain therein or be a beneficiary in the same or another agricultural land with similar or comparable features. In case the tenant chooses to remain in the retained area, he shall be considered a leaseholder and shall lose his right to be a beneficiary under this Act. In case the tenant chooses to be a beneficiary in another agricultural land, he loses his right as a leaseholder to the land retained by the landowner. The tenant must exercise this option within a


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period of one (1) year from the time the landowner manifests his choice of the area for retention. In all cases, the security of tenure of the farmers or farm workers on the land prior to the approval of this Act shall be respected. Upon the effectivity of this Act, any sale, disposition, lease, management contract or transfer of possession of private lands executed by the original landowner in violation of this Act shall be null and void: Provided, however, That those executed prior to this Act shall be valid only when registered with the Register of Deeds within a period of three (3) months after the effectivity of this Act . Thereafter, all Registers of Deeds shall inform the DAR within thirty (30) days of any transaction involving agricultural lands in excess of five (5) hectares. SEC. 16. Procedure for Acquisition of Private Lands.- For purposes of acquisition of private lands, the following procedures shall be followed: (a) After having identified the land, the landowners and the beneficiaries, the DAR shall send its notice to acquire the land to the owners thereof, by personal delivery or registered mail, and post the same in a conspicuous place in the municipal building and barangay hall of the place where the property is located. Said notice shall contain the offer of the DAR to pay a corresponding value in accordance with the valuation set forth in Sections 17, Bukidnon State University – College of Law Batch 2014

18, and other pertinent provisions hereof. (b) Within thirty (30) days from the date of receipt of written notice by personal delivery or registered mail, the landowner, his administrator or representative shall inform the DAR of his acceptance or rejection of the offer. (c) If the landowner accepts the offer of the DAR, the LBP shall pay the landowner the purchase price of the land within thirty (30) days after he executes and delivers a deed of transfer in favor of the Government and surrenders the Certificate of Title and other muniments of title. (d) In case of rejection or failure to reply, the DAR shall conduct summary administrative proceedings to determine the compensation of the land by requiring the landowner, the LBP and other interested parties to summit evidence as to the just compensation for the land, within fifteen (15) days from the receipt of the notice. After the expiration of the above period, the matter is deemed submitted for decision. The DAR shall decide the case within thirty (30) days after it is submitted for decision. (e) Upon receipt by the landowner of the corresponding payment or in case of rejection or no response from the landowner, upon the deposit with an accessible bank designated by the DAR of the compensation in cash or LBP bonds in accordance with this Act, the DAR shall take immediate possession of Page 3

the land and shall request the proper Register of Deeds to issue a Transfer Certificate of Title (TCT) in the name of the Republic of the Philippines. The DAR shall thereafter proceed with the redistribution of the land to the qualified beneficiaries. (f) Any party who disagrees with the decision may bring the matter to the court of proper jurisdiction for final determination of just compensation. Art. 10 of the Labor Code provides the Conditions of Ownership, to wit: “No title to the land shall be acquired by the tenant farmer pursuant to Presidential Decree No. 27 shall be actually issued to him unless and until he has become a full-fledged member of a dulyrecognized farmers’ cooperative. Title to the land acquired pursuant to PD no. 27 shall not be transferrable EXCEPT by HEREDITARY SUCCESSION or to the GOVERNMENT in accordance with the provisions of Presidential Decree No. 27, the Code of Agrarian Reforms and other existing laws and regulations. Title 1 – Recruitment and Placement of Workers Chapter I – General Provisions Box 3 – Cruz 1. What government agencies are created to promote employment opportunities? A: DOLE – carries out programs for local and overseas employment. BLE- effective allocation of manpower resources in local employment. Bukidnon State University – College of Law Batch 2014

POEAfor overseas employment. 2. How does the POEA protect and assist the OFWs? A: Among the principal functions of the POEA are the formulation, implementation, and monitoring of the overseas employment of Filipino workers and the protection of their rights to fair and equitable employment practices. POEA also participates in the deployment of Filipino workers through government-to-government hiring. It has extended its services nationally through its regional extension units. They process vacationing workers, register sea-based workers, and participate in government hiring through manpower pooling. 3. Who has adjudicatory jurisdiction over claims by OFWs? A: NLRC has adjudicatory jurisdiction over claims by OFWs. It is provided under RA 8042, that the jurisdiction of NLRC covers not only claims involving Filipino workers for overseas employment but also money claims involving Filipino workers for overseas deployment. 4. What significant amendments to the Labor Code are introduced by RA 8042? A: Article 17 of the Labor Code has been amended by RA 8042 known as the “Migrant Workers and Overseas Filipinos Act of 1995.” The law institutes the policies on overseas employment and establishes a higher standard of protection and promotion of the

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welfare of migrant workers, their families and of overseas Filipinos in distress. It applies to recruitment for overseas employment. The OEDB, NSB and the overseas employment program of the Bureau of Employment Services were united in a single structure-POEA. However, adjudicatory jurisdiction of the POEA has been moved on the NLRC by RA 8042. 5. Are POEA-approved contracts immutable?

employment

A: NO. While the POEA Standard Contract must be recognized and respected, neither the manning agent nor the employer can simply prevent a seafarer from being deployed without a valid reason. Thus, with valid reason POEA-approved employment contracts may be immutable. Chapter II – Regulations of Recruitment and Placement Activities Box 4 – Cabunoc 1) What are the requirements and restrictions for the private sector's participation in recruitment and placement of workers, local and overseas? Ans: Requirements: Article 27. Citizenship requirement. Only Filipino citizens or corporations, partnerships or entities at least 75 percent of the authorized and voting capital stock of which is owned and controlled by Filipino citizens shall be permitted to participate in the recruitment and placement of workers, locally or overseas. Article 28. Capitalization. All applicants for authority to hire or renewal of license to recruit are required to have such substantial Bukidnon State University – College of Law Batch 2014

capitalization as determined by the Secretary of Labor and Employment. Restrictions: Article 29. Non-transferability of license or authority. No license or authority shall be used directly or indirectly by any person other than the one in whose favor it was issued at any place other than that stated in the license or authority, nor may such license or authority be transferred, conveyed or assigned to any other person or entity. Any transfer of business address, appointment or designation of any agent or representative including the establishment of additional offices anywhere shall be subject to the prior approval of the Department of Labor and Employment.

2) What acts or practices are prohibited in recruitment and placement activities of licensed recruiters? Ans: Article 34. Prohibited practices. It shall be unlawful for any individual, entity, licensee or holder of authority: (a) To charge or accept directly or indirectly any amount greater than that specified in the schedule of allowable fees prescribed by the Secretary of Labor and Employment, or to make a worker pay any amount greater than that actually received by him as a loan or advance; (b) To furnish or publish any false notice or information or document in relation to recruitment or employment; (c) To give any false notice, testimony, information or document or commit any act or misrepresentation for the purpose of securing a license or authority under this Code; (d) To induce or attempt to induce a worker already employed to quit his employment in order to offer him another unless the transfer is designed to liberate a worker from oppressive terms and conditions of employment; Page 5

(e) To influence or attempt to influence any person or entity not to employ any worker who has not applied for employment through his agency; (f) To engage in the recruitment or placement of workers in jobs harmful to public health or morality or to the dignity of the Republic of the Philippines; (g) To obstruct or attempt to obstruct inspection by the Secretary of Labor and Employment or by his duly authorized representatives; (h) To fail to file reports on the status of employment, placement vacancies, remittance of foreign exchange earnings, separation from jobs, departures and such other matters or information as may be required by the Secretary of Labor and Employment; (i) To substitute or alter employment contracts approved and verified by the Department of Labor and Employment from the time of actual signing thereof by the parties up to and including the period of expiration of the same without the approval of the Department of Labor and Employment. (j) To become officer or member of the Board of any corporation engaged in travel agency or to be engaged directly or indirectly in the management of a travel agency; (k) To withhold or deny travel documents from applicant workers before departure for monetary or financial considerations other than those authorized under this Code and its implementing rules and regulations. 3) On what grounds and by which office may an employment license or recruitment permit be cancelled? Ans: Article 35. Suspension and/or cancellation of license or authority. The Bukidnon State University – College of Law Batch 2014

Secretary of Labor and Employment shall have the power to suspend or cancel any license or authority to recruit employees for overseas employment for violation of rules and regulations issued by the Secretary of Labor and Employment, the Overseas Employment Development Board, and the National Seamen Board, or for violations of the provisions of this and other applicable laws, General Orders and Letters of Instructions. Chapter III – Miscellaneous Provisions Box 5 - Elica 1. With the amendments made by the “ Migrant Workers and Overseas Filipino act” ( R.A. 8042), what acts constitute illegal recruitment and who are the persons that can be held liable? ans. The following acts constitute illegal recruitments, whether committed by any persons, whether a non-licensee, non-holder, licensee or holder of authority. (a) To charge or accept directly or indirectly any amount greater than the specified in the schedule of allowable fees prescribed by the Secretary of Labor and Employment, or to make a worker pay any amount greater than that actually received by him as a loan or advance; (b) To furnish or publish any false notice or information or document in relation to recruitment or employment; (c) To give any false notice, testimony, information or document or commit any act of misrepresentation for the purpose of securing a license or authority under the Labor Code; (d) To induce or attempt to induce a worker already employed to quit his employment in order to offer him another unless the transfer is

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designed to liberate a worker from oppressive terms and conditions of employment; (e) To influence or attempt to influence any persons or entity not to employ any worker who has not applied for employment through his agency; (f) To engage in the recruitment of placement of workers in jobs harmful to public health or morality or to dignity of the Republic of the Philippines; (g) To obstruct or attempt to obstruct inspection by the Secretary of Labor and Employment or by his duly authorized representative; (h) To fail to submit reports on the status of employment, placement vacancies, remittances of foreign exchange earnings, separations from jobs, departures and such other matters or information as may be required by the Secretary of Labor and Employment; (i) To substitute or alter to the prejudice of the worker, employment contracts approved and verified by the Department of Labor and Employment from the time of actual signing thereof by the parties up to and including the period of the expiration of the same without the approval of the Department of Labor and Employment; (j) For an officer or agent of a recruitment or placement agency to become an officer or member of the Board of any corporation engaged in travel agency or to be engaged directly on indirectly in the management of a travel agency; (k) To withhold or deny travel documents from applicant workers before departure for monetary or financial considerations other than those authorized under the Labor Code and its implementing rules and regulations;


(l) Failure to actually deploy without valid reasons as determined by the Department of Labor and Employment; and (m) Failure to reimburse expenses incurred by the workers in connection with his documentation and processing for purposes of deployment, in cases where the deployment does not actually take place without the worker's fault. Illegal recruitment when committed by a syndicate or in large scale shall be considered as offense involving economic sabotage. Persons liable are: The persons criminally liable for illegal recruitment are the principals, accomplices and accessories. In case of Juridical persons, the officers having control, management or direction of their business shall be liable.

2.Under what circumstances is illegal recruitment an offense involving economic sabotage? Ans. Illegal recruitment when committed by a syndicate or in large scale shall be considered as offense involving economic sabotage. Illegal recruitment is deemed committed by a syndicate carried out by a group of three (3) or more persons conspiring or confederating with one another. It is deemed committed in large scale if committed against three (3) or more persons individually or as a group. 3.Is the secretary of labor legally authorized to order the arrest of an illegal recruiter? Ans. No, under article III, section 2 of the 1987 Constitution, it is only the judges, no other, who may issue warrants of arrest and search.

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However, the secretary of labor or his duly authorized representatives may cause the lawful arrest of illegal recruiters either: a.) By virtue of a judicial warrant issued by the RTC, MTC or MCTC judge, as the case may be, or b.) Without judicial warrant, under the provisions of Section 5, Rule 113 of the 1985 rules on criminal procedure, as amended by A.M. no. 00-5-03-SC

c.

d. e.

May he order the closure of an illegal recruitment office? Ans. Yes, the Secretary of Labor or his duly authorized representative may order the closure of illegal recruitment establishment.

f.

Title II – Employment of Non-resident Aliens Box 6 - Daypuyat 1. Who are the foreign nationals that cannot work in the Philippines without an employment permit?  Art. 40 requires only nonresident aliens to secure employment permit. 2. Who are exempt from such requirement? a. All members of the diplomatic service and foreign government officials accredited by and with the reciprocity arrangement with the Philippine government; b. Officers and staff of the international organizations of which the Philippine government is a member, and their legitimate spouses Bukidnon State University – College of Law Batch 2014

g.

desiring to work in the Philippines; Foreign nationals elected as members of the governing board who do not occupy any other position, but have only voting rights in the corporation; All foreign nationals granted exemption by the law; Owners and representatives of foreign principals whose companies are accredited by the POEA, who come to the Philippines for a limited period and solely for the purpose of interviewing Filipino applicants for employment abroad; Foreign nationals who come to the Philippines to teach, present and/or conduct research studies in universities and colleges visiting, exchange or adjunct professors under formal agreements between the universities or colleges in the Philippines and foreign universities or colleges; or between the Philippine government and foreign government; provided that the exemption is on a reciprocal basis; and Resident foreign nationals.

Book Two – Human Resources Development Title I – National Manpower Development Program Chapter I – Administrative Implementation

National Policies Machinery for

and their

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♦ Provide effective planning, supervision, coordination and integration of technical education and skills development programs (e.g. program registration and accreditation, assessment and certification, youth profiling for starring careers and scholarship grants) and projects (e.g. skills trainings) and related activities; ♦ Develop and recommend TESDA programs for regional and local-level implementation within the policies set by the Authority; ♦ Design and establish planning processes and methodologies to enhance the efficiency of resource allocation decisions within the TESD sector; ♦ Conduct researches, studies for effective and efficient planning and policy making within the sector; ♦ Monitor and analyze labor market information; and ♦ Perform such other functions as may be delegated by the Executive Director and the Board.

Box 7 - Torres 1. What is TESDA and what are its responsibilities?  Technical Education and Skills Development Authority  Responsibilities: A. Office of the Executive Director  The Office of the Executive Director shall be composed of the Executive Director III and his/her immediate staff. The Executive Director shall be the head of the TESDA Secretariat Proper and as such, he/she shall exercise general supervision and control over its technical and administrative personnel and financial administration. The Executive Director shall be appointed by the Regional Governor in accordance with the provisions of the ARMM Administrative Code and Civil Service Law, Rules and Regulations.

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B. Regional Operations Division (ROD) The Regional Operations Division shall be headed by a Division Chief subject to the qualifications set by existing laws on appointment. The ROD shall: ♦ Serve as the Secretariat to the Regional Technical Education and Skills Development Committees (RTESDCs);


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C. Finance and Administrative Division The Office of the Executive Director shall also be assisted by the Finance and Administrative Division (FAD) headed by a Division Chief subject to the Page 9

♦ Provide technical assistance particularly to LGUs for effective supervision, coordination, integration and monitoring of TVET programs within their localities; ♦ Review and recommend TESDA programs for implementation within their localities; ♦ Coordinate programs of private schools and assessment centers; ♦ Establish network of institutions, LGUs and enterprises implementing the TVET programs; and ♦ Perform such other duties and functions as may be authorized.

qualifications set by existing laws on appointment. The FAD shall: ♦ Monitor and control utilization of funds of all operating units; ♦ Provide technical assistance on budgetary matters to operating units; ♦ Maintain and update all books of accounts for all funds; ♦ Monitor work performances of, and study and implement areas of human resources and management development for, all employees of the TESDA; ♦Coordinate procurement and storekeeping of supplies, materials and equipment and recommend disposal unserviceable of tools and equipment; and ♦ Attend to the maintenance of records on deductions and their timely remittance to the proper agencies. 

D. Provincial Offices The Provincial Offices shall be headed by Career Executive Service Officers with the rank of a Director II. The Provincial TESDA Offices (POs) shall be under the direct control and supervision of the Executive Director. The POs shall: ♦ Serve as secretariat to Provincial Technical Education and Skills Development Committees (PTESDCs);


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E. The Regional Manpower and Development Center The Regional Manpower Training Center (RMDC) shall be headed by a Center Chief or Chief TESD Specialist with salary grade 24 subject to the qualifications set by existing laws on appointment. The RMDC shall: ♦ serve as the center for excellence in the implementation of Centerbased skills trainings; ♦ serve as venue for continuing development of trainers, teachers and instructors; ♦ serve as venue for skills assessments and certifications of TechnicalVocational Education and Page 10

Training (TVET) graduates; ♦ provide vocational trainings on specialized programs; a. Arabic Language and Saudi/Gulf Culture b. Automotive ServicingNational Certificate level I c. Beauty Care NationalCertificate Level II d. Carpentry-National Certificate Level II e. Computer Hardware Servicing-National Certificate level II f. Consumer Electronics Servicing-National Certificate Level II g. Dressmaking-National Certificate Level II h. Electrical Installation and Maintenance-National Certificate Level II i. English Language and Culture j. Household ServicesNational Certificate Level II k. Housekeeping –National certificate Level II l. Machining-National Certificate Level II m. Masonry-National Certificate Level II n. Motorcycle/Small Engine Servicing-National Certificate Level II o. PV Systems DesignNational Certificate Level III p. PV Systems InstallationNational Certificate Level II q. PV Systems Servicing and Maintenance-National Certificate Level III r. Plumbing-National Certificate Level II s. RAC Window AC/Domestic RefrigerationNational Certificate Level I Bukidnon State University – College of Law Batch 2014

t. Shielded Metal Arc Welding-National Certificate Level II u. Gas Metal Arc WeldingNational Certificate Level II ♦ undertake research and development to improve service delivery in the center; and ♦ organize and conduct symposia/seminars and other related activities.

2.

How may the success or failure of TESDA be measured? (This is purely based on the left side my cerebral cortex. Haha!)

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The success of the TESDA training programs will be gauged by how they connect skills training to jobs. By looking into whether or not its vision and mission are achieved.

Book Three – Conditions of Employment Title I – Working Conditions and Rest Periods Chapter I – Hours of Work Box 8 - Melendez 1. Obviously, the law on conditions of employment cannot apply if employer-employee relationship does not exist between the parties. In law who is considered an employee? An employer? Ans. Employer includes any person acting in the interest of an employer in relation to an employee.

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Employee includes any employed by an employer

individual

Under SSS law Employer — Any person, natural or juridical, domestic or foreign, who carries on in the Philippines any trade, business, industry, undertaking, or activity of any kind and uses the services of another person who is under his orders as regards the employment. Employee — Any person who performs services for an employer in which either or both mental and physical efforts are used and who receives compensation for such services, where there is an employer-employee relationship 2. What are the implications or consequences of the existence of the employment relationship? Who are employees excluded from the coverage of the law on employment conditions? Ans. To protect workers/employee against businessman trying to avoid the bringing about of an employeremployee relationship in their enterprises because that juridical relations spawn obligations connected with workmen’s compensation, social security, medicare, termination pay, unionism. Excluded employees are the following: a. Govt. employee b. Managerial employees, including other officers or Bukidnon State University – College of Law Batch 2014

c. d. e. f. g.

members of the managerial staff. Field personnel Employers family member who depend on him for support Domestic helpers Persons in the personal service of another Workers who are paid by results as determined under DOLE regulations

3. What are the rights and responsibilities of the employer and the employees as regards determination and observance of work hours? Ans. 1. All hours which the Ee is required to give to his Er regardless of whether or not such hours are spent in productive labor or involve physical or mental exertion. 2. Rest period is excluded from hours worked, even if Ee does not leave his workplace, it being enough that: a. He stops working b. May rest completely c. May leave his workplace, to go elsewhere, whether within or outside the premises of the workplace 3. All time spent for work is considered hours worked if: a. The work performed was necessary b. If it benefited the Er c. Or the Ee could not abandon his work at the end of his normal working hours because he had no replacement d. Provided, the work was with the knowledge of his Er or immediate supervisor 4. The time during which an Ee is inactive by reasons of interruptions in his work beyond his control shall be considered working time:

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a. If the imminence of the resumption of the work requires the Ees presence at the place of work or b. If the interval is too brief to be utilized effectively and gainfully in the Ees own interest. 4. In law what are considered hours worked? Which ones are “unworked”, hence not compensable? Is lunch break compensable? What travel hours should be paid? Ans.  As rule hours worked shall include: (a) All time during which an employee is required to be on duty or to be at prescribed workplace. (b) All the time during which an employee is suffered or permitted to work. Rest periods of short duration during working hours shall be counted as hours worked.  The following are unworked hence not compensable a. Mealtime except when he is required to perform his duties whether active or inactive while eating b. Normal travel from home to work except emergency call s outside his regular working hours.  Lunch break is not compensable except when it is required to perform duties whether active or inactive


1.

2. 3.

4. 5.

 Travel should be paid on following cases: a. Emergency call outside of his regular working hours and is required to travel to his place of business or some other work site, all time spent in such travel is working. b. Time spent by an employee in travel as part of his principal activity, such as travel from jobsite to jobsite during the workday must be counted as hours worked. c. Travel away from home is clearly work time when it cuts across the employees workday 5. Is rendition of overtime work an obligation? Ans. No. Overtime work is voluntary. Except Compulsory Overtime work in any of the following situations: Urgent work to be performed on machines and installations in order to avoid serious loss or damage to the Er or some other cause of similar nature Work is necessary to prevent loss or damage to perishable goods In case of imminent danger to the public safety due to an actual or impending emergency in the locality caused by serious accidents, fire, flood, typhoon, earthquake, epidemic or other disaster or calamity Country is at war Completion or continuation of the work started before the 8th hour is necessary to prevent serious obstruction or prejudice to the business operations of the Er Page 13

6. Any other national or local emergency has been declared 7. Necessary to prevent loss of life or property.

Chapter II – Weekly Rest Periods Box 9 - Jadap

1. When is an employee's rest day? Every employee regardless of the nature of his work is entitled to at least one whole day every week as his rest day. The rest day or day off shall be determined by the employer. However, in cases where the employee is required by his religious belief to rest on certain days, such belief shall be respected by the employer 2. May an employer require work on rest day? On non-working day? The employer may require his employees to work on any day: (a) In case of actual or impending emergencies caused by serious accident, fire, flood, typhoon, earthquake, epidemic or other disaster or calamity to prevent loss of life and property, or imminent danger to public safety; (b) In cases of urgent work to be performed on the machinery, equipment, or installation, to avoid serious loss which the employer would otherwise suffer; (c) In the event of abnormal pressure of work due to special circumstances, where the employer cannot ordinarily be expected to resort to other measures;


(d) To prevent loss or damage to perishable goods; (e) Where the nature of the work requires continuous operations and the stoppage of work may result in irreparable injury or loss to the employer; and (f) Under other circumstances analogous or similar to the foregoing as determined by the Secretary of Labor and Employment. [Art. 92, LC Chapter III – Holidays, Service Incentive Leaves and Service Charges Box 10 - Jamila 1. What is holiday pay & who are the employees entitled to it? ANS: Is a one–day pay given by law to an employee even if he does not work on a regular holiday. It is limited to the twelve (12) regular, also called legal holidays listed by law. General rule, all employees in all establishments whether for profit or not are entitled to a holiday pay, provided that, he should not have been absent without pay on the working day preceding the regular holiday. Exception, holiday pay does not apply to: 1. Government employees; 2. Managerial employees including members of managerial staff; 3. Field personnel;

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4. Members of the family of the employer who are dependent on him for support; and 5. Employees of retail & services establishments regularly employing not more than ten (10) workers.

2. What is service incentive leave? Is a part-time worker entitled to S.I.L to the same extent as a full-timer? ANS: It refers to the to the five (5) days leave with pay for every employee who has rendered at least one (1) year of service. Yes, part-time workers are also entitled to the full benefit of the yearly 5-day S.I.L. The reason is that the provisions of article 95 speak of the number of months in a year for the entitlement to the said benefit.

Title II – Wages Chapter I – Preliminary Matters Box 11 - Dardo 1. What is wage? What does it include? To determine whether one’s wage meets the legal minimum, should non-cash benefits included in the computation? Wage is the remuneration or earnings,however designated,capable of being expressed I in terms of money,wether fixed or ascertained on a time,piece,or commission basis or other method of calculating the same,which is payable by an employer to an employee under a written or unwritten contract of employment for done or to be done or for services rendered or to be rendered and includes the fair and reasonable value,as determined by the Secretary of Labor,of board,lodging,or other facilities customarily furnished by the employer to the employee. Wage or Salary includes;

3. Aside from S.I.L, what other kinds of leave are granted by law? ANS: The other kinds of leave that are granted by law are the following: 1. R.A No. 8187 - Paternity and Maternity Leave; 2. R.A No. 8972 - Parental (solo parent) Leave; and 3. R.A No. 9262 – Battered Woman Leave. Bukidnon State University – College of Law Batch 2014

1. Commission 2. Facilities 3. Commodities/Supple ments

Yes, non-cash benefits maybe included in the computation of wages such as board and lodging customarily furnished by the employer to the employee.

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2. “Facilities” are wage-deductible, “Supplements” are not. How are they differentiated? In short, the benefit or privilege given to the employee, which constitutes an extra remuneration over and above his basic or ordinary earning or wage, is “supplement”. When benefit or privilege is part of the laborers basic wages, it is a “facility”. The criterion lies not so much on the kind of the benefit or item given,but its purpose.

3.

What establishments may be exempted from observance of the minimum wage law? 1. Farm tenancy or leasehold; 2. Household or domestic helpers; 3. Homeworkers engaged in needlework; 4. Workers employed in any establishment duly registered with the National Cottage Industry Development Authority (NACIDA); 5. Workers in duly registered cooperatives when so recommended upon approval by the Secretary of Labor; 6. Workers of a Barangay Micro Business enterprise

Chapter II – Minimum Wage Rates Box 12 - Lusica 1. Minimum wage rates are regionalized, i.e., they vary among the regions. How is this justified?


The minimum wage rates were regionalized based on the following applicable laws: a. Art. 99 of the Labor Code provides that “the minimum wage rates for agricultural and non agricultural employees and workers in each and every region of the country shall be those prescribed by the Regional Tripartite Wages and Productivity Boards.” b. By virtue of RA 6727 (Wage Rationalization Act), the regional wage boards or RTWPBs have issued wage orders fixing the minimum wages for their respective regions. chardox 2. What is the Rule on Nondiminution of benefits? Does it apply to benefits negotiated through a collective bargaining agreement (CBA) or to conditional benefits such as bonus? The rule on Nondiminution of Benefits is simply the prohibition against elimination or diminution of employee benefits under Article 100 of the Labor Code. So that the rule against diminution of supplements or benefits may apply, it must be shown that: a. The grant of the benefit is founded on a policy or has ripened into a practice over a long period; b. The practice is consistent and deliberate; c. The practice is not due to error in the construction or Page 16

application of a doubtful or difficult question of law; and d. The diminution or discontinuance is done unilaterally by the employer. No. Benefits initiated through negotiation between employer and employees, such as those contained in a collective bargaining agreement, are not within the prohibition of Article 100 because, as products of bilateral contract, they can only be eliminated or diminished bilaterally. What the law a. Correction of error; b. Negotiated benefits; c. Wage order compliance; d. Benefits on reimbursement basis; 3. What is the thirteenth-month pay and who are entitled to it? On what basis is it computed? Are commissions part of the pay? Thirteenth-month pay is an additional monetary benefit given to an employee by creating an imaginary thirteenth month and obliges employers to pay the employees for that imaginary month. It is a statutory grant under P.D. No. 851. All rank-and-file employees, regardless of salary rate, shall be entitled to 13thmonth pay. Under the implementing rules of P.D.851, the basis of computation of 13th-month pay shall be the one-twelfth (1/12) of the basic salary of an employee within a calendar year. Bukidnon State University – College of Law Batch 2014

forbids is elimination or modification done unilaterally by the employer. Neither does the rule under Art. 100 apply to a benefit whose grant depends on the existence of certain conditions, so that the benefit is not demandable if those preconditions are absent. An example of this is the giving of bonus which is not part of the employees’ regular compensation. It is only an act of generosity. In sum, jurisprudence recognizes exceptions to the application of Article 100: e. Reclassification of position; f. Contingent benefits or conditional bonus; and g. Productivity incentives. In the case of Philippine Duplicators vs. NLRC, the Court ruled, essentially, that commissions are included or excluded, depending on what kind of commissions are involved. If the commissions may properly be considered part of the basic salary, they should be included in computing the 13th-month pay. (i.e. wage-or sales-percentage type) If the commissions are not integral part of the basic salary, then they should be excluded. (i.e. profitsharing or bonus type) 4. Wages calculated according to work output, instead of time spent, is lawful. On what conditions? This is the so-called Payment by Results under Article 101 of the Labor Code.

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Under the law, the wage rates paid to workers paid by results, including pakyao, piecework and other noontime work must be fair and reasonable.

On the basis of existing labor regulations and more recent jurisprudence, piece rate workers are entitled to the benefits, as follows:

5. What statutory benefits are piece-rate workers entitled to? a. The applicable statutory minimum daily rate; b. Yearly service incentive leave of five (5) days with pay; c. Night shift differential pay; d. Holiday pay; e. Meal and rest periods; f. Overtime pay (conditional) g. Premium pay (conditional) h. 13th-month pay Other benefits granted by law, by individual or collective agreement Chapter III – Payment of Wages Box 13 - Estacion

1. Is it lawful to pay the wages only once a month? May the wages be paid in form of goods such as phone cards? Ans.: Under Art. 103 of the Labor Code; Wages shall be made at least once every two (2)weeks or twice a month at intervals not exceeding sixteen (16) days. If on account of Force majeure or circumstances beyond the employers control, payment of wages on or within the time herein provided cannot be made, the employer shall pay the wages immediately after such force majeure or circumstances have ceased. No employer shall make payment with less frequency than once a month. No employer shall pay the wages of an employee by means of promissory notes, vouchers, coupons, tokens, tickets, chits or any object other than legal tender, even when expressly requested by the employee.

2. What is independent contracting in contrast to labor-only contracting? What does the latter consist of and why does the law prohibit it?


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Ans.: Independent contracting is an arrangement whereby a principal agrees to put out or farm out with a contractor or subcontractor the performance or completion of a specific job work or service within a definite or predetermined period, regardless of whether such job, work or service to be performed or completed within or outside the premises of the principal as hereinafter qualified. Contracting, as the, definition shows, refers to the completion or performance of a job, work, or service within a given period. Labor-only contracting, on the other hand, is not really contracting because the arrangement is merely to recruit or place people to be employed, supervised and paid by another, who, therefor, is the employer. The commitment of the so-called “contractor” is not to do and deliver a job, work or service but merely to find and supply people. The “contractor” is a pseudo-contractor; in fact, he himself might even be an employee of the employer. Thus, “labor-only contracting” is self-contradictory because there is no contactor and no contracting in L.o.C. It is prohibited because it is an attempt to evade the obligations of an employer. Section 5 of D.O. No. 18-02-Prohibition against labor-only contracting – Labor-only contracting is hereby declared prohibited. For this purpose, labor-only contracting shall refer to an arrangement where the contractor or subcontractor merely recruits, supplies or place workers To perform a job, work or service for principal, and any of the following elements are present: (i)

(ii)

The contractor or subcontractor does not have substantial capital or investment which relates to the job, work, or service to be performed and the employees recruited, supplied or place by such contractor or subcontractor are performing activities which are directly related to the main business of the principal; or The con tractor does not exercise the right to control over the performance of the work of the contractual employee.

3. Other than labor-only contracting, what forms or acts of labor contracting are disallowed? Ans.: Notwithstanding Section 5 of these Rules the following are hereby declared prohibited for being contrary to law or public policy. (a) Contracting that terminates the employment of regular employees, or reduce their work hours, or reduces or splits a bargaining unit, if such contracting out is not done in good faith and not justified by business exigencies. (b) Contracting with “cabo” Bukidnon State University – College of Law Batch 2014

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(c) Contracting with in-house agency (d) Contracting because of a strike or lockout. (e) Contracting that constitutes ULP under Article 248.

4. May an indirect employer be held liable answerable for an illegal dismissal done by the direct employer? Ans.: Every employer or indirect employer shall be held responsible with his contractor or subcontractor for any violation of any provision of this Code. For purposes of determining the extent of their civil liability under this Chapter, they shall be considered as direct employers. Chapter IV – Prohibition Regarding Wages Box 14 - Ga 1. What wage deductions are legally allowed? Ans. Expressly provided in the Labor Code Art. 113. WAGE DEDUCTION No employer, in his own behalf or in behalf of any person, shall make any deduction from the wages of his employees, except: (a) In cases where the worker is insured with his consent by the employer, and the deduction is to recompense the employer for the amount paid by him as premium on the insurance; (b) For union dues, in cases where the right of the worker or his union to check-off has been recognized by the employer or authorized in writing by the individual worker concerned; and (c) In cases where the employer is authorized by law or regulations issued by the Secretary of Labor. Deductions authorized by law: a. Deduction for value of meals and other facilities. b. In cases where the employee is insured with his consent by the employer, deductions for the amount paid by said employer, as premiums on the insurance. c. In cases where the right of the employees or his union to checkoff has been recognized by the employer or authorized in writing by the individual employee concerned. d. In cases where the employee is indebted to the employer, where such indebtedness has become due and demandable. Bukidnon State University – College of Law Batch 2014

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e. In court awards, wages may be the subject of execution or attachment, but only for debts incurred for food, shelter, clothing and medical attendance. f. Withholding tax g. Salary deductions of a member of a legally established cooperative h. SSS, Medicare and Pag-ibig contributions 2. May an employer deduct from the employee’s salary the cost of company property lost or damaged by the employee? Ans. According to the implementing rules, payments for lost or damaged equipment is deductible from the employee’s salary if four conditions are met namely: a. The employee is clearly shown to be responsible for the loss or damage; b. The employee is given ample opportunity to show cause why deduction should not be made; c. The amount of the deduction is fair and reasonable and shall not exceed the actual loss or damage; d. The deduction from the employee’s wage does not exceed 20 percent of the employee’s wages in a week. 3. May labor standards violation justify a strike? Ans. A wage violation is unlawful and may be pursued in a money claim, not through a strike. But a strikeable situation may arise when the employer retaliates against the complaining employee, and the retaliation is of the kind considered as ULP under Art. 248(f). Violation of labor standards, therefore, may ultimately cause or justify a strike if Article 248 (f) or Article 261 (gross violation of the CBA) is applicable.

Chapter V – Wage Studies, Wage Agreements, and Wage Determination Box 15 – Cruz 1. What is the NWPC? The RTWPB? What are their respective authorities as regards wage determination? A: NWPC or National Wages and Productivity Commission, prescribes rules and guidelines for determination of appropriate minimum wage and productivity measures at the regional, provincial or industry levels. Further the NWPC may review the wage levels set by the RTWPB. But a wage-fixing order by RTWPB does not need prior approval by the NWPC RTWPB or Regional Tripartite Wages and Productivity Boards, are empowered ‘to determine and fix minimum wage rates applicable in their regions’ and to issue the corresponding wage orders, subject to guidelines’ issued by the NWPC. But the guidelined, like the Labor Code, do not require NWPC’s approval of a wage order. What it requires is for the board to conduct a public hearing over a petition for a wage order, to decide such petition within 30 days after the last hearing , and to “furnish the Commission a copy of the decision on Bukidnon State University – College of Law Batch 2014

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the petition or the wage order.” Furnishing the NWPC a copy of the Wage Order does not mean seeking the Commission’s approval. 2. What factors or criteria are considered in determining a region’s minimum wage standard? A:

ARTICLE 124. Standards/Criteria for minimum wage fixing. – The regional minimum wages to be established by the Regional Board shall be as nearly adequate as is economically feasible to maintain the minimum standards of living necessary for the health, efficiency and general well-being of the employees within the framework of the national economic and social development program. In the determination of such regional minimum wages, the Regional Board shall, among other relevant factors, consider the following: (a) The demand for living wages; (b) Wage adjustment vis–vis the consumer price index; (c) The cost of living and changes or increases therein; (d) The needs of workers and their families; (e) The need to induce industries to invest in the countryside; (f) Improvements in standards of living; (g) The prevailing wage levels; (h) Fair return of the capital invested and capacity to pay of employers; (i) Effects on employment generation and family income; and (j) The equitable distribution of income and wealth along the imperatives of economic and social development. The wages prescribed in accordance with the provisions of this Title shall be the standard prevailing minimum wages in every region. These wages shall include wages varying with industries, provinces or localities if in the judgment of the Regional Board, conditions make such local differentiation proper and necessary to effectuate the purpose of this Title.

3. What obligations, if any, does an employer have when salaries are distorted by compliance with a wage order? A: Where the application of any prescribed wage increase by virtue of a law or wage order issued by any Regional Board results in distortions of the wage structure within an establishment, the employer and the union shall negotiate to correct the distortions. Any dispute arising from wage distortions shall be resolved through the grievance procedure under their collective bargaining agreement and, if it remains unresolved, through voluntary arbitration. Unless otherwise agreed by the parties in writing, such dispute shall be decided by Bukidnon State University – College of Law Batch 2014

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the voluntary arbitrators within ten (10) calendar days from the time said dispute was referred to voluntary arbitration. In cases where there are no collective agreements or recognized labor unions, the employers and workers shall endeavor to correct such distortions. Any dispute arising therefrom shall be settled through the National Conciliation and Mediation Board and, if it remains unresolved after ten (10) calendar days of conciliation, shall be referred to the appropriate branch of the National Labor Relations Commission (NLRC). It shall be mandatory for the NLRC to conduct continuous hearings and decide the dispute within twenty (20) calendar days from the time said dispute is submitted for compulsory arbitration. The pendency of a dispute arising from a wage distortion shall not in any way delay the applicability of any increase in prescribed wage rates pursuant to the provisions of law or wage order. Chapter VI – Administration and Enforcement Box 16 – Cabunoc 1) Labor laws are enforced and administered largely through DOLE's regional offices. How is this administrative authority exercised? Ans: (not sure) To carry out these responsibilities, the DOLE is authorized to operate and maintain regional offices (including district offices and provincial extension units) in each of the country's administrative regions. These offices serve as the operational arms—the front line action offices—of the DOLE. This role is described in Arts. 128 and 129. Article 128. Visitorial and enforcement powers. (a) The Secretary of Labor and Employment or his duly authorized representatives, including labor regulations officers, shall have access to employer's records and premises at any time of the day or night whenever work is being undertaken therein, and the right to copy therefrom, to question any employee and to investigate any fact, condition or matter which may be necessary to determine violations or which may aid in the enforcement of this Code and of any labor law, wage order or rules and regulations issued pursuant thereto. (b) The provisions of Article 217 of this Code to the contrary notwithstanding and in cases where the relationship of employer-employee still exists, the Secretary of Labor and Employment or his duly authorized representatives shall have the power to order and administer, after due notice and hearing, compliance with the labor standards provisions of this Code and other labor legislation based on the findings of labor regulation officers or industrial safety engineers made in the course of inspection, and to issue writs of execution to the appropriate authority for the enforcement of their order, except in cases where the employer contests the findings of the labor regulation officer and raises issues which cannot be resolved without considering evidentiary matters that are not verifiable in the normal course of inspection. (c) The Secretary of Labor and Employment may likewise order stoppage of work or suspension of operations of any unit or department of an establishment when non-compliance with the law or implementing rules and regulations poses grave and imminent danger to the health and safety of workers in the workplace. Within twenty-four hours, a hearing shall be conducted to determine whether Bukidnon State University – College of Law Batch 2014

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an order for the stoppage of work or suspension of operations shall be lifted or not. In case the violation is attributable to the fault of the employer, he shall pay the employees concerned their salaries or wages during the period of such stoppage of work or suspension of operation. (d) It shall be unlawful for any person or entity to obstruct, impede, delay or otherwise render ineffective the order of the Secretary of Labor and Employment or his duly authorized representatives issued pursuant to the authority granted under this Article, and no inferior court or entity shall issue temporary or permanent injunction or restraining order or otherwise assume jurisdiction over any case involving the enforcement orders issued in accordance with this Article. (e) Any government employee found guilty of violation of, or abuse of authority under this Article shall, after appropriate administrative investigation, be subject to summary dismissal from the service. (f) The Secretary of Labor and Employment may by appropriate regulations require employers to keep and maintain such employment records as may be necessary in aid of his visitorial and enforcement powers under this Code.

2) Some labor disputes are likewise adjudicated at the regional level. What are the limits to such adjudicatory function? Ans: Under the provisions of Art 129, the Regional Director is empowered through summary proceedings and after due notice, to hear and decide cases involving recovery of wages and other monetary claims and benefits, including legal interests, provided the following requisites are present: a) the claim is presented by an employee, or a person employed in domestic or household service, or househelper; b) the claim arises from employer-employee relations; c) the claimant does not seek reinstatement; and d) the aggregate money claim of each claimant does not exceed P5,000.00 3) Administrative orders or adjudications are appealable. To whom? When? Ans: Art. 129 xxx Any decision or resolution of the Regional Director or hearing officer pursuant to this provision may be appealed on the same grounds provided in Article 223 of this Code, within five (5) calendar days from receipt of a copy of said decision or resolution, to the National Labor Relations Commission which shall resolve the appeal within ten (10) calendar days from the submission of the last pleading required or allowed under its rules.

Title III – Working Conditions for Special Groups of Employees Chapter 1 – Employment of Women Box 17 – Elica


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1. Women, as a rule, are not allowed to engage in nightwork. What are the exceptions? Ans. Art. 131. Exceptions. The prohibitions prescribed by the preceding Article shall not apply in any of the following cases: 1. In cases of actual or impending emergencies caused by serious accident, fire, flood, typhoon, earthquake, epidemic or other disasters or calamity, to prevent loss of life or property, or in cases of force majeure or imminent danger to public safety; 2. In case of urgent work to be performed on machineries, equipment or installation, to avoid serious loss which the employer would otherwise suffer; 3. Where the work is necessary to prevent serious loss of perishable goods; 4. Where the woman employee holds a responsible position of managerial or technical nature, or where the woman employee has been engaged to provide health and welfare services; 5. Where the nature of the work requires the manual skill and dexterity of women workers and the same cannot be performed with equal efficiency by male workers; 6. Where the women employees are immediate members of the family operating the establishment or undertaking; and 7. Under other analogous cases exempted by the Secretary of Labor and Employment in appropriate regulations.

2. Sex discrimination at work is basically wrongful. What acts are considered discriminatory against women employees? Ans. Art. 135. Discrimination prohibited. It shall be unlawful for any employer to discriminate against any woman employee with respect to terms and conditions of employment solely on account of her sex. The following are acts of discrimination: 1. Payment of a lesser compensation, including wage, salary or other form of remuneration and fringe benefits, to a female employees as against a male employee, for work of equal value; and 2. Favoring a male employee over a female employee with respect to promotion, training opportunities, study and scholarship grants solely on account of their sexes. Criminal liability for the willful commission of any unlawful act as provided in this Article or any violation of the rules and regulations issued pursuant to Section 2 hereof shall be penalized as provided in Articles 288 and 289 of this Code: Provided, That the institution of any criminal action under this provision shall not bar the aggrieved employee from filing an entirely separate and Bukidnon State University – College of Law Batch 2014

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distinct action for money claims, which may include claims for damages and other affirmative reliefs. The actions hereby authorized shall proceed independently of each other. (As amended by Republic Act No. 6725, May 12, 1989) Chapter II – Employment of Minors Box 18 - Daypuyat 1. Childwork is wrongful and generally illegal. Before a child may be put to work, what are the legal requirements? - It must be a nonhazardous work- the child is not exposed to any risk which constitutes an imminent danger to his safety and health. - The child shall work only for such # of hours and period of days as determined by the Secretary of Labor. -

For below 15yrs old:  Must work directly under the sole responsibility of the parents/legal guardian and where only members of his family are employed;  It does not endanger child’s life, safety, health nor impair normal development;  The parent/legal guardian shall provide for the child’s primary and/or secondary education.   

If employed in any form of media-Child’s participation must be essential; Employment contract is concluded by the child’s parent or legal guardian with express agreement of the child concerned, if possible, and the approval of the DOLE; The ff. are strictly complied with: a. Er shall ensure the protection, health, safety, morals and normal development of the child b. Er shall institute measures to prevent exploitation or discrimination of the child (remuneration, working time) c. Er shall formulate and implement continuing program for training and skill acquisitions of the child.

2. What are the employable ages?  Between 15 and 18 for non-hazardous work  18 and above for any hazardous work  Below 15yrs old-GR: not allowed to work. Exceptions: (RA 9231 refer to page 444 if you must ) 1. When a child works directly under the sole responsibility of the parents and where only members of his family are employed; 2. Artista nga bata AKA child star :p


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Chapter III – Employment of Househelpers Box 19 - Torres 1. What statutory employment benefits do househelpers have? a. Standard treatment – any kind of abuse or any form of physical violence or harassment or any act tending to degrade the dignity of a domestic worker is not allowed. b. Free board, lodging and medical attendance c. Guarantee of privacy- extends to all forms of communication and personal effects. d. Access to outside communication-during free time. In case of emergency, access to outside communication shall be at all times. e. Right to education and training- primary education; ALS; and higher education, technical and vocational training, if practicable. f. Health and safety g. Daily rest period-8hrs/day h. Weekly rest period-24hrs i. Minimum wagei. 2,500php/month for those employed in NCR; ii. 2,000php/month for those employed in chartered cities and first class municipalities; and iii. 1,500php/month for those employed in other municipalities. j. Leave benefits- 5 days with pay for those who have rendered at least 1yr of service. k. Social and other benefits-must have rendered at least one month of service i. SSS ii. PhilHealth iii. Pag-ibig 2.

When a househelper’s employment is terminated, is he entitled to separation pay?  There is no provision of separation pay under the Kasambahay Law. But it provides that if the domestic worker is unjustly dismissed, the domestic helper shall be paid the compensation already earned plus the equivalent of 15 days work by way of indemnity. (Sec 32)

3. Does the SSS law apply to househelpers?  Yes. A domestic worker who has rendered at least one month of service shall be covered by the Social Security System and entitled to all the benefits in accordance with the pertinent provisions of the SSS law. (Sec 30) *Answers taken from RA 10361 -Kasambahay Law 

Chapter IV – Employment of Homeworkers Bukidnon State University – College of Law Batch 2014

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Box 20 - Melendez 1. Are homeworkers entitled to the right to self-organize? Are they SSS covered? Ans. Yes, in the new rule, it authorizes the formation and registration of labor organization of industrial homeworkers. It also makes explicit the employers duty to pay and remit SSS, medicare and ECC Premiums. 2. Who is their employer? Ans. Employers of homeworkers includes any person, natural or artificial, who for his account or benefit or on behalf of any person residing outside the country, directly or indirectly or through any employee, agent, contractor, subcontractor or any other person. Title II – Employees’ Compensation and State Insurance Fund Chapter I – Policy and Definitions Box 21 - Jadap 1. What are the significant changes introduce by labor code to the law that awards compensation benefits to employees who sustain work connected injury? Where an ailment supervened before the new labor code, the governing law is the Workmen Compensation Act. Thus, the changes are as follows: Workmen Compensation Act. Act 3428

there is presumption of compensability no need to present proof of causation employer has burden of proof there is presumption of aggravation if he so desires, employer had to controvert the claim within 14 days from date of disability or 10 days from the knowledge, otherwise it is deemed waived payment of compression is made by employer

litigation, quasi judicial

Employees Compensation Law pd 442 amended by pd 626 (labor code) no presumption of compensability causation proof of causation is needed of diseases is not listed Claimant aggravation no presumption employer is not allowed much less required to intervene in the process of the compensation claim payment of compensation is made by the sss/gsis through state insurance fund. Employer obligation is to pay counter contribution judicial administrative

2. Under what circumstances is an injury considered work connected and therefore compensable? Conditions: Bukidnon State University – College of Law Batch 2014

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1. The employee must have been injured at the place where the work required him to be 2. The employee must have been performing his official functions 3. If the injury is sustained elsewhere, the employee must have been executing an order of the employer 4. The injury was not due to the employee’s intoxication, willful intention to injure or kill himself or another, or notorious negligence Injuries incurred by a health worker while doing overtime work shall be considered work-connected.

3. What kind of disease are compensable? Occupational disease listed by the commission otherwise, proof must be shown that the risk of contracting the disease is increased by the working conditions. 4. Explain the theory of increased risk? If an ailment is not included in the list of occupational disease as drawn up by the commission, the claimant has the burden of proving that the nature of the work increased the risked of contacting the disease. The claimant must show proof of reasonable work connection, not necessarily direct causal relation. 5. What is the dual purpose doctrine? An employee’s status of acting in the course of his employment is not negated by the fact that He may be pursuing a dual purpose. Considers as compensable an injury that an employee sustains while on a trip undertaken for the benefit of employer even if in the course thereof the employee pursues also a personal purpose. 6. If the cause of disease is unknown, for example, cancer, must the claimant prove that it is work related so as to obtain benefits under SIF? Yes. Proof is required. As a general rule, cancer is a disease still unknown origin which strikes people in all walks of life. Unless it be shown that a particular form of cancer is caused by specific working conditions or environment, one cannot conclude that it was the employment which increased the risk of contracting the disease. Chapter II – Coverage and Liability Box 22 - Jamila


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1. Who are the employees & employers compulsorily covered by the employees’ compensation program? ANS: The employees’ compensation law applies to all employers, public or private, & to all employees, public or private, including casual, emergency, temporary or substitute employees.

2. What is notorious negligence that can cause denial of compensation claim? ANS: Notorious negligence is something more than simple or contributory negligence. It signifies a deliberate act of the employee to disregard his own personal safety. Disobedience to the rules and/or prohibition does not in itself constitute notorious negligence, id no intention can be attributed to the injured to end his life.

3. What benefits are claimable under the EC program & under the SS law because of an injury or disease? ANS: Benefits claimable under the EC Program are the following: 1. Services a. Medical services, appliances & supplies; and b. Rehabilitation services 2. Cash Income Benefits or Pension due to: a. Temporary total disability; b. Permanent total disability; c. Permanent partial disability; and d. Death 3. Funeral Benefits

Benefits claimable under the SS Law are the following: 1. Monthly Pension; a. Dependents pension b. Retirement benefits 2. Death Benefits & Permanent Disability Benefits; 3. Funeral Benefits; 4. Sickness Benefits; and Bukidnon State University – College of Law Batch 2014

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5. Maternity Leave Benefits NOTE: Simultaneous recovery of benefits under Employees’ Compensation Program of the Labor Code & under the Social Security Law is allowed.

Chapter III – Administration Box 23 - Dardo 1. Who administers the State Insurance Fund? What is the role of the SSS? It is administered by the government and attached to the Department of Labor for policy coordination and guidance. Its chairman is the Secretary of Labor and Employment. The SSS is the collecting agent of the employees in the private sector of the State Insurance Fund. 2. Does the EC Commission decide on compensation claims? Are their decisions appealable? Yes, the EC is the policy-making body of the Employees Compensation Program and also the appeal body. The decisions of either SSS or GSIS, if unfavorable to the claimant are appealable to the ECC. Upon appeal, the system elevates the record of the case to the ECC for review. Chapter IV – Contributions Box 24 - Lusica 1. Is it the employers or the consumers that shoulder the contributions to the State Insurance Fund (SIF)? Employers. Under the law, contributions shall be paid in their entirety by the employer and any contract or device for the deduction of any portion thereof from the wages or salaries of the employees shall be null and void. chardox Chapter V Medical Benefits Box 25 - Lusica 1. What are the benefits recoverable under the EC Program? The benefits or “compensation” extended to the employee (or to beneficiaries) are of three kinds: services, income benefit, and funeral benefit. A. Services Bukidnon State University – College of Law Batch 2014

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(1) Medical services, appliances and supplies; (2) Rehabilitation services; B. Cash Income Benefit or Pension due to: (1) Temporary total disability; (2) Permanent total disability; (3) Permanent partial disability; (4) Death. C. Funeral benefit. chardox 2. Are medical benefits payable even after one’s retirement? Yes. In the case of Itogon Suyoc Mines Inc. vs. Dulay, et al, medical attendance is owing as long as the employee is sick of a compensable illness, and this duty is not ended when employment terminates. Chapter VI – Disability Benefits Box 26 - Daypuyat 1. What are the kinds of disability benefits under the EC program? a. Income benefit i. For temporary total disability ii. Equivalent to 90% of his average daily salary credit iii. Shall be paid to the ee from day 1 of his disability until the 120th day b. Full monthly income benefit i. for permanent total disability ii. guaranteed for 5yrs c. Permanent partial disability benefit i. for Permanent partial disability ii. same amount with permanent total iii. monthly/lump sum (Until how many months will the ee receive the income benefit under this category? Refer to page 553. Example: loss of one thumb-10 months) 2. When is a disability considered permanent-total?  If the ee is unable to perform any gainful occupation for a continuous period exceeding 120 days.  An incapacity to perform gainful work which is expected to be permanent. But does not require a condition of complete helplessness. Nor is it affected by the performance of occasional odd jobs (Abaya v. ECC)  Example: Article 192


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a. Temporary total disability lasting continuously for more than 120 days, except as otherwise provided; b. Complete loss of sight of both eyes; c. Loss of two limbs at or above the ankle or wrist; d. Permanent complete paralysis of two limbs; e. Brain injury resulting in incurable imbecility and insanity; and f. Such cases as determined by the System and approved by the commission. Chapter VII – Death Benefits Box 27 - Culaway 1. In case an SIF covered employee dies, how are the beneficiaries of the death benefits As provided by law, Art 194(a) Under such regulations as the Commission may approve, the System shall pay to the primary beneficiaries upon the death of the covered employee under this Title, an amount equivalent to his monthly income benefit, plus ten percent thereof for each dependent child, but not exceeding five, beginning with the youngest and without substitution, except as provided for in paragraph (j) of Article 167 hereof: Provided, however, That the monthly income benefit shall be guaranteed for five years: Provided, further, That if he has no primary beneficiary, the System shall pay to his secondary beneficiaries the monthly income benefit but not to exceed sixty months: Provided, finally, That the minimum death benefit shall not be less than fifteen thousand pesos. 2. If there are competing claimants who resolves the disputes? a. If there competing claimants the ECC is empowered by law to resolve disputes in compensation claims. Chapter VIII – Provisions Common to Income Benefits Box 28 - Palamine 1. What are the liabilities of an employer who is delinquent in his contributions to the SIF? An employer who is delinquent in his contributions shall be liable to the System for the benefits which may have been paid by the System to his employees or their dependents, and any benefit and expenses to which such employer is liable shall constitute a lien on all his property, real or personal, which is hereby declared to be preferred to any credit, except taxes. The payment by the employer of the lump sum equivalent of such liability shall absolve him from the payment of the delinquent contribution and penalty thereon with respect to the employee concerned. 2. What is the prescriptive period of EC claims? As provided by law, No claim for compensation shall be given due course unless said claim is filed with the System within three (3) years from the time the cause of action accrued. (As amended by Section 5, Presidential Decree No. 1921). Art 201 Bukidnon State University – College of Law Batch 2014

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Chapter IX – Records, Reports and Penal Provisions Box 29 - Ga 1. What steps need to be observed in filing and pursuing an EC claim? Ans. Under Art. 206 of the present law on Employees’ Compensation, it is required that the employee, his dependents or anybody on his behalf, should give the notice of sickness, injury or death to the employer within five (5) days from the occurrence of the contingency. The purpose is not only to establish the employee’s right to compensation, as no claim for compensation shall be given the employer, but also to enable the employer to comply with its duty under the Rules – that of entering the contingency in the logbook and of giving also due notice to the System if the injury, sickness or death is deemed work-connected. The same article provides, however, that notice need not be given if the employer or his agent or representative is aware of the contingency that gives rise to the claim for compensation. 2. Under what circumstances may the notice to the employer be dispensed with? Ans. Under ECC Resolution No. 2127, notice of injury, sickness or death of the employee need not be given to the employer in any of the following situations: a. When the employee suffers the contingency within the employer’s premises; b. When the employee officially files an application for leave of absence by reason of the contingency from which he suffers; c. When the employer provides medical services and/or medical supplies to the employee who suffers from the contingency; and d. When the employer can be reasonably presumed to have knowledge of the employee’s contingency, in view of the ff. circumstances: 1. The employee was performing an official function for the employer when the contingency occurred; 2. The employee’s contingency has been publicized through mass media outlets; or 3. The specific circumstances of the occurrence of the contingency have been such that the employer can be reasonably presumed to have readily known it soon thereafter; and 4. Any other circumstances that may give rise to a reasonable presumption that the employer has been aware of the contingency.

“Once you've started, you're halfway there.” “Fear not, for I am with you, be not dismayed, for I am your God; I will strengthen you, I will help you, I will uphold you with my victorious right hand.” Isaiah 41:10 GOD BLESS, ALL!  xo Bukidnon State University – College of Law Batch 2014

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Azucena - Labor Standards - Answers to Box Questions

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