Any form of reproduction of this copy is strictly prohibited!!! PRELIMINARY TITLE CHAPTER I GENERAL PROVISIONS ART 1. NAME OF DECREE LABOR LEGISLATION - Consists of statutes, regulations and jurisprudence governing the relations between capital and labor, by providing for certain standards of terms and conditions of employment or providing a legal framework within which these terms and conditions and the employment relationship may be negotiated, adjusted and administered. It is divided into labor standards and labor relations. LABOR STANDARDS - Are the minimum reuirements prescribed by e!isting laws, rules and regulations relating to wages, hours of work, cost-of-living allowance, and other monetary and welfare benefits, including occupational safety, and health standards. LABOR RELATIONS LAW - defines the status, rights, and duties and the institutional mechanisms that govern the individual and collective interactions of employers, employees or their representatives. - "he law which seeks to stabili#e the relation between employer and employee, to forestall and thresh out their differences through the encouragement of collective bargaining and the settlement of labor disputes through conciliation, mediation, and arbitration. ART. 2. DATE OF EFFECTIVITY "he $abor Code took effect on %ovember &, &'() *si! months after its promulgation on +ay &,&'(),
SEVEN (7) BASIC RIGHTS OF WORKERS AS GARANTEED BY THE CONSTITTION (OCESHLP)! &. -ight to .rgani#e /. -ight to Conduct Collective 0argaining or %egotiation with +anagement 1. -ight to 2ngage in 3eaceful Concerted Activities including strike in accordance with law ). -ight to 2njoy 4ecurity of "enure 5.-ight to 6ork 7nder 8umane Conditions 9.-ight to -eceive a $iving 6age (.-ight to 3articipate in 3olicy : ;ecision-+aking 3rocesses affecting their rights and benefits as may be provided by law RELATED LAWS! &. CI<I$ C.;2= see Arts. &(>>, &(>&and &(>1 /. -2<I42; 32%A$ C.;2= Art. /?' 3. ."82-4= 444 $aw, @4I4 $aw, Agrarian -eform $aw, the &1 th month pay law, the +agna Carta for 3ublic 8ealth 6orkers, etc. RATIONALE ! - "he raison dA etre of labor laws is the POLICE POWER of the 4tate ART ". DECLARATION OF BASIC POLICY "he 4tate shall afford protection to labor, promote full employment, ensure eual work opportunities regardless of se!, age or creed, and regulate the relations between workers and employers. "he 4tate shall assure the right of workers to self-organi#ation, collective bargaining, security of tenure, and just and humane conditions of work. EMPLOYER - one who employs the services of othersB one for whom employees work and who pays their wages or salaries. EMPLOYEE - one who works for an employerB a person working for salary or wages ART #. CONSTRCTION IN FAVOR OF LABOR CONSTRCTION IN FAVOR OF LABOR CLASE -this is with a view to apply the Code to the greater number of employees to enable them to avail of the benefits under the law *Abella vs. %$-C,. "he working manAs welfare should be the primordial consideration. - "his rule is applicable i$ %&'(' i) * +,-.% as to the meaning of the legal or contractual provision. If the provision is clear and unambiguous, it must be applied in accordance with its e!press terms. - "hese laws )&,-/+ .' in%'(0('%'+ 1i%& * 2i'1 %, %&' $*3% %&*% %&'4 *(' ('5'+i*/ in n*%-(', they are enacted to better the lot LABOR LAW COMMITTEE: JUBERT JAY C. ANDRION, Chairperson, PAULITO DEJESUS, EDP MEMBERS: RJ Nolasco, Michelle Marquez, JoMarie Lazaro, AnnaLeah Lee, Grace Tenorio, Allan Alda, Jono DeGuzman, Elmer Guerzon, Aneluz Torres, !heila !uli", Liezel DeLeon, Ana Marie Ga#os, Liza !a"o , Mac$Mac Romero, %ilmar Calle&o, !all# !il'a, Jo# Me&ia, (o)ard Arzadon SAN BEDA COLLEGE OF LAW MEMORY AID in LABOR LAW Any form of reproduction of this copy is strictly prohibited!!! and promote the welfare of the members of the laboring class. - R')'(2*%i,n ,$ '))'n%i*/ *%%(i.-%') ,$ ),2'('i6n 0,1'( is read into contracts as a postulate of the legal order. - Courts *+,0% * /i.'(*/ *00(,*3& %&*% $*2,() %&' '7'(3i)' ,$ /*.,( (i6&%). "he mandate under Art. ) is simply to resolve doubt, i* an#, in favor of labor. If there is no doubt in implementing and interpreting the law, labor will enjoy no built-in advantage and the law will have to be applied as it is. MANAGEMENT RIGHTS! *CPST) C -ight to conduct business P -ight to prescribe rules S -ight to select employees T -ight to transfer or discharge employees
MANAGEMENT PREROGATIVE 2!cept as limited by special laws, an employer is free to regulate, according to his own discretion and judgment, all aspects of employment, including= 8I-I%@, 6.-C A44I@%+2%"4, 6.-CI%@ +2"8.;4, "I+2 3$AC2 A%; +A%%2- .D 6.-C, "..$4 ". 02 742;, 3-.C24424 ". 02 D.$$.62;, 4732-<I4I.% .D 6.-C2-4, 6.-CI%@ -2@7$A"I.%4, "-A%4D2- .D 2+3$.E224, 6.-C 4732-<I4I.%, $AE-.DD .D 6.-C2-4, A%; ;I4CI3$I%2, ;I4+I44A$ A%; -2CA$$ .D 6.-C2-4. *HW8T2PLSD) "hus, so long as management prerogatives are e!ercised in good faith for the advancement of the employerAs interest and not for the purpose of defeating or circumventing the rights of employees under special law or under valid agreements, it shall be upheld. ART 8. RLES AND REGLATIONS - "he rules and regulations issued by the ;.$2 shall become '$$'3%i2' 18 +*4) *$%'( *nn,-n3'5'n% ,$ %&'i( *+,0%i,n in n'1)0*0'() ,$ 6'n'(*/ 3i(3-/*%i,n. ART 9. APPLICABILITY AGRICLTRAL OR FARM WORKER - one employed in an agricultural or farm enterprise and assigned to perform tasks which are directly related to the agricultural activities of the employer, such as cultivation and tillage of the soil, dairying, growing and harvesting of any agricultural and horticultural commodities, the raising of livestock or poultry, and any activities performed by a farmer as an incident to or in conjunction with such farming operations. - "here may be in ,n' '50/,4'( .,%& *6(i3-/%-(*/ *) 1'// *) in+-)%(i*/ 1,(:'(). - PRPOSE ,$ %&' 0(,2i)i,n! intended to encourage workers to seek employment in agricultural enterprises instead of migrating to already overcrowded urban areas to find work in industrial establishments - "he $C applies to all workers, whether agricultural or non-agricultural, including employees in a 6,2'(n5'n% 3,(0,(*%i,n in3,(0,(*%'+ -n+'( %&' C,(0,(*%i,n C,+'. FARM EMPLOYER- FARM WORKER RELATIONSHI P TENANCY RELATIONSHIP - "he lease is one of labor with the agricultural laborer as the lessor of his services and the farm employer as the lessee - It is the landowner who is the lessor and the tenant the lessee of agricultural land - "he agricultural worker works for the farm employer and for his labor he receives a salary or wage, regardless of whether the employer makes a profit. - "he tenant derives his income from the agricultural produce or harvest LABOR LAW COMMITTEE: JUBERT JAY C. ANDRION, Chairperson, PAULITO DEJESUS, EDP MEMBERS: RJ Nolasco, Michelle Marquez, JoMarie Lazaro, AnnaLeah Lee, Grace Tenorio, Allan Alda, Jono DeGuzman, Elmer Guerzon, Aneluz Torres, !heila !uli", Liezel DeLeon, Ana Marie Ga#os, Liza !a"o , Mac$Mac Romero, %ilmar Calle&o, !all# !il'a, Jo# Me&ia, (o)ard Arzadon Page 2 of 70 CHAPTER II EMANCIPATION OF TENANTS *%ote= not included as per 4C +emo, ART 7-11 - S&*(' %'n*n34 &*) .''n *.,/i)&'+ placing in its stead leasehold system. - 7nder Art. ?, the land covered by operation land transfer 5-)% .' 0(i2*%' *6(i3-/%-(*/ /*n+; %'n*n%'+; 0(i5*(i/4 +'2,%'+ %, (i3' *n+<,( 3,(n; *n+ 5,(' %&*n )'2'n &'3%*(') in *('. P(')'n% ('%'n%i,n /i5i%)! - 5 hectares per landowner and 1 hectares per child provided the child is= &. Is at least &5 years of ageB and /. Actually tilling the land or directly managing the farm E=CEPTIONS! - those covered by homestead patents - those covered by 3; /( EMANCIPATION PATENT - is the title issued to the tenant upon compliance with all the reuirements of the government. It represents the full emancipation pf the tenant from the bondage of the soil. PROHIBITION AGAINST ALIENATION IS INTENDED TO! &. 3reserve the landholding in the hands of the owner-tiller and his heirsB /. minimi#e land speculationB and 1. prevent a return to the regime of land ownership by a few. BOOK ONE PRE-EMPLOYMENT TITLE I RECRITMENT AND PLACEMENT OF WORKERS CHAPTER I GENERAL PROVISIONS ART 1". DEFINITIONS WORKER -any member of the labor force, whether employed or unemployed RECRITMENT AND PLACEMENT - any act of canvassing, enlisting, contracting, transporting, utili#ing, hiring or procuring workers, and includes referrals, contract services, promising or advertising for employment, locally or abroad, whether for profit or notB 3-.<I;2;, that any person or entity which, in any manner, offers or promises for a fee employment to two or more persons shall be deemed engaged in recruitment and placement. *C2C-"7C3, *-C3A, -"he number of persons dealt with is not an essential ingredient of the act of recruitment and placement of workers. "he proviso merely creates the presumption. ART 19. PRIVATE RECRITMENT ENTITIES ATHORI>ED TO RECRIT &. 3ublic employment offices /. 3rivate recruitment entitiesB private employment agencies 1. 4hipping or manning agents or representatives ). "he 3.2A 5. Construction contractors if authori#ed by the ;.$2 and the Construction Industry Authority 9. +embers of the diplomatic corps *but hirings must also go thru 3.2A, (. .ther persons or entities as may be authori#ed by the ;.$2 secretary DOCMENTATION OF WORKERS! &. Contract 3rocessing F workers hired thru the 3.2A shall be issued the individual employment contract and such other documents as may be necessary for travel /. 3assport ;ocumentation 1. <isa Arrangement ART 17. (POEA) - 3.2A has taken over the functions of the .2;0 AD?DICATORY FNCTIONS OF THE POEA ! a. All cases which are administrative in character, involving or arising out of violations of rules and regulations relating to licensing and registration of recruitment and employment agencies or entitiesB and b. ;isciplinary action cases and other special cases which are administrative in character, involving employers, principals, contracting partners and Dilipino +igrant 6orkers ?RISDICTION TRANSFERRED TO THE LABOR ARBITERS OF THE NLRC ! a. claims arising out of an employer-employee relationship or by virtue of any law or contract involving Dilipino workers for overseas deployment including claims for actual, moral, e!emplary and other forms of damages. V'n-' @ +oney claims or claims for damages should be filed before the -egional Arbitration branch of the %$-C where the complainant resides or where the principal office of the respondentGemployer is situated, at the option of the complainant. C,50(,5i)' A6(''5'n% - Consistent with the policy encouraging amicable settlement of labor disputes, 4ec &>, -A ?>)/ allows resolution by compromise of cases filed with the %$-C. PREMATRE TERMINATION OF CONTRACT - 6here the workerAs employment contract is terminated long before its agreed termination date, and the termination is not shown to be based on lawful or valid grounds, the employer will be ordered to pay the workers their salaries corresponding to the une!pired portion of their employment contract. (Ti'((* In%A/ C,n)%(-3%i,n C,(0. 2). NLRC). 8.62<2-, under -.A. ?>)/, if the illegal dismissal %,,: 0/*3' ,n ,( *$%'( ?-/4 18; 1BB8, the illegally dismissed ,2'()'*) worker shall be 'n%i%/'+ %, %&' $-// ('i5.-()'5'n% ,$ &i) 0/*3'5'n% $'' 1i%& in%'(')% *% %&' (*%' ,$ 12C 0'( *nn-5 0/-) )*/*(4 $,( %&' -n'70i('+ 0,(%i,n ,$ &i) '50/,45'n% 3,n%(*3% ,( $,( " 5,). $,( '2'(4 4'*( ,$ %&' -n'70i('+ %'(5 1&i3&'2'( i) LESS. - Claims for +'*%& *n+ .-(i*/ .'n'$i%) in2,/2in6 )'*5'n OCW) 1&i3& %&' POEA has jurisdiction *(' n,% %&' )*5' as the 3/*i5) *6*in)% %&' S%*%' In)-(*n3' F-n+ ,$ %&' LC. - "he basis for the award of backwages is the partiesH employment contract, stipulating the wages and benefits. - T&' $*3% %&*% %&' '50/,4'' &*) )i6n'+ * )*%i)$*3%i,n ('3'i0% +,') n,% (')-/% in 1*i2'(D %&' /*1 +,') n,% 3,n)i+'( *) 2*/i+ *n4 *6(''5'n% %, ('3'i2' /')) 3,50'n)*%i,n %&*n 1&*% %&' 1,(:'( i) 'n%i%/'+ %, ('3,2'(. (MR Y*(+ C('1 ni,n 2). PNR) ART 1E. BAN ON DIRECT-HIRING Di('3% &i(in6 ,$ Fi/i0in, 1,(:'() .4 * $,('i6n '50/,4'( i) n,% *//,1'+. E=CEPTIONS ! the members of the diplomatic corpsB international organi#ationsB such other employers as may be allowed by the ;epartment of $abor and employment 1. n*5' &i('') F individual workers who are able to secure contracts for overseas employment on their own efforts and representations without the assistance or participation or any agency RATIONALE OF THE PROHIBITION - Fi/i0in, 1,(:'() &i('+ +i('3%/4 .4 * $,('i6n '50/,4'(; 1i%&,-% 6,2'(n5'n% in%'(2'n%i,n 5*4 n,% .' *))-('+ ,$ %&' .')% 0,))i./' %'(5) *n+ 3,n+i%i,n) ,$ 1,(:. "he foreign employer must also be protected and may chance upon a Dilipino worker who do not possess sufficient knowledge for which he is employed. MINIMM EMPLOYMENT CONDITIONS OF OVERSEAS EMPLOYMENT! &. @uaranteed wages for regular working hours and overtime pay for services rendered beyond regular working hours in accordance with the standards established by the Administration /. Dree "ransportation from point of hire to site of employment and returnB 1. Dree emergency medical and dental treatment and facilitiesB ). Iust causes for termination of the contract or of the services of the workersB 5. 6orkmenAs compensation benefits and war ha#ard protectionB 9. -epatriation of workerAs remains and properties in case of death to the point of hire, or if this is not possible the possible disposition thereof (. Assistance on remittance of workerAs salaries, allowances or allotments to his beneficiariesB and ?. Dree and adeuate board and lodging facilities or compensatory food allowance at prevailing cost of living standards at the jobsite. ART 22. MANDATORY REMITTANCE OF FOREIGN E=CHANGE EARNINGS MANDATORY REMITTANCE REFIREMENTS! &. 4eamen or mariners= ?>J of the basic salaryB /. 6orkers for Dilipino Contractors and Construction Companies= (>J of the basic salaryB 1. ;octors, engineers, teachers, nurses, and other professionals whose employment contract provide for lodging facilities= same as K/ ). All other professionals without board and lodging= 5>J of the basic salaryB 5. ;omestic and other service of workersB 5>J of the basic salary. ART 28. PRIVATE SECTOR PARTICIPATION IN THE RECRITMENT AND PLACEMENT OF WORKERS FALIFICATIONS FOR PARTICIPATION IN THE OVERSEAS EMPLOYMENT PROGRAM! &. Dilipino citi#ens, partnerships or corporations at least (5J of the authori#ed and voting capital stock of which is owned and controlled by Dilipino citi#ensB /. +inimum capitali#ation of &+ in case of single proprietorship or partnership and a minimum of &+ paid-up capital for corporationsB 1. "hose not otherwise disualified by law or these guidelines to engage in the recruitment and placement of workers for overseas employment DISFALIFICATIONS! &. "ravel agencies and sales agencies of airline companiesB /. .fficers or members of the board of any corporation or members in a partnership engaged in the business of a travel agencyB 1. Corporations and partnerships, when any of its officers, members of the board or partners, is also an officer, member of the board or partner of a corporation engaged in the business of a travel agency. ). 3ersons, partnerships, or corporations which have derogatory recordsB 5. 3ersons employed in the ;epartment of $abor or in other government agencies directly involved in overseas employment program and their relatives within the ) th degree of consanguinity or affinityB or 9. "hose whose license has been previously canceled or revoked. CHAPTER II REGLATIONS OF RECRITMENT AND PLACEMENT ACTIVITIES ART 2B. NON-TRANSFERABILITY OF LICENSE OR ATHORITY - N, /i3'n)' ,( *-%&,(i%4 )&*// .' -)'+ +i('3%/4 ,( in+i('3%/4 .4 *n4 0'(),n ,%&'( %&*n %&' ,n' in 1&,)' $*2,( i% 1*) i))-'+ or 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. - $icensees or holders of authority or their duly authori#ed representatives may as a rule, undertake recruitment and placement activities ,n/4 *% %&'i( *-%&,(iG'+ ,$$i3i*/ *++('))'). - C&*n6' ,$ ,1n'()&i0 ,( ('/*%i,n)&i0 ,$ )in6/' 0(,0(i'%,()&i0 /i3'n)'+ to engage in overseas employment shall cause the *-%,5*%i3 ('2,3*%i,n ,$ %&' /i3'n)'. - All ,2'()'*) /*n+.*)'+ 1,(:'() shall be provided both /i$' *n+ 0'(),n*/ *33i+'n% in)-(*n3'. GRONDS FOR DISCIPLINARY ACTION *7nder the MWA ,$ 1BB8, B &. Commission of a felony punishable by the laws of the 3hilippines or by the host countryB /. ;rug addiction or possession or trafficking of prohibited drugsB 1. ;esertion or abandonmentB ). ;runkenness, especially where the laws of the of the host country prohibit the sameB 5. @ambling, especially where the laws of the host country prohibit the sameB 9. Initiating or joining a strike or work stoppage where the laws of the host country prohibit strikes or similar actionsB (. Creating trouble at the worksite or in the vesselB ?. 2mbe##lement of company funds or of money an properties of a fellow worker entrusted for delivery to kins or relatives in the 3hilippinesB '. "heft or robberyB &>. 3rostitutionB &&. <andalism or destroying company propertyB &/. @unrunning or possession of deadly weaponsB &1. 7njust refusal to depart for the worksite after all employment and travel documents have been duly approved by the appropriate government agencyB and &). <iolation of the laws and sacred practices of the host country and unjustified breach of government approved employment contract by a worker. ART "1. BONDS
- C*)& .,n+ $i/'+ .4 *00/i3*n%) $,( /i3'n)' ,( *-%&,(i%4 i) n,% )-.H'3% %, 6*(ni)&5'n% by judgment creditor of agency ART "2. FEES TO BE PAID BY WORKERS - 4uspension or cancellation of licenses 5*4 in3/-+' *1*(+ ,$ +*5*6') to repair the injury caused to its victims. ART "#. PROHIBITED PRACTICES - A )-00/'5'n%*(4 3,n%(*3% .'n'$i3i*/ %, 1,(:'( n,% 2i,/*%i2' ,$ 0(,%'3%i,n afforded by the 4tate to workers. ART "8. SSPENSION AND<OR CANCELLATION OF LICENSE OR ATHORITY NON-LICENSEE OR NON-HOLDER OF ATHORITY - any person, corporation or entity which has not been issued a valid license or authority to engage in recruitment and placement by the 4ecretary of $abor, or whose license or authority has been suspended, revoked, or cancelled by the 3.2A and the 4ecretary. CHAPTER III MISCELLANEOS PROVISIONS ART "E. ILLEGAL RECRITMENT (*) 0'( RA EI#2 ,%&'(1i)' :n,1n *) %&' Mi6(*n% W,(:'()A A3% ,$ 1BB8) ILLEGAL RECRITMENT - Any act of canvassing, enlisting, contracting, transporting, utili#ing, hiring or procuring workers and includes referring contract services, promising or advertising for employment abroad, whether for profit or not when undertaken by a non-licensee or non-holder of authority. 3-.<I;2; that any such non-licensee or non-holder of authority who in any manner, offers or promises for a fee employment abroad to two or more persons shall be deemed so engaged. It shall likewise include the commission of prohibited acts whether committed by a non-licensee or non-holder of authority or a licensee or holder of authority.
PROHIBITED PRACTICES! (CFGIIEOFSBWF) C to charge or accept amount beyond amount allowed by law F to furnish or publish false notice or information in relation to -ecruitment and 3lacement G to give any false notice and information or commit any act of misrepresentation to secure license or authority I Induce or attempt to induce workers to uit employment to offer him another e!cept if the transfer is to liberate a worker from oppressive terms and conditions of employment *%."2= it is not necessary that worker was actually induced or did uit employment, I to influence or attempt to influence any person or entity not to employ any worker who has not applied for employment in his agency E to engage in the recruitment or placement of workers in jobs harmful to public health or morality or to the dignity of the 3hil. O .bstruct or attempt to obstruct inspection by 4ecretary F Dail to file reports S 4ubstitute or alter employment contracts B 0ecome officer or 0oard member of corporation engaged in travel agency W 6ithhold or deny travel documents before the departure for monetary or financial consideration other than those authori#ed by the Code. F Dailure to actually deploy without valid reason as determined by the ;.$2 F Dailure to reimburse e!penses incurred by the worker in connection with his documentation and processing for purposes of deployment, in cases where the deployment does not actually take place without the workerAs fault THE FALIFYING CIRCMSTANCES THAT WOLD MAKE ILLEGAL RECRITMENT AS A CRIME INVOLVING ECONOMIC SABOTAGE ARE ! 6hen committed by a SYNDICATE i+e+, if it is carried out by a group of three *1, or more persons conspiring and confederating with one anotherB or (a) 6hen committed in a LARGE SCALE i+e+, if it is committed against three *1, or more persons VENE OF ACTIONS ON ILLEGAL RECRITMENT! &. -"C of the province or city where the offense was committedB or /. where the offended party resides at the time of the commission of the offense at the option of the complainant - "hese circumstances only ualify. "hey do not define the offense themselves - R'3(-i%5'n% *n+ 0/*3'5'n% *3%i2i%i') of agents or representatives appointed by a licensee, whose appointments were n,% 0('2i,-)/4 *-%&,(iG'+ .4 %&' POEA shall likewise 3,n)%i%-%' i//'6*/ ('3(-i%5'n%. ART. "E ( 3 ) +'3/*('+ -n3,n)%i%-%i,n*/ since only a judge may issue search warrantG warrant of arrest. "he 4ec. .f $abor may only recommend not issue. 8owever, Closure of establishments of illegal recruiters may still be ordered by 4ecretary of $abor, same being essentially administrative and regulatory in nature.(S*/*G*( 2). A3&*3,), *n+ M*(J-'G) PRESCRIPTIVE PERIOD Illegal -ecruitment cases under -A ?>)/ shall prescribe in $i2' (8) 4'*() Pro'ided, ho)e'er, "hat illegal recruitment cases involving '3,n,5i3 )*.,%*6' shall prescribe in %1'n%4 (2I) 4'*(). TITLE II EMPLOYMENT OF NON-RESIDENT ALIENS ART #I. EMPLOYMENT PERMIT OF NON-RESIDENT ALIENS -Doreigners or domestic and foreign employers desiring to employ aliens must secure employment permit from the ;.$2 upon determination of the non-availability of a person in the 3hilippines who is competent, able and willing at the time of the application to perform the services for which the alien is desired. - Doreigners may n,% .' '50/,4'+ in certain n*%i,n*/iG'+ .-)in')). - a n,n-(')i+'n% */i'n 1,(:'( and the '50/,4'( shall bind themselves to %(*in *% /'*)% 2 Fi/i0in, -n+'()%-+i'). PROHIBITION AGAINST EMPLOYMENT OF ALIENS S'3%i,n 2-A ,$ %&' An%i-D-554 L*1 prohibits the employment of aliens in establishment or entities which have under their name or control a right, franchise, privilege, property or business the e!ercise or enjoyment of which property or business the e!ercise or enjoyment of which is e!pressly reserved by the Constitution or the laws to citi#ens of the 3hilippines or to corporations or associations at least 9>J of the capital of which is owned by such citi#ens. E=CEPTIONS TO THE PROHIBITION! a. where the 4ecretary of Iustice specifically authori#es the employment of technical personnelB or b. where the aliens are elected members of the board of directors or governing body of corporations or association in proportion to their allowable participation in the capital of such entities. BOOK TWO HMAN RESORCES DEVELOPMENT TITLE I NATIONAL MANPOWER DEVELOPMENT PROGRAM CHAPTER I NATIONAL POLICIES AND ADMINISTRATIVE MACHINERY FOR THEIR IMPLELENTATION ART #8. DEFINITIONS MANPOWER - that portion of the nationAs population which has actual or potential capability to contribute directly to the production of goods and services. ENTREPRENERSHIP - training for self- employment or assisting individual or small industries within the purview of this the $C. TITLE II TRAINING AND EMPLOYMENT OF SPECIAL WORKERS CHAPTER I APPRENTICES T40') ,$ S0'3i*/ W,(:'()! &. Apprentice /. $earners 1. 8andicapped ART 8E. DEFINITION OF TERMS APPRENTICESHIP - practical training on the job supplemented by related theoretical instruction APPRENTICE - worker who is covered by a written apprenticeship agreement with an individual employer or any of the entities recogni#ed under this chapter APPRENTICEABLE OCCPATION - any trade, form of employment or occupation which reuires more than 1 months of practical training on the job supplemented by related theoretical instruction APPRENTICESHIP AGREEMENT - an employment contract wherein the employer binds himself to train the apprentice and the apprentice in turn accepts the terms of training ON-THE-?OB TRAINING F the practical work e!perience through actual participation in productive activities given to or acuired by an apprentice HIGHLY TECHNICAL INDSTRIES F trade, business, enterprise, industry or other activity, which is engaged in the application of advanced technology ART 8B. FALIFICATIONS OF APPRENTICES F-*/i$i3*%i,n) ,$ *n A00('n%i3' &. at least &5 years of ageB provided those who are at least &5 years of age but less than eighteen may be eligible for apprenticeship only in non-ha#ardous occupations and the apprenticeship agreement shall be signed in his behalf by the parent or guardian or authori#ed representative of ;.$2. /. vocational aptitudeG capacity for appropriate test 1. ability to comprehend and follow oral and written instructions ART 9I. EMPLOYMENT OF APPRENTICES - On/4 '50/,4'() in &i6&/4 %'3&ni3*/ in+-)%(i') may hire apprentices and ,n/4 in *00('n%i3'*./' ,33-0*%i,n) as determined by the 4ec. .f $abor R'J-i)i%') $,( * VALID APPRENTICESHIP &. L7A$IDICA"I.%4 .D "82 A33-2%"IC2 /. A33-2%"IC248I3 A@-22+2%" ;7$E 2M2C7"2; A%; 4I@%2; 3-.<I;I%@ D.- C.+32%4A"I.% %." $244 "8A% (5J .D "82 A33$ICA0$2 +I%I+7+ 6A@2, 2MC23" .%-"82-I.0 "-AI%I%@ *.I", 1.A33-2%"IC248I3 3-.@-A+ ;7$E A33-.<2; 0E ;.$2 ). 32-I.; .D A33-2%"IC248I3 48A$$ %." 2MC22; 9 +.%"84. ART 71. DEDCTIBILITY OF TRAINING COSTS R'J-i)i%') $,( %*7 +'+-3%i,n) in 3*)' '50/,4'() &*2' *00('n%i3')&i0 0(,6(*5)! &. 3rogram duly recogni#ed by the ;epartment of $abor /. ;eduction shall not e!ceed &>J of direct labor wage 1. 3ay his apprentices the minimum wage ART 72. APPRENTICES WITHOT COMPENSATION A00('n%i3') 1&, 5*4 .' &i('+ 1i%&,-% 3,50'n)*%i,n! &.those whose training on the job is reuired by the schoolB /."raining 3rogram CurriculumB 1.-euisite for @raduationB or ).A reuisite for 0oard 2!amination CHAPTER II LEARNERS ART 7". LEARNERS DEFINED LEARNERS - persons hired as trainees in semi-skilled and other industrial occupations which are non-apprenticeable and which may be learned thru practical training on the job in a relatively short period of time which shall not e!ceed 1 mos. APPRENTICESHIP LEARNERSHIP &. 3ractical training on the job supplemented by related theoretical instruction. &. 8iring of persons as trainees in semi-skilled and other industrial occupations which are non- apprenticeable and which may be learned thru practical training on the job in a relatively short period of time. /. %ot less than 1 months practical training on the job but not more than 9 months /. 3ractical training on the job not to e!ceed 1 mos. 1. %o Commitment to hire 1. 6ith Commitment to employ the learner as regular employee if he desires upon completion of learnership ). In case of pretermination of the apprenticeship agreement, the worker is not considered as a regular employee ). $earner is considered as a regular employee in case of pretermination of contract after / mos. of training and the dismissal is without fault of learner 5. 8ighly technical industries and only in industrial occupation 5. 4emi-skilled G industrial occupations L'*(n'() in 0i'3'1,(:< in3'n%i2' - rate jobs are to be paid in full for the work done. CHAPTER III HANDICAPPED WORKERS ART 7E. DEFINITION HANDICAPPED WORKERS - Are those whose '*(nin6 3*0*3i%4 i) i50*i('+ by age or physical or mental deficiency or injury. - 4ubject to the provisions of the Code, &*n+i3*00'+ 1,(:'() 5*4 .' &i('+ *) ('6-/*( 1,(:'(); *00('n%i3') ,( /'*(n'() if their &*n+i3*0 i) n,% )-3& *) %, '$$'3%i2'/4 i50'+' %&' 0'($,(5*n3' ,$ H,. ,0'(*%i,n) in the particular occupations for which they were hired. - ualified disabled employee shall be )-.H'3% %, %&' )*5' %'(5) *n+ 3,n+i%i,n) ,$ '50/,45'n% and the same compensation, privileges, benefits, fringe benefits, incentives or allowances as a ualified able-bodied person. 2ven a handicapped worker 3*n *3J-i(' %&' )%*%-) ,$ * ('6-/*( '50/,4''. D-(*%i,n ,$ '50/,45'n% - no minimum, no ma!imum. ;ependent on agreement but is necessary that there is a specific duration BOOK THREE CONDITIONS OF EMPLOYMENT TITLE I WORKING CONDITIONS AND REST PERIODS CHAPTER I HORS OF WORK ART E2. COVERAGE ELEMENTS OF EMPLOYER- EMPLOYEE RELATIONSHIP! &. selection and engagement of the employee /. the payment of wages 1. the power of dismissal ). the employerAs power to control the employee *with respect to the means and methods by which the work is to be accomplished, - "he last element as mentioned above is what is known as the CONTROL TEST - whether the employer controls or has reserved the right to control the employee not only as to the result of the work to be done but also as to the means and methods by which the same is to be accomplished. "his last element is the most important inde! of the e!istence of the relationship. EMPLOYEE - A natural person who is hired, directly or indirectly, by a natural or juridical person to perform activities related to the business of the NhirerH who, directly or through an agent, supervises or controls the work performance and pays the salary or wage of the hire. E50/,4'') E7'50% $(,5 %&' B'n'$i%) ,$ E-E R'/*%i,n)&i0 &. @overnment 2mployees /. +anagerial 2mployees 1. Dield 3ersonnel ). Damily +embers dependent on the employer for support 5. ;omestic 8elpers 9. 3ersons on the 3ersonal 4ervice of another (. 6orkers 3aid by -esult GOVERNMENT EMPLOYEES - -efers only to employees of government agencies, instrumentalities or political subdivisions and of government corporations that are no" incorporated under the Corporation Code, meaning those which have original charters. MANAGERIAL EMPLOYEES - -efer to those whose primary duty consists of the management of the establishment in which they are employed or of a department or subdivision thereof and to other members of the managerial staff N,%'! ;efinition applies only to the ?- hour $abor law FIELD PERSONNEL - -efer to non- agricultural employees who regularly perform their duties away from the principal place of business or branch office of the employer and whose actual hours of work in the field cannot be determined with reasonable certainty. WORKERS PAID BY RESLTS - +ethod of computing compensation based on the work completed and not on the time spent in working. PIECE-RATE METHOD - 6here pay is dependent on unit of product finished, preferred where the work process is repetitive and the out put is standardi#ed and easily countable. DOMESTIC HELPERS< PERSONS RENDERING PERSONAL SERVICES - 3erform services in the employers home which are usually necessary and desirable for the maintenance or enjoyment thereof, or ministers to the personal comfort, convenience or safety of the employer, as well as the members of the employerAs household. - "he e!istence of employment relationship is +'%'(5in'+ .4 /*1 and not by contract. - 6hether or not an employer-employee relationship e!ists between the parties is a J-')%i,n ,$ $*3%. T&' $in+in6) ,$ %&' NLRC *(' *33,(+'+ n,% ,n/4 (')0'3% .-% $in*/i%4 i$ )-00,(%'+ .4 )-.)%*n%i*/ '2i+'n3'. MANAGEMENT PREROGATIVE - e!cept as otherwise limited by special laws, an employer is free to regulate, according to his own discretion and judgment, all aspects of employment, including hiring, work assignments, working methods, time, place, and manner of work, tools to be used, processes to be followed, supervision of workers, working regulations, transfer of employees, work supervision, lay-off of workers and discipline, dismissal and recall of workers. - +anagement prerogative ('3,6niG') %&' (i6&% ,$ %&' '50/,4'( %, *+2*n3' i%) in%'(')% to prescribe standards of work and impose reasonable uotas or work assignments, and failure on the part of the employees to meet the reuirement, impose in good faith, constitutes a just cause for his dismissal. - N'1 ,1n'(<5*n*6'5'n% 6(,-0 has n, ,./i6*%i,n %, ('-'50/,4 1,(:'() 1&, $(''/4 *n+ 2,/-n%*(i/4 *33'0%'+ %&'i( )'0*(*%i,n 0*4 *n+ ,%&'( .'n'$i%). A change of ownership in a business concern is not proscribed by law. ART E". NORMAL HORS OF WORK - 4hall n,% '73''+ E &,-() in a regular working day PRPOSE - to safeguard the health and welfare of the laborer and in a way to minimi#e unemployment by utili#ing different shifts REGLAR WORKING DAYS! "he regular working days of covered employees shall not be more than five days in a workweek. "he workweek may begin at any hour and on any day, including 4aturday or 4unday, designated by the employer. ART E#. HORS WORKED SHALL INCLDE! &. All time during which an employee is reuired to be on duty or to be at a prescribed workplaceB and /. All time during which an employee is suffered or permitted to work PRINCIPLES IN DETERMINING HORS WORKED= &. All hours are hours worked which the employee is reuired to give to his employer, regardless of whether or not such hour are spent in productive labor or involve physical or mental e!ertionB /. An employee need not leave the premises of the workplace in order that his rest period shall not be counted, it being enough that he stops working, may rest completely and may leave his workplace, to go elsewhere whether within or outside the premises of his workplaceB 1. If the work performed was necessary, or it benefited the employer, or the employee could not abandon his work at the end of his normal working hours because he had no replacement, all time spent for such work shall be considered as hours worked if the work is with the knowledge of his employer or immediate supervisor ). "he time during which an employee is inactive by reason of interruptions in his work beyond his control shall be considered time either if the imminence of the resumption of work reuires the employeeAs presence at the place of work or if the interval is too brief to be utili#ed effectively and gainfully in the employeeAs own interest. - .nly the ma!imum is prescribed, not minimum. P*(%- %i5' 1,(: i) %&'('$,(' n,% 0(,&i.i%'+. ENGAGED TO WAIT - when waiting is an integral part of the job, it is compensable WAITING TO BE ENGAGED - idle time is not working time, not compensable WHEN TRAVEL TIME COMPENSABLE! &. "ravel from home to work- refers to ordinary work travel but where the worker is made to work on an emergency call and travel is necessary in proceeding to the workplace, the time spent on travel is compensable /. "ravel that is all in a dayAs work- time spent by an employee in travel as part of his principal activity, such as travel from jobsite to jobsite during the workday, must be counted as hours worked. 1. "ravel away from home- travel that keeps an employee away from home overnight. - W,(: &,-() ,$ )'*5'n are governed by the same rules as land based employees. "hus, they must )&,1 )-$$i3i'n% 0(,,$ that said work is actually performed. R')% P'(i,+) ,$ )&,(% +-(*%i,n +-(in6 1,(:in6 &,-() shall be considered as &,-() 1,(:'+. P('/i5in*(4 *3%i2i%i') 3,50'n)*./' when controlled or reuired by employer and are pursued necessarily and primarily for the employerAs benefit,
ART E8. MEAL PERIODS MEAL PERIODS &. 4hould not be less than si!ty *9>, minutes, and is time-offGnon-compensable /. 7nder specified cases, may be less than si!ty *9>, minutes, but should not be less than twenty */>, minutes an must be with full pay. 1. If less than twenty*/>, minutes, it becomes only a rest period and is thus considered as work time NOTE= 2mployee must be 3,50/'%'/4 ('/i'2'+ $(,5 +-%4. .therwise, it is compensable as hours worked. - +ealtime is n,% 3,50'n)*./' E=CEPT in cases where the lunch period or meal time is 0('+,5in*n%/4 )0'n% $,( %&' '50/,4'(A) .'n'$i% or 1&'(' i% i) /')) %&*n 9I 5in-%'). - 2mployees may reuest that their 5'*/ 0'(i,+ .' )&,(%'n'+ so that they can leave work earlier that the previously established schedule. REFISITES ! &. "he employees voluntarily agree in writing to a shortened meal period and are willing to waive the overtime pay for such shortened meal periodB /. %o diminution whatsoever in the salary and other fringe benefits of the employees e!isting before the effectivity of the shortened meal periodB 1. 6ork does not involve strenuous physical e!ertion and they are provided with adeuate coffee breaksB ). "he value of benefits is eual with the compensation due them for the shortened meal period 5. ." pay will become due and demandable after the new time scheduleB and 9. "he arrangement is of temporary duration. ART E9. NIGHT SHIFT DIFFERENTIAL NIGHT SHIFT DIFFERENTIAL -Additional compensation of n,% /')) %&*n %'n 0'(3'n% (1IC) of an employeeAs regular wage for every hour of work done between 1I!II PM *n+ 9!II AM, whether or not this period is part of the workerAs regular shift. - If work done between 1I PM *n+ 9 AM i) ,2'(%i5' 1,(:, then the &>J night shift differential should be .*)'+ ,n &i) ,2'(%i5' (*%'. RATIONALE - it serves as an inducement of employment ART E7. OVERTIME WORK O VERTIME PAY - Additional compensation for work performed beyond eight *?, hours within the workerAs /)-hour workday. 1>J of &1>J if on a special holidayGrest day &. /5J of regular wage if done on a regular workday /. 1>J of &5>J if on special holiday A%; rest day 1. 1>J of />>J if on a regular holiday RATIONALE - employee is given ." pay because he is made to work longer than what is commensurate with his agreed compensation for the statutorily fi!ed or voluntarily agreed hours of labor he is supposed to do. - As a rule, 3*nn,% .' 1*i2'+, as it is intended to benefit laborers and employees. 0ut when the waiver is made in consideration of benefits and privileges which may even e!ceed the overtime pay, the waiver may be permitted. NOTE! ." pay will not preclude payment of night shift differential pay. - M'*/ 0'(i,+) +-(in6 ,2'(%i5' 1,(: i) n,% 6i2'n %, 1,(:'() 0'($,(5in6 ,2'(%i5' for the reason that ." work is usually for a short period ranging from one to three hours and to deduct from the same one full hour as meal period would reduce to nothing the employeeAs ." work. WORK DAY - the /)-hour period which commences from the time the employee regularly starts to work. e.g., if the worker starts to work ? am today, the workday is from ?am today up to ? am tom. - "he minimum normal working hours fi!ed by the Act n''+ n,% .' 3,n%in-,-) to constitute the legal working day - E70(')) *00(,2*/ .4 * )-0'(i,( i) n,% * 0('('J-i)i%' %, 5*:' ,2'(%i5' 1,(: 3,50'n)*./'. 8.62<2-, written authority after office hours during rest days and holidays are reuired for entitlement to compensation. - "he right to ." pay 3*nn,% .' 1*i2'+. 4uch waiver is contrary to law and public policy. E=CEPTIONS! &. 6hen the waiver stipulates higher payment or rate of ." payB or /. 6here the contract of employment reuires work for more than eight hours of work at specified wage per day providing for a fi!ed hourly rate or that the daily wages include overtime pay. COMPRESSED WORKWEEK -allowable under the following conditions= &. It is voluntary on the part of the worker /. "here will be no diminution of the weekly or monthly take-home pay and fringe benefits of the employeesB 1. "he value of the benefits that will accrue to the employees under the proposed schedule is more than or at least commensurate with the one-hour ." pay that is due them during weekdays based on the employeeAs uantification ). "he one-hour ." pay will become due and payable if they are made or permitted to work on a day not scheduled for work on the compressed work week 5. "he work does not involve strenuous physical e!ertion and employees must have adeuate rest periods 5. "he arrangement is of temporary duration. ART EE. NDERTIME NOT OFFSET BY OVERTIME n+'(%i5' 1,(: ,n *n4 0*(%i3-/*( +*4 )&*// n,% .' ,$$)'% .4 ,2'(%i5' 1,(: ,n *n4 ,%&'( +*4. 3ermission given to the employee to go on leave on some other day of the week shall not e!empt the employer from paying the additional compensation. RATIONALE - An employeeAs regular pay rate is lower than the overtime rate. .ffsetting the undertime hours against the overtime hours would result in undue deprivation of the employeeAs e!tra pay for overtime work. ART EB. EMERGENCY OVERTIME WORK WHEN WORKER MAY BE REFIRED TO RENDER OT! (WNNCN) W &. Country is at war or any other nationalGlocal emergency has been declared by the Chief 2!ecutiveGCongress N /. %ecessary to prevent loss of lifeGpropertyG in case of actualGimpending emergency in the locality 1. "here is urgent work to be performed on machines, installations, or euipment in order to avoid serious lossGdamage to the employer or some other causes of similar nature N ). 6ork is necessary to prevent lossGdamage to perishable goodsB and C 5. where the completion or continuation of the work started before the eighth hour is necessary to prevent serious obstruction or prejudice to the business or operations of the employer. N 9. when it is necessary to avail of favorable weather or environmental conditions where performance or uality of work is dependent thereon ART BI. REGLAR WAGE - include the cash wage only, without deduction on account of facilities provided by the employer CHAPTER II WEEKLY REST PERIOD ART B1. RIGHT TO A WEEKLY REST DAY - 2mployees should be provided a rest period of n,% /')) %&*n %1'n%4 $,-( (2#) 3,n)'3-%i2' &,-() *$%'( '2'(4 )i7 (9) 3,n)'3-%i2' n,(5*/ 1,(: +*4). - 2mployer shall schedule the weekly rest day of his employees subject to collective bargaining agreement. 8owever, the employer shall (')0'3% %&' 0('$'('n3' ,$ '50/,4'') *) %, %&'i( 1'':/4 (')% +*4 1&'n )-3& 0('$'('n3' i) .*)'+ ,n ('/i6i,-) 6(,-n+). 0ut when such preference will prejudice the operations of the undertaking and the employer cannot normally result to other remedial measures, the employer may so schedule the weekly rest day that meets the employeeAs choice for at least two */, days a month ART B2. WHEN EMPLOYER MAY REFIRE WORK ON A REST DAY WHEN EMPLOYEE MAY BE REFIRED TO RENDER WORK ON A REST DAY! &. In case of actual or impending emergencies caused by serious accident, fire, flood typhoon, earthuake epidemic or other disaster or calamity, to prevent loss of life or property or in cases of force majeure or imminent danger to public safety /. urgent work to be performed on the machinery, euipment or installation to avoid serious loss which the employer would otherwise suffer 1. abnormal pressure of work due to special circumstances, where the employer cannot ordinarily be e!pected to resort to other measures ). prevent serious loss of perishable goods 5. nature of work reuires continuous operation for seven days a week 9. work is necessary to avail of favorable weather or environmental conditions where performance or uality of work depends upon them ART B". COMPENSATION FOR REST DAY; SNDAY OR HOLIDAY WORK - this article does not prohibit a stipulation in the C0A for higher benefits SPECIAL HOLIDAYS &. All 4aintAs ;ay -%ovember & /. $ast ;ay of the Eear-;ecember 1& 1. And all other days declared by law or ordinances to be a special holiday or non- working day NOTE= 1,(:'+ O regular wage plus 1>J premium pay n,% 1,(:'+ O none ADDITIONAL COMPENSATION FOR WORK ON A REST DAY; SNDAY OR HOLIDAY WORK! &. 6ork on a scheduled rest day - 1>J of regular wage /. %o regular workdays and rest days -1>J of regular wage for work on 4undays : 8olidays 1. 6ork on 4pecial 8olidays -1>J of regular wage ). 8oliday 6ork falls on 4cheduled -est ;ay - 5>J of regular wage CHAPTER III HOLIDAYS; SERVICE INCENTIVE LEAVES AND SERVICE CHARGES ART B#. RIGHT TO HOLIDAY PAY HOLIDAY PAY - A dayAs pay given by law to an employee even if he does not work on a regular holiday. It is limited to the ten *&>, regular holidays listed by law. - employee should not have been absent without pay on the working day preceding the regular holiday A(%. B#(.) refers to regular holidays, special holidays are taken care of under Art. '1. PREMIM PAY - Additional compensation for work performed on a scheduled rest day or holiday. REGLAR HOLIDAYS! &. %ew EearAs ;ay -Ianuary & /. +aundy "hursday -+ovable date 1. @ood Driday- +ovable date ). Araw ng Cagitingan -April ' 5. $abor ;ay -+ay & 9. Independence ;ay -Iune &/ (. %ational 8eroes ;ayP-$ast 4unday of August ?. 0onifacio ;ay-%ovember 1> '. Christmas ;ay-;ecember /5 &>. -i#al ;ay-;ecember 1> N,%'! C,50'n)*./' 1&'%&'( 1,(:'+ ,( -n1,(:'+. DOBLE HOLIDAY PAY 1. />>J of the basic wage pro'ided, he works on that day and was present or on leave with pay on the preceding workday. If on leave without pay, rate still applies if leave is authori#ed. 2. )>>J if he worked F as per ;.$2 +emo if there are / regular holidays in one day eg. April ' and @ood Driday. Pro'ided the employee worked on the day prior to the regular holiday or on leave with pay or on authori#ed absence. 1. If there are two succeeding holidays eg., +aundy "hursday and @ood Driday, the employee must be present the day before the scheduled regular holiday to be entitled to compensation to both otherwise, he must work on the first holiday to be entitled to holiday pay on the second regular holiday. REGLAR HOLIDAY SPECIAL HOLIDAY - compensable even - not compensable if if unworked subject to certain conditions unworked - limited to the &> enumerated by the $C - not e!clusive since law may provide for other special holidays - rate is twice the regular rate if worked - rate is &1>J if worked ART B8. RIGHT TO SERVICE INCENTIVE LEAVE SERVICE INCENTIVE LEAVE (SIL) - Dive *5, days leave with pay for every employee who has rendered at least one *&, year of service. BT DOES NOT APPLY TO THOSE WHO ARE= already enjoying the said benefitsB or enjoying vacation leave with pay for at least 5 days those employed in establishments regularly employing less than &> employees those employed in establishments e!empted from granting this benefit by the 4ecretary of $abor. ONE (1) YEAR OF SERVICE.- service within &/ months, whether continuous or broken, reckoned from the date the employee started working including authori#ed absences and paid regular holidays unless the number of working day in the establishment as a matter of practice or policy, or provided in the employment contract is less than &/ mos. - 4I$ is commutable i.e., 3,n2'(%i./' %, 3*)&- %&' 3*)& 'J-i2*/'n% is aimed primarily at encouraging workers to work continuously and with dedication to the company. ART B9. SERVICE CHARGES TO BE DISTRIBTED TWICE A MONTH AND AT THE RATE OF! &. ?5J for all covered employees to be eually distributed among them /. &5J for management *may answer for losses and breakages or distributed to management, - If collection of service charges is *.,/i)&'+, the share of covered employees shall be considered in%'6(*%'+ in %&'i( 1*6') on the basis of the average monthly share of each employee for the past &/ months immediately preceding the abolition. TITLE II WAGES CHAPTER I PRELIMINARY MATTERS ART B7. DEFINITION WAGE - the remuneration or earnings, however designated, capable of being e!pressed in terms of money, whether fi!ed or ascertained on a time, task, piece, or commission basis or other method or calculating the same, which is payable by an employer to an employee under a written or unwritten contract of employment for work done or to be done or for services rendered or to be rendered and includes the fair and reasonable value of board, lodging, or other facilities customarily furnished by the employer to the employee. FAIR DAYAS WAGE FOR A FAIR DAYAS LABOR - if there is no work performed by the employee, there can be no wage or pay unless the laborer was able, willing, and ready to work but was prevented by management or was illegally locked out, suspended or dismissed. WAGE SALARY - compensation for manual labor - denotes higher degree of employment - %ot subject to e!ecution - subject to e!ecution *@aa vs. CA, FACILITIES F shall include all articles or services for the benefit of the employee or his family but shall not include tools of the trade or articles or services primarily for the benefit of the employer or necessary to the conduct of the employerAs business. FACILITIES SPPLEMENTS - Are items of e!pense necessary for the laborerAs and his familyAs e!istence and subsistence - Constitute e!tra remuneration or special privileges or benefits given to or received by the laborers over and above their ordinary earnings wages - part of the wage - independent of the wage - deductible from the wage - not wage deductible ART. BE. APPLICATION OF TITLE
T&i) Ti%/' )&*// n,% *00/4 %, %&' $,//,1in6! &. household or domestic helpers /. homeworkers engaged in needle-work 1. workers employed in any establishment duly registered with the %ational Cottage Industry ). 6orkers in any duly registered cooperatives CHAPTER II MINIMM WAGE RATES ART 1II. PROHIBITION AGAINST ELIMINATION OR DIMNITION OF BENEFITS LEGAL REFATS. BEFORE FACILITIES CAN BE DEDCTED FROM THE EMPLOYEESA WAGES! &. 3roof that such facilities are customarily furnished by the trade B /. <oluntarily Accepted in writing by the employee 1. Charged at Dair : -easonable <alue THE NON-DIMINTION RLE -the benefits being given to employees cannot be taken back or reduced unilaterally by the employer because the benefit has become part of the employment contract, written or unwritten. T&' (-/' i) *00/i3*./' i$ i% i) )&,1n %&*% %&' 6(*n% ,$ %&' .'n'$i% i)! &. based on an e!press policy, or /. has ripened into practice over a long period of time, and the practice is consistent and deliberate. 1. It is not due to an error in the construction Gapplication of a doubtful or difficult uestion of law. - 0ut even in cases of error, it should be shown that the correction is being done soon after the discovery of the error. BONS - A supplement or employment benefit given under certain conditions, such as success of the business or greater production or output. As a rule, it is an amount granted voluntarily to an employee for his industry and loyalty which contributed to the success and reali#ation of profits of the employerAs business. "herefore, from a legal point of view, it is not a demandable and enforceable obligation. ,nless, it was promised to be given without any conditions imposed for its payment, as such, it is deemed part of the wage. 1" TH MONTH PAY (OR KITS EFIVALENTL) -additional income based on wage reuired by 3.;. ?5& which is euivalent to &G&/ of the total basic salary earned by an employee within a calendar year. - may be given anytime but not later than ;ec. /) COVERAGE! - All rank-and-file employees regardless of their designation or employment status and irrespective of the method by which their wages are paid, are entitled to this benefit, pro'ided, that they have 1,(:'+ $,( *% /'*)% ,n' (1) 5,n%& +-(in6 %&' 3*/'n+*( 4'*(. FORMS! &. Christmas bonus /. midyear bonus 1. profit sharing paymentsB and ). other cash bonuses amounting to not less than &G&/ of its basic salary. - ;ifference of opinion on how to compute the &1 th month pay does not justify a strike - It must always be in the form of /'6*/ %'n+'( . Dree rice, electricity cash and stock dividends, C.$A not euivalent ART 1I1. PAYMENT BY RESLTS CATEGORIES OF PIECE-RATE WORKERS! &. those who are paid piece rates as prescribed in 3iece -ate .rders by the ;.$2 /. "hose who are paid output rates which are prescribed by the employer and are not yet approved by the ;.$2 WORKERS PAID ON PIECE-RATE BASIS - shall refer to those who are paid a standard amount for every piece or unit of work produced that is more or less regularly replicated, without regard to the time spent in producing the same. BENEFITS PAYABLE TO PIECE-RATE WORKERS! &. Applicable statutory minimum daily rateB /. Eearly service incentive leave of five days with payB 1. %ight shift differential pay ). 8oliday pay 5. +eal and rest periods 9. ." pay *conditional, (. 3remium pay *conditional, 8. &1 th month pay '. other benefits granted by law, individual or collective bargaining agreement or company policy or practice. CHAPTER III PAYMENT OF WAGES ART 1I2. FORMS OF PAYMENT EMPLOYER CANNOT PAY HIS WORKERS BY MEANS OF! &. promissory notes /. vouchers 1. coupons ). tokens 5. tickets 9. chits (. or any object. GENERAL RLE! - payment by legal tender E=CEPTIONS! - checks or money orders may be paid if= &. the same is customary on the date of effectivity of the $CB /. necessary because of special circumstancesB or 1. as stipulated in the C0A ART 1I". TIME OF PAYMENT WHEN TO PAY! - at least once every two */, weeks or twice a month at intervals not e!ceeding si!teen *&9, days - $,(3' 5*H'-(' or ,%&'( 3i(3-5)%*n3') .'4,n+ %&' '50/,4'(A) 3,n%(,/, payment must be made immediately after such occurrence have ceased. ART.1I#. PLACE OF PAYMENT WHERE TO PAY! - 4hall be made at or near the place of undertaking, E=CEPTIONS! &. 6hen payment cannot be effected at or near the place of work by reason of deterioration of peace and security /. 6hen the employer provides for free transportation to the employees back and forthB 1. And under analogous circumstances - payment of wages in bars, night or day clubs, massage clinics or similar establishments are prohibited e!cept for the workers therein. PAYMENT THR BANKS! REFISITES ! &. "here must be written permission of the majority of the employees concerned in an establishmentB /. "he establishment must have /5 or more employeesB and 1. "he bank must be located within one kilometer radius to the bank from the location of the establishment - payment through the A"+ is allowed ART 1I8. DIRECT PAYMENT OF WAGES TO WHOM PAID - wages shall be paid directly to the workers to whom they are due. E=CEPTIONS! a. in case of force majeureGspecial circumstances, payment may be made through another person under written authority where the worker has died, the b. employer may pay the wages of the deceased worker to the heirs of the latter, through the 4ecretary of $abor or his representative, without the necessity of intestate proceedings, after the heirs have e!ecuted an affidavit attesting to their relationship to the deceased and the fact that they are his heirs to the e!clusion of all others ART 1I9. CONTRACTOR OR SBCONTRACTOR LABOR ONLY CONTRACTING - where the person supplying workers to an employer does not have )-.)%*n%i*/ 3*0i%*/ ,( in2')%5'n% in the form of tools, euipment, machineries, work premises, among others, and the workers recruited and placed by such persons are performing activities which are directly related to the principal business of such employer. INDEPENDENT CONTRACTOR - one who e!ercises independent employment and contracts to do a piece of work according to his own methods and without being subject to control of his employer e!cept as to the result thereof. - A 5'(' )%*%'5'n% in * 3,n%(*3% with a company that laborers who are paid according to the amount and uality of work are independent contractors +,') n,% 3&*n6' %&'i( )%*%-) *) 5'(' '50/,4'') in 3,n%'50/*%i,n ,$ /*.,( /*1). REFISITES FOR A CONTRACTING OR SBCONTRACTING TO BE ! &. where the contractor or subcontractor carries on a distinct and independent business and undertakes to perform the job on his own account and under his own responsibility, according to its own manner and method and free from the control and direction of the principal in all matters connected with the performance of the work e!cept as to the results thereofB /. the contractor or subcontractor has substantial capital or investmentB and 1. the agreement between the principal and contractor or subcontractor assures the contractual employees entitlement to all labor and occupational safety and health standards, free e!ercise of the right to self- organi#ation, security of tenure and social and welfare benefits. - S-.)%*n%i*/ 3*0i%*/ n''+ n,% .' 3,-0/'+ 1i%& in2')%5'n% in %,,/) ,( 'J-i05'n%. "his is clear from the use of the conjunction K,(L. ?OB C O NT R A CT IN G LABOR ONLY CONTRACTING &. %o 2- 2 relationship e!ist between employer and the contractorAs employee e!cept when the contractor or subcontractor fails to pay the wages of his employees &. 2mployer is treated as direct employer of the person recruited in all instances /. liability is limited to unpaid wages and other labor standards violations /. liable to all rights duties and liabilities under labor standards laws including the right to self- organi#ation 1. 3ermissible 1. 3rohibited by law ). Contractor has substantial capital or investment ). Contractor has no substantial capitalG investment WORKING CONDITIONS - -efers to the terms and circumstances affecting the employment of an employee, including policies, programs and regulations governing his employment status, work, and work relationships. "hey are, as a rule, determined by the employer. ART. 11I. WORKER PREFERENCE IN CASE OF BANKRPTCY - "his Article did not sweep away the overriding preference accorded under the scheme of the Civil Code to ta! claims of the government. - just a preference, must yield to special preferred credit, e.g. secured creditors - "he $,(5*/ +'3/*(*%i,n ,$ in),/2'n34 ,( .*n:(-0%34 ,( * H-+i3i*/ /iJ-i+*%i,n ,$ %&' '50/,4'(A) .-)in')) is a condition sine ua non to the operation of the preference accorded to workers under Art. &&>. CHAPTER IV PROHIBITIONS REGARDING WAGES ART 112. NON-INTERFERENCE IN DISPOSAL OF WAGES In ('/*%i,n %, %&' Ci2i/ C,+'! A(%. 17I8. "he laborerAs wages shall be paid in legal currency. A(%. 17I9. 6ithholding of the wages e!cept for a debt due, shall not be made by the employer A(%. 17I7. "he laborerAs wages shall be a lien on the goods manufactured or the work done. A(%. 17IE. "he laborerAs wages shall not be subject to e!ecution or attachment e!cept for debts incurred for food, shelter, clothing, and medical attendance. A(%. 17IB. "he employer shall neither sei#e nor retain any tool or other articles belonging to the laborer. PROHIBITIONS REGARDING WAGES! &. 3ayment of wages with less freuency than once *&, a month. /. $imitationsGInterference by the employer with the employees freedom to dispose of his wages. 1. Dorcing, CompellingG.bliging employees to purchase merchandise , commodities or other properties from the employer or from any other person, or to make use of any store or service of such employer or any other person ). 6ithholding of wages 5. ;eduction of wages as consideration of a promise of employment or retention in employment 9. -efusal to payG -eduction of wages and benefits, dischargeG discrimination against any employee as retaliatory measures against any employee who has filed any complaint or instituted any proceedings against his employer ART 11". WAGE DEDCTION ALLOWABLE DEDCTIONS! WITH EMPLOYEES CONSENT! &. 444 3ayments /. +2;ICA-2 1. Contributions to 3A@-I0I@ Dunds ). value of meals and others 5. payments to third persons with employees consent 9. deduction of absences W<OT EMPLOYEES CONSENT! &. 6orkerAs insurance acuired by the employer /. 7nion ;ues, where the right to check-off has been recogni#ed by the employer 1. Cases where the employer is authori#ed by law or regulations issued by the 4ecretary of $abor ). debts of the employee to the employer which have become due and demandable ART 11#. DEPOSITS FOR LOSS OR DAMAGE
- D'0,)i%) $,( L,)) ,( D*5*6' to tools, materials and euipment supplied by the employer )&*// n,% .' 5*+', E=CEPT when the trade, occupation or businesses of the employer recogni#es, or considers the 0(*3%i3' of making deductions or reuiring deposits necessary or desirable. REFISITES FOR DEDCTION FOR LOSS OR DAMAGE ! &. employee clearly shown responsible /. opportunity to show cause to show why deduction should not be made 1. deduction is fair and reasonable and shall not e!ceed the actual loss or damage ). does not e!ceed />J of the employees wages in a week. CHAPTER V WAGE STDIES; WAGE AGREEMENTS AND WAGE DETERMINATION ART 122. CREATION OF THE REGIONAL TRIPARTITE WAGES AND PRODCTIVITY BOARDS WHO MAY SET MINIMM WAGE! &. -egional "ripartite 6ages and 3roductivity 0oard /. Congress MINIMM WAGE - "he lowest wage rate fi!ed by law that an employer can pay his employees. ART. 12" WAGE ORDER WAGE ORDER F an order issued by the -egional 0oard whenever the conditions in the region so warrant after investigating and studying all pertinent facts and based on the standards and criteria prescribed by the $C, the -egional 0oard proceeds to determine whether to issue the same or not. EFFECTIVITY ,$ * 1*6' O(+'( F it shall take effect after &5 days from the its complete publication in at least one newspaper of general circulation in the region. FREFENCY ,$ * 1*6' ,(+'( - 6age .rder issued by the 0oard may not be disturbed for a period of &/ months from its effectivity and no petition for wage increase shall be entertained during said period. E=CEPTION= 6hen Congress itself issues a law increasing wages. ART 12#. STANDARDS<CRITERIA FOR MINIMM WAGE FI=ING FACTORS FOR DETERMINING REGIONAL MINIMM WAGE RATES (DACNNIPFEE) &. ;emand for living wagesB /. 6age Adjustment vis-a vis the consumer price inde!B 1. Cost of living and changes or increases thereinB ). %eeds of workers and their familiesB 5. %eed to induce industries to invest in the countrysideB 9. Improvements in standards of livingB (. 3revailing wage levelsB ?. Dair -eturn of the capital invested and capacity to pay of employersB '. 2ffects on 2mployment @eneration and Damily IncomeB &>. 2uitable ;istribution of Income : 6ealth along the imperatives of economic and social development WAGE DISTORTION - situation where an increase in prescribed wage rates results in the elimination or severe contraction of intentional uantitative differences in wage or salary rates between and among employee groups in an establishment as to effectively obliterate the distinctions embodied in such wage structure based on skills, length of service or other logical bases of differentiation. CORRECTING WAGE DISTORTION ni,niG'+ E)%*./i)&5'n% &. %egotiate to correct the distortion. /. Any dispute arising therefrom should be resolved through grievance procedure under their C0A. 1. If the dispute remains unresolved, through voluntary arbitration. E)%*./i)&5'n%) 1i%&,-% ni,n) &. "he employers and workers shall endeavor to correct the distortion. /. Any dispute arising therefrom shall be settled through the %C+0 and 1. If it remains unresolved after &> days of conciliation, it shall be referred to the %$-C. - W*6' +i)%,(%i,n i) n,n- )%(i:'*./'. Is the employe le!"lly o#l$!e% to ty & 'oe't " ("!e %$stot$o)* I% *00'*() ),. A(%i3/' 12# ,$ %&' C,+' provides that N the employer and the union shall negotiate to correct the distortions.H If there is no union, N the employer and the workers shall endeavor to correct such distortions. M+st the pe,$o+s p"y !"ps #e estoe%* 6hile that is the aim, it need not necessarily be restored to the last peso. An *00('3i*./' +i$$'('n%i*/, a significant pay gap should suffice as correction of the distortion. CHAPTER VII ADMINISTRATION AND ENFORCEMENT ART. 12E. VISITORIAL AND ENFORCEMENT POWER ART. 12B. RECOVERY OF WAGES; SIMPLE MONEY CLAIMS AND OTHER BENEFITS - n+'( A(%. 12B , the -egional ;irector is empowered through summary proceeding and after due notice, to hear and decide cases involving recovery of wages and other monetary claims and benefits, including legal interests. REFISITES ! &. "he claim is presented by an employee or person employed in domestic or household service or househelperB /. "he claim arises from employer-employee relationsB 1. "he claimant does not seek reinstatementB and ). "he aggregate money claim of each employee or househelper does not e!ceed 35, >>>.>> - A33')) %, '50/,4'(A) ('3,(+) *n+ 0('5i)') the dayGnight whenever work is being undertaken therein includes the right to copy therefrom, to uestion any employee : investigate any fact, condition or matter which may be necessary to determine violations or which may aid in the enforcement of the Code and of any labor law, wage order, or rules and regulations - I))-' C,50/i*n3' O(+'() (ART. 12E) based on the findings of labor employment and enforcement officers or industrial safety engineers made in the course of inspection - I))-' W(i%) ,$ E7'3-%i,n (ART. 12E) for the enforcement of orders e-'ept in cases where the employer contests the findings of the said labor officers and raises issues supported by documentary proofs which were not considered in the course of inspection. - O(+'( W,(: S%,00*6'<S-)0'n)i,n ,$ O0'(*%i,n) when non-compliance with the law or implementing rules and regulations poses grave : imminent danger to the health and safety of the workers in the workplace. - C,n+-3% H'*(in6) 1i%&in 2# &,-() to determine whether an order for stoppage of workGsuspension of operations shall be lifted or not. employer shall pay the employees concerned their salaries in case the violation is attributable to his fault - R'J-i(' '50/,4'() %, :''0 *n+ 5*in%*in E50/,45'n% R'3,(+) - as may be necessary in aid of his visitorial and enforcement powers ART 12E ART 12B &. <isitorial and enforcement power of the 4ecretary of $abor Ghis duly authori#ed representatives e!ercised through routine inspections of establishments &. 3ower of the -egional ;irector or any duly authori#ed hearing officers to hear and decide matters involving the recovery of wages, upon complaint of any interested party /. reuires the e!istence of 2-2 -elationship /. 2-2 relationship not necessary since it should not include a claim for reinstatement 1. %o limit as to amount of claim 1. Aggregate claim of each complainant does not e!ceed 35,>>> ). Appeal is with 4ec.of $abor B period of appeal is &> calendar days ). Appeal with %$-CB period of appeal is 5 calendar days 5. 3erson e!ercising the power is the 4ec. .f $abor or any of his duly authori#ed representatives who may or may not be a regional director 5. "he power is vested upon a regional director or any duly authori#ed hearing officer of the ;.$2. TITLE III WORKING CONDITIONS FOR SPECIAL GROP OF EMPLOYEES CHAPTER I EMPLOYMENT OF WOMEN ART 1"I. NIGHTWORK PROHIBITION - N, 1,5*n , regardless of age, shall be employed or permitted or suffered to work, with or without compensation in any = &. Industrial undertaking between &>3+-9A+ /. CommercialG%on-Industrial undertaking between &/ +%-9A+ 3. Agricultural undertaking at nighttime unless, she is given a period of rest of not less than ' consecutive hours ART 1"1. E=CEPTIONS &. ActualGImpending 2mergencies caused by serious accident, flood, typhoon, 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 /. 7rgent work to be performed on machineries, euipment or installation, to avoid serious loss 1. 6ork is necessary to prevent serious loss of perishable goods ). 6here she holds a responsible position of managerialGtechnical natureGengaged to provide health and welfare service 5. %ature of the work reuires the manual skill and de!terity of women workers : cannot be performed with eual efficiency by male workers 9. 6here women workers are immediate family members of the family operating the establishment or undertaking (. Analogous cases ART 1"2. FACILITIES FOR WOMEN "he 4ecretary of $abor may reuire employers to= &. 3rovide seats proper for women and permit them to use the seats when they are free from work or during office hours provided the uality of the work will not be compromisedB /. "o establish separate toilet rooms and lavatories for men and women and provide at least a dressing room for womenB 1. "o establish a nursery in the establishmentB ). "o determine appropriate minimum age and other standards for retirement or termination in special occupations such as those of flight attendants and the like ART. 1"" MATERNITY LEAVE BENEFITS MATERNITY LEAVE NDER THE SSS LAW A female member, who need not be legally married, who has paid for *% /'*)% %&('' (") 5,n%&/4 3,n%(i.-%i,n) in the &/-month period immediately preceding the semester of her childbirth or miscarriage shall be paid a daily maternity benefit euivalent to &>>J of her average daily salary credit for 9> days or (? days, in case of caesarian delivery. REFISITES ! &. 2mployee notified her employer of her pregnancy of the probable date of her childbirth /. Dull payment be advanced by the employer within 1> days from the filing of the maternity leave application 1. "hat payment of daily maternity benefits shall be a bar to the recovery of sickness benefits ). "hat the maternity benefits shall be paid only for the first four *), deliveries or miscarriages 5. "hat the 444 shall immediately reimburse the employer of &>>J of the amount of maternity benefits advanced to the employee by the employer 9. "hat if an employee member should give birth or suffer a miscarriage without the reuired contributions having been remitted for her by her employer to the 444, or without the latter having been previously notified by the employer of the time of the pregnancy, the employer shall pay to the 444 damages euivalent to the benefits which said employee member would otherwise have been entitled to. - ART 1"" (.) )-.)i)%) , i.e., the maternity leave shall be e!tended without pay on account of illness medically certified to arise out of the pregnancy, delivery, abortion, or miscarriage, which renders the woman unfit for work , unless she has earned unused leave credits from which such e!tended leave may be charged. LIMIT OF THE BENEFIT! Applies only for the first four deliveries irrespective of who is the father of the children, and may not be availed of in addition to sickness benefit under the 4ocial 4ecurity program. RA E1E7 (PATERNITY LEAVE) - "his law grants paternity leave of )'2'n +*4 1i%& $-// 0*4 to all married male employees in the private and public sectors. - It is available only for the $i()% $,-( +'/i2'(i') ,$ %&' /'6i%i5*%' )0,-)' with whom the husband is cohabiting. DELIVERY F includes childbirth, miscarriage, or abortion. P-(0,)'= to enable the husband to lend support to his wife during the period of recovery andGor in the nursing of the newly born child. CONDITIONS ! &. he is an employee at he time of the delivery of his childB /. he is cohabiting with his spouse at the time she gives birth or suffers a miscarriageB 1. he has applied for paternity leave B and ). his wife has given birth or suffered a miscarriage - 3aternity leave, if not availed of, is n,% 3,n2'(%i./' %, 3*)&. WIFE - refers to the lawful wife which means the woman who is legally married to the male employee concerned. - 6here the male employee is already enjoying the paternity leave by reason of any law, decree, e!ecutive orders or any contract, agreement or policy between employer and employee and the e!isting paternity benefit is greater, %&' 6('*%'( .'n'$i% )&*// 0('2*i/D i$ /'))'(; %&' '7i)%in6 .'n'$i% )&*// .' *+H-)%'+ %, %&' '7%'n% ,$ %&' +i$$'('n3'. ART 1"8. 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 se!. A3%) ,$ Di)3(i5in*%i,n! a. 3ayment of a lesser compensation for work of eual value. b. Davoring a male employee over a female employee solely on the account of their se!es. S'7-*/ H*(*))5'n% in * W,(:-R'/*%'+ ,( E50/,45'n% En2i(,n5'n% ! &. the se!ual favor is made as a condition in the hiring or in the employment, re-employment or continued employment of said individual or in granting said individual favorable compensation, terms, conditions, promotions, or privilegesB or the refusal to grant the se!ual favor results in limiting, segregating or classifying the employee which in anyway would discriminate, deprive or diminish employment opportunities or otherwise adversely affect said employee /. the above acts would impair the employeeAs rights or privileges under e!isting labor laws or 1. "he above acts would result in an intimidating, hostile, or offensive environment *4ec. 1QaR, -A %o. (?((, ART 1"9. STIPLATION AGAINST MARRIAGE - it shall be unlawful for an employer to reuire as a condition for employment or continuation of employment that a woman employee shall not get married, or to stipulate e!pressly or tacitly that upon getting married a woman employee shall be deemed resigned or separated, or to actually dismiss, discharge, discriminate or otherwise prejudice a woman employee merely by reason of her marriage. ART 1"E. CLASSIFICATION OF CERTAIN WOMEN WORKERS - Any woman who is permitted to work or suffered to work, with or without compensation, in any night club, cocktail lounge, massage clinic, bar or similar establishment, under the effective control or supervision of the employer for a substantial period of time as determined by the 4ecretary of $abor, shall be considered as an employee of such establishment for purposes of labor and social legislation. CHAPTER II EMPLOYMENT OF MINORS ART 1"B. MINIMM EMPLOYABLE AGE - Any person between ages &5 and &? may be employed in any non ha#ardous work. E73'0%i,n *n+ 3,n+i%i,n ,n %&' '50/,45'n% ,$ * 3&i/+ .'/,1 18! &. 6hen the child works directly under the sole responsibility of hisGher parents or legal guardian who employs members of hisGher family only under the following conditions= a. employment does not endanger the childAs life, safety, health and morals b. employment does not impair the childAs normal development c. the parentGlegal guardian provides the child with the primary andGor secondary education prescribed by ;2C4 /. 6here the childAs employment or participation in public entertainment or information through cinema, theater, radio, or television is essential, provided that= a. employment does not involve advertisements or commercials promoting alcoholic beverages, into!icating drinks, tobacco and its by- products or e!hibiting violenceB b. "here is a written contract approved by the ;.$2B and c. "he conditions prescribed for the employment of minors Sabove statedT are met.
NONHA>ARDOS WORK OR NDERTAKING F one where the employee is not e!posed to any risk which constitutes an imminent danger to his safety and health. HA>ARDOS WORKPLACES! &. 6here the nature of the work e!poses the workers to dangerous environmental elements, contaminants or work conditionsB /. 6here the workers are engaged in construction work, logging, fire-fighting, mining, uarrying, blasting, stevedoring, dock work, deep-sea fishing, and mechani#ed farmingB 1. 6here the workers are engaged in the manufacture or handling of e!plosives and other pyrotechnic productsB ). 6here the workers use or are e!posed to heavy or power-driven machinery or euipmentB and 5. 6here the workers use or are e!posed to power-driven tools, CHAPTER III EMPLOYMENT OF HOSEHELPERS RIGHTS OF HOSEHELPERS! &. minimum cash wage /. non-assignment to non- household work 1. opportunity for education= if under &? *cause of education part of compensation, ). boardG lodging, medical attendance 5. just and humane treatment 9. indemnity for unjust termination of services (. just causes for termination ?. right not to be reuired to work more than &> hours a day '. for days vacation each month &>. to regular wages if employed in industrial or commercial or agricultural undertaking &&. funeral e!penses must be paid by employer if the househelper has no relatives with sufficient means in the place where the head of the family lives. &/. at least elementary education &1. employment certification CHAPTER IV EMPLOYMENT OF HOMEWORKERS INDSTRIAL HOMEWORK - a system of production under which work for an employer or contractor is carried out by a homeworker at his home. INDSTRIAL HOMEWORKER - a worker who is engaged in industrial homework BOOK FOR HEALTH; SAFETY AND SOCIAL WELFARE BENEFITS TITLE I MEDICAL; DENTAL AND OCCPATIONAL SAFETY CHAPTER I MEDICAL AND DENTAL SERVICES ART 189. FIRST-AID TREATMENT FIRST-AID TREATMENT F adeuate, immediate, and necessary medical and dental attention or remedy given in case of injury or illness suffered by a worker during employment, irrespective of whether or not such injury or illness is work-connected, before a more e!tensive medical andGor dental treatment can be secured. FIRST AIDER F any person trained and duly certified as ualified to administer first aid by the 3hil. %ational -ed Cross or by any other organi#ation accredited by the former. TITLE II EMPLOYEESA COMPENSATION AND STATE INSRANCE FND WORKMENAS COMPENSATON- A general and comprehensive term applied to those laws providing for compensation for loss resulting from the injury, disablement or death of a workman through industrial accident, casualty or disease. COMPENSATION - +oney relief afforded according to the scale established under the statute as differentiated from compensatory damages recoverable in an action at law for breach of contract or for tort. 6.-C+2%A4 C.+32%4A"I.% AC" 2+3$.E224 C.+32%4A"I.% $A6 &. "here is a presumption of compensability &. no presumption of compensability /. there is a presumption of aggravation /. no presumption of aggravation 1. there is a need for the employer to controvert the claim within &) days otherwise he is deemed to have waived the right 1. no need for the employer to controvert ). payment of compensation made by the employer ). payment of compensation made by 444G@4I4 through the 4tate Insurance Dund ART 19#. DEFINITION OF TERMS. IN?RY - Any harmful change in the human organism from any accident arising out of and in the course of employment. GRONDS FOR AN IN?RY TO BE COMPENSABLE &. the employee must have been injured at the place where the work reuires him to be /. the employee must have been performing his official functions 1. if the injury is sustained elsewhere, the employee must have been e!ecuting an order for the employer ). the injury was not due to the employeeAs into!ication, willful intention to injure or kill himself or another, notorious negligence or otherwise prohibited under this "itle. SICKNESS - Any illness definitely accepted as an occupational disease listed by the Commission ,( any illness caused by employment subject to proof that the risk of contracting the same is increased by working conditions. C,n+i%i,n) $,( *n ,33-0*%i,n*/ +i)'*)' *n+ %&' (')-/%in6 +i)*.i/i%4 ,( +'*%& %, .' 3,50'n)*./' ! &. "he employeeAs work must involve the risk described therein /. "he disease was contracted as a result of the employeeAs e!posure to the described risksB 1. "he disease was contracted within a period of e!posure and under such other factors necessary to contract itB ). "here was no notorious negligence on the part of the employee DEATH - $oss of life resulting from injury or sickness DISABILITY -$oss or impairment of a physical or mental function resulting from injury or sickness. DIRECT PREMISES RLE @ as a general rule, the accident should have occurred at the place of work to be compensable
E=CEPTIONS TO THE DIRECT PREMISES RLE 1. INGRESS- EGRESS< PRO=IMITY RLE- when the employer is about to leave or about to enter the premises of the employer by way of the customary or e!clusive means of ingress or egress. 2. GOING TO OR COMING FROM WORK- when the injury occurred when the employee is proceeding to or from his work on the premises of the employer must be * 3,n%in-in6 *3% and has not diverted therefrom by any other activity and he has not departed from his usual route to or from his workplace and if the employee is on a special errand, it must have been official and in connection with his work. 1. E=TRA-PREMISES RLE F *or the shuttle bus rule, where the company provides the means of transportation in going to or coming from the place of work is liable to the injury sustained by the employees while on board said means of transportation. ). SPECIAL ERRAND RLE F injury sustained outside the company premises is compensable if his being out is covered by an office order or a locator slip or a pass for official business. 5. DAL PRPOSE DOCTRINE F allows compensation where a special trip would have to be made for the employer if the employee had not combined the service for the employer with his own going or coming trip. 9. SPECIAL ENGAGEMENT RLE F covers field trips, outings, intramurals and picnics when initiated or sanctioned by the employer (. POSITIONAL AND LOCAL RISKS DOCTRINE F If an employee by reason of his duties is e!posed to a special or peculiar danger from the elements, that is, one greater than that to which other persons in the community are e!posed and an une!pected injury occurs, the injury is compensable ?. FORCE MA?ERE OR AN ACT OF GOD - when one in the course of his employment is reasonably reuired to be at a particular place at a particular time and there meets an accident although one which any other person then and there present would have met irrespective of his employment. CHAPTER II COVERAGE AND LIABILITY ART 19E. COMPLSORY COVERAGE - 2C$ applies to all employers, public or private, and to all employees, public or private including casual, emergency, temporary, or substitute employees. - 2very employee is covered who is not over 9> years over 9> years of age or over 9> years of age if he had been paying contributions prior to the age of 9> ART 17I. EFFECTIVE DATE OF COVERAGE - "he employer is covered compulsorily from first day of operation and the employee from the first day of employment ART 172. LIMITATIONS OF LIABILITY - NO COMPENSATION can be obtained if the injury, death or disability is * (')-/% ,$ %&' '50/,4''A)= &. Into!icationB /. 6illful intention to injure or kill himself or anotherB 1. %otorious negligenceB or ). 7nless otherwise provided by the $C NOTORIOS NEGLIGENCE Fdeliberate act of the employee to disregard his own personal safety. Is %e"th tho+!h s+$'$%e 'ompe)s"#le * As a rule %.. 8owever as held in NAESS 2). NLRC, the supreme court ruled that a self inflicted death could be compensable if = &. by agreement of the parties /. "he suicideGdeath is caused by a work related or compensable illness or disease. ART 17". E=TENT OF LIABILITY - Si5-/%*n',-) ('3,2'(4 under the $abor Code and the Civil Code 3*nn,% .' 5*+'. "he action is selective and the employee may either choose to $i/' %&' 3/*i5 -n+'( 'i%&'(. 0ut once the election is made, the claimant cannot opt for the other remedy. - 4imultaneous recovery -n+'( %&' LC *n+ %&' SSS 3*n .' 5*+' as per an *+2i),(4 ,0ini,n +*%'+ M*4 2"; 1BEB ,$ S'3. D(i/,n )in3' PD 1B21 &*) /i$%'+ %&' .*n ,n )i5-/%*n',-) ('3,2'(4. STATE INSRANCE FND= all covered employers are reuired to remit to a common fund a monthly contribution euivalent to one percent of the monthly salary credit of every covered employee. "he employee pays no contribution to the fund. Any agreement to the contrary is prohibited. CHAPTER VI DISABILITY BENEFITS DISABILITY CATEGORIES! TEMPORARY TOTAL - if as a result of the injury or sickness, the employee is unable to perform any gainful occupation for a continuous period not e!ceeding &/> days PERMANENT TOTAL - if as a result of the injury or sickness, the employee is unable to perform any gainful occupation for a continuous period e!ceeding &/> days PERMANENT PARTIAL - if as a result of the injury or sickness, the employee suffers a permanent partial loss of the use of any part of his body. DEATH BENEFITS - "he 4ystem shall pay to the primary beneficiaries upon the death of the covered employee an amount eual to his monthly income benefit, plus ten percent thereof for each dependent child, but not e!ceeding five, beginning with the youngest and without substitution. "he income benefit shall be guaranteed for five years. DEPENDENTS! &. the legitimate, legitimated, legally adopted or acknowledged natural child who is unmarried, not gainfully employed and not over /& years of age or over /& years of age provided that he is incapable of self- support due to a physical or mental defect which is congenital or acuired during minority /. legitimate spouse living with the employee 1. the parents of said employee wholly dependent upon him for regular support BENEFITS &. for life to the primary beneficiaries, guaranteed for five years /. for not more than 9> months to the secondary beneficiaries in case there are no primary beneficiaries 1. in no case shall the total benefit be less that 3 &5, >>>.>> THE BENEFICIARIES ARE= PRIMARY BENEFICIARIES a. ;ependent spouse until he remarries b. dependent children * legitimate, legitimated, natural born or legally adopted, SECONDARY BENEFICIARIES a. Illegitimate children and legitimate descendants b. parents, grandparents, grandchildren BOOK FIVE LABOR RELATIONS TITLE I POLICY AND DEFINITIONS ART 211. DECLARATION OF POLICY LABOR RELATIONS LAW - Concerned with the stabili#ation of relations of employer and employees and seeks to forestall and adjust grievances through - the encouragement of collective bargaining and the settlement of labor disputes through conciliation, mediation and arbitration. - Absent an employer-employee relation, there is no labor relations to speak of. PARTIES TO LABOR RELATIONS CASES! &. "he employeeAs organi#ation, /. management, and 1. the public - "he public is always to be considered in disputes between labor and capital, and it ahas been held that the (i6&%) ,$ %&' 6'n'(*/ 0-./i3 *(' 0*(*5,-n%. - L*.,( ('/*%i,n) 0,/i34 -n+'( %&' LC i) '5.,+i'+ in S'3%i,n " A(%i3/' =III ,$ %&' 1BE7 Constitution which guarantees to all workers their right among others to self- organi#ation, collective bargaining and negotiations, peaceful land concerted activities including the right to strike in accordance with law, and to participate in policy and decision making processes affecting their rights and benefits as may be provided by law. ART. 212. DEFINITIONS LABOR DISPTE INCLDES! &. any controversy or matter concerning terms or conditions of employment or /. the association or representation of persons in negotiating, fi!ing, maintaining, charging or arranging the terms and conditions of employment, regardless of whether the disputants stand in the pro!imate relation of employer and employee. EMPLOYEE- shall not be limited to the employees of a particular employer. - i% )&*// in3/-+' *n4 in+i2i+-*/ 1&,)' 1,(: &*) 3'*)'+! *) * (')-/% ,$ ,( in 3,nn'3%i,n 1i%& *n4 3-(('n% /*.,( +i)0-%'D ,( .'3*-)' ,$ -n$*i( /*.,( 0(*3%i3' - I$ &' &*) n,% ,.%*in'+ *n4 ,%&'(! 1. 4ubstantially euivalent *n+ /. 3ermanent employment