SYLLABUS

LABOR RELATIONS
Fundamental Principles and Policies
A. Constitutional provisions
1. Article II, Secs. 9, 10, 11, 13, 14, 18, 20.
2. Article III, Secs. 1, 4, 8.
3. Art. XIII, Secs. 1, 2, 3, 14.
B. Civil Code
1. Article 1700 and 17001
Article 1700, New Civil Code. The relations between capital and labor
are not merely contractual. They are so impressed with public interest
that labor contacts must yield to the common good. Therefore, such
contracts are subject to the special laws on labor unions, collective
bargaining, strikes and lockouts, closed shops, wages, working
conditions, hours of labor and similar subjects.
Art. 1701 Neither capital nor labor shall act oppressively against the
other, or impair the interest or convenience of the public.
The anti-social and oppressive abuse of its right to investigate and
dismiss its employees constitute a violation of Article 1701 of the New
Civil Code which prohibits acts of oppression by either capital or labor
against the other, and Article 21 on human relations. The grant of
moral damages to the employees by reason of such conduct on the
part of the company is sanctioned by Article 2219, No. 10 of the Civil
Code, which allows recovery of such damages in actions referred to in
Article 21. 42
Labor Code
1. Article 3
2. Article 211
3. Article 212
4. Article 255

1.

Art. II, Secs. 9, 10 and 18;

2.

Art. III, Sec 8;

3.

Art. IX B, Sec. 2;1

4.

Art. XII, Sec. 12;2 and

5.

Art. XIII, Secs. 3 and 14.3

For Civil Service Employees

SECTION 12. The State shall promote the preferential use of Filipino labor, domestic materials and locally
produced goods, and adopt measures that help make them competitive.
3
SECTION 3. The State shall afford full protection to labor, local and overseas, organized and unorganized, and
promote full employment and equality of employment opportunities for all.
It shall guarantee the rights of all workers to self-organization, collective bargaining and negotiations, and peaceful
concerted activities, including the right to strike in accordance with law. They shall be entitled to security of tenure,
humane conditions of work, and a living wage. They shall also participate in policy and decision-making processes
2

ART II
SECTION 9.
The State shall promote a just and dynamic social
order that will ensure the prosperity and independence of the nation
and free the people from poverty through policies that provide
adequate social services, promote full employment, a rising standard
of living, and an improved quality of life for all.
SECTION 10.
The State shall promote social justice in all phases of
national development.
SECTION 18.
The State affirms labor as a primary social economic
force. It shall protect the rights of workers and promote their welfare.
ARTICLE III
SECTION 8.
The right of the people, including those employed in
the public and private sectors, to form unions, associations, or
societies for purposes not contrary to law shall not be abridged.
For Civil Service Employees
SECTION 12.
The State shall promote the preferential use of Filipino
labor, domestic materials and locally produced goods, and adopt
measures that help make them competitive.
SECTION 3.
The State shall afford full protection to labor, local and
overseas, organized and unorganized, and promote full employment
and equality of employment opportunities for all.
It shall guarantee the rights of all workers to self-organization,
collective bargaining and negotiations, and peaceful concerted
activities, including the right to strike in accordance with law. They
shall be entitled to security of tenure, humane conditions of work, and
a living wage. They shall also participate in policy and decision-making
processes affecting their rights and benefits as may be provided by
law.
The State shall promote the principle of shared responsibility between
workers and employers and the preferential use of voluntary modes in
settling disputes, including conciliation, and shall enforce their mutual
compliance therewith to foster industrial peace.
The State shall regulate the relations between workers and employers,
recognizing the right of labor to its just share in the fruits of production
and the right of enterprises to reasonable returns on investments, and
to expansion and growth.
SECTION 14.
The State shall protect working women by providing
safe and healthful working conditions, taking into account their
maternal functions, and such facilities and opportunities that will
enhance their welfare and enable them to realize their full potential in
the service of the nation.
affecting their rights and benefits as may be provided by law.
The State shall promote the principle of shared responsibility between workers and employers and the preferential
use of voluntary modes in settling disputes, including conciliation, and shall enforce their mutual compliance
therewith to foster industrial peace.
The State shall regulate the relations between workers and employers, recognizing the right of labor to its just share
in the fruits of production and the right of enterprises to reasonable returns on investments, and to expansion and
growth.
SECTION 14. The State shall protect working women by providing safe and healthful working conditions, taking
into account their maternal functions, and such facilities and opportunities that will enhance their welfare and enable
them to realize their full potential in the service of the nation.

Termination of Employment
A. Employer-employee relationship
1. Four-fold test
2. Probationary employment
3. Kinds of employment
a) Regular employment
(i) Reasonable connection rule
b) Project employment
(i) Indicators of project employment
c) Seasonal employment
d) Casual employment
e) Fixed term employment
(i) Requisites for validity
4. Job contracting and labor-only contracting
a) When is there job contracting?
b) When is there labor-only contracting?
c) Conditions that must concur in legitimate job contracting
d) Effects of finding that there is labor-only contracting
B. Termination of employment
1. Substantive due process
a) Just causes
(i) Serious misconduct or willful disobedience
(a) Requisites
(ii) Gross and habitual neglect of duties
(a) Requisites
(iii) Fraud or willful breach of trust (loss of trust and confidence)
(a) Requisites
(iv) Abandonment of employment; elements that must concur
(v) Termination of employment pursuant to a union security
clause
(vi) Totality of infractions doctrine
b) Authorized causes
(i) Redundancy, retrenchment and closure
(a) Procedural steps required
(b) Requirements for valid retrenchment/redundancy
(c) Criteria in selecting employees for dismissal
(d) Standards to be followed
(ii) Disease or illness
(a) Requisites
2. Procedural due process
a) Procedure to be observed in termination cases
b) Guiding principles in connection with the hearing requirements in
dismissal cases
c) Agabon doctrine
3. Reliefs for illegal dismissal
a) Reinstatement aspect
(i) Immediately executory
(a) Actual reinstatement
(ii) Payroll reinstatement
b) Separation pay in lieu of reinstatement
(i) Strained relation rule
c) Back wages
(i) Components of the amount of back wages

d) Constructive dismissal
e) Preventive suspension
f) Quitclaims
g) Termination of employment by employee
h) Retirement Pay Law
Management Prerogative
A. Discipline
B. Transfer of employees
Labor Relations
A. Right to self-organization
1. Who may unionize for purposes of collective bargaining
a) Who cannot form, join or assist labor organizations
b) Executive Order No. 180
2. Bargaining unit
a) Test to determine the constituency of an appropriate bargaining
unit
b) Voluntary recognition
(i) Requirements
c) Certification election
(i) In an unorganized establishment
(ii) In an organized establishment
(iii) Rules prohibiting the filing of petition for certification
election
(iv) Requirements for validity of certification election
(v) Protests and other questions arising from conduct of
certification election
d) Run-off election
(i) Requirements
e) Re-run election
f) Consent election
g) Affiliation and disaffiliation of the local union from the mother
union
(i) Substitutionary doctrine
h) Union dues and special assessments
(i) Requirements for validity
i) Agency fees
(i) Requisites for assessment
B. Right to collective bargaining
1. Duty to bargain collectively
a) Kiok Loy ruling
2. Mandatory provisions of CBA
a) Grievance procedure
b) Voluntary arbitration
c) No strike-no lockout clause
d) Labor management council
3. Unfair Labor Practice in collective bargaining
a) Bargaining in bad faith
b) Refusal to bargain
c) Individual bargaining
d) Blue sky bargaining
e) Surface bargaining
4. Unfair Labor Practice (ULP)
a) ULP of employers
b) ULP of labor organizations

C. Right to peaceful concerted activities

1. Forms of concerted activities
2. Who may declare a strike or lockout?
3. Requisites for a valid strike
4. Requisites for a valid lockout
5. Requisites for lawful picketing
6. Assumption of jurisdiction by the Secretary of Labor or certification
of the
labor dispute to the NLRC for compulsory arbitration
7. Nature of assumption order or certification order
8. Effect of defiance of assumption or certification orders
9. Illegal strike
a) Liability of officers of the unions
b) Liability of ordinary workers
c) Waiver of illegality of strike
10. Injunctions
a) Requisites for labor injunctions
b) Innocent bystander rule
Procedure and Jurisdiction
A. Labor arbiter
1. Jurisdiction
2. Effect of self-executing order of reinstatement on back wages
3. Requirements to perfect appeal to NLRC
B. National labor relations commission (NLRC)
1. Jurisdictions
2. Effect of NLRC reversal of labor arbiters order of reinstatement
3. Requirements to perfect appeal to court of appeals
C. Bureau of Labor Relations med arbiters
1. Jurisdiction (original and appellate)
D. National Conciliation and Mediation Board
1. Conciliation vs. Mediation
2. Preventive mediation
E. DOLE regional directors
1. Small money claims
F. DOLE secretary
1. Visitorial and enforcement powers
2. Power to suspend effects of termination
G. Voluntary arbitrators
1. Submission agreement
2. Rule 43, Rules of Court
H. Court of Appeals
1. Rule 65, Rules of Court
I. Supreme Court
1. Rule 45, Rules of Court
J. Prescription of actions
1. Money claims
2. Illegal dismissal
3. Unfair labor practice
4. Offenses penalized by the Labor Code and Implementing Rules and
Regulations issued pursuant thereto

CASES:
Introduction:

Concept of employer-employee relationship and liability

Medical negligence cases (Doctor-Consultants)
Ramos v. C.A. Dec. 29, 1999
Prof. Services Inc. v Agana Jan. 31, 2007
Prof. Services Inc. v. Agana Feb. 2, 2010 (denial of 2nd M.R.)
Locsin v. PLDT Oct. 2, 2009- security guard (who is the
employer?)
Aquinas v. Inton Jan. 26, 2011
Cathechist conducted by nun of a religious order. Is the school
the employer or congregation?
Republic v. Asia Pro -- Nov. 23, 2007
employers?

Can Cooperative be

Art. 218 to 219

Halaguena v. PAL Oct. 2, 2009
Compulsory retirement of females; is it labor issue or not? Who
has jurisdiction? RTC or NLRC?
Art. 223
Opinaldo v. Ravina Oct. 16, 2013
M.R. filed late; when to count 60 days period to file petition for
certiorari
What was the reason for ruling?
Section 226
Montano v. Verceles
July 26, 2010 concurrent jurisdiction of BLR and Reg. Director
in inter and intra union disputes?
Art. 234 to 237
Electromat v. Lagunzad July 27, 2011
Validity of DEPT ORDER 40-03 issued by DOLE
Art. 243
Victoriano v Elizalde Rope Workers Union
Sept 12, 1974
Hierarchy of religious freedom
Art. 244
BSP v. COA June 7, 2011
Is BSP government or private?

Art. 248
BPI v BPI Employees Union Aug 18, 2010
Mergers effect on absorbed employees? Are they required to
join new union?
VA Art 261 to 262
Casiano Navarro III v. Damasco
July 14, 1995
Code of conduct violation- need to go thru grievance?
CASES ON STRIKES DOWNWARDS (p. 528 of Azucena book)
WILL BE ASSIGNED LATER.