LABOR II MIDTERM NOTES
concerning terms or conditions of employment or the
Art. 218 – Declaration of Policy
Labor relations commission – government body that
hears and decides labor disputes in general
Labor/Trade Union – combination of workmen
organized for the purpose of securing through united
action the most favorable conditions such as wages,
hours of labor, etc. for its members.
-a completely organized body of dues-paying
members operating through elected officers and
constituting a militant, vital and functioning organ.
*Every LABOR UNION is a LABOR ORGANIZATION; NOT
every LABOR ORGANIZATION is a LABOR UNION.
Basic Purpose of Labor Union:
Eliminate competition among employees in the labor
market.
Why Workers Organize:
-human drive toward self advancement
-desire for job security
-subordinate the absolute power of the boss
-sense of participations of employees in the business
enterprise.
Art. 219 – DEFINITIONS (some important ones)
Labor Organization – any union or association of
employees which exists in whole or in part for the
purpose of collective bargaining or of dealing with
employers concerning terms and conditions of
employment
Labor dispute – includes any controversy or matter
association or representation of persons in negotiating,
fixing, maintaining, changing, or arranging the terms
and conditions of employment, regardless of whether
the disputants stand in the proximate relation of
employer and employee.
Employee – includes
a. any employee, not limited to the employee of
any particular employer (unless the Act
explicitly states otherwise) and shall include
b. any individual whose work has ceased as a
consequence of or in connection with any
current labor dispute and
c. who has not obtained any substantially
equivalent and regular employment.
A labor organization can be deemed as an employer
when it is acting as such.
TEST OF LABOR DISPUTE:
Whether it involves or concerns terms and conditions of
employment or representation.
Kinds of Labor Dispute:
A. Labor Standards Disputes
1. Compensation (underpayment, minimum
wage, illegal deduction)
2. Benefits (nonpayment of holiday pay, OT
pay)
3. Working conditions (unrectified work
hazards)
B. Labor Relations Disputes
1. Organizational right dispute/ULP (ULP
strike/lockout)
2. Representation disputes (uncertainty of
which is the majority union)
3. Bargaining disputes (bargaining deadlock,
refusal to bargain)
 4. Contract admin/personnel policy disputes 8. Appeal
(noncompliance of CBA provision)
9. Review by court
5. Employment tenure disputes (illegal
termination, non-regularization)
ADR – mode of settling dispute through:
Parties to a Labor Dispute
Conciliation
A. Primary
-made by a third party other than the parties in dispute
a. Employer
where the 3rd party assist the disputed parties to end
b. Employee the dispute by perhaps condoning each other’s fault or
finding a give and take compromise
c. Union
Mediation
B. Secondary
-the mediator takes a more active role than a conciliator
a. Voluntary arbitrator
in searching for and formulating a solution.
b. Agencies of DOLE
Arbitration
c. NLRC
-decision is binding as a court verdict
d. Sec. of Labor

Art. 220 – NLRC

Remedies in Labor Disputes
1. Grievance procedure – in house adjustment of
complaint, problem/dispute following the steps
presented in CBA
2. Enforcement/compliance order – power of
Secretary of Labor to enforce labor laws,
policies, plans or programs or rules and
regulations, Art. 128
Composition of NLRC
Chairman and 23 members
-8 members to be chosen from nominees of the
workers and employers organizations
-Chairman and 7 members shall come from the
public sector preferably chosen among incumbent labor
arbiters

3. Certification of bargaining representative – -sit en banc or in 8 divisions with 3 members

determine which union shall represent
employees (med-arbiters of DOLE regional
office)
4. Assumption of jurisdiction – vested by law to
the Secretary of Labor or president to decide a
case which is likely to cause or causes a strike or
lockout in an industry indispensable to national
interest
When does the NLRC sit en banc?
-promulgate rules and regulations governing hearing
and disposition of cases
-formulate policies affecting its administration and
operations

5. Certification to NLRC

6. Injunction – an extraordinary remedy; not 1st to 6th division – cases from NCR and other parts of
favored in labor law; issued by the NLRC Luzon (MM)

7. Judicial action – offenses against persons or 7th to 8th division – cases from VisMin (Cebu and CDO)
property, criminal case of ULP and illegal Chairman - Presiding Commissioner of 1 st Division
recruitment
7 members from public sector – Presiding Commissioner Chairman and members of the commission – same as
of 2nd – 8th division Presiding Justice and Associate Justice of CA

If Chairman is not available, Presiding Commissioner of Labor Arbiter – same as judges of RTC
2nd division will be the acting Chairman

Art. 224 – Jurisdiction of LA and NLRC

Executive Clerk, 7 Deputy Executive Clerk

Commission Attorneys
Labor Arbiter (Regional Arbitration Board)
-members of Phil. Bar, 1 year experience in the
EXCLUSIVE AND ORIGINAL (COW ViDa TOUR >5,000)
field of labor management relations
1. Enforcement of compromise
-no more than 3 assigned to office of Chairman
agreements
and each commissioner
2. Monetary claims of overseas
-coterminous with commissioners
contract workers arising from
employer-employee relations

No Labor Arbiter shall be assigned to perform the 3. Wage distortion disputes

functions of Commission Attorney nor detailed to the
4. Cases arising from violation of
office of any commissioner
Art. 264 involving legality of
strikes and lockouts

Art. 222 – Appointment and Qualifications 5. Claims for moral, actual,

exemplary, and other forms of
Chairman and other Commissioners
damages
a. Lawyers
6. Termination disputes
b. Practice of law for 15 years
7. Other cases as may be
c. With 5 years experience in field of provided by law
labor-management relations
8. Unfair labor practice
d. Preferably resident of the region where
9. Claims for reinstatement
they shall hold office
10. All other claims arising from
Labor Arbiter
employer-employee
a. Lawyers relationship including
domestic or household
b. Practice of law for 10 years service involving an amount
c. With 5 years experience in the field of labor- more than 5,000 with or
management relations without reinstatement

65 years old, the president may extend up to 70 years Note: Arbitration by the Labor Arbiters – COMPULSORY
old upon recommendation by the Commission en banc ARBITRATION

Appointment done by the President

Art. 223 – Salaries, Benefits, Emoluments Venue:

 a. RAB with jurisdiction over the workplace of the
complainant. In case of field workers it is where
they regularly return to report or where they
are regularly assigned
b. If two RABs may exercise jurisdiction, the first
one who acquires jurisdiction shall exclude all
the others
c. If venue is not objected before the filing of
position papers such issue of the venue is
waived
d. Venue may be changed by written agreement of
the parties or when the commission or labor
arbiters so orders upon motion by the proper
party in meritorious cases
e. In case of OFWs place of original residence
*The worker has the option to choose venue. (Worker
may waive this benefit)
ULP
Unfair labor practice – any act intended to weaken or
defeat the workers’ right to self-organize (form unions)
and engage in lawful concerted activities (EFFECT: anti-
unionism)
ONLY gross violations of a CBA may be considered ULP.
TERMINATION DISPUTES
Illegal Termination
-lacks notice, or hearing, or both of termination
-concern mainly of the legality of the dismissal of an
employee
-employer-employee relationship must exist
Intra-corporate disputes – disputes between members
and stockholders or associates or controversies in the
election of directors, trustees, officers, or managers of
such corporations (jurisdiction – RTC)
How to know if it is an intra-corporate matter:
It is not in the nature of the services performed but the
manner of creation of the office
MONEY CLAIMS
-any claim arising from employer-employee relationship
if the claim is accompanied with a claim of
reinstatement or if not accompanied by a claim for
reinstatement, it should be over 5,000 pesos.
Reasonable Causal Connection Rule
If there is a reasonable causal connection between the
claim and the employer-employee relation then the
case is within the jurisdiction of the labor courts.
*If money claim arises from the CBA – Grievance
procedure and voluntary arbitration
*Only claims limited to statutes or contracts not under
the CBA – Labor Arbiter
*Employer’s complaint for damages – Labor Arbiter
STRIKES AND LOCKOUTS
The question is whether:
1. The reason for the strike is
lawful
2. The required strike procedure
is followed
3. The strikers committed
prohibited acts during the
strike
*Injunction – NLRC; if the strike is of national interest –
Sec. of Labor (may be certified to the NLRC)
*Regular courts – actions which may be filed by third
parties affected by a strike of people who are not their
employees
OFW MONEY CLAIMS
-monetary claims including pre-termination contracts b. Proceed to hear and determine the
disputes
-due process
4. Contempt power
-OFW contracted but not deployed – perfected contract
a. Disobedience to the court
-solidary liability
i. 500php or imprisonment
not exceeding 5 days
NLRC (Commission)

EXCLUSIVE AND ORIGINAL ii. 100php or imprisonment

not exceeding 1 day (LA)
1. In case of contempt (concurrence with
Labor Arbiter) 5. Ocular inspection

2. Petition to annul or modify the order or a. Any time during work hours
resolution
i. Establishment, building,
3. Petition for injunction or TRO ship or vessel

4. Cases of national interest certified by the ii. Ask any laborer for
Sec. of Labor or the President information or data
concerning any matter
EXCLUSIVE AND APPELLATE relative to the object of
1. Cases decided by the labor arbiter investigation

2. Cases decided by the regional director or 6. Power to issue injunctions and TRO
hearing officer on small money claims.

POWER

1. Rule-making powers – the power to

promulgate rules

a. Governing and hearing cases

(disposition) before it and its
regional branches

b. Pertaining to its internal functions

c. Those necessary to carry and the

purpose of this code

*have the force and effect of law

2. Power to issue compulsory processes

a. Administer oaths

b. Summon parties

c. Issue subpoenas :ad testificanum

and duces tecum” Requisites for Issuance of Restraining
Order of Injunction
3. Power to investigate matters and hear
disputes 1. Hearing – after due and personal notice

a. Conduct investigations
 2. Reception of testimonies – may be e. Decision rendered on evidence,
delegated to LA contained in record and disclosed

3. Finding of fact f. The body or any of its judges must act

on its own independent consideration
a. Unlawful act have been
of the law and facts
threatened/committed
g. Decide in such a manner that parties
b. Substantial/irreparable injury to
can know the various issues involved
complainant
and the reason for the decision
c. That the granting of relief to
3. Prohibited pleadings
complainant is better
a. Motion to dismiss
d. Complainant has no adequate
remedy at law (the missing b. Motion for a bill of particulars
remedy must not be doubtful
c. Motion for new trial
and obscure and it must be
complete) d. Relief from judgment
e. Public officers are unable to or e. Mandamus, certiorari prohibition
unwilling to protect
complainant f. Declare respondent in default

Cash bond by petitioner to answer for loss or g. MR

damage by an erroneous injunction (all 4. Mandatory Conciliation and Mediation
reasonable costs – defense, attorney’s fees) Conference
Ex parte TRO a. Amicably settling the case upon a fair
1. Substantive and irreparable injury compromise

2. Testimony under oath b. Determining the real parties in interest

3. Cash bond c. Determining the necessity of amending

the complaint and including all causes
4. Only for 20 days of action
*dismissal from employment – injunction not proper d. Defining and simplifying the issues
remedy
e. Entering into admissions or stipulations
of facts
Art. 227 f. Threshing out all other preliminary
matters
1. Non-litigious
*Conciliation and mediation efforts shall be
2. Cardinal rights
exerted by the LA throughout the proceedings
a. To a hearing
*a compromise agreement shall be approved by
b. Consider the evidence presented the LA if he is satisfied that the parties
understand the agreement
c. Decision must be supported by
evidence *a compromise agreement entered into is final
and binding and shall have the force and effect
d. Supporting evidence must be
of a judgment rendered by a LA
substantial
 *Mandatory conciliation and mediation
conference shall be terminated after 30
calendar days
*motions for postponement shall only be
entertained on meritorious grounds
*failure to agree upon an amicable settlement
shall result to a trial by the LA
*non-appearance of the petitioner during the
two settings for the mandatory conciliation and
mediation shall be a ground for the dismissal of
the case without prejudice
Art. 228
Non-lawyers may appear before the
commissioner or LA only if:
1. He represents himself as a party to
the case
2. He represents a legitimate labor
organization which is a party to the
case
3. He represents a member or
members of a legitimate labor
organization that exists within the
employer’s establishment who are
parties to the case
4. He is a duly accredited member of
any legal aid office recognized by
the DOJ or IBP
5. He is the owner or president of a
corporation or establishment party
to a case
*no substitution of attorney will be allowed unless there
is a filed:
a. written application for substitution
b. written consent of the client
c. written consent of the attorney. In case of
such written consent cannot be procured, proof of
service of notice to the attorney to be substituted
Attorney’s fees
No attorney’s fees, negotiation fees, or similar charges
of any kind shall be effected through forced
contributions from the workers from their own funds as
distinguished from union funds. The obligation to pay
the attorney’s fees belong to the union.
APPEAL
Grounds for appeal
1. When there is a prima facie evidence of grave
abuse of discretion on part of the LA
2. If the decision, order or award is secured
through force or intimidation including graft or
corruption
3. If made purely on questions of law
4. If the serious error or findings of facts are raised
which would cause grave or irreparable damage
or injury to the appellant
*if not appealed on time decisions become final and
executory and cannot be amended
Perfection of appeal: 10 calendar days which runs from
the receipt of the counsel of the appellant or 5 calendar
days in case of appeal from decision of a regional
director of the DOLE. There is no distinction between
filing and perfection of an appeal.
*MR not allowed
*service by mail is deemed received after 5 days. Failure
to give copy of appeal to the other party is not fatal
Where to apply for appeal: RAB or Regional Office
Appeal Bond
If the decision appealed from has a monetary award, a
monetary bond is required.
*Property bond is accepted.
 -only for issues of jurisdiction and grave abuse
of discretion
Reduction of Bond
*NLRC decisions cannot be appealed to the Sec. of
-motion to reduce bond shall be only upon meritorious
Labor
grounds and only upon the posting of the bond in
relation to the monetary award

Effect of appeal on arbiter’s decision:

Reinstatement pending appeal

-Decision of the LA ordering the reinstatement is

immediately executory insofar as the reinstatement
aspect is concerned

-self-executory

Options of Employer in Complying With A

Reinstatement Order

1. He can ADMIT the employee back to work

under the same terms and conditions prevailing
prior to his dismissal or separation or to a
substantially equivalent position if the former
position is already filled up

2. He can REINSTATE the employee merely in the

PAYROLL with payment of accrued salaries.
(PAYROLL REINSTATEMENT)

*The effect of a perfected appeal shall stay the

execution of the judgment of the labor arbiter in all
cases except for reinstatement

*New evidence may be accepted during appeal

*A reversal of the decisions of the LA shall state an

acceptable cause therefor

*NLRC’s judgment is final and executory after 10 days

*NLRC’s decision may be subject to a MR once.

*One may issue a writ of certiorari against the NLRC

-within 60 days from notice of the judgment

-to be filed at the CA

-not barred by finality of decision of NLRC

JURISDICTIONS OF OTHERS
Voluntary Arbiter
EXCLUSIVE AND ORIGINAL
1. Unresolved grievances arising from the
interpretation or implementation of the
CBA
2. Arising from the interpretation or
enforcement of company personnel policies
*upon agreement of the parties, other labor disputes
including ULP and bargaining deadlocks
REGIONAL DIRECTOR
1. Case involving recovery of wages and other
monetary claims and benefits including
interest in cases of domestic or household
service provided that claimant does not
seek reinstatement and money claim not
exceeding 5,000php
2. Kasambahay’s claim, regardless of amount,
falls within the jurisdiction of DOLE Regional
Director
*claim must arise from employer-employee relationship
Bureau of Labor Relations
EXCLUSIVE AND ORIGINAL
1. Intra-union conflicts (internal union
disputes)
2. Inter-union conflicts (representation)
3. Other relation labor relations
a. Cancellation of registration of
unions and workers associations
b. Petition for interpleader
ADMINISTRATIVE FUNCTIONS
1. Registration of labor unions
2. Keeping of registry of labor unions
3. Maintenance and custody of CBA
NATIONAL CONCILIATION AND MEDIATION BOARD
EO No. 251 ordains that the conciliation, mediation, and
voluntary arbitration of the BLR shall be absorbed by
the NCMB (under the supervision of Sec. of Labor)
1. Where notices of strike or lockout are filed
2. Jurisdiction over conciliation, mediation and
voluntary arbitration cases
3. Performs preventive mediation and
conciliation functions
4. Administers the voluntary arbitration
program
5. Maintains/updates a list of voluntary
arbitrators
6. Compiles arbitration awards and decisions.
7. Provides counselling and preventive
mediation assistance in collective
agreements
SECRETARY OF LABOR
EXCLUSIVE AND ORIGINAL
1. If there exists a labor dispute causing or
likely to cause a strike or lockout in an
industry indispensable to the national
interest
OTHERS
2. Assume jurisdiction and decide it
3. Certify the same to the NLRC for
compulsory arbitration
APPELLATE
1. Cancellation of registration of federation or
national union by the BLR
2. Denial of application of registration of
federation or national union of the BLR
3. Decision of BLR in inter/intra-union dispute
4. Decision of med-arbiter in petition for
certification election
Grievance Machinery

1. Interpretation and implementation of CBA

provisions

2. Interpretation and enforcement of company

personnel policies

*grievance machinery is resorted to for purposes of

settlement.

*unresolved grievances are brought to the voluntary

arbitrator

*all grievances not settled within 7 days shall be

automatically referred to voluntary arbitration

Regular courts

1. Intra-corporate disputes (RTC)

2. Hear and decide actions filed by third

parties being affected by a strike of people
who are not their employees

3. Civil/criminal cases

CA has APPELLATE JURISDICTION over decisions

rendered by:

1. Voluntary arbitrator

2. Secretary of labor

3. Bureau of labor relations director on case as

appealed from DOLE regional offices

5 Factors to consider whether one should file a case in a

regular court or NLRC

a. Status/relationship of parties

b. Nature of the subject of controversy

c. Nature of the complainant’s work

d. Length of service

e. Manner of creation of the office