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If unworked, no pay unless theres a favorable company policy or CBA If worked, 1st 8hours, +30% of the daily rate of 100%. Excess of 8 hours, +30% of hourly rate on said day Falling on the employees rest day and if worked, 1st 8hours, +50% of the daily rate of 100%. Excess of 8 hours, +30% of hourly rate on said day
3. For SPECIAL WORKING holidays Employee is entitled only to his basic rate. No premium pay is required since work performed on said days is considered work on ordinary working days.
DIVISOR to convert the salary from monthly to daily is LOWER THAN 365 The employee is still monthly-paid and all the
days of the monthincluding legal holidays are deemed paid if the quotient is equal or greater than the legal minimum rate Employer cannot claim reimbursement of overtime pay
extra, aside from the usual holiday pay to its monthly-paid employees
DOUBLE HOLIDAY: 2 REGULAR HOLIDAYS ON SAME DAY If unworked, employees entitled to 200% If worked, entitled to 300% of his basic wage
RELATION TO AGREEMENTS
Nothing justifies an employer in withdrawing or reducing any benefits, supplements, or payments for unworked regular holidays as provided in existing individual or collective agreement or employer practice or policy.
If unworked- 100% If worked- 1st 8 hours, +30% of 200% -excess of 8 hours +30% of hourly rate on said day
PART-TIME WORKERS
Also entitled, coz rules speak of the no. Of months in a year for entitlement to said
benefit. They are also entitled to the full five days service incentive leave benefit and not on a pro-rate basis. Can be commutated, proportionate to the daily work rendered and the regular daily salary
EXCLUDED
Field personnel and employees whose performance is unsupervised by the employer including those who are engaged on task or contract basis, purely commission basis, or those who are paid in a fixed amount for performing work irrespective of the time consumed in the performance thereof
All service charges collected by hotels, restaurants and similar establishments shall be distributed at the rate of 85% for all covered employees and 15% for management. The share of the employees shall be equally distributed among them. Rule applies to all employees of covered employers, regardless of their positionsm designations or employment status, and irrespective of the method by which their wages are paid
PIECE-RATE WORKERS
Not entitled.
COMMUTATION OF SIL
TIPS
If a restaurant or similar establishment does not collect service charges but has a practice or policy of monitoring and pooling tips given voluntarily by its customers to its employees, the pooled tips should be monitored, accounted for, and distributed in the same manner as the service charges.
BASIS OF COMPUTATION
Shall be the salary rate at the date of commutation. The availment and commutation of the SIL benefit may be on a pro-rata basis
Fair rental value deduction. In order that the cost of facilities furnished by the employer may be charged against an employee, his acceptance of such facilities must be voluntary.
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. Where the failure of workers to work was not due to the employers fault, the burden of economic loss suffered by the employees should not be shifted to the employer. Each party must bear his own loss.
SUPPLEMENTS Constitute extra remuneration or special privileges or benefits given to or received by the laborers over and above their ordinary earnings or wages.
AGRICULTURAL WORK
Work on the soil and harvests is agri work. When the harvests are processed into finished product or transformed to another product, that processing work is industrial. Where the enterprise is highly mechanized and carries on processing activities not merely incidental to purely farming operations, employees in other than purely agri work deemed industrial employees.
Absent clear administrative guidelines, the employer cannot be faulted for erroneous application of the law.
NEGOTIATED BENEFITS
These are not within the prohibition of Art. 100 coz as products of bilateral contract, they can only be eliminated or diminsihed bilaterally. What the law forbids is elimination or modification done unilaterally by the employer. A party to the CBA may propose changes within 60 days before it expires. The changes may not always be to add to but also to subtract from, or otherwise modify the existing benefits.
EXEMPTIONS
Household or domestic helpers, including family drivers and persons in the personal service of another Homeworkers engaged in needlework Workers employed in any establishment duly registered with the National Cottage Industries and Devt. Authority Workers in any duly registered cooperative
COOPERATIVES MAY STILL BE EXEMPTED FROM THE MIN WAGE LAW EXEMPTION OF BMBEs
Barangay Micro Business Enterprises, serve as seedbeds for developing entrepreneurship
Example, Per Diem or Monthly Ration of Gasoline. Elimination of an existing benefit in exchange for an equal or better one does not violate Art. 100
But, of there is no agreement that bonus forms part of the employees compensation, then bonus would depend on the profit to be realized.
If the commissions are not integral part of the basic salary, then they should be excluded.
An employee who has resigned or whose service were terminated at any time for payment of the 13th-month pay is entitled to this monetary benefit in proportion to the length of time he worked during the year, reckoned from the time he started working during the calendar year up to the time of his resignation or termination from the service.
DISTRESSED EMPLOYER
The rules implementing 13th Month Pay provide that a distressed employer shall qualify for exemption from the requirement of the decree only upon authorization from the Sec of DOLE.
NONSTRIKEABLE
Difference of opinion on how to compute the 13th month pay does not justify a strike. It is a nonstrikeable issue and a strike held on that ground is illegal.
13TH MONTH PAY WHEN CBA BONUS DEEMED APART FROM, NOT EQUIVALENT OF 13TH MONTH PAY
If the Christmas bonus was included in or considered as the equivalent of the 13thmonth pay, there would be no need for a specific provision on Xmas bonus in the CBA. BUT if the CBA provided for a bonus in graduated amounts depending on the length of service of the employee, the intention is clear that the bonus provided in the CBA was meant to be in addition to the legal requirement.
SEAFARERS
A seafarer is a contractual, not regular employee. At such, they are not entitled to the 13th month pay. This Decree contemplates the situation of land-based workers. And not seafarers who generally earn more.
FOOD, ETC, NOT SUBSTITUTE FOR 13TH MONTH PAY 14TH MONTH PAY NOT LEGALLY DEMANDABLE
This is a misnomer coz it is basically a bonus and therefore is gratuitous in nature. The granting of this is a management prerogative which cannot be forced upon the employer.
Depends on what kinds of commissions are involved. If the commissions may be properly considered part of the basic salary, they should be included in computing the 13th month pay.
of employees engaged in similar employment in an establishment. Where the output rates do not conform with the prescribed standards, employees shall be entitled to receive under such prescribed standards and that actually paid them by the employer.
3. 4. 5. 6. 7.
Night shift differential pay Holiday pay Meal and rest periods Overtime pay (conditional) Premium pay (conditional) 8. 13th month pay 9. Other benefits granted by law
A piece-rate employee is entitled to holiday pay which shall not be less than his average daily earnings for the last seven actual working days immediately preceding the regular holiday, provided that in no case shall the holiday pay be less than the applicable statutory minimum wage.
1. In cases of force majeure rendering such payment impossible 2. Where the worker has dies, in which case wages may be paid to workers heirs without the necessity of intestate proceedings.
relationship exists coz the contractor is an bizman. But this relationship will exist between principal and workers where the contracting arrangement is not legit. It is unlawful if it is only labor-contracting or against public policy. In labor-only contracting, there is no contracting and no contractor, only a representative to gather and supply people.
SUBSTANTIAL CAPITAL
Refers to capital stocks and subscribed capitalization in the case of corporations, tools, equipment, implements, machineries and work premises, actually and directly used by the contractor or subcontractor in the performance or completion of the job, work or service contracted out.
RIGHT TO CONTROL
Refers to the right reserved to the person for whom the service of the contractual workers are performed, to determine not only the end to be achieved, but also the manner and means to be used in reaching that end. Exclusive servicing- does not necessarily mean being under the control or employment of the entity being served, thus the relationship may still be classified as independent contractorship coz the element of control is absent.
Employees may resign their jobs to become contractors to their former employer, but the latter should cease controlling the means and method of doing the work allegedly contracted, otherwise the result is labor-only contracting.
3. 4. 5. 6.
with the contractor to the extent of the work performed under the contract, as if such employer were the employer of the contractors employees. Jointly and severally liable means being liable for an entire liability. If liability is invested with punitive character, the liability of contractor should solely be that of the contractor in the absence of proof that the principal conspired with the contractor in the commission of the illegal dismissal.
RIGHTS OF CONTRACTUAL EMPLOYEES 1. Safe and healthful working conditions 2. Labor standards 3. Social security and welfare benefits 4. Self-organizations, CBA & Peaceful concerted action 5. Security of tenure Also, certain conditions must be expressly stipulated in the employment contract: 1. Specific description of the job to be performed 2. Place of work and terms and conditions of employment 3. Term or duration of employment Contractor or subcon shall inform the contractual employee of the terms or conditions on or before the first day of his employment.
EXTENT OF EMPLOYERS LIABILTY IN INVALID CONTRACTING & VIOLATION OF OTHER PROHIBITIONS...total! LEGITIMATE LABOR CONTRACTING
1. If he carries on a distinct and independent biz and undertakes to perform the job on its own account and under its own responsibility, free from the control of the principal in all matters connected with the performance of the work except as to the results thereof. 2. He has substantial capital or investment 3. The agreement between the principal or contractor or subcon assures the contractual employees entitlement to all labor and occupational safety and health standards, free excercise of the right to self organization, security of tenure and social and wealth benefits. So a labor contractor is a legit, if he is a job contractor and not a labor-only contractor and if he is properly registered
1. In cases where the worker is insured with his consent by the employer and the deduction is to recompense the employer for the amount paid by him as premium on the insurance. 2. For union dues 3. Where he is authorized by law a. For value of meals and other facilties b. Insurance c. Indebtedness, where it is due & demandable d. Witholding tax e. If one is member of a legally established cooperative f. SSS, Medicare & Pag-ibig contributions
CHAPTER V- WAGE STUDIES. WAGE AGREEMENTS AND WAGE DETERMINATION #120. CREATION OF NAT. WAGES&PRODUCTIVITY COMMISSION #121. POWERS AND FUNCTIONS OF THE COMMISSION #122. CREATION OF REGL. TRIPARTITE WAGES & PRODUCTIVITY BOARDS #123. WAGE ORDER #124. STANDARDS FOR MINIMUM WAGE FIXING
The method for minimum wage adjustment is salary-ceiling method where wage adjustment is applied to employees receiving a certain denominated salary ceiling. Floor wage order does not require acrossthe-board pay increase
WAGE DISTORTION
A situation where an increase in prescribed wage rates results in the elimination or severe contraction of intentional qualitative differences in wage rates among employee groups in an establishment so as to effectively obliterate the distinctions embodied in wage structure based on skills, length of service. There is no legal req that in the rectification There is no distortion if the employees whose wages are being compared are located in diff regions Distortion Adjustment Formula: Existing Minimum Wage = % Prescribed Wage Increase Actual Salary of Employee
#116. WITHOLDING OF WAGES AND KICKBACKS PROHIBITED #117. DEDUCTION TO ENSURE EMPLOYMENT #118. RETALIATORY MEASURES
Unlawful for an employer to refuse to pay or reduce wages and benefits, discharge or in any manner discriminate against any employee who has filed any complaint or instituted any proceedingunder the codem has testified or os about to testify in such proceedings. Is this article strikeable? In fine, a wage violation is unlawful and may be pursued in a money claim. But the violation itself is not strikeable, unless the retaliation is of the kind considered as ULP. The article applies to implicit or unspoken testimony by an employee
#125. FREEDOM TO BARGAIN No wage order shall be construed to prevent workers in particular firms or enterprises of industries from bargaining for higher wages with their respective employer.
#126. PROHIBITION AGAINST INJUNCTION #127. NON-DIMINUTION OF BENEFITS CHAPTER VI- ADMINISTRATION AND ENFORCEMENT #128. VISITORIAL & ENFORCEMENT POWER #129. RECOVERY OF WAGES, SIMPLE MONEY CLAIMS & OTHER BENEFITS
Regional Director is empowered to hear such cases provided the ff requisites are present:
1. The claim is presented by an employee, or a person employed in domestic or household service 2. The claim arises from employer-employee relations 3. The claimant does not seek reinstatement 4. The aggregate money claim of each claimant does not exceed P5,000. In the absence of these requisites, the Labor Arbiter shall have exclusive orig jurisdiction over claims arising from employer-employee relations. It is not required that the complainant be an employee at the time the complaint is filed. It is enough that the claim arises from employment.
TITLE THREE WORKING CONDITIONS FOR SPECIAL GROUPS OF EMPLOYEES CHAPTER I-EMPLOYMENT OF WOMEN #130. NIGHTWORK PROHIBITION
No woman, regardless of age shall be employed or permitted to work with or without compensation: a. In any industrial undertaking between 10pm and 6am on the following day. b. In any commercial or non-industrial undertaking, other than agricultural between midnight and 6am in the morning of the ff day c. In any agricultural undertaking at nighttime unless she is given a period of rest of not less than 9 consecutive hours.
Maternity leave qualifications: 1. The female member should be employed at the time of delivery, miscarriage or abortion 2. She must have given the required notification to SSS thru her employer 3. Her employer must have paid at least three months of maternity contributions within the 12-minth period immediately before the semester of contingency. Every pregnant woman in the private sector, WON married is entitled. This benefit is granted to employee in lieu of wages and may not be included in computing the employees 13th month pay for the calendar year. Another statutory leave is Battered Woman Leave for 10 days.
#131. EXCEPTIONS
Prohibitions in 130 shall not apply in any of the ff cases: a. In cases of actual or impending emergencies, or in cases of force majeure or imminent danger to public safety. b. In case of urgent work to be performed on machineries, equipment to avoid installation to avoid serious loss which the employer would suffer c. Where the work is necessary to prevent serious loss of perishable goods d. Where the woman employee holds a responsible position of managerial or technical nature, or where the woman employee has been engaged to provide health and welfare service e. Where the nature of the work requires the manual skill and dexterity of women workers and cannot be performed with equal efficiency by male workers f. Where the women employees are immediate members of the family operating the establishment or undrtaking. g. Under other analogous cases
in a work or training, who demands, requests or requires any sexual favor from another Sexual Harassment in a Work-Related Environment: 1. The sexual favor is made as a condition in the hiring 2. The acts would impair the employees rights or privileges 3. The acts would result in an intimidating, hostile, or offensive envi for employee
EMPLOYMENT OF POOR BUT DESERVING STUDENTS #140. PROHIBITION AGAINST CHILD DISCRIMINATION
No employer shall discriminate against any person in respect to terms and conditions of employment on account of his age.
No child below 15 years shall be employed, except where he works directly under the sole responsibility of his parents or guardian, and his employment does not un any way interfere with his schooling. Provided: 1. That his employment doesnt endanger his life, health morals or impairs his normal development 2. That he is provided with the prescribed primary/secondary education Where a childs employment in public entertainment or info is essential, the employment contract must be concluded by the childs parents or legal guardian with the express agreement of the child concerned, and with the approval of DOLE.
RIGHT TO SELF-ORGANIZATION
Working children have the same freedom as adults to join the collective bargaining union of their own choosing
Just and humane manner. In no case shall employer use physical violence on househelper
CHAPTER IV- EMPLOYMENT OF HOMEWORKERS #153. REGULATION OF INDUSTRIAL HOMEWORKERS #154. REGULATIONS OF SEC OF LABOR
Designed to assure the minimum terms and conditions of employment applicable to industrial homeworkers or field personnel involved
The employer of homeworkers includes any person, natural or artificial, who for his account or benefit, or on behalf of any person residing outside the country, directly or indirectlyor through any employee, agent, contractor, subcontractor or anyother person: 1. Delivers, or causesto be delivered, any goods, articles or materials to be processed or fabricated in or about a home and thereafter to be returned or disposed of in accordance with his directions. 2. Sells any goods, articles, materials to be processed or fabricated in or about a home and then rebuys them after such processing or fabrication either himself or through some other person. It is the employers duty to pay and remit SSS, Medicare and ECC premiums Complaints for violation of labor standards and the terms and conditions for employment involving money claims of homeworkers not exceeding P5T per homeworker shall be heard and decided by the Regional Director. Beyond this amount, the case falls under the jurisdiction of a Labor Arbiter in the NLRC.