PRE-BAR REVIEW:

LABOR LAW AND SOCIAL

LEGISLATIONS
by:
Atty. JOSE SONNY G. MATULA
President, Federation of Free Workers (FFW)
Former Commissioner, Social Security
Commission;Law Lecturer, UPH-College of Law
UM-College of Law and MLQU-School of Law.
POINTS TO REMEMBER
Time of exam 3 hours: from 2:00 pm to
5:00pm
1 - point question: 1 min & 48 secs
2 - point question: 3 mins & 36 secs
3 - point question: 5 mins & 24 secs
5 - point question: 9 mins
10% of the total bar exams
How shall our courts and quasi-judicial
bodies treat ILO Conventions and
international treaties?

In the recent case of The Heritage

Hotel Manila vs. National Union of
Hotel, Restaurant and Allied Industries
(G.R.178296, January 12,2011), the
court treats ILO Convention No 87
with high respect as a binding law.
Fr.Joaquin Bernas,SJ said
the Philippines recognizes that international law has
the force and effect of the domestic law under the
incorporation clause of the 1987 Constitution
(Sec 2 of Article II). Thus, International
Conventions of the International Labor Organization
such as ILO Convention No. 87 and Convention No.
98 can be used by the parties like the Labor Code,
Civil Code, Penal Code and other acts of Congress
in the settlement of disputes in quasi-judicial bodies
and regular courts.

 Labor law

All rules & Conditions

Labor Law principles Of employ
governing ment

Labor law adopted in the exercise of

Police power of the state (Abalos vs.
POEA)in order to protect the working
class & to promote health, morals,
peace,educ,good order or safety and
Welfare of society.
 Define Labor Law

Labor laws may be defined, by way of

enumeration, consisting of provisions
of the constitution, statutes enacted
by Congress, regulations issued by the
executive branch and jurisprudence
promulgated by the judiciary
governing the relations between
capital and labor.
Labor Law Provides Certain
Standards
It provides certain standards and a
legal framework for negotiating,
adjusting and administering those
standards and other incidents of
employment.
(C.A. Azucena, Jr., Labor Code With
Comments and Cases, [Rex Bookstore Inc,
Manila, Volume 1, 2007], page 7).
 Labor Standards

Employer
Terms,
Set out Must
Conditions &
the minimum Provide or
benefits
Comply with

to which workers are entitled

as a matter of right.
Burden of Proof on compliance with
the Employer

the worker need not litigate to

get what legally belongs to him,
for the whole enforcement
machinery of the DOLE exists to
insure its expeditious delivery to
him free of charge.
(Nestor Balladares, et.al. vs Peak Ventures
Corporation, et.al [G.R. No. 161794, June 16,
2009])
 Minimum Standards Workers are
entitled to as a matter of right:

Minimum wage Paternity leave

Holiday pay Parental leave for
Overtime pay solo parent
Night shift Leave for victims
differential against women and
Service charges children
Service incentive 13th month pay
leave Separation pay
Maternity leave Retirement pay
Social security and welfare lesgislation

Socialsecurity (RA 8282)

Employees Compensation

Philhealth

Pag-ibig
 Labor Relations

define That govern

As well as
Status, Individual &
Institutional
rights & Collective
mechanism
duties interactions

between employers, employees and

their representatives.
 Labor Code

What is Codification into

Labor Code? One volume of 60
PD 442, as pieces of law
amended
8 hr law,
min wage law,
termination law
 Basic Constitutional Rights

1.Right to organize;
Article XIII 2.Right to CB & Nego;
Section 3 3.Peaceful concerted
1987 Consti- activities, strike;
tion
4.Security of tenure;
5.Humane condition
of work; 6.living wage;
& 7.participate in
Decision making
 Sec 8 Article III of the
Consitution
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.
Right to self-organization

Under Art 243 speaks about the right to:

Join

Assist or

Form labor organizations

For purposes of:

Collective bargaining and

mutual aid and protection.

Right to self organization

The coverage includes all persons

employed in:
Commercial, Industrial and Agricultural
enterprises;
as well as those in
Charitable, Religious, Educational and
medical institutions (FEU vs Trajano,
July 1987)
Right to self organization

For mutual aid and

protection, the
following may also
organize into
workers Rural
associations: Workers with no
definite employers
Ambulant Itinerant
Intermittent Self employed
 Employees specifically
covered
Supervisory Security guards (RA
employees (Art 212[m] 6715, EO 111,
& 245) Meralco vs NLRC,
Dismissed May 4, 1989)
employees with Members of the INK
pending cases (Reyes vs Trajano,
contesting dismissal
June 2, 1991)
(Art 269)
New employees
Alien with valid work
permit (Art 40) & with (Art 277[c])
reciprocity (Art 269)
Rationale for unionization
University of Pangasinan vs
NLRC, 218 SCRA 65:
The interest of the individual workers
can be better be protected on the
whole by a strong union aware of its
moral and legal obligations to
represent the rank-and-file faithfully,
and secure for them the best wages
and working terms and conditions
 Who is eligible to join?

UST Faculty Union vs Bitonio,

318 SCRA 185:
Any employee may be eligible to join
and be member of a labor union,
beginning on his first day of service,
whether employed for a definite
period or not
 Right to self-organization
La Suerte Cigar & Cigarette
Factory vs BLR, 123 SCRA
679:
Where the workers are not
employees of the company,
they are not entitled to join or
form labor unions for purposes
of collective bargaining
 Employer

Employer" includes any person

acting in the interest of an
employer, directly or indirectly.
The term shall not include any
labor organization or any of its
officers or agents except when
acting as employer.
 Employee

"Employee" includes any person in the

employ of an employer. The term shall not
be limited to the employees of a particular
employer, unless the Code so explicitly
states. It shall include any individual whose
work has ceased as a result of or in
connection with any current labor dispute or
because of any unfair labor practice if he
has not obtained any other substantially
equivalent and regular employment.
Employment is a property right

Callanta vs Carnation Phils, 145 SCRA 268:

It is a principle well recognized under this
jurisdiction, that ones employment,
profession, trade or calling is a property right,
and the wrongful interference therewith is an
actionable wrong. The right is considered to be
property right within the protection of the
constitutional guarantee of due process of
law.
 Existence of EE-ER Relationship

1.Selection and en-

Republic gagement;
rep. by SSS vs 2.Payment of wages
Asiapro Coop
(Nov 23, 2007):
3.power of dismissal
4-fold test
4. Power to control
the workers
Conduct (primacy)
 Republic vs Asia Pro

Asiapro, as a cooperative, is composed of

owners-members. Under its by-laws,
owners-members are of two categories, to
wit: (1) regular member, who is entitled to
all the rights and privileges of membership;
and (2) associate member, who has no right
to vote and be voted upon and shall be
entitled only to such rights and privileges
provided in its by-laws.
 Asiapro Cooperative

The owners-members do not receive

compensation or wages from the
respondent cooperative. Instead, they
receive a share in the service
surplus[10] which the respondent
cooperative earns from different areas
of trade it engages in, such as the
income derived from the said Service
Contracts with Stanfilco.
 Asia Pro Cooperative

The owners-members get their income

from the service surplus generated by
the quality and amount of services
they rendered, which is determined by
the Board of Directors of the
respondent cooperative.

 Are the owner-members

assigned to work with stanfilco
employees of Asiapro?
SSS considered the owner-members as employees
and asiapro was required to report them as
employees to SSS for SS coverage
Asiapro denied employee-employer relationship as
it considered the workers as owner-members of
cooperative. It also questions SSC jurisdiction
arguing that NLRC has primary jurisdiction on
employee-employer relationship not SSC.
There is also stipulation in their service contract
that there is no employee-employer relationship
between the cooperative and its owner-members.
 Jurisdiction on EE-ER Relationship

Rep. of Phils. Q: Question of EE-ER

Represented by exclusive with NLRC?
SSS & SSC vs
Asiapro Coop Ans: No. SSC not NLRC
(Nov 23, 2007): resolves EE-ER
on SS coverage.

The question of the existence of an employee-employer relationship is

not the exclusive jurisdiction of the NLRC. Article 217 (a) (6) of the
Labor Code exempts from its jurisdiction claims for Social Security, xxx.
Hence, the Social Security Commission has primary jurisdiction on
question of an existence employee-employer for purposes of determi-
ning the coverage of SSS (Sec 5 of SS Law of 1987, R.A. 8282)
 No EE-ER stipulation binding?
Q: Is the no EE-ER
Rep. of Phils. stipulation binding
Represented by To parties in contract?
SSS & SSC vs
Asiapro Coop Ans: No. provision must
(Nov 23, 2007): be struck down as
it circumvents the law

The Service contract in question must be struck down for

being contrary to law and public policy since it is apparently
being used by the respondent cooperative merely to
circumvent the compulsory Coverage of its employees,
who are also its owners-members,
by the social security law.
Other than the NLRC, can the
Secretary of Labor Determine
EE/ER Relationship?
Yes! No limitation in the law was placed
upon the power of the DOLE to determine
the existence of an employer-employee
relationship. No procedure was laid down
where the DOLE would only make a
preliminary finding, that the power was
primarily held by the NLRC (Bombo Radyo
vs Sec of Labor, Regional Dirctor and
Juezan, March 6, 2012)
 Bombo Radyo case

Bombo Radyo case recognizes the

validity of the Department of Labor
and Employments (DOLEs) plenary
power under Article 128(b) of the
Labor Code, as amended by Republic
Act No. 7730, including its power to
determine the existence of employer-
employee relationship in the exercise
of its Article 128(b) power.
DOLE has power to determine
employer-employee relationship

The DOLE must have the power to

determine whether or not an
employer-employee relationship exists,
and from there to decide whether
or not to issue compliance orders
in accordance with Art. 128(b) of the
Labor Code, as amended by RA 7730
 Management Prerogative

Established
CBA Laws
company practice

Everything concerning the business

Prerogative is not unlimited

The exercise of management

prerogative is not unlimited; it is
subject to the limitations found in
law,
collective bargaining agreement or
the general principles of fair play and
justice (Goya Inc. vs Goya Inc.
Employees Union-Federation of Free
Workers (Jan 21, 2013)
Right to regulate all
aspects of employment
(1) hiring (5) supervision of
(2) the freedom to their work
prescribe work (6) lay-off and
assignments discipline, and
(3) working (7) dismissal and
methods, process recall of workers (J.
to be followed Peralta, St. Paul College of
Qc vs Spouses Ancheta,
(4) regulation September 7, 2011, GR No
regarding transfer 169905)

of employees
 The state regulates relations
between workers & employers
SEC 3 (par. 4) , ARTICLE XIII OF THE CONST:
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.
 State Policy on TU

Art. 211. Declaration of Policy.

It is the policy of the State:

To promote and emphasize the primacy

of free collective bargaining and
negotiations, including voluntary
arbitration, mediation and conciliation, as
modes of settling labor or industrial
disputes;
 State Policy on TU

To promote free trade unionism as an

instrument for the enhancement of
democracy and the promotion of social
justice and development;

To foster the free and voluntary

organization of a strong and united labor
movement;
 State Policy on TU

To promote the enlightenment of workers

concerning their rights and obligations as
union members and as employees;

To provide an adequate administrative

machinery for the expeditious settlement
of labor or industrial disputes;
 State Policy on TU

To ensure a stable but dynamic and just

industrial peace; and

To ensure the participation of workers in

decision and policy-making processes
affecting their rights, duties and welfare.
 State Policy on TU

To encourage a truly democratic method of

regulating the relations between the employers and
employees by means of agreements freely entered
into through collective bargaining, no court or
administrative agency or official shall have the
power to set or fix wages, rates of pay, hours of
work or other terms and conditions of employment,
except as otherwise provided under this Code. (As
amended by Section 3, Republic Act No. 6715,
March 21, 1989)
 Labor Organization

"Labor organization" means 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.
 Legitimate Labor Org
(LLO)
"Legitimate labor organization" means
any labor organization duly registered
with the Department of Labor and
Employment, and includes any branch
or local thereof.
 Company Union

"Company union" means any labor

organization whose formation,
function or administration has been
assisted by any act defined as unfair
labor practice by this Code.
Bargaining Representative

"Bargaining representative" means a

legitimate labor organization whether
or not employed by the employer
 Labor Organization that
May Register
Independent Union
Federation
National Union
Industry Union
Workers Association
 Registration of Union

Art. 234. Requirements of

registration. Any applicant labor
organization, association or group of
unions or workers shall acquire legal
personality and shall be entitled to the
rights and privileges granted by law to
legitimate labor organizations upon
issuance of the certificate of
registration
Requirements for Registration
of Independent Unions

Fifty pesos (P50.00) registration fee;

The names of its officers, their

addresses, the principal address of the
labor organization, the minutes of the
organizational meetings and the list of
the workers who participated in such
meetings;
Requirements for Registration

The names of all its members

comprising at least twenty percent
(20%) of all the employees in the
bargaining unit where it seeks to
operate; (As amended by Executive
Order No. 111, December 24, 1986)
Requirements for Registration

If the applicant union has been in

existence for one or more years,
copies of its annual financial reports;
and
Four (4) copies of the constitution and
by-laws of the applicant union,
minutes of its adoption or ratification,
and the list of the members who
participated in it.
 Registration of
Independent Unions
Art. 235. Action on
application. The Bureau shall act on
all applications for registration within
thirty (30) days from filing.
All requisite documents and papers
shall be certified under oath by the
secretary or the treasurer of the
organization, as the case may be, and
attested to by its president.
 Federations or National
Unions
Art. 237. If the applicant for
registration is a federation or a
national union:
Proof of the affiliation of at least ten
(10) locals or chapters, each of which
must be a duly recognized collective
bargaining agent in the establishment
or industry in which it operates; and
 Federations or N.U.

The names and addresses of the

companies where the locals or
chapters operate and the list of all the
members in each company involved.
 Chartering and Creation of
Local Chapters

"ART. 234-A... - A duly registered

federation or national union may
directly create a local chapter by
issuing a charter certificate indicating
the establishment of the local chapter.
 Charter Certificate Confers
Personality to file PCE
The chapter shall acquire legal
personality only for purposes of filing a
petition for certification election from
the date it was issued a charter
certificate.
 Additional Documents
The chapter shall be entitled to all other rights and
privileges of a LLO only upon the submission of the
following in addition to its CC:
(a) The names of the chapter's officers, their
addresses, and the principal office of the chapter;
and
(b) The chapter's constitution and by-
laws: Provided, That where the chapter's
constitution and by-laws are the same as that of
the federation or the national union, this fact shall
be indicated accordingly.
Cancellation of Registration
not suspend PCE
"ART. 238-A. Effect of a Petition for
Cancellation of Registration. - A
petition for cancellation of union
registration shall not suspend the
proceedings for certification election
nor shall it prevent the filing of a
petition for certification election.
 Grounds for cancellation of
union registration:

(a) Misrepresentation, false statement or fraud in

connection with the adoption or ratification of the
constitution and by-laws or amendments thereto,
the minutes of ratification, and the list of members
who took part in the ratification;
(b) Misrepresentation, false statements or fraud in
connection with the election of officers, minutes of
the election of officers, and the list of voters;
(c) Voluntary dissolution by the members."
 ART. 239-A. Voluntary
Cancellation of Registration.
The registration of a legitimate labor
organization may be cancelled by the
organization itself. Provided, That at least
two-thirds of its general membership votes,
in a meeting duly called for that purpose to
dissolve the organization: Provided, further,
That an application to cancel registration is
thereafter submitted by the board of the
organization, attested to by the president
thereof."
 "ART. 245. Ineligibility of
Managerial Employees to Join any
Labor Organization; Right of
Supervisory Employees
Managerial employees are not eligible
to join, assist or form any labor
organization. Supervisory employees
shall not be eligible for membership in
the collective bargaining unit of the
rank-and-file employees but may join,
assist or form separate collective
bargaining units and/or legitimate
labor organizations of their own.
R&R and Supervisory May
Join same Federation
The rank and file union and the
supervisors' union operating within the
same establishment may join the same
federation or national union."
 ART. 245-A. Effect of Inclusion as
Members of Employees Outside the
Bargaining Union
The inclusion as union members of
employees outside the bargaining unit
shall not be a ground for the
cancellation of the registration of the
union. Said employees are
automatically deemed removed from
the list of membership of said union."
 2-fold objectives of
certification election

1.To determine the

appropriate bargaining unit
2. To ascertain the majority
representation of the bargaining
representative, if employees
desire to be represented
 Determination of ABU

Principle of self-determination (Globe

Doctrine)
The Bargaining History (Rothenberg
Principle)
The mutuality of interest rule (UP vs
Calleja, July 14, 1992)
 Representation as CB
Agent
Unorganized Entity Organized Entity
1. Verified Petition 1. Verified Petition
2. Filed by a 2. Filed by LLO
Legitimate Labor 3. Freedom period or
Organization (LLO) within 60 days before the
expiration of CBA
4. Written consent of
25% of the
members of ABU
 ART. 257. Petitions in
Unorganized Establishments
In any establishment where there is no certified
bargaining agent, a certification election shall
automatically be conducted by the Med-Arbiter
upon the filing of a petition by any legitimate labor
organization, including a national union or
federation which has already issued a charter
certificate to its local/chapter participating in the
certification election or a local/chapter which has
been issued a charter certificate by the national
union or federation
Non disclosure of officers
and Members
In cases where the petition was filed
by a national union or federation, it
shall not be required to disclose the
names of the local chapter's officers
and members.
 ART. 256. Representation Issue in
Organized Establishments

When a verified petition questioning the majority

status of the incumbent bargaining agent is filed by
any legitimate labor organization including a
national union or federation which has already
issued a charter certificate to its local chapter
participating in the certification election or a local
chapter which has been issued a charter certificate
by the national union or federation before the
Department of Labor and Employment within the
sixty (60)-day period before the expiration of the
collective bargaining agreement, the Med-Arbiter
shall automatically order an election by secret ballot
when:
 Verified Petition with written
25% of All Employees in BU
the verified petition is supported by the written consent of at
least twenty-five percent (25%) of all the employees in the
bargaining unit to ascertain the will of the employees in the
appropriate bargaining unit. To have a valid election, at least
a majority of all eligible voters in the unit must have cast their
votes. The labor union receiving the majority of the valid
votes cast shall be certified as the exclusive bargaining agent
of all the workers in the unit. When an election which
provides for three or more choices results in no choice
receiving a majority of the valid votes cast, a run-off election
shall be conducted between the labor unions receiving the
two highest number of votes:
Total Votes for all unions
50% of the vote cast
Provided, That the total number of
votes for all contending unions is at
least fifty percent (50%) of the
number of votes cast. In cases where
the petition was filed by a national
union or federation, it shall not be
required to disclose the names of the
local chapter's officers and members.
 50% of the votes cast

Vote cast of 150 voters: 100

50% of votes cast: 51 votes
 50% of vote cast

Vote case for 150 qualified voters: 100

Union A got 40 votes

Union B got - 25 votes

Union C got 15 votes

No unio Union got - 20 votes

No one got majority vote; there is a

need for round off election
Qualified to vote

Inclusion-exclusion
all employees who are members of the
ABU; look at the list of employees or
payroll
Dismissed employees with pending
cases
Probationary employees

INK believers may vote

 ART. 258-A. Employer as
Bystander
In all cases, whether the petition for
certification election is filed by an
employer or a legitimate labor
organization, the employer shall not
be considered a party thereto with a
concomitant right to oppose a petition
for certification election.
Employers Participation

The employer's participation in such

proceedings shall be limited to: (1)
being notified or informed of petitions
of such nature; and (2) submitting the
list of employees during the pre-
election conference should the Med-
Arbiter act favorably on the petition
 BLR & Collective
Bargaining
Art. 231. Registry of unions and
file of collective bargaining
agreements. BLR shall:
keep a registry of legitimate labor
organizations
maintain a file of all collective bargaining
agreements and other related agreements
and records of settlement of labor disputes
and copies of orders and decisions of
voluntary arbitrators.
 File Open and accessible

The file shall be open and accessible to

interested parties under conditions
prescribed by the Secretary of Labor and
Employment, provided that no specific
information submitted in confidence shall be
disclosed unless authorized by the
Secretary, or when it is at issue in any
judicial litigation, or when public interest or
national security so requires.
 Submission of CBA
Within thirty (30) days from the execution of a
Collective Bargaining Agreement, the parties shall
submit copies of the same directly to the Bureau or
the Regional Offices of the Department of Labor
and Employment for registration,
accompanied with verified proofs of its posting in
two conspicuous places in the place of work and
ratification by the majority of all the workers in the
bargaining unit. The Bureau or Regional Offices
shall act upon the application for registration of
such Collective Bargaining Agreement within five
(5) calendar days from receipt thereof.
 Term of CBA: 5 years

Art. 253-A. Terms of a collective

bargaining agreement.
Any Collective Bargaining Agreement
that the parties may enter into shall,
insofar as the representation aspect is
concerned, be for a term of five (5)
years.
 No question or election
outside freedom period
No petition questioning the majority
status of the incumbent bargaining
agent shall be entertained and no
certification election shall be
conducted by the DOLE outside of the
sixty-day period immediately before
the date of expiry of such five-year
term of the Collective Bargaining
Agreement.
 All other provisions
subject to renegotiation
All
other provisions of the CBA
shall be renegotiated not later
than three (3) years after its
execution
 Retroactivity of CBA

Any agreement on such other provisions of

the CBA entered into within six (6) months
from the date of expiry of the term of such
other provisions as fixed in such CBA, shall
retroact to the day immediately following
such date.
If any such agreement is entered into
beyond six months, the parties shall agree
on the duration of retroactivity thereof
 Art. 255. Exclusive bargaining
representation and workers

The labor organization designated or

selected by the majority of the
employees in an appropriate collective
bargaining unit shall be the exclusive
representative of the employees in
such unit for the purpose of collective
bargaining
However, an individual employee or group of
employees shall have the right at any time to
present grievances to their employer.
Art. 255. workers participation
in policy and decision-making

workers shall have the right, subject to

such rules and regulations as the
Secretary of Labor and Employment
may promulgate, to participate in
policy and decision-making processes
of the establishment where they are
employed insofar as said processes
will directly affect their rights, benefits
and welfare.
 What is collective
bargaining?
A process where the parties discuss
their demands and counter-demands
and, after haggling, agree on a
compromise, reflecting concessions
mutually given, resulting on a
contract.
(CM Aquino vs NLRC, Feb 11, 1992)
When there is yet no CBA

The parties are called to meet and

convene promptly in good faith for the
purpose of negotiating a CBA.

It does not compel any party to agree.

(Article 251, LC)
Art. 250. Procedure in
collective bargaining.
The following procedures shall be
observed in collective bargaining:
When a party desires to negotiate an
agreement, it shall serve a written
notice upon the other party with a
statement of its proposals. The other
party shall make a reply thereto not
later than ten (10) calendar days from
receipt of such notice;
 CBA Procedure

Should differences arise on the basis

of such notice and reply, either party
may request for a conference which
shall begin not later than ten (10)
calendar days from the date of
request.
 NCMB May intervene

If the dispute is not settled, the Board shall

intervene upon request of either or both
parties or at its own initiative and
immediately call the parties to conciliation
meetings. The Board shall have the power
to issue subpoenas requiring the attendance
of the parties to such meetings. It shall be
the duty of the parties to participate fully
and promptly in the conciliation meetings
the Board may call;
Prohibition during conciliation

During the conciliation proceedings in the

Board, the parties are prohibited from doing
any act which may disrupt or impede the
early settlement of the disputes; and

The Board shall exert all efforts to settle

disputes amicably and encourage the parties
to submit their case to a voluntary
arbitrator. (As amended by Section 20,
Republic Act No. 6715, March 21, 1989)
Prohibition during conciliation

During the conciliation proceedings in the

Board, the parties are prohibited from doing
any act which may disrupt or impede the
early settlement of the disputes; and

The Board shall exert all efforts to settle

disputes amicably and encourage the parties
to submit their case to a voluntary
arbitrator. (As amended by Section 20,
Republic Act No. 6715, March 21, 1989)
 ULP in Collective
Bargaining

Art. 261; Silva vs NLRC, 274 SCRA 159:

1. Bargaining in bad faith
2. Refusal to bargain
3. Individual bargaining
4. Gross violation of the CBA
provisions
 Refusal to bargain

Divine Word vs. Sec of Labor, 213 SCRA 759:

The employer, by its refusal to bargain, is
guilty of violating the duty to bargain
collectively in good faith. Hence, the unions
draft CBA proposal may unilaterally be
imposed upon the employer as CBA to
govern their relationship.
Managerial cannot partake CBA

Managerial employees cannot, in the

absence of an agreement to the contrary,
be allowed to share in the concessions
obtained by the labor union through
collective negotiation. Otherwise, they
would be exposed to the temptation of
colluding with the union during the
negotiations to the detriment of the
employer. (Martinez vs. NLRC, GMCR
Inc. and M.A. Javier, G.R. No. 118743,
October 12, 1998
 Gross violation of CBA

It must be remembered that a CBA is entered into

in order to foster stability and mutual cooperation
between labor and capital.
An employer should not be allowed to rescind
unilaterally its CBA with the duly certified
bargaining agent it had previously contracted with,
and decide to bargain anew with a different group
if there is no legitimate reason for doing so and
without first following the proper procedure.
(Employees Union of Bayer Philippines FFW
vs Bayer Phil 162943, Dec 6, 2010)
 ULP under NLRC
Indeed, in Silva v. National Labor Relations
Commission (G.R. No. 110226, June 19, 1997, 274
SCRA 159). The SC explained the correlations of
Article 248 (1) and Article 261 of the Labor Code to
mean that for a ULP case to be cognizable by the
Labor Arbiter, and for the NLRC to exercise
appellate jurisdiction thereon, the allegations in the
complaint must show prima facie the concurrence
of two things, namely:
(1) gross violation of the CBA; and
(2) the violation pertains to the economic provisions of
the CBA
EUBP-FFW vs Bayer Phils
(December 6, 2010)
When an employer proceeds to
negotiate with a splinter union despite
the existence of its valid CBA with the
duly certified and exclusive bargaining
agent, the former indubitably
abandons its recognition of the latter
and terminates the entire CBA.
 Neither Party Shall Terminate
CBA during its lifetime

Where there is a collective

bargaining agreement, the duty
to bargain collectively shall also
mean that neither party shall
terminate or modify such
agreement during its lifetime
(Article 253 of the Labor Code)
 Law on Strike & Lockout

"Strike" means any temporary

stoppage of work by the concerted
action of employees as a result of an
industrial or labor dispute. (Art. 212 [15])
Lockout" means any temporary
refusal of an employer to furnish work
as a result of an industrial or labor
dispute. (Art. 212 [16]).
 Grounds for strike

Collective Bargaining
Deadlock
Unfair labor practice

Union-busting
Legal Procedure on Strike

Notice of Strike
Cooling off period
30 days for CB deadlock
15 days for ULP
O day
Strike vote
Submission of vote results
7 days before the day of intended strike
 Peaceful concerted
activity
Ifthere is NO If there is NO
obstruction of
Illegal acts
ingress,
Coercion
egress or
force
public
Intimidation thoroughfare
or threat
Exercise of Police Power

The assumption of jurisdiction in

Art. 263(g) has now been
viewed as an exercise of the
police power of the State with
the aim of promoting the
common good[19]:
[19]Phimco Industries, Inc. v. Acting Secretary of Labor
Brillantes, 364 SCRA 402, 409 (1999).
Inherent power of the state

[I]t must be noted that Articles 263 (g) and 264 of

the Labor Code have been enacted pursuant to the
police power of the State, which has been defined
as the power inherent in a government to enact
laws, within constitutional limits, to promote the
order, safety, health, morals and general welfare of
society. The police power, together with the power
of eminent domain and the power of taxation, is an
inherent power of government and does not need
to be expressly conferred by the Constitution. x x
x.[20]
[20] Philtread Workers Union (PTWU) v. Confesor, 336 Phil. 375, 380 (1997); Union of Filipro
Employees v. Nestl Philippines, Inc., G.R. Nos. 88710-13, 19 December 1990, 192 SCRA
396, 409.
 RTW immediately executory
Univ. of San Augustine Empl. Union-FFW vs CA & USA (March
28, 2006):
Article 263(g) of the Labor Code, supra, is explicit that if a strike has already
taken place at the time of assumption of jurisdiction or certification, all
striking or locked out employees shall immediately return to work and the
employer shall immediately resume operations and readmit all workers
under the same terms and conditions prevailing before the strike or lock-
out. xxx On the other hand, the tenor of these ponencias[1][18] indicates
an almost instantaneous or automatic compliance for a striker to return to
work once an AJO has been duly served.
[1][18] Union of Filipro Employees vs. Nestle Philippines, Inc., G.R. Nos. 88710-12,
December 19, 1990, 192 SCRA 396; St. Scholasticas College vs. Torres, G.R. No. 100158,
June 29, 1992, 210 SCRA 565; Telefunken Semiconductors Employees Union-FFW vs.
Court of Appeals, G.R. Nos. 143013-14, December 18, 2000, 348 SCRA 565; Grand
Boulevard Hotel vs. Genuine Labor Organization of Workers in Hotel, Restaurant and Allied
Industries (GLOWHRAIN), G.R. No. 153664, July 18, 2003, 406 SCRA 688.
RTW of AJO: Urgent matter
& Executory in Character
Instructive is the ruling of this Court in Philippine
Airlines Employees Association v. Philippine Airlines,
Inc.[26]:
The very nature of a return-to-work order issued in
a certified case lends itself to no other construction.
The certification attests to the urgency of the
matter, affecting as it does an industry
indispensable to the national interest. The order is
issued in the exercise of the courts compulsory
power of arbitration, and therefore must be obeyed
until set aside. x x x.
[26] 148 Phil. 386, 392 (1971).
Univ of San Agustin case

On September 19, 2003, the Union staged

a strike. At 6:45 a.m. of the same day,
Sheriffs Reyes and Francisco had arrived
at San Agustin University to serve the AJO
on the Union. At the main entrance of the
University, the sheriffs saw some elements
of the Union at the early stages of the
strike.
San Agustin case

There they met Merlyn Jara,

the Unions vice president, upon
whom the sheriffs tried to serve the
AJO, but who, after reading it, refused
to receive the same, citing Union
Board Resolution No. 3 naming the
union president as the only person
authorized to do so.
San Agustin case

The sheriffs explained to Ms. Jara that

even if she refused to acknowledge
receipt of the AJO, the same would be
considered served. Sheriff Reyes
further informed the Union that once
the sheriffs post the AJO, it would be
considered received by the Union.[6]

San Agustin case

At approximately 8:45 a.m., the

sheriffs posted copies of the AJO at
the main gate
of San Agustin University, at the main
entrance of its buildings and at
the Unions office inside the campus.
At 9:20 a.m., the sheriffs served the
AJO on the University.

San Agustin case

Notwithstanding the sheriffs advice as to the
legal implication of the Unions refusal to be served
with the AJO, the Union went ahead with the
strike.

At around 5:25 p.m., the Union president

arrived at the respondent Universitys premises and
received the AJO from the sheriffs.

Whether the Secretary of Labor is empowered

to give arbitral awards in the exercise of his
authority to assume jurisdiction over labor
disputes
While an arbitral award cannot per se be
categorized as an agreement voluntarily entered
into by the parties because it requires the
interference and imposing power of the State thru
the Secretary of Labor when he assumes
jurisdiction, the award can be considered as an
approximation of a collective bargaining
agreement which would otherwise have been
entered into by the parties. Hence, it has the
force and effect of a valid contract obligation
between the parties. (Cirtek Employees Labor Union-
Federation of Free Workers vs Cirtek Electronics
Corporation, G.R. 190515, June 6, 2011)
Who shall be admitted back to work
is not a discretion of management

YSS Employees Union vs YSS Laboratories, Inc. (Dec 4,

2009) :

The determination of who among the

strikers could be admitted back to work
cannot be made to depend upon the
discretion of employer, lest we strip the
certification or assumption-of-jurisdiction
orders of the coercive power that is
necessary for attaining their laudable
objective.
RTW not interference with but
regulates management prerogative

YSS Employees Union vs YSS Laboratories,

Inc. (Dec 4, 2009) :
The return-to-work order does not interfere
with the managements prerogative, but
merely regulates it when, in the exercise of
such right, national interests will be
affected.
The rights granted by the Constitution are
not absolute. They are still subject to control and
limitation to ensure that they are not exercised arbitrarily.
May a worker avail of a
bereavement benefit under the
CBA on the death of a fetus?
In Continental Steel Manufacturing Corp vs
Hon. AVA Atty. Allan Montano , et.al (GR
182836, Oct 13, 2009), the SC said that the
rights to bereavement leave and other death
benefits pertain directly to the parents of the
unborn child upon the latters death.
Sections 40, 41 and 42 of the Civil Code do not
provide at all a definition of death. Moreover, while
the Civil Code expressly provides that civil
personality may be extinguished by death, it does
not explicitly state that only those who have
acquired juridical personality could die.
CBA & CBA provisions
interpreted in favor of labor
In Continental Manufacturing, sufra, the SC
said that (b)eing for the benefit of the employee,
CBA provisions on bereavement leave and other
death benefits should be interpreted liberally to
give life to the intentions thereof. Time and again,
the Labor Code is specific in enunciating that in
case of doubt in the interpretation of any law or
provision affecting labor, such should be interpreted
in favor of labor.[29] In the same way, the CBA and
CBA provisions should be interpreted in favor of
labor.
Faculty Association of Mapua Institute of Technology (FAMIT) v. Court of
[29]

Appeals, G.R. No. 164060, 15 June 2007, 524 SCRA 709, 716.
 Rules on Prescription

Tamayo vs Baterbonia, 165 SCRA 94:

1. Offenses penalized under the Labor Code,
and the rules and regulations shall prescribed in
3 years;
2. All ULP shall be filed within one (1) year,
otherwise forever barred; and
3. All monetary claims shall be filed within 3
years.
How about Illegal dismissal?

The SC said in Callanta vs Carnation

Phils, 145 SCRA 268, inter alia:
IIlegal dismissal case does not fall as an
offense under the Labor Code, but under
Art. 1146 of the Civil Code as an injury
to the rights of the plaintiff which under
the Codes statute of limitations
prescribed in four (4) years.
 Concluding Remarks

The state cannot ignore the existing reality of

inequality between the workers and the employers as
regards the control of wealth and power. In order to
address this existing inequality, the state intervenes,
in the exercise of its police power and in consonance
with the precept of social justice, to temper, reduce if
not eliminate this harsh reality by (a) adopting labor
and social legislations; and (b) by balancing their
conflicting but yet inter-rellated and interwined
interests to achieve the common good.
 Dream of a better
tomorrow
Among these labor and social legislations
are the provisions on the right to self-
organization and the right to collectively
bargain and negotiation to empower the
workers to advance their interests, to
protect their rights and to give them
opportunity to participate in decision making
thereby realizing their dreams of a better
tomorrow.
 Beauty of our dreams

The future belongs to those who

believe in the beauty of their dreams
.

(Eleonor Roosevelt)
 Thank you

God Bless!