Labor Reviewer

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.
CAVEAT: This is originally meant to be a personal reviewer, but due to insistent public demand, the author is sharing this to anyone who
may benefit from it.
For any typo errors and possible mistakes, please feel free to refer to your own notes. Or contact the author @
moonspell_weaver@yahoo.com/09225543123
LABOR
- the exertion by human beings of physical or mental efforts, or both, towards the production of goods and services.
LABOR LAW
- govern the rights and duties of the employer and employees with respect to:
1. The terms and conditions of employment and
2. Labor disputes arising from collective bargaining (CB) respecting such terms and conditions.
LABOR LEGISLATION
- is an exercise of police power. The purpose of labor legislation is to regulate the relations between employers (Ers) and employees (Ees)
respecting the terms and conditions of employment, either by providing for certain standards or for a legal framework within which better terms
and conditions of work could be negotiated through CB. It is intended to correct the injustices inherent in ErEe relationship. (2006 Bar Question)
- is sometimes distinguished from social legislation by the former referring to labor statutes, like Labor Relations Law and Labor Standards, and the
latter to Social Security Laws. Labor legislation focuses on the rights of the worker in the workplace.
LABOR STANDARDS
- The minimum terms and conditions of employment prescribed by existing laws, rules and regulations relating to wages, hours of work, costof
living allowance and other monetary and welfare benefits. (Batong Buhay Gold Mines, Inc. v. Dela Serna, G.R. No. 86963, August 6,1999)
th
e.g. 13 month pay
LABOR RELATIONS
Defines and regulates the status, rights and duties, and the institutional mechanisms, that govern the individual and collective interactions of
Ers, Ees, or their representatives. It is concerned with the stabilization of relations of Er and Ees and seek to forestall and adjust the differences
between them by the encouragement of collective bargaining and the settlement of labor disputes through conciliation, mediation and
arbitration.
e.g. Additional allowance pursuant to CBA
SOCIAL LEGISLATION
It includes laws that provide particular kinds of protection or benefits to society or segments thereof in furtherance of social justice.
e.g. GSIS Law, SSS Law, Philhealth benefits
- is a broad term and may include not only laws that give social security protection, but also those that help the worker secure housing and basic
necessities. The Comprehensive Agrarian Reform Law could also be considered a social legislation. All labor laws are social legislation, but not all
social legislation is labor law. (1994 Bar Question)
- consists of statutes, regulations and jurisprudence that afford protection to labor, especially to working women and minors, and is in full accord
with the constitutional provisions on the promotion of social justice to insure the well being and economic security of all the
people.
WELFARE LEGISLATION
- provides for minimum economic security of the worker and his family in case of loss of earnings due to death,old age , disability, dismissal, injury
or disease.It is distinguished from social legislation in that welfare statutes are predicated upon employee-employer relationship.
COMPASSIONATE JUSTICE
- It is disregarding rigid rules and giving due weight to all equities of the case.
e.g: Employee validly dismissed may still be given severance pay.
PRINCIPLE OF SHARED RESPONSIBILITY
PRINCIPLE OF NON-OPPRESSION
- neither capital nor labor shall act oppressively against the other, or impair the interest or convenience of the public. (Art. 1707 Ncc)
SOCIAL JUSTICE
is neither communism nor despotism nor atomism nor anarchy but humanization of laws and equalization of social and economic forces by the
state so that justice in its rational and objectively secular conception may at least be approximated. Social Justice means the promotion of the
welfare of all people, the adoption by the government of measures calculated to ensure economic stability of all the component elements of the
society through the maintenance of proper economic and social equilibrium in the interrelations of the members of the community through the
adoption of measures legally justifiable, or extra-constitutionally ,through the exercise of powers underlying the existence of al governments on the
time honored principle of salus populi est suprema lex.(Calalang v. Williams G.R.No 47800,Dec. 2 ,1940)
DOCTRINE OF MANAGEMENT PREROGATIVE
- every employer has the inherent right to regulate according to his own discretion and judgment all aspects of employment including hiring work
assignments working methods the time place and manner of work, work supervision transfer of employees lay-off of workers and discipline,
dismissal and recall of employees.
DELEGATED LEGISLATIVE POWER
- the Labor Code itself vests the DOLE with rule-making powers in the enforcement thereof And horticultural
AGRICULTURAL FARMWORKER
one employed in an agricultural or farm enterprise and assigned to perform tasks which are directly related to the agricultural activities of the
ER, such as cultivation and tillage of the soil, dairying, growing , harvesting of any agricultural And horticultural commodities, the raising of livestock
or poultry and any activity performed by the farmer as an incident to or conjunction with such farming operations.
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WORKER
any member of the labor force whether employed or unemployed.
RECRUITMENT AND PLACEMENT
- any act of canvassing, enlisting, transporting, contracting, hiring,utilizing, or procuring workers and includes contract services referrals advertising
or promising for employment locally or abroad whether for profit or not; provided that any person or entity which, in any manner offers or
promises for a fee employment to two or more persons shall be deemed engaged in recruitment and placement
PRIVATE FEE CHARGING EMPLOYMENT AGENCY
-any person or entity engaged in the recruitment and placement of workers for a fee which is charged directly or indirectly from the workers or
employers or both
LICENSE
- a document issued by the DOLE authorizing a person or entity to operate a private employment agency.
PRIVATE RECRUITMENT AGENCY
- any person or association engaged in the recruitment and placement of workers for a fee
EMPLOYER (Er)
- Any person acting in the interest of an Er, directly or indirectly. The term does not include a labor organization (LO) or any of its officers and
agents, except when acting as an Er. (Art.212[e])
- Any person or entity that employs the services of others; one for whom work and who pays their wages of salaries; any person acting
in the
interest of an Er; refers to the enterprise where the LO operates or seeks to operate. (Sec.1[s], Rule I, Book V, IRR)
EMPLOYEE (Ee)
- Any person in the employ of the Er
- 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
- One who has been dismissed from work but the legality of dismissal is being contested in a forum of appropriate jurisdiction. (D.O. No. 4003,
Mar. 15, 2003)
Note: The term shall not be limited to the Ees of a particular Er unless the LC explicitly states. Any Ee, whether employed for a definite period or not, shall, beginning on the first day of
service, be considered an Ee for purposes of membership in any labor union. (Art. 277[c], LC)
LABOR DISPUTE
- Includes any controversy or matter concerning:
1. Terms and conditions of employment, or
2. The association or representation of person in negotiating, fixing, maintaining, changing or arranging the terms and conditions of employment
3. Regardless of whether the disputants stand in the proximate relation of Er and Ee. (Art.212[l])
LABOR STANDARD DISPUTES
- Labor standard disputes includes:
a. Compensation E.g. Underpayment of minimum wage; stringent output quota; illegal pay deductions
b. Benefits E.g. Nonpayment of holiday pay, OT pay or other benefits
c. Working Conditions E.g. Unrectified work hazards
LABOR RELATIONS DISPUTES
- this includes:
a. Organizational right disputes/ULP E.g. Coercion, restraint or interference in unionization efforts; reprisal or discrimination due to
union activities; company unionism; ULP, strike or lockout; union members complaint against
union officers
b. Representation disputes E.g. Uncertainty as to which is the majority union; determination of appropriate CB unit; contests for
recognition by different sets of officers in the same union
c. Bargaining disputes E.g. Refusal to bargain; bargaining in bad faith; bargaining deadlock; economic strike or lockout
d. Contract administration or personnel policy disputes E.g. Non compliance with CBA provision (ULP i) gross non compliance with
economic provisions); disregard of grievance machinery; non observance of
unwarranted use of union security clause; illegal or unreasonable personnel
management policies; violation of nostrike/nolockout agreement
e. Employment tenure disputes E.g. Nonregularization of Ees; non absorption of labor only contracting staff; illegal termination;
non issuance of employment contract
INTER- UNION DISPUTE
- any conflict between and among legitimate labor unions involving representation questions for the purposes of CB or to any other conflict or
dispute between legitimate labor unions.
INTRA-UNION DISPUTE
- Any conflict between and among union members, grievances arising from any violation of the rights and conditions of membership, violation of
or disagreement over any provision of the unions constitution and by laws, or disputes from chartering or affiliation of union.
RIGHTS DISPUTE
- claims for violations of a specific right arising from a contract, i.e. CBA or company policies.
INTEREST DISPUTES
- involves questions on what should be included in the CBA. Strictly speaking, the parties may choose a voluntary arbitrator to decide on the
terms and conditions of employment, but this is impracticable because it will be a value judgment of the arbitrators and not of the parties.
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CONTRACT NEGOTIATION DISPUTES

- these are disputes as to the terms of the CBA
WORKER
- Any member of the labor force, whether employed or unemployed. (Art. 13 [a], LC)
RECRUITMENT AND PLACEMENT
- Any act of canvassing, enlisting, contracting, transporting, utilizing, hiring or procuring workers; and
- Includes referrals, contact services, promising or advertising for employment, locally or abroad, whether for profit or not. (Art. 13 [b],LC)
NAME HIRES
- are individual workers are able to secure contracts for overseas employment on their own efforts and representations without the assistance or
participation of any agency. Their hiring, nonetheless, shall pass through the POEA for processing purposes. (Part III, Rule III, POEA Rules Governing
Overseas Employment as amended in 2002)
PRIVATE EMPLOYMENT AGENCY
- any person or entity engaged in the recruitment and placement of workers for a fee, which is charged, directly or indirectly, from the workers or
employers or both.
PRIVATE RECRUITMENT AGENCY
- any person or association engaged in the recruitment and placement of workers without charging any fee, directly or indirectly, from the workers
or employers.
SEAMAN
- any person employed in a vessel engaged in maritime navigation.
OVERSEAS EMPLOYMENT
- employment of a worker outside the Phils..
OVERSEAS FILIPINO WORKER (OFW)
- a person who is to be engaged, is engaged or has been engaged in a remunerated activity in a State of which he or she is not a citizen or on board
a vessel navigating the foreign seas other than a government ship used for military or non commercial purposes or on an installation located
offshore or on the high seas; to be used interchangeably with migrant worker. (Sec.2, R.A. 10022 amending R.A. 8042)
MIGRANT
- any person, worker or otherwise, who emigrates to a foreign country by virtue of an immigrant visa or resident permit or its equivalent in the
country of destination.
LICENSE
- issued by DOLE authorizing a person or entity to operate a private employment agency.
AUTHORITY
- a document issued by the DOLE authorizing a person or association to engage in recruitment and placement activities as a private recruitment
entity.
NON-LICENSEE/NON-HOLDER OF AUTHORITY
- Any person, corporation or entity:
1. Which has not been issued a valid license or authority to engage in recruitment and placement by the Secretary of Labor and Employment
2. Whose license or authority has been suspended, revoked or cancelled by the POEA or the SLE
ILLEGAL RECRUITMENT
- defined by law as any recruitment activities undertaken by nonlicenses or nonholders of authority.
THEORY OF IMPUTED KNOWLEDGE
- A rule in insurance law that any information material to the transaction, either possessed by the agent at the time of the transaction or acquired
by him before its completion, is deemed to be the knowledge of the principal, at least so far as the transaction is concerned, even though in fact
the knowledge is not communicated to the principal at all. (Leonor v. Filipinas Compania, 48 OG 243)
DIRECT HIRING
- It is when an employer hires a Filipino worker for overseas employment without going through the POEA or entities authorized by the Secretary
of Labor.
WORKERS PAID BY RESULTS
- They are workers who are paid based on the work completed; and not on the time spent in working including those who are paid on piecework,
takay, pakiaw, or task basis if their output rates are in accordance with the standards prescribed.
Managerial Ee One who is vested with the powers or prerogatives to lay down and execute management policies and/or to hire, transfer,
suspend, layoff, recall, discharge, assign or discipline Ees.
Supervisory Ee those who in the interest of the Er, effectively recommend such managerial actions if the exercise of such authority
merely routinary or clerical in nature but requires the use of independent judgment.
RankandFile Ee all Ees not falling within any of the above definitions. (Art. 212*m+)
is not
Compressed workweek
- The normal workweek is reduced to less than 6 days but the total number of workhours of 48 hours per week shall remain. The normal workday
is increased to more than 8 hours but not to exceed 12 hours, without corresponding overtime premium. The concept
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can be adjusted accordingly depending on the normal workweek of the company. (Department Advisory Order No. 2,
Series of 2009)
WORK DAY
- The 24hour period which commences from the time the employee regularly starts to work
e.g. If the worker starts to work 8 am today, the workday is from 8 am today up to 8 am tomorrow.
Note: Minimum normal working hours fixed by law need not be continuous to constitute the legal working day.
NIGHT WORK
- Any and all work rendered between 6:00 pm and 6:00 am. (National Rice & Corn Corp. v. NARIC, 105 Phil 891)
NIGHT SHIFT DIFFERENTIAL (NSD)
- an additional compensation of not less than 10% of an Ees regular wage for every hour worked between 10:00 pm
such period is part of the workers regular shift.
to 6:00 am, whether or not
WAGE
- is the remuneration or earnings, however designated, capable of being expressed in terms of money, whether fixed or ascertained on a time,
task, piece, or commission basis, or other method of calculating the same, payable by an employer (Er) to an employee (Ee) under a written or
unwritten contract of employment:
WAGE DISTORTION (WD)
- A situation where an increase in wage results in the elimination or severe contraction of intentional quantitative differences in wage or salary
rates between and among the Eegroups in an establishment as to effectively obliterate the distinctions embodied in such wage structure based
on skills, length of service or other logical bases of differentiation.
BANKRUPTCY
- referred to in the Phils. as Insolvency. It denotes the state of an entity or person that has liabilities greater than its assets.
MORTGAGE
- directly subjects the property upon which it is imposed, whoever the possessor may be, to the fulfillment of the obligation for which it was
constituted. It creates a real right which is enforceable against the whole world. It is therefore a lien on an identified real property.
MORTGAGE CREDIT
- a special preferred credit under the Civil Code in the classification of credits. The preference given by the LC when not attached to any specific
property is an ordinary preferred credit. (1995 Bar Question)
ORDINARY ATTORNEYS FEE
- the reasonable compensation paid to a lawyer by his client for the legal services he has rendered.
EXTRAORDINARY ATTORNEYS FEE
- the indemnity for damages ordered by the court to be paid by the losing party in litigation and is not to be paid to the lawyer but to the client,
unless they have agreed that the award shall pertain to the lawyer as an additional compensation or as a part thereof. (Traders Royal Bank Ees
UnionIndependent v. NLRC, G.R. No.120592, Mar. 14, 1997)
UNION SERVICE FEE
- The appearance of labor federations and local unions as counsel in labor proceedings has been given legal sanction under Art.222 of the LC,
which allows nonlawyers to represent their organization thereof. The said labor federations and local unions have a valid claim to attys fees
which is called the Union Service Fee.
SALARY CEILING METHOD

- A method of minimum wage adjustment whereby the wage adjustment is applied to Ees receiving a certain denominated ceiling. In other words,
workers already being paid more than the existing minimum wage are also to be given a wage increase. (ECOP v. NWCP, G.R. No. 96169, Sep. 24,
1991)
FLOOR WAGE METHOD
- involves the fixing of a determinate amount to be added to the prevailing statutory minimum wage rates.
WEEKLY REST DAY (WRD)
- Every employer shall give his employees a rest period of not less than 24 consecutive hours after every 6 consecutive
Rule III, Book III, IRR)
normal work days. (Sec. 3,
PREMIUM PAY
- the additional compensation for work rendered by the employee on days when normally he should not be working such as special holidays and
weekly rest days.
HOLIDAY PAY (HP)
- a premium given to employees (Ees) pursuant to law even if he has not been suffered to work on a regular holiday. It is limited to the 11 regular
holidays, also called legal holidays listed by law. The employee (Ee) should not have been absent without pay on the working day
preceeding the regular holiday.
REGULAR HOLIDAYS(RH)
- They are compensable whether worked or unworked subject to certain conditions. They are also called legal holidays.
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MUSLIM HOLIDAYS (MH) - The MHs, except Eidl Fitr, are observed in specified Muslim areas. All private corporations, offices, agencies and entities
or establishments operating within the designated Muslim provinces and cities are required to observe MH.
RETAIL ESTABLISHMENTS
- are engaged in the sale of goods to end users for personal or household use. (e.g. Grocery)
SERVICE ESTABLISHMENTS
- are engaged in the sale of services to individuals for their own or household use. (e.g. TV repair shop)
Service incentive leave (SIL)
- It is 5 days leave with pay for every employee who has rendered at least 1 yr of service. It is commutable to its money equivalent if not used or
exhausted at the end of year.
Maternity leave benefit
- A covered female employee (Ee) is entitled to a daily maternity benefit equivalent to 100% of her present basic salary, allowances and other
benefits or the cash equivalent of such benefits for 60 days or 78 days in case of caesarian delivery.
paternity leave benefits
- every married male employee in the private and public sectors shall be entitled to a paternity leave of 7 days with full pay for the first 4
deliveries of the legitimate spouse with whom he is cohabiting.
PARENTAL LEAVE
- Leave benefits granted to a solo parent to enable him/her to perform parental duties and responsibilities where physical presence is required. In
addition to leave privileges under existing laws, parental leave of not more than 7 working days every year shall be granted to any solo parent Ee
who has rendered service of at least 1 year. (Sec. 8)
SOLO PARENT ENTITLED TO PARENTAL LEAVE
- Any individual who falls under any of the ff. categories:
1. A woman who gives birth as a result of rape and other crimes against chastity even without a final conviction of the offender,
provided, That the mother keeps and raises the child;
2. Parent left solo or alone with the responsibility of parenthood due to:
a. Death of spouse;
b. Detention or service of sentence of spouse for a criminal conviction for at least 1 yr;
c. Physical and/or mental incapacity of spouse
d. Legal separation or de facto separation from spouse for at least 1 yr as long as he/she is entrusted with the custody of the
children;
e. Nullity or annulment of marriage as decreed by a court or by a church as long as he/she is entrusted with the custody of the
children;
f. Abandonment of spouse for at least 1 yr;
3. Unmarried mother/father has preferred to keep and rear his or her child/children instead of:
4. Any family member who assumes the responsibility of head of family as a result of the:
a. death,
b. abandonment,
c. disappearance or
d. prolonged absence of the parents or solo parent.
13th MONTH PAY
- Additional income based on wage required by P.D. 851 Requiring all Employers to pay their Employees a 13th month pay which is equivalent to
1/12 of the total basic salary earned by an employee (Ee) within a calendar year.
NON-HAZARDOUS WORK
- is any work or activity in which the Ee is not exposed to any risk which constitutes an imminent danger to his safety and health.
CHILD LABOR
- any work or economic activity performed by a child that subjects him or her to any form of exploitation or is harmful to his or her health and
safety or physical, mental or psychosocial development.
HOUSEHELPER/DOMESTIC SERVANT
- any person who renders services in and about the ERs home and services which are usually necessary or desirable for the maintenance and
enjoyment thereof and ministers exclusively to the personal comfort and enjoyment of the ERs family
HOMEWORKERS
- are those who perform in or about his own home any processing or fabrication of goods or materials, in whole or in part, which have been
furnished directly or indirectly, by an Er and sold thereafter to the latter.
Apprentice
- any worker who is covered by a written apprenticeship agreement with an individual employer or any of the entities recognized under the LC.
Apprenticeship
- a practical training on the job supplemented by related theoretical instruction.
Apprenticeable occupation
- that which requires more than 3 months of practical training with theoretical instruction
On the job training (OJT)
- practical work experience through actual participation in productive activities given to or acquired by an apprentice.
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Exhaustion of Administrative Remedies (EAR)

- a condition precedent to the institution of action. (Sec. 32b, Rule VI, Book II, IRR)
LEARNERSLEARNERSHIP AGREEMENT
- Any employer desiring to employ learners shall enter into a learnership agreement with them, which agreement shall include:
1. The names and addresses of the learners;
2. The duration of the learnership period, which shall not exceed 3 months;
3. The wages or salary rates of the learners which shall begin at not less than 75% of the applicable minimum wage; and
4. A commitment to employ the learners if they so desire, as regular employees upon completion of the learnership.
Control test - The person for whom the services are performed reserves a right to control not only the end to be achieved but also the means to be
used in reaching such end.
Note: However, in certain cases the control test is not sufficient to give a complete picture of the relationship between the parties, owing to the complexity of such a relationship where
several positions have been held by the worker. The better approach is to adopt the two tiered test. (Francisco vs. NLRC, G.R. No. 170087, Aug. 31, 2006)
PROBATIONARY EMPLOYMENT
- Employment where the employee (Ee), upon his engagement:
1. Is made to undergo a trial period
2. During which the Er determines his fitness to qualify for regular employment,
3. Based on reasonable standards made known to the Ee at the time of engagement. (Sec 6, Rule I, Book VI, IRR)
Note: The services of an Ee who has been engaged on probationary basis may be terminated only for just cause, when he fails to qualify as a regular Ee in accordance with
reasonable standards prescribed by the Er.
REGULAR EMPLOYMENT
- An employment shall be deemed to be regular where the Ee has been engaged to perform activities which are usually necessary or desirable in
the usual business or trade of the Er, the provisions of written agreements to the contrary notwithstanding and regardless of the oral
agreements of the parties. (Sec. 5 [a], Rule I, Book VI, IRR)
- Any Ee who has rendered at least one year of service, whether such service is continuous or broken, shall be considered a regular Ee with respect
to the activity in which he is employed and his employment shall continue while such activity exists. (Sec. 5 [b], Rule I, Book VI, IRR)
Note: Regularization is not a management prerogative; rather, it is the nature of employment that determines it. It is a mandate of the law. (PAL v. Pascua, G.R. No. 143258, Aug. 15, 2003) A
probationary Ee becomes a regular Ee after 6 months. A regular Ee may only be terminated for just/authorized causes.
PROJECT EMPLOYMENT
- Employment that has been fixed for a specific project or undertaking the completion for which has been determined at the time of engagement
of the employee (Ee). (Sec.5 [a], Rule I, Book VI, IRR). The period is not the determining factor, so that even if the period is more than 1 year, the
Ee does not necessarily become regular.
Note: Where the employment of a project Ee is extended long after the supposed project has been finished, the Ees are removed from the scope of project Ees and considered as regular
Ees.
DAY CERTAIN RULE

- It states that a project employment that ends on a certain date does not end on an exact date but upon the completion of the project.
- A "project" has reference to a particular job or undertaking that may or may not be within the regular or usual business of the Er. In either case,
the project must be distinct, separate and identifiable from the main business of the Er, and its duration must be determined or determinable
(PAL v. NLRC, G.R. No. 125792, Nov. 9, 1998).
SEASONAL EMPLOYMENT
- Employment where the job, work or service to be performed is seasonal in nature and the employment is for the duration of the
season. (Sec.5 [a], Rule I, Book VI, IRR)
- An employment arrangement where an employee (Ee) is engaged to work during a particular season on an activity that is usually necessary or
desirable in the usual business or trade of the employer (Er).
Note:. Passage of time does not make a seasonal worker regular or permanent. (Mercado v. NLRC, G.R. No. 78969, Sep. 5, 1991)
Seasonal workers who are repeatedly engaged from season to season performing the same tasks are deemed to have acquired regular employment. (Hacienda Fatima v. National
Federation of Sugarcane WorkersFood and General Trade, G.R. No. 149440, Jan. 28, 2003)
CASUAL EMPLOYMENT
- It is an employment where the Ee is engaged in an activity which is not usually necessary or desirable in the usual business or trade of the Er,
provided: such employment is not project nor seasonal (Art. 281).
- An Ee is engaged to perform a job, work or service which is merely incidental to the business of the Er, and such job, work or service is for a
definite period made known to the Ee at the time of engagement (Sec. 5 [b], Rule I, Book VI, IRR)
Note: If he has rendered at least 1 year of service, whether such service is continuous or broken, he is considered as regular Ee with respect to the activity in which he is employed and
his employment shall continue while such activity exists.
A Casual Ee is only casual for 1 year, and it is the passage of time that gives him a regular status. (KASAMMA-CCO v. CA, G.R. No. 159828, April 19, 2006)
FIXED- TERM EMPLOYMENT

- It is an employment where a fixed period of employment was agreed upon:
1. Knowingly and voluntarily by the parties,
2. Without any force, duress or improper pressure being brought to bear upon the employee (Ee) and
3. Absent any other circumstances vitiating his consent, or
4. Where it satisfactorily appears that the Er and Ee dealt with each other on more or less equal terms with no moral dominance
whatever being exercised by the former over the latter. (Brent School, Inc. v. Zamora, G.R. No. 48494, Feb. 5, 1990)
Note: A fixedperiod Ee does not become a regular Ee because his employment is coterminus with a specific period of time. Ee hired on a
fixedterm is regular if job is necessary and desirable to the business of Er. (Philips Semiconductor v. Fadriquela, G.R. No. 141717, April 2004)
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LABOR-ONLY CONTRACTING
- A person is deemed to be engaged in laboronly contracting where:
1. The person supplying workers to an employer does not have substantial capital or investment in the for of tools, equipment,
machineries, work premises, among others; and
2. The workers recruited and placed by such person are performing activities which are directly related to the principal business of such
employer. (Baguio v. NLRC, G.R. No. 7900408, Oct. 4, 1991)
CONTRACTOR/SUBCONTRACTOR Refers to any person engaged in a legitimate contracting or subcontracting arrangement.
Contractual Ee One who is employed by a contractor or subcontractor to perform or complete a job, work, or service pursuant
to an arrangement between the latter and a principal. (D.O. 1802)
Principal Any Er who puts out or farms out a job, service, or work to a contractor or subcontractor.
SUBSTANTIAL CAPITAL/INVESTMENT
- It refers to the capital stocks and subscribed capitalization in case of corporations, tools, equipments, implement, 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.
(D.O. 1802)
RIGHT TO CONTROL
- It refers to the right reserved to the person for whom the services 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. (D.O. 1802)
LABOR ONLY CONTRACTING
- It refers to an arrangement where the following conditions concur:
1. The person supplying workers to an Er does not have substantial capital or investment in the form of tools, equipment, machineries, work,
premises, among others, or
2. Even if such person has substantial assets, the same are not actually or directly used by the Ees contracted out;
3. The workers recruited and placed by such person are performing activities which are directly related to the principal business of such Er.
Substantive Due Process - provides the ground for disciplinary action, i.e. corrective or retributive
Serious misconduct
- an improper or wrong conduct; the transgression of some established and definite rule of action, a forbidden act, a dereliction of duty, willful
in character, and implies wrongful intent and not mere error in judgment. To be serious within the meaning and intendment of the law, the
misconduct must be of such grave and aggravated character and not merely trivial or unimportant. (Villamor Golf Club v. Pehid, G.R. No. 166152,
Oct. 4, 2005)
GROSS NEGLIGENCE
- Gross negligence implies a want or absence of or failure to exercise slight care of diligence of the entire absence of care it evinces thoughtless
disregard of consequences without exerting any effort to avoid them. However, such neglect must not only be gross but habitual in character.
(Judy Phils. v. NLRC, G.R. No. 111934, April 29, 1998)
HABITUAL NEGLECT OF DUTIES
- Habitual Neglect implies repeated failure to perform ones duties over a period, depending upon the circumstance. (JGB and Associates v. NLRC,
GR No. 10939, Mar. 7, 1996)
TOTALITY OF INFRACTIONS DOCTRINE
A: It is the totality, not the compartmentalization of company infractions that the Ee has committed, which justifies the penalty of dismissal.
(MERALCO v. NLRC, G.R. No. 114129, Oct. 24, 1996)
Note: Where the Ee has been found to have repeatedly incurred several suspensions or warnings on account of violations of company rules and regulations, the law warrants their
dismissal as it is akin to habitual delinquency. (Villeno v. NLRC, G.R. No. 108153, Dec. 26, 1995)
DOCTRINE OF INCOMPATIBILITY
- where the employee has done something that is contrary or incompatible with the faithful performance of his duties, his employer has a just
cause for terminating his employment. (Manila Chauffeurs League v. Bachrach Motor Co., G.R. No. L47071, June 17, 1940 )
REINSTATEMENT
- the restoration of the employee to the state from which he has been unjustly removed or separated without loss of seniority rights and other
privileges.
DOCTRINE OF STRAINED RELATIONS
- when the Er can no longer trust the Ee and vice versa, or there were imputations of bad faith to each other, reinstatement could not
effectively serve as a remedy. This doctrine applies only to positions which require trust and confidence (Globe
Mackay v. NLRC, G.R. No. 82511, March 3, 1992).
BACKWAGES
- the relief given to an employee (Ee) to compensate him for the lost earnings during the period of his dismissal. It presupposes illegal
termination.
Note: Entitlement to backwages of the illegally dismissed Ee flows from law. Even if he does not ask for it, it may be given. The failure to claim backwages in the complaint for illegal dismissal is a mere procedural lapse
which cannot defeat a right granted under substantive law. (St. Michaels Institute v. Santos, G.R. No. 145280, Dec. 4, 2001)
CONSTRUCTIVE DISMISSAL
- An involuntary resignation resorted to when:
1. Continued employment becomes impossible, unreasonable, or unlikely
2. There is a demotion in rank or diminution in pay or
3. Clear discrimination, insensibility or disdain by an Er becomes unbearable to the Ee. (Leonardo v. NLRC, G.R. No.125303, June 16, 2000)
Note: There is no formal dismissal. The Ee is placed in a situation by the Er such that his continued employment has become unbearable. Abandonment is incompatible with constructive
dismissal.
Page 7 of 14

PREVENTIVE SUSPENSION
- During the pendency of the investigation, the Er may place the Ee under preventive suspension leading to termination when there is an imminent
threat or a reasonable possibility of a threat to the lives and properties of the Er, his family and representatives as well as the offenders
coworkers by the continued service of the Ee.
QUITCLAIM
- a document executed by an employee in favor of the employer preventing the former from filing any further money claim against the latter
arising from employment.
RETIREMENT
the result of a bilateral act of the parties, a voluntary agreement between the employer and the employees whereby the latter after reaching a
certain age agrees and/or consents to sever his employment with the former. (Soberano v. Sec. of Labor, G.R. Nos. L4375356 and
L50991, Aug. 29, 1980)
RETIREMENT BENEFITS
-In the absence of an applicable agreement or retirement plan A retiree is entitled to a retirement pay equivalent to at least month salary for
every year of service, a fraction of at least 6 months being considered as 1 whole year. (Sec.5.1, Rule II, Book VI, IRR)
BONUS
- an amount granted and paid to an Ee for his industry and loyalty which contributed to the success of the Ers business and made possible the
realization of profits.
Employer (Er) - any person, natural or juridical, domestic or foreign, who carries into the Phils. any trade, business, industry, undertaking or
activity of any kind and uses the services of another person who is under his orders as regards the employment, except the
Government and any of its political subdivision, branches or instrumentalities, including corporations owned or controlled by the
Government: Provided, That a selfemployed person shall be both Ee and Er at the same time. (Sec 8[c])
Employee (Ee) - any person who performs services for an Er in which either or both mental and physical efforts are used and who receives
compensation for such services, where there is an ErEe relationship: Provided, That a selfemployed person shall be both Ee and Er
at the same time. (Sec. 8[d])
CONTINGENCY
- the retirement, death, disability, injury or sickness and maternity of the member.
Retirement benefit
- a cash benefit paid to a member who can no longer work due to old age.
Monthly Pension
Lifetime cash benefit paid to a retiree who has paid at least 120 monthly contributions to the SSS prior to the semester of retirement .
Lump Sum Amount
Granted to a retiree who has not paid the required 120 monthly contributions.
Disability benefit
- a cash benefit paid to a member who becomes permanently disabled, either partially or totally.
Sickness benefit
- a daily cash allowance paid for the number of days a member is unable to work due to sickness or injury.
Funeral benefit
- a funeral grant equivalent to P12, 000.00 shall be paid, in cash or in kind, to help defray the cost of expenses upon the death of a member or
retiree. (Sec. 13B)
Maternity benefit
- a daily cash allowance granted to a female member who was unable to work due to childbirth or miscarriage.
maternity benefit
-The maternity benefit is equivalent to 100 per cent of the members average daily salary credit multiplied by 60 days for normal delivery or
miscarriage, 78 days for caesarean section delivery.
Compensation
- All actual remuneration for employment, including the mandated cost of living allowance, as well as the cash value of any remuneration paid in
any medium other than cash except that part of the remuneration received during the month in excess of the maximum salary.
- The basic pay or salary received by an Ee, pursuant to his or her election or appointment, excluding per diems, bonuses, OT pay, honoraria,
allowances and any other emoluments received in addition to the basic pay which are not integrated into the basic pay under existing laws. (Sec.
2[i])
Disability
- Any loss or impairment of the normal functions of the physical and/or mental faculty of a member, which reduces or eliminates his/her
capacity to continue with his/her current gainful occupation or engage in any other gainful occupation.
Total disability
- complete incapacity to continue with present employment or engage in any gainful occupation due to the loss or impairment of the normal
functions of the physical and/or mental faculties of the member.
Page 8 of 14

Permanent total disability (PTD)

- Accrues or arises when recovery from impairment mentioned in Sec.2(q) (defining disability) is medically remote.
Permanent partial disability (PPD)
- Accrues or arises upon the irrevocable loss or impairment of certain portions of the physical faculties, despite which the member is able to
pursue a gainful occupation.
Limited Portability Rule
- A covered worker who transfers employment from one sector to another or is employed on both sectors, shall have creditable services or
contributions on both Systems credited to his service or contribution record in each of the Systems and shall be totalized for purposes of old
age, disability, survivorship, and other benefits in either or both Systems. (Sec. 3)
- All contributions paid by such member personally, and those that were paid by his employers to both Systems shall be considered in the
processing of benefits which he can claim from either or both Systems. (Sec. 4)
Employees Compensation Program (ECP)

- the program provided for in Art. 166- 208 of the Labor Code whereby a fund known as the State Insurance Fund (SIF) is established through
premium payments exacted from Ers and from which the Ees and their dependents in the event of workconnected disability or death, may
promptly secure adequate income benefit, and medical or related benefits.
Occupational Disease
- One which results from the nature of the employment, and by nature is meant conditions which all Ees of a class are subject and which produce
the disease as a natural incident of a particular occupation, and attach to that occupation a hazard which distinguishes it from the usual run of
occupations and is in excess of the hazard attending the employment in general
-To be occupational, the disease must be one wholly due to causes and conditions which are normal and constantly present and characteristic of
the particular occupation.
SICKNESS
- any illness definitely accepted as an occupational disease listed by the Commission or any illness caused by employment, subject to proof that
the risk of contracting the same is increased by working conditions (Art. 167(l), LC).
BENEFICIARIES
-means the dependent spouse until he remarries and dependent children, who are the primary beneficiaries. In their absence, the dependent
parents and subject to the restrictions imposed on dependent children, the illegitimate children and legitimate descendants who are the
secondary beneficiaries; Provided, that the dependent acknowledged natural child shall be considered as a primary beneficiary when there are
no other dependent children who are qualified and eligible for monthly income benefit. (Art. 167, LC, as amended by Sec. I, P.D. 1921)
BARGAINING UNIT
- a group of Ees of a given Er, comprised of all or less than all of the entire body of the Ees which the collective interest of all the Ees consistent
with equity to the employer, indicate to be best suited to serve the reciprocal rights and duties of the parties under the collective bargaining
provisions of the law.
VOLUNTARY RECOGNITION (VR)
The process by which a legitimate labor union is recognized by the employer (Er) as the exclusive bargaining representative or agent in a bargaining
unit, reported with the Regional Office. (Sec. 1 [bbb], Rule I, Book V, IRR)
CERTIFICATION ELECTION (CE)
- It is the process of determining through secret ballot the sole and exclusive representative of the Ees in an appropriate bargaining unit, for
purposes of CB or negotiation. (Sec. 1 [h], Rule I, Book V, IRR)
Note: The process is called CE because it serves as the official, reliable and democratic basis for the BLR to determine and certify the union that shall be the exclusive bargaining
representative of the Ees for the purpose of bargaining with the Er.
DIRECT CERTIFICATION
- It is the process whereby the MedArbiter directly certifies a labor organization of an appropriate bargaining unit (ABU) of a company after a
showing that such petition is supported by at least a majority of the Ees in the bargaining unit.
CONTRACT BAR - RULE
- means that while a valid and registered CBA is subsisting, the BLR is not allowed to hold an election contesting the majority status of the
incumbent union except during the 60day period immediately prior to its expiration, which period is called the freedom period.
Note: In the absence of such timely notice or filing of petition, the contract executed during the automatic renewal period is a bar to CE.
There shall be no amendment, alteration, or termination of any of the provisions of the CBA except to give notice of one partys intention to
amend, alter and terminate the provisions within the freedom period.
DEADLOCK BAR RULE
- A petition for certification election (PCE) cannot be entertained if, before the filing of the PCE, a bargaining deadlock to which an incumbent or
certified bargaining agent is a party, had been submitted to conciliation or arbitration or had become the subject of a valid strike or lockout.
NEGOTIATION BAR RULE
- A PCE cannot be entertained if, before the filing of the PCE, the duly recognized or certified union has commenced negotiations with the Er
in accordance with Art. 250 of the LC.
CERTIFICATION YEAR RULE
- No PCE may be filed within one year from the date of a valid certification, consent, or runoff election or from the date of voluntary recognition.
Page 9 of 14

runoff election
An election conducted when:
1. An election which provides for 3 or more choices results in none of the contending unions receiving a majority of the valid votes cast, and
2. There are no objections or challenges which if sustained can materially alter the results, provided
3. The total number of votes for all the contending unions is at least 50% of the number of votes cast. (Sec. 1, Rule X, Book V, IRR)
4. Not one of the choices obtained the majority of the valid votes cast (50%+ 1 second majority);
5. The two choices which garnered the highest votes will be voted and the one which garners the highest number of votes will be declared the
winner provided they get the majority votes of the total votes cast.
CHARTER CERTIFICATE
SUBSTITUTIONARY DOCTRINE
- It is where there occurs a shift in the Ees union allegiance after the execution of a collective bargaining (CB) contract with
the Er, the Ees can change their agent (labor union) but the CB contract which is still subsisting continues to bind the Ees up
to its expiration date. They may however, bargain for the shortening of said expiration date.
union dues
- These are regular monthly contributions paid by the members to the union in exchange for the benefits given to them by the CBA and to
finance the activities of the union in representing the union.
checkoff
- It is a method of deducting from an Ees pay at a prescribed period, the amounts due the union for fees, fines and assessments. Deductions for
union service fees are authorized by law and do not require individual checkoff authorizations.
collective bargaining (CB)
- It is the process of negotiation by an organization or group of workmen, in behalf of its members, with the employer (Er), concerning
wages, hours of work, and other terms and conditions of employment and
- The settlement of disputes by negotiation between an Er and the representative of his employees (Ee)
- It is the obligation to meet and convene promptly and expeditiously in good faith for the purpose of negotiating an agreement with
respect to wages, hours of work and all other terms and conditions of employment including proposals for adjusting any grievances or
questions arising under such agreement and executing a contract incorporating such agreements if requested by either party but such
does not compel any party to agree to a proposal or to make any concession. (Art. 252, LC)
COLLECTIVE BARGAINING AGREEMENT (CBA)
- It is a contract executed upon request of either the Er or the exclusive bargaining representative of the Ees incorporating the agreement reached
after negotiations with respect to wages, hours of work, terms and conditions of employment, including proposals for adjusting any grievance or
questions under the agreement.
ZIPPER CLAUSE
- It is a stipulation in a CBA indicating that issues that could have been negotiated upon but not contained in the CBA cannot be raised for
negotiation when the CBA is already in effect.
A CBA is not an ordinary contract but one impressed with public interest, only provisions embodied in the CBA should be so interpreted and
complied with. Where a proposal raised by a contracting party does not find print in the CBA, it is not a part thereof and the proponent
has no claim whatsoever to its implementation. (SMTFMUWP v. NLRC, G.R. No. 113856, Sept. 7, 1998)
DEADLOCK
- synonymous with impasse or a standstill which presupposes reasonable effort at GF bargaining but despite noble intentions does not conclude
an agreement between the parties.
REMEDIES IN CASE OF DEADLOCK IN RENEGOTIATION OF CBA
The parties may:
1. Call upon the NCMB to intervene for the purpose of conducting conciliation or preventive mediation;
2. Refer the matter for voluntary arbitration or compulsory arbitration;
3. Declare a strike or lockout upon compliance with the legal reqts (This remedy is a remedy of last resort).
60DAY FREEDOM PERIOD
1. A labor union may disaffiliate from the mother union to form a local or independent union only during the 60day freedom period
immediately preceding the expiration of the CBA.
2. Either party can serve a written notice to terminate or modify agreement at least 60days prior to its expiration period.
3. A petition for certification election may be filed.
SINGLE ENTERPRISE BARGAINING
- involves negotiation between one certified labor union and one Er. Any voluntarily recognized or certified labor union may demand
negotiations with its Er for terms and conditions of work covering Ees in the bargaining unit concerned
MULTI ER BARGAINING SCHEME
- involves negotiation between and among several certified labor unions and Ers.
ECONOMIC PROVISIONS OF CBA
A: 1. Wages
2. Family planning
3. Effectivity of the agreement
4. Other terms and conditions of employment
Page 10 of 14

NON-ECONOMIC PROVISIONS OF A CBA

A: 1. Coverage of the bargaining unit
2. Union security clauses
3. Management prerogatives and/or rights/responsibilities of employees
4. Grievance machinery and voluntary arbitration
5. No strike no lock out provision
MANDATORY PROVISIONS OF THE CBA
1. Grievance machinery
2. Voluntary arbitration
3. Wages
4. Hours of work
5. Family planning
6. Rates of pay
7. Mutual observance clause
GRIEVANCE
- any question by either the employer or the union regarding the interpretation or implementation of any provision of the CBA or interpretation or
enforcement of company personnel policies. (Sec.1 [u], Rule I, Book V, IRR)
GRIEVANCE MACHINERY
- refers to the mechanism for the adjustment and resolution of grievances arising from the interpretation or enforcement of company
personnel policies. It is part of the continuing process of collective bargaining (CB).
GRIEVANCE PROCEDURE
- refers to the internal rules of procedure established by the parties in their CBA which usually consists of successive steps starting at the level of the
complainant and his immediate supervisor and ending, when necessary, at the level of the top union and company officials and with voluntary
arbitration as the terminal step.
VOLUNTARY ARBITRATION - refers to the mode of settling labor management disputes by which the parties select a competent, trained and
impartial third person who shall decide on the merits of the case and whose decision is final and executory. (Sec.1 [d], Rule
II, NCMB Revised Procedural Guidelines in the Conduct of Voluntary Arbitration Proceedings, Oct. 15, 2004)
DIFFERENECE BETWEEN COMPULSARY AND VOLUNTARY ARBITRATION
- Compulsory arbitration is a system whereby the parties to a dispute are compelled by the government to forego their right to strike and are
rd
compelled to accept the resolution of their dispute through arbitration by a 3 party. The essence of arbitration remains since a resolution
of a dispute is arrived at by resort to a disinterested third party whose decision is final and binding on the parties, but in compulsory arbitration,
such a third party is normally appointed by the government.
Under voluntary arbitration, on the other hand, referral of a dispute by the parties is made, pursuant to a voluntary arbitration clause in their
collective agreement, to an impartial third person for a final and binding resolution. Ideally, arbitration awards are supposed to be complied
with by both parties without delay, such that once an award has been rendered by an arbitrator, nothing is left to be done by both parties but to
comply with the same. After all, they are presumed to have freely chosen arbitration as the mode of settlement for that particular dispute.
Pursuant thereto, they have chosen a mutually acceptable arbitrator who shall hear and decide their case. Above all, they have mutually
agreed to be bound by said arbitrator's decision. (Luzon Devt Bank v. Assn of Luzon Devt Bank Ees, G.R. No. 120319, Oct. 6, 1995)
NO STRIKE NO LOCKOUT CLAUSE
- The no strikeno lockout clause in the CBA applies only to economic strikes. It does not apply to ULP strikes. Hence, if the strike is
founded on an unfair labor practice of the employer, a strike declared by the union cannot be considered a violation of the no strike clause.
(Master Iron Labor Union v. NLRC, G.R. No. 92009, Feb. 17, 1993)
FEATHERBEDDING
- refers to the practice of the union or its agents in causing or attempting to cause an employer (Er) to pay or deliver or agree to pay or deliver
money or other things of value, in the nature of an exaction, for services which are not performed or not to be performed, as when a
union demands that the Er maintain personnel in excess of the latters requirements.
SWEETHEART DOCTRINE
- when an LO asks for or accepts negotiations or attys fees from employers as part of the settlement of any issue in CB or any other dispute.
BLUE SKY BARGAINING
- is defined as making exaggerated or unreasonable proposals.
Note: Whether or not the union is engaged in bluesky bargaining is determined by the evidence presented by the union as to its economic demands. Thus, if the union requires
exaggerated or unreasonable economic demands, then it is guilty of ULP. (Standard Chartered Bank v. Confessor, G.R. No. 114974, June 16, 2004)
BOULWARISM- occurs when employer (Er) directly bargains with the employee (Ee) disregarding the union; the aim was to deal with the labor union through Ees
rather than with the Ees thru the union. Er submits its proposals and adopts a takeitorleaveit stand.
UNFAIR LABOR PRACTICES (ULP) BY ERs
1. Interference
2. Yellow dog condition
3. Contracting out
4. Company unionism
5. Discrimination for or against union membership
6. Discrimination because of testimony
Page 11 of 14

7. Violation of duty to bargain

8. Paid negotiation
9. Gross violation of CBA
INTERFERENCE
- the act of Er to interfere with, restrain or coerce Ees in the exercise of their right to self organization.
TOTALITY OF CONDUCT DOCTRINE
- It states that the culpability of Ers remarks is to be evaluated not only on the basis of their implications, but against the background of and in
conjunction with collateral circumstances.
- Under this doctrine, expressions of opinion by an Er, though innocent in themselves, frequently were held to be ULP because of:
1. The circumstances under which they were uttered
2. The history of the particular Ers labor relations or antiunion bias
3. Their connection with an established collateral plan of coercion or interference. (The Insular Life AssuranceNATU v. The Insular Life
Co. Ltd, G.R. No.L25291, Jan. 30, 1971)
LOCKOUT
- any temporary refusal of an Er to furnish work as a result of an industrial or labor dispute. (Art.212[p])
YELLOW DOG CONDITION
- It is to require as a condition of employment that a person or an Ee shall not join a labor organization or shall withdraw from one to which he
belongs.
YELLOW DOG CONTRACT
- a promise exacted from workers as condition of employment that they are not to belong to or attempt to foster a union during their period of
employment.
VALIDITY OF YELLOW DOG CONTRACT
- It is null and void because:
1. It is contrary to public policy for it is tantamount to involuntary servitude.
2. It is entered into without consideration for Ees in waiving their right to self organization.
3. Ees are coerced to sign contracts disadvantageous to their family.
3 USUAL PROVISIONS YELLOW DOG CONTRACT
1. A representation by the Ee that he is not a member of a labor union.
2. A promise by the Ee not to join a labor union.
3. A promise by the Ee that upon joining a labor union, he will quit his employment.
RUN- AWAY SHOP
- an industrial plant moved by its owners from one location to another to escape labor regulations or State laws or to discriminate against Ees at
the old plant because of their union activities.
COMPANY UNION
- Any labor organization whose formation, function or administration has been assisted by any act defined as ULP. (Art. 212[i])
SURFACE BARGAINING
- the act of going through the motions of negotiating without any legal intent to reach an agreement. It involves the question of whether or not
the Ers conduct demonstrates an unwillingness to bargain in good faith or is merely hard bargaining. (Standard Chartered
Bank v. Confessor, G.R. No. 114974, June 16, 2004)
CONCERTED ACTION
- an activity undertaken by 2 or more employees, by one on behalf of the others
STRIKE
- any temporary stoppage of work by the concerted action of employees as a result of an industrial or labor dispute. (Sec.1 [uu], Rule I, Book V,
IRR)
It shall comprise not only concerted work stoppages, but also slowdowns, mass leaves, sitdowns, attempt to damage, destroy or sabotage
plant equipment and facilities, and similar activities. (Samahang Manggagawa sa Sulpicion Lines v. Sulpicio Lines, Inc., G.R. No. 140992,
Mar. 25, 2004)
PICKETING
- the act of marching to and fro the employers premises which is usually accompanied by the display of placard and other signs, making known
the facts involved in a labor dispute.
STRIKE-BREAKER
any person who obstructs, impedes, or interferes with by force, violence, coercion, threats, or intimidation any peaceful picketing affecting
wages, hours or conditions of work or in the exercise of the right of selforganization or collective bargaining. (Art. 212 [r])
STRIKE AREA
- the establishment, warehouses, depots, plants or offices, including the sites or premises used as runaway shops, of the Er struck against, as
well as the immediate vicinity actually used by picketing strikers in moving to and fro before all points of entrance to and exit from
said establishment. (Sec. 1 [vv], Rule I, Book V, IRR)
Internal union dispute - includes all disputes or grievances arising from any violation of or disagreement over any provision of the constitution and
by laws of a union, including any violation of the rights and conditions of union membership provided for in this LC. (Art.
212 [q])
Page 12 of 14

Boycott - an attempt, by arousing a fear of loss, to coerce others, against their will to withhold from one denominated unfriendly to labor their
beneficial business intercourse.
Slowdown- a method by which ones employees, without seeking a complete stoppage of work, retard production and distribution in an effort to
compel compliance by the employer with the labor demands made upon him.
Labor dispute - Any controversy or matter concerning terms or conditions or representation of persons in negotiating, fixing, maintaining, changing
or arranging the terms and conditions of employment, regardless of whether or not the disputants stand in the proximate relation
of Ers and Ees. (GoldCity Integrated Port Services, Inc. v. NLRC, G.R. No.103560, July 6, 1995)
Economic strike used to secure the economic demands such as higher wages and better working conditions for the workers
ULP strike protest against ULP of management
Legal Strike one called for a valid purpose and conducted through means allowed by law.
Illegal Strike one staged for a purpose not recognized by law, or if for a valid purpose, conducted through means not sanctioned by law.
Economic Strike one staged by workers to force wage or other economic concessions from the employer which he is not required
law to grant (Consolidated Labor Association of the Phil. vs. Marsman, G.R. No. L 17038, July 31, 1964)
ULP Strikeone called to protest against the employers acts of unfair practice enumerated in Article 248 of the Labor Code, as amended,
including gross violation of the collective bargaining agreement (CBA) and union busting.
Slow Down Strikeone staged without the workers quitting their work but by merely slackening or by reducing their normal work output.
WildCat Strikeone declared and staged without filing the required notice of strike and without the majority approval of the recognized
bargaining agent
Down Strikeone where the workers stop working but do not leave their place of work.
by
Sit
Conversion doctrine - when a strike starts as economic and later, as it progresses, it becomes a ULP, or vice versa.
Coolingoff period - the period of time given the NCMB to mediate and conciliate the parties. It is the span of time allotted by law for parties to
settle their in a peaceful manner before staging a strike or lockout.
Preventive mediation case - involves labor disputes which are the subject of a formal or informal request for conciliation and mediation
assistance sought by either or both parties or upon the initiative of the NCMB. (Sec. 1 [mm], Rule I, Book V, IRR)
Purpose test in determining the legality of the strike, it must be due to either bargaining deadlock and/or the ULP
Means employed test It states that a strike may be legal at its inception but eventually be declared illegal if the strike is accompanied by
violence which is widespread, pervasive and adopted as a matter of policy and not mere violence which is sporadic which normally occur in a
strike area.
good faith (GF) strike doctrine
- A strike may be considered legal where the union believed that the company committed ULP and the circumstances warranted such belief in
GF, although subsequently such allegations of ULP are found out as not true. (Bacus v. Ople, GR No L 56856, Oct. 23, 1984, Peoples Industrial
and Commercial Ees and Organization (FFW) v. Peoples Industrial and Commercial Corp., G.R. No.37687, Mar. 15, 1982)
Injunction - an order or a writ that commands a person to do or not to do a particular act. It may be a positive (mandatory) or a negative
(prohibitory) command.
Compulsory arbitration - the process of settlement of labor disputes by a government agency which has the authority to investigate and make an
award binding on all the parties.
NLRC (Natl Labor Relations Commission)- an administrative body with quasijudicial functions and the principal government agency that hears and
decides labormanagement disputes; it is attached to the DOLE solely for program and policy
coordination only.
powers and functions of the NLRC allocated
1. En Banc
a. Promulgating rules and regulations and governing the hearings and disposition of cases before any of its divisions and regional branches.
b. Formulating policies affecting its administration and operations.
c. On temporary or emergency basis, to allow cases within the jurisdiction of any division to be heard and decided by any other division
whose docket allows the additional workload and such transfer will not expose litigants to unnecessary additional expense.
2. Division (8 Divisions with 3 members)
a. Adjudicatory;
b. All other powers, functions and duties;
c. Exclusive appellate jurisdiction over cases within their respective territorial jurisdiction.
two kinds of jurisdiction of the NLRC
A: 1. Exclusive Original Jurisdiction
a. Certified labor disputes causing or likely to cause a strike or lockout in an industry indispensable to national interest, certified to it
by the Secretary of Labor or the President for compulsory arbitration
b. Injunction in ordinary labor disputes to enjoin or restrain any actual or threatened commission of any or all prohibited or unlawful
acts or to require the performance of a particular act in any labor dispute which, if not restrained or performed forthwith, may cause
grave or irreparable damage to any party
c. Injunction in strikes or lockouts under Art. 264 of the Labor Code (LC)
d. Contempt cases
2. Exclusive Appellate Jurisdiction
a. All cases decided by the Labor Arbiters under Art. 217(b) of the LC and Sec. 10 of R.A.8042 (Migrant Workers Act); and
b. Cases decided by the Regional Offices of DOLE in the exercise of its adjudicatory function under Art.129 of the LC over monetary
claims of workers amounting to not more than P5000 and not accompanied by claim for reinstatement.
Page 13 of 14

injunction or a temporary restraining order (TRO)

- Orders which may require, forbid, or stop the doing of an act. The power of the NLRC to enjoin or restrain the commission of any or all
prohibited or unlawful acts under Art. 218 of Labor Code can only be exercised in a labor disputes.
Note: A restraining order is generally regarded as an order to maintain the subject of controversy in status quo until the hearing of an application for a
temporary injunction. (BF Homes v. Reyes, G.R. No. L30690 November 19, 1982)
Mediatorarbiter
- an officer in the Regional Office or Bureau authorized to hear, conciliate and decide representation cases or assist in the disposition of intra or
interunion disputes.
CONCILIATION
is conceived of as a mild form of intervention by a neutral third party, the ConciliatorMediator, relying on his persuasive expertise, who
takes an active role in assisting parties by trying to keep disputants talking, facilitating other procedural niceties, carrying messages
back and forth between the parties, and generally being a good fellow who tries to keep things calm and forwardlooking in a
tense situation.
rd
It is the process where a disinterested 3 party meets with management and labor, at their request or otherwise, during a
labor dispute or in collective bargaining conferences, and by cooling tempers, aids in reaching an agreement.
MEDIATION
is a mild intervention by a neutral third party, the ConciliatorMediator, whereby he starts advising the parties or offering solutions or
alternatives to the problems with the end in view of assisting them towards voluntarily reaching their own mutually acceptable
settlement of the dispute.
rd
It is when a 3 party studies each side of the dispute then makes proposals for the disputants to consider. The mediator cannot make
an award nor render a decision.
Preventive Mediation Cases
- refer to the potential labor disputes which are the subject of a formal or informal request for conciliation and mediation assistance sought
by either or both parties or upon the initiative of the NCMB to avoid the occurrence of actual labor disputes.
ARBITRATION
- the submission of a dispute to an impartial person for determination on the basis of evidence and arguments of the parties. The arbiters decision
or award is enforceable upon the disputants. It may be voluntary (by agreement) or compulsory (required by statutory provision).
(Luzon Devt Bank v. Assn of Luzon Devt Bank Employees, G.R. No. 120319, Oct. 6, 1995)
TRIPARTISM
- It is the representation of 3 sectors. These are:
1. The public or the government
2. The employers
3. The workers
in policymaking bodies of the govt.
VIOLATIONS UNDER ART. 128
1. Obstruct, impede, delay or otherwise render ineffective the orders of the SLE or his authorized representatives
2. Any government employee found guilty of, or abuse of authority, shall be subject to administrative investigation and summary dismissal
from service.
ENFORCEMENT POWER
SUBMISSION AGREEMENT
Where the parties define the disputes to be resolved
DEMAND NOTICE
Invoking collective agreement arbitration clause
VOLUNTARY ARBITRATOR (VA)
- Any person accredited by the NCMB as such
- Any person named or designated in the CBA by the parties to act as their VA
- One chosen with or without the assistance of the NCMB, pursuant to a selection procedure agreed upon in the CBA
4. Any official that may be authorized by the SLE to act as VA upon the written request and agreement of the parties to a labor dispute. (Art.
212 [n])
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This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

CONTRACT NEGOTIATION DISPUTES

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

to 6:00 am, whether or not

SALARY CEILING METHOD

normal work days. (Sec. 3,

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

Exhaustion of Administrative Remedies (EAR)

DAY CERTAIN RULE

FIXED- TERM EMPLOYMENT

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

Permanent total disability (PTD)

Employees Compensation Program (ECP)

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

NON-ECONOMIC PROVISIONS OF A CBA

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

7. Violation of duty to bargain

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

This Reviewer is an Intellectual Property of Rofylyn Laureano Lagundino. PUP Law.

injunction or a temporary restraining order (TRO)

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