COLLECTIVE BARGAINING AGREEMENT

between

_________________________________________

and the

________________________________________

EFFECTIVE:
_______________, 20___
TERMINATING: _______________, 20___

AGREEMENT
FOR
_________COMPANY NAME__________
_________, 20__ - _________, 20__

TABLE OF CONTENTS
ARTICLE SUBJECT
Mission Statement
And Declaration Of Principles
Article I:

PAGE
_________

Coverage And Effectivity

Article II: Company Prerogatives

Employees Obligation

_________
_________

Article III: Union Membership And Union Check Off_________

Article IV: Wages

_________

Article V:

_________

Overtime

Article VI: Paid Holidays

_________

Article VII: Vacation, Sick And Maternity Leaves

_________

Article VIII: Medical, Dental And Hospitalization Benefits

_________

Article IX: Grievance Procedure

_________

Article X: Additional Grants

Uniforms And Meal Rations

_________

Article XI: Strikes And Lockouts Barred

_________

Article XII: Separability

_________

MISSION STATEMENT AND DECLARATION OF PRINCIPLES

Our joint mission is to increase market share to sustain profitable
__________________________ on the Asian Region. We will
perform quality work at competitive prices in a timely manner while
providing jobs earning family wages and benefits. All work will be
performed safely in the most efficient manner with the lowest overall
cost.
Declaration of Principles
1.
Traditional ____________________ will remain intact by
guaranteeing the maintenance of historical work force percentages.
2.
to survive.

Traditional work practices cannot stay the same if we are

3.
All skills and abilities of all employees will be utilized to
perform the available work safely in the most efficient manner.
4.
Safety will be improved to enhance the overall health and
viability of the _____________ and its workforce.
5.
Wages will provide rewards based on demonstrated skills
and performance, and opportunities will be provided to increase pay
through skill upgrading and training.
6.
Market recovery agreements will be utilized where
necessary to increase market share and work opportunities.
7.
A wage and benefits package will be designed to retain
the ____________ workforce and attract new workers.
8.
There will be open and frank communication with the
workforce. Survival depends on the commitment and the involvement
of all parties.
Labor and Management will continue to work together to ensure that
the mission is accomplished through the application of these
principles.

This AGREEMENT made and entered into, this __th day of

__(month)_______, __(year)__ by and between
The _____________________________________________, a
corporation duly organized and existing under and by virtue of the
laws of the Republic of the Philippines, with principal office at
______________________________________________________,
represented
in
this
Act
by
its
President,
_____________________________________________ (hereinafter
referred to as the COMPANY)
and
THE _______________________________________ UNION, a
legitimate labor organization duly organized and existing in
accordance with the laws of the Republic of the Philippines, and
affiliated
with
the
_____________________________________________, with offices
at ______________________________________, _____ _______,
and represented in this Act by its undersigned officers (hereafter
referred to as the UNION)
WITNESSETH:
WHEREAS, the UNION has shown to the satisfaction of the
_____________________________________________ COMPANY,
that it represents the majority of the eligible employees of the
_____________________________________________ Company;
WHEREAS, the representatives of the UNION and the
Company have been conferring together for the purpose of agreeing
upon the terms and conditions that shall regulate the manner of
employment and the work of the employees to the end that a fair and
established adjustment of all labour-management problems may be
accomplished, and having reached a mutually acceptable basis for
the same, the parties hereto have agreed, and do hereby agree, with
each other as follows:
_________
ARTICLE I
COVERAGE and EFFECTIVITY
SECTION 1. The company recognizes the Union as the sole
collective bargaining agent for all its workers and employees, who are
the rank and file personnel regularly employed by the COMPANY consequently, supervisory personnel, drivers and other confidential

employees and their successors, shall not be deemed to be included

in nor covered by the terms of this Agreement. The word "employee",
when used in this Agreement, shall not be deemed to include such
supervisory personnel, drivers and other confidential employees and
their successors.
SECTION 2. This Agreement shall be effective for three (3)
years commencing from the date of the signing of this Agreement,
however, the Company further agrees as a concession that the
additional benefits and privileges granted under this Agreement shall
be retroactive to _____January 1____.
Unless either party notifies the other in writing of its intention to
amend or modify the Agreement not less than thirty (30) days nor
more than ninety (90) days prior to the expiry date, this Agreement
shall be deemed automatically renewed for an additional period of
one (1) year from its expiry date.
Pending negotiations for a new Agreement, the provisions of
the present one shall continue in force and effect; the terms and
conditions of the new Agreement shall be effective on the day
following the expiration date of this present Agreement when signed
provided that the negotiation period for the new collective bargaining
agreement should not extend beyond sixty (60) days from the expiry
date of the present agreement. Failure to reach agreement after the
said sixty-day period, the effectivity period of the new collective
bargaining agreement shall be subject to mutual agreement of the
parties.
Section 3. All the terms and conditions of employment of the
employees covered by this Agreement are embodied herein, and the
same shall govern the relationship between the Company and its
employees. On the other hand, all such benefits and/or privileges as
are not expressly provided for in this Agreement, but which are now
being accorded or might have previously been accorded to the
employees or might in the future be accorded shall be deemed as
purely gratuitous acts of the Company in each case, and the
continuance or repetition thereof now or in the future shall not be
construed as establishing an obligation on the part of the Company.
ARTICLE II
COMPANY PREROGATIVES EMPLOYEES OBLIGATION
SECTION 1. The determination, establishment and modification
of performance standards for all operations are reserved to the
Company.

SECTION 2. The Company shall have the right to promulgate

such rules and regulations as it may deem necessary for the
necessary for the conduct and management of the business, and the
Union hereby agrees that its members shall obey such rules and
regulations, and the members of the Union shall at all times render
service in a first class manner and to the best of their ability.
SECTION 3. The Union recognizes that a high level of wages
can be maintained only by maintaining a high level of productivity
consistent with the health and welfare of the employees, and shall
assist in effectuating economy and the utilization of improved
methods and machinery.
ARTICLE III
UNION MEMBERSHIP AND UNION CHECK OFF
SECTION 1. Union membership shall be the free choice of
each employee. However, the Company hereby agrees that with
respect to employees who are now, or at any time during the
effectivity of this Agreement may become members of the Union, the
following rules shall apply in case of resignation or expulsion from the
Union:
(a) During the effectivity of this Agreement, no such employee
may resign from the Union without resigning from the Company;
(b) If such employee is expelled from the Union for cause, the
Company agrees to consider his dismissal from the Company if the
same is requested by the Union.
SECTION 2. The Company hereby agrees with the Union to
have all regular monthly Union fees or such other assessments duly
authorized individually by each member, any or all of them, be
deducted from any salary due; provided a written authorization shall
be prepared and furnished by all the Union members after such forms
have been approved by the Company, and marked as Schedule "B".
ARTICLE IV
WAGES
SECTION 1. The parties agree to the classification of jobs and
wage rates as listed in Schedule "A" attached to and forming part of
this Agreement.
SECTION 2. The parties hereto agree to maintain the present
wage rates as mentioned in Section 1 hereof, but the Company may

at any time during the effectivity of this contract grant merit increases
to such deserving employees.
Should there be any re-classification of jobs and wage rates
during the period of this Agreement, the same shall not in any way
reduce the present rates nor prejudice such privileges of the workers
with regard to promotions. Job categories and rates shall be based
on employee's present rates.
SECTION 3. Wages due will be paid on the Friday following
completion of the preceding work-week.
ARTICLE V
OVERTIME
SECTION 1.-a. Each employee shall receive pay for the
overtime work at the rate of ____________________ per hour of the
employee's regular basic pay for the actually worked in excess of
eight hours in any one day, and on legal holidays not listed below.
1. New Year's Day (January 1) (Regular Holiday)
2. Araw ng Kagitingan (April 9) (Regular Holiday)
2. Lenten Season (Holy Week)
3. Labor Day (May 1) (Regular Holiday)
4. Independence Day (June 12) (Legal Holiday)
5. National Heroes Day (August 31) (Regular Holiday)
6. All Saints Day (November 1) (Regular Holiday)
7. Bonifacio Day (November 30) (Regular Holiday)
8. Christmas Day (December 25) (Regular Holiday)
9. Rizal Day (December 30) (Regular Holiday)
b. It is not the intention of the Company to work on any of the
Holiday's enumerated above.
SECTION 2. Each employee who is duly authorized to work on
Sundays outside the normal work-week and on the holidays listed
above shall be paid at the rate of __two hundred_(200) per cent__ of
the daily basic pay for the actual hours worked.
SECTION 3. Night Premium
Night premium shall be paid at the rate of ___per cent__ of the
employee's daily basic pay and shall be applicable to the regular
night shift hours, as determined by the Company's promulgated work
schedule.

ARTICLE VI
PAID HOLIDAYS
SECTION 1. The Company agrees to pay a gratification equal
to an employee's daily basic pay on any of the holidays enumerated
hereunder:
1. New Year's Day
2. Holy Thursday
3. Good Friday
4. Holy Saturday
5. Labor Day
6. Independence Day
7. Thanksgiving Day
8. Bonifacio Day
9. Christmas Day
SECTION 2. An employee who is required to work on any of the
above days will, in addition to overtime pay, be entitled to the
appropriate number of hours absence paid at the normal daily rate as
soon as possible following the said holiday.
ARTICLE VII
VACATION, SICK AND MATERNITY LEAVES
SECTION 1. Vacation Leave
(a) The Company agrees to grant all employees who have
served the Company for at least one (1) year, a vacation leave of
twelve (12) working days with daily basic pay; provided however, that
regular employees who have not yet served one full year with the
Company shall only be entitled to vacation leave of one day per
month of service. Service shall included service while on probationary
status. Such vacation leave shall be scheduled by the Company in a
manner that will not disrupt the efficient operation of the business.
(b) Unused vacation leave shall not be cumulative and shall not
be converted into cash; provided, however, that vacation leave shall
accumulate in the event an employee cannot enjoy his vacation leave
in any particular year due to operational requirements as determined
by the Company.
SECTION 2. Sick Leave
(a) The Company agrees to grant all its employees who have
served the Company for at least one (1) year of service, a sick leave
of fifteen (15) working days daily basic pay; provided, however, that

the regular employees who have not yet served one full year with the
Company shall only be entitled to sick leave of 1-1/4 days per month
of service. Sick leave shall be granted only to employees who are
actually certified sick by the Company doctor. In the event of a
medical certificate being obtained from another doctor, the Company
may require the employee to be examined by the Company doctor. All
employee's
accumulated
sick
leaves
up
to
________date________________ shall be liquidated upon the
signing of this Agreement at 50% of its value.
(b) Payment of accured sick leave will be made at the end of
each year to every employee with unused sick leave, which payment
shall be equivalent to 75% of an employee's daily basic pay for each
day of unused sick leave.
(c) Employees terminated from the service of the Company
without cause, prior to the annual liquidation shall be entitled to such
earned vacation and sick leave benefits on a pro-rata basis. All
employees dismissed for cause shall not be entitled to benefits and
privileges under this Collective Bargaining Agreement.
SECTION 3. Employee's sickness and/or injury falling under the
Workmen's Compensation Act,as amended, shall be paid in
accordance with the provision of said law.
SECTION 4. Any employee who becomes sick while at work
may permitted to go home with (1/2) day's basic pay if the number of
hours service rendered is less than four (4), and with a day's basic
pay if the number of hours service rendered is more than four (4).
SECTION 5. An employee who has exhausted his or her sick
leave may elect to take part or all of any unused vacation leave
provided that application is made in due time in waiting and that such
application is recommended by, and supported by the medical
evidence of, the Company doctor.
SECTION 6. Maternity Leave - Female employees, in addition
to vacation and sick leaves provided for in Sections 1 and 2 shall be
entitled to maternity leave with pay provided for by existing
legislation.
SECTION 7. Paternity Leave Male employees, in addition to
vacation and sick leaves provided for in Sections 1 and 2 shall be
entitled to maternity leave with pay provided for by existing
legislation.
SECTION 8. Birthday Leave - __________________________.

ARTICLE VIII
MEDICAL, DENTAL AND HOSPITALIZATION BENEFITS
SECTION 1. Employees shall be entitled to certain medical and
hospitalization services and benefits under the Company's
Agreement with its Medical Retainer.
SECTION 2.Medical services not falling under the Agreement
with the Medical Retainer:
(a) The Company agrees to pay the cost of immunization
against diseases of local incidence such as cholera, typhoid,
smallpox, dysentery, etc. administered on the advice of Company's
doctor.
(b) During hospitalization, the Company will refund 50% of the
value of medicines prescribed during any one calendar month and
which shall be supported by receipts and vouchers and approved by
the Company doctor.
(c) Emergency medical or surgical treatment of cases of
sudden illness or injury occurring and so reported during working
hours, the Company and the employees shall pay in the following
proportions according to length of continuous service:
Period of Service with Company

Employee Company

Less than five years continuous service

1/2

1/2

Five (5) years or more continuous service

1/4

3/4

(d) Expenses of any follow-up examination recommended by

the Company doctor will be paid by the Company.
SECTION 3. The following dental services will be given free of
charge to employees only when the employee avails of the services
of the Company dentist.
(a) Annual Examination
(b) Annual Prophylaxis
(c) Extractions
(d) Emergency Fillings
Other dental services not mentioned above will be given at reduced
rates. Before any of these other services are performed the employee
concerned must sign a statement to the effect that payments due the
Company dentist can be deducted from any salary due or may
become due him/her.

ARTICLE IX
GRIEVANCE PROCEDURE
SECTION 1. In the exercise of any rights and prerogatives, the
parties shall have the right to seek reconsideration of any decision
arising from the exercise of these rights in accordance with the
procedure outlined hereinbelow. The Union and the Company
recognize the value of settling differences promptly. A grievance is
any difference of opinion or dispute affecting either party covered by
this Agreement pertaining to or arising from any of the following:
(a) Any matter relating to the working conditions not specifically
covered by this Agreement.
(b) Any matter involving the interpretation and/or violation of
any provision of this Agreement.
SECTION 2. A Labour-Management Committee shall be formed
composed of three representatives from the Union and three
representatives from the company. This Committee shall receive and
act upon any grievances and/or complaint appealed to it in
accordance with the procedure outlined below.
SECTION 3. The following procedure shall be applied, followed
and relied upon by both parties as the sole and exclusive means of
seeking adjustment and settlement of any grievance or grievances as
defined under section 1 of this article.
FIRST STEP Appeal to the Immediate Superior. An employee
with a complaint shall personally submit it in writing to his immediate
superior who shall attempt to settle the same within two (2) working
days from receipt of such complaint.
SECOND STEP Appeal to the Department Superintendent. If
the immediate superior concerned in unable or has failed to settle the
matter, it shall be referred to the Department Superintendent who
may call in the Union representative within two (2) working days from
the time it is submitted.
THIRD STEP Appeal to Personnel Manager. If the grievance is
not settled by the Department Superintendent, the matter must be
referred to the Personnel Manager and the Union representative.
They shall meet and attempt to settle the dispute or grievance within
three (3) working days after the matter has been referred to them.
FOURTH STEP Appeal to Labour-Management Committee. In
the event that the Personnel Manager and the Union representative

fail to settle the matter, the same shall be submitted to the LabourManagement Committee provided for in Article IX, Sec. 2.
All grievances must be submitted in writing. Grievances not
followed up by the interested party within the appeal periods specified
herein are deemed settled.
SECTION 4. In the event that the Labour-Management
Committee fails to settle the grievance, both parties may avail
themselves of the remedies under the law.
ARTICLE X
ADDITIONAL GRANTS - UNIFORMS AND MEAL RATIONS
SECTION 1. The Company agrees to issue uniforms to its
regular employees with accordance with the policies and regulations,
as part of the recognized safety measures of the Company.
SECTION 2. Due to the factory location, the Company hereby
agrees to grant each and every employee actually present at work a
daily meal ration valued at __amount in words_ Pesos (Php ______ ).
ARTICLE XI
STRIKES AND LOCKOUTS BARRED
SECTION 1. There shall be no lockouts on the part of the
Employer nor shall there be an suspension of work on the part of the
employees. This Agreement is a guarantee that for its duration there
will be neither strikes nor lockouts, and that all complaints, grievances
or disputes arising under its provisions will be settled pursuant to its
grievance machinery, ARTICLE IX: GRIEVANCE PROCEDURE.
ARTICLE XII
SEPARABILITY
Each provision in this Agreement is separate and independent
from the others, and is not to be construed and/or interpreted as
having any restrictive or expansive effect upon the meaning,
intention, interpretation or execution of any other provision of this
Agreement either implicitly or explicitly, unless it so specifically
provides.

___________________________ ___________________________
Name of Company
Name of Employee's Union

__________________________ ___________________________
President of the Company
President of the Union
ACKNOWLEDGMENT
REPUBLIC OF THE PHILIPPINES )
PROVINCE OF LA UNION
) S.S.
MUNICIPALITY OF AGOO
)
BEFORE ME, a Notary Public for and in the Province of ___________________,
on this ___ day of ___________________, 20__ personally appeared
______AFFIANT_1_________________
exhibiting
to
me
his/her
______(Competent
Evidence
of
Identity)______
issued
by
the
_________(Government Agency)______ on ________________ and set to
expire on _____________, and ____ AFFIANT_2____ exhibiting to me his/her
_____(Competent
Evidence
of
Identity)______
issued
by
the
_________(Government Agency)______ on ________________ and set to
expire on ________________ as their competent evidence of identity bearing
their photograph and signatures, who are known to me and to me known to be
the same persons who executed the foregoing instrument and acknowledged to
me that the same is their own free act and voluntary act and deed.
This instrument, consisting of __thirteen__ (__) pages, including the page on
which this acknowledgment is written, has been signed on the left margin of each
and every page hereof by the concerned parties and their witnesses, and sealed
with my notarial seal.
WITNESS MY HAND AND SEAL, at the place and date above-written.

Doc. No. 123

Page No. 69
Book No. VII
Series of 2007

ATTY ______________________________________
COMMISSION NO. ___________________________
NOTARY PUBLIC for AGOO, LA UNION
UNTIL DECEMBER 31, 2007
OFFICE: 9 Cases Blvd. Sta Barbara, Agoo La Union
ROLL NO. 00001
IBP Lifetime Roll No. 1234567 ; 01/07/07 ; LA UNION
PTR NO 1234567 ; 01/07/07 ; LA UNION
MCLE COMPLIANCE No. __________; July 7, 2007