CHRA (Set B) - Labor Code

Worker

mean any member of the labor force, whether employed or unemployed.

Recruitment and Placement

Refers to any act of canvassing, enlisting,
contracting, transporting, utilizing, hiring or procuring workers, and includes
referrals, contract services, promising or advertising 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

means any person or entity engaged
in recruitment and placement of workers for a fee which is charged, directly or
indirectly, from the workers or employers or both.

License

means a document issued by the Department of Labor authorizing a
person or entity to operate a private employment agency.

Private Recruitment Entity

means any person or association engaged in the
recruitment and placement of workers, locally or overseas, without charging,
directly or indirectly, any fee from the workers or employers.

Authority

means a document issued by the Department of Labor authorizing a
person or association to engage in recruitment and placement activities as a
private recruitment entity.

Seaman

means any person employed in a vessel engaged in maritime navigation.

Overseas Employment

means employment of a worker outside the Philippines.

Emigrant

means 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.

Bureau of Employment Services

shall be primarily responsible for developing and monitoring a comprehensive employment program.

Art. 18. Ban on direct-hiring

No employer may hire a Filipino worker for overseas
employment except through the Boards and entities authorized by the Secretary of Labor. Direct-hiring by members of the diplomatic corps, international organizations and such other employers as may be allowed by the Secretary of Labor is exempted from
this provision.

National Seamen Board

Shall develop and maintain a
comprehensive program for Filipino seamen employed overseas.

Art. 22. Mandatory remittance of foreign exchange earnings

It shall be mandatory for all Filipino workers abroad to remit a portion of their foreign exchange earnings to their families, dependents, and/or beneficiaries in the country in accordance with rules and regulations prescribed by the Secretary of Labor.

Art. 36. Regulatory Power

The Secretary of Labor shall have the power to restrict
and regulate the recruitment and placement activities of all agencies within the coverage of this Title and is hereby authorized to issue orders and promulgate rules and regulations to carry out the objectives and implement the provisions of this Title.

Art. 37. Visitorial Power

The Secretary of Labor or his duly authorized representatives may, at any time, inspect the premises, books of accounts and records of any person or entity covered by this Title, require it to submit reports regularly on prescribed forms, and act on violation of any provisions of this Title.

Manpower

Shall mean that portion of the nation's population which has actual or potential capability to contribute directly to the production of goods and services.

Entrepreneurship

Shall mean training for self-employment or assisting
individual or small industries within the purview of this Title.

Apprenticeship

Means practical training on the job supplemented by related theoretical instruction.

Apprentice

Is a worker who is covered by a written apprenticeship
agreement with an individual employer or any of the entities recognized under
this Chapter.

Apprenticeable Occupation

Means any trade, form of employment or occupation which requires more than three (3) months of practical training on the job supplemented by related theoretical instruction.

Apprenticeship Agreement

Is an employment contract wherein the employer
binds himself to train the apprentice and the apprentice in turn accepts the terms of training.

Learners

Are persons hired as trainees in semi-skilled and other industrial occupations which are non apprenticeable and which may be learned through practical training on the job in a relatively short period of time which shall not exceed three (3) months.

Handicapped Workers

Are those whose earning capacity is impaired by age or physical or mental deficiency or injury.

Managerial Employees

Refer to those whose primary duty consists of
the management of the establishment in which they are employed or of a department or
subdivision thereof, and to other officers or members of the managerial staff.

Field Personnel

Shall refer to non-agricultural employees who regularly perform their
duties away from the principal place of business or branch office of the employer and whose actual hours of work in the field cannot be determined with reasonable certainty.

Person

Means an individual, partnership, association, corporation, business
trust, legal representatives, or any organized group of persons.

Employer

Includes any person acting directly or indirectly in the interest of an employer in relation to an employee and shall include the government and all its branches, subdivisions and instrumentalities, all government-owned or controlled corporations and institutions, as well as non-profit private institutions, or organizations.

Employee

Includes any individual employed by an employer.

Employ

Includes to suffer or permit to work.

Wage

Paid to any employee shall mean 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, which is payable by an employer to an employee under a
written or unwritten contract of employment for work done or to be done, or
for services rendered or to be rendered and includes the fair and reasonable
value, as determined by the Secretary of Labor and Employment, of board,
lodging, or other facilities customarily furnished by the employer to the
employee.

Art. 103. Time of Payment

Wages shall be paid at least once every TWO (2) WEEKS or TWICE A MONTH at intervals not exceeding SIXTEEN (16) DAYS.

Art. 133. Maternity leave benefits.

Every employer shall grant to any pregnant woman employee who has rendered an aggregate service of AT LEAST SIX (6) MONTHS FOR THE LAST TWELVE (12) MONTHS, MATERNITY LEAVE OF AT LEAST TWO (2) WEEKS PRIOR TO THE EXPECTED DATE OF DELIVERY AND ANOTHER FOUR (4) WEEKS AFTER NORMAL DELIVERY OR ABORTION WITH FULL PAY BASED ON HER REGULAR OR AVERAGE WEEKLY WAGES. The employer may require from any woman employee applying for maternity leave the production of a medical certificate stating that delivery will probably take place within two weeks.
The maternity leave provided in this Article shall be paid by the employer only for the FIRST FOUR (4) DELIVERIES BY A Woman employee after the Effectivity of this Code.

Art. 135. Discrimination Prohibited

It shall be unlawful for any employer to discriminate against any woman employee with respect to terms and conditions of employment solely on account of her sex.

Art. 139. Minimum Employable Age

NO CHILD BELOW FIFTEEN (15) YEARS OF AGE SHALL BE EMPLOYED, EXCEPT WHEN HE WORKS DIRECTLY UNDER THE SOLE RESPONSIBILITY OF HIS PARENTS OR GUARDIAN, ANY PERSON BETWEEN FIFTEEN (15) AND EIGHTEEN (18) YEARS OF AGE MAY BE EMPLOYED FOR SUCH NUMBER OF HOURS AND SUCH PERIODS OF THE DAY, PROVISIONS SHALL IN NO CASE ALLOW THE EMPLOYMENT OF A PERSON BELOW EIGHTEEN (18) YEARS OF AGE IN AN UNDERTAKING WHICH IS HAZARDOUS OR DELETERIOUS IN NATURE

Domestic or Household Service

Shall mean service in the employer's home which is
usually necessary or desirable for the maintenance and enjoyment thereof and includes
ministering to the personal comfort and convenience of the members of the employer's household, including services of family drivers.

Employer of Homeworkers

Includes any person, natural or artificial who, for his account or benefit, or on behalf of any person residing outside the country, directly or indirectly, or through an employee, agent contractor, sub-contractor or any other person.

Code

Means the Labor Code of the Philippines instituted under Presidential Decree Numbered four hundred forty-two, as amended.

Commission

Means the Employees' Compensation Commission created under this Title.

SSS

Means the Social Security System created under Republic Act Numbered
Eleven hundred sixty-one, as amended.

GSIS

Means the Government Service Insurance System created under Commonwealth Act Numbered One hundred eighty-six, as amended.

System

Means the SSS or GSIS, as the case may be.

Employer

Means any person, natural or juridical, employing the services of the employee.

Employee

Means any person compulsorily covered by the GSIS under Commonwealth Act Numbered One hundred eighty-six, as amended, including the members of the Armed Forces of the Philippines, and any person employed as casual, emergency, temporary, substitute or contractual, or any person compulsorily covered by the SSS under Republic Act Numbered Eleven hundred sixty-one, as amended.

Person

means any individual, partnership, firm, association, trust, corporation or legal representative thereof.

Dependent

means the legitimate, legitimated or legally adopted oracknowledged natural child who is unmarried, not gainfully employed, and not
over twenty-one (21) years of age or over twenty-one (21) years of age provided
he is incapacitated and incapable of self-support due to a physical or mental
defect which is congenital or acquired during minority

Dependents

the legitimate spouse
living with the employee and the parents of said employee wholly dependent
upon him for regular support.

Beneficiaries

Means the dependent spouse until he/she 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.

Injury

Means any harmful change in the human organism from any accident arising out of and in the course of the employment.

Sickness

Means 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. For this purpose, the Commission is empowered to determine and approve occupational
diseases and work-related illnesses that may be considered compensable based on peculiar hazards of employment.

Death

Means loss of life resulting from injury or sickness.

Disability

Means loss or impairment of a physical or mental function resulting from injury or sickness.

Compensation

Means all payments made under this Title for income benefits and medical or related benefits.

Income benefit

Means all payments made under this Title to the providers of medical care, rehabilitation services and hospital care.

Medical benefit

Means all payments made under this Title to the providers of medical care, rehabilitation services and hospital care.

Related benefit

Means all payments made under this Title for appliances and supplies.

Appliances

Means crutches, artificial aids and other similar devices.

Supplies

Means medicine and other medical, dental or surgical items.

Hospital

Means any medical facility, government or private, authorized by law, an active member in good standing of the Philippine Hospital Association and accredited by the Commission.

Physician

Means any doctor of medicine duly licensed to practice in the Philippines, an active member in good standing of the Philippine Medical Association and accredited by the Commission.

Wages or Salary

insofar as they refer to the computation of benefits defined in Republic Act No. 1161, as amended, for SSS and Presidential Decree No.
1146, as amended, for GSIS, respectively, except that part in excess of Three Thousand Pesos.

Month Salary Credit

Means the wage or salary base for contributions as
provided in Republic Act Numbered Eleven hundred sixty-one, as amended, or
the wages or salary.

Average Month Salary Credit

In the case of the SSS means the result obtained by dividing the sum of the monthly salary credits in the sixty-month period immediately following the semester of death or permanent disability by
sixty (60), except where the month of death or permanent disability falls within eighteen (18) calendar months from the month of coverage, in which case, it is
the result obtained by dividing the sum of all monthly salary credits paid prior to the month of contingency by the total number of calendar months of coverage in the same period.

Average Daily Salary Credit

In the case of the SSS means the result obtained by
dividing the sum of the six (6) highest monthly salary credits in the twelvemonth
period immediately preceding the semester of sickness or injury by one
hundred eighty (180), except where the month of injury falls within twelve (12)
calendar months from the first month of coverage, in which case it is the result
obtained by dividing the sum of all monthly salary credits by thirty (30) times
the number of calendar months of coverage in the period.

Quarter

Means a period of three (3) consecutive months ending on the last days of March, June, September and December.

Semester

Means a period of two consecutive quarters ending in the quarter of death, permanent disability, injury or sickness.

Replacement Ratio

The sum of twenty percent and the quotient obtained by
dividing three hundred by the sum of three hundred forty and the average
monthly salary credit.

Credited Years of Service

For a member covered prior to January, 1975, nineteen hundred seventy-five minus the calendar year of coverage, plus the number of calendar years in which six or more contributions have been paid from January, 1975 up to the calendar year containing the semester prior to the contingency. For a member covered on or after January, 1975, the number of
calendar years in which six or more contributions have been paid from the year
of coverage up to the calendar year containing the semester prior to the
contingency.

Monthly Income Benefit

Means the amount equivalent to one hundred fifteen percent of the sum of the average monthly salary credit multiplied by the
replacement ratio, and one and a half percent of the average monthly salary
credit for each credited year of service in excess of ten years: Provided, That the
monthly income benefit shall in no case be less than two hundred fifty pesos.

Commission

means the National Labor Relations Commission or any of its divisions, as the case may be, as provided under this Code.

Bureau

means the Bureau of Labor Relations and/or the Labor Relations Divisions in the regional offices established under Presidential Decree No. 1, in
the Department of Labor.

Board

means the National Conciliation and Mediation Board established under Executive Order No. 126.

Council

means the Tripartite Voluntary Arbitration Advisory Council established under Executive Order No. 126, as amended.

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

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.

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 Organization

Means any labor organization duly registered
with the Department of Labor and Employment, and includes any branch or
local thereof.

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

Means a legitimate labor organization whether or not
employed by the employer.

Unfair Labor Practice

Means any unfair labor practice as expressly defined by the Code.

Labor Dispute

Includes any controversy or matter concerning terms and
conditions of employment or the association or representation of persons in
negotiating, fixing, maintaining, changing or arranging the terms and
conditions of employment, regardless of whether the disputants stand in the
proximate relation of employer and employee.

Managerial Employee

Is one who is vested with the powers or prerogatives to
lay down and execute management policies and/or to hire, transfer, suspend,
lay-off, recall, discharge, assign or discipline employees. Supervisory employees are those who, in the interest of the employer, effectively recommend such
managerial actions if the exercise of such authority is not merely routinary or
clerical in nature but requires the use of independent judgment. All employees
not falling within any of the above definitions are considered rank-and-file
employees for purposes of this Book.

Voluntary Arbitrator

Means any person accredited by the Board as such or any person named or designated in the Collective Bargaining Agreement by the
parties to act as their Voluntary Arbitrator, or one chosen with or without the
assistance of the National Conciliation and Mediation Board, pursuant to a
selection procedure agreed upon in the Collective Bargaining Agreement, or any official that may be authorized by the Secretary of Labor and Employment to
act as Voluntary Arbitrator upon the written request and agreement of the parties to a labor dispute.

Strike

Means any temporary stoppage of work by the concerted action of
employees as a result of an industrial or labor dispute.

Lockout

Means any temporary refusal of an employer to furnish work as a result of an industrial or labor dispute

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 Code.

Striker Breaker

Means 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
self-organization or collective bargaining.

Strike Area

means the establishment, warehouses, depots, plants or offices, including the sites or premises used as runaway shops, of the employer 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.

Art. 16. Private recruitment

Except as provided in Chapter II of this Title, no person or entity other than the public employment offices, shall engage in the recruitment and placement of workers.

National Seamen Board

shall develop and maintain a comprehensive program for Filipino seamen employed overseas.

Art. 22. Mandatory remittance of foreign exchange earnings

It shall be mandatory for all Filipino workers abroad to remit a portion of their foreign exchange earnings to their families, dependents, and/or beneficiaries in the country in accordance with rules and regulations prescribed by the Secretary of Labor.

Office of Emigrant Affairs

The office shall, among others, promote the well-being of emigrants and maintain their close link to the homeland by

1. serving as a liaison with migrant communities
2. provision of welfare and cultural services
3. promote and facilitate reintegration of migrants into the national mainstream
4. promote economic political and cultural ties with the communities and
5. generally to undertake such activities as may be appropriate to enhance such cooperative links.

shall not exceed eight (8) hours a day

normal hours of work of any employee

at least two (2) weeks prior to the expected date of delivery and another four (4) weeks after normal delivery or abortion with full pay based on her regular or average weekly wages

maternity leave benefits

15 years old

minimum employable age

Labor Code of the Philippines

stands as the law governing employment practices and labor relations in the Philippines. It prescribes the rules for hiring and termination of private employees; the conditions of work including maximum work hours and overtime; employee benefits such as holiday pay, thirteenth month pay and retirement pay; and the guidelines in the organization and membership in labor unions as well as in collective bargaining.

May 1, 1974

When was the labor code enacted?

Ferdinand Marcos

Who enacted the labor code?

tax-exempt employees' compensation program

whereby employees and their dependents, in the event of work-connected disability or death, may promptly secure adequate income benefit and medical related benefits.

tax-exempt employees' compensation program

whereby employees and their dependents, in the event of work-connected disability or death, may promptly secure adequate income benefit and medical related benefits.

Employees' Compensation Commission

created to initiate, rationalize, and coordinate the policies of the employees' compensation program