CHRA - Reviewer 2

Labor Legislation

Labor Legislation

a law that deals with the legal rights of working people

Labor Standards

minimum terms conditions and benefits of employment that employers must provide or comply with and to which employees are entitled as a matter of legal right.

Labor Relations Law

A law which seeks to stabilize the relation between employer and employee

November 1, 1974

The date of effectivity of the Labor Code of the Philippines

Article 3. Declaration of Policy

The state shall afford full protection to labor, promote full employment, promote equal work opportunities regardless of sex, race, or creed, regulate the relations between workers and employers, and the protection of the rights of the workers to self-organization, collective bargaining, security to tenure, and to a just and humane conditions of work.

Seven Basic Rights of Workers

Workers rights to:

- Organize

- Conduct Collective Bargaining

- Engage in peaceful concerted activities

- Security of Tenure

- Work under Humane conditions

- Receive a living wage

- Participate in Policy and Decision-making processes affecting their rights and benefits

Employer

one who employs the service of others

Employee

a worker who is hired to perform a job

Article 4. Construction in Favor of Labor

All doubts in the implementation and interpretation of the provisions of this Code, including its implementing rules and regulations, shall be resolved in favor of labor.

Philippine Overseas Employment Administration (POEA)

Agency of the Government of the Philippines responsible for opening the benefits of the overseas employment program of the Philippines.

RA 8042- Migrant Workers and Overseas Filipinos Act of 1995

An Act to institute the policies of overseas employment and establish a higher standard of protection and promotion of the welfare of migrant workers, their families and overseas Filipino in distress, and for other purposes.

Tenancy Relationship

Landowner is the lessor and the tenant is the lessee of agricultural land

Farm Employer - Farm Worker Relationship

Agricultural worker works for the farm employer and receives salary or wage, regardless of whether the employer makes a profit.

Lessee

a person who acquires the right to possession and use of goods under a lease; tenant

Lessor

a person who transfers the right of possession and use of goods under a lease; Landlord

Lease

a contract granting use or occupation of property during a specified time for a specified payment

(Emancipation of Tenants) Prohibition against alienation

- preserve the landholding in the hands of the owner-tiller and his heirs

- minimize land speculation

- prevent a return to the regime of land ownership by a few

Presidential Decree No. 27

DECREEING THE EMANCIPATION OF TENANTS FROM THE BONDAGE OF THE SOIL, TRANSFERRING TO THEM THE OWNERSHIP OF THE LAND THEY TILL AND PROVIDING THE INSTRUMENTS AND MECHANISM THEREFOR

Worker

Any member of the labor force, whether employed or unemployed

Private fee-charging employment agency

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

A government issued right to operate a business

Private recruitment entity

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.

Entities authorized to recruit

- Public employment offices

- Private recruitment entities

- Private employment agencies

- Shipping or manning agents/representatives

- POEA

- Construction contractors (if authorized)

- Members of the Diplomatic corps

Functions of the OEDB

- Promote overseas employment of Filipino workers

- Secure best possible terms and conditions of employment

- Recruit and place workers for overseas employment on a govt to govt arrangement

OEDB (Overseas Employment Development Board)

Previous name of POEA

NLRC (National Labor Relations Commission)

Is a quasi-judicial body tasked to promote and maintain industrial peace by resolving labor and management disputes involving both local and overseas workers through compulsory arbitration and alternative modes of dispute resolution.

Book 1 - Chapter One, Article 18

Ban on Direct Hiring

- direct hiring of Filipino workers by a foreign employer is not allowed

Name Hires

OFW who found jobs abroad directly without the assistance of employment agencies

Repatriation

the return of someone to their own country

Exemptions from Minimum Wage

- Distressed Establishments

- New Business Enterprise

- Retail/Service with no more than 10 employees

- Establishments adversely affected by natural calamities

Minimum Employment conditions of Overseas Employment

- Guaranteed wages for regular working hours and overtime pay for services

- Point to Point free transportation

- Free emergency medical and dental treatment and facilities

- Just causes for termination of the contract

- Workmen's compensation benefits and war hazard protection

- Repatriation of worker's remains and properties in case of death to the point of hire

- Free and adequate board and lodging facilities or compensatory food allowance at prevailing cost of living standards at the job site.

Office of Emigrant Affairs

The office shall:

- Serve as a liaison with migrant communities

- Provision welfare and cultural services

- Promote and facilitate re-integration of migrants into the national mainstream

- Promote economic, political, and cultural ties with the communities

- Generally undertake such activities as may be appropriate to enhance such cooperative link

National Seamen Board

Shall develop and maintain a

comprehensive program for Filipino seamen employed overseas.

Seamen or Mariners

Mandatory Remittance Requirements: 80% of the basic salary

Workers for Filipino Contractors and Construction Companies; Doctors, Engineers, Teachers, Nurses, and other professionals whose employment contracts provide for lodging facilities

Mandatory Remittance Requirements: 70% of the basic salary

Domestic and other service of workers; all other professionals without boarding and lodging

Mandatory Remittance Requirements: 50% of the basic salary

Mandatory Remittance of foreign exchange earnings

Filipino workers abroad shall remit a portion of their foreign exchange earnings to their:

- Families

- Dependents

- Beneficiaries in the country

Voting Stock

Shares in a corporation that entitle the shareholder to voting and proxy rights.

single proprietorship

an unincorporated business owned by a single person who is responsible for its liabilities and entitled to its profits

paid-up capital

the amount of money a company has received from shareholders in exchange for shares of stock.

Minimum Capital

a concept used in corporate law and banking regulations to stipulate what assets the organization must hold as a minimum requirement; to ensure that in the event of insolvency or little financial stability, the organization had enough assets to pay its creditors

Non-transferability of License or Authority

No license or authority shall be used directly or indirectly by any person other than the one in whose favor it was issued or at any place other than that stated in the license or authority be transferred, conveyed or assigned to any other person or entity.

Revocation

is the official cancellation of a decree, decision, or promise.

Illegal Recruitment

deemed committed by a syndicate if carried out by a group of three (3) or more persons conspiring or confederating with one another. It is deemed committed in large scale if committed against three (3) or more persons individually or as a group.

Actions on Illegal Recruitment

Illegal recruitment cases under RA 8042 shall prescribe in five (5) years, PROVIDED, however, illegal recruitment cases involving economic sabotage shall prescribe in twenty (20) years.

Manpower

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

Entrepreneurship

training for self-employment or assisting individual or small industries within the purview of the LC

Special Workers

- Apprentice

- Learners

- Handicapped

Apprenticeship

practical training on the job supplemented by related theoretical instruction

Apprentice

worker who is covered by a written apprenticeship agreement with an individual employer

Apprenticeable occupation

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.

On-the-Job Training

the practical work experience through actual participation in productive activities given to or acquired by an apprentice

Highly Technical Industries

trade business, enterprise, industry or other activity, which is engaged in the application of advanced technology

Qualifications of Apprentices

Qualifications:

- At least 14 of age (provided those who are at least 15 years of age but less than 18 may be eligible for apprenticeship only in non-hazardous occupations and the apprenticeship agreement shall be signed in his behalf by the parent or guardian or authorized representative of DOLE)

- Possess vocational aptitude and capacity

- Possess the ability to comprehend

Civic Organization

A group that works together to help others in the community

Apprentices without Compensation

Apprentices that the training are required by the School, it is in the training program curriculum or it is a requisite for graduation/board examination

Learners

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

Handicapped Workers

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

Control Test

whether the employer controls or has reserved the right to control the employee not only as to the result of the work to be done but also as to the means and methods by which the same is to be accomplished

Government Employees

refers only to employees of government agencies, instrumentalities, or political subdivisions and of government corporations that are not incorporated under the corporation code, meaning those which have original charters.

Managerial Employees

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 members of the managerial staff

Field Personnel

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

Workers Paid by Results

method of computing compensation based on the work completed and not on the time spent in working

Domestic Helpers/Persons rendering Personal Services

perform services in the employers home which are usually necessary and desirable for the maintenance or enjoyment thereof, or ministers to the personal comfort, convenience or safety of the employer, as well as the members of the employer's household.

Piece-Rate Method

where pay is dependent on the unit of product finished, preferred, where the work process is repetitive and the output is standardized and easily countable.

Management Prerogatives

Areas of managerial responsibility for which employers claim the power to make unilateral decisions.

RA 6727

Wage Rationalization Act

Service Establishment

Sale of service to individuals for their own or household use.

Barangay Micro Business Enterprises (BMBEs) Act of 2002 (RA10644)

encourages the formation and growth of barangay micro business enterprises by granting them incentives and other benefits.

Regional Wage Orders

prescribe the daily minimum wage rates per industry per locality within the region and in some instances depending on the number of workers and the capitalization of enterprises.

BMBE (Barangay Micro Business Enterprises)

any business enterprises engaged in the production, processing, manufacturing of products, trading and services with total assets of not more than 3 million.

Monthly-paid Employees

who are paid every day of the month.

· Unworked rest days

· Special days

· Regular holidays

- Factor 365 days

Daily-paid Employees

who are paid on the days they actually worked and on unworked regular holidays.

Computation of Rate for Monthly-paid Employees

daily rate x 365 / 12 months = EEMR

Computation of Rate: daily paid employees that are required to work every day including sundays, rest days, special days, and regular holidays

daily rate x 394.4 / 12 months = EEMR

Computation of Rate: daily paid employees who do not work and are not considered paid on Sundays or rest days

daily rate x 313 / 12 months = EEMR

Computation of Rate: daily paid employees who do not work and are not considered paid on Saturdays and Sundays or Rest days

daily rate x 261 / 12 months = EEMR

Statutory Benefits of Workers

Minimum wage, bonus, 13th Month Pay, Service Leave, VAWC leave, Retirement pay, SSS, Pag-ibig, PhilHealth

Article 94

Holiday Pay

Exemption to Holiday Pay

· Government Employees

· Retail and service establishments regularly employing less than 10 workers

· Kasambahay

· Persons in the Personal Service of Another

· Managerial Employees

· Officers or Members of Managerial Staff

· Field personnel and other employees whose time and performance are unsupervised by the employer.

· Contract basis

· Commission basis

· Paid a fixed amount for performing work.

Regular Holidays

· New Year's Day (January 1)

· Araw ng Kagitingan (April 9)

· Maundy Thursday (April 14)

· Good Friday (April 15)

· Labor Day (May 1)

· Eidl Fitr

· Independence Day (June 12)

· Eidl Adha

· National Heroes' Day (August 29)

· Bonifacio Day (November 30)

· Christmas Day (December 24)

· Rizal Day (December 30)

Special (Non-Working Days)

· Chinese New Year

· EDSA People Power Revolution Anniversary

· Black Saturday

· Ninoy Aquino Day

· All Saints' Day

· Feast of Immaculate Conception of Mary

No Work, No Pay Policy

this applies during special days

Special Working Days

· All Souls' Day

· Christmas Eve

· Last Day of the Year

Article 87

Overtime Pay

- additional compensation for work performed beyond 8 hours a day

Stipulated Overtime Rates

Premium pay for work performed on rest days, special days, or regular holidays is included as part of the regular rate of the employee in the computation of overtime pay for overtime work on the said days.

Article 86

Night shift differential

- refers to the additional compensation of 10% of an employee's regular wage for each hour of work performed between 10PM to 6AM

Night Shift Differential of Non-Agriculture

PHP 537/ 8 x 100% x #hours of work

Night Shift Differential of Retail/Service Establishment

PHP 500/8 x 110% x #hours of work

Article 95

Service Incentive Leave

- every employee who has rendered at least 1 year is entitled to a yearly service incentive leave of 5 days with pay

Article 96, as amended by RA No. 11360

Service Charges

DOLE dept. order 215, Series of 2020

Extension of floating status on employees has been extended from 6 months to 1 year

DOLE Labor Advisory 03, Series of 2021

No discrimination against vaccinated employees

Labor Advisory 06, Series of 2020

final pay and issuance of certificate of employment should be paid 30 days from date of separation and certification of employment should be issued 8 days after request

Maternity Leave Benefit

105 days with full pay and additional 15 days with full pay if solo parent (RA 8972 "Solo Parents' Welfare Act 2000")

Parental Leave Benefit

7 workdays every year with full pay. Shall not be less than the mandated minimum wage.

Retail Establishment

A place of business that sells goods such as groceries, clothing, or furniture.

P.D. 851; Section 1

13th month pay

- should be given not later than December 24 of every year

RA 8972

Parental Leave for Solo Parents