Labor Law – Lecture by Duka
healthful working conditions taking into account
1975 Bar Q:
Cite at least 10 Consti provisions on labor.
- basis
A:
1. Art II, Sec 18
- state affirms labor as a primary social
economic force.
- it shall protect the rights of workers and
promote their welfare.
(summary of all objectives of all labor laws)
2. Art XII, Sec 12
- preferential use of Filipino labor,
domestic materials and locally produced
goods, and
- adopt measure that help make them
competitive.
(naa man gud foreigners mo work sad)
3. Art XIII, Sec 3 (2009 Bar what are policies of
the state on labor found in this article which are
not found in Art of labor code?)
 afford full protection to labor, local and
overseas, organized and unorganized
 promote full employment and equality
of employment opportunities for all
 guarantee the rights of all workers to
self-organizations and peaceful
concerted activities, including the right
to strike in accordance with law. (the
right to unionize is a consti right, right
to strike statutory right only. if no law,
di ka maka exercise. if public sector
employment bawal strike PD 807 CSC
decree prohibits govt workers to stage a
strike. prejudicial to the best interest of
service. ground for dismissal, GSIS
case. NGO naa orig charter covered by
CSC bawal strike SSS v CA, GOCC no
orig charter governed by labor code so
pwede mag strike. sa private sector
employment naa man right to strike.)
4. Art XIII, Sec 14
- protect working men by providing safe and
their maternal functions, and such facilities and
opportunities that will enhance their welfare and
enable them to realize their full potential in the
service of the nation. (RA No. 7192, Women in
Development and Nation Building Act)
Basis of Labor laws
1. Police power – salus populi est supreme lex.
Art 123 Labor Code. wage board nag issue wage
order, increase minimum wage sa region. the ER
has to shell out for the increase. EEs not happy
also kay mo taas expenses pud. obliged to
comply because it has force and effect of laws.
- art 278 (G) when in his opinion of the strike
indispensable to strike, Sec of Labor may
resolve or certify dispute to commission.
ASSUMPTION OF JURISDICTION.
- As an inherent attribute of sovereignty
which virtually “extends to all public needs”,
this least limitable of governmental powers
grants a wide panoply of instruments through
which the state, as parens patriae gives effect
to a host of its regulatory powers. (JMM v.
CA)
- if naan a strike, naa matik return to work order.
ana EEs kay di sila nahan mo work. inviolate
bas a involuntary servitude? No. it is an
exception. it is an exercise of police power of the
state.
- if mag assume jurisdiction si Sec, (BAR Q), wa
kay option pero dapat mo balik sa work bsag
naka strike. if naka lockout na, ER open gates
and readmit the lockout EES or else the lockout
or strike becomes illegal. defiance of
assumption order.
2. Social Justice – humanization of laws and
equalization of social and economic force by
state so that justice in its rational and objectively
secular conception may at least be
approximated.
- he who has less in life, shall have more in law.
- can be seen in Art 4. in case of doubt, it should
be in favor of labor. nay relational imbalance. in
case of doubt, interpret in favor of labor (ONLY
IF THERE IS DOUBT). if no doubt, apply the  employees of international organizations
plain meaning of the law. (Calalang v. Williams) and intergovernmental bodies.
o no jurisdiction ang tribunals
Article 3 – Declaration of Basic Policy nato kay in general they enoy
 afford full protection to labor, promote immunity from local
full employment, ensure equal work jurisdiction. if diplomats basis
opportunities regardless of sex, race or kay Geneva Conevntion on
creed and regulate the relations between diplomatic conventions. if
the workers and ERs. international orgs, basis of
 assure the rights of workers to self- immunity is ang treaty.
organization, collective bargaining,  local water districts
security of tenure, and just and humane o quasi GOCC
conditions of work. o EEs are covered by CSC Law
o ocrpo created pursuant to PD
2009 BAR Q: enumerate by number. No 198
Enumerate at least 4 policies in Sec 3, Art. XIII  corporate officers
of the Consti that are not covered by Art. 3 of o if VP tinanggal ng corp, pwede
the Labor Code on declaration of basic policy.
bam o adto sa labor arbiter to
file illegal dismission? it
Tip: FORM AND SUBSTANCE
depends. under corpo code sec.
25, there are 3 corpo officers.
the ff provisions are not covered by Art 3 of the
pres, sec, treas, and such other
LC: officers as may be provided by
1. afford full protection to labor, local and
laws. if VP is designated as a
overseas, organized and unorganized. corpo fofficer, LA has no
2. peaceful concerted activities, including the
jurisdiction bc he is a corporate
right to strike in accordance with the law. officer. if no designation he is
3. promote the principle of shared responsibility
not corpo officer, LA has
between workers and ERs and jurisdiction. so asa? adto siya
4. the preferential use of voluntary modes in
RTC under RA 8799 nature of
settling disputes, including conciliation, and intra corporate dispute.
shall enforce their mutual compliance to foster
 POEA
industrial peace.
o has jurisdiction under EO 797
o regulatory functions – issues
Workers not covere by the LC:
license and authority. TN only
 government employees (excluded by LC
for overseas placement of
itself, there is a law that would cover
workers. if local, regional
them. governed sila CSC)
office.
o 1987 consti there is a distinction
o adjudicatory functions –
GOCC with origina charter and
discipline agencies and
without original charter
recruitment entity and as well as
o if no orig charter, covered by
OFWs na nka violate
LC. therefore pwede mag strike
administratively
but you have to comply with the
o disciplinary powers – revoke or
strict reqts for valid strike.
cancel licenses, close
o if naa orig charter, covered by
recruitment and manning
CSC Law.
 agencies, and blacklist erring
agencies.
 Overseas Workers Welfare
Administration (OWWA)
o Sec 15, RA 8042
o insurance na if molakaw OFW,
member na sha OFW. whatever
happens abroad, naa sha
makuha benefit. so if di ka
member of OFW, abroad as
tourist, work didto and ge balik
diri PH. naa makuha sa
OWWA? no. not a member.
insurance ni. however in cases
where principal agency cant be
identified, all costs attendant to
repatriation shall be borne by
OWWA.
 National Reintegration cnterfor OFW
(NRCO)
o reintegrate OFW na nagabroad
and disattach from mainstream
nya wa sila job diri. naa sila
livelihood training para ma
intergrate.
o GR: art 25 – only govt ang
pwede mag recruitment and
placement of workers
o EXC: art 16
 public employment
office
 private recruitment
offices
 private employment
agencies
 shipping or manning
agencies
 POEA
 construction contractors
if authorized by DOLE
and construction
industry authority
 members of the
diplomatic corpos but
must pass thru POEA
 other persons or entities
authorized by DOLE
Money Claims of OFWS against their employers
 the LA shall have original and exclusive
jurisdiction to hear and decide, within
90 calendar days after filing of the
complaint, the claims arising out of an
ER-EE relationship or by virtue of any
law or contract involving Filipino
workers for overseas deployment
including claims for actual, moral,
exemplary and other forms of damages.
 TN: OFW does not become a regular
employee no matter how long he serves
foreign principal.
 the subject clause “or 3 months for ever
year of the unexpired term, whichever is
less” in par 5 sec 10 RA 8042 is
declared unconstitutional. (Serrano v.
Gallant Maritime Services)
 art 32 applying for work with an agency
shall not be charged any amount unless
he secured work under the agency who
helped (placement fee)
Recruitment and placing
 hiring
 procuring
 promising (illegal recruitment)
12% per annum, salary for unexpired portion of
the contract.
Sameer Overseas Placement Agency v. Cabiles
– violation of due process and equal protection
clauses of consti
 premature termination of ee contract,
return placement fee 100% + 12% on
placement fee + salary of unexpired
portion of the contract
Article 18 – Ban on direct-hiring
 No ER may hire a Filipino worker for
overseas employment except thru the
boards and entities authorized by Sec of
Labor
 Exc: direct-hiring by:
 o members of the diplomatic
corps
o international organizations
o such other ERs as may be
allowed by the Sec of Labor
 name-hire ikaw ang nangita work sa
abroad, tapos ge dawat ka pero way
agency, e approve rana nimo sa POEA.
Pwede na? Yes. you have right to look
for a job.
Article 21 – Foreign Service Role and
Participation (DFA)
 nag take care sa workers
Article 22 – Mandatory remittance of foreign
exchange earnings (purpose)
 EO 857 aims to:
o protect welfare of the families,
dependents and other
beneficiaries
o ensure that foreign exchange
remittances of OFW are
channeled thru authorized
financial institution
o help the government’s economic
development programs
 Rate of remittances
o seamen and mariners – 80% of
basic solary
o construction companies and
their workers – 70% of the basic
salary
o professional workers (docs,
nurses, engr, teachers) whose
employment contracts provide
for free board and lodging –
70% of basic salary
o professionals without free board
and lodging – 50% of basic
salary
o domestic and other service
workers – 50% of basic salary
o all other workers – 50% basic
salary
 Consequences of non-remittance
o ER shall not be issued
accreditation
o passport will not be renewed
after expiration
o renewal of employment
contracts will not be approved
o no license or authority shall be
issued to the agency
BAR Q 2006: Can an overseas worker refuse to
remit his earnings to his dependents and deposit
the same in the country where he works to gain
more interests? explain:
A: No, an OFW cannot refuse to remit his
earnings to his dependents. such is prohibited
under the law which considers 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
prscribed by the Sec of Labor (Art 22 of LC)
- mandatory gani.
Article 26 – Travel agencies prohibited to ecruit
- facilitate issuance of travel documents
- if mali and document na issue, lisod na
mo recruit.
- art 34. if director or controlling interest
in a travel agency cant be director sa
isang recruitment or placement agency.
bawal na.
2006 BAR Q: WTTA is a well known travel
agency and an authorized sales agent of the
PAL. since majority of the passengers are
OFWS, WTTA applied for a license for
recruitment and placement activities. It stated in
its application that its purpose is not for profit
but to help Filipinos find employment abroad.
Should the application be approved?
A: The application should NOT be approved for
the simple reason that the law categorically
declares that travel agencies and sales agencies
of airline companies are prohibited from
engaging in the business of recruitment and
placement of workers for overseas employment,
whether for profit or not. (Art. 26 of LC) it is
immaterial that its purpose is not for profit but to
help Filipinos find employment abroad.

Art. 27 – Citizenship requirement

- only Filipino citizens or corps,
partnerships or entities at least 75% of
the authorized and voting capital
stock of which is owned and
controlled by Filipino citizens shall be
permitted to participate in the
recruitment and placement of workers,
locally or overseas.

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