Basic LR Concepts

1. The Employment Relationship

2. Management Prerogatives
3. Rights of Employees

4. Obligations of Employees
• relationship between employer and
employees;

• mechanisms by which the terms and

conditions of employment are negotiated , adjusted
and enforced; &,

• interactions and processes on how rights and duties

are exercised,
how agreements are reached , and how workplace
relationship is enhanced
 Nagsisimula ito sa
Employment
Contract

Saan nagsisimula ang

relasyon ng Manggagawa
at ng Employer..?
• isang relasyon bunsod ng malayang
pagsang-ayon

• ang nagtratrabaho (ang “Empleyado”) ay

pumapayag manilbihan sa “Employer”

• ang kapalit ay suweldo sa ilalim ng

alituntunin ng kumpanya at ng batas
paggawa
¡ Can employer- ¡ What if any, is the
employee effect of a belatedly
relationship exists if signed employment
no contract is contract?
executed prior to
engagement?

¡ What is the required

form for employment
contracts?
Please note that there is probationary employment
when the employee upon his engagement is made to
undergo trial period during which the employer
determines his fitness to qualify for regular
employment based on his reasonable standards made
known to him at the time of engagement.
Furthermore, in a line of cases ruled by the Supreme
Court, it has been held that where no standards are
made known to the employee at the time of her
engagement, she shall be deemed from day one as a
regular employee.
(G.R. No. 177937, January 19, 2011, Clarion Printing House, Inc v. NLRC, 461
SCRA 272 (2005); Davao Contractors Development Cooperative v. Pasawa, G.R.
No. 172174, July 9, 2009; Univac Development, Inc. v. Soriano, G.R. No. 182072,
June 19, 2013.)
¡ Hiring
¡ Compensation
¡ Dismissal
¡ Supervision and Control
Over the means and
manner of work
done by the
employee
“PARAAN” Over the results of
the work
“RESULTA”
Kinikilala ng batas na
kapwa may mga
karapatan ang
Manggagawa at
Employer
• Ang employer ay may
Management prerogative
• Ang empleyado ay may
mga karapatan base sa
Saligang Batas, ang Labor
Code, at ang kaniyang mga
kontrata
What is the scope
of management As a general rule, management
determines the direction & conduct
prerogative? of its business & regulates all aspects
of employment including :
• HIRING
• WORK ASSIGNMENTS
• WORKING METHODS
• TIME, PLACE, MANNER OF WORK
• TOOLS AND PROCESSES
• SUPERVISION OF WORKERS
• WORK REGULATIONS
• TRANSFER OF EMPLOYEES
• DISCIPLINE, DISMISSAL, LAY
OFF, RECALL OF EMPLOYEES
Limitations to Management Prerogatives
• Must be exercised without abuse of discretion
• Should be tempered with compassion and understanding
• Must be exercised humanely
• The penalty it must impose should be commensurate to the offense
and to the degree of infraction

(MA. LIZA DE GUZMAN vs. NLRC (GR 130617, 11 Aug. 1999)

¡ Compliance with labor standards
¡ Compliance with contracts/agreements
with employees
¡ Just and humane treatment of employees;
Duty of Care
¡ Compliance with requirements of due
process
¡ Implementation of sound and clear
company policies and rules and regulations
Art. XIII, Section 3 :
•Participatory rights
•Self-organization
•Concerted activity
•Collective bargaining
•Security of tenure
•Living wage
•Humane conditions of work
Participatory rights :

* Art. 211 (g) of the LC – to ensure the

participation of workers in decision
and policy-making processes affecting
their rights, duties & welfare
Right to self-organization :

• Right to form, join or assist the

formation of LO for the purpose of CB

• Right to engage in concerted activities

without interference from the employer
The right to collective bargaining :

• The right to compel management to bargain

wages, hours of work, and other terms and
conditions of employment

• The right to use economic means(e.g. strike)

to compel management to grant demands
* No employee can de dismissed except
for CAUSE
“CAUSE” may either be:

¡ A “JUST” cause – connotes faults, misdeeds

of employee. (Art. 282, LC)

¡ An “AUTHORIZED” cause – employee is not

responsible to losing his job but dismissal is
allowed by law. (Arts. 283, 284 & 287, LC)
¡ Basic requirement is to simply comply with
both Procedural and Substantive Due
Process.
¡ Procedural Due Process – Pertains to the
Process (Notice to Explain and Notice of
Termination for Just Causes and 30 Day
Prior Notice to Employee and to DOLE for
Authorized Causes)
¡ Substantive Due Process – Pertains to the
validity of the ground whether it be just or
authorized causes
Labor Standards :
• Overtime pay * retirement pay
• Night differential * paternity &
• Holiday pay maternity leaves
• Service incentive leave * sexual harassment
• Minimum wage rules
• 13th month pay * occupational
• Weekly rest periods health & safety
• Meal & rest periods rules
¡ Kungmayroong KARAPATAN
ang mga Manggagawa,
mayroon ring kaakibat na mga
TUNGKULIN.
Mga Klase ng Tungkulin

1. Duty to obey (“Pagsunod”)

2. Duty to exercise skill & care (Pag-bibihasa”)
3. Duty of good faith & loyalty (“Pagiging
tapat”)
 Reasonable and lawful
¡ Sufficiently known to employee
¡ In connection with duties of employee
¡ Employee must have basic competence
for assigned duties
¡ Employees must exercise care in
carrying out assigned duties
This is violated when there is :

§ Gross misconduct
§ Fraud or willful breach of trust
§ Commission of Crime against employer or co-
workers
Who can
terminate
employment?
Both the employer &
employee can terminate
employment
 ACTUAL CONSTRUCTIVE
(Termination) (Constructive Dismissal)
Ang “Constructive Dismissal” ay
• Ilegal na paraan ng pagtatanggal na kung
saan ginagawang imposible ng Employer
ang patuloy na pamamasukan ng empleyado
• Pagbigay ng trabaho na wala sa kapasidad
ng empleyado
• Pagbawas ng ranggo kasama ang suweldo at
benepisyo
RESIGNATION ABANDONMENT
¡ Resignation ¡ Abandonment
¡ Karaniwang ¡ Dapat malinaw ang
nakasulat, ngunit patunay na ang
walang empleyado ay wala
nakatakdang nang balak bumalik
porma sa trabaho
¡ Puedeng bawiin
habang hindi pa
tinatanggap ng
Management
¡ 1. Reinstatement

¡ 2. Backwages

¡ 3.Damages

¡ 4.Attorney’s Fees
• Serious Misconduct/Willful Disobedience
• Gross and Habitual Neglect of Duty
• Fraud or Willful Breach of Trust; Loss of Confidence
• Commission of a Crime or Offense
by Employee
• Other Analogous Cases
SERIOUS MISCONDUCT

* Must be of grave and

aggravated character

* Must be in connection
with the employee’s work

* Must show that the employee

has become unfit to continue working
Examples of serious misconduct :

• Sexual Harassment and Immorality

• Fighting inside work premises
• Assault against superiors and other personnel
• Drunkenness and unruly behavior
1. There was an ORDER by the employee’s
superior or duly authorized representative :
* reasonable and lawful
* sufficiently known to the employee
* in connection with the duties which the
employee has been engaged to discharge
2. A DISOBEDIENCE that was intentional,
characterized by a “wrongful and perverse
attitude”
2. GROSS & HABITUAL NEGLECT OF
DUTY

¡ Negligence: “want of care”

¡ Under this provision, the

neglect must be both
GROSS and HABITUAL
FRAUD OR WILLFUL BREACH OF TRUST

• FRAUD
– act, omission or concealment which involves a breach of
duty, trust or confidence, and which causes injury to
another
– Committed against the employer
– Work-related

• Examples:
– Loss of confidence
– Conflict of interest
– Falsification offenses
COMMISSION OF CRIME by the employee
against:

• the person of his employer

• an immediate member of employer’s family

• employer’s duly authorized representative (e.g.

manager or supervisor)
¡ Introduction of Labor-Saving Devices
¡ Redundancy
¡ Retrenchment
¡ Closing /Cessation of Operation of the
Establishment
¡ Disease
 TANDAAN:
Kung ang dahilan ng termination ay
isang Authorized Cause:
• Dapat magbayad ng separation pay ang
Employer (years of service x either one
month [if redundancy] or 1/2 month pay)
• Dapat magbigay ng kasulatang paunawa
ang Employer 1 buwan bago gawing
epektibo ang mga termination
¡ Just Causes ¡ Authorized Causes
* involves fault of the * involves no fault of
employee the employee
* no separation pay * with separation pay
* 2 notice rule applies * written notice to
(twin notice) employees & DOLE
* immediately * 30 days from the
effective given notice