Labor Law

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 Section 3. The State shall afford full protection to labor, local and overseas, organized and
unorganized, and promote full employment and equality of employment opportunities for all.

It shall guarantee the rights of all workers to self-organization, collective bargaining and
negotiations, and peaceful concerted activities, including the right to strike in accordance with
law. They shall be entitled to security of tenure, humane conditions of work, and a living wage.
They shall also participate in policy and decision-making processes affecting their rights and
benefits as may be provided by law.

The State shall promote the principle of shared responsibility between workers and employers
and the preferential use of voluntary modes in settling disputes, including conciliation, and
shall enforce their mutual compliance therewith to foster industrial peace.
The State shall regulate the relations between workers and employers, recognizing the right of
labor to its just share in the fruits of production and the right of enterprises to reasonable
returns to investments, and to expansion and growth.

Art XIII Sec 3 of the 1987

Constitution
 BAL A N C I N G
E R E S T S While labor laws should be
OF INT construed liberally in favor of
labor, we must be able to
balance this with the equally
important right of the
[employer] to due process.

[Gagui v. Dejero, G.R. No.

196036 (2013)]

 Relations between They are impressed with public

labor and capital interest that labor contracts:
The relations 1. Must yield to the common
between capital and
good
labor are not merely
contractual. 2. Are subject to special laws

1 2 3

LABOR UNIONS WAGES WORKING

CONDITION
RIGHTS OF AAN
EMPLOYEE
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SECURITY OF TENURE

All workers shall PURPOSE

be entitled to to safeguard the
security of
general welfare
tenure
of the public.
EQUAL WORK OPPORTUNITES
Ensure equal work opportunities regardless of:

1. Sex
2. Race
3. Creed
EQUAL WORK OPPORTUNITES

Promote employment Promote the right of all

of individuals on the employees and workers,
basis of their – regardless of age, to be
1. Abilities, treated equally in terms of –
2. Knowledge, 1. Compensation,
3. Skills, and 2. Benefits,
4. Qualifications, rather than 3. Promotion,
their age 4. Training, and
5. Other employment opportunities.
Right to self-organization and
collective bargaining
The rights of all workers
to –
1. Self-organization;
2. Collective bargaining and
negotiations;
3. Peaceful concerted
activities;
4. Strike in accordance with
law.
Promote the right of all
employees and workers,
regardless of age, to be
treated equally in terms of –
1. Compensation,
2. Benefits,
3. Promotion,
4. Training, and
5. Other employment opportunities.
NORMAL HOURS OF WORK

General Rule: 8-HOUR Beyond the normal hours of

LABOR work - shall be subject to:
1. Overtime Pay
Rest day period: 24 2. Night Differential Pay
continous hours 3. Hazzard Pay
Exception:
Compressed-workweek
WAGES
It is the remuneration or earnings, however designated:

1. Capable of being expressed in terms of money;

2. Whether fixed or ascertained on a time, task, piece,
or commission basis, or other method of calculating
the same;
3. Payable by an employer to an employee under a
written or unwritten contract of employment –
a. for work done or to be done; or
b. for services rendered or to be rendered
c. [Art. 97(f)]
WAGES: Form of payment
General Rule: Legal Tender Only

1. Not allowed:
2. Promissory Notes
3. Vouchers
4. T okens
5. Tickets
6. Chits; or
7. Any other form alleged to represent a legal tender,
even when expressly requested by the employee.
[Art. 102]
SERVICE INCENTIVE LEAVE

Every employee who has rendered at least one

year of service shall be entitled to a yearly
service incentive leave of five days with pay.
TERMINATION OF
EMPLOYMENT
 SUBSTANTIVE DUE PROCESS
REQUISITES 1 whether the termination was based
on the provisions of the Labor
Code or in accordance with
jurisprudence

PROCEDURAL DUE PROCESS

2 The employer shall:

1. Furnish the worker, whose employment is sought to be terminated, a written
notice containing a statement of the causes for termination; and
2. Afford the latter ample opportunity to be heard and to defend himself, with
the assistance of his representative if he so desires, in accordance with
company rules and regulations promulgated pursuant to guidelines set by the
DOLE. [Art. 292 (b)]

JUST CAUSES
1. Serious misconduct or willful disobedience by the employee of the lawful
orders of his employer or representative in connection with his work;
2. Gross and habitual neglect by the employee of his duties;
3. Fraud or willful breach by the employee of the trust reposed in him by his
employer or duly authorized representative;
4. Commission of a crime or offense by the employee against the person of
his employer or any immediate member of his family or his duly
authorized representatives; and
5. Other causes analogous to the foregoing;
AUTHORIZED CAUSES
Article 298 [283] (Business-related causes) –
1. Installation of labor-saving device;
2. Redundancy;
3. Retrenchment;
4. Closure or cessation of business operations not due to serious business
losses or financial reverses; and
5. Closure or cessation of business operations due to serious business
losses or financial reverses; and

Article 299 [284] (Health-related causes)