LABOR LAW BOOK V
217: Jurisdiction of Labor Arbiters and the
Art. 211: Declaration of Policy
 Emphasizes the importance of free collective
bargaining, voluntary arbitration, and mediation
in settling labor disputes.
 Highlights the promotion of free trade unionism
to enhance democracy and social justice.
 Advocates for the organization of a strong and
united labor movement.
 Aims to educate workers about their rights and
obligations.
 Establishes administrative mechanisms for the
quick resolution of labor disputes.
 Strives for stable but dynamic industrial peace.
 Ensures workers' participation in decision-
making processes affecting their rights and
welfare.
Art. 212: Definitions
 Defines key terms related to labor relations such
as Commission, Bureau, Board, Employer,
Employee, Labor organization, Unfair labor
practice, etc.
Art. 213: Creation and Composition of the National
Labor Relations Commission (NLRC)
 Establishes the NLRC attached to the Department
of Labor and Employment composed of a
Chairman and fourteen Members.
 Specifies the selection process for members from
workers' and employers' organizations, as well as
from the public sector.
 Outlines the jurisdiction and division of labor
among the members.
Art. 214: Headquarters, Branches, and Provincial
Extension Units
 Determines the locations of the main offices and
divisions of the NLRC.
 Mandates the establishment of regional branches
and the appointment of Executive Labor Arbiters.
Art. 215: Appointment and Qualifications
 Sets the qualifications for the Chairman,
Commissioners, Executive Labor Arbiters, and
Labor Arbiters.
 Details the appointment process and tenure of
office.
Art. 216: Salaries, Benefits, and Other Emoluments
 Specifies the salaries, allowances, and benefits
for the Chairman, Commissioners, Executive
Labor Arbiters, and Labor Arbiters.
Art.
Commission
 Enumerates the cases under the original and
exclusive jurisdiction of Labor Arbiters.
 Grants exclusive appellate jurisdiction to the
Commission.
 Addresses cases related to collective bargaining
agreements and company personnel policies.
Art. 218: Powers of the Commission
 Outlines the powers and authority of the
Commission, including rule-making,
investigation, contempt powers, and injunctions.
Art. 219: Ocular Inspection
 Grants the authority to conduct inspections on
establishments and gather relevant information.
Art. 220: Compulsory Arbitration (Repealed)
 Previously allowed the Commission or Labor
Arbiters to seek assistance from other officials
and private citizens as compulsory arbitrators.
Art. 221: Technical Rules Not Binding and Prior
Resort to Amicable Settlement
 Emphasizes the use of reasonable means to
ascertain facts and promote due process.
 Mandates efforts towards amicable settlement
before formal proceedings.
Art. 222: Appearances and Fees
 Specifies who may represent parties before the
Commission or Labor Arbiters.
 Regulates attorney's fees and charges related to
collective bargaining agreements.
Art. 223: Appeal
 Lists grounds for appeal from decisions, awards,
or orders of Labor Arbiters.
 Addresses procedures, bonds, and timelines for
appeal and decision-making.
Art. 224: Execution of Decisions, Orders, or Awards
 Grants authority to issue writs of execution on
final and executory judgments.
 Imposes duties on responsible officers to ensure
compliance with decisions.
 Authorizes administrative fines for non-
compliance.
Art. 225: Contempt Powers of the Secretary of Labor
 Grants authority to the Secretary of Labor to hold
individuals in contempt and impose penalties.
Art. 212: Definitions
 Defines key terms related to labor relations such
as Commission, Bureau, Board, Employer,
Employee, Labor organization, Unfair labor
practice, etc.
1. Commission: refers to the National Labor Relations
Commission or its divisions, responsible for labor
dispute resolution.
2. Bureau: Denotes the Bureau of Labor Relations or
its regional offices, managing labor relations
matters.
3. Board: Signifies the National Conciliation and
Mediation Board, tasked with facilitating labor
dispute settlements.
4. Council: Represents the Tripartite Voluntary
Arbitration Advisory Council, advising on
voluntary arbitration matters.
5. Employer: Any entity acting on behalf of an
employer's interests, excluding labor
organizations unless acting as employers.
6. Employee: Individuals employed by an employer,
including those affected by labor disputes or
unfair labor practices.
7. Labor organization: Union or association of
employees formed for collective bargaining or
dealing with employers.
8. Legitimate labor organization: Registered labor
organization with the Department of Labor and
Employment.
9. Company union: Labor organization aided in
formation, function, or administration by acts
defined as unfair labor practice.
10. Bargaining representative: Legitimate labor
organization representing employees in
negotiations with employers.
11. Unfair labor practice: Any prohibited labor
practices explicitly defined by the Labor Code.
12. Labor dispute: Controversy concerning
employment terms or representation, regardless
of direct employer-employee relationship.
13. Managerial employee: Individuals with
authority to execute management policies or
make significant personnel decisions.
14. Voluntary Arbitrator: Accredited person
resolving disputes, appointed by the Board or
parties to a Collective Bargaining Agreement.
15. Strike: Temporary cessation of work by
employees due to an industrial or labor dispute.
16. Lockout: Temporary refusal by an employer to
provide work due to an industrial or labor
dispute.
17. Internal union dispute: Conflicts arising from
violations or disagreements over a union's
constitution and by-laws.
18. Strike-breaker: Individuals obstructing peaceful
picketing or labor activities.
19. Strike area: Locations directly impacted by
strike-related activities, including employer
premises and surrounding areas.
Five elements of employer-employee relationship
1. Selection and engagement: This refers to the
process by which an employer selects and hires
employees. It involves recruitment, interviewing,
and ultimately offering employment to the chosen
candidate.
2. Payment of wages: Employers are obligated to
compensate employees for their work. This
includes determining the wage or salary,
establishing payment frequency, and ensuring
timely and accurate payment for the work
performed.
3. Power of dismissal: Employers generally have
the authority to terminate employees under
certain circumstances. This could be due to poor
performance, misconduct, redundancy, or other
valid reasons, depending on the employment
contract and applicable laws.
4. Control over employees' work: Employers
typically have the right to direct and oversee the
work activities of their employees. This may
involve providing instructions, setting goals,
monitoring progress, and evaluating performance
to ensure that work is carried out according to
company standards and objectives.
5. Control over employees' conduct: Employers
often establish policies and guidelines regarding
acceptable behavior in the workplace. This
includes rules related to professionalism, ethics,
safety, and adherence to company policies.
Employers may take disciplinary action if
employees violate these standards.
Control Test:
The control test focuses on the degree of control that the
employer exerts over the worker's activities. It considers
whether the employer has the right to direct and control
how the work is performed, including details such as
when, where, and how the work is done. If the employer
exercises significant control over these aspects, the
worker is more likely to be classified as an employee
rather than an independent contractor.
- Over the manner and means of work of the
employee
- Over hours
- Integration of work into business
- supervision
Economic Dependence Test:
The economic dependence test examines the extent to
which the worker relies on the entity for whom they
perform services for their livelihood. It considers factors
such as the worker's financial reliance on the entity, the
exclusivity of the relationship, and the degree to which
the worker is economically independent or reliant on the
entity as their primary source of income. If the worker is
economically dependent on the entity, they are more
likely to be classified as an employee.
- Regular compensation
- Limited opportunity for profit or loss
- Lack of investment in tools and equipment.
Relationship closely related to employment
1. Regular employment refers to a long-term,
ongoing relationship between an employer and an
employee, typically characterized by a stable
work schedule, consistent pay, and entitlement to
employment benefits such as health insurance,
paid time off, and retirement plans.
2. Probationary employment involves a trial
period during which an employee's performance
and suitability for a permanent position are
assessed. This period allows the employer to
evaluate the employee's capabilities and
suitability for the role before confirming them as
a permanent employee.
3. Project employment is based on the completion
of a specific task or project rather than ongoing,
continuous employment. Employees are hired to
work on a particular project or assignment, and
their employment ends upon the completion of
the project or when the specified duration
expires.
4. Seasonal employment involves hiring workers
to meet temporary labor demands that arise
during specific seasons or periods of the year.
Industries such as agriculture, tourism, and retail
often rely on seasonal workers to manage
fluctuations in demand during peak seasons.
5. Casual or fixed-term employment involves
hiring workers for a limited duration or for
specific tasks or projects. Unlike regular
employment, casual or fixed-term employees
typically do not receive the same benefits or job
security. These arrangements may be used to
meet short-term staffing needs or address
temporary workload fluctuations.
6. Apprenticeship programs provide individuals
with hands-on training and experience in a
particular trade or profession under the guidance
of experienced mentors or journeymen.
Apprentices typically receive a combination of
on-the-job training and classroom instruction as
they work towards acquiring the skills and
qualifications necessary for their chosen career.
7. Job contracting, also known as outsourcing or
subcontracting, involves the hiring of third-party
contractors or service providers to perform
specific tasks or services on behalf of the
employer. This arrangement allows employers to
delegate certain functions while maintaining
flexibility and potentially reducing costs.
8. Piece-rate employment involves compensating
workers based on the quantity or volume of work
they produce rather than the number of hours
worked. Workers receive payment for each unit
or "piece" of work completed, which can
incentivize productivity but may also raise
concerns about fair compensation and working
conditions.
9. Commission-based employment involves
compensating workers based on the sales or
revenue they generate. Employees earn a
percentage of the sales they make, providing an
incentive to maximize sales and revenue. This
type of arrangement is common in industries such
as real estate, insurance, and retail sales.
Several relationship in employment
Employer-Employee:
This relationship involves an agreement where an
employer hires an individual to perform work in
exchange for compensation. The employer directs and
controls the employee's work activities, and the employee
is entitled to benefits and protections under labor laws.
Independent Contractor-Client:
In this arrangement, an independent contractor provides
services to a client under a contract, but they maintain
more control over how they carry out the work. They're
not considered employees, so they're responsible for their
own taxes and benefits.
Labor Union-Management:
This relationship involves organized groups of workers
negotiating with employers or management for better
wages, benefits, and working conditions through
collective bargaining. Labor unions represent the interests
of their members in interactions with management.
Government Employer and its Employee:
This refers to individuals employed by government
entities at different levels. Government employees work
in various sectors, such as administration, education, and
healthcare, and their employment is governed by specific
laws and regulations applicable to the public sector.
Professional Organization and Members:
Professional organizations represent the interests of
individuals working in specific professions or industries.
They offer resources, networking opportunities, and
advocacy to support the professional development and
advancement of their members within their respective
fields.