LABOR RELATIONS

ASSIGNMENT 1
INTRODUCTION

1.
2.

3.

Labor Standards minimum terms and conditions of

employment to which employees are legally entitled and
with which employers must comply.
Labor Relations the interactions between employer and
employees or their representatives and the mechanism by
which the standards and other terms and conditions of
employment are negotiated, adjusted and enforced.
Collective Bargaining Agreement (CBA) :
Renegotiated not later than 3 year
Union representation stays undisturbed for 5 years
Grievance machinery in-house problem-solving
structure
Voluntary Arbitrator selected third party to resolve
parties differences
Compulsory Arbitration the Secretary or even the
President may either assume jurisdiction or certify the
case to the NLRC; status quo is maintained.
Labor or Trade Union combination of workmen
organized for the ultimate purpose of securing through
united action the most favorable conditions as regards
wages, hours of labor, conditions of employment, etc., for
its members
Every labor union is a labor organization, but not every
labor organization is a labor union.
Forces that led workers to organize:
1. Desire for job security
2. Employees wished to substitute what we should
term the rule of law for the arbitrary and often
capricious exercise of power by the boss
3. Unions helped to give employees a sense of
participation in the business enterprise of which
they are a part
Participatory or Consultative Management
constitutional right of workers to participate in policy and
decision-making processes affecting their rights and
benefits as may be provided by law.
Elements of Employer-Employee Relationship:
1. Selection and Engagement of the employee
2. Payment of Wages
3. Power to Dismiss
4. Power to Control the employees conduct
Employee:

shall include any employee

and shall not be limited to the employee of any
particular employee, unless the Act explicitly
states otherwise
and shall include any individual:
a. whose work has ceased as a consequence
of, or in connection with, any current
labor dispute
b. and who has not obtained any
substantially equivalent and regular
employment

Employee one who employs the services of others; one

for whom employees work and who pays their wages or
salaries; includes any person directly or indirectly acting in
the interest of an employer. It shall also refer to the
enterprise where a labor organization operates or seeks to
operate.
Labor Dispute controversy or matter concerning terms
or conditions of employment or the association or
representation of persons in negotiating, fixing,
maintaining, changing or arranging the terms and
conditions of employment, regardless of whether the
disputants stand in the proximate relation of employer and
employee.
Kinds:
a.

b.

Labor Standards Disputes:

i.
compensation
ii.
benefits
iii.
working conditions
Labor Relations Disputes:
i.
Organizational Right Dispute/ ULP
ii.
Representation Disputes
iii.
Bargaining Disputes
iv.
Contract Administration or Personnel
Policy Disputes
v.
Employment Tenure Disputes

1. San Miguel Corporation Employees Union-PTGWO et al.

vs. Hon. Bersamira, Presiding Judge, and San Miguel
Corporation
- temporary, probationary or contractual employees and
workers are excluded = strike
- WON the controversy involved a labor dispute
- Yes, dwells on the working relationship between the said
employees vis--vis San Miguel.
Remedies in Labor Disputes:
1. Grievance Procedure in-house adjustment of
complaint, problems, or dispute following the
steps prescribed in CBA or company policy
2. Enforcement or compliance order act of the
Secretary of labor in the exercise of his visitorial
or administrative authority
3. Certification of Bargaining Representatives
determination of which contending unions shall
represent employees in collective bargaining

CHARM LANSANGAN 1

4.

5.

6.

7.
8.

9.

Assumption of Jurisdiction authority vested by

law to the Secretary of Labor or the President to
decide a dispute causing or likely to cause a strike
or lock out in an industry indispensible to national
interest.
Certification to NLRC action of the Secretary of
Labor empowering NLRC to compulsory arbitrate
a dispute cause or likely to cause a strike or
lockout in an industry indispensible to nation
interest
a. Return-to-work order issued to strikers;
at the same time the employer is ordered
to immediately resume operations and
readmit all workers under the same terms
and conditions prevailing before the
strike or lockout
Injunction (extraordinary remedy) to stop or
restrain an actual or threatened commission of
prohibited or unlawful acts or to require the
performance of an act, which if not restrained or
performed forthwith, may cause grave or
irreparable damage to any party or render
ineffectual any decision in favor of such party.
Judicial Action complaint filed with regular
court.
Appeal process by which an order, decision, or
award is elevated to a higher authority, on
specified grounds, so that the order, decision or
award may be modified or set aside and a new one
issued.
Review by Court No law allows appeal from a
decision of the Secretary of labor, or of the NLRC,
or of a Voluntary Arbitrator. Petition for
Certiorari, Prohibition, or Mandamus (SC or CA)
for abuse of discretion or lack or excess of
jurisdiction

Alternative Dispute Resolution Methods:

a. Conciliation efforts of a third party someone
other than the immediate disputant to assist the
parties to end their dispute perhaps by condoning
each others fault or finding a give-and-take
compromise.
b. Mediation there is also a conciliation but a
mediator, within his authority, takes a more active
role than a conciliator in searching for and
formulating a solution
c. Arbitration more determinative than the other
two but less formalistic or technical than litigation

NATIONAL LABOR RELATIONS COMMISSION

supervisory and adjudicatory body
tripartite representation:
o Workers
o Employers
o Public Sectors

POWERS AND DUTIES OF LABOR ARBITERS

Arbitration the reference of a dispute to an impartial

third person, chosen by the parties or appointed by
statutory authority to hear and decide the case in
controversy.
Compulsory Arbitration process of settlement of labor
disputes by a government agency which has the authority
to investigate and to make an award which is binding on
all the parties.
Notes:

Proceedings on appeal before the NLRC cannot be
considered as part of the arbitration proceedings

LAs Jurisidiction employment-related cases.
2. Hawaiian Philippine Company vs. Gulmatico
- WON the complaint by sugar farm workers is within the
jurisdiction of the LA given that there is no employeremployee relationship

Workers Option re: Venue

3. Dayag vs. Canizares

- Employer wants to transfer the case to Cebu, from NCR
UNFAIR LABOR PRACTICE
-

Any act intended or directed to weaken or defeat

the workers right to self-organize or to engage in
lawful concerted activities

4. National Union of Bank Employees vs. Judge Lazaro

- Due to a merger, the CBA was not renegotiated
- Union filed to the CFI
- Lack of jurisdiction controversy is a ULP, despite the
tort
TERMINATION DISPUTES
-

legality of dismissal

5. SMC vs. NLRC

- Dismissal of the ULP case would have been proper for
voluntary arbitration had the parties explicitly so agreed.

LA jurisdiction on termination disputes applies to

all establishment whether for profit or not

Dismissal of a corporate officer by a corporate

board is a corporate dispute that should be
brought to the SEC

6. Dy, et al. vs. NLRC

- New Board of Directors
- Election of new executive officers
- Controversy is intracorporate and is not a case of
dismissal SEC jurisdiction
7. Mainland Construction vs. Movilla, et al.
- Movilla is an accountant who became a board member
and admin manager (stockholder-employee)

- was not included in the payroll

- who has jurisdiction? NLRC
- SEC to take cognizance of a case:
1. Between the corporation, partnership or association and
the public;
2. Between the corporation, partnership or association and
its stockholders, partners, members or officers;
3. Between the CPA and the State as far as its franchise,
permit or license to operate is concerned;
4. Among the stockholders, partners or associates
themselves
- Factors to be considered: (NLRC vs. SEC vs. RTCs)
1. Status or relationship of the parties or the
2. Nature of the Question that is the subject of the
controversy
3. Nature of the complainants work
4. Length of Service
5. Manner of Creation of the Office
8. Tabang vs. NLRC
- stockholder-corporate officer
- Corporate Officer the president, secretary or treasurer
of the corporation or any other officer whose office is
created by the board of directors as authorized or required
by the corporate charter or by-laws
- Office created by the charter of the corporation and the
officer is elected by the directors or stockholders
- Employee occupies no office and generally is employed
not by action of the directors or stockholders but by the
managing officer of the corporation who also determines
the compensation to be paid to such employee
- Intra-corporate controversy one which arises
between a stockholder and the corporation
MONEY CLAIMS
1. If the claim, regardless of amount, is accompanied
with a claim for reinstatement; or
2. If the claim, whether or not accompanied with a
claim for reinstatement, exceeds the five thousand
pesos per claimant
Exceptions: SSS, ECC, Medicare and kasambahays claims
(DOLE Regional Director)

Limited only to those arising from statutes or

contracts OTHER THAN a CBA and those arising
from the interpretation or enforcement of
company personnel policies (Voluntary Arbitrator
or Panel of Voluntary Arbitrators)
Money claims of workers embraces money
claims which arise out of or in connection with the
employer-employee relationship or some aspect
or incident of such relationship

9. Pepsi-Cola Bottling Co. vs. Martinez

- Sumakwel contest Lapu-lapu award
- refuse to deliver the prize employment is in question
- he is an employee = NLRC

10. SMC vs. NLRC

- innovation program
- proposal and cash reward
- Where the claim to the principal relief sought is to be
resolved not by reference to the Labor Code or other
labor relations statute or a collective bargaining
agreement but by the general civil law, the jurisdiction
over the dispute belongs to the regular courts of justice
and not to the labor arbiter and the NLRC.
STRIKES AND LOCKOUTS
- strikeable
- strike procedure is followed
- strikers committed prohibited acts
Limits:
1. Injuction only the NLRC division
2. Indispensable to national interest - DOLE
Secretary or President
3. Actions filed by third parties being affected by
strikers who are not their employees Regular
Courts
OFWS MONEY CLAIMS OR DISMISSAL
11. Philippine National Bank vs. Cabansag
- Employee pass in Singapore dismissed
- Migrant Workers a person who is to be engaged, is
engaged or has been engaged in a remunerated activity in
a state in which he or she is not a legal resident
WAGE DISTORTION
Resolutions:
1. CBA Mechanism
2. NCMB for unorganized establishments (if this fails
appropriate branch of the NLRC)
POWERS AND DUTIES OF THE COMMISSION
Rule-Making: Promulgating rules and regulations
1. Governing the hearing and disposition of cases
before it and its regional branches;
2. Pertaining to its internal functions; and
3. Those that may be necessary to carry out the
purposes of this Code
Power to Issue Compulsory Process:
1. Administer oaths;
2. Summon parties; and
3. Issue subpoenas ad testificandum and duces
tecum
Power to Investigate and Hear Disputes Within its
Jurisdiction:
1. Conduct investigations for the determination of a
question, matter or controversy within its
jurisdiction; and
2. Proceed to hear and determine the disputes in the
manner laid down under par. of Article 225.

CHARM LANSANGAN 3

Contempt Power disobedience to the Court by setting

up an opposition to its authority, justice and dignity.

a) the complainant "shall also allege that, unless a

temporary restraining order shall be issued without notice,
a substantial and irreparable injury to complainant's
property will be unavoidable;

Conduct Ocular Inspection

Adjudicatory Power (NLRC Division)
- Original: petitions for injunction or temporary
restraining order
- Appellate: decisions of Las and DOLE regional
directors; NOT: voluntary arbitrator, secretary of
labor, bureau of labor relations director on cases
appealed from the DOLE Regional Offices (CA)
Requisites for Issuance of Restraining Order or
Injunction:
a) a hearing held "after due and personal notice thereof
has been served, in such manner as the Commission shall
direct, to all known persons against whom relief is sought,
and also to the Chief Executive and other public officials of
the province or city within which the unlawful acts have
been threatened or committed charged with the duty to
protect complainant's property;"
b) reception at the hearing of "testimony of witnesses, with
opportunity for cross-examination, in support of the
allegations of a complaint made under oath," as well as
"testimony in opposition thereto, if offered . . .;
c) a finding of fact by the Commission, to the effect:
(1) That prohibited or unlawful acts have been
threatened and will be committed and will be
continued unless restrained, but no injunction or
temporary restraining order shall be issued on account
of any threat, prohibited or unlawful act, except against
the person or persons, association or organization
making the threat or committing the prohibited or
unlawful act or actually authorizing or ratifying the
same after actual knowledge thereof;

b) there is "testimony under oath, sufficient, if sustained, to

justify the Commission in issuing a temporary injunction
upon hearing after notice;"
c) the "complainant shall first file an undertaking with
adequate security in an amount to be fixed by the
Commission sufficient to recompense those enjoined for
any loss, expense or damage caused by the improvident or
erroneous issuance of such order or injunction, including
all reasonable costs, together with a reasonable attorney's
fee, and expense of defense against the order or against the
granting of any injunctive relief sought in the same
proceeding and subsequently denied by the Commission;"
and
d) the "temporary restraining order shall be effective for
no longer than twenty (20) days and shall become void at
the expiration of said twenty (20) days.

Irreparable injury if it is of such constant and

frequent recurrence that no fair and reasonable
redress can be had therefor in a court of law or where
there is no standard by which their amount can be
measured with reasonable accuracy, that is, it is not
susceptible of mathematical computation
Public Officers local law enforcing officers
Protection that which would enable the employer to
proceed with the work
Adequate remedy at law one that affords relief with
reference to the matter in controversy, and which is
appropriate to the particular circumstances of the
case
Commission Attorney to assist the Commission of
its divisions in their appellate and adjudicatory
functions

(2) That substantial and irreparable injury to

complainant's property will follow;
(3) That as to each item of relief to be granted, greater
injury will be inflicted upon complainant by the denial
of relief than will be inflicted upon defendants by the
granting of relief;
(4) That complainant has no adequate remedy at law;
and
(5) That the public officers charged with the duty to
protect complainant's property are unable or unwilling
to furnish adequate protection.
Conditions for Issuance Ex Parte of a TRO (valid only
for 20 days):

Petition for injunction is not the way to halt an

employees dismissal

12. PAL vs. NLRC, et al.

- dismissal of 2 flight stewards for smuggling
- Power of the NLRC to issue an injunctive writ originates
from any labor dispute
- No labor dispute here