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DEAN POQUIZ - Labor Relations Reviewer

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laceballawlibrarynotes Dean Salvador A. Poquiz Notes PJ1 LABOR LAW ESSENTIALS From Dean Salvador Poquiz lecture (Overview of Labor Law) With special emphasis on Labor Relations CONSTITUTIONAL PROVISION Art. 13 – Rights of worker o Rights to self organization o Rights to living wage o Right to collective bargaining or negotiation o Right to security of tenure o Right to just and humane condition of work o Right to engage in peaceful concerted activities o Right to strike in accordance with law o Right to participate in formulation of policy and decision making processes with the management (Principle of co-determination, principle of shared responsibilities) o Right to profit sharing benefits Art. 12, Sec.6 o Principle of Distributive Justice – defusing, regulate the enjoyment of property ownership for the common good via the power of eminent domain. Art. 19, Sec.5 – right to self organization of government o Cannot have CBA but can have CNA Art. 19, Sec. 2 (1) – Scope of Civil Service o Chartered government corp., governed by CSC o Subsidiary of chartered government corp. organized under Corporation Code, LC.(Corporate offspring) TYPES OF EMPLOYEES 1. Regular employees Whether continuous of broken, so long as the employment is for more than one year, regular employment. Constant Rehiring, renewal of contract plus one year = regular employment Necessary and desirable to the usual business or trade of the employer Usual trade and business = main undertaking of the employer Expiration of the training period o Training Period For Apprentice – not more than 6 months but not less than 3 months Combo of Theoretical Instruction plus OJT(Practical application) The apprenticeship period is considered as the probationary period Double apprenticeship is not allowed (apprenticeship plus probationary period). It is against public policies.
Transcript

laceballawlibrarynotes

Dean Salvador A. Poquiz Notes PJ1

LABOR LAW ESSENTIALS

From Dean Salvador Poquiz lecture (Overview of Labor Law)

With special emphasis on Labor Relations

CONSTITUTIONAL PROVISION

Art. 13 – Rights of worker

o Rights to self organization

o Rights to living wage

o Right to collective bargaining or negotiation

o Right to security of tenure

o Right to just and humane condition of work

o Right to engage in peaceful concerted activities

o Right to strike in accordance with law

o Right to participate in formulation of policy and decision making processes with the

management (Principle of co-determination, principle of shared responsibilities)

o Right to profit sharing benefits

Art. 12, Sec.6

o Principle of Distributive Justice – defusing, regulate the enjoyment of property

ownership for the common good via the power of eminent domain.

Art. 19, Sec.5 – right to self organization of government

o Cannot have CBA but can have CNA

Art. 19, Sec. 2 (1) – Scope of Civil Service

o Chartered government corp., governed by CSC

o Subsidiary of chartered government corp. organized under Corporation Code,

LC.(Corporate offspring)

TYPES OF EMPLOYEES

1. Regular employees

Whether continuous of broken, so long as the employment is for more than one year,

regular employment.

Constant Rehiring, renewal of contract plus one year = regular employment

Necessary and desirable to the usual business or trade of the employer

Usual trade and business = main undertaking of the employer

Expiration of the training period

o Training Period

For Apprentice – not more than 6 months but not less than 3 months

Combo of Theoretical Instruction plus OJT(Practical application)

The apprenticeship period is considered as the probationary period

Double apprenticeship is not allowed (apprenticeship plus

probationary period). It is against public policies.

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Dean Salvador A. Poquiz Notes PJ2

Apprentice is entitled to not less than 75% of the minimum wage as

issued by the wage board.

Q: Is the apprentice entitled to full month pay? A: Upon the

expiration of the apprenticeship period or if the training company

availed of the tax deduction scheme for apprenticeship salary, must

pay 100%.

Learnership – engaged in non – apprenticiable or less skilled work, OJT plus

optional theoretical instruction

Not less than 3 months

No double learnership, period is probationary period

Fixed at 75% of minimum wage as per wage order

Once taken in after learning period, entitled to full compensation

Disabled/Handicapped – maybe regular employee if employed in a job

which is usually necessary and desirable to the usual trade of business of the

employer which his performance is not affected by his disability.

Age, Physical, mental and sensory defects

Nature of Training – as an apprentice or learner – apply the rule

NB: Q: Who has jurisdiction over learnership and apprenticeship disputed? A: Plant

Committee then Department of Labor and Employment. Labor Arbiter has no jurisdiction.

(PAL vs Pano)

2. Probationary Employment

Period can be less than six months, if favorable to the employee as provided for the

employer.

SC: 18 months probationary period can be warranted when the job required extensive

training. The law provides for six months.

During this period, employees are required to comply with the employer’s standards.

Probation extension: allowed when agreed upon by the parties when necessary to comply

with the probationary standards of the employer. What is prohibited is double probation.

But after the extension, the employee still have not reached the standards, employer can

terminate the employee.

3. Seasonal Employment

From season to season

Performing the same task

4. Project Employment

Hired for specific undertaking or project

Upon termination of project, automatic cessation of employer and employee relationship

Q: What if there is illegal dismissal during the project? Answer: Reinstatement during the

period of the project and back wages but only during the term of the project.

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Dean Salvador A. Poquiz Notes PJ3

Q; when can a project employee be a regular employee? A: Employers are required to

submit termination report of the project to the nearest to the DOLE Office, failure to do this

would make project employees as regular employee.

5. Non - project Employees

Hired without reference to a specific project or job.

Hence, they belong to a work pool.

Q: Are they required to go under probationary period? A: Yes.

They will be assigned to various projects or phase of such.

6. Fixed Term Employees

Contractual employees

Upon signing of the contract, employees knew when it will expire

Once rehired, they will morphed into regular employment. EXPTN: Seamen, even if rehired

cannot be regular employees (Millares vs NLRC)

7. Casual Employees

Activity performed is not usually necessary or desirable in the usual business or trade of the ER (not regular); not project; not seasonal.

He is uniquely regular because his “regularness” attaches only to the particular activity that he has been doing while still a casual.

Prescriptive Period:

1. Purely Money Claims – 3 years

2. Criminal cases under LC -3 years, as a general rule.

Exemptions are:

a. Simple Illegal Recruitment – 5 years

b. Qualified Illegal Recruitment - 20 years

3. ECC Cases -3 years

4. Illegal Dismissal – 4 years

5. GSIS Claims – 4 years

Exemption: Payment of premium, its 20 years.(SC)

6. SSS Claims – for payment of premiums, 10 years

7. Sexual Harassment – 3 years but SC, no prescription, even after four years.

Requirements for Appeal

1. Payment of appeal fee

o Jurisdictional requirement – no payment, appeal will be dismissed for lack of

jurisdiction

2. Submission of memorandum of appeal to LA a quo who will submit it to the NLRC office

which has appellate jurisdiction over the LA a quo.

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Dean Salvador A. Poquiz Notes PJ4

o The NLRC Commissioner can notify the parties to have amicable settlement base on

Art. 221 of LC.

o No amicable settlement, proceed with decision.

o When affirmed in toto, reinstated to the payroll.

o Losing party, file Motion for Reconsideration. Only one MR is allowed. This is a

condition sine qua non for filing of certiorari. (St. Martin’s Funeral Home vs. NLRC)

o When MR denied, file a certiorari under Rule 65 to CA within 60 days.

o When Certiorari was denied or unfavorable, file MR again, then when denied thus

upholding NLRC decision, certiorari to SC.

o SC can only review question of law, but can review question of facts when

1. When decision of LA, NLRC and CA are contrary, in collision or diametrically

opposed to each other.(SC)

o Filing and reckoning period

Reckoning Period: Upon receipt of the counsel of record

Philpost: The date of mailing, date of filing

Private Carrier: The date of receipt of private party, date of filing

3. Pay appeal Bond

o Cash and surety bond only, but

UERM Case: Property bond can be posted provided it is sufficient to cover

the monetary award

Bank certification, irrevocable bank guarantee are not allowed

Q: Can you file a motion to reduce bond? A; Yes, but it must be coupled with

the payment of the reasonable amount of the bond. Without the payment,

the period will not be tolled.

JURISDICTION OF LABOR ARBITER

Exclusive and Original Jurisdiction

1. Unfair labor practices

2. Termination cases

3. Big Money claims, 5k up

More than 5k, LA has jurisdiction

i. EXPTN: Big Money Claims bore out of the power of

inspection of Secretary of Labor.

ii. Power of inspection – by Sec. of Labor via the Regional

Director or his representatives. Can be done moto propio or

by a Labor Standards Complaint of an employee supported

by 20% of all the employees of the employer/plant.

1. Enforcement Order has the force and effect of a writ

of execution.

2. When amount is contested:

If the pieces of evidence are readily available

in the ordinary course of inspection, the

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Dean Salvador A. Poquiz Notes PJ5

Regional Office retains jurisdiction. If not, it

will be transmitted for compulsory

arbitration to the Regional Arbitration Branch

of the NLRC, thus LA.

4. Small money claims with demand for reinstatement

5k or less, but with claim for reinstatement.

Without demand for reinstatement, Regional Director. Thus his

decision is appealable directly to the NLRC.

5. Other cases involving employer – employee relationships

Causal relation between employer – employee. Without this, regular

courts will have jurisdiction.

Apply the Four Fold Test to determine employer - employee

i. Selection and engagement of the putative employee

ii. Manner of payment of salary or wages

iii. Presence or absence of the power of dismissal

iv. Presence or absence of the power control

1. Has primacy over all other

2. Q: Are all kinds of control indicative of EE-EM

relationship? A: No. If there is lesser control, no

relationship. More control, there is relationship (Jay

Sonza case)

3. Other test in determining relationship.

Economic relations test – Sevilla vs. CA: The

prevailing economic relationship of employer

and employee can be indicative of a

relationship.

Q: Are there instances when there is no

formal contract of employment but the law

mandates the existence of employer –

employee relationship? A: Yes. 1. In cases of

labor only contracting. As penalty, actual

employer deemed as employer of the

contractual employee, the contractor will be

deemed as the agent of the former.

Q: Can contractual employees form a

union in the actual employer’s

premises when there is a labor only

contracting? A.1: Yes, because the law

mandates that the actual employer is

the employee of the contractor’s

employee.

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Dean Salvador A. Poquiz Notes PJ6

A.2: In cases of Working Scholars –

under the law, the agreement, no

employer – employee relationship.

Requirements: There must be a real

opportunity to finish the course.

NB: For purposes of civil damages, the

working scholar will be treated as

employee and the school as an

employer, particularly in quasi-delics.

6. Legality of strike and Lockout

Strike is the most lethal weapon on employees

i. May affect the socio-economic situation of a country that is

why there is a law on strike.

ii. Requirements to stage a lawful strike

1. Based on a valid ground

Two Grounds

CBA Deadlock

ULP

Union Busting (w/c is also ULP)

o NB: Inter/Intra Union Disputes,

wage distortion issues are not

strikable issues.

2. Approved by the majority of the total membership

of the union through strike voting

3. Filing of a Notice of strike

To be filed with NCMB, which will look into

the factual grounds of the strike. It will either

dismiss it by issuing a preventive mediation

order which will have the effect of making

the strike illegal if it still undertaken and will

convert the issue into a preventive

mediation case.

Must be filed before 30 days in case of CBA

Deadlock and 15 days for ULP. The period is

known as the Cooling Off Period. Here, the

Grievance Machinery in the CBA will be

exhausted.

7 days after failure of the Grievance

Machinery, the issue will be submitted to

Voluntary Arbitration conducted by a 3rd non-

partisan person known as the Voluntary

Arbitrator whose decision will be appealable

to the CA under Rule 43.

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Dean Salvador A. Poquiz Notes PJ7

Principle of Improved Offer – through secret

balloting, union members can choice whether

or not to accept the improved offer of the

union.

Principle of Reduced Offer – through secret

balloting, the BOD or members of the

governing body of the company can choice

WON to accept the reduced offer of the union.

In both cases, it will have the effect of

retuning to industrial peace=workers

return to work, employer accepts

workers and resumes operation.

Compulsory Arbitration – when the

government intervenes.

Q: During the cooling off period, officers of

the union were dismissed that seems to

tantamount to union busting. May the union

immediately strike? A: SC: If there is union

busting and the union has already complied

with the 24 hour prior notice rule, 7 day

strike report and the notice of strike has

already been submitted, then a strike can be

staged.

4. Compliance of the 24 hour prior notice rule of

strike vote

Separate notice to DOLE and employer of the

place, time and date of the strike vote 24

hours before it is staged.

5. Submission of the strike vote report

Must be submitted 7 days before the strike.

Q: What if the strike vote was submitted

during the cooling off period? A.: The strike

vote 7 day period must be reckoned from the

expiration of the cooling off period.

6. Compliance of the doctrine of means and purposes

The purpose of the strike must be legal

and the means to attain the purpose must

be also legal. (e.g. uttering libelous remarks

during the strike. Thus, commission of illegal

acts during a lawful strike, the strike can be

declared illegal.)

7. For Hospitals and Medical Institutions: designation

of an effective skeletal force.

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Dean Salvador A. Poquiz Notes PJ8

NB: Officers of the union is liable for dismissal

for masterminding the illegal strike. Basis:

Doctrine of Vicarious Liability.

Members of the union who actively

participated in the illegal strike will also be

liable for dismissal.

Q: Are the abovementioned dismissed

employees entitled to back pay? A: As a

general rule, no. Reason: No work, no pay. But

if they are:

Discriminatorily dismissed

Illegally locked out by employer

When the workers unconditionally

offer to return to work but they were

denied to return to work….

…they can return to work

Once a strike is declared legal, the workers

cannot be liable for damages that occurred

during the strike based on the doctrine of

damnum absque injuria.

You must be unionized (legitimate,

registered) before your strike can be declared

legal.

Q: Can a union not registered conduct a

Certification election? A: Yes, in case of a local

chapter issued with a chapter certificate. Here

the charter member was issued a charter for

purposes of certificate election. Other

privileges accorded to a union will be

withheld for the meantime until completion

of the other requirements.

Principle of Comingling – the rank and file

union and the supervisory union of the same

company can join the same federation.

Q: Can government employees unionize? A.

Yes. But they don’t have the power to

collectively bargain. They can only have the

power to collectively negotiate. They also

cannot strike because according to SC, strike

of government employees is a civil service

offense. They serve the people. If you allow

the government employees to strike, it will

tremendously affect the delivery of public

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Dean Salvador A. Poquiz Notes PJ9

service. It tantamount ultimately as an assault

to the sovereignty.

GOCC employees without original charters

can unionize and strike. LRTA vs Benus: SC

said LRTA is a GOCC with original charter,

thus its employees cannot strike. However,

employees of its subsidiaries or Corporate

Offspring of GOCC with or without original

charter, can strike.

Managerial, and Confidential employees

cannot join a labor union and strike.

For confidential employee, they must have

access to labor relations matters to be

disqualified for union membership.

Cooperative employees who are also

members thereof cannot unionize.

Religious Objectors can choose not to join a

union. However they can vote in certification

election.

iii. Types of Strikes

1. Authorized strikes

There must be a strike vote.

2. Unauthorized strikes

When the there is no strike vote – Wild Cat

strike

3. General Strike

No EE-EM Relationship

Welga ng Bayan – SC a form of Sympathetic

Strike

Political in Nature

Industry wide strike –e.g. all employees of the

air transportation in the RP

According to SC, these strikes are

unwarranted

4. Lightning Strike

Brief strike that was stage in short duration

5. Slowdown Strike

To reduce company reduction

Types

I. Sit down – strikers remain in

the plant but they reduce

company reduction

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Dean Salvador A. Poquiz Notes PJ10

II. Quickie – some may remain in

the plant or some may be

outside the plant

6. Economic Strike

Staged as a result of a collective bargaining

deadlock

7. ULP Strike

Staged in violation of the worker’s right to

self organization

7. Damages

8. Employees of GOCC without original charter

9. OFW

Based on Section 10 of RA 8042 as amended RA 10022

10. Over certain churchmen (pastor, ministers)

If it’s purely religious function, LA has no jurisdiction.

But if not, it has jurisdiction.

11. Collateral Matters

Incidental to the main case

Q: Can a LA award attorney’s fees in an illegal dismissal case? A: Yes.

When the LA has jurisdiction over the main issue of the case, it has

jurisdiction over collateral and incidental matters.

12. 3rd Party Compliant of a party not connected to a Labor case that has been

affected by its execution.

NB. Except as otherwise provided by this code. These matters are beyond the jurisdiction of

the Labor Arbiter.

1. Inter/Intra Corporate Disputes

2. Training and learnership agreement disputes

3. Labor cases against company under rehabilitation proceedings

4. International bodies and organizations

o This will be violative of the convention on protocol and a violation of its functional

immunity.

o DFA vs CA: ADB is an international organization outside the reach of LA.

5. Art. 263 (g) – Assumption power, preemptive power

Provides that the President or Secretary of Labor can assume jurisdiction of

a labor dispute involving industries indispensable to national interest for its

resolution.

The state and government is a passive party.

Q: Can assumption be moto propio? A: Yes.

Q: Can one of the parties to a labor dispute involving a labor dispute in an

industry indispensable to national interest file a motion for assumption? A:

Yes, either by the union or the employer.

Once assumption is made, an assumption order will be issued.

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Dean Salvador A. Poquiz Notes PJ11

Legal effects of assumption order:

Once issued, it has the effect of a writ of injunction.

A return to work order is deemed written on the assumption order.

The workers must report back to work. Failure to do so would mean

that they are now engaging in a prohibited/illegal activity.

All issues cognizable by the labor arbiter under art. 217 can now be

resolved by the assumption officer, when it is raised under

assumption.

UST Faculty Union vs. UST: Assumption of jurisdiction contemplates

actual reinstatement only. Thus, no choice between payroll or

actual reinstatement unlike in illegal dismissal.

POWERS AND JURISDICTION OF THE NLRC

1. Contempt Power

Two Types

i. Indirect Contempt

1. To be dealt with by the NLRC and its rules.

ii. Direct Contempt

1. By the Rules of Court (R71)

2. Injunctive Power

2. Certification Power

Art. 263 (g) Assumption powers of President and/or Secretary of

Labor.

The President or the Secretary of Labor, upon assumption, can also

certify the labor dispute assumed to compulsory arbitration. Thus, it

is certified to the NLRC which will resolve the dispute.

Q: Can the labor dispute be certified for voluntary arbitration? A:

Yes. If the Secretary of Labor deems it fit for voluntary arbitration.

3. Appellate Power

Decisions of LA under Art. 217

Decisions of LA under Art. 128 (b) in relations to contested cases

Decisions of LA arbiter in wage distortion in non-unionize

companies.

Elements of wage distortion (Pru Bankers Case)

i. Existence hierarchy of positions

ii. There in an increase in the lower pay class with no

corresponding increase higher pay class

iii. Abolition of the two groups or classes

iv. Wage distortion applies only to the same region

NB: Q: Who has jurisdiction over wage distortion problem?

A: For unionize establishment – Voluntary

Arbitrator

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Dean Salvador A. Poquiz Notes PJ12

For non - unionize establishment – Labor

Arbiter.

NB: Although wage distortion problems are

not strikable, but for failure to pay the

increase pursuant to the wage order, the

employer will be liable to pay double the

amount of the increase under the Doctrine of

Double Indemnity.

Decisions of the LA pursuant to Sec. 10 of RA 8042 in cases of OFW.

Decisions of the RD of their adjudicatory functions under Art. 129 of

LA.

o Adjudicatory Function

Indications:

1. Filed by house worker or employee

2. No more employer and employee

3. No more claim for reinstatement

4. Claim is not more than 5k.

4. Injunctive Power

A hearing must be conducted to observe due process.

Q: Is there a provision in the LC that a TRO is issued without

conducting a hearing by the NLRC? A: Yes, a TRO is a mere

interlocutory order. Thus can be issued ex parte. But for injunction,

a hearing is indispensible

ILLEGAL DISMISSAL (Step by step procedure)

File it with the Regional Arbitration Branch of the NLRC which has territorial jurisdiction

over the workplace of the complainant.

Mandatory Preliminary Conference. Resort to amicable settlement as per Art. 221 of the LC.

Second MPC, if first attempt is not successful.

After second MPC, no amicable settlement, LA will mandate parties to submit position

papers.

o SC: Position papers proceedings are not in violation of due process. Through their

papers, they are heard. Plus, technical matters are not binding in labor proceedings

being an administrative proceeding.

o Q: Can one of the parties file a motion to have a trial type proceeding? A: Yes, but

subject to the discretion of the LA.

When final paper has been submitted, LA has 30 days to decide.

Ten calendar days to appeal

No appeal, immediately self-executory as to the reinstatement aspect. No need for writ of

execution.

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Dean Salvador A. Poquiz Notes PJ13

Virgen Shipping case: As to other matters, a writ of execution is needed. To be filed after

period to appeal expired and no appeal is made.

After the motion for execution, LA will set it for pre-execution conference to abbreviate the

proceedings as to Art. 221 of LC.

If after the pre-execution conference, no settlement, proceed to execution.

Garnishment and levy is allowed when no money to answer for the judgment.

3rd party complaint is cognizable by LA for execution.

o Instances when you can lift or quash the writ of execution:

Issued against a non-party

Issued on account of graft and corruption

Issued on account that the awards is incomplete

Irregularly issued

NB: Doctrine of Immutability of Final Judgment: Final judgments are final and cannot be modified.

Grounds for Appeal

o Grave abuse of discretion

o Graft and corruption

o Serious errors in the finding of fact

o Fraud

COLLECTIVE BARGAINING AGREEMENT

Q: What are the modes of determining the representation status?

1. Voluntary Recognition – it requires that there is no other union. Only one

union has the support of the majority of the employees. The employer and

employee must inform the Regional Director of the DOLE of the fact of the

voluntary recognition. From date of recognition, the union becomes a

legitimate labor organization.

o Q: Does the one year bar rule also apply to voluntary

recognition? A: Yes, no election can be held, 12 months from

the date of the final voluntary recognition election results.

2. Consent election – the election was agreed upon by two or more union.

o Q: Is intervention of DOLE required in consent election? A:

No. Intervention is subject to the discretion of workers.

o One year bar rule also applies.

3. Certification election – one which is conducted among three or more union.

This is treated as the sole concern of the employees and the employer is a

mere by stander and it is the best forum in determining the will of the

employees.

o Sole Concern Rule

o By stander Rule

o Best Forum Rule

Majority must vote – 50% plus one

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Dean Salvador A. Poquiz Notes PJ14

One of the unions or a no union should have garnered the

majority vote. (Second Majority Rule) Provided 50% of the

majority validly cast their votes.

A no union may win in certification election. When a no union

win, the one year bar rule will still applies.

In consent election, 25 % Subscription or Consent Requirement

must be present. If attained, holding of certification election is

mandatory, if not discretionary. SC: Even if 25% not attained,

consent election can still be held because it is the best way to

attain the will of the workers.

Instances when holding of certification election is not allowed:

i. Contract Bar Rule – no CE can be conducted during the

lifespan of the CBA except during the 60 day period

(Freedom Period) before the expiration of the 5 year life

span of the CBA

Exemption to the contract bar rule:

a) If the CBA is not registered

o Still valid as to parties but a CE

can now be conducted.

b) If the CBA is incomplete, inadequate or

sub standard. (Sweetheart Contract)

c) If the CBA is hastily entered into or

prematurely extended.

d) In cases of mass disaffiliation in the

bargaining agent.

o Q: Can the remaining officers of

the union still bargain with the

employer? A: Yes. Until and unless

it lost in a certification election, it

is still the bargaining agent.

ii. One Year Bar Rule – no CE may be held one year after the

final result of a prior election. This applies to all election.

iii. Deadlock Bar Rule – a notice of strike is filed with the

NCMB which has been the subject of conciliation,

mediation, exhaustion of grievance machineries,

improved offer balloting, reduced offer balloting.

iv. Charge of Company Union Rule –SC: If there is charged of

company unionism which is an unfair labor practice, it is

a prejudicial question which must be resolved first

before conducting a certification election.

v. Negotiation Bar Rule – if there is a collective bargaining

negotiation in the company premises, it will be a bar for

certification election.

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Dean Salvador A. Poquiz Notes PJ15

vi. Appeal Bar Rule – if there is pending appeal over a

decision of the med arbiter elevated to the Secretary of

Labor, pending decision, no certification election can be

held.

4. Run off or second election

o Contested between two unions garnering the highest number

of votes in a prior election

o A no union does not exist in a runoff election

Contents of a CBA

1. Preamble

2. Union prerogatives

3. Management prerogatives

4. Economic clauses

5. Non – economic clauses

6. Union Security Clauses

7. Escalator Clause

8. Family planning clauses

9. Union Education Clauses

10. Grievance Machinery Clause

11. Drug Free Provision Clause

12. Separability Clause

13. Effectivity Clause

14. Automatic Renewal Clause

15. No strike, no lock out clauses

1. Q: can the union waive the right to strike? A: Generally, no. EXPT: By

inserting in the CBA a “no strike, no lock out clause”

Term of CBA

1. As to representation aspects – 5 years

2. As to renegotiation aspects – 3 years

Q: Upon expiration of the CBA, and no new CBA has been agreed upon yet, what will govern?

A: Old CBA subsists under the Principle of CBA Continuity.

Q: Can the parties agree to suspend collective bargaining for 10 years? A: Yes, in order to

provide stability and predictability of collective bargaining agreements for the benefit of

both parties.

SC: The Company can sue employees for violation of a CBA provision.

Q: Why do workers unionize? A: 1. In order to have relative equality in the bargaining

process with the employer. 2. Security of tenure. 3. Attain maximum economic benefits in

the collective bargaining agreement.

Q: Can a single employee bargain with management? A: Yes, there is no law prohibiting

individual bargaining.

Q: If an employer is already giving out voluntary benefits, can the employees still demands

for 13th Month Pay? A: It depends. If the amount of voluntary benefits given is equal to the

amount of the 13th Month Pay, no more. But if it’s less, they can.

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Dean Salvador A. Poquiz Notes PJ16

In the event that the CBA is approved, it will govern the company premises or the law of the

plant. Thus, the law of the plant is another name for a CBA.

Whatever benefits that the CBA may bring, non members of the union are also benefitted.

They are not required to pay union dues but they will pay agency fees that will be of the

same amount as that of union dues. Payment of the agency fee is known as the agency

shop, maintenance of the treasury shop, anti-hitchhiker clause, anti-free rider clause.

Q: Is there still a need for the union and the company to agree to impose agency shop? A: No

need. The agency shop agreement is already provided for by law.

Doctrine of Union Monopoly/Exclusive Right Rule – the certified union is the only

bargaining agent allowed to bargain with the management to the exclusion of the other

unions in the plant or company premises.

UNFAIR LABOR PRACTICES

An act either by the employer or the union, their agent or representatives which violates the

constitutional right of the workers to self organization.

There must be employer and employer relationship.

Instances when ULP can be committed even if there is no EE-EM relationship:

1. When committed by agents or representative

2. Yellow dog contract – an applicant is made to denounce his membership

to a union or promised not to join one as a condition for employment.

Hence, being an applicant, no employer and employee relationship yet.

Two Types of ULP

o By employer

1. Interference, restraint , coercion in the formation of a union

Discourage the formation or continuation of a union

3 ways of commission

i. Economic

ii. Psychological

iii. Physical

2. Yellow dog contract

3. Discrimination

Not per se illegal. Only if it’s designed, calculated to discriminate

the officers and members of union with regards to benefits due

to all employees.

It maybe management prerogative. But if it’s a grand design to

undermine the union, then it is ULP

4. Forming or assisting in forming a company dominated union

SC: Passivity of a union is an indication of a company dominated

union.

Organize with help or assistance of management.

Economic, legal support from employer

laceballawlibrarynotes

Dean Salvador A. Poquiz Notes PJ17

5. Refusal to bargain collectively

Duty to bargain collectively – mutual obligation of the parties to

bargain and negotiate with matters regarding terms of

employment and adjustments of grievance machineries for

redress of grievances promptly, expeditiously and in good faith.

Standards of Collective Bargaining;

i. Mutual – either the parties may initiate collective

bargaining.

Union may submit CBA proposal.

Employer, after 10 days, may submit a

counter proposal. Failure to submit a

counter proposal will amount to refusal to

bargain, thus a ULP and the CBA

submitted by the union will be governing

CBA in the plant.

Q: A counter proposal was submitted, the

employer made it hard for employees to

bargain during the negotiations with no

real intention to sign a CBA. Is the

employer guilty of ULP? A: Yes, the

employer is guilty of Surface Bargaining.

Blue Sky Bargaining - the union

submitted a proposal which contains

economic demands beyond the reach and

capacity of the employers, thus sky high.

Runaway Shop – when the employer

remove his plant or office from one place

to another in order to evade unionism or

collective bargaining and relocate it to

another place which is called as runaway

area.

Q: Is it valid to strike in the Runaway

Area? A: Yes. According to the Labor Code,

strike areas also include runaway areas.

ii. Prompt

iii. Good faith

Q: What if employer submit a

counterproposal on a take it or leave it

basis, is the employer liable for refusal to

bargain collectively? A: Yes. The employer

is guilty of “Boulwarism.” This is

considered a malpractice which is a

violation of good faith bargaining.

laceballawlibrarynotes

Dean Salvador A. Poquiz Notes PJ18

6. Contracting out of services

SC: Mere contracting out within the period of six months is valid.

But if it goes beyond six months, it is ULP. Because employer

deny the strikers the opportunity to pursue their work.

7. Gross and flagrant violations of the CBA

Refers to economic provisions

o By Union

1. Interference, restraint , coercion in the formation of a union

2. Discrimination

3. Payment of Negotiation Fees

It is when in order to settle economic provisions in CBA, union

demands from employer negotiation fees.

Sweetheart Contract – when the CBA was not able to get full

economic benefits for employees, or it’s an incomplete CBA.

Example: when CBA does not have an arbitration clause.

o NB: An incomplete CBA does not bar a certification

election. Thus not bar on holding another certification

election during the 12 month ban.

4. Gross and flagrant violations of CBA

5. Refusal to bargain collectively

6. Featherbedding Activities

Union demanding from employers for fees on services rendered or

not rendered, performed or not performed.

Prolonging the work

In short, the union is engaged in extortion


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