Statement of Objectives.
ART. 259. Statement of Objectives. - It is the
policy of the State:
To promote free collective bargaining, including voluntary
arbitration, as a mode of settling labor disputes;
To promote free trade unionism as an agent of democracy,
social justice and development;
To rationalize and restructure the labor movement in order
to eradicate inter-union and intra-union conflicts;
To promote the enlightenment of workers concerning their
rights and obligations as union members and as employees;
To provide an adequate administrative machinery for the
expeditious settlement of labor disputes; and
(f) To ensure a stable but dynamic and just industrial peace.
Definitions.
ART. 260. Definitions. — (a) "Commission" means the
National Labor Relations Commission established by this Code.
"Bureau" means the Bureau of Labor Relations and/or Labor
Relations Divisions in the regional offices established under
Presidential Decree No. 1, in the Department of Labor.
"Employer" includes any person acting in the interest of an
employer, directly or indirectly. The term shall not include any labor
organization or any of its officers or agents except when acting as
employer.
"Employee" includes any person in the employ of an employer.
The term shall not be limited to the employees of a particular employer,
unless this Code so explicitly states. It shall include any individual
whose work has ceased as a result of or in connection with am, current
labor dispute or because of any unfair labor practice if he has not
obtained any other substantially equivalent and regular employment.
"Labor organization" means any union or association of employees
which exists in whole or in part for the purpose of collective
bargaining concerning terms and conditions of employment.
"Legitimate labor organization" means any labor organization duly
registered with the Department of Labor and includes any branch or local
thereof.
"Company union" means any labor organization whose function or
administration has been assisted by any act defined as unfair labor
practice by this Code.
"Bargaining representative" means a legitimate labor organization
or any officer or agent of such organization whether or not employed by
the employer.
"Unfair labor practice" means any unfair labor practice as
defined by this Code.
"Labor dispute" includes any controversy or matter concerning
terms or conditions of employment or the association or representation
of persons in negotiating the fixing, maintaining, changing or arranging
of terms and conditions of employment regardless of whether or not the
disputants stand in the proximate relations of employers and employees.
"Managerial employee" is one who is vested with powers or
prerogatives to lay down and execute management policies and/or to hire,
transfer, suspend, lay off, recall, discharge, assign or discipline
employees, or to effectively recommend such managerial actions. All
employees not falling within this definition arc considered rank and
file employees for purposes of this Book.
"Strike" means any temporary stoppage of work by the concerted
action of employees.
"Lockout" means the temporary refusal of any employer to furnish
work.
"Internal union dispute" includes all disputes or grievances
arising from any violation of or disagreement over any provision of the
constitution and bylaws of a union, including any violation of the
rights of union membership provided for in this Code.
Creation of National Labor Relations Commission.
ART. 261. Creation of National Labor Relations Commission.
— A National Labor Relations Commission is hereby established in the
Department of Labor. It shall be under the administrative supervision of
the Secretary of Labor and shall be composed of a chairman representing
the public, two (2) members representing the workers and two (2)
members representing the employers.
Headquarters and Regional Branches.
ART. 262. Headquarters and Regional Branches. — The
Chairman of the Commission, subject to the approval of the Secretary of
Labor, shall establish as many regional branches as are necessary, each
to be headed by a Labor Arbiter. The Commission shall have its main
office in the Greater Manila area.
The Chairman of the Commission shall have administrative supervision
over all the Labor Arbiters and their staff and personnel.
Appointment and Qualifications.
ART. 263. Appointment and Qualifications. — The Chairman
and members of the Commission shall have at least five (5) years of
experience in handling labor-management relations and the Labor Arbiters
shall have at least two (2) years experience in the same field. In
addition, the Chairman and one (1) representative each of the workers
and the employers shall be members of the bar.
The members representing the employers and the members representing the
workers shall be chosen from among the nominees of workers organizations
and employers organizations, respectively.
The Chairman and four (4) members of the Commission shall be appointed
by the President and shall hold office for a period of six (6) years
without prejudice to reappointment. The Labor Arbiters shall likewise be
appointed by the President and shall be subject to Civil Service Law
and rules and regulations.
The Secretary of Labor shall appoint the staff and personnel of the
Commission and the regional branches as the needs of the service may
require subject to the Civil Service Law and rules and regulations.
Salaries.
ART. 264. Salaries. — The Chairman shall receive an annual
salary of forty thousand pesos (P40.000). Each of the members shall
receive an annual salary of thirty-six thousand pesos (P36.000) and each
of the Labor Arbiters shall receive an annual salary of twenty-four
thousand pesos (P24.000).
Jurisdiction of the Commission.
ART. 265. Jurisdiction of the Commission. — The
Commission shall have exclusive appellate jurisdiction over all cases
decided by the Labor Arbiters and compulsory arbitrators.
The Labor Arbiters shall have exclusive jurisdiction to hear and decide
the following:
Unfair labor practice cases;
Unresolved issues in collective bargaining, including wages,
hours of work and other terms and conditions of employment which are
usually settled through collective bargaining duly certified by the
Bureau of Labor Relations in accordance with the provisions of this
Code;
Claims involving non-payment or under-payment of wages,
overtime compensation, separation pay, maternity leave and other money
claims arising from employer-employee relations, except claims for
workmen's compensation, social security and medicare benefits. The power
of the Court of Agrarian Relations to
hear and decide representation cases in relation to agricultural
workers is hereby transferred to the Bureau;
Violations of labor standard laws;
Cases involving household services; and
All other cases or matters arising from
employer-employee relations, unless expressly excluded by this Book.
Powers of the Commission.
ART. 266. Powers of the Commission. — The Commission
shall have the power and authority:
To promulgate, subject to the approval of die Secretary of Labor,
rules and regulations governing the hearing and disposition of cases
before it and its regional branches, as well as those pertaining to its
internal functions and such rules and regulations as may be necessary to
carry out the purposes of this Code;
To administer oaths, summon the parties to a controversy,
issue subpoenas requiring the attendance and testimony of witnesses or
the production of such books, papers, contracts, records, statements of
accounts, agreements, and others, as may be material to a just
determination of the matter under investigation, and to testily in any
investigation or hearing conducted in pursuance of this Code;
To conduct investigation for the determination of a question,
matter or controversy within its jurisdiction, proceed to hear and
determine the disputes in the absence of any party thereto who has been
summoned or served with notice to appear, conduct its proceedings or any
part thereof in public or in private, adjourn its hearings to any time
and place, refer technical matters or accounts to an expert and to
accept his report as evidence after hearing of the parties upon due
notice, direct parties to be joined in or excluded from the proceedings,
correct, amend, or waive any error, defect or irregularity, whether in
substance or in form, give all such directions as it may deem necessary
or expedient in the determination of the dispute before it, and dismiss
any matter or refrain from hearing further or from determining the
dispute or part thereof, where it is trivial or where further proceeding
by the Commission are not necessary or desirable; and
To hold any person in contempt, directly or indirectly, and
impose appropriate
penalties therefor.
A person guilty of misbehavior in the presence of or so near the
Chairman or any member of the Commission or any Labor Arbiter as to
obstruct or interrupt the proceedings before the same, including
disrespect toward said officials, offensive personalities toward others,
or refusal to be sworn to, or to answer as a witness or to subscribe to
an affidavit or deposition when lawfully required to do so, may be
summarily adjudged in direct contempt by said officials and punished by
fine not exceeding two hundred pesos (P200) or imprisonment not
exceeding ten (10) days, or both, if it be the Commission, or a member
thereof, or by fine not exceeding ten pesos (P10.00) or imprisonment not
exceeding one (1) day, or both, if it be a Labor Arbiter.
The person adjudged in direct contempt by a Labor Arbiter may appeal to
the Commission and the execution of the judgment shall be suspended
pending the resolution of the appeal upon the filing of such person of a
bond on condition that he will abide by and perform the judgment should
the appeal be decided against him. Judgment of the Commission on direct
contempt is immediately executory and nonappealable.
Indirect contempt shall be dealt with by the Commission or Labor Arbiter
in the manner prescribed under Rule 7 1 of the Revised Rules of Court.
Ocular Inspection.
ART. 267. Ocular Inspection. - The Chairman, any
Commissioner, Labor Arbiter or their duly authorized representatives
may, at any time during working hours, conduct an ocular inspection on
any establishment, building, ship or vessel, place or premises,
including any work, material, implement, machinery, appliance or any
object therein, and ask any employee, laborer, or any person, as the
case may be, for any information or data concerning any matter or
question relative to the object of the investigation.
Execution of Awards.
ART. 268. Execution of Awards. — As soon as a decision,
order or award has become final and executory, the Commission or any
Labor Arbiter shall, motu proprio, or on motion of any interested
party, issue a writ of execution requiring the sheriff or the proper
officer to execute said decision, order or award of the Commission, the
Labor Arbiters, or compulsory or voluntary arbitrators.
Compulsory Arbitrators.
ART. 269. Compulsory Arbitrators. — The Commission
or any Labor Arbiter shall have the power to seek the assistance of
other government officials and qualified private citizens to act as
compulsory arbitrators m cases referred to them and to fix and assess
the fees of such compulsory arbitrators.
Technical Rules Not Binding.
ART. 270. Technical Rules Not Binding. — In any
proceeding before the Commission or any of the Labor Arbiters, the rules
of evidence prevailing in courts of law or equity shall not be
controlling and it is the spirit and intention of this Code that the
Commission and its members and the Labor Arbiters shall use every and
all reasonable means to ascertain the facts in each case speedily and
objectively and without regard to technicalities of law or procedure,
all in the interest of due process. In any proceeding before the
Commission or any Labor Arbiter, the parties may be represented by legal
counsel but it shall be the duty of the chairman, any Commissioner or
any Labor Arbiter to exercise complete control of the proceedings at all
stages.
Appearance of Non-lawyers.
ART. 271. Appearance of Non-lawyers. -
Non-lawyers may appear before the Commission or any Labor Arbiter only:
If they represent themselves; and
If they represent their organization or members thereof.
Bureau of Labor Relations.
ART. 272. Bureau of Labor Relations. — The Bureau of Labor
Relations and the Labor Relations Divisions in the regional offices of
the Department of Labor shall-have original and exclusive authority to
act, at their own initiative or upon request of either or both parties,
in all inter-union and intra-union conflicts, and all disputes,
grievances or problems arising from or affecting labor-management
relations, except those arising from the implementation or
interpretation of collective bargaining agreements which shall be the
subject of grievance procedure and/or voluntary arbitration.
The Bureau shall have fifteen (15) working days to act on all labor
cases, subject to extension by agreement of the parties, after which the
Bureau shall certify the cases to the appropriate Labor Arbiters. The
15-working-day deadline, however, shall not apply to cases involving
deadlocks in collective bargaining which the Bureau shall certify to the
appropriate Labor Arbiters only after all possibilities of voluntary
settlement shall have been tried.
Compromise Agreements.
ART. 273. Compromise Agreements. — Any compromise
settlement, including those involving labor standard laws, voluntarily
agreed upon by the parties with the assistance of the Bureau or the
regional office of the Department of Labor, shall be final and binding
upon the parties. The National Labor Relations Commission or any court
shall not assume jurisdiction over issues involved therein except in
case of noncompliance thereof or it there is prima facie evidence
that the settlement was obtained through fraud, misrepresentation, or
coercion.
Certification of Cases to the Commission.
ART. 274. Certification of Cases to the Commission.
— The Labor Arbiters shall entertain only cases certified to them for
compulsory arbitration by the Bureau or by the Regional Director of the
Department of Labor.
Issuance of Subpoenas.
ART. 275. Issuance of Subpoenas. — The Bureau shall
have the power to require the appearance of any person or the
production of any paper, document, or matter relevant to a labor dispute
under its jurisdiction either at the request of any interested party or
at its own initiative.
Appointment of Bureau Personnel.
ART. 276. Appointment of Bureau Personnel. — The
Secretary of Labor may appoint, in addition to the present personnel of
the Bureau and the Labor Relations Division, such number of
conciliators, examiners and other assistants as may be necessary to
carry out the purpose of this Code.
Registry and Certification Division.
ART. 277. Registry and Certification Division. —
The Bureau shall keep a registry of legitimate labor organizations,
their branches or locals.
The Bureau is hereby empowered to certify collective bargaining
agreements which comply with standards established by the Secretary of
Labor for such purpose.
The present Research and Statistics Section of the Conciliation Division
of the Bureau is renamed the Collective Bargaining Certification
Division.
The Division shall maintain a file of all collective bargaining
agreements and other related agreements, records of settlement of labor
disputes, and copies of orders, awards and decisions of the Commission
and voluntary arbitrators. It shall analyze the terms and conditions of
collective bargaining agreements and prepare certifications of
collective bargaining agreements.
The file shall be open and accessible to interested parties under
conditions prescribed by the Secretary of Labor, except that no specific
information submitted in confidence shall be disclosed. The Division
shall perform such other functions as the Bureau may require.
Prohibition on Certification Election.
ART. 278. Prohibition on Certification Election. — The
Bureau shall not entertain any petition for certification election or
any other action which may disturb the administration of collective
bargaining agreements duly certified by it except under Articles 300 and
304 of this Code.
Privileged Communication.
ART. 279. Privileged Communication. — Information
and statements made at conciliation proceedings shall be treated as
privileged communication and shall not be used as evidence in the
Commission. Conciliators and similar officials shall not testify in any
court or body regarding any matters taken up at conciliation proceedings
conducted by them.
Requirements of Registration.
ART. 280. Requirements of Registration. — Any applicant
labor organization, association or group of unions or workers shall
acquire legal personality and shall be entitled to the rights and
privileges granted by law to legitimate labor organizations upon
issuance of the certificate of registration based on the following
requirements:
Fifty pesos (P50) registration fee;
The names of its officers, their addresses, the principal
address of the labor organization, the minutes of the
organizational meetings and the list of the workers who participated in
such meetings;
The names of all the members it seeks to represent. At least
fifty percent (50%) of the employees in the bargaining unit shall be
members of the applicant union;
If the applicant union has been in existence for one or more
years, a copy of its annual financial reports; and
Four (4) copies of the constitution and by-laws of the
applicant union, minutes of its adoption or ratification, and the list
of the members who participated in it.
Action on Application.
ART. 281. Action on Application. — The Bureau shall act on
all applications for registration within thirty (30) days from filing.
All requisite documents and papers shall be certified under oath by the
secretary or the treasurer of the organization, as the case may be, and
attested to by its president.
ART. 282, Denial of Registration; Appeal. — The decision
of the Labor Relations Division in the regional office denying
registration may be appealed by the applicant union to the Bureau within
ten (10) days from receipt of notice thereof.
ART. 283. Additional Requirements for Federations or
National Unions. Subject to Article 284, if the applicant for
registration is a federation or a national union, it shall, in addition
to the requirements of the preceding Articles, submit the following:
Proof of the affiliation of at least ten (10) locals or
chapters, each of which must be a duly recognized collective bargaining
agent in the establishment or industry in which it operates, supporting
the registration of such applicant federation or national union;
The names and addresses of the companies where the locals or
chapters operate and the list of all the members in each company
involved.
Conditions for Registration of Federations or National Unions.
ART. 284. Conditions for Registration of Federations or
National Unions. — No federation or national union shall be
registered to engage in any organizational activity in more than one
industry in any area or region, and no federation or national union
shall be registered to engage in any organizational activity in more
than one industry all over the country.
The federation or national union which meets the requirements and
conditions herein prescribed may organize and affiliate locals and
chapters without registering such locals or chapters with the Bureau.
Locals or chapters shall have the same rights and privileges as if they
were registered in the Bureau: Provided, That such federation
or national union organizes such locals or chapters within its assigned
organizational field of activity as may be prescribed by the Secretary
of Labor.
The Bureau shall see to it that federations and national unions shall
only organize locals and chapters within a specific industry or region.
Cancellation of Registration; Appeal.
ART. 285. Cancellation of Registration; Appeal. — The
certificate of registration of any legitimate labor organization,
whether national or local, shall be cancelled by the Bureau if it has
reason to believe, after due hearing, that the said labor organization
no longer meets one or more of the requirements herein prescribed.
The Bureau upon approval of this Code shall immediately institute
cancellation proceedings and take such other steps as may be necessary
to restructure all existing registered labor organizations in accordance
with the objectives envisioned above.
Grounds for Cancellation of Union Registration.
ART. 286. Grounds for Cancellation of Union Registration. —
The following shall constitute grounds for cancellation of union
registration:
Misrepresentation, false statement or fraud in connection with the
adoption or ratification of the constitution and by-laws or amendments
thereto, the minutes of ratification, the list of members who took part
in the ratification;
Failure to submit the documents mentioned in the preceding
paragraph within thirty (30) days from adoption or ratification of the
constitution and bylaws or amendments thereto;
Misrepresentation, false statement or fraud in connection
with the election of officers, minutes of the election of officers, the
list of voters, or failure to submit these documents together with the
list of the newly elected/appointed officers and their postal addresses
within thirty (30) days from election;
Failure to submit the annual financial report to the Bureau
within thirty (30) days after the closing of every fiscal year and
misrepresentation, false entries or fraud in the preparation of the
financial report itself;
Acting as a labor contractor or engaging in the "cabo" system
or otherwise engaging in any activity prohibited by law;
Entering into collective bargaining agreements which provide
terms and conditions of employment below minimum standards established
by law;
Asking for or accepting attorney's fees or negotiation fees from
employers;
Checking off union dues, special assessments, or any other fees
without duly signed individual authorizations of the members;
Failure to submit list of individual members to the Bureau once a
year or whenever required by the Bureau; and
Failure to comply with requirements under Articles 283 and
284.
Equity of the Incumbent.
ART. 287. Equity of the Incumbent. — All existing
federations and national unions which meet the qualifications of a
legitimate labor organization and none of the grounds for cancellation
shall continue to maintain their existing affiliates regardless of the
nature of the industry and the location of the affiliates.
Incumbent affiliates of existing federations or national unions may
disaffiliate only for the purpose of joining a federation or national
union in the industry or region in which it properly belongs or for the
purpose of operating as an independent labor group.
Rights and Conditions of Membership in a Labor Organization.
ART. 288. Rights and Conditions of
Membership in a Labor Organization. — The following are the rights
and conditions of membership in a labor organization:
No arbitrary or excessive initiation fees shall be required of
the members of a legitimate labor organization nor shall arbitrary,
excessive or oppressive fine and forfeiture be imposed;
The members shall be entitled to full and detailed reports
from their officers and representatives of all financial transactions as
provided for in the constitution and bylaws of the organization; and
The members shall elect their officers by secret ballot at
intervals of not more than three years.
The secretary or any other responsible union officer shall furnish the
Secretary of Labor with a list of the newly elected officers, together
with the appointive officers or agents who are entrusted with the
handling of funds within thirty (30) days after the election of officers
or from the occurrence of any change in the list of officers of the
labor organization;
The members shall determine by secret ballot, after due
deliberation, any question of major policy affecting the entire
membership of the organization, unless the nature of the organization or
force majeure renders such secret balloting impractical, in
which case the board of directors of the organization may make the
decision in behalf of the general membership;
No labor organization shall knowingly admit as member or
continue in membership any individual who belongs to a subversive
organization or who is engaged
directly or indirectly in any subversive activity;
No person who has been convicted of a crime involving moral
turpitude shall be eligible for election as a union officer or for
appointment to any position in the
union;
No officer, agent or member of a labor organization shall collect
any fees, dues, or other contributions in its behalf or make any
disbursement of its moneys or funds unless he is duly authorized
pursuant to its constitution and by-laws;
Every payment of fees, dues or other contributions by a member
shall be evidenced by a receipt signed by the officer or agent making
the collection and entered into the record of the organization to be
kept and maintained for the for the purpose;
The funds of the organization shall not be applied for any
purpose or object other than those expressly provided by its
constitution and by-laws or those expressly of the members at a general
meeting duly called for the authorized by written resolution adopted by
the majority purpose;
Every expenditure of the funds of the organization shall be
evidenced by a receipt from the person to whom the payment is made which
shall state the date, place and purpose of such payment. Such receipts
shall form part of the financial records of the organization.
The officers of any labor organization shall not be paid any
compensation other that the salaries and expenses due to their positions
as specifically provided for in its constitution and by-laws, or in a
written resolution duly authorized by a majority of all the members at a
general membership meeting duly called for the purpose. The minutes of
the meeting and the list of participants and ballots cast shall be
subject to inspection by the Secretary of Labor or his duly authorized
representatives. Any irregularities in the approval of the resolutions
shall be a ground for impeachment or expulsion from the organization.
The treasurer of any labor organization and every officer
thereof who is responsible for the accounts of such organization or for
the collection, management, disbursement, custody or control of the
funds, moneys and other properties of the organization, shall render to
the organization and to its members a true and correct account of all
moneys received and paid by him since he assumed office or since the
last date on which he rendered such account and of the balance remaining
in his hands at the time of rendering such account, and of all bonds,
securities, and other properties of the organization entrusted to his
custody or under his control. The rendering of such account shall be
made:
At least once a year within thirty (30) days after the
close of its fiscal year.
At such other times as may be required by a
resolution of the majority the members of the organization; and
(3) Upon vacating his office.
The account shall be duly audited and verified by affidavit and
copy thereof shall be furnished the Secretary of Labor.
The books of accounts and other records of the financial
activities of any labor organization shall be opened to inspection by
any officer or member thereof during office hours;
No special assessment or other extraordinary fees may be
levied upon the members of a labor organization unless authorized by a
written resolution of a majority of all the members at a general
membership meeting duly called for the
purpose. The secretary of the organization shall record the minutes of
the meeting including the list of all members present, the votes cast,
the purpose of the special assessment or fees and the recipient of such
assessments or fees. The record shall lie attested to by the president;
No special assessments, attorney's fees, negotiation fees or
any other extraordinary fees may be checked off from any amounts due to
an employee without an individual written authorization duly signed by
the employee. The authorization should specifically state the amount,
purpose and beneficiary of the deduction; and
It shall be the duty of any labor organization and its officers
to inform its members on the provisions of its constitution and bylaws,
collective bargaining agreement, the prevailing labor relations system
and all their rights and obligations under existing labor laws. For this
purpose, registered labor organizations may assess reasonable dues to
finance labor relations seminars and other labor education activities
for the purpose.
Any violation of the above rights and conditions of membership shall be a
ground for cancellation of union registration or expulsion of an
officer from office, whichever is appropriate. At least 30 percent (30%)
of all the members of a union or any member or members specifically
concerned may report such violation to the Bureau. The Bureau shall have
the power to hear and decide any reported violation and to mete the
appropriate penalty. The decision of the Bureau shall be appealable only
on question of law by certiorari to the Supreme Court.
Criminal and civil liabilities arising from violations of the above
rights and conditions of membership shall continue to be under the
jurisdiction of ordinary courts.
Rights of Legitimate Labor Organizations.
ART. 289. Rights of Legitimate Labor
Organizations. — A legitimate labor organization shall have the
right:
To act or be certified to as the exclusive representative of
all the employees in an appropriate collective bargaining unit for
purposes of collective bargaining;
To own property, real and personal, for the use and
benefit of the labor organization and its members;
To sue and be sued in its registered name; and
To undertake all other activities designed to benefit
the organization and its members, including cooperative housing,
welfare and other projects not contrary to law,
The incomes and properties of legitimate labor organizations shall be
free from taxes, including gifts or donations they may receive from
fraternal and similar organizations, local or foreign.
Coverage and Employees' Right to Self-organization.
ART. 290. Coverage and Employees' Right to
Self-organization. — All persons employed in commercial, industrial,
agricultural, religious, charitable, educational institutions, or
enterprises, whether engaged for profit or not, shall have the right to
self-organization and to form, join or assist labor organizations for
purposes of collective bargaining.
Ineligibility of Security Personnel to Join Any Labor Organization.
ART. 291. Ineligibility of Security Personnel to Join Any
Labor Organization. — Security guards and other personnel employed
for the protection and security of the person, properties and premises
of the employer shall not be eligible for membership in any labor
organization.
Ineligibility of Managerial Officials to Join Any Labor Organization.
ART. 292. Ineligibility of Managerial Officials to Join Any
Labor Organization. — Managerial officials are not eligible to
join, assist or form any labor organization
Non-abridgment of Right to Self organization on Religious Grounds.
ART. 293. Non-abridgment of Right to Self organization on
Religious Grounds. — Notwithstanding any provision of law to the
contrary, the right to self-organization shall not be abridged on
religious or any other similar grounds.
Unfair Labor Practices of Employers.
ART. 294. Unfair Labor Practices of Employers. — It
shall be unfair labor practice for an employer:
To interfere with, restrain or coerce employees in the
exercise of their right to self-organization;
To require as a condition of employment that a person or an
employee shall not join a labor organization or shall withdraw from one
to which he belongs;
To contract out services or functions being performed by union
members when such will interfere with, restrain or coerce employees in
the exercise of their right to self-organization;
To initiate, dominate, assist or otherwise interfere with the
formation or administration of any labor organization, including
the giving of financial or other support to it;
To discriminate in regard to wages, hours of work, and other
terms and conditions of employment in order to encourage or discourage
membership in any labor organization. Nothing in this Code or in other
laws shall stop the parties from requiring membership in a recognized
collective bargaining agent as a condition for employment, except those
employees who are already members of another union at the time of the
signing of the collective bargaining agreement. Employees of an
appropriate collective bargaining unit who are not members of the
recognized collective bargaining agent may be assessed a reasonable fee
equivalent to the dues and other fees paid by members of the recognized
collective bargaining agent, except those employees who are already
members of smother union at the time the collective bargaining agreement
is signed;
To dismiss, discharge, or otherwise prejudice or
discriminate against an employee for having given or being about to give
testimony under this Code;
To violate the duty to bargain collectively as prescribed by
this Code;
To pay negotiations or attorney's fees to the union or its
officers or agents as part
of the settlement of any issue in collective bargaining or any other
dispute;
To violate or refuse to comply with voluntary arbitration
awards or decisions
relating to the implementation or interpretation of a
collective bargaining agreement; and
Any violation of a collective bargaining agreement.
Unfair Labor Practices of Labor Organizations.
ART. 295. Unfair Labor Practices of Labor Organizations. —
It shall be unfair labor practice for a labor organization, its
officers, agents or representatives:
To restrain or coerce employees in the exercise of their
rights to self-organization. However, a labor organization shall have
the right to prescribe its own rules with respect to the acquisition or
retention of membership;
To cause or attempt to cause an employer to discriminate
against an employee, including discrimination against an employee with
respect to whom membership in such organization has been denied or to
terminate an employee on any ground other than the usual terms and
conditions under which membership or continuation of membership is made
available to other members;
To violate the duty, or refuse, to bargain
collectively with the employer, provided, it is the
representative of the employees;
To cause or attempt to cause an employer to pay or deliver or
agree to pay or deliver any money or oilier things of value, in the
nature of an exaction for services which are not performed or not to be
performed, including the demand for fee for union negotiations;
To ask for or accept negotiations or attorney's fees from
employers as part of the settlement of any issue in collective
bargaining or any other dispute;
To violate or refuse to comply with voluntary arbitration
awards or decisions relating to the implementation or
interpretation of a collective bargaining agreement; and
Violation of a collective bargaining agreement.
Chapter
III Concept
Concept of Unfair Labor Practice.
ART. 296. Concept of Unfair Labor Practice. — The concept
of unfair labor practice is hereby modified. Henceforth it shall be
considered merely as an administrative offense rather than a criminal
offense. Unfair labor practice complaints shall, therefore, be processed
like any ordinary labor disputes.
Procedure of Collective Bargaining.
ART. 297. Procedure of Collective Bargaining. —The
following procedures shall be observed in collective bargaining:
When a party desires to negotiate an agreement, it shall serve
a written notice upon the other with a statement of its proposals. The
other party shall make a reply thereto not later than ten (10) days from
receipt of such notice;
Should differences arise on the basis of such notice and
reply, either party may
request for a conference which shall begin not later than ten (10) days
from the date of request;
If the dispute is not settled, the Bureau shall intervene
upon request of either or both parties or at its own initiative and it
shall be the duty of the parties to participate fully and promptly in
the conciliation meetings the Bureau may call;
During the conciliation proceedings in the Bureau, the parties
are prohibited from doing any act which may disrupt or impede the early
settlement of the disputes;
The Bureau shall exert all efforts to settle disputes amicably
and encourage the parties to submit their case to a voluntary
arbitrator; and
If no amicable settlement is reached after exhausting all
possibilities of conciliation, the Bureau shall certify the dispute
to a Labor Arbiter for compulsory arbitration. The Labor Arbiter shall
decide the case within forty-five (45) days from the first hearing.
Duty to Bargain Collectively in the Absence of Collective Bargaining Agreements.
ART. 298. Duty to Bargain Collectively in the Absence of
Collective Bargaining Agreements. — In the absence of an agreement
or other voluntary arrangement providing for a more expeditious manner
of collective bargaining, it shall be the duty of the employer and the
representatives of the employees to bargain collectively in accordance
the provisions of this Code.
Meaning of Duty to Bargain Collectively.
ART. 299. Meaning of Duty to Bargain Collectively. —
The duty to bargain collectively means the performance of a mutual
obligation to meet and convene promptly and expeditiously in good faith
for the purpose of negotiating an agreement with respect to wages,
hours of work and all other terms and conditions of employment including
proposals for adjusting any grievances or questions arising under such
agreement and executing a contract incorporating such agreements if
requested by either party, but such duty does not compel any party to
agree to a proposal or to make any concession.
Duty to Bargain Collectively When There Exists a Collective Bargaining Agreement.
ART. 300. Duty to Bargain Collectively When
There Exists a Collective Bargaining Agreement. — When there
exists a collective bargaining agreement, the duty to bargain
collectively shall also mean that neither party shall terminate or
modify such agreement during its lifetime. However, either party can
serve a written notice to terminate or modify the agreement at least
sixty (60) days prior to its expiration date. It shall be the duty of
both parties to keep the status quo and to continue in full force and
effect the terms and conditions of the existing agreement during the
60-day period and/or until a new agreement is reached by the parties.
Injunctions Prohibited.
ART. 301. Injunctions Prohibited. — No temporary or
permanent injunction or restraining order in any case involving or
growing out of labor disputes shall be issued by any court or other
entity.
Appeal.
ART. 302. Appeal. — Decisions, awards, or orders
of the Labor Arbiters or compulsory arbitrators are final and executory
unless appealed to the Commission by any or both of the parties within
ten (10) days from receipt of such awards, orders, or decisions. Such
appeal may be entertained only on any of the following grounds:
If there is prima facie evidence of grave abuse of
discretion on the part of the Labor Arbiter or compulsory arbitrator;
If the decision, order, or award was secured through fraud
or coercion, including graft and corruption; and
If made purely on question of law.
To discourage frivolous or dilatory appeals, the Commission or the Labor
Arbiters shall impose reasonable penalty, including fines or censure,
upon the erring parties.
In all cases, the appellant shall furnish a copy of the memorandum of
appeal to the other party who shall file an answer not later than ten
(10) days from receipt thereof.
The Commission shall decide all cases within twenty (20) working days
from receipt of the answer of the appellee; otherwise, the appealed
decision or award shall be considered affirmed.
The decision of the Commission shall be final and unappealable, except
in the following cases:
By certiorari to the Supreme Court on question of law; and
Where the case involves national interest, in which case it
may be appealed to the President of the Philippines upon
recommendation of the Secretary of Labor within 10 days from receipt of
such decision by the appealing party.
Exclusive Bargaining Representative.
ART. 303. Exclusive Bargaining Representative. — The labor
organization designated or selected by the majority of the employees in
an appropriate collective bargaining unit shall be the exclusive
representative of the employees in such unit for the purpose of
collective bargaining. However, an individual employee or group of
employees shall have the right at any time to present grievances to
their employer.
Procedure Governing Representation Issues.
ART. 304. Procedure Governing Representation Issues. —
When a question concerning the representation of employees is submitted
to it, the Bureau shall hear and decide such controversy and certify to
the parties in writing the name of the labor organization that has been
designated or selected as the appropriate bargaining agent. In such
cases, the Bureau shall provide for a speedy and appropriate hearing
upon due notice and if there is any reasonable doubt as to whom the
employees have chosen as their representative for the purpose of
collective bargaining, the Bureau shall order a secret ballot election
to be conducted by the Bureau to ascertain who is freely chosen
representative of the employees concerned, under such rules and
regulations as the Bureau may prescribe, at which balloting
representatives of contending parties shall have the right to attend as
inspectors.
No certification election issue shall be entertained by the Bureau in
any collective bargaining unit if a certified collective bargaining
agreement exists between the employer and a legitimate labor
organization, except within sixty (60) days prior to the expiration of
the life of such certified collective bargaining agreement. The
organization receiving the majority of the votes cast in such election
shall be certified by the Bureau as the exclusive bargaining
representative of the employees concerned.
Requisites for Certification Election.
ART. 305. Requisites for Certification Election. — Any
petition for certification election filed by any legitimate labor
organization shall be supported by the written consent of at least 30%
of all the employees in the bargaining unit. Upon receipt and
verification of such petition, it shall be mandatory for the Bureau to
conduct a certification election for the purpose of determining the
representative of the employees in the appropriate bargaining unit and
certify the winner as the exclusive collective bargaining representative
of all the employees in the unit.
When an Employer May File a Petition.
ART. 306. When an Employer May File a Petition. —
When requested to bargain collectively, an employer may petition the
Bureau for an election. If there is no existing certified collective
bargaining agreement in the unit, the Bureau shall, after hearing, order
a certification election.
All certification cases shall be decided within twenty (20) working
days.
The Bureau shall conduct a certification election within twenty (20)
days in accordance with the rules and regulations prescribed by the
Secretary of Labor.
Appeal on Certification Election Orders.
ART. 307. Appeal on Certification Election Orders. - Any
party to an election may appeal the order or results of the election to
the Bureau on the ground that the rules and regulations or parts thereof
established by the Secretary of Labor for the conduct of the election
have been violated. Such appeal shall be decided within fifteen (15)
working days. The decision of the Bureau shall be final and executory,
except on question of law by certiorari to the Supreme Court.
Administration of Agreements.
ART. 308. Administration of Agreements. - The
parties to a collective bargaining shall include in their agreement
provisions to ensure mutual observance of the terms and conditions of
the agreement and to establish a machinery for the adjustment of
grievances.
Grievance Machinery.
ART. 309. Grievance Machinery. - All disputes,
grievances or matters arising from the implementation or interpretation
of a collective bargaining agreement shall be threshed out in accordance
with the grievance procedure provided by such agreement.
Voluntary Arbitration.
ART. 310. Voluntary Arbitration. —
Disputes, grievances
or matters not settled through the grievance procedure shall be
referred to and decided or settled through the prescribed voluntary
arbitration procedure in the collective bargaining agreement.
Every collective bargaining agreement shall designate in advance an
arbitrator or panel of arbitrators or include a provision making the
selection of such arbitrator or panel of arbitrators definite and
certain when the need arises. Such arbitrator or panel of arbitrators
shall have exclusive and original jurisdiction to settle or decide all
disputes, grievances or matters arising from the implementation or
interpretation of a collective bargaining agreement after going through
the grievance procedure. The Labor Arbiter or the Bureau shall not
entertain such disputes, grievances or matters.
Voluntary arbitration awards or decisions shall be final, unappealable
and executory.
Study of Labor-Management Relations.
ART. 311. Study of Labor-Management Relations.
— The Secretary of Labor shall have the power and it shall be his duty
to inquire into:
The existing relations between employers and employees in the
Philippines;
The growth of associations of employees and the effect of
such associations upon employer-employee relations;
The extent and results of the methods of collective bargaining
in the determination of terms and conditions of employment;
The methods which have been tried by employers and
associations of employees for maintaining mutually satisfactory
relations;
Desirable industrial practices which have been
developed through collective bargaining and other voluntary
arrangements;
The possible ways of increasing the usefulness and efficiency
of collective bargaining for settling differences;
The possibilities for the adoption of practical and
effective methods of labor-management cooperation;
Any other aspects of employer-employee relations concerning
the promotion of harmony and understanding between the parties; and
The relevance or labor laws and labor relations to national
development.
The Secretary of Labor shall also inquire into the causes of industrial
unrest and take all the necessary steps within his power as may be
prescribed by law to alleviate the same, and shall from time to time
recommend the enactment of such remedial legislation as in his judgment
may be desirable for the maintenance and promotion of industrial peace.
Visitorial Power.
ART. 312. Visitorial Power. — The Secretary of Labor or
his duly authorized representative is hereby empowered to inquire, from
time to time, into the financial activities of legitimate labor
organizations and to examine their books of accounts and other records
to determine compliance or non-compliance with the law and to prosecute
any violations of the law and the union constitution and by-laws.
Tri-partite Conferences.
ART. 313. Tri-partite Conferences. — The Secretary of
Labor may call from time to time a national tri-partite conference of
representatives of employers, workers and government for the
consideration and adoption of voluntary codes of principles designed to
promote industrial peace based on social justice and to align
labor-management relations with established priorities in economic and
social development.
The Secretary of Labor is also authorized to call from time to time a
conference of representatives of employers, labor organizations and
government in any industry or region for the same purpose.
In calling a national or industrial or regional conference, the
Secretary of Labor is directed to act in consultation with
representatives of employers' and workers' organizations concerned.
ART. 314, Government Employees. — The terms and conditions
of employment of all government employees,
of government-owned and controlled-corporations, shall be governed by
the Civil Service Law, rules and regulations. Their salaries shall be
standardized by the National Assembly as provided for in the New
Constitution. However, there shall be no reduction of existing wages,
benefits and other terms and conditions of employment being enjoyed by
them at the time of the adoption of this Code.
Miscellaneous Provisions.
ART. 315. Miscellaneous Provisions. — (a) Pending the
restoration of the right to strike and the right to lockout, all strike
funds are hereby transformed into labor research and education funds.
The collection of strike contributions is hereby prohibited. However,
all unions are authorized to collect reasonable contributions for their
labor education and research funds.
No employer may shutdown his establishment or dismiss or
terminate the service of regular employees with at least one year of
service without a previous written clearance from the Secretary of
Labor.
Any employee whose length of service is more than six (6) months
whether employed for a definite period or not, and regardless of whether
the service is continuous or broken, shall be considered as a regular
employee for the purpose of membership in any legitimate labor
organization.
Enforcement of Decisions, Orders and Awards.
ART. 316. Enforcement of Decisions, Orders and Awards. —
To ensure compliance with its decisions, orders and awards and those of
compulsory or voluntary arbitrators, the Commission may take any measure
under existing laws, decrees, and general orders as may be necessary,
including the imposition of administrative fines which shall not be less
than P500 nor more than P10,000.00
Source: Supreme Court E-Library, Republic of the Philippines. Philippine laws are public documents (works of the government).
