LABOR CODE ARTICLE 1. Name of Decree.
– This Decree shall be known as the "Labor Code of the Philippines". ART. 2. Date of effectivity.
- This Code shall take effect six (6) months after its promulgation. Labor standards law
As that which sets out the least or basic terms, conditions and benefits of employment that employers must provide or comply with and to which employees are entitled as a matter of legal right.
Labor relations law
Is that part of labor law which defines the status, rights and duties, and the institutional mechanisms that govern the individual and collective interactions of employers, employees or their representatives.
Social legislation
As those laws that provide particular kinds of protection or benefits to society or segments thereof in furtherance of social justice.
Social justice
It is neither communism nor despotism nor atomism nor anarchy, but the humanization of laws and the equalization of social and economic forces of the State so that justice in its rational and objectively secular conception may at least be approximated.
Social justice means the promotion of the welfare of all people, of the adaptation by the government of measures calculated to insure economic stability of the component elements of society through the maintenance of a proper economic and social equilibrium in the interrelation of the members of the community, constitutionally, through the adoption of measures legally justifiable, or extra constitutionally, through the exercise f powers underlying the existence of all governments, on the time honored principle of Salus Populi Est Suprema Lex.
Social justice does not champion division of property or equality of economic status, what it and the constitution do guarantee are equality of opportunity, equality of political rights, equality before the law, equality between values given and received, and equitable sharing of the social and material goods on the basis of efforts exerted in their production.
ART. 3. Declaration of basic policy.
- The State shall afford protection to labor, promote full employment, ensure equal work opportunities regardless of sex, race or creed and regulate the relations between workers and employers. The State shall assure the rights of workers to self-organization, collective bargaining, security of tenure, and just and humane conditions of work.
- All doubts in the implementation and interpretation of the provisions of this Code, including its implementing rules and regulations, shall be resolved in favor of labor.
Basic Management rights: 1) Right to ROI
2) Right to prescribe Rules
Employers have the right to make reasonable rules and regulations for the government of their employees, with knowledge of an established rule, enter the service, the rule becomes a part of the contract of employment. Company policies and regulations are, unless shown to be grossly oppressive or contrary to law, generally binding and valid on parties.
3) Right to select employees
The right of the employer to select employees is absolute and is subject only to law and previous agreement between the employer and its union (closed shop bargaining agreement). If the employer compel the employee to give him work against the latter’s will, this is servitude. If the employee can compel the employer to give him work against the latter’s will, this is oppression. 4) Right to transfer or discharge employees.
ART. 5. Rules and regulations.
- The Department of Labor and other government agencies charged with the administration and enforcement of this Code or any of its parts shall promulgate the necessary implementing rules and regulations. Such rules and regulations shall become effective fifteen (15) days after announcement of their adoption in newspapers of general circulation
ART. 6. Applicability. - All rights and benefits granted to workers under this Code shall, except as may otherwise be provided herein, apply alike to all workers, whether agricultural or non-agricultural.
The applicability of the labor code extends to GOCCs, the test is the manner of its creation. If the GOCC has an original charter (Statute creating it) it is governed by the civil service law and if it is created under the provisions of our general incorporation statute (corporation code) it is governed by the labor code. This rule is the result of the constitutional provision which includes GOCCs with original charter withn the coverage of the civil service.
Fundamental principles Constitutional Provisions Article 2
Section 9.
The State shall promote a just and dynamic social order that will ensure the prosperity and independence of the nation and free the people from poverty through policies that provide adequate social services, promote full employment, a rising standard of living, and an improved quality of life for all.
Section 10.
The State shall promote social justice in all phases of national development. Section 11.
Section 13.
The State recognizes the vital role of the youth in nation-building and shall promote and protect their physical, moral, spiritual, intellectual, and social well-being. It shall inculcate in the youth patriotism and nationalism, and encourage their involvement in public and civic affairs.
Section 14.
The State recognizes the role of women in nation-building, and shall ensure the fundamental equality before the law of women and men.
Section 18.
The State affirms labor as a primary social economic force. It shall protect the rights of workers and promote their welfare.
Section 20.
The State recognizes the indispensable role of the private sector, encourages private enterprise, and provides incentives to needed investments.
Article 3 Section 1.
No person shall be deprived of life, liberty, or property without due process of law, nor shall any person be denied the equal protection of the laws.
Section 4.
No law shall be passed abridging the freedom of speech, of expression, or of the press, or the right of the people peaceably to assemble and petition the government for redress of grievances.
Section 7.
The right of the people to information on matters of public concern shall be recognized. Access to official records, and to documents and papers pertaining to official acts, transactions, or decisions, as well as to government research data used as basis for policy development, shall be afforded the citizen, subject to such limitations as may be provided by law.
Section 8.
The right of the people, including those employed in the public and private sectors, to form unions, associations, or societies for purposes not contrary to law shall not be abridged.
Section 10.
No law impairing the obligation of contracts shall be passed.
Section 16. All persons shall have the right to a speedy disposition of their cases before all judicial, quasi-judicial, or administrative bodies.
Section 18.
(2) No involuntary servitude in any form shall exist except as a punishment for a crime whereof the party shall have been duly convicted.
Article 13 Section 1.
The Congress shall give highest priority to the enactment of measures that protect and enhance the right of all the people to human dignity, reduce social, economic, and political inequalities, and remove cultural inequities by equitably diffusing wealth and political power for the common good.
To this end, the State shall regulate the acquisition, ownership, use, and disposition of property and its increments.
Section 2.
The promotion of social justice shall include the commitment to create economic opportunities based on freedom of initiative and self-reliance.
LABOR Section 3.
The State shall afford full protection to labor, local and overseas, organized and unorganized, and promote full employment and equality of employment opportunities for all.
It shall guarantee the rights of all workers to self-organization, collective bargaining and negotiations, and peaceful concerted activities, including the right to strike in accordance with law. They shall be entitled to security of tenure, humane conditions of work, and a living wage. They shall also participate in policy and decision-making processes affecting their rights and benefits as may be provided by law.
The State shall promote the principle of shared responsibility between workers and employers and the preferential use of voluntary modes in settling disputes, including conciliation, and shall enforce their mutual compliance therewith to foster industrial peace.
The State shall regulate the relations between workers and employers, recognizing the right of labor to its just share in the fruits of production and the right of enterprises to reasonable returns to investments, and to expansion and growth.
Civil Code
Art. 19. Every person must, in the exercise of his rights and in the performance of his duties, act with justice, give everyone his due, and observe honesty and good faith.
Art. 1700. The relations between capital and labor are not merely contractual. They are so impressed with public interest that labor contracts must yield to the common good. Therefore, such contracts are subject to the special laws on labor unions, collective bargaining, strikes and lockouts, closed shop, wages, working conditions, hours of labor and similar subjects.
Art. 1701. Neither capital nor labor shall act oppressively against the other, or impair the interest or convenience of the public.
Art. 1702. In case of doubt, all labor legislation and all labor contracts shall be construed in favor of the safety and decent living for the laborer.
Art. 1703. No contract which practically amounts to involuntary servitude, under any guise whatsoever, shall be valid.
Art. 1704. In collective bargaining, the labor union or members of the board or committee signing the contract shall be liable for non-fulfillment thereof.
Art. 1705. The laborer's wages shall be paid in legal currency.
Art. 1706. Withholding of the wages, except for a debt due, shall not be made by the employer. Art. 1707. The laborer's wages shall be a lien on the goods manufactured or the work done.
Art. 1708. The laborer's wages shall not be subject to execution or attachment, except for debts incurred for food, shelter, clothing and medical attendance.
Art. 1709. The employer shall neither seize nor retain any tool or other articles belonging to the laborer. Art. 1710. Dismissal of laborers shall be subject to the supervision of the Government, under special laws.
Art. 1711. Owners of enterprises and other employers are obliged to pay compensation for the death of or injuries to their laborers, workmen, mechanics or other employees, even though the event may have been purely accidental or entirely due to a fortuitous cause, if the death or personal injury arose out of and in the course of the employment. The employer is also liable for compensation if the employee contracts any illness or disease caused by such employment or as the result of the nature of the employment. If the mishap was due to the employee's own notorious negligence, or voluntary act, or drunkenness, the employer shall not be liable for compensation. When the employee's lack of due care contributed to his death or injury, the compensation shall be equitably reduced.
Art. 1712. If the death or injury is due to the negligence of a fellow worker, the latter and the employer shall be solidarily liable for compensation. If a fellow worker's intentional malicious act is the only cause of the death or injury, the employer shall not be answerable, unless it should be shown that the latter did not exercise due diligence in the selection or supervision of the plaintiff's fellow worker.
Labor Code ART. 3. Declaration of basic policy.
- The State shall afford protection to labor, promote full employment, ensure equal work opportunities regardless of sex, race or creed and regulate the relations between workers and employers. The State shall assure the rights of workers to self-organization, collective bargaining, security of tenure, and just and humane conditions of work.
- All doubts in the implementation and interpretation of the provisions of this Code, including its implementing rules and regulations, shall be resolved in favor of labor.
Basic Management rights: 1) Right to ROI
2) Right to prescribe Rules
Employers have the right to make reasonable rules and regulations for the government of their employees, with knowledge of an established rule, enter the service, the rule becomes a part of the contract of employment. Company policies and regulations are, unless shown to be grossly oppressive or contrary to law, generally binding and valid on parties.
3) Right to select employees
The right of the employer to select employees is absolute and is subject only to law and previous agreement between the employer and its union (closed shop bargaining agreement). If the employer compel the employee to give him work against the latter’s will, this is servitude. If the employee can compel the employer to give him work against the latter’s will, this is oppression. 4) Right to transfer or discharge employees.
ART. 166. Policy. (employees’ compensation and insurance fund)
- The State shall promote and develop a tax-exempt employees’ compensation program whereby employees and their dependents, in the event of work-connected disability or death, may promptly secure adequate income benefit and medical related benefits.
Article. 211. Declaration of Policy. - A. It is the policy of the State:
(a) To promote and emphasize the primacy of free collective bargaining and negotiations, including voluntary arbitration, mediation and conciliation, as modes of settling labor or industrial disputes;
(b) To promote free trade unionism as an instrument for the enhancement of democracy and the promotion of social justice and development;
(c) To foster the free and voluntary organization of a strong and united labor movement;
(d) To promote the enlightenment of workers concerning their rights and obligations as union members and as employees;
(e) To provide an adequate administrative machinery for the expeditious settlement of labor or industrial disputes;
(f) To ensure a stable but dynamic and just industrial peace; and
(g) To ensure the participation of workers in decision and policy-making processes affecting their rights, duties and welfare.
B. To encourage a truly democratic method of regulating the relations between the employers and employees by means of agreements freely entered into through collective bargaining, no court or administrative agency or official shall have the power to set or fix wages, rates of pay, hours of work or other terms and conditions of employment, except as otherwise provided under this Code. (As amended by Section 3, Republic Act No. 6715, March 21, 1989).
DEFINITIONS
Article. 212. Definitions.
- (a) "Commission" means the National Labor Relations Commission or any of its divisions, as the case may be, as provided under this Code.
(b) "Bureau" means the Bureau of Labor Relations and/or the Labor Relations Divisions in the regional offices established under Presidential Decree No. 1, in the Department of Labor.
(c) "Board" means the National Conciliation and Mediation Board established under Executive Order No. 126.
(d) "Council" means the Tripartite Voluntary Arbitration Advisory Council established under Executive Order No. 126, as amended.
(e) "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. (f) "Employee" includes any person in the employ of an employer. The term shall not be limited to the employees of a particular employer, unless the Code so explicitly states. It shall include any individual whose work has ceased as a result of or in connection with any current labor dispute or because of any unfair labor practice if he has not obtained any other substantially equivalent and regular employment. (g) "Labor organization" means any union or association of employees which exists in whole or in part for the purpose of collective bargaining or of dealing with employers concerning terms and conditions of employment.
(h) "Legitimate labor organization" means any labor organization duly registered with the Department of Labor and Employment, and includes any branch or local thereof.
(i) "Company union" means any labor organization whose formation, function or administration has been assisted by any act defined as unfair labor practice by this Code.
(j) "Bargaining representative" means a legitimate labor organization whether or not employed by the employer.
(l) "Labor dispute" includes any controversy or matter concerning terms and 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.
(m) "Managerial employee" is one who is vested with the powers or prerogatives to lay down and execute management policies and/or to hire, transfer, suspend, lay-off, recall, discharge, assign or discipline employees. Supervisory employees are those who, in the interest of the employer, effectively recommend such managerial actions if the exercise of such authority is not merely routinary or clerical in nature but requires the use of independent judgment. All employees not falling within any of the above definitions are considered rank-and-file employees for purposes of this Book.
(n) "Voluntary Arbitrator" means any person accredited by the Board as such or any person named or designated in the Collective Bargaining Agreement by the parties to act as their Voluntary Arbitrator, or one chosen with or without the assistance of the National Conciliation and Mediation Board, pursuant to a selection procedure agreed upon in the Collective Bargaining Agreement, or any official that may be authorized by the Secretary of Labor and Employment to act as Voluntary Arbitrator upon the written request and agreement of the parties to a labor dispute.
(o) "Strike" means any temporary stoppage of work by the concerted action of employees as a result of an industrial or labor dispute.
(p) "Lockout" means any temporary refusal of an employer to furnish work as a result of an industrial or labor dispute.
(q) "Internal union dispute" includes all disputes or grievances arising from any violation of or disagreement over any provision of the constitution and by laws of a union, including any violation of the rights and conditions of union membership provided for in this Code.
(r) "Strike-breaker" means any person who obstructs, impedes, or interferes with by force, violence, coercion, threats, or intimidation any peaceful picketing affecting wages, hours or conditions of work or in the exercise of the right of self-organization or collective bargaining.
(s) "Strike area" means the establishment, warehouses, depots, plants or offices, including the sites or premises used as runaway shops, of the employer struck against, as well as the immediate vicinity actually used by picketing strikers in moving to and fro before all points of entrance to and exit from said establishment.
Article 255. Exclusive bargaining representation and workers’ participation in policy and decision-making.
– 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.
Any provision of law to the contrary notwithstanding, workers shall have the right, subject to such rules and regulations as the Secretary of Labor and Employment may promulgate, to participate in policy and decision-making processes of the establishment where they are employed insofar as said processes will directly affect their rights, benefits and welfare. For this purpose, workers and employers may form labor-management councils: Provided, That the representatives of the workers in such labor-labor-management councils shall be elected by at least the majority of all employees in said establishment.
Article. 277. Miscellaneous provisions.
- (a) All unions are authorized to collect reasonable membership fees, union dues, assessments and fines and other contributions for labor education and research, mutual death and hospitalization benefits, welfare fund, strike fund and credit and cooperative undertakings.
Recruitment and placement of workers ART. 13. Definitions.
(a) "Worker" means any member of the labor force, whether employed or unemployed.
(b) "Recruitment and placement" refers to any act of canvassing, enlisting, contracting, transporting, utilizing, hiring or procuring workers, and includes referrals, contract services, promising or advertising for employment, locally or abroad, whether for profit or not: Provided, That any person or entity which, in any manner, offers or promises for a fee, employment to two or more persons shall be deemed engaged in recruitment and placement.
(c) "Private fee-charging employment agency" means any person or entity engaged in recruitment and placement of workers for a fee which is charged, directly or indirectly, from the workers or employers or both.
(d) "License" means a document issued by the Department of Labor authorizing a person or entity to operate a private employment agency.
(e) "Private recruitment entity" means any person or association engaged in the recruitment and placement of workers, locally or overseas, without charging, directly or indirectly, any fee from the workers or employers.
(f) "Authority" means a document issued by the Department of Labor authorizing a person or association to engage in recruitment and placement activities as a private recruitment entity.
(g) "Seaman" means any person employed in a vessel engaged in maritime navigation. (h) "Overseas employment" means employment of a worker outside the Philippines.
(i) "Emigrant" means any person, worker or otherwise, who emigrates to a foreign country by virtue of an immigrant visa or resident permit or its equivalent in the country of destination.
People vs Pamis
The number of persons is not an essential ingredient of the act of recruitment. Any of the acts mentioned in the basic rule of article 13 (b) will constitute recruitment and placement even if one prospective worker is involved. The proviso merely lays down the rule of evidence that where a fee is collected in consideration of a promise or offer f employment to two or more prospective workers, the individual or entity dealing with them shall be deemed to be engaged in the act of recruitment and placement.
“Hence the proviso is not made a condition precedent to the act of recruitment but more appropriately only creates a legal presumption that the person involved is deemed as engages in recruitment and placement”
“In order for recruitment to exist the accused must have given the complainant the distinct impression that she had the power or ability to send the complainant abroad for work, such that the latter was convinced to part with her money in order to be so employed. Where such act or representation is not proven, there is no recruitment activity and conviction for illegal recruitment has no basis.”
Selective Deployment
SEC. 4. Deployment of Migrant Workers. - The State shall allow the deployment of overseas Filipino workers only in countries where the rights of Filipino migrant workers are protected. The government recognizes any of the following as a guarantee on the part of the receiving country for the protection of the rights of overseas Filipino workers:
(a) It has existing labor and social laws protecting the rights of workers, including migrant workers; (b) It is a signatory to and/or a ratifier of multilateral conventions, declarations or resolutions relating to the protection of workers, including migrant workers; and
(c) It has concluded a bilateral agreement or arrangement with the government on the protection of the rights of overseas Filipino Workers:
Provided, That the receiving country is taking positive, concrete measures to protect the rights of migrant workers in furtherance of any of the guarantees under subparagraphs (a), (b) and (c) hereof.
In the absence of a clear showing that any of the aforementioned guarantees exists in the country of destination of the migrant workers, no permit for deployment shall be issued by the Philippine Overseas Employment Administration (POEA).
The members of the POEA Governing Board who actually voted in favor of an order allowing the deployment of migrant workers without any of the aforementioned guarantees shall suffer the penalties of removal or dismissal from service with disqualification to hold any appointive public office for five (5) years, Further, the government official or employee responsible for the issuance of the permit or for allowing the deployment of migrant workers in violation of this section and in direct contravention of an order by the POEA Governing Board prohibiting deployment shall be meted the same penalties in this section.
For this purpose, the Department of Foreign Affairs, through its foreign posts, shall issue a certification to the POEA, specifying therein the pertinent provisions of the receiving country's labor/social law, or the convention/declaration/resolution, or the bilateral agreement/arrangement which protect the rights of migrant workers.
The State shall also allow the deployment of overseas Filipino workers to vessels navigating the foreign seas or to installations located offshore or on high seas whose owners/employers are compliant with international laws and standards that protect the rights of migrant workers.
The State shall likewise allow the deployment of overseas Filipino workers to companies and contractors with international operations: Provided, That they are compliant with standards, conditions and requirements, as embodied in the employment contracts prescribed by the POEA and in accordance with internationally-accepted standards.
SEC. 5. Termination or Ban on Deployment.
- Notwithstanding the provisions of Section 4 hereof, in pursuit of the national interest or when public welfare so requires, the POEA Governing Board, after consultation with the Department of Foreign Affairs, may, at any time, terminate or impose a ban on the deployment of migrant workers.
Migrant worker
A person who is to be engaged, is engaged or been engaged in a remunerated activity in a state of which he is not a legal resident.
SEC. 10. MONEY CLAIMS.
- Notwithstanding any provision of law to the contrary, the Labor Arbiters of the National Labor Relations Commission (NLRC) shall have the original and exclusive jurisdiction to hear and decide, within ninety (90) calendar days after filing of the complaint, the claims arising out of an employer-employee relationship or by virtue of any law or contract involving Filipino workers for overseas deployment including claims for actual, moral, exemplary and other forms of damages.
“The law allows claims for money or damages sustained during that period of deployment or before departure abroad”
“Jurisdiction retained by the POEA:
a. All cases which are administrative in character involving or arising out of violations of rules and regulations relating to licensing and registration of recruitment and employment agencies or entities.
b. Disciplinary action cases and other special cases which are administrative in character, involving employers, principals, contracting partners and Filipino migrant workers.”
“Jurisdiction outside the scope of POEA:
a. Those mentioned under section 10 of RA 8042 (Migrant Workers and overseas Filipinos act)
b. No jurisdiction to enforce foreign judgment c. No jurisdiction over torts”
The liability of the principal/employer and the recruitment/placement agency for any and all claims under this section shall be joint and several. These provisions shall be incorporated in the contract for overseas
employment and shall be a condition precedent for its approval. The performance bond to be filed by the recruitment/placement agency, as provided by law, shall be answerable for all money claims or damages that may be awarded to the workers. If the recruitment/placement agency is a juridical being, the corporate officers and directors and partners as the case may be, shall themselves be jointly and solidarily liable with the corporation or partnership for the aforesaid claims and damages.
Such liabilities shall continue during the entire period or duration of the employment contract and shall not be affected by any substitution, amendment or modification made locally or in a foreign country of the said contract.
Any compromise/amicable settlement or voluntary agreement on money claims inclusive of damages under this section shall be paid within four (4) months from the approval of the settlement by the appropriate authority.
In case of termination of overseas employment without just, valid or authorized cause as defined by law or contract, the workers shall be entitled to the full reimbursement of his placement fee with interest of twelve percent (12%) per annum, plus his salaries for the unexpired portion of his employment contract or for three (3) months for every year of the unexpired term, whichever is less.
Serrano vs Gallant
“The proviso in the law which provides for “three (3) months for every year of the unexpired term, whichever is less.” is unconstitutional since it violates the equal protection clause by discriminating between OFWS with unexpired term of less than 12 months from those which has an expired term of more than 12 months and from local employees. Also the proviso was declared unreasonable since it was over burdensome to the employees thereby violating substantive due process.”
Non-compliance with the mandatory periods for resolutions of cases provided under this section shall subject the responsible officials to any or all of the following penalties:
(a) The salary of any such official who fails to render his decision or resolutions within the prescribed period shall be, or caused to be, withheld until the said official complies therewith;
(b) Suspension for not more than ninety (90) days; or
(c) Dismissal from the service with disqualifications to hold any appointive public office for five (5) years.
Provided, however, that the penalties herein provided shall be without prejudice to any liability which any such official may have incurred under other existing laws or rules and regulations as a consequence of violating the provisions of this paragraph.
“Instance where the contract of employment was perfected already although the employee has not been deployed, a breach thereof will subject the breaching party to actual damages.”
“Death of a seafarer results is always compensable when such death occurred during the term of employment contract.”
Rules regarding disability:
1) The seafarer is entitled to basic pay upon the first day of disability
2) Such temporary state of disability cannot last for more than 120 days except where the sickness requires medical attendance beyond 120 days but not to exceed 240 days.
3) Failure to declare the total disability or that the seafarer within the 240 days will constitute as a permanent disability
Conflict between the company designated physician vs a third party physician
If there is a conflict the parties may agree to appoint another physician whose findings will be final. The failure of the seafarer to follow this procedure will result to him being bound to the decision of the company designated physician.
ART. 18. Ban on direct-hiring.
No employer may hire a Filipino worker for overseas employment except through the Boards and entities authorized by the Secretary of Labor. Direct-hiring by members of the diplomatic corps, international organizations and such other employers as may be allowed by the Secretary of Labor is exempted from this provision.
“Another exception to the above provision is Name hires, or those individual workers who are able to secure contracts for overseas employment on their own efforts and representation without the assistance or participation of any agency.”
“Side agreements which diminishes the employees pay and benefits as contained in the POEA-approved contract is void, unless such subsequent agreement is approved by the POEA”
Part V Rule 1 section 2 (Minimum provisions of employment contracts)
1) Guaranteed wages for regular working hours and OT pay, as appropriate, which shall not be lower than the appropriate minimum wage standard set forth in a bilateral agreement or international convention duly ratified by the host country and the Philippines or not lower than the minimum wage in the Philippines, whichever is highest.
ART. 22. Mandatory remittance of foreign exchange earnings. - It shall be mandatory for all Filipino workers abroad to remit a portion of their foreign exchange earnings to their families, dependents, and/or beneficiaries in the country in accordance with rules and regulations prescribed by the Secretary of Labor. ART. 23. Composition of the Boards. - (a) The OEDB shall be composed of the Secretary of Labor and Employment as Chairman, the Undersecretary of Labor as Vice-Chairman, and a representative each of the Department of Foreign Affairs, the Department of National Defense, the Central Bank, the Department of Education, Culture and Sports, the National Manpower and Youth Council, the Bureau of Employment Services, a workers’ organization and an employers’ organization and the Executive Director of the OEDB as members.
(b) The National Seamen Board shall be composed of the Secretary of Labor and Employment as Chairman, the Undersecretary of Labor as Vice-Chairman, the Commandant of the Philippine Coast Guard, and a representative each of the Department of Foreign Affairs, the Department of Education, Culture and Sports, the Central Bank, the Maritime Industry Authority, the Bureau of Employment Services, a national shipping association and the Executive Director of the NSB as members.
The members of the Boards shall receive allowances to be determined by the Board which shall not be more than P2,000.00 per month.
(c) The Boards shall be attached to the Department of Labor for policy and program coordination. They shall each be assisted by a Secretariat headed by an Executive Director who shall be a Filipino citizen with sufficient experience in manpower administration, including overseas employment activities. The Executive Director shall be appointed by the President of the Philippines upon the recommendation of the Secretary of Labor and shall receive an annual salary as fixed by law. The Secretary of Labor shall appoint the other members of the Secretariat.
(d) The Auditor General shall appoint his representative to the Boards to audit their respective accounts in accordance with auditing laws and pertinent rules and regulations. chanroblesvirtuallawlibrary
ART. 24. Boards to issue rules and collect fees. - The Boards shall issue appropriate rules and regulations to carry out their functions. They shall have the power to impose and collect fees from employers concerned, which shall be deposited in the respective accounts of said Boards and be used by them ART. 25. Private sector participation in the recruitment and placement of workers. - Pursuant to national development objectives and in order to harness and maximize the use of private sector resources and initiative in the development and implementation of a comprehensive employment program, the private employment sector shall participate in the recruitment and placement of workers, locally and overseas, under such guidelines, rules and regulations as may be issued by the Secretary of Labor.
POEA retains original exclusive Jurisdiction over cases: 1) Involving violations f POEA rules and regulations 2) Disciplinary cases
ART. 25. Private sector participation in the recruitment and placement of workers.
Pursuant to national development objectives and in order to harness and maximize the use of private sector resources and initiative in the development and implementation of a comprehensive employment program, the private employment sector shall participate in the recruitment and placement of workers, locally and overseas, under such guidelines, rules and regulations as may be issued by the Secretary of Labor.
ART. 26. Travel agencies prohibited to recruit.
Travel agencies and sales agencies of airline companies are prohibited from engaging in the business of recruitment and placement of workers for overseas employment whether for profit or not.
Other individuals disqualified from recruiting : 1) Travel agencies
2) Sales agencies of airline companies
3) Persons with derogatory records such as those convicted for illegal recruitment 4) Persons guilty of a crime involving moral turpitude
ART. 27. Citizenship requirement.
Only Filipino citizens or corporations, partnerships or entities at least seventy-five percent (75%) of the authorized and voting capital stock of which is owned and controlled by Filipino citizens shall be permitted to participate in the recruitment and placement of workers, locally or overseas.
ART. 28. Capitalization.
All applicants for authority to hire or renewal of license to recruit are required to have such substantial capitalization as determined by the Secretary of Labor.
Local employment:
1) 200k for single proprietorship and partnerships 2) 500k corp
Overseas employment 1) 2M for all
ART. 29. Non-transferability of license or authority.
No license or authority shall be used directly or indirectly by any person other than the one in whose favor it was issued or at any place other than that stated in the license or authority be transferred, conveyed or assigned to any other person or entity. Any transfer of business address, appointment or designation of any agent or representative including the establishment of additional offices anywhere shall be subject to the prior approval of the Department of Labor.
The Secretary of Labor shall promulgate a schedule of fees for the registration of all applicants for license or authority.
ART. 31. Bonds.
All applicants for license or authority shall post such cash and surety bonds as determined by the Secretary of Labor to guarantee compliance with prescribed recruitment procedures, rules and regulations, and terms and conditions of employment as may be appropriate.
The bond set forth under Art 31 is not limited to monetary awards arising out employment contracts but extends to the right of the POEA to against such bond for violations by the recruiter of the conditions for its license. Hence the Bond under article 31 is different from the bond required pending appeal set forth in article 223 since the latter is for the sole purpose of guaranteeing payment of the monetary award to be adjudge by the courts.
The bond under article 31 of the labor code is intended only for employment related claims and for violations of labor law. Hence garnishment may not be allowed even if it stems out from the agency’s to settle expenses necessary for their operations (bills, Meralco and stuff)
Once the bond has been validly garnished or withdrawn the agency must replenish the same. Failure to replenish within 15 days from the date of receipt of notice from the POEA that the bonds or deposits in escrow, or any part of it had been garnished, shall cause the suspension of the license
Requirements for release of bond for local employment: 1) Voluntary surrender of license
2) The agency must post a surety bond of similar amount from a bonding company accredited by the insurance commission
3) The surety bond must be valid for 3 years from the expiration of the license Requirements for release of bond for overseas employment:
1) Voluntary surrender of license
2) The agency must post a surety bond of similar amount from a bonding company accredited by the insurance commission
3) The surety bond must be valid for 4 years from the expiration of the license 4) Submission of clearance from the NLRC and the POEA
ART. 32. Fees to be paid by workers.
Any person applying with a private fee-charging employment agency for employment assistance shall not be charged any fee until he has obtained employment through its efforts or has actually commenced
employment. Such fee shall be always covered with the appropriate receipt clearly showing the amount paid. The Secretary of Labor shall promulgate a schedule of allowable fees.
Chargeable fees:
1) Placement fees for local employment
A licensed private recruitment and placement agency for local employment may charge a worker placement fee which shall not exceed 20% of the worker’s first month’s basic salary. In no case shall such fee be charged prior to the actual commencement of employment 2) Placement and documentation fees for Overseas employment
a. Fees and cost chargeable to principals
Unless otherwise provided, the principal shall be responsible for the payment of the following:
Visa fee Airfare
POEA processing fee OWWA membership fee b. Fees chargeable to workers
Except where the prevailing system in the country where the worker is to be deployed, either by law, policy or practice, does not allow the charging or collection of placement and recruitment fee, a land-based agency may charge and collect from its hired workers a placement fee in an amount equivalent to one month salary, exclusive of documentation costs.
In the even that the recruitment agency agrees to perform documentation services, the worker shall pay only the actual costs of the document which shall be covered by official receipts.
The above mentioned placement and documentation costs are the only authorized payments that may be collected from a hired worker. No other charfes in whatever form, manner or purpose, shall be imposed on and be paid by the worker without prior approval of the POEA.
Such fees shall be collected from a hired worker only after he has obtained employment through the facilities of the recruitment agency.
3) Service Fees
A licensed private recruitment and placement agency may charge the employer service fee which shall not exceed 20% of the annual salary of the worker. In no case shall the service fee be deducted from the worker’s salary. Transportation of the worker from the place of origin to the place of work shall be charged against the employer and shall in no case be deducted from the worker’s salary.
Whenever the public interest requires, the Secretary of Labor may direct all persons or entities within the coverage of this Title to submit a report on the status of employment, including job vacancies, details of job requisitions, separation from jobs, wages, other terms and conditions and other employment data. ART. 34. Prohibited practices.
It shall be unlawful for any individual, entity, licensee, or holder of authority:
(a) To charge or accept, directly or indirectly, any amount greater than that specified in the schedule of allowable fees prescribed by the Secretary of Labor, or to make a worker pay any amount greater than that actually received by him as a loan or advance;
(b) To furnish or publish any false notice or information or document in relation to recruitment or employment;
(c) To give any false notice, testimony, information or document or commit any act of misrepresentation for the purpose of securing a license or authority under this Code.
(d) To induce or attempt to induce a worker already employed to quit his employment in order to offer him to another unless the transfer is designed to liberate the worker from oppressive terms and conditions of employment;
(e) To influence or to attempt to influence any person or entity not to employ any worker who has not applied for employment through his agency;
(f) To engage in the recruitment or placement of workers in jobs harmful to public health or morality or to the dignity of the Republic of the Philippines;
(g) To obstruct or attempt to obstruct inspection by the Secretary of Labor or by his duly authorized representatives;
(h) To fail to file reports on the status of employment, placement vacancies, remittance of foreign exchange earnings, separation from jobs, departures and such other matters or information as may be required by the Secretary of Labor.
(i) To substitute or alter employment contracts approved and verified by the Department of Labor from the time of actual signing thereof by the parties up to and including the periods of expiration of the same without the approval of the Secretary of Labor;
(j) To become an officer or member of the Board of any corporation engaged in travel agency or to be engaged directly or indirectly in the management of a travel agency; and
(k) To withhold or deny travel documents from applicant workers before departure for monetary or financial considerations other than those authorized under this Code and its implementing rules and regulations.
“For comments please read under illegal recruitment portion” ART. 35. Suspension and/or cancellation of license or authority.
The Minister of Labor shall have the power to suspend or cancel any license or authority to recruit employees for overseas employment for violation of rules and regulations issued by the Ministry of Labor, the Overseas Employment Development Board, or for violation of the provisions of this and other applicable laws, General Orders and Letters of Instructions.
Recruitment violations that may cause the imposition of administrative sanctions (suspension or cancelation):
1) Misrepresentation for the purpose of securing a license or renewal thereof: a. By giving false testimonies
b. By giving falsified documents
2) Engaging in the recruitment or placement of workers in jobs harmful to public health or morality or to the dignity of the RP
3) Charging of any fee before employment is obtained for an applicant worker 4) Charging of any fee in amount exceeding the allowable rate
5) Obstructing inspections by dole 6) Acts constituting illegal recruitment
“Both the POEA and the secretary of labor may exercise concurrent jurisdiction to suspend or cancel a license. The POEA was granted jurisdiction by the Labor secretary by the power vested in him under article 36 of the LC allowing granting him quasi legislative power to promulgate rules and regulations to carry out the objectives and implement the provisions governing said activities.”
A recruitment agency is solidarily liable for the unpaid salaries of a worker recruited form employment with a foreign principal. The solidary liability of the parties continuous to exist despite the fact that the relationship between the agency and the principal has already terminated provided that no notice of such termination was given to the employee. This rule is supported under article 1921 of the NCC which provides that if the agency has been entrusted for the purpose of contracting with specified persons, its revocation shall not prejudice the latter if they were not given notice thereof. Further, per Catan vs NLRC, the obligations covenanted in the recruitment agreement entered into by and between the local agent and its foreign principal are not coterminous with the term of the agency agreement so that if either or both of the parties decide to end the agreement, the responsibilities of such parties towards the contracted employees under the agreement do not at all end. It extends up to and until the expiration of the employment contracts of the employees recruited an employed pursuant to the said recruitment agreement. Otherwise, this will render nugatory the very purpose for which the law governing the employment of workers for foreign jobs abroad was enacted.
1) Submission of a verified undertaking which provided that the agency assumed all responsibilities for the proper use of its license and the proper implementation of the employment contracts with the workers it recruited and deployed for overseas employment 2) Submission of a formal appointment or agency contract executed by the foreign-based
employer authorizing the agency to recruit and hire personnel for the former. This contained a provision empowering the agency to sue and be sued jointly and solidarily with the foreign principal for any violations of the recruitment agreement and the contracts of employment. 3) The posting of bonds to guarantee compliance with prescribed recruitment procedures and
terms of employment as appropriate.
“The rule on solidary liability of the agency is not absolute and is subject to exceptions depending on the peculiar circumstances surrounding a particular case, such as the case where the employees themselves insisted to go back to the employer despite sufficient warning given by the agency as to the insolvency of the employer, to the extend that they executed written waivers for the same” ART. 36. Regulatory power.
The Secretary of Labor shall have the power to restrict and regulate the recruitment and placement activities of all agencies within the coverage of this Title and is hereby authorized to issue orders and promulgate rules and regulations to carry out the objectives and implement the provisions of this Title. ART. 37. Visitorial Power.
The Secretary of Labor or his duly authorized representatives may, at any time, inspect the premises, books of accounts and records of any person or entity covered by this Title, require it to submit reports regularly on prescribed forms, and act on violation of any provisions of this Title.
Illegal recruitment (RA 10022)
SEC. 6. Definition. - For purposes of this Act, illegal recruitment shall mean any act of canvassing, enlisting, contracting, transporting, utilizing, hiring, or procuring workers and includes referring, contract services, promising or advertising for employment abroad, whether for profit or not, when undertaken by non-licensee or non-holder of authority contemplated under Article 13(f) of Presidential Decree No. 442, as amended, otherwise known as the Labor Code of the Philippines: Provided, That any such non-licensee or non-holder who, in any manner, offers or promises for a fee employment abroad to two or more persons shall be deemed so engaged. It shall likewise include the following acts, whether committed by any person, whether a non-licensee, non-holder, licensee or holder of authority:
"(a) To charge or accept directly or indirectly any amount greater than that specified in the schedule of allowable fees prescribed by the Secretary of Labor and Employment, or to make a
worker pay or acknowledge any amount greater than that actually received by him as a loan or advance;
"(b) To furnish or publish any false notice or information or document in relation to recruitment or employment;
"(c) To give any false notice, testimony, information or document or commit any act of misrepresentation for the purpose of securing a license or authority under the Labor Code, or for the purpose of documenting hired workers with the POEA, which include the act of reprocessing workers through a job order that pertains to nonexistent work, work different from the actual overseas work, or work with a different employer whether registered or not with the POEA; "(d) To include or attempt to induce a worker already employed to quit his employment in order to offer him another unless the transfer is designed to liberate a worker from oppressive terms and conditions of employment;
"(e) To influence or attempt to influence any person or entity not to employ any worker who has not applied for employment through his agency or who has formed, joined or supported, or has contacted or is supported by any union or workers' organization;
"(f) To engage in the recruitment or placement of workers in jobs harmful to public health or morality or to the dignity of the Republic of the Philippines;
"(h) To fail to submit reports on the status of employment, placement vacancies, remittance of foreign exchange earnings, separation from jobs, departures and such other matters or information as may be required by the Secretary of Labor and Employment;
"(i) To substitute or alter to the prejudice of the worker, employment contracts approved and verified by the Department of Labor and Employment from the time of actual signing thereof by the parties up to and including the period of the expiration of the same without the approval of the Department of Labor and Employment;
"(j) For an officer or agent of a recruitment or placement agency to become an officer or member of the Board of any corporation engaged in travel agency or to be engaged directly or indirectly in the management of travel agency;
"(k) To withhold or deny travel documents from applicant workers before departure for monetary or financial considerations, or for any other reasons, other than those authorized under the Labor Code and its implementing rules and regulations;
"(l) Failure to actually deploy a contracted worker without valid reason as determined by the Department of Labor and Employment;
"(m) Failure to reimburse expenses incurred by the worker in connection with his documentation and processing for purposes of deployment, in cases where the deployment does not actually take place without the worker's fault. Illegal recruitment when committed by a syndicate or in large scale shall be considered an offense involving economic sabotage; and
"(n) To allow a non-Filipino citizen to head or manage a licensed recruitment/manning agency. "Illegal recruitment is deemed committed by a syndicate if carried out by a group of three (3) or more persons conspiring or confederating with one another. It is deemed committed in large scale if committed against three (3) or more persons individually or as a group.
"In addition to the acts enumerated above, it shall also be unlawful for any person or entity to commit the following prohibited acts:
"(1) Grant a loan to an overseas Filipino worker with interest exceeding eight percent (8%) per annum, which will be used for payment of legal and allowable placement fees and make the migrant worker issue, either personally or through a guarantor or accommodation party, postdated checks in relation to the said loan;
"(2) Impose a compulsory and exclusive arrangement whereby an overseas Filipino worker is required to avail of a loan only from specifically designated institutions, entities or persons; "(3) Refuse to condone or renegotiate a loan incurred by an overseas Filipino worker after the latter's employment contract has been prematurely terminated through no fault of his or her own; "(4) Impose a compulsory and exclusive arrangement whereby an overseas Filipino worker is required to undergo health examinations only from specifically designated medical clinics, institutions, entities or persons, except in the case of a seafarer whose medical examination cost is shouldered by the principal/shipowner;
"(5) Impose a compulsory and exclusive arrangement whereby an overseas Filipino worker is required to undergo training, seminar, instruction or schooling of any kind only from specifically designated institutions, entities or persons, except fpr recommendatory trainings mandated by principals/shipowners where the latter shoulder the cost of such trainings;
"(6) For a suspended recruitment/manning agency to engage in any kind of recruitment activity including the processing of pending workers' applications; and
"(7) For a recruitment/manning agency or a foreign principal/employer to pass on the overseas Filipino worker or deduct from his or her salary the payment of the cost of insurance fees, premium or other insurance related charges, as provided under the compulsory worker's insurance coverage.
"The persons criminally liable for the above offenses are the principals, accomplices and accessories. In case of juridical persons, the officers having ownership, control, management or direction of their business who are responsible for the commission of the offense and the responsible employees/agents thereof shall be liable.
"In the filing of cases for illegal recruitment or any of the prohibited acts under this section, the Secretary of Labor and Employment, the POEA Administrator or their duly authorized representatives, or any aggrieved person may initiate the corresponding criminal action with the appropriate office. For this purpose, the affidavits and testimonies of operatives or personnel from the Department of Labor and Employment, POEA and other law enforcement agencies who witnessed the acts constituting the offense shall be sufficient to prosecute the accused.
"In the prosecution of offenses punishable under this section, the public prosecutors of the Department of Justice shall collaborate with the anti-illegal recruitment branch of the POEA and, in certain cases, allow the POEA lawyers to take the lead in the prosecution. The POEA lawyers who act as prosecutors in such cases shall be entitled to receive additional allowances as may be determined by the POEA Administrator.
"The filing of an offense punishable under this Act shall be without prejudice to the filing of cases punishable under other existing laws, rules or regulations."
Overseas Filipino worker
Refers to a person who is to be engaged, is engaged or has been engaged in a remunerated activity in a state of which he or she is not a citizen or on board a vessel navigating the foreign seas other than a government ship used for miliatry or non-commercial purposes or on an installation located offshore or on the high seas; to be used interchangeably with migrant worker.
Private employment agency
Means any person or entity engaged in the recruitment and placement of workers for a fee which is charged directly or indirectly, from the workers or employers or both.
License
Means a document issued by the Department of Labor authorizing a person or entity to operate a private employment agency.
Private recruitment entity
Means any person or association engaged in the recruitment and placement of workers, locally or overseas, without charging, directly or indirectly, any fee from the workers or employers.
Means a document issued by the Department of Labor authorizing a person or association to engage in recruitment and placement activities as a private recruitment entity.
2 Manners by which illegal recruitment may be committed:
1) By a person who has no valid license or authority required by law to enable one to lawfully engage in recruitment and placement of workers; and he undertakes either any activity within the meaning of "recruitment and placement"
2) By any person with or without license or authority commits any of the acts mentioned in Sec 6 of RA 8042 as amended by RA 10022
SEC. 7. (RA 8042 as amended by RA 10022) Penalties.
"(a) Any person found guilty of illegal recruitment shall suffer the penalty of imprisonment of not less than twelve (12) years and one (1) day but not more than twenty (20) years and a fine of not less than One million pesos (P1,000,000.00) nor more than Two million pesos (P2,000,000.00).
"(b) The penalty of life imprisonment and a fine of not less than Two million pesos (P2,000,000.00) nor more than Five million pesos (P5,000,000.00) shall be imposed if illegal recruitment constitutes economic sabotage as defined therein.
"Provided, however, That the maximum penalty shall be imposed if the person illegally recruited is less than eighteen (18) years of age or committed by a non-licensee or non-holder of authority.
"(c) Any person found guilty of any of the prohibited acts shall suffer the penalty of imprisonment of not less than six (6) years and one (1) day but not more than twelve (12) years and a fine of not less than Five hundred thousand pesos (P500,000.00) nor more than One million pesos (P1,000,000.00).
"If the offender is an alien, he or she shall, in addition to the penalties herein prescribed, be deported without further proceedings.
"In every case, conviction shall cause and carry the automatic revocation of the license or registration of the recruitment/manning agency, lending institutions, training school or medical clinic."
Simple Illegal Recruitment
Is the commission of the offense of illegal recruitment without it being committed by a syndicate (if carried out by a group of three (3) or more persons conspiring or confederating with one another.) or in a large scale (if committed against three (3) or more persons individually or as a group.)
Economic sabotage
Illegal recruitment when committed by a syndicate or in large scale shall be considered an offense involving economic sabotage
A criminal action arising from illegal recruitment shall be filed with the RTC of the province where the offense was committed or where the offended party actually resides at the time of the commission of the offense. The court where the criminal action is first filed shall acquire jurisdiction over the case to the exclusion of the other courts.
Prescriptive period
Actions for illegal recruitment shall prescribe in five years and 20 years if it involves economic sabotage. The prescriptive period shall begin from the date the crime was discovered..
Estafa vs illegal recruitment
In Illegal Recruitment what the law punishes is the act of recruiting or placement a person or a group of person without having a license or any of the acts mentioned in section of RA 8042 as amended by RA10022 whereas in the crime of estafa what the law punishes is the employment of deceit by the accused to cause the offended party to part with their property. Both offenses are independent from one another and may be prosecuted independently from each other since the elements of the offenses are separate and distinct from each other.
Theory of imputed knowledge
The so-called theory of imputed knowledge, that is, knowledge of the agent is knowledge of the principal. [New Life vs. CA, G.R. No. 94071 March 31, 1992] For the liability of the agent to attach, this theory states that the agent knew of and consented to the extension of period of employment. Otherwise, the liability of the recruitment agency shall expire from the termination of the worker's original contract. [SUNACE INTERNATIONAL MANAGEMENT vs. NLRC, G.R. No. 161757, January 25, 2006, Carpio Morales, J.]
1.2.8. Pre-termination of contract of migrant worker Rules on Repatriation of Overseas Workers
(1) Without fault of the worker, his repatriation shall be borne by the local agency and/or principal over the:
a. worker and his personal belongings;
b. remains of the deceased worker and his personal belongings [Sec. 15, par. 1, RA 8042] (2) Repatriation due to the fault of migrant worker shall be borne by the migrant worker. [Sec. 15,
par. 1, RA 8042]
(3) Repatriation in cases of war, epidemic, disasters/calamities, or other similar events shall be borne by OWWA, without prejudice to reimbursement by the principal or local agency. [Sec. 15, par.2, RA 8042]
(4) Repatriation of underage migrant worker shall be mandatory upon discovery, done by the responsible officers of the foreign service where the underage migrant worker is found. [Sec. 16, RA 8042]
Apprenticeship ART. 57. Statement of objectives
This Title aims:
(1) To help meet the demand of the economy for trained manpower;
(2) To establish a national apprenticeship program through the participation of employers, workers and government and non-government agencies; and
(3) To establish apprenticeship standards for the protection of apprentices. ART. 58. Definition of Terms. - As used in this Title:
(a) "Apprenticeship" means practical training on the job supplemented by related theoretical instruction. (b) An "apprentice" is a worker who is covered by a written apprenticeship agreement with an individual
employer or any of the entities recognized under this Chapter.
(c) An "apprenticeable occupation" means any trade, form of employment or occupation which requires more than three (3) months of practical training on the job supplemented by related theoretical instruction.
(d) "Apprenticeship agreement" is an employment contract wherein the employer binds himself to train the apprentice and the apprentice in turn accepts the terms of training.
ART. 59. Qualifications of apprentice. To qualify as an apprentice, a person shall:
(a) Be at least fourteen (14) years of age; (modified by RA 7658 to 15years old) (b) Possess vocational aptitude and capacity for appropriate tests; and
(c) Possess the ability to comprehend and follow oral and written instructions.
Trade and industry associations may recommend to the Secretary of Labor appropriate educational requirements for different occupations.
ART. 60. Employment of apprentices.
Only employers in the highly technical industries may employ apprentices and only in apprenticeable occupations approved by the Secretary of Labor and Employment.
Requisites for employment of apprentices
1) The employer should be engaged in a business that is considered a highly technical industry. A highly technical industry is a trade, business, enterprise, industry or other activity which utilizes the application of advanced technology
2) The job to which the apprentice will work on should be classified as an apprenticeable occupation. Apprenticeable occupation is an occupation officially endorsed by a tripartite body and approved for apprenticeship by the TESDA (Technical Education and Skills Development authority.
ART. 61. Contents of apprenticeship agreements.
Apprenticeship agreements, including the wage rates of apprentices, shall conform to the rules issued by the Secretary of Labor and Employment. The period of apprenticeship shall not exceed six months.
Apprenticeship agreements providing for wage rates below the legal minimum wage, which in no case shall start below 75 percent of the applicable minimum wage, may be entered into only in accordance with apprenticeship programs duly approved by the Secretary of Labor and Employment. The Department shall develop standard model programs of apprenticeship
Comment:
Apprenticeship needs DOLE’s prior approval, or apprentice becomes a regular employee since the approval is a condition sine qua non to a valid apprenticeship agreement (Nitto vs NLRC)
ART. 62. Signing of apprenticeship agreement.
Every apprenticeship agreement shall be signed by the employer or his agent, or by an authorized representative of any of the recognized organizations, associations or groups and by the apprentice. An apprenticeship agreement with a minor shall be signed in his behalf by his parent or guardian, if the latter is not available, by an authorized representative of the Department of Labor, and the same shall be binding during its lifetime.
Every apprenticeship agreement entered into under this Title shall be ratified by the appropriate apprenticeship committees, if any, and a copy thereof shall be furnished both the employer and the apprentice.
ART. 63. Venue of apprenticeship programs.
Any firm, employer, group or association, industry organization or civic group wishing to organize an apprenticeship program may choose from any of the following apprenticeship schemes as the training venue for apprentice:
(a) Apprenticeship conducted entirely by and within the sponsoring firm, establishment or entity;
(b) Apprenticeship entirely within a Department of Labor and Employment training center or other public training institution; or
(c) Initial training in trade fundamentals in a training center or other institution with subsequent actual work participation within the sponsoring firm or entity during the final stage of training.
ART. 64. Sponsoring of apprenticeship program.
Any of the apprenticeship schemes recognized herein may be undertaken or sponsored by a single employer or firm or by a group or association thereof or by a civic organization. Actual training of apprentices may be undertaken:
(a) In the premises of the sponsoring employer in the case of individual apprenticeship programs;
(b) In the premises of one or several designated firms in the case of programs sponsored by a group or association of employers or by a civic organization; or
(c) In a Department of Labor and Employment training center or other public training institution. ART. 65. Investigation of violation of apprenticeship agreement.
Upon complaint of any interested person or upon its own initiative, the appropriate agency of the Department of Labor and Employment or its authorized representative shall investigate any violation of
