LABOR STANDARDS I. LABOR STANDARDS What is labor standards?
• Giving what is due to the worker
• Minimum terms and conditions of employment that an employer must provide to the workers
• Labor standards are fluid. What may be true now may not be true in the future
• LABOR STANDARDS are those labor statutes that prescribe standards relating to terms and conditions of
employment for compliance by employers
o like the laws on hours of work, weekly rest periods, holiday pay, wages, and laws dealing with women, minors, house-helpers, and industrial home-workers.
Purpose of Labor standards (APIR)
1. Alleviate the plight of workers
2. Protection to workers against injustices
3. Impose sanctions on those who violate
4. Redress for violation of basic employee rights Coverage of labor laws on standards
• Wages
• Working conditions and rest periods o Hours of work
o Weekly rest periods
o Holiday, service incentive leaves and service charge
o 13th month pay
• Working conditions for special groups of employees o Women o Minors o Househelpers o Homeworkers o Apprentices o Learners o Handicapped • Termination of employment o Substantive due process o Procedural due process
o Compliance with the two notice requirement 1. Notice of the violation
2. Notice of termination
When can labor laws on standards apply? Labor laws can only apply when there is an employer-employee relationship
When is there EMPLOYER-EMPLOYEE Relationship? • Jeepney driver and owners
o The boundary system is only the mode of compensation
o The owners of the jeepney still exercise control over the drivers in determining the route
• There is NO employer-employee relationship in:
o Company and agent of company paid in commission – the company does not have control over the agent o Resident physician and the training hospital – residency
is simply a continuation of their medical course. It is a pursuit of further education on a specific discipline. How to determine the existence of the employer-employee relationship:
The 4-Fold Test: When there is –
1. Selection and engagement of employees 2. Payment of wages
3. Power of dismissal
4. Power to control the employees conduct
a. Control of employees conduct is the most crucial and determinative indicator of the existence of the
employer-employee relationship
Economic reality test:
• Find the employee if he is economically dependent on the other, then there is employer-employee relationship. • Orosco v. 5th Division of the Court of Appeals
o Orosco was terminated. His case for illegal dismisal was dismissed.
Court held that he was an independent contractor.
Petitioner’s main occupation is not a columnist. She herself admits that she contributes articles to other publications. Thus she not fully
dependent on Philippine Daily Inquirer.
o Orosco was considered as a freelance writer. Economic reality test was applied.
• Sonsa v. NLRC Contract of employment
• Not an ordinary contract. It is also endowed with public interest.
• Chavez v. NLRC
o Can a contract between an employer and employee be determinative of an employer-employee relationship.
o The contract stated that Chavez was not an employee. o Other provisions of the contract showed that it was a
contract of employment between an employer and employee.
o Court held that existence of an employer-employee relationship cannot be repudiated in an employment contract when the facts clearly showed otherwise.
o Employment status is defined by law and not
what the parties say it should be. The exclusivity provision
• Generally invalid, EXCEPT when:
o Position of the employee is such that it would be presumed that if he transfers to a competing employer, what he knows can be used by the competitor against the previous employer. (trade secrets)
• Consulta v. Court of Appeals
o The appointment of the complainant provided that she must represent the company on an exclusive basis and must not directly or indirectly engage with other
companies that compete against her employer.
o Restriction was considered reasonable because it only limited transactions with other companies that
competed with that of her employer.
o What is prohibited is an encompassing restriction.
In another case, although the restriction was broad, it was held to be reasonable because it was only for a limited time and place. (Del Castillo v. Richmond)
Retainership agreement – a work for hire contract. It falls between a one-time contract and full-time employment. Its distinguishing feature is that the employer pays in advance for work to be specified later. Additional contracts regarding the
performance of this work may also apply. • Coca-Cola Bottlers, Phil. v. Climaco
o Whether employer-employee relationship exists under a retainership agreement.
o Court held that the company lacked the power of control over the performance of the respondent by his duties. Dr. Climaco was declared not an employee for being udner a retainership agreement.
o Dr. Climaco was not told how to conduct his physical examination. What is important is that the control refers to how the work should be done.
General rule when it comes to resident physicians: there is employee-employer relationship. EXCEPT WHEN:
• When there is a training agreement.
The training program is duly accredited or approved by the government agency
LABOR-ONLY CONTRACTING JOB-ONLY CONTRACTING When there is no sufficient
capital and equipment. Can only supply labor
The person is in an independent business BUT the capital and facilities belongs to the principal No relationship between
contractor and employee. The relationship is between the employee and the principal employer
Carries on an independent business and undertakes work on his own account
Example: agencies who hire people and assign them to companies
*An independent contractor has all the facilities. The person transacting with the independent contractor only has control over the result of the work of the independent contractor.
II. WAGES A. Wages
• Wages are defined as:
1. Renumeration or earnings 2. expressed in terms of money 3. fixed or acscertained on a:
a. time b. task c. piece or
d. commission basis
4. payable by an employer to an employee 5. under a written or unwritten contract 6. for work done or to be done.
What are considered to be part of wages?
• All benefits of the employee under the CBA o Severance pay
o Unpaid salaries for work done
The following determines the amount of wages:
1. Collective bargaining agreement – provided that what the wage prescribed is more than what is under the law. 2. employment contract – provided that what the wage
prescribed is more than what is under the law. 3. Law
Note: Collective bargaining agreement determines the rights of the employees. When there is a CBA, this becomes the law between the employer and employee provided that it does not violate law or public morals
Facilities
• articles or services for the benefit of the employee or his family
• Items of expense necessary for the laborer’s and his family’s existence
To allow deduction in the value of facilities from the employer’s wages
a. proof that such facilities are customarily furnished by the trade
b. provision of deductible facilities is voluntarily accepted in writing by the employee
c. facilities are charged at fair and reasonable value Mere availment is not sufficient to allow deductions from employee’s wages.
Food or snacks: supplements not facilities Supplements
• constitute extra remuneration or special privileges or benefits given to or received by the laborers over and above their ordinary earnings or wages.
• Independent of the wage and not deductible • For the benefit of the employer
What an employee has worked for, his employer must pay.
WAGES SALARIES
paid to blue collar workers, for skilled or unskilled manual labor paid at stated daily, weekly, monthly or seasonal periods.
paid to white collar workers. denotes a higher grade of employment, a superior grade of services and a position of office.
NOT subject to execution or attachment except for debts incurred for food, shelther, clothing and, medical attendance (Rosario Gaa v Court of Appeals)
excluded in the computation of basic salary
• sick, vacation and maternity leaves • nigh differentials • regular holiday pay • premiums for work done on rest days and special holidays
Living wage
• economically feasible to maintain the minimum standards of living necessary for the health and efficiency and general well-being of the employees within the framework of the national economic and social development program.
Exclusions from coverage
a. persons in the personal service of another b. homeworkers engaged in needlework
c. workers employed in cottage industries duly registered in accordance with law and who perform work in their homes d. workers duly registered cooperatives as recommended by the
bureau of cooperative development and approved by the Secretary of Labor
e. Farm Tenancy of lease hold Equal Pay for Equal Work
• Persons who work with substantially equal
qualifications, skill, effort and responsibility, under similar conditions should be paid similar salaries.
• If an employer accords employees the same position and rank, the presumption is that these employees perform equal work.
o Presumption: Same position and rank, equal work
B. Minimum Wage Rates
• Lowest basic wage rate fixed by law that an employer can pay his employees (statutory minimum wage)
RA 6727 (Wage Rationalization Act)
• Mandates the fixing of the statutory minimum wages applicable to different industrial sectors, namely, non-agricultural, agricultural plantation and non- plantation, cottage/handicraft, and retail/service, depending on the number of workers or capitalization or annual gross sales in some sectors
• Established the Regional Tripartite Wages and Productivity Boards which has the authority to fix the wage rates
Coverage
• Wage increases apply to all private sector workers and employees regardless of their position, designation, or status, and irrespective of the method by which their wages are paid Exclusions
1. Househelpers, family drivers and workers in the personal service of another
2. Workers and employees
o In retail service establishments regularly employing not more than 10
o Distressed establishments
o Other firms or employers as determined by the board, when specifically exempted from compliance for a period fixed by the board.
3. Workers of registered Barangay Micro Business Enterprises with Certificates of Authority issued by the Office of the Municipal or City Treasurer
Minimum wage of workers paid by results is determined through:
a. Time and motion studies
b. Consultation with representatives of employers and workers organizations in a tripartite conference called by the DOLE Secretary
Ability to Pay is Immaterial
• Serious business losses is not a defense to payment of labor standards benefits. Employer cannot exempt himself form liability to pay minimum wages because of poor
financial condition of the company; the payment of minimum wages is not dependent on the employer’s ability to pay.
Non Diminution
General Rule: Nothing in the Labor Code shall be construed to eliminate or in any way diminish supplements, or other employee benefits being enjoyed at the time of the promulgation of this Code. Benefits being given to employees cannot be taken back or reduced unilaterally by the employer because the benefit has become part of the employment contract, written or
unwritten.
Exception: To correct and error, otherwise, if the error is left
uncorrected for a reasonable period of time, it ripens into a company policy and employees can demand for it as a matter of right.
Bonuses does not form part of salary. Generally, they are not demandable. However, the following are demandable bonuses:
1. When given with condition
2. 13th month salary
a. 14th or more are no longer demandable 3. When it forms part of the contract
4. When given as company policy for at least 6 months, customary or voluntary employer practice
a. Requisites for voluntary employer practice such that the same cannot be unilaterally withdrawn anymore:
i. Practiced over a long period of time ii. Consistent and deliberate
Four Elements of Wage distortion
a. Existing hierarchy of positions with corresponding salary rates
b. Significant change in the salary rate of a lower pay class with a concomitant increase in the salary rate of a higher one
c. Elimination of the distinction between the two levels
d. Existence of the distortion in the same region of the country
C. Payment of Wages
Art. 102 Forms of payment – An employee may only be paid by legal tender by the employer Art 1705 of the Civil Code – laborer’s wages shall be paid in legal currency.
Promissory notes, vouchers, tokens, tickets, chits, or any object other than legal tender, even when expressly requested by the employee are not allowed.
Legal tender – that currency sufficient under the law to effect payment of a debt or obligation (Sibal, Phil. Legal Encyclopedia, 608) All notes, coins, currencies issued by the Central Bank are legal tender for all debts, public and private. A check is not legal tender.
WHEN PAYMENT OF CHECK OR MONEY IS ALLOWED
WHEN PAYMENT THROUGH ATM IS ALLOWED • When such manner of
payment is customary on the date of effectivity of this Code • Because of special
circumstances in appropriate regulations issued by the Secretary of Labor and Employment
• When stipulated in the CBA or where all these conditions are met:
o There is a bank or other
• With the written consent of the employee
• Employees are given
reasonable time to withdraw their wages from the bank facility, and if done during working hours, shall be considered as compensable hours worked
• System shall allow the
facility for encashment within a radius of 1 kilometer from the workplace
o The employer, or any of his agents or
representative, does not receive any pecuniary benefit, directly or indirectly, from the arrangement.
o The employees are given reasonable time during banking hours to withdraw their wages from the bank which time shall be
considered as
compensable hours worked if done during working hours
oThe payment by is with the written consent of the employees concerned if there is no collective agreement authorizing the payment of wages by bank checks.
employee to receive their wage within the period and in the amount prescribed under the Labor Code
• There is a bank or ATM facility within a radius of 1 km
•Employer shall issue a
evidencing payment of wages, benefits and deductions for a particular period upon request of the concerned employee • ATM system of payment will
not result in diminution of benefits and privileges of the employee and neither the latter incurs additional expenses in the process • Employer shall assume full
responsibility in case the wage protection provisions of law and regulations are not complied with under the arrangement
Penalty for Violation – Art 288 of the RPC imposes a penalty of arresto mayor or a fine ranging from 200-500 pesos or both to any person who shall pay the wages due a laborer employed by him by means of tokens or objects other than legal currency of the
Philippines.
Art. 103 Time of payment – wages shall be paid at least once every two weeks or twice a month at intervals not exceeding sixteen days.
Exceptions:
1. Force majeure or circumstances beyond the employer’s control provided that he pays the wages immediately after
2. Wages of employees engaged to perform tasks that cannot be completed in two weeks. In the absence of a CBA or arbitration award:
a. Payments are made at intervals not exceeding sixteen days , in proportion to the amount of work completed b. Final settlement shall be made upon completion of
work
Art. 104 Place of Payment – Payment of wages shall be made at or near the place of undertaking except as otherwise provided by such regulations Secretary of Labor and Employment may prescribe under conditions to ensure greater protection of wages
Rule VIII, Section 4
a. As a general rule, the place of payment shall be at or near the place of undertaking unless:
1. Reason of the deterioration of peace and order conditions or of actual or impending emergencies caused by fire, flood, epidemic or other calamity rendering payment impossible
2. Employer provides free transportation back and forth 3. Time spent by the employees in collecting wages shall
be considered compensable hours
b. No employer shall pay his employees in any bar, night or day club, drinking establishment, massage clinic, dance hall or other similar
places or in places where games are played with stakes of money or thing reperesenting money except in the case of persons employed in said places.
Art. 105 Direct Payment of Wages Wages shall be paid directly to the workers to who they are due
Exceptions:
a. Force Majeure – during which case the wages may be paid to another person under a written authority given by the worker.
b. When the worker has died – payment to the heirs without need for intestate proceedings. Claimants shall execute an affidavit attesting to their relationship to the deceasese. c. In case of conflicting claims over the uncollected wages of
deceased employee:” It should be borne in mind that in cases where the second wife had in good faith contracted marriage with the decedent notwithstanding the existence of his marriage with the first wife, the court has generally sought and applied a just and equitable solution and division of the decedent’s estate among the two innocent parties”.
Payment through Contractor
The leader who a contracted a stevedoring work may receive
payment of wages for the workers. The wages was undertaken by not in their individual capacities but as a group through their leader-contractor.
Contractor or subcontractor
Art106 – When an employer enters into a contract for the
performance of its work, the employees of the contractor and of the latter’s subcontractor shall be paid in accordance with the provisions of this Code. In the event that the contractor or subcontractor
fails to pay the wages of his employees in accordance with this Code, the employer shall be jointly and severally liable with his contractor or subcontractor to such employees to the extent of the work performed under the contract, in the same manner and extent that he is liable to employees directly employed by him. The Secretary of Labor and Employment may, by appropriate
regulations, restrict or prohibit the contracting-out of labor to protect the rights of workers.
There is "labor-only" contracting where the person supplying workers to an employer does not have substantial capital or investment in the form of tools, equipment, machineries, work premises, among others, and the workers recruited and placed by such person are performing activities which are directly related to the principal business of such employer. In such cases, the person or intermediary shall be considered merely as an agent of the employer who shall be responsible to the workers in the same manner and extent as if the latter were directly employed by him.
Purpose of the law – to protect the workers from some unscrupulous employers. Thus, the law creates an employer-employee relationship between the employer and the contractor’s workers.
Directly related activities and activities necessary or desirable in the usual business or trade
Directly related activities – those which are directly related to the principal business of the employer – covered by Art 106
Activities necessary or desirable in the usual business or trade – covered by Article 280
Legal effect of a finding that the contractor is merely a “labor only” contractor – employer is responsible to the employee of the the labor only contractor as though they were directly employed by him
In house agency – a contractor or subcontractor engaged in the supply of labor which is: a.)owned and controlled by the principal: and b.) operates solely for the principal owning managing, or controlling it. This is contrary to law public policy.
Job contracting – allowed by law if:
a. Contractor carries out an independent business and
undertakes the contract work on his own account, under his own responsibility, according to his own manner and method, from the contorl and direction of his employer or principal in all matters connected with the performance of work except as to results;
b. The contract has substantial capital or investment in the form of tools, equipment, machineries, work premises and other materials which are necessary in the conduct of his business. There is no employer-employee relationship between contractors, employees and the principal. However, when a contractor fails to pay the wages of his employees, he becomes obliged to do so as though he were the employer, but only for this purpose.
Indirect employer – one who contracts with an independent contractor for the performance of any work, task, job or project nor directly related to the employer’s business.
Posting of bond – An employer or indirect employer may require the contractor or subcontractor to furnish a bond equal to the cost of labor under contract, on condition that the bond will answer for the wages due the employees should the contractor or subcontractor, as the case may be, fail to pay the same.
Solidary liability – Other provisions of the law notwithstanding, every employer or indirect employer shall be held responsible with his contractor or subcontractor for any violation of any provision of this Code. For purposes of determining the extent of their civil liability under this Chapter, they shall be considered as direct employers.
Worker preference in case of bankruptcy – In the event of bankruptcy or liquidation of an employer’s business, his workers shall enjoy first preference as regards their wages and other monetary claims, any provisions of law to the contrary notwithstanding. Such unpaid wages and monetary claims shall be paid in full before claims of the government and other creditors may be paid. (As amended by Section 1, Republic Act No. 6715, March 21, 1989).
Attorney’s fees – (a) In cases of unlawful withholding of wages, the culpable party may be assessed attorney’s fees equivalent to ten percent of the amount of wages recovered; (b) It shall be unlawful for any person to demand or accept, in any judicial or administrative proceedings for the recovery of wages, attorney’s fees which exceed ten percent of the amount of wages recovered.
D. Prohibitions Regarding Wages
o No employer shall limit or otherwise interfere with the freedom of any employee to dispose of his wages;
o Oblige any of his employees to patronize any store or avail of the services offered by any person.
o Wage Deductions: No employer on his behalf or on behalf of any person make any deductions from the wages of his employees.
Note: Article 1706 allows deduction for a debt due the employer. Which law shall prevail?
o Deduction from employee’s salary as the company’s share for job procurement, even if based on a contract in writing;
[Commando Security Agency vs. NLRC, 211 SCRA 645 (1992)]. The contract is void ab initio being contrary to law and public policy. [Mercury Drug Co., Inc., vs. Dayao, 117 SCRA 99, 166 (1982)];
o An employee’s obligations arising from non-payment of stock subscription to the corporation cannot be deducted from the
wages of the employee. [Apodaca vs. NLRC, 172 SCRA 442 (1989)].
o Deductions to ensure employment – deductions in
consideration of employment or retention in employment. o Retaliatory measures – refusal to pay, or to reduce wages and
benefits, discharge or in any manner discriminate against an employee who has filed any complaint or instituted any
proceeding under this title or has testified or is about to testify in such proceedings. (P. D. 850).
Exceptions:
1. To recompense employer for payment of premiums in case employee is insured by the employer with his consent;
2. For union dues where the right of the worker or his union to check off is recognized by the employer and authorized by the individual worker;
3. In other cases where the deduction is authorized by law or regulation issued by the Secretary of Labor, ex.: taxes
(withholding taxes); SSS contributions; Philhealth contributions; agency fees; Abad -deduction from employees’ wages of debt due the employer. Art. 1706, Civil Code, vs. Art. 114, Labor Code.
4. Illegal Deposits – [Five J Taxi vs. NLRC, 235 SCRA 556 (1994)] It was held that the P15 daily deposit made by taxi drivers to defray shortage in their “boundary” is covered by the general prohibition under Art. 114 of the Labor Code. not an exception
5. Where the deductions are for the payment to a third person and the employer agrees to do so, provided that the latter does not receive any pecuniary benefit, directly or indirectly from the transaction;
6. Deductions to answer for loss of damage, under these conditions:
a) Employer is engaged in a trade, occupation or business where the practice is recognized, to answer for loss or damage to tools, materials, or equipment supplied by the employer to the employee;
b) The employee is shown to be responsible for the loss or damage;
c) That the amount of such deductions is fair and reasonable shall not exceed the actual loss or damage;
d) The deduction does not exceed 20% of the employee’s wages in a week.
No Work-No Pay Principle
o The age-old principle governing the relations between labor and capital, that is, a fair day’s work for a fair days’ labor remains as the basis in determining employees’ wages. (Aklan Electric Coop., Inc., vs. NLRC, 323 SCRA 258).If there is no work performed by the employee, there can be no wage paid unless the worker is able and willing to work but was illegally dismissed or locked-out or illegally prevented from working.
o The doctrine of "no-work-no-pay" is a fundamental axiom in industrial relations. The philosophy is very simple. When a person is employed, it is expected that the work assigned will be carried out. When this work is not done, the employee is not eligible for payment of any salary. Even when a general strike or countrywide ban disrupts public transport systems, and consequently employees are unable to reach their workplaces, the same principle prevails. Even die-hard trade union leaders respect this principle of equity and natural justice. "No work, no pay" lays a strong foundation to industrial peace and harmony in the long run.[5]
A person can be marked dies-non, if:
1. Absent without proper permission.
2. When on duty left without proper permission. 3. While in office but refused to perform duties.
In cases of such wilful and unauthorised absence from work, the leave sanctioning authority may decide and order that the days on which the work is not performed be treated as dies non on the principle of no work no pay. This will be without prejudice to any other action that the competent authority might take against the persons resorting to such practises.
Lawyer hired on contingent basis – A lawyer dismissed by the clients because he refused to represent them in an out-of-court settlement has no right to interfere in the implementation of their claims in his efforts to collect attorney’s fees not due him. (Chua vs. NLRC 190 SCRA 558).
The financial capacity and economic status of the clients can be taken into account in fixing the reasonableness of the attorney’s fees. However, where the clients are mere janitors whose fees are so low, the equivalent of 50% is excessive. (Atty. Taganas vs. NLRC, 64 SCAD 226, G. R. No.118746, 7Sept. 1995).
When the issues are so simple, neither novel nor difficult, award of 10% attorney’s fees may be considered excessive. The Court may reduce the same. (D. M. Consunji vs. NLRC, 143 SCR 204).
Attorney’s Fees Deleted – Where the award of moral and exemplary damages was eliminated, so to was the award of
attorney’s fees. (Audion Electric Co., Inc., vs. NLRC, G.R. No. 106648, 17 June 1999).
III. WORKING CONDITIONS AND REST PERIODS A. Working Hours
• This shall apply to all employees in all establishments or undertakings, whether operated for profit or not.
Exemptions
1. Government employees, including those employed in government-owned and/or controlled corporations 2. Managerial employees
a. one who can lay down management policies, or who can fire, hire, demote or promote or who can
effectively recommend the fore going courses of action.
b. Rationale: such workers are not usually employed for evey hour of work but their compensation is
determined considering their special training,
experience or knowledge which requires the exercise of discretion and independent judgment, or perform work related to management policies.
c. they are not feasibile to provide a fixed hourly rate of pay or maximum hours of labor.
3. Managerial Staff – vested with powers or perogatives to lay down and execute management policies
a. primary duty consists of the performance of work directly related to management policies of their employer
b. customarily and regularly exercise discretion and independent judgment
c. regularly and directly assist the managerial employee d. they execute work along specialized or technical lines
requiring special training, experience of knowledge e. they execute special tasks and assignments
f. they do not devote more than 20% of their hours worked in a work-week activities
g. A supervisor is deemed a member of the managerial staff because he oversees the operation of the business of the company and performance of the workers, which require discretion and independent judgment.
4. Field Personnel
a. Since they work away from his employer’s place of business, hence not subject to personal supervision of employer. Employer has no knowledge of how many hours he works per day.
5. Family members
6. Domestic helpers and persons in the personal service of another
7. Workers paid by results
a. Because they are paid by fixed amount for work done, regardless of the time spent in accomplishing the work Hours of Work
• Normal hours of work shall not exceed 8 hours a day. • Health personnel in cities and municipalities with a population
of at least 1 million or in hospitals and clinics with a bed capacity of at least 100 shall hold regular office hours for 8 hours a day for 5 days a week, exclusive for time of meals. o If exigencies of their service require that personnel
work for 6 days or 48 hrs, they shall be entitled to 30^ % of their regular wage for work on the sixth day. • Who are health personnel?
o resident physicians, nurses, nutritionists, dietitians, pharmacists, social workers, laboratory technicians, paramedical technicians, psychologists, midwives, attendants and all other hospital or clinic personnel. Hours worked shall include:
• all time during which an employee is required to be on duty or to be at a prescribed workplace; and
• all time during which an employee is suffered or permitted to work.
o Rest period of short duration during working hours shall be counted as hours worked.
Meal Break
• It shall be the duty of every employer to give his employees not less than 60 mins time-off for their regular meals.
• If meal/rest period is less than 20 mins, it is credited as a compensable hours worked.
• If work is continuous, mealtime breaks should be counted as working time for purposes of computing overtime
compensation.
• Meal break of more than one hour is part of hours worked. • Employees on call – meal break is part of hours worked.
o When the laborers are required to standby for emergency work or where such meal hour is not one complete rest, it is considered overtime.
o This happens when employees are told to hurry up eating to perform work during emergency work. When idle time not counted as working time:
• The idle time that an employee may spend for resting and when he may leave the spot or place of work is not counted as working time when the work is broken or not continuous. • Even if laborers did not leave the premises, it being enough
that he cease to work and rest completely, rest would not be counted as working hours.
Waiting time
• It is compensable if the employee is subject to the absolute control of the employer such that the employee is effectively deprived of the time to attend to other personal pursuits.
• If waiting is an integral part of his work or he is required by the employer to wait, it shall be considered as working time.
• An employee who is not required to leave word at his home or with company officials where he may be reached is not
working while on call.
Work interruption due to brownouts According to Policy Instruction No. 36 of DOLE:
1. Brownouts not exceeding 20 mins shall be treated as compensable working hours
2. Brownouts more than 20 mins may not be treated as
working hours IF:
a. employees can leave their workplace or go elsewhere b. employees can use their time effectively for their own
interest
c. Here, employers can extend working hours
outside the regular schedule without being liable for overtime pay.
Working time aboard a vessel
• Since seamen are required to stay on board their vessels by the nature of their duties, the correct criterion for determining whether they are entitled to overtime pay is NOT whether they were on board and cannot leave ship beyond the regular 8 hrs a day BUT whether they actually rendered service in excess of the said 8 hrs.
Commuting time
• Normally, it is not hours of work.
• However, it is compensated as working hours if employee is required to perform substantial work under the control and supervision of the employer.
Travel time
• Official travel away from the workplace is counted as working hours if:
o within the regular scheduled administrative workweek o outside the hours of the employee’s regularly
scheduled administrative workweek and meets one of the four conditions:
involves the performance or work (e.g. driving a loaded truck)
incident to travel that involves
performance or work while traveling (e.g. driving an empty truck back)
carried out under arduous and unusual conditions (travel on rough terrain/ severe weather)
results from an uncontrollable event (job-related court appearance required by court subpoena)
Overtime Work – work performed beyond 8hrs a day
• Rationale: he puts in more effort and is delayed in going home to his family to enjoy the comfort, and might miss important prearranged engagement.
• should be paid additional compensation equivalent to his regular wage plus at least 25%
• during holidays or rest day – additional compensation equivalent to his regular wage plus at least 30%
• Undertime on a particular day is not offset by overtime on any other day.
• General Rule: Overtime pay cannot be waived. o Any quitclaim that a worker agrees to forego such
payment is null and void • Exception:
o Built-in overtime pay – Non-payment of overtime pay is valid here because it was already provided in the written contract with a “built-in” overtime pay and signed by Director of the Bureau of Employment Services and enforced by the employer.
o Adoption of Compressed workweek (CWW) on voluntary basis.
Conditions of CWW scheme recognized by DOLE:
• undertaken as a result of an express and voluntary agreement of majority of the covered employees.
• In firms hazardous to one’s health (use of chemicals or other substances), there must be a certification from an
accredited health and safety
organization that work beyond 8 hours is tolerable.
• The employer shall notify DOLE of the
adoption of the scheme. o Effects of CWW:
Work beyond 8 hours is not compensable by overtime premium unless there is a more favorable practice in the firm.
Reversion to the normal 8 hour workday shall not constitute a diminution of benefits.
Emergency overtime work – every employee required to render overtime work shall be paid additional compensation
• When the country is at war or when there is any national or local emergency declared by congress or chief executive • Imminent danger to public safety due to accidents, fire
,flood, typhoon, etc
• When there is urgent work to be performed on machines, installations, or equipment to avoid further damage to the employer
• When work is necessary to prevent loss or damage to perishable goods
• Where the completion or continuation of the work started before the eighth hour is necessary to prevent serious obstruction or prejudice to the business or operations of the employer.
• Claim of overtime pay is not justified if without written authority to render overtime after office hours during Sundays and holidays.
• Proof of Overtime claim
o Presentation of payrolls, daily time records and similar documents
o In cases of OFWs, they should allege overtime pay with particularity. If n006Ft, the local recruitment agency who deployed the OFWs to the foreign principal could have obtained the records from the principal to refute the claim for overtime pay. The local recruitment agency is solidarily liable with the foreign principal for the overtime pay claims of the complainants.
hours
o Working hours may be changed at the discretion of the company if the change is necessary for its operations. o If employees assented to this arrangement, they are
deemed to have waived the normal 8-hour schedule. Night shift/ Night differential – work staring from 10pm to 6am
• every employee shall be paid of not less than 10% of his regular wage for each hour of work.
• Based on public policy, hence it CANNOT BE WAIVED. B. Weekly Rest Periods
Right to Weekly rest day
• It is the duty of the employer, whether for profit or not, to provide each employees a rest period of not less than 24 consecutive hours after every 6 consecutive normal work days.
• Employer shall determine and schedule the weekly rest day subject to CBA and the rules and regulations of Sec. of Labor and Employment.
Preference of Employee
• Employee shall make known his preferred weekly day rest to his employer in writing at least 7 days before the desired effectivity of the initial rest day.
• If preferred schedule of rest day based on religious grounds that is in conflict with the operations, the employer may schedule the weekly rest day of his choice for at least 2 days in a month.
Schedule of rest day – made known through written notice by the employer posted in the work place one week before it becomes effective
When employer may require work on a rest day:
• Actual or impending emergencies caused by disasters or calamities to prevent loss of life, property or imminent danger • Urgent work to be performed on machinery to avoid loss
that employer might suffer
• Abnormal pressure of work due to special circumstances • Prevent loss on perishable goods
• When the nature of work requires continuous operations and stoppage may result in irreparable injury or loss to the employer
• Under similar circumstances determined by Sec of Labor and Employment
• no employee may be compelled against his will to work for more than 8 hrs
Compensation for rest day, Sunday or holiday work • When required to work on a rest day
o Additional compensation of at least 30% of his regular wage. An employee is entitled to such for work
performed on Sunday only when it is his established rest day.
• When the nature of work has no regular workdays and no regular rest days can be scheduled
o Additional compensation of at least 30% of his regular wage performed on Sundays and holidays.
• Work performed on special holiday
o Additional compensation of at least 30% of his regular wage. If such holiday work is his scheduled rest day, the worker is entitled to an additional compensation of 50% of his regular wage.
• Where CBA agreement or other employment contract stipulates higher premium pay than the prescribed one, employer shall pay such higher rate
Holidays
• Every employee covered by Holiday pay rule is entitled to his/her daily basic wage and ECOLA. Hence, employee is entitled to at least 100% of his/her basic wage (plus
ECOLA) even if he did not report for work, PROVIDED he is present or is on leave of absence with pay on the work day immediately preceding the holiday.
Right to holiday pay
• Shall apply to all employees EXCEPT:
o retail service establishments regularly employing less than (10) workers
o government and any of political subdivision, including GOCC
o domestic helpers and persons in the personal service o managerial employees
o field personnel
What are covered by holidays? The term ‘regular holiday’ shall exclusively refer to:
1. New Year’s Day, 2. Maundy Thursday, 3. Good Friday, 4. the ninth of April, 5. the First of May, 6. the twelfth of June,
7. the last Sunday of August, 8. the thirtieth of November,
9. the twenty-fifth and thirtieth of December.
10. Nationwide special days(special holiday) shall include the first of November and the last day of December
Compensation for holiday work
• Any employee permitted to work on any regular holiday, not exceeding 8 hours, shall be paid at least 200% of his regular daily wage.
• If the holiday work falls on his scheduled rest day, he shall be entitled to an additional premium pay of at least 30% of his regular holiday rate of 200% based on his regular wage rate.
Overtime pay for holiday work:
• Additional compensation for the overtime work equivalent to
his rate for the first 8 hours on such holiday work plus at least 30%.
• When overtime work falls on his scheduled rest day, he is entitled to an additional compensation for the overtime work equivalent to his regular holiday rest day for the first 8 hours plus at least 30%.it shall consist of 200% of his regular daily wage rate plus 30%.
Divisors
• Divisor assumes an important role in determining W/N holiday pay is already included in the monthly paid employee’s salary. • General Rule:
o A company with a 6-day working schedule, divisor 314 means that legal holidays are already included in the monthly pay of the employee
o for company with a 5-day working schedule, divisor 261 means that the holiday pay is already included in the monthly salary.
• If two regular holidays fall on the same date, the worker should be paid for both days
• Art 94 affords workers the enjoyment of paid regular holidays. It is mandatory regardless whether an employee is paid on a monthly or daily basis.
Service incentive leaves
• Coverage – This shall apply to all employees EXCEPT: o government and any of its political subdivisions
o domestic helpers and in the personal service of another o managerial employees
o field personnel or any other employees whose performance is unsupervised by employer including task or contract basis, purely commission basis and those paid in fixed amount
o those who are already enjoying this benefit
o those enjoying vacation leave with pay if at least five days
less than 10 employees
o All employees who have rendered at least one year of service shall be entitled to a yearly service incentive leave of five days with pay.
“at least one year” shall mean service for not less than 12 months whether continuous or broken reckoned from the date the employee started working
o it is demandable after 1 yr of service
Commutation of unused service incentive leave credit
• The employee may choose to either use his leave credits or commute it to its monetary equivalent if not used at the end of the year
• If he does not use or commute it, he is entitled upon resignation or separation to its commutation
Other leave benefits:
• Vacation and Sick Leave o not mandated by law
o once granted as a practice and policy, they can no longer be withdrawn
o it must be demanded in its opportune time. If not, he waives it
• Maternity Leave
o RA 7322 – increased maternity benefits o "Maternity Leave Benefit. - A covered female
employee who has paid at least three monthly maternity contributions in the twelve-month period preceding the semester of her childbirth, abortion or miscarriage and who is currently employed shall be paid a daily maternity benefit equivalent to one hundred percent (100%) of her present basic salary, allowances and other benefits or the cash equivalent of such benefits for sixty (60) days subject to the
following conditions:
Employee should inform of her pregnancy and the probable date of her childbirth
Payment shall be advanced by the employer in two equal instalments within 30 days from the filing of the application
In case of caesarean delivery, employee shall be paid the daily maternity benefit for 78 days Payment of daily maternal benefits is a bar to
recovery of sickness benefits for 60 days Maternity benefit shall only be for the first four
deliveries
SSS shall immediately reimburse the employer 100% of the advanced payment to the
employee upon proving of such payment If an employee should give birth or suffer
abortion or miscarriage without the
contributions remitted to them by the employer to the SSS, without SSS being notified by the employer, the employer shall pay to SSS damages equivalent to the benefits which the employee should have been entitled to, and the SSS shall pay such amount to the employee concerned.
• Paternity Leave o RA 8187
o Coverage – shall apply to every male employee in the private sector
o Paternity leave benefits for 7 days with full pay for the first 4 deliveries by his lawful spouse
o Conditions for entitlement
he is an employee at the time of the delivery of the child
he is cohabiting with his spouse at the time of birth or miscarriage
the wife has given birth or suffer miscarriage Application for leave
• shall apply within a reasonable period of time (walangsinabi kung ilan)
• apply within such period provided by CBA When availed
• after delivery by his wife
• total number of days shall not exceed 7 days for each delivery • It shall be full pay consisting of basic salary for the
seven days he is not allowed not to report for work • It is not convertible to cash in case it is not availed. Parental Leave
• Granted to solo parents
• Solo Parents Welfare Act – enacted on Nov 7 2000 o To promote the family as the foundation of the nation,
strengthen its solidarity and ensure its total development
o Covers the ff:
seven working days leave privilege for every year for every solo parents
flexible work schedule
prohibition against discrimination of solo parent employee with respect to the terms and
conditions of employment on account of his/her status
o Solo parent
Defined to include :any unmarried mother or father who has preferred to keep and rear her/his children instead of having others care for them or give them up to a welfare institution” • The Handbook on Workers’ Statutory Monetary Benefits of the
Bureau of Working Conditions of DOLE (2006) provides guidelines on Parental Leave for Solo parents:
o Coverage – granted to any solo parent who is left with the responsibility of parenthood due to:
Giving birth because of rape, or other crimes against chasitity
Death of spouse
Spouse is detained for criminal convicton for at least 1 yr
Physical/mental incapacity of spouse certified by a public medical practitioner
Legal separation or de facto separation for 1 yr provided that he/she is entrusted of the children Declaration of nullity/ annulment of marriage
provided that he/she is entrusted the custody of children
Abandonment of spouse for at least 1 yr Unmarried father/mother
Any other person who provides solely the parental care and support to children provided that he/she duly licensed as foster parent by DSWD or by court
Any family member who assumes responsibility of head of the family due to the death,
abandonment, disappearance or prolonged absence of parents for 1 yr
o Conditions for entitlement
he/she has rendered 1 yr of service whether continuous or broken
he/she notified the employer within a reasonable period of time
he/she presented to the employer a Solo Parent Identification Card w/c may be obtained from DSWD
o If not availed, it shall not be convertible to cash unless specifically agreed.
o If there is a similar benefit under company policy or CBA, it shall be considered. If it is greater than 7 days, then the greater benefit shall prevail.
o Emergency or contingency leave provided in the company policy or CBA is not credited as parental leave under RA 8972
o If a change of status occurs, such that he is no longer left alone with the sole responsibility of parenthood, his eligibility to the benefit is TERMINATED.
(RA 9262)
o pertains to any act/s committed by any person against a woman, his wife, former wife, or against a woman with whom the person has or had a sexual or dating relationship
o Covers private women sector employees who are victims defined in RA9262 (preceeding
paragraph)
o Leave benefits shall cover the days that the woman employee has to attend to medical and legal concerns o To be entitled:
To be entitled, victim-employee to present to her employer a certification from the Punong Barangay or prosecutor or the clerk of court Benefit
• Shall be entitled up to ten days with full pay. It shall be extended when the need arises.
• if not availed, it cannot be converted into cash. Military Leave
• Under PD 183 – any employee with annual gross business of not less than P250,000 and with a personnel force of at least 20 employees, who is called to undergo refresher training, or mobilization or assembly test, or training in the AFP shall not lose his position due to absence in the fulfilment of military obligation provided that the employer shall be entitled to claim the salaries paid to the employee during such training as a deductible item in its income tax return.
• Under Labor Code – The fulfilment by the employee of a military or civic duty shall not terminate employment • In such cases, employer shall reinstate the employee to his former position without loss of seniority rights if he indicates to resume his work not later than 1 month from relief from the military or civic duty
Service charges
• All service charge collected by establishments shall be distributed at the rate of 85% equally for all covered employees and 15% for the management.
• Shares hall be distributed and paid to the employees not less than once every two weeks or twice a month at intervals not exceeding 16 days
• If the company stopped collecting service fees, the average share previously enjoyed for the past 12 months immediately preceding such stoppage shall be integrated into their basic wages.
IV. THIRTEENTH MONTH PAY A. Purpose
• Under PD 851 which was enacted on Dec. 16, 1975, it required employers to pay a 13th month pay, it was issued to protect the level of real wages from inflation.
• To alleviate the plight of the workers and to help them cope with the increases in the cost of living.
o It is an additional income based on wage but not part of wage.
• It is exempted from income tax. B. Time of payment
• It is paid not later than dec. 24 of each year.
o But employer may give ½ of the required 13th month pay before the opening of the regular school year and the other half on Dec. 24.
• The frequency may be the subject of agreement between the employer and the recognized agent of the employees.
C. Coverage
• Only the rank and file employees are entitled to the 13th month pay provided that they have worked for at least 1month during the calendar year.
o Rank and file employees – those who are not vested with powers or prerogative to lay down and execute
management policies and/or to hire, transfer, suspend, layoff, recall, discharge, assign or discipline employees. o Simply those who are not managerial employees. • Piece-rate workers are entitled also since they’re employees
and not independent contractors.
• Those paid a fixed or guaranteed wage plus commission, based on their earnings during the calendar year.
• Employees with multiple workers.
o Government employees working part time in priv. enterprises, including private educational institutions whether on full or part-time basis. 13th pay should be given to them by their private employers regardless of their total earnings from each of all their employers. D. Not covered
• Managerial employees but company policy or established practice may cover them.
• Sea-farers are not entitled since they are contractual
employees. PD 851 contemplates the situation of land-based workers and not sea-farers who earn more than the former.
• The following employers are not covered:
o government and any of its political subdivisions, government – owned and controlled corporations except corporations operating essentially as privates subsidiaries of the government
o Employers already paying 13th month pay or more in a calendar year or its equivalent
o Employers of household helpers or persons in the personal service of another
o Those paid purely on commission, boundary or task basis and those who are paid a fixed amount for performing specific work, irrespective of the time consumed in the performance of it
E. Computation
• It is 1/12 of the total basic salary earned by an
employee within a calendar year.
• The basic salary of an employee is used as the basis. Any compensation or remuneration not part of basic salary is excluded as basis.
• Basic salary – all remuneration or earnings paid by his employer for his services rendered but does not include allowances and monetary benefits.
o Commissions are included in the basis salary for purposes of computing 13th month pay.
o Profit –sharing/productivity bonuses are not part of the computation for basic salary.
The minimum amount required by law shall not be less than 1/12 of the total basic salary earned by an employee within a calendar year. F. Pro-rated 13th month pay
• The pro-ration of 13th month pay is applied in cases of resignation or separation from work.
• The computation should be based on the length of service and not on the actual wage earned by the worker. • EXCEPTION – Employees, who are paid a guaranteed
minimum wage or commission earned, whichever is higher, entitled to the 13th month pay based on total earnings. G. Equivalents of 13th month pay
• Mid-year bonus and Christmas bonus.
• Bonus must be at least equal to the 13th month pay due the employee; otherwise, the employer shall pay the difference Benefits in form of food or free electricity are not proper substitute for 13th month pay including year-end rewards for
loyalty and service.
BONUS UNDER CBA 13th month pay
Source: Contract between the management and the employees.
Source: PD851. It is an obligation created from
the contact.
It is mandated by law.
employees. within the calendar year. H. Bonus
• It is given out of gratuity of the employer but it is demandable or enforceable obligation when it is made part of the
wage/salary of the employee.
• If it is additional compensation which employer promised and agreed to give without any conditions imposed for its payment it is part of wages. (CONDITIONS: success of business,
production output)
o Simply: If it is stated in the employees contact, then it is mandatory.
I. Non-inclusion in regular wage
The mandated 13th month pay need not be credited as part of
regular wage for purpose of determining overtime and premium payments, fringe benefits as well as SS, Medicare and private retirement plans.
V. WORKING CONDITIONS FOR SPECIAL GROUPS OF EMPLOYEES
A. Employment of Women
ART. 130. NIGHTWORK PROHIBITION
No woman, regardless of age, shall be employed or permitted or suffered to work, with or without compensation:
(a) Industrial undertaking – between 10:00pm to 6:00pm
(b) Commercial or non-industrial undertaking – between 10:00pm to 6:00pm
(c) Agricultural undertaking – at nighttime unless she is given a period of rest of not less than nine consecutive hours. Exceptions on nightwork prohibition of women:
(a) Disaster or force majeure, in order to prevent loss of life or property.
(b) Urgent work on machineries to avoid serious loss.
(c) To prevent serious loss of perishable goods.
(d) Woman employee holds managerial or technical position, or where she has been engaged to provide health and welfare services.
(e) The work requires the manual skill and dexterity of women. (f) The women employees are immediate members of the family operating the establishment.
(g) Other analogous cases exempted by the Secretary of Labor. What are the facilities for women employees that an employer should provide?
(a) Proper seats which they can use when they are free from work and during working hours, provided they are still efficient in this position.
(b) Separate toilet room, lavatory and dressing room. (c) Nursery
(d) Standards for retirement or termination in special occupation. ART. 133. MATERNITY LEAVE BENEFITS
(a) Any pregnant women employee who has rendered an aggregate service of at least six months for the last twelve months is entitled to maternity leave benefits of at least two weeks prior to the
expected date of delivery and another four weeks after normal delivery or abortion with full pay based on her regular or average weekly rates.
(b) The maternity leave shall be extended without pay on account of illness medically certified to arise out of the pregnancy, delivery, abortion, or miscarriage.
(c) Maternity leave is applicable only for the first four deliveries by a woman employee.
MATERNITY LEAVE UNDER SSS LAW Qualifications:
1. The female member should be employed at the time of the delivery, miscarriage, or abortion.
2. She must have given the required notification to the SSS thru her employer.
3. Her employer must have paid at least three months of maternity contributions within the twelve-month period immediately before the semester of contingency.
How much is the maternity benefit under SSS Law?
100% of her average daily salary credit for 60 days or 78 days in case of caesarian delivery.
Every pregnant women in the private sector, whether married or unmarried, is entitled to the maternity leave benefits. (No. XI, DOLE Handbook on Worker’s Statutory Benefits)
ART. 134. FAMILY PLANNING SERVICES; INCENTIVES FOR FAMILY PLANNING
(a) Establishments which are required by law to maintain a clinic or infirmary shall provide free family planning services to their
employees which shall include but not be limited to, the application or use of contraceptive pills and intrauterine devices.
(b) DOLE shall develop bonus schemes to encourage family planning among female workers in any establishment. Discrimination of women employee is prohibited.
What are considered acts of discrimination?
1. Payment of a lesser compensation to a female employee as against a male employee for work of equal value.
2. Favoring a male employee over a female employee with respect to promotion, training opportunities, study and scholarship grants. 3. To deny or discharge any women employee the benefits provided under the Labor Code.
4. To discharge a woman employee because of her pregnancy. 5. To refuse the admission of such woman employee upon getting to her work for fear that she may again be pregnant.
ART. 136. STIPULATION AGAINST MARRIAGE
It shall be unlawful for an employer to require as a condition of employment or continuation of employment that women employees shall not get married, or be deemed resigned upon getting married,
or to actually dismiss, discharge, discriminate or otherwise prejudice a woman employee merely by reason of marriage.
Any woman who is (1) permitted or suffered to work with or without compensation (2) in any night club, cocktail lounge, massage clinic, bar or similar establishment (3) under the effective control or supervision of the employer for a substantial period of time as determined by DOLE Secretary, is deemed an employee of such establishment.
B. Employment of Minors MINIMUM EMPLOYABLE AGE
The minimum employable age is 15.
A child below 15 years of age may be allowed to work for not more than 4 hours at any given day, nor more than 20 hours a week. A child 15 years of age but below 18 shall not be allowed to work for more than 8 hours a day, and in no case beyond 40 hours a week. (R.A. 7610)
No child below 15 years of age shall be employed, except • when he works under the sole responsibility of his
parents or guardian, and
• his employment does not in any way interfere with his schooling.
C. Employment of Househelp
Domestic or household service shall mean services in the
employer’s home which is usually necessary or desirable for the maintenance and enjoyment thereof and includes ministering
to the personal comfort and convenience of the members of the employer’s household, including services of family drivers.
The contract of domestic service shall not last for more than 2 years but may be renewed for such periods as may be agreed upon by the parties.
A househelper shall not be assigned to non-household work.
If the period of household service is fixed, neither the employer nor the househelper may terminate the contract before expiration of the term except for just cause. If unjustly dismissed, he or she shall be paid the compensation already earned plus that for 15 days by way of indemnity. If he/she leaves without justifiable reason, he/she shall forfeit any unpaid salary due him/her not exceeding 15days.
If there is no contract, the employer or househelper may give notice to put an end to the relationship 5 days before the intended
termination of service. D. Apprentices
Apprenticeship is the arrangement and the period when an upcoming worker undergoes hands-on training, more or less formal, to learn the ropes of a skilled job.
Objectives:
1. To help 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.
3. To establish apprenticeship standards for the protection of apprentices.
LEARNERSHIP APPRENTICESHIP
Both mean training periods for jobs requiring skills that can be acquired through actual work experience.
Because both learner and apprentice are not as fully productive as regular workers, they receive paid wages 25% lower than
the applicable legal minimum wage. Trains in a semi-skilled job or
industrial occupations that require training for less than three months.
Trains in a highly skilled job or in a job found only in a highly technical industry hence training period exceeds three months. Learnership is allowed even for
non-technical jobs. Employment of apprentices is legally allowed only in highly technical industries.
Involves theoretical perspective.
A learner is not an apprentice, but an apprentice is conceptually also a learner.
Qualifications:
1. At least 15 but less than 18, only in nonhazardous occupations
2. Physically fit (need not be physically fit unless it is essential to the expeditious and effective learning of the occupation.) 3. Possess vocational attitude.
4. Ability to comprehend and follow oral and written instructions.
• Apprenticeship period shall not exceed six months. • Hours of work – 8 hours.
o Time spent in a theoretical instructions shall be considered as hours of work and shall be reckoned jointly with on-the-job training time in computing in the agreement the appropriate periods for giving wage increases to the apprentice.
o An apprentice may be allowed to work overtime provided there are no available regular workers to do the job, which overtime shall be credited to his training time.
• Previous training or experience shall be given due credit therefor.
• Parties to the agreement – Partnership agreement shall be signed by the employer or his duly authorized representative and by the apprentice. If minor, it shall be signed by his parent or guardian, or by an authorized representative of the DOLE. • Ratio of theoretical and on-the-job training – 100 hours of
theoretical instructions for every 2000 hours of practical or on-the-job training
• Wages – Shall start at 75% of the statutory minimum wage for the first 6 months. Thereafter, he shall be paid the full minimum.
E. Learners
Learner is a person hired as a trainee in industrial occupations which are nonapprenticeable and which may be learned through practical training on the job for a period not exceeding 3 months.
• Wages – not exceeding 6 months. Thereafter he becomes regular worker.
• Minor below 15 cannot be employed as learner. Those below 18 may only be employed in nonhazardous occupations. F. Handicapped Workers
• Those whose earning capacity is impaired by age or physical or mental deficiency or injury.
• They may be employed when their employment is necessary to prevent curtailment of employment opportunities and when it does not create unfair competition in labor costs or impair working standards.
• Wage shall at least 75% of the minimum wage. • They shall not be precluded from employment if their
handicap is not such as to effectively impede in the performance of job operations in the particular trade or occupation.
VI. TERMINATION OF EMPLOYMENT
Coverage – This rule applies to all establishments, undertakings, whether operated for profit or not, including educational, medical, charitable and religious institutions and organizations, in cases of regular employment with the exception of the Government and it political subdivisions including government owned or controlled corporations.
Termination of employees:
REGULAR EMPLOYEE PROBATIONARY EMPLOYEE
Just cause Just cause
Authorized cause provided by
law Authorized cause provided by law
Failure to qualify in accordance with standards of the employer made known to him at the start of employment.
JUST CAUSE AUTHORIZED CAUSE TERMINATION BY EMPLOYEE W/O JUST CAUSE Neglect of duties
Disobedience
Attempt against the life of the employer Breach of trust Other analogous Redundancy Retrenchment Installation of labor saving devices Closure of business Serious insult by the employer Inhuman or unbearable treatment Commission of crime against the employee
Other analogous Separation pay, as a
rule, will NOT be paid Separation pay required Types of employment:
