Labor Law Reviewer (University of the Philippines College of Law)

8/14/2019 Labor Law Reviewer (University of the Philippines College of Law)

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LABOR LAW 11 st Semester, AY 2008-

2009Prof. E. (Leo) D. Battad

College of Law

University of thePhilippines

SUGGESTEDTEXTBOOK:

CA Azu ena! "he

La#or Code withCo$$ents and Cases(Latest Edition)

REFEREN ES:

%a$son %.Al antara! and %a$son B.Al antara &r.! PhilippineLa#or and %o ialLegislation Annotated

' * PhilippineConstitution

"he La#or Codeof the Philippines and its+$ple$enting ,ules -

,egulations Pertinent

+nternational u$an,ights +nstru$ents and+L/ Conventions!,e o$$endations andLa#or0related laws

Assigned ,eadings

!" !NTRODU T!ON TOLABOR LAW

A" L#$%r #s # %&'e(t

'. 1eneral %enseLa#or physi al toilalthough it does notne essarily e2 lude theappli ation of s3ill! thusthere is s3illed anduns3illed la#or.

%3ill fa$iliar 3nowledgeof any art or s ien e$united with radiness andde2terity in e2e ution orperfor$an e or in theappli ation of the art ors ien e to pra ti alpurposes.

4or3 is #roader than la#oras wor3 overs all for$s ofphysi al or $entale2ertion! or #oth

o$#ined! for theattain$ent of so$e o#5e tother than re reation ora$use$ent per se.

6. "e hni al sense

4or3er #roader thane$ployee as wor3ers $ayrefer to self0e$ployedpeople! and those wor3ingin the servi e and underthe ontrol of another!


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regardless of ran3! title! ornature of wor3.

E$ployee salariedperson wor3ing foranother who ontrols orsupervises the $eans!$anner or $ethod ofdoing the wor3.

B" L#$%r L#)

'. Definition

La#or legislaton la#orstandards 7 la#orrelations

a. onsists of statutes!regulations and

5urispruden e#. governing the

relations #etweenapital and la#or

. #y providing forertain e$ploy$ent

standards and a legalfra$ewor3

d. for negotiating!ad5usting andad$inistering thosestandards and otherin idents ofe$ploy$ent.

L#$%r st#&*#r*s 8 whi hsets out the $ini$u$ter$s! onditions! and

#enefits of e$ploy$entthat e$ployers $ustprovide or o$ply withand to whi h e$ployeesare entitled as a $atter oflegal right.

L#$%r re+#t %&s +#):whi h defines the status!rights and duties and theinstitutional $e hanis$sthat govern the individualand olle tive intera tionsof e$ployers! e$ployeesor their representatives.

%/C+AL LE1+%LA"+/9 :%.LAB/, LA4%

%o ial legislation8 providesparti ular 3inds ofprote tion or #enefits toso iety or seg$entsthereof in furtheran e ofso ial 5usti e.

La#or laws are ne essarilyso ial legislation. But todifferentiate! la#or lawsdire tly affe te$ploy$ent while so iallegislation governs effe tsof e$ploy$ent.

La#or laws are so iallegislation #ut not allso ial legislation are la#orlaws.

Du$an ; La#or + ; Prof. Battad ; Page 6


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6. %o ial &usti e! Const.!Art. ++! %e . '+++! %e . '0?

Section 10. The State shallpromote social justice in allphases of nationaldevelopment.

Section 1. The Congressshall give highest priority tothe enactment of measuresthat protect and enhance theright of all the people tohuman dignity, reduce social,economic, and politicalinequalities, and removecultural inequities by equitablydiffusing wealth and politicalpower for the common good.

To this end, the State shallregulate the acquisition,ownership, use, anddisposition of property and itsincrements.

Section 2. The promotion ofsocial justice shall include thecommitment to createeconomic opportunities basedon freedom of initiative andself-reliance.

A T!C"# $!!! % "A&'Section 3. The State shallafford full protection to labor,

local and overseas, organi(edand unorgani(ed, andpromote full employment and

equality of employmentopportunities for all.!t shall guarantee the rights ofall wor)ers to self-organi(ation, collectivebargaining and negotiations,and peaceful concertedactivities, including the right tostri)e in accordance with law.They shall be entitled tosecurity of tenure, humaneconditions of wor), and aliving wage. They shall alsoparticipate in policy anddecision-ma)ing processesaffecting their rights andbenefits as may be providedby law.

The State shall promote theprinciple of sharedresponsibility betweenwor)ers and employers andthe preferential use ofvoluntary modes in settlingdisputes, includingconciliation, and shall enforcetheir mutual compliancetherewith to foster industrial

peace.

The State shall regulate therelations between wor)ersand employers, recogni(ingthe right of labor to its justshare in the fruits ofproduction and the right of

enterprises to reasonablereturns to investments, and toe*pansion and growth.

Du$an ; La#or + ; Prof. Battad ; Page ?


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"he ai$ and the reasonand! therefore! the

5ustifi ation of la#or lawsis so ial 5usti e.

S%' #+ .st 'e: &P Laurelin Calalang neither

o$$unis$! nordespotis$! nor ato$is$not anar hy #ut thehu$anization of laws andthe e@ualization of so ialand e ono$i for es #ythe %tate so that 5usti e inits rational and o#5e tivelyse ular on eption $ay atleast #e appro2i$ated.

"he pro$otion of thewelfare of all the people!the adoption #y the1overn$ent of $easures

al ulated to insuree ono$i sta#ility of allthe o$ponent ele$entsof so iety through the$aintenan e of propere ono$i and so iale@uili#riu$ in theinterrelations of the$e$#ers of the

o$$unity!onstitutionality! through

the adoption of $easureslegally 5ustifia#le! or e2tra0

onstitutionally! throughthe e2er ise of powersunderlying the e2isten e

of all govern$ents! on theti$e0honored prin iple ofsalus populi est supremalex.

La#or is the pri$ary so iale ono$i for e! thus the%tate shall prote t therights of wor3ers andpro$ote their welfare.

%&st t.t %+ R / ts#&* #&*#tes

"he %tate shall afford fullprote tion to la#or andthis is found in the ' ? !' *?! and ' * Consti.

"he %tate affir$s la#or asa pri$ary so ial e ono$ifor e thus! it shall prote tthe right of the wor3ersand pro$ote their welfare.

Basi rights of wor3ersguaranteed #y the onsti8

'. ,ight to organizethe$selves

6. Condu tolle tive

#argaining ornegotiation with$anage$ent

?. Engage inpea eful

on erteda tivities!in luding to stri3e

Du$an ; La#or + ; Prof. Battad ; Page


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in a ordan ewith law

. En5oy se urity oftenure

. 4or3 underhu$ane

onditions. ,e eive a livingwage

*. Parti ipate inpoli y andde ision0$a3ingpro essesaffe ting theirrights and#enefits as $ay#e provided #ylaw. (%e . ?!>+++).

/ther provisions in theConsti8

'),ight to for$ unions!asso iations! so ietiesfor purposes not

ontrary to law.6),ight to self

organization shall not#e denied togovern$ente$ployees.

?),egular far$wor3ersshall have the right toown dire tly or

olle tively the landsthey till.

)"he %tate shall #y lawand for o$$ongood! underta3e in

ooperation with the

private se tor aontinuing progra$ of

ur#an land refor$and housing.

) "he %tate shallprote t wor3ingwo$en #y providingsafe and healthfulwor3ing onditionsta3ing into a ounttheir $aternalfun tions.

)La#or is entitled toseats allotted toparty0listrepresentatives

*) "he %tate shallpro$oteindustrialization andfull e$ploy$ent#ased on soundagri ulturaldevelop$ent andagrarian refor$.

)Congress shall reatean agen y to pro$otethe via#ility andgrowth of

ooperatives.)"he 1ovt shallin rease salary s alesof the other offi ialsand e$ployees of the9ational 1overn$ent.

'


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#enefits undere2isting laws.

a. Definition;Balan ingof +nterest

Calalang v. 4illia$s! *< Phil. *6('


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i$$ediately followingsu h date and if agreedthereafter! the effe tivitydepends on theagree$ent of the parties.But the law is silent as tothe retroa tivity of a CBAar#itral award or thatgranted not #y virtue ofthe $utual agree$ent ofthe parties #ut #yintervention of thegovern$ent. Despite thesilen e of the law! theCourt rules herein thatCBA ar#itral awardsgranted after si2 $onthsfro$ the e2piration of thelast CBA shall retroa t tosu h ti$e agreed upon #y#oth e$ployer and thee$ployees or their union.A#sent su h anagree$ent as toretroa tivity! the awardshall retroa t to the firstday of the si20$onthperiod following thee2piration of the last dayof the CBA should there #eone. +9 the a#sen e of aCBA! the %e Gsdeter$ination of the dateof retroa tivity as part ofhis dis retionary powersover ar#itral awards shall

ontrol.

eld8 4here an ar#itralaward is granted #eyond

si2 $onths after thee2piration of the e2istingCBA! and there is noagree$ent #etween theparties as to the date ofeffe tivity thereof! thear#itral award shallretroa t to the first dayafter the si20$onth periodfollowing the e2piration ofthe last day of the CBA.But instead of De '! 'to 9ov ?< ' * (CBA hada 60year appli a#ilityperiod)! the Court$odified it to &une '! 'to ay ?'! ' .

O& s%' #+ 3.st 'e 8 HI"JhisCourt annot ignore theenor$ous ost thatpetitioner will have to#ear as a onse@uen e ofthe fill retroa tion of thear#itral award to the dateof the e2piry of the CBAand the inevita#le effe tthat it would have on thenational e ono$y. /n theother hand! under thepoli y of so ial 5usti e! thelaw #ends over #a 3wardto a o$$odate theinterests of the wor3ing

lass on the hu$ane 5ustifi ation that thosewith less privilege in lifeshould have $ore in law.Balan ing these two

ontrasting interests! thisDu$an ; La#or + ; Prof. Battad ; Page *


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Court turned to thedi tates of fairness ande@uita#le 5usti e and thusarrived at a for$ula thatwould address the

on erns of #oth sides. "hus! Ar#itral award $ustretroa t to the first dayAK"E, the si20$onthperiod following the lastday of the CBA.

Azu ena8

"he Consitution has notoverloo3ed the rights of

apital. +t provides that!Hthe %tate re ognizes theindispensa#le role of theprivate se tor! en ouragesprivate enterprise! andprovides in entives toneeded invest$ents (Art.++! %e . 6


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#. they are ger$ane tothe purpose of thelaw

. they are not onfinedto e2isting onditions

d. they apply e@ually toall $e$#ers of thesa$e lass

#. Koundation8 Poli e Powerand %tate Prote tion

C % Estate! +n . v. %o ial %e urity %yste$!'?6 %C,A '< (' )

"he ase of two#usinesses! one was inreal estate and the otherwas in the logging#usiness. /ne owner wasde$anding for a refundfro$ %%% and it refused tosu#s ri#e the e$ployeesof the 6 nd #usiness to %%%#e ause the #usiness hasnot #een in operation for 6years (whi h was there@uire$ent of the law)yet.

"he %o ial %e urity Lawwas ena ted pursuant tothe poli y of thegovern$ent Hto develop!esta#lish gradually andperfe t a so ial se uritysyste$ whi h shall #esuita#le to the needs of

the people throughout thePhilippines! and shallprovide prote tion againstthe hazards of disa#ility!si 3ness! old age anddeath. !t s t .s '+e#rt #t s# * e'tme&t

m(+eme&ts t e /e&er#+)e+4#re m#&*#te %4 t e

%&st t.t %& #&*'%&st t.tes # +e/ t m#tee er' se %4 t e (%+ 'e(%)er %4 t e St#te"

+t is the intention of thelaw to over as $anypersons as possi#le so asto pro$ote the

onstitutional o#5e tive ofso ial 5usti e.

Co$pulsory overage ofthe e$ployer shall ta3eeffe t on the first day ofhis operation! and that ofthe e$ployee on the dateof his e$ploy$ent (,A'' ' as a$ended #y ,A6 ). "he two yearpres ription of the priorlaw $ust #e onsideredprevailed over #y the laterlaw and $oreover! thelegislative intent $ust #egiven effe t.

. Li$its of Use



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PLD" v. 9L,C! ' %C,A *' (' )

PLD" e$ployee pro$isedto fa ilitate the approvalof the o$plainantsGappli ations for telephoneinstallation and thenre eived fro$ the$ ana$ount of $oney in

onsideration of herpro$ise.

"he rule e$#odied in theLa#or Code is that aperson dis$issed for

ause as defined therein isnot entitled to separationpay. "he ases a#ove ited(where different aseswere ited proving thatso$e o$panies stillallowed separation paydespite the degree of theground upon whi h thee$ployees were #eingdis$issed for) onstitutethe e2 eption! #ased upon

onsiderations of [email protected]@uity has #een definedas 5usti e outside law!#eing ethi al rather than

5ural and #elonging to thesphere of $orals than oflaw. +t is grounded on thepre epts of ons ien eand not on any san tion ofpositive law. en e! it

annot prevail against the

e2pressed provision of thela#or laws allowingdis$issal of e$ployees for

ause and without anyprovision for separationpay.%eparation pay shall #eallowed as a $easure ofso ial 5usti e only in thoseinstan es where thee$ployee is alidlydis$issed for auses otherthan serious $is ondu tor those refle ting on his$oral hara ter. 4herethe reason for the validdis$issal is! for e2a$ple!ha#itual into2i ation or anoffense involving $oralturpitude! life theft or illi itse2ual relations with afellow wor3er! thee$ployer $ay not #ere@uired to give thedis$issed e$ployeeseparation pay or finan ialassistan e! or whateverother na$e it is alled onthe ground of so ial

5usti e.

"he poli y of so ial 5usti eis not intended to

ountenan e wrongdoingsi$ply #e ause it is

o$$itted #y theunderprivileged. At #est it$ay $itigate the penalty#ut it ertainly will not

ondone the offense.Du$an ; La#or + ; Prof. Battad ; Page '


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Co$passion for the poor isan i$perative of everyhu$ane so iety #ut onlywhen the re ipient is not aras al lai$ing anunderserved privilege.%o ial 5usti e annot #eper$itted to #e refuge ofs oundrels any $ore than

an e@uity #e ani$pedi$ent to thepunish$ent of the guilty.

"hose who invo3e so ial 5ustive $ay do so only iftheir hands are lean andtheir $otives #la$elessand not si$ply #e ausethey happen to #e poor.

Aga#on v. 9L,C! 6 %C,A *? (6


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+n Aga#on! the Courta#andoned %errano andfollowed 4enphil only thatthe san tions i$posed onthe e$ployer $ust #estiffer than those in4enphil.

An e$ployee who islearly guilty of ondu t

violative of Arti le 6 6should not #e prote ted#y the %o ial &usti eClause of the Constitution.%o ial 5usti e! as theter$s suggests! should #eused only to orre t anin5usti e.

&P Laurel! in Calalang8so ial 5usti e $ust #efounded on there ognition of thene essity ofinterdependen e a$ongdiverse units of a so ietyand of the prote tion thatshould #e e@ually andevenly e2tended to allgroups as a o$#ined fore in our so ial ande ono$i life! onsistentwith the funda$ental andpara$ount o#5e tive ofthe state of pro$oting thehealth! o$fort and @uietof all person! and of#ringing a#out t e/re#test /%%* t% t e/re#test &.m$er"

%o ial 5usti e is not #asedon rigid for$ulas set instone. +t has to allow for

hanging ti$es andir u$stan es.

. Legal Basis

a. +nternational Conventions

+nternational % hool Allian e of Edu ators v.

uisu$#ing! ??? %C,A '?(6


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UniversalDe laration of

u$an ,ights "he +nternational

Covenant onE ono$i ! %o ial!and Cultural,ights

"he +nternationalConvention onthe Eli$ination ofAll Kor$s of

,a ialDis ri$ination "he Convention

againstDis ri$ination inEdu ation

"he ConventionCon erning

Dis ri$ination in,espe t ofE$ploy$ent and/ upation

entioned in the ase8B#r/# & &/ U& t: is agroup of e$ployees of a

given e$ployer!o$prised of all or lessthan all of the entire #odyof e$ployees! onsistentwith e@uity to thee$ployer indi ate to #ethe #est suited to servethe re ipro al rights and

duties of the parties underthe olle tive #argainingprovisions of the law.

"he fa tors deter$iningthe appropriate olle tive#argaining unit are8 (')the will of the e$ployees(6) affinity and unity ofthe e$ployeesG interest!su h as su#stantialsi$ilarity of wor3 andduties! or si$ilarity of

o$pensation andwor3ing onditions (?)prior olle tive #argaininghistory ( ) si$ilarity ofe$ploy$ent status.

#. ' * Constitution! Art. ++!%e s. ! ! '


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provide adequate socialservices, promote fullemployment, a rising standardof living, and an improvedquality of life for all.

Section 10. The State shallpromote social justice in allphases of nationaldevelopment.

Section 13. The Staterecogni(es the vital role of theyouth in nation-building andshall promote and protecttheir physical, moral, spiritual,intellectual, and social well-being. !t shall inculcate in theyouth patriotism andnationalism, and encouragetheir involvement in public andcivic affairs.

Section 14. The Staterecogni(es the role of womenin nation-building, and shallensure the fundamentalequality before the law ofwomen and men.

Section 18 . The State affirmslabor as a primary socialeconomic force. !t shallprotect the rights of wor)ersand promote their welfare.

Art. XIII

Section 1. The Congressshall give highest priority to

the enactment of measuresthat protect and enhance theright of all the people tohuman dignity, reduce social,economic, and politicalinequalities, and removecultural inequities by equitablydiffusing wealth and politicalpower for the common good.

Section 3. The State shallafford full protection to labor,local and overseas, organi(edand unorgani(ed, andpromote full employment andequality of employmentopportunities for all.!t shall guarantee the rights ofall wor)ers to self-organi(ation, collectivebargaining and negotiations,and peaceful concertedactivities, including the right tostri)e in accordance with law.They shall be entitled tosecurity of tenure, humaneconditions of wor), and aliving wage. They shall alsoparticipate in policy and

decision-ma)ing processesaffecting their rights andbenefits as may be providedby law.

The State shall promote theprinciple of sharedresponsibility between

wor)ers and employers andthe preferential use ofvoluntary modes in settling

Du$an ; La#or + ; Prof. Battad ; Page '


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disputes, includingconciliation, and shall enforcetheir mutual compliancetherewith to foster industrialpeace.

The State shall regulate therelations between wor)ersand employers, recogni(ingthe right of labor to its justshare in the fruits ofproduction and the right ofenterprises to reasonablereturns to investments, and toe*pansion and growth.

Section 14. The State shallprotect wor)ing women byproviding safe and healthfulwor)ing conditions, ta)ing intoaccount their maternalfunctions, and such facilitiesand opportunities that willenhance their welfare andenable them to reali(e theirfull potential in the service ofthe nation.

%ee also8 ' ? Const.!Art. >+:! %e .! = ' *?Const.! Art. ++! %e .

1967 %&st t.t %&, Art"X! , Se'"

Section 6. The State shallafford protection to labor,especially to wor)ing women,and minors, and shall regulatethe relations between the

landowner and tenant, andbetween labor and capital inindustry and in agriculture.The State may provide forcompulsory arbitration.

' *? Const. Art. ++! %e .

Section 9. The State shallafford protection to labor,promote full employment andequality in employment,ensure equal wor)opportunities regardless ofse*, race, or creed, andregulate the relation betweenwor)ers and employers. TheState shall assure the rights ofwor)ers to self-organi(ation,collective bargaining, securityof tenure, and just andhumane conditions of wor).The State may provide forcompulsory arbitration.

. La#or Code (LC) and/$ni#us ,ules+$ple$enting the La#orCode

d. 9ew Civil Code of thePhilippines (9CC)! Arts.' ! 6'! '*


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observe honesty and goodfaith.

Art. 21. Any person whowilfully causes loss or injury toanother in a manner that iscontrary to morals, goodcustoms or public policy shallcompensate the latter for thedamage.

Art. 1700. The relationsbetween capital and labor arenot merely contractual. Theyare so impressed with publicinterest that labor contractsmust yield to the commongood. Therefore, suchcontracts are subject to thespecial laws on labor unions,collective bargaining, stri)esand loc)outs, closed shop,wages, wor)ing conditions,hours of labor and similarsubjects.

Art. 1701. +either capital norlabor shall act oppressivelyagainst the other, or impair

the interest or convenience ofthe public.

. %our es of Law

a. La#or Code and ,elated%pe ial Legislation(+$ple$enting ,ules)

#. Contra t M Art. '?< 0'?< !9ew Civil Code

Art. 1305. A contract is ameeting of minds betweentwo persons whereby onebinds himself, with respect tothe other, to give somethingor to render some service.

/0a1

Art. 1306. The contractingparties may establish suchstipulations, clauses, termsand conditions as they maydeem convenient, providedthey are not contrary to law,morals, good customs, publicorder, or public policy.

//a1

. Colle tive BargainingAgree$ent

D/LE Phils. v. Pawis nga3a#ayang /#rero! ?

%C,A ''6 (6


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una$#iguous. "he ter$sof the CBA is notsus epti#le to any otherinterpretation. en e theliteral $eaning of Hfree$eals after three (?)hours of overti$e wor3Nshall prevail! whi h issi$ply that an e$ployeeshall #e entitled to a free$eal if he has renderede2a tly! or no less than!three hours of overti$ewor3! not Hafter $orethanN or Hin e2 ess ofNthree hours overti$ewor3.

Kound in the ase8anage$ent prerogative8

"he e2er ise of$anage$ent prerogativeis not unli$ited. +t issu#5e t to the li$itationsfound in law! a olle tive#argaining agree$ent orthe general prin iples offair play and 5usti e. "hissituation onstitutes oneof the li$itations. "he CBAis the nor$ of ondu t#etween the petitionerand private respondentand o$plian e therewithis $andated #y thee2press poli y of the law.

d. Past Pra ti es

Davao KruitsCorporation v. Asso iatedla#or Union! 66 %C,A

6 (' ?)

+ssue8 4/9 in theo$putation of the '? th

$onth pay given #ye$ployers to theire$ployees under PD '!pay$ents for si 3!va ation and $aternityleaves! pre$iu$s for wor3done rest days and spe ialholidays and pay forregular holidays $ay #ee2 luded in the

o$putation and pay$entthereof! regardless oflong0standing o$panypra ti e.

A '%m(#& (r#'t 'e4#;%r#$+e t% t eem(+% ees #* &*ee*$ee& est#$+ s e* #&*t e (# me&ts m#*e(.rs.#&t t eret%,r (e&e* &t% $e&e4 tse&3% e* $ t em" A&*#& $e&e4 t #&*s.((+eme&t $e &/e&3% e* $ t eem(+% ees '#&&%t $ere*.'e*, * m & s e*,* s'%&t &.e* %re+ m te* $ t eem(+% er, $ ; rt.e %4Se' 10 %4 t e R.+es #&*

Du$an ; La#or + ; Prof. Battad ; Page '*


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Re/.+#t %&s!m(+eme&t &/ 5D 871#&* Art 100 %4 t eL#$%r %*e ) '(r% $ t t e * m &.t %&%r e+ m t %& $ t eem(+% er %4 t eem(+% ees< e st &/$e&e4 ts"

"he onsidera#le length ofti$e the @uestioned ite$shad #een in luded #ypetitioner indi ates aunilateral and voluntarya t on its part! suffi ient initself to negate any lai$of $ista3e.

%a$ahang anggagawasa "op Kor$

anufa turing0United4or3ers of the Phil.(% "K 0U4P v. 9L,C! 6%C,A '*'(' )

"he ase wherein thee$ployer was harged ashaving o$$itted anunfair la#or pra ti e #y#argaining in #ad faithand dis ri$inating againstin e$ployees #ypro$ising at a olle tive#argaining onferen e toi$ple$ent anygovern$ent0$andated

wage in reases on ana ross0the0#oard #asis.

Past pro$ises whi h werewritten in the $inutes ofthe $eeting. "he proposalwas never e$#odied inthe CBA! thus! the pro$isere$ained 5ust that! apro$ise! thei$ple$entation whi h

annot #e validlyde$anded under the law.

"he law provides re$ediesto the petitioner union to

o$pel priv resp toin orporate this spe ifie ono$i proposal in theCBA! whi h they did notdo.

"he CBA is the law#etween the ontra tingpartiesOthe olle tive#argaining representativeand the e$ployer0

o$pany. Co$plian ewith a CBA is $andated#y the e2pressed poli y togive prote tion to la#or. +nthe sa$e vein! CBAprovision should #eH onstrued li#erally ratherthan narrowly andte hni ally! and the ourts$ust pla e a pra ti al andrealisti onstru tion uponit! giving due

onsideration to theDu$an ; La#or + ; Prof. Battad ; Page '


19/425

onte2t in whi h it isnegotiated and purposewhi h it is intended toserve. "his is founded onthe di tu$ that a CBA isnot an ordinary ontra t#ut one i$pressed withpu#li interest. +t goeswithout saying! however!that only provisionse$#odied in the CBAshould #e so interpretedand o$plied with.

9o #enefits or privilegespreviously en5oyed #ypetitioner union and theother e$ployees werewithdrawn as a result ofthe $anner #y whi hprivate resp i$ple$entedthe wage orders.

A$eri an 4ireand Ca#le Daily ratedE$ployees UnionA$eri an 4ire and Ca#le

o.! +n .! * %C,A (6


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stri tly due the re ipient. "hus! a #onus is not ade$anda#le andenfor ea#le o#ligation!e2 ept when it is $adepart of the wage! salary or

o$pensation of thee$ployee.

+ssue8 4/9 these #onusesan #e onsidered part of

the wage or salary oro$pensation $a3ing

the$ enfor ea#leo#ligations.

eld8 9o. Kor a #onus to#e enfor ea#le! it $usthave #een pro$ised #ythe e$ployer ande2pressly agreed upon #ythe parties or it $ust havehad a fi2ed a$ount andhad #een a long andregular pra ti e on thepart of the e$ployer.

"he #enefits;entitle$entsin @uestion were neversu#5e ts of any e2pressagree$ent #etween theparties. "hey were neverin orporated in the CBA.As o#served #y the :A!the re ords reveal thatthese#enefits;entitle$ents havenot #een su#5e ts of anye2press agree$ent#etween the union and

the o$pany! and havenot yet #een in orporatedin the CBA.

Downtrend was lear inthe servi e award a$ountand the partiesG venuewere hanged fro$ paidvenues to one whi h wasfree of harge.

T% $e '%&s *ere* #=re/.+#r (r#'t 'e>, t e/ ; &/ %4 t e $%&.ss %.+* #;e $ee& *%&e%;er # +%&/ (er %* %4t me, #&* m.st $es %)& t% #;e $ee&'%&s ste&t #&**e+ $er#te"

e. Co$pany Poli ies

China Ban3ingCorporation v. Borro$eo!

< %C,A 6' (6


21/425

"he Ban3Gs %/P provides arestitution;forfeiture of#enefits provision.

+t is well re ognized thato$pany poli ies and

regulations are! unlessshown to #e grosslyoppressive or ontrary tolaw! generally #inding!and valid on the partiesand $ust #e o$pliedwith until finally revised ora$ended unilaterally orprefera#ly throughnegotiation or #y

o$petent authority.oreover! $anage$ent

has the prerogative todis ipline its e$ployeesand to i$pose appropriatepenalties on erringwor3ers pursuant to

o$pany rules andregulations. 4ith $orereason should thesetruis$s apply to therespondent! who! #yreason of his position! wasre@uired to a t 5udi iouslyand to e2er ise hisauthority in har$ony with

o$pany poli ies.

Business enterprises havea prerogative to dis iplineits e$ployees and toi$pose appropriatepenalties on erringwor3ers pursuant to

o$pany rules andregulations whi h $ust #erespe ted. "he law! inprote ting the rights ofla#or! authorized neitheroppression nor self0destru tion of ane$ployer o$pany whi hitself is possessed ofrights that $ust #eentitled to re ognition andrespe t.

*. Classifi ation

a. La#or %tandards

#. La#or ,elations

. 4elfare Legislation

!!" LABOR ODE OFT?E 5?!L!55!NES

A" Br e4 ? st%r

B" Ge&er#+ 5r%; s %&s

'. '. De ree "itle! Art. '

A T!C"# . Name ofDecree. - This 2ecree shallbe )nown as the "LaborCode of the Philippines".

6. Effe tivity! Art. 6 A T. . Date of effectivity. -This Code shall ta)e effectsi* 31 months after itspromulgation.

Du$an ; La#or + ; Prof. Battad ; Page 6'


22/425

?. Poli y De laration!Art. ?

A T. 4. Declaration ofbasic policy. - The Stateshall afford protection tolabor, promote fullemployment, ensure equalwor) opportunitiesregardless of se*, race orcreed and regulate therelations between wor)ersand employers. The Stateshall assure the rights ofwor)ers to self-organi(ation, collectivebargaining, security oftenure, and just andhumane conditions of wor).

. Constru tion in Kavorof La#or! Art.

A T. 0. Construction infavor of labor. - All doubtsin the implementation andinterpretation of theprovisions of this Code,including its implementingrules and regulations, shallbe resolved in favor oflabor.

%alinas &r. v. 9L,C! ?' %C,A (' )

,eyes v. Courtof Appeals! < %C,A 6 *(6


23/425

1-Philippines! +n . v. ,o$ilCua$#ot! 1, 9o. ' 6?< !9ov. 66! 6


24/425

. "e hni al ,ules 9otBinding! Art. 66'

A T. . Technical rules notbinding and prior resort toamicable settlement. - !n anyproceeding before theCommission or any of the"abor Arbiters, the rules ofevidence prevailing in courtsof law or equity shall not becontrolling and it is the spiritand intention of this Code thatthe Commission and itsmembers and the "abor

Arbiters shall use every andall reasonable means toascertain the facts in eachcase speedily and objectivelyand without regard totechnicalities of law orprocedure, all in the interest ofdue process. !n any

proceeding before theCommission or any "abor

Arbiter, the parties may berepresented by legal counselbut it shall be the duty of theChairman, any 5residingCommissioner orCommissioner or any "abor

Arbiter to e*ercise completecontrol of the proceedings atall stages.

untington %teel Produ ts!+n . v. 9L,C! 6 %C,A

' (6


25/425

. Appli a#ility! Art. !6* = Constitution! Art. +>0B! %e . 6(')

A T. 3. Applicability. - Allrights and benefits granted towor)ers under this Code shall,e*cept as may otherwise beprovided herein, apply ali)e toall wor)ers, whether

agricultural or non-agricultural. As amended by5residential 2ecree +o. /67-

A, +ovember , 8601.

A T. 63. overnmentemployees. - The terms andconditions of employment of

all government employees,including employees ofgovernment-owned andcontrolled corporations, shallbe governed by the CivilService "aw, rules andregulations. Their salariesshall be standardi(ed by the

+ational Assembly asprovided for in the +ewConstitution. 9owever, thereshall be no reduction ofe*isting wages, benefits andother terms and conditions ofemployment being enjoyed bythem at the time of the

adoption of this Code.%&st t.t %&, Art" !X-B,

Se'" 2@1

Section 2. (1) The civilservice embraces allbranches, subdivisions,instrumentalities, andagencies of the :overnment,including government-ownedor controlled corporations withoriginal charters.

. Enfor e$ent and%an tions M Arts. 6'* (a)(6)! (?)! ( )! ( )= '6 0'6 =6 06 6= Consti.! Art +++!%e s. '' and '

A T. 6 . !urisdiction of theLabor Arbiters and theCommission. - a1 #*cept asotherwise provided under thisCode, the "abor Arbiters shallhave original and e*clusive

jurisdiction to hear anddecide, within thirty 471calendar days after thesubmission of the case by theparties for decision withoute*tension, even in theabsence of stenographicnotes, the following casesinvolving all wor)ers, whetheragricultural or non-agricultural;

. Termination disputes81.

A T. >>. Penalties. - #*ceptas otherwise provided in thisCode, or unless the actscomplained of hinge on aquestion of interpretation or

implementation of ambiguousprovisions of an e*istingcollective bargainingagreement, any violation ofthe provisions of this Codedeclared to be unlawful orpenal in nature shall bepunished with a fine of not

less than 'ne Thousand5esos 5 ,777.771 nor morethan Ten Thousand 5esos

5 7,777.771 or imprisonmentof not less than three monthsnor more than three years, orboth such fine andimprisonment at the discretionof the court.

!n addition to such penalty,any alien found guilty shall be

summarily deported uponcompletion of service ofsentence.

Any provision of law to the

contrary notwithstanding, anycriminal offense punished inthis Code, shall be under theconcurrent jurisdiction of the=unicipal or City Courts andthe Courts of irst !nstance.

As amended by Section 4,&atas 5ambansa &ilang 671.

A T. >8. %ho are liable#hen committed by other thannatural person. - !f the offenseis committed by a corporation,trust, firm, partnership,association or any otherentity, the penalty shall be

imposed upon the guiltyofficer or officers of suchcorporation, trust, firm,partnership, association orentity.

Title !!5 #SC !5T!'+ '

' #+S#S A+2 C"A!=S

A T. 87. &ffenses. -'ffenses penali(ed under thisCode and the rules andregulations issued pursuantthereto shall prescribe in three

41 years.

All unfair labor practice arisingfrom &oo) D shall be filed withthe appropriate agency within



30/425

one 1 year from accrual ofsuch unfair labor practice

(ii) Re?/irin i to &i n, & recon ition to

e o- ent or contin/ee o- ent, n nte tere&i n tion etter> n

-ro > i er o' or&t n r & inc / in

ini / e& n &oci

or e ' re ene'it&> or ?/itc i re e &in t e

rinci , contr ctor or&/ contr ctor 'ro n-

i i it- & to - ent o''/t/re c i &> n

(iii) Re?/irin i to &i n

contr ct 'i;in t e erio o'e o- ent to ter& orter t n t e ter o' t econtr ct et een t e

rinci n t e contr ctoror &/ contr ctor, /n e&&t e tter contr ct i&

i i&i e into &e& 'or

ic &/ &t nti -i''erent & i & re re?/iren t i& i& e no n to

t e e o-ee t t e ti e o'en e ent>

( ) Contr ctin o/t o'


40/425

o ne , n e orcontro e - t e rinci

n ic o er te& &o e -'or t e rinci >

(e) Contr ctin o/t o'

(') Contr ctin o/t o' ( ) or &t n r & &/c &&er ice incenti e e e, re&t

-&, o erti e -, o i --, 13t ont - n

&e r tion -> (c) Soci &ec/rit- n

e ' re ene'it&> ( ) Se '%or ni= tion,co ecti e r inin n

e ce'/ concerte ction>n

(e) Sec/rit- o' ten/re.Du$an ; La#or + ; Prof. Battad ; Page


41/425

Section 9. Contract bet$eencontractor or subcontractorand contractual employee . %Not it &t n in or or

ritten &ti / tion& to t econtr r-, t e contr ct

et een t e contr ctor or&/ contr ctor n t econtr ct/ e o-ee,

ic & e in ritin ,& inc / e t e 'o o inter & n con ition&: ( ) T e & eci'ic e&cri tiono' t e n

(c) T e ter or /r tion o'e o- ent, ic & ecoe;ten&i e it t econtr ct o' t e rinci n&/ contr ctor, or it t e

& eci'ic &e 'or ic t econtr ct/ e o-ee i&en e , & t e c &e -

e.

T e contr ctor or&/ contr ctor & in'ort e contr ct/ e o-ee o't e 'ore oin ter & ncon ition& on or e'ore t e'ir&t - o' i& e o- ent.

Section 10. ffect ofTermination of Contractual

mployment. - In c &e& o'ter in tion o' e o- ent

rior to t e e; ir tion o' t econtr ct et een t e

rinci n t e contr ctoror &/ contr ctor, t e ri to' t e contr ct/ e o-eeto &e r tion - or ot erre te ene'it& & e

o erne - t e ic e& n


42/425

/t orit- o' t e Secret r- o'or n E o- ent to

re&trict or ro i it t econtr ctin o/t o' ort ro/ ro ri tere / tion&, re i&tr tion&-&te to o erncontr ctin rr n e ent&

n to e i e ente -t e Re ion !''ice& i&

ere - e&t i& e .

T e re i&tr tion o'

contr ctor& n&/ contr ctor& & enece&& r- 'or /r o&e& o'e&t i& in n e''ecti e

or r et in'or tionn onitorin .

* i /re to re i&ter & i e

ri&e to t e re&/ tion t tt e contr ctor i& en e inor%on - contr ctin .

Section 12. Re%uirementsfor registration . % Acontr ctor or &/ contr ctor& e i&te in t ere i&tr- o' contr ctor& n&/ contr ctor& / onco etion o' n

ic tion 'or to ero i e - t e ! E. T e

ic nt contr ctor or&/ contr ctor & ro i ein t e ic tion 'or t e'o o in in'or tion:

( ) T e n e n /&ine&&re&& o' t e ic nt

n t e re or re & ereit &ee & to o er te>

( ) T e n e& nre&&e& o' o''icer&, i' t e

ic nt i& cor or tion,rtner& i , coo er ti e or

/nion>

(c) T e n t/re o' t eic ntB& /&ine&& n

t e in /&tr- or in /&trie&ere t e ic nt &ee &

to o er te> ( ) T e n/ er o' re / r

or er&> t e i&t o' c ient&,i' n-> t e n/ er o'

er&onne &&i ne to e cc ient, i' n- n t e&er ice& ro i e to t ec ient>

(e) T e e&cri tion o' t e&e& o' t e contr ct n

t e n/ er o' e o-ee&co ere in e c &e,

ere ro ri te> n

(') A co - o' / ite

'in nci &t te ent& i' t eic nt i& cor or tion,rtner& i , coo er ti e or

/nion, or co - o' t ete&t ITR i' t e ic nt i&

&o e ro rietor& i .

T e ic tion & e&/ orte -: ( ) A certi'ie co - o' certi'ic te o' re i&tr tion o'



43/425

'ir or /&ine&& n e 'rot e Sec/ritie& nE;c n e Co i&&ion(SEC), e rt ent o' Tr e

n In /&tr- ( TI),Coo er ti e e e o entA/t orit- (C A), or 'ro t e

! E i' t e ic nt i& /nion> n

( ) A certi'ie co - o' t eicen&e or /&ine&& er it

i&&/e - t e oc

o ern ent /nit or /nit&ere t e contr ctor or

&/ contr ctor o er te&.

T e ic tion & eeri'ie n & inc / e n

/n ert in t t t econtr ctor or &/ contr ctor

& i e - ic eor & n re / tion&.

Section 13. &iling and processing of applications .% T e ic tion n it&&/ ortin oc/ ent& &

e 'i e in tri ic te in t eRe ion !''ice& ere t e

ic nt rinci -o er te&. No ic tion 'orre i&tr tion & e

cce te /n e&& t e'ore oin re?/ire ent& reco ie it . T econtr ctor or &/ contr ctor& e ee e re i&tere/ on - ent o' re i&tr tion 'ee o' #100.00to t e Re ion !''ice.

ere t e &/ ortinoc/ ent& e een

&/ itte , t e Re ion!''ice & en- or ro et e ic tion it in &e en(7) or in -& 'ter it&'i in .

" on re i&tr tion, t eRe ion !''ice & ret/rnone &et o' t e / -%&t e

ic tion oc/ ent& tot e ic nt, ret in one &et

'or it& 'i e, n tr n& it t ere inin &et to t e /re /o' oc E o- ent. T e

/re / & e i&e t enece&& r- 'or & 'or t ee; e itio/& roce&&in o'

ic tion& 'orre i&tr tion.

Section 14. Duty to producecopy of contract bet$eenthe principal and thecontractor orsubcontractor. - T e

rinci or t e contr ctoror &/ contr ctor & e

/n er n o i tion toro /ce co - o' t econtr ct et een t e

rinci n t e contr ctorin t e or in r- co/r&e o'in& ection. T e contr ctor& i e i&e e /n er no i tion to ro /ce co - o' t e contr ct o'e o- ent o' t econtr ct/ or er en

Du$an ; La#or + ; Prof. Battad ; Page ?


44/425

irecte to o &o - t eRe ion irector or i&

/t ori=e re re&ent ti e.

A co - o' t e contr ct

et een t e contr ct/e o-ee n t econtr ctor or &/ contr ctor& e '/rni& e t ecerti'ie r inin ent, i't ere i& n-.

Section 15. Annual

Reporting of RegisteredContractors . % T econtr ctor or &/ contr ctor& &/ it in tri ic te it&

nn/ re ort /&in re&cri e 'or to t e

ro ri te Re ion !''icenot ter t n t e 15t o'

n/ r- o' t e 'o o in-e r. T e re ort &inc / e:

( ) A i&t o' contr ct&entere it t e rinci

/rin t e &/

( ) T e n/ er o' or er&co ere - e c contr ct

it t e rinci >

(c) A & orn /n ert int t t e ene'it& 'ro t eSoci Sec/rit- S-&te(SSS), t e +o e

e e o ent $/t/ */n(+ $*), # i +e t ,E o-ee& Co en& tion

Co i&&ion (ECC), nre itt nce& to t e /re /o' Intern Re en/e ( IR)

/e it& contr ct/e o-ee& e een e

/rin t e &/

(c) *in in & t ro/r itr tion t t t econtr ctor or &/ contr ctor



45/425

& en e in or%on -contr ctin n t e

ro i ite cti itie& &ro i e in Section 6

(#ro i ition&) ereo'> n

( ) Non%co i nce itor &t n r & n

or in con ition&.

Section 17. Rene$al ofregistration of contractorsor subcontractors . % A

re i&tere contr ctor& or&/ contr ctor& - -'or rene o' re i&tr tione er- t ree -e r&. *or t i&

/r o&e, t e Tri rtiteIn /&tri #e ce Co/nci(TI#C) & cre te /n erE;ec/ti e !r er No. 49,

& &er e & t e o er&i tco ittee to eri'- nonitor t e 'o o in :

( ) En in in o econtr ctin cti itie&> n

( ) Co i nce itini&tr ti e re ortin

re?/ire ent&.

Section 18. nforcement of'abor !tandards and(or)ing Conditions . %Con&i&tent it Artic e 128(@i&itori n En'orce ent#o er) o' t e or Co e,

& en e , t e Re ion

irector t ro/ i& / -/t ori=e re re&ent ti e&,

inc / in or re / tion

o''icer& & e t e/t orit- to con /ct ro/tine

in& ection o'e&t i& ent& en e incontr ctin or&/ contr ctin n &

e cce&& to e o-erB&recor & n re i&e& t

n- ti e o' t e - or ni tene er or i& ein

/n ert en t erein, n t eri t to co - t ere'ro , to?/e&tion n- e o-ee nin e&ti te n- ' ct,con ition or tter ic

- e nece&& r- toeter ine io tion& or

ic - i in t een'orce ent o' t e or Co e n o' n- or ,

e or er, or r/ e& nre / tion& i&&/e /r&/ ntt ereto.

T e 'in in & o' t e / -/t ori=e re re&ent ti e

& e re'erre to t eRe ion irector 'or

ro ri te ction &

ro i e 'or in Artic e 128,n & e '/rni& e t eco ecti e r inin ent,i' n-.

&e on t e i&itori nen'orce ent o er o' t eSecret r- o' or nE o- ent in Artic e 128( ), ( ), (c) n ( ), t eRe ion irector &

http://www.chanrobles.com/legal4labor.htm#LABOR%20CODE%20OF%20THE%20PHILIPPINES%20%5BFULL%20TEXT%5Dhttp://www.chanrobles.com/legal4labor.htm#LABOR%20CODE%20OF%20THE%20PHILIPPINES%20%5BFULL%20TEXT%5Dhttp://www.chanrobles.com/legal4labor.htm#LABOR%20CODE%20OF%20THE%20PHILIPPINES%20%5BFULL%20TEXT%5Dhttp://www.chanrobles.com/legal4labor.htm#LABOR%20CODE%20OF%20THE%20PHILIPPINES%20%5BFULL%20TEXT%5Dhttp://www.chanrobles.com/legal4labor.htm#LABOR%20CODE%20OF%20THE%20PHILIPPINES%20%5BFULL%20TEXT%5Dhttp://www.chanrobles.com/legal4labor.htm#LABOR%20CODE%20OF%20THE%20PHILIPPINES%20%5BFULL%20TEXT%5Dhttp://www.chanrobles.com/legal4labor.htm#LABOR%20CODE%20OF%20THE%20PHILIPPINES%20%5BFULL%20TEXT%5Dhttp://www.chanrobles.com/legal4labor.htm#LABOR%20CODE%20OF%20THE%20PHILIPPINES%20%5BFULL%20TEXT%5D


46/425

i&&/e co i nce or er& toi e e''ect to t e or

&t n r & ro i&ion& o' t eor Co e , ot er or

e i& tion n t e&e/i e ine&.

Section 19. !olidaryliability . % T e rinci &

e ee e & t e irecte o-er o' t e contr ct/e o-ee& n t ere'ore,&o i ri - i e it t e

contr ctor or &/ contr ctor'or te er onet r-c i & t e contr ct/e o-ee& - e

in&t t e 'or er in t ec &e o' io tion& &

ro i e 'or in Section& 5( or%!n - contr ctin ), 6

(#ro i ition&), 8 (Ri t& o'Contr ct/ E o-ee&)n 16 ( e i&tin ) o' t e&e

R/ e&. In ition, t erinci & &o e

&o i ri - i e in c &e t econtr ct et een t e

rinci n contr ctor or

&/ contr ctor i&reter in te 'or re &on&not ttri /t e to t e ' / to' t e contr ctor or&/ contr ctor.

Section 20. !upersession. %A r/ e& n re / tion&i&&/e - t e Secret r- o'

or n E o- entincon&i&tent it t e

ro i&ion& o' t i& R/ e reere - &/ er&e e .

Contr ctin or&/ contr ctin

rr n e ent& in t econ&tr/ction in /&tr-,/n er t e icen&inco er e o' t e #CA n& not inc / e& i /i in n & ire irin or &, o e er,& contin/e to e

o erne - e rt ent!r er No. 19, &erie& o' 1993.

Section 21. ffectivity . %T i& !r er & e e''ecti e'i'teen (15) -& 'terco etion o' it&

/ ic tion in t o (2)ne & er& o' ener

circ/ tion..$ ni , # i i ine&, 21*e r/ r- 2002.

a. ,e@uire$ents for+ndependent Contra tor

%an iguel Corp v. 9L,C - ali3si!1, 9o. ' * ! De . !6


47/425

L++Q A0P PB v. Burlingga$e orp.! 1, 9o.' 6 ??! &une ' ! 6


48/425

. La#or Contra tor/nly= ,e@uisites andProhi#ition

anila 4aterCo.! +n . v. Pena! ?%C,A 6 (6


49/425

?. Lia#ility of +ndire tE$ployer

Lanzaderas v. A$ethyst %e urity -1eneral %ervi es! +n .!supra

D" 5re-em(+% me&t,Re'r. tme&t #&*5+#'eme&t %4 W%r ers

,eferen e8 Arts. '60 6=P/EA ,ules= Boo3 '! ,ules+++0:+++! /$ni#us ,ules=

igrant 4or3ers and/verseas Kilipinos A t of' (,A < 6)= Anti0

"raffi 3ing in Persons A t6


50/425

'. Pre0e$ploy$entPoli y M %tate$ent of/#5e tives! Art. '6 (a) (f)=

Const.! Art. ++! %e . = ,A< 6! %e . 6! - .

A T. . +tatement ofob,ectives. - !t is the policy ofthe State;

a1 To promote andmaintain a state of fullemployment through

improved manpowertraining, allocation andutili(ation. 3pgrading of+ingle Proprietorship or

Partnerships. * "icenseholders which are singleproprietorships orpartnerships may,subject to the guidelinesof the Administration,convert into corporationfor purposes ofupgrading or raising theircapabilities to respondadequately todevelopmentsHchangesin the international labormar)et and to enablethem to better complywith their responsibilitiesarising from therecruitment anddeployment of wor)ersoverseas.

The approval of merger,consolidation orupgrading shallautomatically revo)e orcancel the licenses of thesingle proprietorships,partnerships orcorporations so merged,

consolidated orupgraded.

Section 8. Change ofDirectors of Corporation.* #very change in thecomposition of the &oardof 2irectors of acorporation licensed toparticipate in overseasemployment shall be



67/425

registered with the Administration withinthirty 471 calendar daysfrom the date the changewas decided orapproved. Thecorporation shall berequired to submit to the

Administration the=inutes of 5roceedingsduly certified by the S#C,the bio-data andclearances of the newmembers of the &oardfrom the governmentagencies identified inSection e1 of this ule.

Section 7. Change of&ther &fficers andPersonnel. * #very

change or termination ofappointment of officers,representatives andpersonnel shall beregistered with the

Administration withinthirty 471 calendar daysfrom the date of such

change.The Administrationreserves the right todeny the appointment ofofficers and employeeswho were directlyinvolved in recruitmentirregularities.

Section . Appointment of

Representatives. - #veryappointment ofrepresentatives oragents of licensedagency shall be subjectto prior approval orauthority of the

Administration.

The approval may beissued upon submissionof or compliance with thefollowing requirements;

a. 5roposed appointmentor special power ofattorney. Non*e4piration of License. *

here the license holder

has made timely andsufficient application forrenewal, the e*isting

license shall not e*pireuntil the application shallhave been finallydetermined by the

Administration.

Section 8. Action onRene#al of License. -

ithin thirty 471calendar days fromreceipt of the applicationfor renewal the

Administration shall

underta)e evaluation andinspection and thereafterrecommend to theSecretary the grant ordenial of the application.

Section 7. 1ailure toRene#. * Any agency

which fails to obtain arenewal of its licensewithin thirty 471 calendardays from e*pirationthereof, shall beimmediately deemeddelisted and disallowedfrom conducting

recruitment andplacement.

Section . Denial ofRene#al of Licenses. -"icenses of agencieswhich fail to conclude arecruitment or manningagreement andHorunderta)e minimumlevels of wor)erdeployment and foreignDu$an ; La#or + ; Prof. Battad ; Page *


71/425

e*change generation orthose which fail to meetthe minimum operationalstandards andrequirements set by the

Administration, shall notbe renewed.

Section . %hen toConsider Cash

ond2Deposit in )scro#arnished. - As soon as

an 'rder of :arnishment

is served upon the AdministrationH&an), andthe same iscorrespondinglyearmar)ed, the cashbondHdeposit in escrowof an agency shall nolonger be considered

sufficient. The Administration shallforthwith serve upon theagency a notice toreplenish.

Section 4.Replenishment of Cash

or +urety onds2Depositin )scro#. * ithinfifteen /1 calendardays from date of receiptof notice from the

Administration that thebondsHdeposit in escrow,or any part thereof hadbeen garnished, theagency shall replenishthe same. ailure to

replenish suchbondsHdeposit in escrowwithin the said periodshall cause thesuspension of thelicense.

Section 0. Refund ofCash ond2Release ofDeposit in )scro#. - Alicensed agency whichvoluntarily surrenders itslicense shall be entitled

to the refund of itsdeposited cash bond andrelease of the deposit inescrow, only afterposting a surety bond ofsimilar amount valid forfour 01 years frome*piration of license.

Section /. )valuationof Performance of

Agencies. * The Administration shallunderta)e the annualevaluation and rating ofthe performance of

licensed agencies todetermine the merits oftheir continuedparticipation in theoverseas employmentprogram ta)ing intoconsiderationcompliance with lawsand regulations and suchother criteria as it maydeem proper.

Du$an ; La#or + ; Prof. Battad ; Page *'


72/425

Section 3.Classification andRan-ing. * The

Administration mayunderta)e theclassification and ran)ingof agencies. !nrecognition of e*emplaryperformance, it mayunderta)e schemes forincentives and rewards.

6)4or3ersG Kees! Art. ?6

A T. 4 . 1ees to be paidby #or-ers. - Any personapplying with a privatefee-chargingemployment agency foremployment assistance

shall not be charged anyfee until he has obtainedemployment through itsefforts or has actuallycommencedemployment. Such feeshall be always coveredwith the appropriate

receipt clearly showingthe amount paid. TheSecretary of "abor shallpromulgate a schedule ofallowable fees.

?) ,eports;E$ploy$ent+nfor$ation! Arts. ??! '(d)

A T. 44. Reports onemployment status. -

henever the publicinterest requires, theSecretary of "abor maydirect all persons orentities within thecoverage of this Title tosubmit a report on thestatus of employment,including job vacancies,details of job requisitions,separation from jobs,wages, other terms andconditions and otheremployment data.

A T. 0. )mployment promotion. - TheSecretary of "abor shallhave the power andauthority;

d1 To require anyperson, establishment,organi(ation or institutionto submit suchemployment informationas may be prescribed bythe Secretary of "abor.

) Prohi#ited Pra ti es!Art. ?

A T. 40. Prohibited practices. - !t shall beunlawful for any

individual, entity,licensee, or holder ofauthority;Du$an ; La#or + ; Prof. Battad ; Page *6


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a1 To charge or accept,directly or indirectly, anyamount greater than thatspecified in the scheduleof allowable feesprescribed by theSecretary of "abor, or toma)e a wor)er pay anyamount greater than thatactually received by himas a loan or advance1 years of age or onewho is over eighteen >1

but is unable to fully ta)ecare of or protecthimselfHherself fromabuse, neglect, cruelty,e*ploitation, ordiscrimination becauseof a physical or mentaldisability or condition.

c1Prostitution - refers toany act, transaction,scheme or designDu$an ; La#or + ; Prof. Battad ; Page


90/425

involving the use of aperson by another, forse*ual intercourse orlascivious conduct ine*change for money,profit or any otherconsideration.

d11orced Labor and+lavery - refer to thee*traction of wor) orservices from any personby means of enticement,

violence, intimidation orthreat, use of force orcoercion, includingdeprivation of freedom,abuse of authority ormoral ascendancy, debt-bondage or deception.

e1+e4 Tourism - refersto a program organi(edby travel and tourism-related establishmentsand individuals whichconsists of tourismpac)ages or activities,utili(ing and offering

escort and se*ualservices as enticementfor tourists. This includesse*ual services andpractices offered duringrest and recreationperiods for members ofthe military.

f1+e4ual )4ploitation -refers to participation bya person in prostitution

or the production ofpornographic materialsas a result of beingsubjected to a threat,deception, coercion,abduction, force, abuseof authority, debtbondage, fraud orthrough abuse of avictimJs vulnerability.

g1Debt ondage -refers to the pledging by

the debtor of hisHherpersonal services orlabor or those of aperson under hisHhercontrol as security orpayment for a debt,when the length andnature of services is not

clearly defined or whenthe value of the servicesas reasonably assessedis not applied toward theliquidation of the debt.

h1Pornography - refersto any representation,

through publication,e*hibition,cinematography,indecent shows,information technology,or by whatever means, ofa person engaged in realor simulated e*plicitse*ual activities or anyrepresentation of these*ual parts of a person



91/425

for primarily se*ualpurposes.

i1Council - shall meanthe !nter-Agency Council

Against Traffic)ingcreated under Section 7of this Act.

Section 4. Acts of Traffic-ingin Persons. - !t shall beunlawful for any person,natural or juridical, to commit

any of the following acts;a1 To recruit, transport,

transfer< harbor, provide,or receive a person byany means, includingthose done under theprete*t of domestic oroverseas employment ortraining orapprenticeship, for thepurpose of prostitution,pornography, se*uale*ploitation, forced labor,slavery, involuntaryservitude or debtbondage in order tofacilitate compliance therewithand achieve the objectivesthereof.

Sec. 4. Declaration of !tateolicy. The State values the

dignity of every human personand guarantees the respectfor individual rights. Towardsthis end, the State shall givethe highest priority to theenactment of measures anddevelopment of programs thatwill promote human dignity,protect the people from anythreat of violence ande*ploitation, eliminatetraffic)ing in persons, andmitigate pressures forinvoluntary migration andservitude of persons, not onlyto support traffic)ed personsbut more importantly, to

ensuretheir recovery, rehabilitationand reintegration into themainstream of society.

The State also recogni(es theequal rights and inherenthuman dignity of women and

men, as well as the rights ofchildren, as enshrined and

guaranteed in the followinginternational instruments;

i1 Bniversal 2eclarationon 9uman ights Convention

Concerning the5rohibition and!mmediate Action forthe #limination of the

orst orms of Child"abor1< and

viii1 All other relevant anduniversally acceptedhuman rights



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instruments and otherinternationalconventions to whichthe 5hilippines is aState 5arty. !n allactions concerningchildren, their bestinterests shall be theparamountconsideration.

Sec. 0. Construction. Theserules and regulations shall beliberally construed in favor ofthe traffic)ed persons topromote their human dignity, otherwise)nown as the FAnti-Traffic)ingin 5ersons Act of 774G

!CA'1 E compliant machinereaders and fraud detectionequipment at all internationalairports and seaports in thecountry to deter traffic)ing inpersons< and

*i1 2evelop and distribute

materials containing advisoryand other pertinentinformation to enhanceawareness against traffic)ingin persons.

g1 5hilippine +ational 5olice5+51

i1 Bnderta)e surveillance,investigation and arrest of

individuals or personssuspected to be engaged intraffic)ing. The Country Team Approach. The country teamapproach under #*ecutive'rder +o. 60, series of 884and further enunciated in

epublic Act +o. >70 shallbe the operational schemeunder which 5hilippine

Du$an ; La#or + ; Prof. Battad ; Page '6


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embassies abroad shallprovide protection to traffic)edpersons regardless of theirimmigration status. Bnder theCountry Team Approach, allofficers, representatives andpersonnel of the 5hilippinegovernment posted abroadregardless of their motheragencies shall, on a percountry basis, act as one-country team with missionunder the leadership of the

Ambassador or the head ofmission.

Sec. 8. Rescue at theCountry of Destination. E

a1Procedure . hen thevictim is a ilipino nationaland at the time of rescue isresiding abroad, the embassyor consulate which has

jurisdiction over the placewhere the victim is residingshall verify the veracity of thereport of incidence oftraffic)ing and inquire about

the condition of the victim.Consistent with the countryteam approach, the 5ostconcerned shall send a teamcomposed of a consularofficer and personnel from the5hilippine 'verseas "abor'ffice 5'"'1 or the ilipino

or)ers esource CenterC1, the 'ffice of the

Social elfare AttachN as the

case may be, to conduct avisit to the jail, establishment,wor) site or residence of thevictim. !n the case of 5ostswithout attached services, theteamwill be composed of aconsular officer and personnelfrom the Assistance-to-+ationals section.The 5ost shall ma)erepresentations with thepolice authorities or otherrelevant law enforcementagencies with respect to theconduct of rescue operations.

escue operation shall alsobe made in cooperation andclose coordination with some+:'?s, local contacts orprivate individuals whennecessary.

!n countries and areas wherethe services of the C isnot accessible, a mobile typeof services shall be e*tendedby the country team

members to traffic)ed personsregardless of their status inthe host country.Thereafter, the victim will beencouraged to e*ecute asworn statement, recountingamong others, thepeopleHestablishment involved

in the recruitmentHtransfer anddeployment, the modusoperandi employed to recruit,

Du$an ; La#or + ; Prof. Battad ; Page '?


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passport of the victim andforward it to the 2 A and inits place issue a Travel2ocument A orm 68 &11valid for direct travel to the5hilippines.The 5ost concerned shallreport to the 2 A, through the'B= A, copy furnished the'ffice of Consular Affairs, theactual date of repatriation andother pertinent informationand submit a copy of thesworn statement and otherrelevant documents.

!n appropriate cases,especially when the victim issuffering from mental illness,has suffered physical orse*ual abuse or has receivedserious threats to his or herlife and safety, the victim willbemet upon arrival in the5hilippines by 2S 2personnel, in coordinationwith the @oint Tas) orce

Against Traffic)ing in 5ersons

and other governmentagencies such as ' A, &!and 2'9. !n the case ofmentally ill patients, minors,and other persons requiringspecial care, the 5ost shalldesignate a duly authori(edindividual to escort said

victims to the 5hilippines.

The victim will be encouraged,if he or she has not done sobefore, to e*ecute a swornstatement with the view offiling the appropriate chargesagainst the suspectedtraffic)er in the 5hilippines.Should the victim request theassistance of 2 A, 'B= Ashall interview the victim andma)e recommendations forinvestigation with lawenforcement agencies suchas the 5+5 and the +&!. !ncases where recruitmentagencies are involved, thecase shall also be referred tothe 5'#A for appropriateaction. The report shall alsobe forwarded to the &! forcase build up. The victim maybe referred to the2S 2H"ocal Social elfare

And 2evelopment 'ffice or tothe +&! 'ne-Stop Shop forpsychosocial interventions,psychological and medicale*amination and follow-through therapy sessions.

5rotective custody andemergency shelter shall alsobe provided to the victim, inappropriate cases.

Sec. 4 . Rescue (ithin theCountry. escue operationswithin the country shall be

primarily underta)en by thelaw enforcement agencies incoordination with ":Bs,

Du$an ; La#or + ; Prof. Battad ; Page '?6


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2'"#, 2S 2 and 2'9.Bpon receipt of a report of asuspected or allegedtraffic)ing ncident or activity,the law enforcement agencyto which the report is madeshall conduct rescueoperations of traffic)edpersons. At the minimum,rescue operations shall beguided by the following;

a1 Conduct of rescueoperation of traffic)ed personsshall be properly coordinatedwith the concerned agenciesparticularly 2S 2Hlocal socialwelfare and developmentofficer2) recor o' &/c ni ir ent> or 3) einre r e & in &/c ni ir ent>

( ) + n ic re'er& to i& nt e 'or i en

in i i / , re&/ tin 'ro ni ir ent or i& i it-,t t i it& or re ent& t e

'/nction or cti it-, t t i&con&i ere nor i ent e e n &e; o' t ein i i / >

#. Poli y De laration! ,A*6**! %e . 6

Sec. 2. ec r tion o' #o ic-J T e r nt o' t e ri t&

n ri i e e& 'or i& eer&on& & e /i e -

t e 'o o in rinci e&:( ) i& e er&on& re

rt o' # i i ine &ociet-,

t /& t e St te & i e '/&/ ort to t e i ro e ento' t e tot e % ein o'

i& e er&on& n t eirinte r tion into t e

in&tre o' &ociet-.To r t i& en , t e St te& o t o icie&en&/rin t e re i it tion,&e '% e e o ent n &e '%re i nce o' i& e



156/425

er&on&. It & e e ot eir & i & n otenti & toen e t e to co ete' or - 'or i eo ort/nitie&.

( ) i& e er&on& et e & e ri t& & ot er

eo e to t e t eir ro erce in &ociet-. T e-

& o/ e e to i e 'ree -n & in e en ent - &o&&i e. T i& /&t e t e

concern o' e er-one J t e' i -, co /nit- n

o ern ent nnon o ern entor ni= tion&. i& e

er&on&B ri t& /&t ne ere ercei e & e ' re

&er ice& - t eo ern ent.

(c) T e re i it tion o' t ei& e er&on& & e

t e concern o' t eo ern ent in or er to

'o&ter t eir c cit- tott in ore e nin '/ ,

ro /cti e n & ti&'-ini'e. To re c o/t to re ter n/ er o' i& eer&on&, t e re i it tion

&er ice& n ene'it& &e e; n e e-on t e

tr ition /r n% &ecenter& to co /nit-

&e ro r &, t t ien&/re '/ rtici tion o'i''erent &ector& &

&/ orte - n tion noc o ern ent encie&.

( ) T e St te &oreco ni=e& t e ro e o' t e

ri te &ector in ro otint e e ' re o' i& e

er&on& n &enco/r e rtner& i in

ro r & t t re&& t eirnee & n concern&.

(e) To ' ci it te inte r tion

o' i& e er&on& into t ein&tre o' &ociet-, t eSt te & oc te 'or nenco/r e re& ect 'or

i& e er&on&. T e St te& e;ert e''ort& tore o e &oci , c/ t/r ,econo ic, en iron ent

n ttit/ in rrier& t tre re


157/425

Sec. 5. E?/ ! ort/nit-'or E o- ent. J No

i& e er&on & eenie cce&& to

o ort/nitie& 'or &/it ee o- ent. A ?/ i'ie

i& e e o-ee & e&/

+e t > E /c tion, C/ t/ren S ort&> n ot ero ern ent encie&,

o''ice& or cor or tion&en e in &oci

e e o ent & ere&er e 'or i& e

er&on&.

Sec. 6. S e tereE o- ent J I' &/it ee o- ent 'or i& e

er&on& c nnot e 'o/nt ro/ o en e o- ent

& ro i e in t ei e i te - rece in

Section, t e St te &en e or to ro i e it -e n& o' & e tere

e o- ent. In t ece ent o' i& e

er&on& in & e teree o- ent, it & ccor

/e re r to t e in i i /?/ itie&, oc tion o &

n inc in tion& to en&/re oo or in t o& eren e''icient ro /ction.

Sec. 7. A rentice& i . JS/ #ro i e , '/rt er,T t 'ter t e &e o' t e

erio o' rentice& i , i''o/n & ti&' ctorin t e


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159/425

& r-, e or ot er 'or &o' re /ner tion n 'rin e

ene'it&, to ?/ i'iei& e e o-ee, -

re &on o' i& i& i it-,t n t e o/nt to ic non% i& e er&on

er'or in t e & e ori& entit e >

(e) * orin non% i& ee o-ee o er ?/ i'ie

i& e e o-ee itre& ect to ro otion,tr inin o ort/nitie&,&t/ - n &c o r& i

r nt&, &o e - on cco/nt o't e tterB& i& i it->

(') Re% &&i nin ortr n&'errin i& e

e o-ee to

( ) i& i&&in orter in tin t e &er ice& o'

i& e e o-ee -re &on o' i& i& i it-

/n e&& t e e o-er c nro e t t e i ir& t e& ti&' ctor- er'or nce o't e or in o e to t e

re n

(i) E;c / in i& eer&on& 'ro e er& i

in or /nion& or &i i ror ni= tion&.

Sec. 33. E o- entEntr nce E; in tion. J

" on n o''er o'e o- ent, i& eic nt - e &/ ( ) in'or tion o t ine

/rin t e e iccon ition or i&tor- o' t e

ic nt i& co ecte nint ine on &e r te

'or & n in &e r tee ic 'i e& n i& tre te& con'i enti e ic



160/425

recor > #ro i e , o e er,T t:(1) &/ er i&or& n

n er& - e in'or ere r in nece&& r-re&triction& on t e or or

/tie& o' t e e o-ee& nnece&& r-

cco o tion&>

(2) 'ir&t i n & 'et-er&onne - e in'or e ,

en ro ri te, i' t ei& i it- - re?/ire

e er enc- tre t ent>

(3) o ern ent o''ici &in e&ti tin co i nce

it t i& Act & ero i e re e nt

in'or tion on re?/e&t>

n(4) t e re&/ t& o' &/ce; in tion re /&e on -in ccor nce it t i& Act.

f. Enfor e$ent! %e s. !!

Sec. 44. En'orce ent -t e Secret r- o' /&tice. J( ) eni o' Ri t(1) /t- to In e&ti te Jt e Secret r- o' /&tice& in e&ti te e e

io tion& o' t i& Act, n& /n ert e erio ic

re ie & o' co i nce o'co ere entitie& /n er t i&Act.

( ) #otenti @io tion& J I't e Secret r- o' /&tice &re &on e c /&e to e ie et t J(1) n- er&on or ro/ o'

er&on& i& en e in ttern or r ctice o'

i&cri in tion /n er t i&Act> or

(2) n- er&on or ro/ orer&on& & eeni&cri in te in&t /n er

t i& Act n &/ci&cri in tion r i&e& n

i&&/e o' ener / ici ort nce, t e Secret r-o' /&tice - co ence

e ction in n-ro ri te co/rt.

Sec. 45. A/t orit- o' Co/rt.J T e co/rt - r nt n-e?/it e re ie' t t &/cco/rt con&i er& to e

ro ri te, inc / in , tot e e;tent re?/ire - t i&Act:( ) r ntin te or r-,

re i in r- or er nent

re ie'>

( ) ro i in n /;i i r-i or &er ice, o i'ic tion

o' o ic-, r ctice orroce /re, or tern ti eet o > n

(c) in ' ci itie& re i -cce&&i e to n /& e -



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in i i / & iti& i itie&.

Sec. 46. #en C /&e. J( ) An- er&on o io te&

n- ro i&ion o' t i& Act& &/''er t e 'o o in

en tie&:(1) 'or t e 'ir&t io tion, 'ine o' not e&& t n *i't-t o/& n e&o&(#50,000.00) /t note;cee in !ne /n re

t o/& n e&o&(#100,000.00) ori ri&on ent o' not e&&t n &i; (6) ont & /t not

ore t n t o (2) -e r&, orot t t e i&cretion o' t e

co/rt> n

(2) 'or n- &/ &e?/entio tion, 'ine o' not e&&t n !ne /n re t o/& n

e&o& (#100,000.00) /t note;cee in T o /n ret o/& n e&o&(#200,000.00) ori ri&on ent 'or not e&&

t n t o (2) -e r& /t notore t n &i; (6) -e r&, orot t t e i&cretion o' t e

co/rt.( ) An- er&on o /&e&t e ri i e e& r nte

erein & e /ni& eit i ri&on ent o' not

e&& t n &i; (6) ont & or 'ine o' not e&& t n *i et o/& n e&o& (#5,000.00),

/t not ore t n *i't-t o/& n e&o&(#50,000.00), or ot , t t e

i&cretion o' t e co/rt. (c) I' t e io tor i& cor or tion, or ni= tion or

n- &i i r entit-, t eo''ici & t ereo' irect -in o e & e i et ere'or.

( ) I' t e io tor i& n ien

or 'orei ner, e & ee orte i e i te - 'ter

&er ice o' &entence it o/t'/rt er e ort tion

rocee in &.

9/"E%8

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Du$an ; La#or + ; Prof. Battad ; Page ' '


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?#$%+:Alien E$ploy$ent,egulation

,eferen e8 Arts. '6 (e)!+:! D/ '6!' 9ov. 6


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ad$ission to thePhilippines fore$ploy$ent purposes andany do$esti or foreigne$ployer who desires toengage an alien fore$ploy$ent in thePhilippines shall o#tain ane$ploy$ent per$it fro$the Depart$ent of La#or.

"he e$ploy$ent per$it$ay #e issued to a non0resident alien or to theappli ant e$ployer after adeter$ination of the non0availa#ility of a person inthe Philippines who is

o$petent! a#le andwilling at the ti$e ofappli ation to perfor$ theservi es for whi h thealien is desired.

Kor an enterpriseregistered in preferredareas of invest$ents! saide$ploy$ent per$it $ay#e issued upon

re o$$endation of thegovern$ent agen yharged with the

supervision of saidregistered enterprise.

A,". '. Prohi"itionagainst transfer of

emplo ment. 0 (a) Afterthe issuan e of ane$ploy$ent per$it! the

alien shall not transfer toanother 5o# or hange hise$ployer without priorapproval of the %e retaryof La#or.

(#) Any non0resident alienwho shall ta3e upe$ploy$ent in violation ofthe provision of this "itleand its i$ple$enting rulesand regulations shall #epunished in a ordan ewith the provisions ofArti les 6 and 6 < ofthe La#or Code.

+n addition! the alienwor3er shall #e su#5e t todeportation after servi eof his senten e.

A,". 6. Su"mission oflist. 0 Any e$ployere$ploying non0residentforeign nationals on theeffe tive date of this Codeshall su#$it a list of su hnationals to the %e retary

of La#or within thirty (?


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%EC"+/9 *. Duration ofe$ploy$ent per$it. O%u#5e t to renewal uponshowing of good ause!the e$ploy$ent per$itshall #e valid for a$ini$u$ period of one (')year starting fro$ thedate of its issuan e unlesssooner revo3ed #y the%e retary of La#or andE$ploy$ent for violationof any provisions of theCode or of these ,ules.

%EC"+/9 . Advi e toCo$$ission on+$$igration andDeportation. O "heBureau shall advi e theCo$$ission on+$$igration andDeportation on theissuan e of ane$ploy$ent per$it to anappli ant.

%EC"+/9 . Understudy "raining Progra$. O "he

e$ployer shall su#$it atraining progra$ for hisunderstudies to theBureau within thirty (?


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1. The follo$ing shall applyfor Alien mployment

ermit 3A 49 1.1. A 'orei n n tion &&ee in i&&ion to t e# i i ine& 'or t e /r o&eo' e o- ent>

1.2. $i&&ion rie& orre i io/& or er& ointen to en e in in'/e o- ent>

1.3. +o er& o' S eciIn e&tor& Re&i ent @i&(SIR@), S eci Retiree&Re&i ent @i& (SRR@),Tre t- Tr er& @i& (9 ) orS eci Non%i i r nt @i&(47( )2), o occ/ - n-e;ec/ti e, i&or-,&/ er i&or-, or tec nic

o&ition in n-e&t i& ent>

1.4. A encie&, or ni= tion&or in i i / & et er

/ ic or ri te, o

&ec/re t e &er ice& o''orei n ro'e&&ion & to

r ctice t eir ro'e&&ion& int e # i i ine& in t e# i i ine& /n erreci rocit- n ot erintern tion ree ent&>

1.5. Non%In o%C ine&eRe'/ ee& o re &- /&ee er& n i en re'/ ee

&t t/& - t e "niteN tion& +i Co i&&ioneron Re'/ ee& ("N+CR) ort e e rt ent o' /&tice/n er ! e rt ent!r er No. 94, &erie& o'1998>

1.6. Re&i ent 'orei nn tion & &ee ine o- ent in t e# i i ine&.:. #emption. T e 'o o inc te orie& o' 'orei nn tion & re e;e t 'ro&ec/rin n e o- ent

er it in or er to or int e # i i ine&. 2.1 A e er& o' t e

i o tic &er ice& n'orei n o ern ent o''ici &

ccre ite - t e # i i ineo ern ent>

2.2 !''icer& n &t '' o'intern tion or ni= tion&o' ic t e # i i ine

o ern ent i& coo er tin e er, nt eir e iti te & o/&e

e&irin to or in t e# i i ine&> 2.3 *orei n n tion &e ecte & e er& o' t e

o ernin o r o onot occ/ - n- ot er

o&ition, /t e on -otin ri t& in t e

cor or tion> n 2.4 A 'orei n n tion &

r nte e;e tion -Du$an ; La#or + ; Prof. Battad ; Page ' *


168/425

& eci & n ot er& t t - e

ro / te - t eCon re&&.

Rule 00 rocedures in the

rocessing of Applicationsfor A

1. A 'orei n n tion &&ee in e o- ent in t e# i i ine& /n er R/ e 1

ereo' or t eir ro& ecti ee o-er&, & 'i e t eir

ic tion& it t e ! ERe ion !''ice in

4. Denial of Application for

A % An ic tion 'orAE# - e enie &eon t e ro/n o' non%co i nce it n- o' t ere?/ire ent& 'or i&&/ nceo' AE# or 'or

i&re re&ent tion o' ' ct&in t e ic tion or&/ i&&ion o' ' &i'ie ort ere oc/ ent&.

*orei n n tion & o&eic tion& e een

enie & not e o eto re% - in n- o' t e

! E Re ion !''ice&. 5. Rene$al of ermit % An

ic tion 'or rene o'AE# & e 'i e t e &t'i'teen (15) -& e'ore it&e; ir tion. *or e ecti eo''icer&, ic tion& 'orrene & e 'i e / one ection or t e &t t irt-(30) -& e'ore t e



169/425

e''ecti it- o' t e ic ntB&ter o' o''ice i' t e&/ccee in ter o' o''ice i&

&cert ine .

* i /re to 'i e t eic tion 'or rene o'

er it it in t e re&cri eerio & e &/


170/425

1. T e er it& i&&/e -,motu proprio or / on

etition, e c nce e orre o e &e on n- o't e 'o o in ro/n &: 1.1 $i&re re&ent tion o'' ct& or ' &i'ic tion o' t e

oc/ ent& &/ itte >

1.2 T e 'orei n n tion &een ec re & n

/n e&ir e ien -co etent /t oritie&>

1.3 Non%co i nce itt e con ition& 'or ic t eAE# & i&&/e >

1.4 * i /re to rene AE#it in one (1) -e r 'ter it&

e; ir tion.2. #etition& 'or c nce tionor re oc tion o' er it&i&&/e & e re&o e

it in t irt- (30) c en r&'ro recei t t ereo'.

3. An- rie e rt- -

'i e $otion 'orRecon&i er tion n orA e n t e & e &

e re&o e &e on# r r 4 o' t i& R/ e.

4. Remedies in Case ofDenial or Cancellation % A$otion 'or Recon&i er tion

- e 'i e - n rie ert- it in &e en (7)

c en r -& 'ter recei to' t e !r er o'

eni C nce tion. T e! E Re ion irector

& re&o e t e & i$otion 'or Recon&i er tion

it in ten (10) c en r-& 'ro recei t t ereo'.

A otion 'orRecon&i er tion 'i e 'tert e erio o' &e en (7)c en r -& /t it in ten

(10) c en r -& 'terrecei t o' t e eni & etre te & n e .

An e 'ro t e eci&iono' t e ! E Re ion

irector - e 'i e itt e Secret r- o' or n

E o- ent it in ten (10)c en r -& 'ro recei to' n !r er 'ro t e ! ERe ion irector. T e

eci&ion o' t e Secret r- o'or n E o- ent

& e 'in n/n e e.

Rule 07 enal and Transitory

rovisions 1. T e ! E Re ion

irector&, 'ter /e noticen e rin , & e t eo er to or er n i o&e 'ine o' *i e T o/& n

#e&o& (#5,000.00) onDu$an ; La#or + ; Prof. Battad ; Page '*


171/425

'orei n n tion & 'o/nor in it o/t n AE# 'ore&& t n one (1) -e r n

Ten T o/& n #e&o&(#10,000.00) 'or ore t none (1) -e r.

2. A ic tion& 'ore o- ent

er it certi'ic te& en int t e ! E%R! / on t e

e''ecti it- o' t e&e/i e ine& & e co ere

n roce&&e /n er t ero i&ion& o' t e&e/i e ine&.

3. +o er& o' ro i&ionn e;ten e AE#& i&&/e

/n er $e or n / te24 A/ /&t 2001 re r in

A tern ti e Interi$e &/re& 'or t e I&&/ nceo' A ien E o- ent#er it&, & - 'or nAE# /r&/ nt to t e&e

/i e ine& on or e'ore t ee; ir tion o' t e ro i&ion

n e;ten e AE#.

4. *orei n n tion & ore re - or in in t e

co/ntr- n o e not-et &ec/re t e re?/i&itee o- ent er it &

e ninet- (90) -& 'rot e e''ecti it- o' t e&e

/i e ine& to &ec/re t e& i e o- ent er it

it o/t en t-.

Rule 7 iscellaneous rovisions

1. anual of perations. %

T e /re / o' ocE o- ent & i&&/e $ n/ o' ! er tion& toi e ent t e ro i&ion& o't e&e /i e ine&.

2. !eparability Clause. % I'n- ro i&ion or rt o' t i&

e rt ent !r er or t eic tion t ereo' to n-er&on or circ/ &t nce i&e in i - t e Co/rt&,

t e re inin iro i&ion& o' t i&e rt ent !r er & note ''ecte .

3. Repealing Clause. % A/i e ine&, r/ e& n

re / tion& n ree ent&incon&i&tent ere it re

ere - re e e or o i'ieccor in -.

4. ffectivity. % T e&e/i e ine& & t e e''ect

'i'teen (15) -& 'ter it&/ ic tion in t o (2)

ne & er& o' enercirc/ tion.

%&st t.t %&, Art" X!!,Se'" 12

Section 12. The State shallpromote the preferential useof ilipino labor, domestic

Du$an ; La#or + ; Prof. Battad ; Page '*'

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