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III.

Labor Organizations 32

RIZAL LABOR UNION V. RIZAL CEMENT CO. INC. (55) G. Implementation Obligation and Liabilities
INQUILLO V. FIRST PHILS. (09)

MANILA CORDAGE CO. V. CIR (77)

NATIONAL UNION OF WORKERS IN HOTESLS, ETC. V. NLRC (08)

F. Coverage Worker Inclusion and Exclusion


Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer OLVIDO V. CA (07)
to commit any of the following unfair labor practice:

(e) To discriminate in regard to wages, hours of work and other terms and
conditions of employment in order to encourage or discourage membership in any
labor organization. Nothing in this Code or in any other law shall stop the parties
from requiring membership in a recognized collective bargaining agent as a MALAYANG SAMAHAN V. M. GREENFIELD V. RAMOS (00)
condition for employment, except those employees who are already members of
another union at the time of the signing of the collective bargaining agreement.
Employees of an appropriate bargaining unit who are not members of the
recognized collective bargaining agent may be assessed a reasonable fee equivalent
to the dues and other fees paid by members of the recognized collective bargaining ALABANG COUNTRY CLUB V. NLRC (08)
agent, if such non-union members accept the benefits under the collective
bargaining agreement: Provided, that the individual authorization required under
Article 242, paragraph (o) of this Code shall not apply to the non-members of the
recognized collective bargaining agent;

GUIJARNO V. CIR H. Financial Security Agency Shop; Check-off


Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice:

(e) To discriminate in regard to wages, hours of work and other terms and
conditions of employment in order to encourage or discourage membership in any
labor organization. Nothing in this Code or in any other law shall stop the parties
from requiring membership in a recognized collective bargaining agent as a
condition for employment, except those employees who are already members of
another union at the time of the signing of the collective bargaining agreement.
Employees of an appropriate bargaining unit who are not members of the
recognized collective bargaining agent may be assessed a reasonable fee equivalent
to the dues and other fees paid by members of the recognized collective bargaining
III. Labor Organizations 33

agent, if such non-union members accept the benefits under the collective to any labor organization, group of workers or any auxiliary thereof, such
bargaining agreement: Provided, that the individual authorization required under as cooperatives, credit unions and institutions engaged in research,
Article 242, paragraph (o) of this Code shall not apply to the non-members of the education or communication, in relation to trade union activities, without
recognized collective bargaining agent; prior permission by the Secretary of Labor.

Art. 113. Wage deduction. No employer, in his own behalf or in behalf of any "Trade union activities" shall mean:
person, shall make any deduction from the wages of his employees, except:
1. organization, formation and administration of labor organization;
(b) For union dues, in cases where the right of the worker or his union to check-off 2. negotiation and administration of collective bargaining
has been recognized by the employer or authorized in writing by the individual agreements;
worker concerned; and 3. all forms of concerted union action;
4. organizing, managing, or assisting union conventions, meetings,
NATIONAL BREWERY V. SAN MIGUEL BREWERY INC. (63) rallies, referenda, teach-ins, seminars, conferences and institutes;
5. any form of participation or involvement in representation
proceedings, representation elections, consent elections, union
elections; and
6. other activities or actions analogous to the foregoing.
DEL PILAR ACADEMT V. DEL PILAR ACADEMY EMPLOYEES UNION (08)
b. This prohibition shall equally apply to foreign donations, grants or other
forms of assistance, in cash or in kind, given directly or indirectly to any
employer or employers organization to support any activity or activities
affecting trade unions.

c. The Secretary of Labor shall promulgate rules and regulations to regulate


VII. International Activities of Unions and control the giving and receiving of such donations, grants, or other
forms of assistance, including the mandatory reporting of the amounts of
Chapter III FOREIGN ACTIVITIES the donations or grants, the specific recipients thereof, the projects or
activities proposed to be supported, and their duration.
Art. 269. Prohibition against aliens; exceptions. All aliens, natural or juridical, as
well as foreign organizations are strictly prohibited from engaging directly or Art. 271. Applicability to farm tenants and rural workers. The provisions of this
indirectly in all forms of trade union activities without prejudice to normal contacts Title pertaining to foreign organizations and activities shall be deemed applicable
between Philippine labor unions and recognized international labor centers: likewise to all organizations of farm tenants, rural workers, and the like: Provided,
Provided, however, That aliens working in the country with valid permits issued by That in appropriate cases, the Secretary of Agrarian Reform shall exercise the
the Department of Labor and Employment, may exercise the right to self- powers and responsibilities vested by this Title in the Secretary of Labor.
organization and join or assist labor organizations of their own choosing for
purposes of collective bargaining: Provided, further, That said aliens are nationals of
a country which grants the same or similar rights to Filipino workers. (As amended
by Section 29, Republic Act No. 6715, March 21, 1989)

Art. 270. Regulation of foreign assistance.

a. No foreign individual, organization or entity may give any donations,


grants or other forms of assistance, in cash or in kind, directly or indirectly,
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 34

receiving the two highest number of votes: Provided, that the total number of votes
IV. Pre-Conditions to Collective Bargaining - for all contending unions is at least fifty percent (50%) of the number of votes cast.
Appropriate Bargaining Unit and Union Majority At the expiration of the freedom period, the employer shall continue to recognize
Status the majority status of the incumbent bargaining agent where no petition for
certification election is filed. (As amended by Section 23, Republic Act No. 6715,
March 21, 1989)
A. Appropriate Bargaining Unit BELYCA CORP. V. CALLEJA (88)

1. Definition and Role in Law


Art. 255. Exclusive bargaining representation and workers participation in policy
and decision-making. The labor organization designated or selected by the majority
of the employees in an appropriate collective bargaining unit shall be the exclusive 2. Determination of Appropriate Bargaining Unit
representative of the employees in such unit for the purpose of collective
bargaining. However, an individual employee or group of employees shall have the a. Factors Unit Determination
right at any time to present grievances to their employer.
1. In General Standard Test
Any provision of law to the contrary notwithstanding, workers shall have the right,
subject to such rules and regulations as the Secretary of Labor and Employment may UP V. FERRER CALLEJA (92)
promulgate, to participate in policy and decision-making processes of the
establishment where they are employed insofar as said processes will directly affect
their rights, benefits and welfare. For this purpose, workers and employers may
form labor-management councils: Provided, That the representatives of the workers
in such labor-management councils shall be elected by at least the majority of all 2. History
employees in said establishment. (As amended by Section 22, Republic Act No. 6715,
March 21, 1989) SAN MIGUEL CORP. V. LAGUESMA (94)

Art. 256. Representation issue in organized establishments. In organized


establishments, when a verified petition questioning the majority status of the
incumbent bargaining agent is filed before the Department of Labor and
Employment within the sixty-day period before the expiration of the collective
bargaining agreement, the Med-Arbiter shall automatically order an election by 3. Geography Location
secret ballot when the verified petition is supported by the written consent of at BENGUET CONSOLIDATED INC. AND BALATOC MINING CO. V. BOBOK LUMBERJACK CORP. (58)
least twenty-five percent (25%) of all the employees in the bargaining unit to
ascertain the will of the employees in the appropriate bargaining unit. To have a
valid election, at least a majority of all eligible voters in the unit must have cast their
votes. The labor union receiving the majority of the valid votes cast shall be certified
as the exclusive bargaining agent of all the workers in the unit. When an election
which provides for three or more choices results in no choice receiving a majority of 5. Size Composition
the valid votes cast, a run-off election shall be conducted between the labor unions
PHIL. DIAMOND HOTEL AND RESORT INC. V. MANILA DIAMOND HOTEL EMPLOYEES UNION (04)
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 35

KAPISANAN NG MGA MANGGAGAWA SA MANILA RAILROAD V. YARD CREW UNION RAILROAD


ENGINEERING DEPT. UNION, MANILA RAILROAD CO. (60)

3. Corporate Entities
STA. LUCIA, ETC. V. SEC. DOLE (09)
MECHANICAL DEPT. LABOR UNION V. CIR (68)

DIATOGON LABOR FEDERATION V. OPLE (80)


5. Effect of Prior Agreement
GENERAL RUBBER AND FOOTWEAR CORP. V. BLR (87)

INDOPHIL TEXTILE MILLS WORKERS UNION V. CALICA (92)

DE LA SALLE UNIVERSITY V. DE LA SALLE UNIVERSITY EMPLOYEES ASSOCIATION (00)

PHIL. SCOUTS VETERANS SECURITY AND INVESTIGATING AGENCY V. TORRES (93)

Changes Composition
SAN MIGUEL, CORP. V. SAN MIGUEL, ETC. (05)
SAN MIGUEL CORP. EMPLOYEES UNION V. CONFESOR (96)

6. Determining Agency
COMPLEX ELECTRONICS V. NLRC (99)
Art. 232. Prohibition on certification election. The Bureau shall not entertain any
petition for certification election or any other action which may disturb the
administration of duly registered existing collective bargaining agreements affecting
the parties except under Articles 253, 253-A and 256 of this Code. (As amended by
Section 15, Republic Act No. 6715, March 21, 1989)
4. Unit Severance and Globe Doctrine
Agency and Finality Order
Industrial/Craft Unions FILOIL REFINERY CORP. V. FILOIL SUPERVISORY AND CONFIDENTIAL EMPLOYEES ASSOCIATION (72)
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 36

B. Union Representation Establishing Union Majority Status valid election, at least a majority of all eligible voters in the unit must have cast their
votes. The labor union receiving the majority of the valid votes cast shall be certified
1. Pre-Condition ER-EE Relationship as the exclusive bargaining agent of all the workers in the unit. When an election
which provides for three or more choices results in no choice receiving a majority of
Election Pre-requisite the valid votes cast, a run-off election shall be conducted between the labor unions
receiving the two highest number of votes: Provided, that the total number of votes
ALLIED FREE WORKERS UNION V. CIA MARITIME (67) for all contending unions is at least fifty percent (50%) of the number of votes cast.

At the expiration of the freedom period, the employer shall continue to recognize
the majority status of the incumbent bargaining agent where no petition for
certification election is filed. (As amended by Section 23, Republic Act No. 6715,
DUNLOP V. SECRETARY (98) March 21, 1989)

Art. 257. Petitions in unorganized establishments. In any establishment where


there is no certified bargaining agent, a certification election shall automatically be
conducted by the Med-Arbiter upon the filing of a petition by a legitimate labor
organization. (As amended by Section 24, Republic Act No. 6715, March 21, 1989)
2. Methods of Establishing Majority Status
Art. 258. When an employer may file petition. When requested to bargain
A. Purpose collectively, an employer may petition the Bureau for an election. If there is no
existing certified collective bargaining agreement in the unit, the Bureau shall, after
PORT WORKERS UNION OF THE PHILIPPINES V. LAGUESMA (92) hearing, order a certification election.

All certification cases shall be decided within twenty (20) working days.

The Bureau shall conduct a certification election within twenty (20) days in
accordance with the rules and regulations prescribed by the Secretary of Labor.
REYES V. TRAJANO (92)
"ART. 258-A. Employer as Bystander. - In all cases, whether the petition for
certification election is filed by an employer or a legitimate labor organization, the
employer shall not be considered a party thereto with a concomitant right to oppose
a petition for certification election. The employer's participation in such proceedings
B. Elections Certification Election; Consent Election; Voluntary shall be limited to: (1) being notified or informed of petitions of such nature; and (2)
Recognition; Run-off Election submitting the list of employees during the pre-election conference should the Med-
Arbiter act favorably on the petition."
Art. 256. Representation issue in organized establishments. In organized
establishments, when a verified petition questioning the majority status of the Distinctions Certification and Consent Elections
incumbent bargaining agent is filed before the Department of Labor and
Employment within the sixty-day period before the expiration of the collective WARREN MANUFACTURING WORKERS UNION V. BLR (88)
bargaining agreement, the Med-Arbiter shall automatically order an election by
secret ballot when the verified petition is supported by the written consent of at
least twenty-five percent (25%) of all the employees in the bargaining unit to
ascertain the will of the employees in the appropriate bargaining unit. To have a
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 37

ALGIRE V. DE MESA (94)

1. No Direct Certification
COLGATE PALMOLIVE PHILS V. OPLE (88)

5. Religion/Past Non-Participation
REYES V. TRAJANO (92)

2. Employer Certification Employer Voluntary Recognition


SAMAHANG MANGGAGAWA SA PREMEX V. SECRETARY OF LABOR (98)

3. Certification Election Process

A. The Union as Initiating Party


3. Effect: One Union Only Art. 212. Definitions. (h) "Legitimate labor organization" means any labor
organization duly registered with the Department of Labor and Employment, and
GEORGE AND PETER LINES, INC. V. ASSOCIATED LABOR UNION (85)
includes any branch or local thereof.

Art. 242. Rights of legitimate labor organizations. A legitimate labor organization


shall have the right:

(b) To be certified as the exclusive representative of all the employees in an


4. Purpose
appropriate bargaining unit for purposes of collective bargaining;
NATIONAL UNIO, ETC. V. SEC. DOLE (09)
SAN MIGUEL CORP., ETC. V. SAN MIGUEL, ETC. (05)

Compare Policy on Certification Election, 256, 257, 258, and Voluntary


Recognition BV, Implementing Rules RI (bb), BV, IR, R R VIII; BV; IR, LOPEZ SUGAR CORP. V. SEC. OF LABOR AND EMPLOYMENT (98)
RVIII, Sec. 23

DUNLOP V. SEC. OF LABOR (98)


IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 38

SAMAHANG V. DOLE (98) c. When Applied


ASSOCIATED LABOR UNION V. CALLEJA (89)

1. Organized Establishment
Art. 256. Representation issue in organized establishments. In organized GENERAL MILLING CORP V. CA (04)
establishments, when a verified petition questioning the majority status of the
incumbent bargaining agent is filed before the Department of Labor and
Employment within the sixty-day period before the expiration of the collective
bargaining agreement, the Med-Arbiter shall automatically order an election by
secret ballot when the verified petition is supported by the written consent of at
d. Form of Petition Signature Verification and Verification of
least twenty-five percent (25%) of all the employees in the bargaining unit to
ascertain the will of the employees in the appropriate bargaining unit. To have a
Pleadings
valid election, at least a majority of all eligible voters in the unit must have cast their NATIONAL MINES AND ALLIED WORKERS UNION V. SEC. OF LABOR (93)
votes. The labor union receiving the majority of the valid votes cast shall be certified
as the exclusive bargaining agent of all the workers in the unit. When an election
which provides for three or more choices results in no choice receiving a majority of
the valid votes cast, a run-off election shall be conducted between the labor unions
receiving the two highest number of votes: Provided, that the total number of votes
for all contending unions is at least fifty percent (50%) of the number of votes cast. TODAYS KNITTING V. NORIEL (77)

At the expiration of the freedom period, the employer shall continue to recognize
the majority status of the incumbent bargaining agent where no petition for
certification election is filed. (As amended by Section 23, Republic Act No. 6715,
March 21, 1989) e. Venue
a. Definition CRUZ VALLE V. LAGUESMA (94)
CALIFORNIA MANUFACTURING CORP. V. LAGUESMA (92)

f. Substantial Support
b. Freedom Period
1. Rationale and Computation
ATLANTIC GULF AND PACIFIC CO. MANILA, INC. V. LAGUESMA (92)
PHIL. ASSOC. OF FREE LABOR UNIONS V. FERRER CALLEJA (89)
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 39

6. Discretion Rule Application


ST. JAMES SCHOOL V. ST. JAMES SCHOOL (05) AIRTIME SPECIALISTS, INC V. BLR (90)

2. Compliance WESTERN AGUSAN WORKERS UNION LOCAL 101 OF THE UNITED LABOR AND GENERAL WORKERS
OF THE UNITED LUMBER AND GENERAL WORKERS OF THE PHILS. V. TRAJANO (91)
CALIFORNIA MANUFACTURING CORP. V. LAGUESMA (92)

2. Unorganized Establishment
3. Motion Intervention
Art. 212. Definitions. (h) "Legitimate labor organization" means any labor
PORT WORKERS UNION OF THE PHILS V. FERRER CALLEJA (92) organization duly registered with the Department of Labor and Employment, and
includes any branch or local thereof.

Art. 257. Petitions in unorganized establishments. In any establishment where


there is no certified bargaining agent, a certification election shall automatically be
conducted by the Med-Arbiter upon the filing of a petition by a legitimate labor
4. Submission
organization. (As amended by Section 24, Republic Act No. 6715, March 21, 1989)
ORIENTAL TIN CAN LABOR UNION V. SEC. OF LABOR (98)
Art. 242. Rights of legitimate labor organizations. A legitimate labor organization
shall have the right:

(b) To be certified as the exclusive representative of all the employees in an


appropriate bargaining unit for purposes of collective bargaining;
PORT WORKERS UNION OF THE PHILIPPINES V. DOLE (92)
a. Definition
PHIL. TELEGRAPH AND TELEPHONE CORP V. LAGUESMA (93)

5. Effect of Withdrawal
TAGAYTAY HIGHLANDS INTERNATIONAL GOLF CLUB V. TAGAYTAY HIGHLANDS EMPLOYEES UNION
(03) CALIFORNIA MANUFACTURING CORP V. LAGUESMA (92)
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 40

NOTRE DAME V. LAGUESMA (04)

CELINE MARKETING CORP. V. LAGUESMA (92)

SMC QUARRY WORKERS UNION V. TITAN MEGABAGS INDUSTRIAL CORP. (04)

b. Mandatory Election
SUGBUANON RURAL BANK INC V. LAGUESMA (00)

4. Nature of Proceeding

A. Nature
B. The Employer as the Initiating Party YOUNG MEN LABOR UNION STEVEDORES V. CIR (65)
Art. 212. Definitions.

(e) "Employer" includes any person acting in the interest of an employer,


directly or indirectly. The term shall not include any labor organization or
any of its officers or agents except when acting as employer. B. Certification Election and Run-off Process and Procedure
"ART. 258-A. Employer as Bystander. - In all cases, whether the petition for Art. 256. Representation issue in organized establishments. In organized
certification election is filed by an employer or a legitimate labor organization, the establishments, when a verified petition questioning the majority status of the
employer shall not be considered a party thereto with a concomitant right to oppose incumbent bargaining agent is filed before the Department of Labor and
a petition for certification election. The employer's participation in such proceedings Employment within the sixty-day period before the expiration of the collective
shall be limited to: (1) being notified or informed of petitions of such nature; and (2) bargaining agreement, the Med-Arbiter shall automatically order an election by
submitting the list of employees during the pre-election conference should the Med- secret ballot when the verified petition is supported by the written consent of at
Arbiter act favorably on the petition." least twenty-five percent (25%) of all the employees in the bargaining unit to
ascertain the will of the employees in the appropriate bargaining unit. To have a
Role Employer valid election, at least a majority of all eligible voters in the unit must have cast their
votes. The labor union receiving the majority of the valid votes cast shall be certified
STA. LUCIA INC V. SEC. DOLE (09)
as the exclusive bargaining agent of all the workers in the unit. When an election
which provides for three or more choices results in no choice receiving a majority of
the valid votes cast, a run-off election shall be conducted between the labor unions
receiving the two highest number of votes: Provided, that the total number of votes
for all contending unions is at least fifty percent (50%) of the number of votes cast.
REPUBLIC V. KAWASHIMA TEXTILE, ETC. (08)
At the expiration of the freedom period, the employer shall continue to recognize
the majority status of the incumbent bargaining agent where no petition for
certification election is filed. (As amended by Section 23, Republic Act No. 6715,
March 21, 1989)
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 41

Art. 257. Petitions in unorganized establishments. In any establishment where (b) Name, address and nature of the employer's business;
there is no certified bargaining agent, a certification election shall automatically be
conducted by the Med-Arbiter upon the filing of a petition by a legitimate labor (c) Description of the bargaining unit which shall be the employer unit unless
organization. (As amended by Section 24, Republic Act No. 6715, March 21, 1989) circumstances otherwise require; and provided further, that the appropriate
bargaining unit of the rank-and-file employees shall not include supervisory
Art. 258. When an employer may file petition. When requested to bargain employees and/or security guards;
collectively, an employer may petition the Bureau for an election. If there is no
existing certified collective bargaining agreement in the unit, the Bureau shall, after (d) Appropriate number of the employees in the alleged bargaining unit;
hearing, order a certification election.
(e) Names and addresses of other legitimate labor organizations in the bargaining
All certification cases shall be decided within twenty (20) working days. unit;

The Bureau shall conduct a certification election within twenty (20) days in (f) In an organized establishment, the signatures of at least twenty-five (25%)
accordance with the rules and regulations prescribed by the Secretary of Labor. percent of all employees in the appropriate bargaining unit; and

a. Effect of private agreement (g) Other relevant facts.

ILAW AT BUKLOD NG MANGGAGAWA V. DIRECTOR (79) When the petition is filed by an employer, it shall contain, among others:

(a) The name, address and general nature of the employer's business;

(b) Names and addresses of the legitimate labor organizations involved;

PLUM FEDERATION OF INDUSTRIAL AND AGRARIAN WORKERS V. NORIEL (82) (c) Approximate number of the employees in the appropriate bargaining unit;

(d) Description of the bargaining unit which shall be the employer unit unless
circumstances otherwise required; and provided further, that the appropriate
bargaining unit of the rank-and-file employees shall not include supervisory
employees and/or security guards;
5. Election Mechanics of Process
(e) Other relevant facts.
RULE V
Representation Cases and Internal-Union Disputes SECTION 3. When to file. In the absence of a collective bargaining agreement
duly registered in accordance with Article 231 of the Code, a petition for certification
SECTION 1. Where to file. A petition for certification election shall be filed with
election may be filed at any time. However, no certification election may be held
the Regional Office which has jurisdiction over the principal office of the petitioner.
within one year from the date of issuance of a final certification election result.
The petition shall be in writing and under oath.
Neither may a representation question be entertained if, before the filing of a
SECTION 2. Who may file. Any legitimate labor organization or the employer, petition for certification election, a bargaining deadlock to which an incumbent or
when requested to bargain collectively, may file the petition. certified bargaining agent is a party had been submitted to conciliation or
arbitration or had become the subject of a valid notice of strike or lockout.
The petition, when filed by a legitimate labor organization shall contain, among
others: If a collective bargaining agreement has been duly registered in accordance with
Article 231 of the Code, a petition for certification election or a motion for
(a) The name of petitioner and its address and affiliation, if any; intervention can only be entertained within sixty (60) days prior to the expiry date of
such agreement.
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 42

SECTION 4. Effects of early agreements. The representation case shall not, The certification election shall be held within twenty (20) calendar days from receipt
however, be adversely affected by a collective bargaining agreement registered of the order by the parties.
before or during the last sixty (60) days of a subsisting agreement or during the
pendency of the representation case. SECTION 7. Appeal. Any aggrieved party may appeal the order of the Med-
Arbiter to the Secretary on the ground that the rules and regulations or parts
SECTION 5. Where to file motion for intervention. The motion for intervention in thereof established by the Secretary for the conduct of election have been violated.
certification election proceedings shall be filed before the Med-Arbiter assigned to
the case. The mere filing of said motion, however, will not suspend the holding of The appeal shall specifically state the grounds relied upon by the appellant with the
the certification election without an order issued by the Med-Arbiter. supporting memorandum.

SECTION 6. Procedure. Upon receipt of a petition, the Regional Director shall SECTION 8. Where to file appeal. The appeal, which shall be under oath and copy
assign the case to a Med-Arbiter for appropriate action. The Med-Arbiter, upon furnished the appellee, shall be filed in the Regional Office where the case
receipt of the assigned petition, shall have twenty (20) working days from originated.
submission of the case for resolution within which to dismiss or grant the petition.
SECTION 9. Period of Appeal. The appeal shall be filed within ten (10) calendar
In a petition filed by a legitimate organization involving an unorganized days from receipt of the order by the appellant. Any opposition thereto may be filed
establishment, the Med-Arbiter shall immediately order the conduct of a within ten (10) calendar days from receipt of the appeal. The Regional Director shall
certification election. within five (5) calendar days forward the entire records of the case to the Office of
the Secretary.
In a petition involving an organized establishment or enterprise where the majority
status of the incumbent collective bargaining union is questioned through a verified SECTION 10. Decision of the Secretary final and unappealable. The Secretary
petition by a legitimate labor organization, the Med-Arbiter shall immediately order shall have fifteen (15) calendar days within which to decide the appeal from receipt
the certification election by secret ballot if the petition is filed during the last sixty of the records of the case. The filing of the appeal from the decision of the Med-
(60) days of the collective bargaining agreement and supported by the written Arbiter stays the holding of any certification election. The decision of the secretary
consent of at least twenty-five percent (25%) of all the employees in the bargaining shall be final and unappealable.
unit. Any petition filed before or after the sixty-day freedom period shall be
dismissed outright. The twenty-five percent (25%) requirement shall be satisfied SECTION 11. Execution pending appeal. The execution of the order of the Med-
upon the filing of the petition, otherwise the petition shall be dismissed. Arbiter shall be stayed pending appeal.

The sixty-day freedom period based on the original collective bargaining agreement RULE IX
shall not be affected by any amendment, extension or renewal of the collective Registration of Collective Bargaining Agreements
bargaining agreement for purposes of certification election.
SECTION 1. Registration of collective bargaining agreement. The parties to a
The decision calling for the conduct of an election shall contain the following: collective bargaining agreement shall submit to the Bureau or the appropriate
Regional Office five (5) duly signed up copies thereof within thirty (30) calendar days
(a) Names of the contending unions; from execution. Such copies of the agreement shall be accompanied by verified
proof of its posting in two conspicuous places in the workplace and of ratification by
(b) Name of the employer; the majority of all the workers in the bargaining unit.

(c) Description of the bargaining unit, and Five (5) copies of the collective bargaining agreement executed pursuant to an
award by the appropriate government authority or by a voluntary arbitrator shall
(d) List of eligible voters which shall be based on the payroll three (3) months prior likewise be submitted by the parties to the Bureau or Regional Office accompanied
to the filing of the petition for certification election. by verified proof of its posting in two conspicuous places in the workplace.
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 43

Such proof shall consist of copies of the following documents certified under oath by RULE X
the union secretary and attested to by the union president: Labor Education and Research

(a) Statement that the collective bargaining agreement was posted in at least two SECTION 1. Enlightenment of unionists as a duty. It shall be the duty of every
conspicuous places in the establishment at least five (5) days before its ratification, legitimate labor organization to enlighten its members on their rights and
and obligations as unionists and as employees.

(b) Statement that the collective bargaining agreement was ratified by the majority SECTION 2. Special fund for labor education and research. Every legitimate labor
of the employees in the bargaining unit. organization shall, for the above purpose, maintain a special fund for labor
education and research. Existing strike funds may be transformed into labor
The posting required in the preceding paragraph shall be the responsibility of the education and research funds, in whole or in part. The union may also periodically
parties. assess and collect a reasonable amount from its members for such fund.

The Bureau or the Regional Office shall assess the employer for every collective SECTION 3. Mandatory seminars. It shall be mandatory for every legitimate labor
bargaining agreement a registration fee of one thousand (P1,000.00) pesos. organization to conduct seminars and similar activities on existing labor laws,
collective agreements, company rules and regulations, and other relevant matters.
The Regional Office shall transmit two (2) copies of the agreement to the Bureau The union seminars and similar activities may be conducted independently or in
and one (1) to the Board within five (5) calendar days from its registration. Where cooperation with the Department of Labor and Employment, the Asian Labor
the agreement is registered with the Bureau, one (1) copy shall be sent to the Board Education Center, the Institute of Labor and Manpower Studies, and other labor-
and two (2) copies to the Regional Office where the company has its principal office. education groups.
The Bureau or the Regional Office shall issue a certificate of registration within five SECTION 4. Official receipts. All collections and expenditures of funds for labor
(5) calendar days from receipt of the agreement. research and education shall be duly covered by official receipts subject to account
examination by the Secretary of Labor and Employment or his representative.
SECTION 2. Terms of collective bargaining agreement. The representation status
of the collective bargaining agent shall be for a period of five (5) years. The parties SECTION 5. Grounds for impeachment or expulsion. Failure to provide adequate
are encouraged to conclude a collective bargaining agreement with a term of not labor education and research services to members of a labor organization shall be a
more than five (5) years; Provided, that the parties shall renegotiate all provisions ground for the impeachment or expulsion of the officer or officers responsible
other than the representation issue not later than the third year; Provided further, therefor in accordance with the provisions of the constitution and by-laws of the
that the collective bargaining agreement or other provisions of such agreement labor organization concerned. Misuse or illegal disbursement of the labor education
entered into within six (6) months from the date of expiry of the term of such other and research fund shall be a ground for impeachment or expulsion from the union
provisions as fixed in the collective bargaining agreement shall retroact to the day and punishable under the relevant provisions of the constitution and by-laws of the
immediately following such date. If any such agreement is entered into beyond six union and other applicable laws.
months, the parties shall agree on the date of effectivity thereof. In case of a
deadlock in the renegotiation, of the collective bargaining agreement, the parties
may exercise their rights under this Code. In case of such a renegotiation, all
requirements for registration shall be complied with, except for the payment of the
registration fee.

The term of all contracts entered into before the effectivity of Republic Act No. 6715,
shall be respected. Thereafter, any new collective bargaining agreement that shall
be entered into in the same establishment shall conform with the provisions of
Republic Act No. 6715.
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 44

A. Posting Notice (f) "Employee" includes any person in the employ of an employer. The term
shall not be limited to the employees of a particular employer, unless the
Code so explicitly states. It shall include any individual whose work has
ceased as a result of or in connection with any current labor dispute or
because of any unfair labor practice if he has not obtained any other
B. Waiver substantially equivalent and regular employment.

JIESCOR INDEPENDENT UNION V. TORRES (93) Art. 256. Representation issue in organized establishments. In organized
establishments, when a verified petition questioning the majority status of the
incumbent bargaining agent is filed before the Department of Labor and
Employment within the sixty-day period before the expiration of the collective
bargaining agreement, the Med-Arbiter shall automatically order an election by
C. Voting list and Voters secret ballot when the verified petition is supported by the written consent of at
least twenty-five percent (25%) of all the employees in the bargaining unit to
Voting List ascertain the will of the employees in the appropriate bargaining unit. To have a
valid election, at least a majority of all eligible voters in the unit must have cast their
NATIONAL UNION, ETC V. SEC. DOLE (09) votes. The labor union receiving the majority of the valid votes cast shall be certified
as the exclusive bargaining agent of all the workers in the unit. When an election
which provides for three or more choices results in no choice receiving a majority of
the valid votes cast, a run-off election shall be conducted between the labor unions
receiving the two highest number of votes: Provided, that the total number of votes
ACOJE WORKERS UNION V. NATIONAL MINES AND ALLIED WORKERS UNION (63) for all contending unions is at least fifty percent (50%) of the number of votes cast.

At the expiration of the freedom period, the employer shall continue to recognize
the majority status of the incumbent bargaining agent where no petition for
certification election is filed. (As amended by Section 23, Republic Act No. 6715,
March 21, 1989)
NOTRE DAME V. LAGUESMA (04)
NATIONAL UNION, ETC V. SEC. DOLE (09)

ST. JAMES SCHOOL V. SAMAHANG _ (05)


YOKOHAMA TIRE PHILS. V. INC. YOKOHAMA EMPLOYEES UNION (07)

D. Voters All Employees


AIRTIME SPECIALISTS INC V. DIRECTOR BLR (89)
Art. 212. Definitions.
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 45

BARRERA V. CIR (81) SAMAHAN NG MANGGAGAWA SA PACIFIC PLASTIC V. LAGUESMA (97)

CONFEDERATION OF CI TIZENS LABOR UNIONS V. NORIEL (80) G. Protest

Period
TIMBUNGCO V. CASTRO (90)

EASTLAND MANUFACTURING CO. INC V. NORIEL (82)

DHL PHILIPPINES CORP. UNITED RANK AND FILE ASSOCIATION FEDERATION OF FREE WORKERS
V. BUKLOD NG MANGGAGAWA NG DHL PHILS. CORP. (04)
R. TRANSPORT CORP. V. LAGUESMA (93)

H. Appeal
E. Effect of non-participation in Previous Election
Art. 259. Appeal from certification election orders. Any party to an election may
REYES V. TRAJANO (92) appeal the order or results of the election as determined by the Med-Arbiter directly
to the Secretary of Labor and Employment on the ground that the rules and
regulations or parts thereof established by the Secretary of Labor and Employment
for the conduct of the election have been violated. Such appeal shall be decided
within fifteen (15) calendar days. (As amended by Section 25, Republic Act No. 6715,
Voting Day March 21, 1989)

ASIAN DESIGN AND MANUFACTURING CORP V. CALLEJA (89) PHIL. FRUITS AND VEGETABLE INDUSTRIES V. TORRES (92)

F. Validity SAMAHAN NG MANGGAGAWA SA FILSYSTEMS, INC. V. SEC. OF LABOR (98)

NATIONAL UNION, ETC. V. SEC. DOLE (09)


IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 46

NOTRE DAME MEGABAGS INDUSTRIAL CORP. V. LAGUESMA (04)

6. Certification of Designated Majority Union


Art. 255. Exclusive bargaining representation and workers participation in policy
and decision-making. The labor organization designated or selected by the majority
SMC QUARRY WORKERS UNION V. TITAL MEGABAGS INDUSTRIAL CORP. (04) of the employees in an appropriate collective bargaining unit shall be the exclusive
representative of the employees in such unit for the purpose of collective
bargaining. However, an individual employee or group of employees shall have the
right at any time to present grievances to their employer.

Any provision of law to the contrary notwithstanding, workers shall have the right,
I. Annulment B. subject to such rules and regulations as the Secretary of Labor and Employment
may promulgate, to participate in policy and decision-making processes of the
1.Allegations/Grounds establishment where they are employed insofar as said processes will directly affect
UNITED EMPLOYEES UNION OF GELMART INDUSTRIES V. NORIEL (75) their rights, benefits and welfare. For this purpose, workers and employers may
form labor-management councils: Provided, That the representatives of the workers
in such labor-management councils shall be elected by at least the majority of all
employees in said establishment. (As amended by Section 22, Republic Act No. 6715,
March 21, 1989)

NATIONAL FEDERATION OF LABOR V. SEC. DOLE (98) Art. 256. Representation issue in organized establishments. In organized
establishments, when a verified petition questioning the majority status of the
incumbent bargaining agent is filed before the Department of Labor and
Employment within the sixty-day period before the expiration of the collective
bargaining agreement, the Med-Arbiter shall automatically order an election by
DHL PHILIPPINES CORP. UNITED RANK AND FILE ASSOCIATION FEDERATION OF FREE WORKERS secret ballot when the verified petition is supported by the written consent of at
V. BUKLOD NG MANGGAGAWA NG DHL PHILS. CORP. (04) least twenty-five percent (25%) of all the employees in the bargaining unit to
ascertain the will of the employees in the appropriate bargaining unit. To have a
valid election, at least a majority of all eligible voters in the unit must have cast their
votes. The labor union receiving the majority of the valid votes cast shall be certified
as the exclusive bargaining agent of all the workers in the unit. When an election
which provides for three or more choices results in no choice receiving a majority of
2. Irregularities the valid votes cast, a run-off election shall be conducted between the labor unions
receiving the two highest number of votes: Provided, that the total number of votes
CONFEDERATION OF CITIZENS LABOR UNION V. NORIEL (82)
for all contending unions is at least fifty percent (50%) of the number of votes cast.

At the expiration of the freedom period, the employer shall continue to recognize
the majority status of the incumbent bargaining agent where no petition for
certification election is filed. (As amended by Section 23, Republic Act No. 6715,
TIMBUNGCO V. CASTRO (90) March 21, 1989)

Art. 212. Definitions.


IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 47

(j) "Bargaining representative" means a legitimate labor organization whether or A. One Year Bar Rule
not employed by the employer.
Period Covered
A. Majority Union
R. TRANSPORT CORP. V. LAGUESMA (93)
NATIONAL UNION, ETC. V. DOLE (09)

KAISAHAN NG MANGGAGAWANG PILIPINO V. TRAJANO (91)


PHIL. DIAMOND HOTEL AND RESORT INC. V. MANILA DIAMOND HOTEL EMPLOYEES UNION (04)

B. Deadlock Bar Rule


MARICALUM MINING V. BRION (06)
1. Requirements
NATIONAL CONGRESS OF UNIONS IN THE SUGAR INDUSTRY V. TRAJANO (92)

TRADE UNIONS OF THE PHIL. V. LAGUESMA (94)

2. No Deadlock
DIVINE WORD UNIVERSITY OF TACLOBAN V. SEC. OF LABOR AND EMPLOYMENT (92)
B. Run-off Election
NATIONAL UNION, ETC. V. DOLE (09)

C. Contract Bar Rule


Art. 232. Prohibition on certification election. The Bureau shall not entertain any
C. Effect of Certification petition for certification election or any other action which may disturb the
administration of duly registered existing collective bargaining agreements affecting
NATIONAL V. SAN MIGUEL (02)
the parties except under Articles 253, 253-A and 256 of this Code. (As amended by
Section 15, Republic Act No. 6715, March 21, 1989)

1. History
GENERAL MARITIME STEVEDORES OF THE PHIL. V. SOUTH SEA SHIPPING LINES (64)
7. Bars to Certification Election
IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 48

CONFEDERATION OF CITIZENS LABOR UNION V. NLRC (74), FERNANDO, J. CONCURRING OPINION


476-420
5. Exception
PORT WORKERS UNION V. USEC. OF LABOR (92)

2. Rule Statement
COLLEGIO DE SAN JUAN DE LETRAN V. ASSOCIATION OF EMPLOYEES AND FACULTY OF LETRAN (00)
6. Not Registered CBA
TRADE UNIONS OF THE PHILS. V. LAGUESMA (94)

SAMAHAN NG MANGGAGAWA SA PREMEX V. SEC. OF LABOR (98)

7. Registered CBA
ASSOCIATION OF INDEPENDENT UNION V. NLRC (99)
BARBIZON PHILS. NAGKAKAISANG SUPERVISOR (96)

8. Expired CBA
3. Incomplete Contract COLLEGIO DE SAN JUAN DE LETRAN V. ASSOCIATION OF EMPLOYEES AND FACULTY OF LETRAN (00)
BUKLOD NG SAULOGTRANSIT V. CASALLA (56)

D. Consent Election
4. Premature Contract
SAMAHAN NG MANGGAGAWA SA PACIFIC PLASTIC V. LAGUESMA (97)

CITIZENS LABOR ORGANIZATION V. CIR (66)


IV. Pre-Conditions to Collective Bargaining - Appropriate Bargaining Unit and Union Majority Status 49

8. Suspension of Certification Election 9. Effect, pending petition, cancellation of trade union registration
ASSOC. OF COURT OF APPEALS EMPLOYEES V. FERRER-CALLEJA (91)
A. Prejudicial Question Rule
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice:

(d) To initiate, dominate, assist or otherwise interfere with the formation or


administration of any labor organization, including the giving of financial PROGRESSIVE DEVT CORP. V. LAGUESMA (98)
or other support to it or its organizers or supporters;

BF GOODRICH PHILS. MARIKINA V. BF GOODRICH CONFIDENTIAL AND SALARIED EMPLOYEES


UNION (73)

UNITED CMC TEXTILE WORKERS UNION V. BLR (84)

B. Party and issue


Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice:

(d) To initiate, dominate, assist or otherwise interfere with the formation or


administration of any labor organization, including the giving of financial
or other support to it or its organizers or supporters;

BARRERA V. CIR (81)

UNITED CMC TEXTILES UNION V. BLR (128 SCRA 316)


V. Collective Bargaining: Process, Procedures and Issues 50

SCOUT ALBANO MEMORIAL COLLEGE (85 SCRA 494, 78)


V. Collective Bargaining:
Process, Procedures and Issues

A. General Concepts 2. Nature, Purpose and Rules Interpretation


SUAREZ V. NATIONAL STEEL CORP. (08)
1. Policy Declaration
Art. 211. Declaration of Policy.

A. It is the policy of the State:


LEPANTO CONSOLIDATED MINING CO. V. LEPANTO LOCAL STAFF UNION (08)
a. To promote and emphasize the primacy of free collective
bargaining and negotiations, including voluntary arbitration,
mediation and conciliation, as modes of settling labor or industrial
disputes;

Art XIII Section 3. The State shall afford full protection to labor, local and overseas, UNITED EMPLOYEES UNION OF GELMART INDUSTRIES, PHILS. V. NORIEL (75)
organized and unorganized, and promote full employment and equality of
employment opportunities for all.

It shall guarantee the rights of all workers to self-organizations, and peaceful


concerted activities, including the right to strike in accordance with law. They shall
PI MANUFACTURING INC. V. PI MANUFACTURING SUPERVISORS AND FOREMAN ASSOC. (08)
be entitled to security of tenure, humane conditions of work, and a living wage.
They shall also participate in policy and decision-making processes affecting their
rights and benefits as may be provided by law.

The State shall promote the principle of shared responsibility between workers and
employers and the preferential use of voluntary modes in settling disputes, including ALMARIO V. PHIL. AIRLINES (07)
conciliation, and shall enforce their mutual compliance therewith to foster industrial
peace.

The State shall regulate the relations between workers and employers, recognizing
the right of labor to its just share in the fruits of production and the right of
enterprises to reasonable returns on investments, and to expansion and growth. 3. Waiver

KIOK LOY V. NLRC (86) RIVERA V. ESPIRITU (02)


V. Collective Bargaining: Process, Procedures and Issues 51

B. Bargaining Procedure TABIQUE V. INTERNATIONAL, ETC. (09)

1. Private Procedure
Art. 251. Duty to bargain collectively in the absence of collective bargaining
agreements. In the absence of an agreement or other voluntary arrangement
providing for a more expeditious manner of collective bargaining, it shall be the duty 3. Nature of Procedure
of employer and the representatives of the employees to bargain collectively in Art. 253. Duty to bargain collectively when there exists a collective bargaining
accordance with the provisions of this Code. agreement. When there is a collective bargaining agreement, the duty to bargain
collectively shall also mean that neither party shall terminate nor modify such
2. Code Procedure agreement during its lifetime. However, either party can serve a written notice to
Art. 250. Procedure in collective bargaining. The following procedures shall be terminate or modify the agreement at least sixty (60) days prior to its expiration
observed in collective bargaining: date. It shall be the duty of both parties to keep the status quo and to continue in
full force and effect the terms and conditions of the existing agreement during the
a. When a party desires to negotiate an agreement, it shall serve a written 60-day period and/or until a new agreement is reached by the parties.
notice upon the other party with a statement of its proposals. The other
party shall make a reply thereto not later than ten (10) calendar days from TABIQUE V. INTERNATIONAL, ETC. (09)
receipt of such notice;

b. Should differences arise on the basis of such notice and reply, either party
may request for a conference which shall begin not later than ten (10)
calendar days from the date of request.
ASSOCIATED LABOR UNIONS V. CALLEJA (89)
c. If the dispute is not settled, the Board shall intervene upon request of either
or both parties or at its own initiative and immediately call the parties to
conciliation meetings. The Board shall have the power to issue subpoenas
requiring the attendance of the parties to such meetings. It shall be the
duty of the parties to participate fully and promptly in the conciliation CALTEX V. BRILLANTES (97)
meetings the Board may call;

d. During the conciliation proceedings in the Board, the parties are prohibited
from doing any act which may disrupt or impede the early settlement of
the disputes; and
AMERICAN PRESIDENT LINES V. CLAVE (82)
e. The Board shall exert all efforts to settle disputes amicably and encourage
the parties to submit their case to a voluntary arbitrator. (As amended by
Section 20, Republic Act No. 6715, March 21, 1989)

Art. 212. Definitions.


NATIONAL UNION OF RESTAURANT WORKERS V. CIR (64)
(c) "Board" means the National Conciliation and Mediation Board established
under Executive Order No. 126.
V. Collective Bargaining: Process, Procedures and Issues 52

COLLEGIO DE SAN JUAN DE LATRAN V. ASSOC. OF EMPLOYEES (00) c. If the dispute is not settled, the Board shall intervene upon request of either
or both parties or at its own initiative and immediately call the parties to
conciliation meetings. The Board shall have the power to issue subpoenas
requiring the attendance of the parties to such meetings. It shall be the
duty of the parties to participate fully and promptly in the conciliation
meetings the Board may call;
KIOKLOY V. NLRC (88)
d. During the conciliation proceedings in the Board, the parties are prohibited
from doing any act which may disrupt or impede the early settlement of
the disputes; and

4. Conciliation Procedure e. The Board shall exert all efforts to settle disputes amicably and encourage
the parties to submit their case to a voluntary arbitrator. (As amended by
Art. 212. Definitions. Section 20, Republic Act No. 6715, March 21, 1989)

(b) "Board" means the National Conciliation and Mediation Board established Art. 251. Duty to bargain collectively in the absence of collective bargaining
under Executive Order No. 126. agreements. In the absence of an agreement or other voluntary arrangement
providing for a more expeditious manner of collective bargaining, it shall be the duty
Art. 233. Privileged communication. Information and statements made at of employer and the representatives of the employees to bargain collectively in
conciliation proceedings shall be treated as privileged communication and shall not accordance with the provisions of this Code.
be used as evidence in the Commission. Conciliators and similar officials shall not
testify in any court or body regarding any matters taken up at conciliation Art. 252. Meaning of duty to bargain collectively. The duty to bargain collectively
proceedings conducted by them. means the performance of a mutual obligation to meet and convene promptly and
expeditiously in good faith for the purpose of negotiating an agreement with respect
NUSSAB MOTORS V. SEC. DOLE (06) to wages, hours of work and all other terms and conditions of employment including
proposals for adjusting any grievances or questions arising under such agreement
and executing a contract incorporating such agreements if requested by either party
but such duty does not compel any party to agree to a proposal or to make any
concession.

Art. 253. Duty to bargain collectively when there exists a collective bargaining
C. Duty to Bargain agreement. When there is a collective bargaining agreement, the duty to bargain
Art. 250. Procedure in collective bargaining. The following procedures shall be collectively shall also mean that neither party shall terminate nor modify such
observed in collective bargaining: agreement during its lifetime. However, either party can serve a written notice to
terminate or modify the agreement at least sixty (60) days prior to its expiration
a. When a party desires to negotiate an agreement, it shall serve a written date. It shall be the duty of both parties to keep the status quo and to continue in
notice upon the other party with a statement of its proposals. The other full force and effect the terms and conditions of the existing agreement during the
party shall make a reply thereto not later than ten (10) calendar days from 60-day period and/or until a new agreement is reached by the parties.
receipt of such notice;
Art. 242. Rights of legitimate labor organizations. A legitimate labor organization
b. Should differences arise on the basis of such notice and reply, either party shall have the right:
may request for a conference which shall begin not later than ten (10)
calendar days from the date of request.
V. Collective Bargaining: Process, Procedures and Issues 53

(c) To be furnished by the employer, upon written request, with its annual COLLEGIO DE SAN JUAN DE LATRAN V. ASSOC. OF EMPLOYEES (00)
audited financial statements, including the balance sheet and the profit
and loss statement, within thirty (30) calendar days from the date of
receipt of the request, after the union has been duly recognized by the
employer or certified as the sole and exclusive bargaining representative of
the employees in the bargaining unit, or within sixty (60) calendar days
REPUBLIC SAVINGS BANK V. CIR (67)
before the expiration of the existing collective bargaining agreement, or
during the collective bargaining negotiation;

1. Meaning of Duty
UNIVERSITY OF SAN AGUSTIN, ETC. V. UNIVERSITY OF SAN AGUSTIN (09)

2. Deadlock
SAN MIGUEL CORP. V. NLRC (99)
UNION OF FILIPRO EMPLOYEES, ETC. V. NESTLE PHILS., INC. (08)

3. Minutes of Negotiations
KIOK LOY V. NLRC (86) SAMAHANG MANGAGAWA SA TOP FORM V. NLRC (98)

STANDARD CHARTERED BANK EMPLOYEES UNION V. CONFESOR 4. Suspension of Bargaining


COLLEGIO DE SAN JUAN DE LATRAN V. ASSOC. OF EMPLOYEES (00)

UNION OF FILIPRO, ETC. V. NESTLE PHILS. (06)

5. Waiver Right
RIVERA V. ESPIRITU (02)

GENERAL MILLING CORP. V. CA (04)


V. Collective Bargaining: Process, Procedures and Issues 54

D. Bargainable Issues
Art. 252. Meaning of duty to bargain collectively. The duty to bargain collectively
means the performance of a mutual obligation to meet and convene promptly and
expeditiously in good faith for the purpose of negotiating an agreement with respect UST, ETC. V. UST (09)
to wages, hours of work and all other terms and conditions of employment including
proposals for adjusting any grievances or questions arising under such agreement
and executing a contract incorporating such agreements if requested by either party
but such duty does not compel any party to agree to a proposal or to make any
concession.
Bernard Meltzer, The Subjects of Mandatory Bargaining
1. Issues
PHIL. AMERICAN MANAGEMENT CO. INC. V. PHIL. AMERICAN MANAGEMENT EMPLOYEES ASSOC.
(73)

MANILA FASHIONS INC. V. NLRC (96)

REPUBLIC SAVINGS BANK V. CIR (67)

NESTLE PHILS. INC. V. NLRC (91)

SAMAHANG MANGGAGAWA SA TOP FORM MANUFACTURING UNITED WORKERS OF THE


PHILIPPINES V. NLRC (98)

STANDARD CHARTERED BANK EMPLOYEES UNION V. CONFESSOR (04)


V. Collective Bargaining: Process, Procedures and Issues 55

E. Collective Bargaining Agreement 2. Contents

1. Definition a. See Sample CBA


TENIC, INC. V. TENIC, ETC. (09)

b. Effect of substandard contract


Art. 239. Grounds for cancellation of union registration. The following shall
constitute grounds for cancellation of union registration:
FACULTY ASSOC. OF MIT V. CA (07)
(f) Entering into collective bargaining agreements which provide terms and
conditions of employment below minimum standards established by law;

CF. Amended Art. 239.

TSPI CORP. V. TSPI EMPLOYERS UNION (08) "ART. 239. Grounds for Cancellation of Union Registration. - The following may
constitute grounds for cancellation of union registration:

(a) Misrepresentation, false statement or fraud in connection with the adoption or


ratification of the constitution and by-laws or amendments thereto, the minutes of
ratification, and the list of members who took part in the ratification;
HONDA PHILS. INC. V. SAMAHAN NG MALAYANG MANGGAGAWA SA HONDA (05)
(b) Misrepresentation, false statements or fraud in connection with the election of
officers, minutes of the election of officers, and the list of voters;

(c) Voluntary dissolution by the members."

UNIVERSITY OF THE IMMACULATE CONCEPCION, INC. V. SEC. OF LABOR (02) c. Duration and re-negotiation
Art. 253-A. Terms of a collective bargaining agreement. Any Collective Bargaining
Agreement that the parties may enter into shall, insofar as the representation
aspect is concerned, be for a term of five (5) years. No petition questioning the
majority status of the incumbent bargaining agent shall be entertained and no
NATIONAL FEDERATION OF LABOR V. CA (04) certification election shall be conducted by the Department of Labor and
Employment outside of the sixty-day period immediately before the date of expiry of
such five-year term of the Collective Bargaining Agreement. All other provisions of
the Collective Bargaining Agreement shall be renegotiated not later than three (3)
years after its execution. Any agreement on such other provisions of the Collective
Bargaining Agreement entered into within six (6) months from the date of expiry of
RIVERA V. ESPIRITU (02)
the term of such other provisions as fixed in such Collective Bargaining Agreement,
shall retroact to the day immediately following such date. If any such agreement is
entered into beyond six months, the parties shall agree on the duration of
retroactivity thereof. In case of a deadlock in the renegotiation of the Collective
V. Collective Bargaining: Process, Procedures and Issues 56

Bargaining Agreement, the parties may exercise their rights under this Code. (As NAVARRO III V. DAMASCO (95)
amended by Section 21, Republic Act No. 6715, March 21, 1989)

d. Grievance procedure
Art. 260. Grievance machinery and voluntary arbitration. The parties to a
Collective Bargaining Agreement shall include therein provisions that will ensure the SAN MIGUEL CORP V. CONFESSOR (96)
mutual observance of its terms and conditions. They shall establish a machinery for
the adjustment and resolution of grievances arising from the interpretation or
implementation of their Collective Bargaining Agreement and those arising from the
interpretation or enforcement of company personnel policies.

All grievances submitted to the grievance machinery which are not settled within GENERAL MILLING V. CA (04)
seven (7) calendar days from the date of its submission shall automatically be
referred to voluntary arbitration prescribed in the Collective Bargaining Agreement.

For this purpose, parties to a Collective Bargaining Agreement shall name and
designate in advance a Voluntary Arbitrator or panel of Voluntary Arbitrators, or
3. Registration Period, Requirements, and Actions
include in the agreement a procedure for the selection of such Voluntary Arbitrator
or panel of Voluntary Arbitrators, preferably from the listing of qualified Voluntary Art. 231. Registry of unions and file of collective bargaining agreements. The
Arbitrators duly accredited by the Board. In case the parties fail to select a Voluntary Bureau shall keep a registry of legitimate labor organizations. The Bureau shall also
Arbitrator or panel of Voluntary Arbitrators, the Board shall designate the Voluntary maintain a file of all collective bargaining agreements and other related agreements
Arbitrator or panel of Voluntary Arbitrators, as may be necessary, pursuant to the and records of settlement of labor disputes and copies of orders and decisions of
selection procedure agreed upon in the Collective Bargaining Agreement, which voluntary arbitrators. The file shall be open and accessible to interested parties
shall act with the same force and effect as if the Arbitrator or panel of Arbitrators under conditions prescribed by the Secretary of Labor and Employment, provided
has been selected by the parties as described above. that no specific information submitted in confidence shall be disclosed unless
authorized by the Secretary, or when it is at issue in any judicial litigation, or when
SAN MIGUEL FOODS INC. V. SAN MIGUEL CORP. EMPLOYEES UNION, PTGWU (07) public interest or national security so requires.

Within thirty (30) days from the execution of a Collective Bargaining Agreement, the
parties shall submit copies of the same directly to the Bureau or the Regional Offices
of the Department of Labor and Employment for registration, accompanied with
UNITED KIMBERLY-CLARK EMPLOYEES UNION V. KIMBERLY-CLARK PHILS. INC. (06) verified proofs of its posting in two conspicuous places in the place of work and
ratification by the majority of all the workers in the bargaining unit. The Bureau or
Regional Offices shall act upon the application for registration of such Collective
Bargaining Agreement within five (5) calendar days from receipt thereof. The
Regional Offices shall furnish the Bureau with a copy of the Collective Bargaining
Agreement within five (5) days from its submission.
LUZON DEV. BANK ASSOC. V. ASSOCIATION OF DEV. BANK EMPLOYEES (95)
The Bureau or Regional Office shall assess the employer for every Collective
Bargaining Agreement a registration fee of not less than one thousand pesos
(P1,000.00) or in any other amount as may be deemed appropriate and necessary
by the Secretary of Labor and Employment for the effective and efficient
V. Collective Bargaining: Process, Procedures and Issues 57

administration of the Voluntary Arbitration Program. Any amount collected under


this provision shall accrue to the Special Voluntary Arbitration Fund.

The Bureau shall also maintain a file and shall undertake or assist in the publication
of all final decisions, orders and awards of the Secretary of Labor and Employment, 5. Contract Administration and Enforcement
Regional Directors and the Commission. (As amended by Section 15, Republic Act
No. 6715, March 21, 1989) 1. Nature of Contract and Contract Interpretation
HALAGUENA V. PAL (09)
4. Contract Beneficiaries
Art. 255. Exclusive bargaining representation and workers participation in policy
and decision-making. The labor organization designated or selected by the majority
of the employees in an appropriate collective bargaining unit shall be the exclusive
representative of the employees in such unit for the purpose of collective UNIV. OF SAN AGUSTIN, ETC. V. UNIV. OF SAN AGUSTIN (09)
bargaining. However, an individual employee or group of employees shall have the
right at any time to present grievances to their employer.

Any provision of law to the contrary notwithstanding, workers shall have the right,
subject to such rules and regulations as the Secretary of Labor and Employment may
promulgate, to participate in policy and decision-making processes of the DE LA SALLE UNIV. V. DE LA SALLE UNIV., ETC. (09)
establishment where they are employed insofar as said processes will directly affect
their rights, benefits and welfare. For this purpose, workers and employers may
form labor-management councils: Provided, That the representatives of the workers
in such labor-management councils shall be elected by at least the majority of all
employees in said establishment. (As amended by Section 22, Republic Act No. 6715,
CONTINENTAL STEEL V. MONTANO (09)
March 21, 1989)

Art. 212. Definitions.

(f) "Employee" includes any person in the employ of an employer. The term
shall not be limited to the employees of a particular employer, unless the ALMARIO V. PAL (07)
Code so explicitly states. It shall include any individual whose work has
ceased as a result of or in connection with any current labor dispute or
because of any unfair labor practice if he has not obtained any other
substantially equivalent and regular employment.

Beneficiaries PI MANUFACTURING INC. V. PI MANUFACTURING SUPERVISORS AND FOREMAN ASSOC. (08)


PAL V. PAL EMPLOYEES ASSOC. (08)

TSPIC CORP. V. TSPIC EMPLOYEES UNION (08)


NEW PACIFIC TIMBER AND SUPPLY CO. INC., V. NLRC (00)
V. Collective Bargaining: Process, Procedures and Issues 58

Art. 253-A. Terms of a collective bargaining agreement. Any Collective Bargaining


Agreement that the parties may enter into shall, insofar as the representation
MANALANG V. ARTEX DEVT CO., INC. (67) aspect is concerned, be for a term of five (5) years. No petition questioning the
majority status of the incumbent bargaining agent shall be entertained and no
certification election shall be conducted by the Department of Labor and
Employment outside of the sixty-day period immediately before the date of expiry of
such five-year term of the Collective Bargaining Agreement. All other provisions of
2. Grievance Procedure; Dispute Settlement: Issues and Individual the Collective Bargaining Agreement shall be renegotiated not later than three (3)
years after its execution. Any agreement on such other provisions of the Collective
Grievance and Exclusive Bargaining Representative
Bargaining Agreement entered into within six (6) months from the date of expiry of
MASTER IRON LABOR UNION V. NLRC (93) the term of such other provisions as fixed in such Collective Bargaining Agreement,
shall retroact to the day immediately following such date. If any such agreement is
entered into beyond six months, the parties shall agree on the duration of
retroactivity thereof. In case of a deadlock in the renegotiation of the Collective
Bargaining Agreement, the parties may exercise their rights under this Code. (As
PHIL. AIRLINES INC. V. SANTOS (93) amended by Section 21, Republic Act No. 6715, March 21, 1989)

FVC LABOR UNION, ETC. V. SAMA-SAMANG, ETC. (09)

CALTEX REFINERY EMPLOYEES ASSOC. V. BRILLANTES (97)


MANILA ELECTRIC CO. V. QUISUMBING (99)

3. Individual Worker and Contract


JL CASE CO. 321 US 332, 64 SUP. CT. 576 99 L. ED. (44) MANILA CENTRAL LINE CORP. V. MANILA CENTRAL LINE FREE WORKERS UNION (00)

4. Contract Infirmity RIVERA V. ESPIRITU (02)


ASSOCIATED LABOR UNIONS V. CALLEJA (89)

6. CBA and 3rd Party Applicability


5. Contract Duration and Renewals SUNDOWNER DEVELOPLENT CORP. V. DRILON (89)
V. Collective Bargaining: Process, Procedures and Issues 59

FACULTY ASSOC. OF MIT V. CA (07)

MANILOS V. NLRC (95)

NEW PACIFIC TIMBER AND SUPPLY CO. V. NLRC (00)

7. CBA and Disaffiliation Substitution Doctrine


ELISO-ELIROL LABOR UNION V. NORIEL (77) MANILA ELECTRIC V. QUISUMBING (00)

8. CBA Assistance DOLE CITIZENS LABOR UNION V. CIR (66)


Chapter II
ASSISTANCE TO LABOR ORGANIZATIONS

Art. 267. Assistance by the Department of Labor. The Department of Labor, at the
initiative of the Secretary of Labor, shall extend special assistance to the
organization, for purposes of collective bargaining, of the most underprivileged
workers who, for reasons of occupation, organizational structure or insufficient
incomes, are not normally covered by major labor organizations or federations.

Art. 268. Assistance by the Institute of Labor and Manpower Studies. The Institute
of Labor and Manpower Studies shall render technical and other forms of assistance
to labor organizations and employer organizations in the field of labor education,
especially pertaining to collective bargaining, arbitration, labor standards and the
Labor Code of the Philippines in general.

9.Effect Expiry
Art. 253. Duty to bargain collectively when there exists a collective bargaining
agreement. When there is a collective bargaining agreement, the duty to bargain
collectively shall also mean that neither party shall terminate nor modify such
agreement during its lifetime. However, either party can serve a written notice to
terminate or modify the agreement at least sixty (60) days prior to its expiration
date. It shall be the duty of both parties to keep the status quo and to continue in
full force and effect the terms and conditions of the existing agreement during the
60-day period and/or until a new agreement is reached by the parties.
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 60

the running of the period of prescription of the criminal offense herein penalized
VI. Employer shall be considered interrupted: Provided, however, that the final judgment in the
Union Acts of Unfair Labor Practices administrative proceedings shall not be binding in the criminal case nor be
considered as evidence of guilt but merely as proof of compliance of the
Acts Violative of Employee Rights to Self- requirements therein set forth. (As amended by Batas Pambansa Bilang 70, May 1,
Organization and Collective Bargaining 1980 and later further amended by Section 19, Republic Act No. 6715, March 21,
1989)

Definition
I. Introductory Concepts
STERLING PRODUCTS INT. INC. V. SOL (63)

A. Definition and General Concept


Art. 212. Definitions.

(k) "Unfair labor practice" means any unfair labor practice as expressly defined by
PHILCOM EES ASSOC. V. PHIL. GLOBAL COMMUNICATIONS (06)
the Code.

Art. 247. Concept of unfair labor practice and procedure for prosecution
thereof. Unfair labor practices violate the constitutional right of workers and
employees to self-organization, are inimical to the legitimate interests of both labor
and management, including their right to bargain collectively and otherwise deal GALAXIE STEEL WORKERS UNION V. NLRC (06)
with each other in an atmosphere of freedom and mutual respect, disrupt industrial
peace and hinder the promotion of healthy and stable labor-management relations.

Consequently, unfair labor practices are not only violations of the civil rights of both
labor and management but are also criminal offenses against the State which shall
be subject to prosecution and punishment as herein provided. B. Requisite Relationship
PHELPS-DODGE CORP. V. NLRB, 313 US 177 (41)
Subject to the exercise by the President or by the Secretary of Labor and
Employment of the powers vested in them by Articles 263 and 264 of this Code, the
civil aspects of all cases involving unfair labor practices, which may include claims
for actual, moral, exemplary and other forms of damages, attorneys fees and other
affirmative relief, shall be under the jurisdiction of the Labor Arbiters. The Labor
Arbiters shall give utmost priority to the hearing and resolution of all cases involving C. Construction
unfair labor practices. They shall resolve such cases within thirty (30) calendar days
from the time they are submitted for decision. CALTEX FILIPINO MANAGERS AND SUPERVISORS ASSOC. V. CIR (72)

Recovery of civil liability in the administrative proceedings shall bar recovery under
the Civil Code.

No criminal prosecution under this Title may be instituted without a final judgment
HK AND SHANGHAI BANK CORP. EE UNION V. NLRC (97)
finding that an unfair labor practice was committed, having been first obtained in
the preceding paragraph. During the pendency of such administrative proceeding,
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 61

who are already members of another union at the time of the signing of the
collective bargaining agreement. Employees of an appropriate bargaining
unit who are not members of the recognized collective bargaining agent
may be assessed a reasonable fee equivalent to the dues and other fees
D. Estoppel paid by members of the recognized collective bargaining agent, if such non-
STANDARD CHARTERED BANK V. CONFESSOR (04) union members accept the benefits under the collective bargaining
agreement: Provided, that the individual authorization required under
Article 242, paragraph (o) of this Code shall not apply to the non-members
of the recognized collective bargaining agent;

f. To dismiss, discharge or otherwise prejudice or discriminate against an


E. Law Nomenclature and Inter-relations Acts of ULP employee for having given or being about to give testimony under this
Code;
Art. 212. Definitions.
g. To violate the duty to bargain collectively as prescribed by this Code;
(k) "Unfair labor practice" means any unfair labor practice as expressly defined by
the Code. h. To pay negotiation or attorneys fees to the union or its officers or agents
as part of the settlement of any issue in collective bargaining or any other
Chapter II dispute; or
UNFAIR LABOR PRACTICES OF EMPLOYERS
i. To violate a collective bargaining agreement.
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice: The provisions of the preceding paragraph notwithstanding, only the officers and
agents of corporations, associations or partnerships who have actually participated
a. To interfere with, restrain or coerce employees in the exercise of their right in, authorized or ratified unfair labor practices shall be held criminally liable. (As
to self-organization; amended by Batas Pambansa Bilang 130, August 21, 1981)
b. To require as a condition of employment that a person or an employee shall Chapter III
not join a labor organization or shall withdraw from one to which he UNFAIR LABOR PRACTICES OF LABOR ORGANIZATIONS
belongs;
Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor
c. To contract out services or functions being performed by union members practice for a labor organization, its officers, agents or representatives:
when such will interfere with, restrain or coerce employees in the exercise
of their rights to self-organization; a. To restrain or coerce employees in the exercise of their right to self-
organization. However, a labor organization shall have the right to
d. To initiate, dominate, assist or otherwise interfere with the formation or prescribe its own rules with respect to the acquisition or retention of
administration of any labor organization, including the giving of financial membership;
or other support to it or its organizers or supporters;
b. To cause or attempt to cause an employer to discriminate against an
e. To discriminate in regard to wages, hours of work and other terms and employee, including discrimination against an employee with respect to
conditions of employment in order to encourage or discourage membership whom membership in such organization has been denied or to terminate
in any labor organization. Nothing in this Code or in any other law shall an employee on any ground other than the usual terms and conditions
stop the parties from requiring membership in a recognized collective under which membership or continuation of membership is made available
bargaining agent as a condition for employment, except those employees to other members;
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 62

c. To violate the duty, or refuse to bargain collectively with the employer, PHILCOM EES UNION V. PHIL. GLOBAL COMMUNICATIONS (06)
provided it is the representative of the employees;

d. To cause or attempt to cause an employer to pay or deliver or agree to pay


or deliver any money or other things of value, in the nature of an exaction,
for services which are not performed or not to be performed, including the
demand for fee for union negotiations; REPUBLIC SAVINGS V. CIR (07)

e. To ask for or accept negotiation or attorneys fees from employers as part


of the settlement of any issue in collective bargaining or any other dispute;
or

f. To violate a collective bargaining agreement.


G. Nature of Act
ALLIED BANKING CORP. V. CA (03)
The provisions of the preceding paragraph notwithstanding, only the officers,
members of governing boards, representatives or agents or members of labor
associations or organizations who have actually participated in, authorized or
ratified unfair labor practices shall be held criminally liable. (As amended by Batas
Pambansa Bilang 130, August 21, 1981)

HK AND SHANGHAI BANK CORP. EE UNION V. NLRC (97) II. Unfair Labor Practice: Employer and Labor Organization Acts
Violating Right of Self-Organization

A. Specific Acts

REPUBLIC SAVINGS BANK V. CIR (67) FERNANDO, J. CONCURRING OPINION, 240-241 1. Interference, Restraint and Coercion
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice:

a. To interfere with, restrain or coerce employees in the exercise of their right


F. ULP and Management Functions to self-organization;

ROYAL INTER-OCEAN LINES V. CIR (60) Art. 255. Exclusive bargaining representation and workers participation in policy
and decision-making. The labor organization designated or selected by the majority
of the employees in an appropriate collective bargaining unit shall be the exclusive
representative of the employees in such unit for the purpose of collective
bargaining. However, an individual employee or group of employees shall have the
GREAT PACIFIC LIFE EES UNION V. GREAT PACIFIC LIFE ASSURANCE CORP. (99) right at any time to present grievances to their employer.

Any provision of law to the contrary notwithstanding, workers shall have the right,
subject to such rules and regulations as the Secretary of Labor and Employment may
promulgate, to participate in policy and decision-making processes of the
establishment where they are employed insofar as said processes will directly affect
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 63

their rights, benefits and welfare. For this purpose, workers and employers may Article 2
form labor-management councils: Provided, That the representatives of the workers
in such labor-management councils shall be elected by at least the majority of all 1. Workers' and employers' organisations shall enjoy adequate protection against
employees in said establishment. (As amended by Section 22, Republic Act No. 6715, any acts of interference by each other or each other's agents or members in their
March 21, 1989) establishment, functioning or administration.

Art. 277. Miscellaneous provisions. 2. In particular, acts which are designed to promote the establishment of workers'
organisations under the domination of employers or employers' organisations, or to
g. The Ministry shall help promote and gradually develop, with the agreement support workers' organisations by financial or other means, with the object of
of labor organizations and employers, labor-management cooperation placing such organisations under the control of employers or employers'
programs at appropriate levels of the enterprise based on the shared organisations, shall be deemed to constitute acts of interference within the meaning
responsibility and mutual respect in order to ensure industrial peace and of this Article.
improvement in productivity, working conditions and the quality of working
life. (Incorporated by Batas Pambansa Bilang 130, August 21, 1981) 2. Non-union Membership or Withdrawal from Membership as
Condition Employment
h. In establishments where no legitimate labor organization exists, labor-
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
management committees may be formed voluntarily by workers and
to commit any of the following unfair labor practice:
employers for the purpose of promoting industrial peace. The Department
of Labor and Employment shall endeavor to enlighten and educate the (b) To require as a condition of employment that a person or an employee shall not
workers and employers on their rights and responsibilities through labor join a labor organization or shall withdraw from one to which he belongs;
education with emphasis on the policy thrusts of this Code. (As amended by
Section 33, Republic Act No. 6715, March 21, 1989) 3. Company Domination Union
Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
practice for a labor organization, its officers, agents or representatives: to commit any of the following unfair labor practice:

a. To restrain or coerce employees in the exercise of their right to self- (d) To initiate, dominate, assist or otherwise interfere with the formation or
organization. However, a labor organization shall have the right to administration of any labor organization, including the giving of financial
prescribe its own rules with respect to the acquisition or retention of or other support to it or its organizers or supporters;
membership;
Art. 212. Definitions.
ILO Conv. 98. Article 1
(i) "Company union" means any labor organization whose formation,
1. Workers shall enjoy adequate protection against acts of anti-union discrimination function or administration has been assisted by any act defined as
in respect of their employment. unfair labor practice by this Code.

2. Such protection shall apply more particularly in respect of acts calculated to-- 4. Discrimination encouraging/discouraging unionism
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
(a) make the employment of a worker subject to the condition that he shall not join
to commit any of the following unfair labor practice:
a union or shall relinquish trade union membership;
(e) To discriminate in regard to wages, hours of work and other terms and
(b) cause the dismissal of or otherwise prejudice a worker by reason of union
conditions of employment in order to encourage or discourage membership
membership or because of participation in union activities outside working hours or,
in any labor organization. Nothing in this Code or in any other law shall
with the consent of the employer, within working hours.
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 64

stop the parties from requiring membership in a recognized collective Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
bargaining agent as a condition for employment, except those employees to commit any of the following unfair labor practice:
who are already members of another union at the time of the signing of the
collective bargaining agreement. Employees of an appropriate bargaining (c) To contract out services or functions being performed by union members
unit who are not members of the recognized collective bargaining agent when such will interfere with, restrain or coerce employees in the exercise
may be assessed a reasonable fee equivalent to the dues and other fees of their rights to self-organization;
paid by members of the recognized collective bargaining agent, if such non-
union members accept the benefits under the collective bargaining a. Interrogation
agreement: Provided, that the individual authorization required under SCOTYS DEPT. STORE V. MICALLER (56)
Article 242, paragraph (o) of this Code shall not apply to the non-members
of the recognized collective bargaining agent;

Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor
practice for a labor organization, its officers, agents or representatives:
PHIL. STEAM NAVIGATION CO. V. PHIL. MARITIME OFFICERS GUILD (65)
(b) To cause or attempt to cause an employer to discriminate against an
employee, including discrimination against an employee with respect to
whom membership in such organization has been denied or to terminate
an employee on any ground other than the usual terms and conditions
under which membership or continuation of membership is made available
to other members; b. Polling
OPERATING ENGINEERS LOCAL V. NLRB 353 F 2ND 852 (65)
a. Retaliation testimony against employer
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice:

(f) To dismiss, discharge or otherwise prejudice or discriminate against an


c. Speech
employee for having given or being about to give testimony under this
Code; THE INSULAR LIFE ASSURANCE CO. LTD. EES ASSOC. V. INSULAR LIFE ASSURANCE CO. LTD. (71)

b. Exaction Featherbedding
Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor
practice for a labor organization, its officers, agents or representatives:
INTERNATIONAL ASSOC OF MACHINISTS V. NLRB, 311 US 72 (40)
(b) To cause or attempt to cause an employer to discriminate against an
employee, including discrimination against an employee with respect to
whom membership in such organization has been denied or to terminate
an employee on any ground other than the usual terms and conditions
under which membership or continuation of membership is made available
to other members; NLRB V. VIRGINIA ELECTRIC AND POWER CO. 314 US 469 (41)

c. Contracting out to discourage unionism


VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 65

NLRB V. GISSEL PACKING CO. 395 US 576 (69) NLRB V. UNITED STEEL WORKERS OF AMERICA 357 US 357 (58)

d. Espionage g. Discrimination
THE INSULAR LIFE ASSURANCE CO. LTD. EES ASSOC. V. INSULAR LIFE ASSURANCE CO. LTD. (71) WISE AND CO. INC. V. WISE AND CO. INC. EES UNION, NATU (89)

e. Economic coercion and inducement ME-SHUM CORP. V. ME-SHUM WORKERS UNION (05)

THE INSULAR LIFE ASSURANCE CO. LTD. EES ASSOC. V. INSULAR LIFE ASSURANCE CO. LTD. (71)

h. Run-away shop
NLRB V. EXCHANGE PARTS CO., 375 US 405 (64) IR Book V R1S1(s) "Strike Area" means the establishment, warehouse, depots,
plants or offices, including the sites or premises used as run-away shops, of the
employer struck against, as well as the immediate vicinity actually used by picketing
strikers in moving to and fro before all points of entrance to and exits from said
establishment.
f. Union solicitation and distribution of literature and meterials
LECHMERE, INC. V. NLRB 117 ED. 2D 79 (92)

REPUBLIC AVIATION CORP. V. NLRB, 324 US 793 (45)

NLRB V. BABCOCK AND WILCOX. CO., 351 IS 105 (56)


VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 66

III. Unfair Labor Practice: Employer and labor organization acts e. The Board shall exert all efforts to settle disputes amicably and encourage
violative of right to collective bargaining the parties to submit their case to a voluntary arbitrator. (As amended by
Section 20, Republic Act No. 6715, March 21, 1989)
A. Violate duty to bargain Art. 251. Duty to bargain collectively in the absence of collective bargaining
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer agreements. In the absence of an agreement or other voluntary arrangement
to commit any of the following unfair labor practice: providing for a more expeditious manner of collective bargaining, it shall be the duty
of employer and the representatives of the employees to bargain collectively in
(g) To violate the duty to bargain collectively as prescribed by this Code; accordance with the provisions of this Code.

Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor Art. 252. Meaning of duty to bargain collectively. The duty to bargain collectively
practice for a labor organization, its officers, agents or representatives: means the performance of a mutual obligation to meet and convene promptly and
expeditiously in good faith for the purpose of negotiating an agreement with respect
(c) To violate the duty, or refuse to bargain collectively with the employer, to wages, hours of work and all other terms and conditions of employment including
provided it is the representative of the employees; proposals for adjusting any grievances or questions arising under such agreement
and executing a contract incorporating such agreements if requested by either party
Title VII but such duty does not compel any party to agree to a proposal or to make any
COLLECTIVE BARGAINING AND ADMINISTRATION OF AGREEMENTS concession.
Art. 250. Procedure in collective bargaining. The following procedures shall be Art. 253. Duty to bargain collectively when there exists a collective bargaining
observed in collective bargaining: agreement. When there is a collective bargaining agreement, the duty to bargain
collectively shall also mean that neither party shall terminate nor modify such
a. When a party desires to negotiate an agreement, it shall serve a written
agreement during its lifetime. However, either party can serve a written notice to
notice upon the other party with a statement of its proposals. The other
terminate or modify the agreement at least sixty (60) days prior to its expiration
party shall make a reply thereto not later than ten (10) calendar days from
date. It shall be the duty of both parties to keep the status quo and to continue in
receipt of such notice;
full force and effect the terms and conditions of the existing agreement during the
b. Should differences arise on the basis of such notice and reply, either party 60-day period and/or until a new agreement is reached by the parties.
may request for a conference which shall begin not later than ten (10)
NLRB V. GENERAL ELECTRIC CO., 418 F 2D 736 (69)
calendar days from the date of request.

c. If the dispute is not settled, the Board shall intervene upon request of either
or both parties or at its own initiative and immediately call the parties to
conciliation meetings. The Board shall have the power to issue subpoenas
requiring the attendance of the parties to such meetings. It shall be the COLLEGIO DE SAN JUAN DE LETRAN V. ASSOCIATION OF EMPLOYEES AND FACULTY OF LETRAN (00)
duty of the parties to participate fully and promptly in the conciliation
meetings the Board may call;

d. During the conciliation proceedings in the Board, the parties are prohibited
from doing any act which may disrupt or impede the early settlement of
the disputes; and GENERAL MILLING CO. V. CA (04)
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 67

The provisions of the preceding paragraph notwithstanding, only the officers,


members of governing boards, representatives or agents or members of labor
B. Negotiation or Attorneys fees associations or organizations who have actually participated in, authorized or
ratified unfair labor practices shall be held criminally liable. (As amended by Batas
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
Pambansa Bilang 130, August 21, 1981)
to commit any of the following unfair labor practice:
FLIGHT ATTENDANTS ETC. V. PAL (08)
(h) To pay negotiation or attorneys fees to the union or its officers or agents
as part of the settlement of any issue in collective bargaining or any other
dispute; or

Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor
practice for a labor organization, its officers, agents or representatives: PHILCOM EES UNION V. PHILIPPINE GLOBAL COMMUNICATIONS (69)

(e) To ask for or accept negotiation or attorneys fees from employers as part
of the settlement of any issue in collective bargaining or any other dispute;
or

C. Agency fee PHIL. AIRLINES INC. V. NLRC (97)

Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice:

IV. Motive, Conduct, and Proof


D. Violate CBA
A. Employer motive and proof
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice: VISAYAN BICYCLE MANUFACTURING CO. INC. V. NATIONAL LABOR UNION (85)

(i) To violate a collective bargaining agreement.

The provisions of the preceding paragraph notwithstanding, only the officers and
agents of corporations, associations or partnerships who have actually participated
MO-SHUM CORP. V. MO-SHUM WORKERS UNION (05)
in, authorized or ratified unfair labor practices shall be held criminally liable. (As
amended by Batas Pambansa Bilang 130, August 21, 1981)

Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor
practice for a labor organization, its officers, agents or representatives:
B. Totality of conduct rule and effect of failure to act
(j) To violate a collective bargaining agreement.
UST, ETC. V. UST, ETC. (09)
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 68

union members accept the benefits under the collective bargaining


agreement: Provided, that the individual authorization required under
INSULAR LIFE ASSURANCE CO. LTD. EES V. INSULAR LIFE ASSURANCE CO. LTD. (71) Article 242, paragraph (o) of this Code shall not apply to the non-members
of the recognized collective bargaining agent;

f. To dismiss, discharge or otherwise prejudice or discriminate against an


employee for having given or being about to give testimony under this
Code;

V. Enforcement, Remedies and Sanctions g. To violate the duty to bargain collectively as prescribed by this Code;

A. Parties against whom ULP committed h. To pay negotiation or attorneys fees to the union or its officers or agents
as part of the settlement of any issue in collective bargaining or any other
Chapter II dispute; or
UNFAIR LABOR PRACTICES OF EMPLOYERS
i. To violate a collective bargaining agreement.
Art. 248. Unfair labor practices of employers. It shall be unlawful for an employer
to commit any of the following unfair labor practice: The provisions of the preceding paragraph notwithstanding, only the officers and
agents of corporations, associations or partnerships who have actually participated
a. To interfere with, restrain or coerce employees in the exercise of their right in, authorized or ratified unfair labor practices shall be held criminally liable. (As
to self-organization; amended by Batas Pambansa Bilang 130, August 21, 1981)
b. To require as a condition of employment that a person or an employee shall Chapter III
not join a labor organization or shall withdraw from one to which he UNFAIR LABOR PRACTICES OF LABOR ORGANIZATIONS
belongs;
Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor
c. To contract out services or functions being performed by union members practice for a labor organization, its officers, agents or representatives:
when such will interfere with, restrain or coerce employees in the exercise
of their rights to self-organization; a. To restrain or coerce employees in the exercise of their right to self-
organization. However, a labor organization shall have the right to
d. To initiate, dominate, assist or otherwise interfere with the formation or prescribe its own rules with respect to the acquisition or retention of
administration of any labor organization, including the giving of financial membership;
or other support to it or its organizers or supporters;
b. To cause or attempt to cause an employer to discriminate against an
e. To discriminate in regard to wages, hours of work and other terms and employee, including discrimination against an employee with respect to
conditions of employment in order to encourage or discourage membership whom membership in such organization has been denied or to terminate
in any labor organization. Nothing in this Code or in any other law shall an employee on any ground other than the usual terms and conditions
stop the parties from requiring membership in a recognized collective under which membership or continuation of membership is made available
bargaining agent as a condition for employment, except those employees to other members;
who are already members of another union at the time of the signing of the
collective bargaining agreement. Employees of an appropriate bargaining c. To violate the duty, or refuse to bargain collectively with the employer,
unit who are not members of the recognized collective bargaining agent provided it is the representative of the employees;
may be assessed a reasonable fee equivalent to the dues and other fees
paid by members of the recognized collective bargaining agent, if such non-
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 69

d. To cause or attempt to cause an employer to pay or deliver or agree to pay Art. 258, last par. The provisions of the preceding paragraph notwithstanding, only
or deliver any money or other things of value, in the nature of an exaction, the officers and agents of corporations, associations or partnerships who have
for services which are not performed or not to be performed, including the actually participated in, authorized or ratified unfair labor practices shall be held
demand for fee for union negotiations; criminally liable. (As amended by Batas Pambansa Bilang 130, August 21, 1981)

e. To ask for or accept negotiation or attorneys fees from employers as part Art. 212. Definitions.
of the settlement of any issue in collective bargaining or any other dispute;
or e. "Employer" includes any person acting in the interest of an employer,
directly or indirectly. The term shall not include any labor organization or
f. To violate a collective bargaining agreement. any of its officers or agents except when acting as employer.

The provisions of the preceding paragraph notwithstanding, only the officers, BOOK SEVEN
members of governing boards, representatives or agents or members of labor TRANSITORY AND FINAL PROVISIONS
associations or organizations who have actually participated in, authorized or
ratified unfair labor practices shall be held criminally liable. (As amended by Batas Title I
Pambansa Bilang 130, August 21, 1981) PENAL PROVISIONS AND LIABILITIES

Art. 212. Definitions. Art. 288. Penalties. Except as otherwise provided in this Code, or unless the acts
complained of hinge on a question of interpretation or implementation of
e. "Employer" includes any person acting in the interest of an employer, ambiguous provisions of an existing collective bargaining agreement, any violation
directly or indirectly. The term shall not include any labor organization or of the provisions of this Code declared to be unlawful or penal in nature shall be
any of its officers or agents except when acting as employer. punished with a fine of not less than One Thousand Pesos (P1,000.00) nor more than
Ten Thousand Pesos (P10,000.00) or imprisonment of not less than three months
f. "Employee" includes any person in the employ of an employer. The term nor more than three years, or both such fine and imprisonment at the discretion of
shall not be limited to the employees of a particular employer, unless the the court.
Code so explicitly states. It shall include any individual whose work has
ceased as a result of or in connection with any current labor dispute or In addition to such penalty, any alien found guilty shall be summarily deported upon
because of any unfair labor practice if he has not obtained any other completion of service of sentence.
substantially equivalent and regular employment.
Any provision of law to the contrary notwithstanding, any criminal offense punished
g. "Labor organization" means any union or association of employees which in this Code, shall be under the concurrent jurisdiction of the Municipal or City
exists in whole or in part for the purpose of collective bargaining or of Courts and the Courts of First Instance. (As amended by Section 3, Batas Pambansa
dealing with employers concerning terms and conditions of employment. Bilang 70)

PHELPS-DODGE CORP. V. NLRB, 313 US 177 (41) Art. 289. Who are liable when committed by other than natural person. If the
offense is committed by a corporation, trust, firm, partnership, association or any
other entity, the penalty shall be imposed upon the guilty officer or officers of such
corporation, trust, firm, partnership, association or entity.

Title II
B. Parties liable for acts PRESCRIPTION OF OFFENSES AND CLAIMS
1. Employer Art. 290. Offenses. Offenses penalized under this Code and the rules and regulations
issued pursuant thereto shall prescribe in three (3) years.
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 70

All unfair labor practice arising from Book V shall be filed with the appropriate Title II
agency within one (1) year from accrual of such unfair labor practice; otherwise, PRESCRIPTION OF OFFENSES AND CLAIMS
they shall be forever barred.
Art. 290. Offenses. Offenses penalized under this Code and the rules and regulations
2. Labor organization issued pursuant thereto shall prescribe in three (3) years.
Art. 249. Unfair labor practices of labor organizations. It shall be unfair labor All unfair labor practice arising from Book V shall be filed with the appropriate
practice for a labor organization, its officers, agents or representatives: agency within one (1) year from accrual of such unfair labor practice; otherwise,
they shall be forever barred.
The provisions of the preceding paragraph notwithstanding, only the officers,
members of governing boards, representatives or agents or members of labor
C. Prosecution and prescriptive period
associations or organizations who have actually participated in, authorized or
ratified unfair labor practices shall be held criminally liable. (As amended by Batas
1. Civil aspect
Pambansa Bilang 130, August 21, 1981)
Art. 247. Concept of unfair labor practice and procedure for prosecution thereof,
BOOK SEVEN pars. 2-4. Consequently, unfair labor practices are not only violations of the civil
TRANSITORY AND FINAL PROVISIONS rights of both labor and management but are also criminal offenses against the
State which shall be subject to prosecution and punishment as herein provided.
Title I
PENAL PROVISIONS AND LIABILITIES Subject to the exercise by the President or by the Secretary of Labor and
Employment of the powers vested in them by Articles 263 and 264 of this Code, the
Art. 288. Penalties. Except as otherwise provided in this Code, or unless the acts civil aspects of all cases involving unfair labor practices, which may include claims
complained of hinge on a question of interpretation or implementation of for actual, moral, exemplary and other forms of damages, attorneys fees and other
ambiguous provisions of an existing collective bargaining agreement, any violation affirmative relief, shall be under the jurisdiction of the Labor Arbiters. The Labor
of the provisions of this Code declared to be unlawful or penal in nature shall be Arbiters shall give utmost priority to the hearing and resolution of all cases involving
punished with a fine of not less than One Thousand Pesos (P1,000.00) nor more than unfair labor practices. They shall resolve such cases within thirty (30) calendar days
Ten Thousand Pesos (P10,000.00) or imprisonment of not less than three months from the time they are submitted for decision.
nor more than three years, or both such fine and imprisonment at the discretion of
the court. Recovery of civil liability in the administrative proceedings shall bar recovery under
the Civil Code.
In addition to such penalty, any alien found guilty shall be summarily deported upon
completion of service of sentence. Art. 290. Offenses. Offenses penalized under this Code and the rules and regulations
issued pursuant thereto shall prescribe in three (3) years.
Any provision of law to the contrary notwithstanding, any criminal offense punished
in this Code, shall be under the concurrent jurisdiction of the Municipal or City All unfair labor practice arising from Book V shall be filed with the appropriate
Courts and the Courts of First Instance. (As amended by Section 3, Batas Pambansa agency within one (1) year from accrual of such unfair labor practice; otherwise,
Bilang 70) they shall be forever barred.

Art. 289. Who are liable when committed by other than natural person. If the 2. Criminal aspect
offense is committed by a corporation, trust, firm, partnership, association or any Art. 247. Concept of unfair labor practice and procedure for prosecution thereof,
other entity, the penalty shall be imposed upon the guilty officer or officers of such
last par. No criminal prosecution under this Title may be instituted without a final
corporation, trust, firm, partnership, association or entity. judgment finding that an unfair labor practice was committed, having been first
obtained in the preceding paragraph. During the pendency of such administrative
proceeding, the running of the period of prescription of the criminal offense herein
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 71

penalized shall be considered interrupted: Provided, however, that the final rights of both labor and management but are also criminal offenses against the
judgment in the administrative proceedings shall not be binding in the criminal case State which shall be subject to prosecution and punishment as herein provided.
nor be considered as evidence of guilt but merely as proof of compliance of the
requirements therein set forth. (As amended by Batas Pambansa Bilang 70, May 1, Subject to the exercise by the President or by the Secretary of Labor and
1980 and later further amended by Section 19, Republic Act No. 6715, March 21, Employment of the powers vested in them by Articles 263 and 264 of this Code, the
1989) civil aspects of all cases involving unfair labor practices, which may include claims
for actual, moral, exemplary and other forms of damages, attorneys fees and other
Art. 290. Offenses. Offenses penalized under this Code and the rules and regulations affirmative relief, shall be under the jurisdiction of the Labor Arbiters. The Labor
issued pursuant thereto shall prescribe in three (3) years. Arbiters shall give utmost priority to the hearing and resolution of all cases involving
unfair labor practices. They shall resolve such cases within thirty (30) calendar days
All unfair labor practice arising from Book V shall be filed with the appropriate from the time they are submitted for decision.
agency within one (1) year from accrual of such unfair labor practice; otherwise,
they shall be forever barred. Art. 223. Appeal. Decisions, awards, or orders of the Labor Arbiter are final and
executory unless appealed to the Commission by any or both parties within ten (10)
COCHANGCO WORKERS UNION V. NLRC (88) calendar days from receipt of such decisions, awards, or orders. Such appeal may be
entertained only on any of the following grounds:

a. If there is prima facie evidence of abuse of discretion on the part of the


Labor Arbiter;
D. Compromise b. If the decision, order or award was secured through fraud or coercion,
AFP MUTUAL BENEFIT ASSOC. INC. V. AFP-MBAI EU (60) including graft and corruption;

c. If made purely on questions of law; and

d. If serious errors in the findings of facts are raised which would cause grave
or irreparable damage or injury to the appellant.
CCLG G. E. GOCHANGCO WORKERS UNION, ET. AL. V. NLRC (88)
In case of a judgment involving a monetary award, an appeal by the employer may
be perfected only upon the posting of a cash or surety bond issued by a reputable
bonding company duly accredited by the Commission in the amount equivalent to
the monetary award in the judgment appealed from.

REFORMISTS UNION OF RB LINER V. NLRC (97) In any event, the decision of the Labor Arbiter reinstating a dismissed or separated
employee, insofar as the reinstatement aspect is concerned, shall immediately be
executory, even pending appeal. The employee shall either be admitted back to
work under the same terms and conditions prevailing prior to his dismissal or
separation or, at the option of the employer, merely reinstated in the payroll. The
posting of a bond by the employer shall not stay the execution for reinstatement
E. Remedies and sanctions
provided herein.
1. Civil remedies To discourage frivolous or dilatory appeals, the Commission or the Labor Arbiter
Art. 247. Concept of unfair labor practice and procedure for prosecution thereof, shall impose reasonable penalty, including fines or censures, upon the erring parties.
pars. 2-3. Consequently, unfair labor practices are not only violations of the civil
VI. Employer Union Acts of Unfair Labor Practices Acts Violative of Employee Rights to Self-Organization and Collective Bargaining 72

In all cases, the appellant shall furnish a copy of the memorandum of appeal to the nor more than three years, or both such fine and imprisonment at the discretion of
other party who shall file an answer not later than ten (10) calendar days from the court.
receipt thereof.
In addition to such penalty, any alien found guilty shall be summarily deported upon
The Commission shall decide all cases within twenty (20) calendar days from receipt completion of service of sentence.
of the answer of the appellee. The decision of the Commission shall be final and
executory after ten (10) calendar days from receipt thereof by the parties. Any provision of law to the contrary notwithstanding, any criminal offense punished
in this Code, shall be under the concurrent jurisdiction of the Municipal or City
Any law enforcement agency may be deputized by the Secretary of Labor and Courts and the Courts of First Instance. (As amended by Section 3, Batas Pambansa
Employment or the Commission in the enforcement of decisions, awards or Bilang 70)
orders. (As amended by Section 12, Republic Act No. 6715, March 21, 1989)
Art. 289. Who are liable when committed by other than natural person. If the
Art. 279. Security of tenure. In cases of regular employment, the employer shall not offense is committed by a corporation, trust, firm, partnership, association or any
terminate the services of an employee except for a just cause or when authorized by other entity, the penalty shall be imposed upon the guilty officer or officers of such
this Title. An employee who is unjustly dismissed from work shall be entitled to corporation, trust, firm, partnership, association or entity.
reinstatement without loss of seniority rights and other privileges and to his full
backwages, inclusive of allowances, and to his other benefits or their monetary Title II
equivalent computed from the time his compensation was withheld from him up to PRESCRIPTION OF OFFENSES AND CLAIMS
the time of his actual reinstatement. (As amended by Section 34, Republic Act No.
6715, March 21, 1989) Art. 290. Offenses. Offenses penalized under this Code and the rules and regulations
issued pursuant thereto shall prescribe in three (3) years.
NUEVA ECIJA ELECTRIC COOPERATIVE, INC. V. NLRC (00)
All unfair labor practice arising from Book V shall be filed with the appropriate
agency within one (1) year from accrual of such unfair labor practice; otherwise,
they shall be forever barred.

2. Penal remedies
Art. 247. Concept of unfair labor practice and procedure for prosecution thereof,
par. 2. Consequently, unfair labor practices are not only violations of the civil rights
of both labor and management but are also criminal offenses against the State
which shall be subject to prosecution and punishment as herein provided.

Title I
PENAL PROVISIONS AND LIABILITIES

Art. 288. Penalties. Except as otherwise provided in this Code, or unless the acts
complained of hinge on a question of interpretation or implementation of
ambiguous provisions of an existing collective bargaining agreement, any violation
of the provisions of this Code declared to be unlawful or penal in nature shall be
punished with a fine of not less than One Thousand Pesos (P1,000.00) nor more than
Ten Thousand Pesos (P10,000.00) or imprisonment of not less than three months
VII. Economic Weapons Strikes and Lockouts 73

B. Statutory
VII. Economic Weapons:
Art. 263. Strikes, picketing and lockouts.
Strikes and Lockouts
(b) Workers shall have the right to engage in concerted activities for purposes of
collective bargaining or for their mutual benefit and protection. The right of
legitimate labor organizations to strike and picket and of employers to lockout,
I. Basis of right to engage in concerted activities
consistent with the national interest, shall continue to be recognized and respected.
However, no labor union may strike and no employer may declare a lockout on
A. Constitution grounds involving inter-union and intra-union disputes.
ARTICLE XIII
BLT BUS CO. V. NLRC (92)
LABOR

Section 3. The State shall afford full protection to labor, local and overseas,
organized and unorganized, and promote full employment and equality of
employment opportunities for all.
LAPANDAY WORKERS UNION V. NLRC (95)
It shall guarantee the rights of all workers to self-organization, collective bargaining
and negotiations, and peaceful concerted activities, including the right to strike in
accordance with law. They shall be entitled to security of tenure, humane conditions
of work, and a living wage. They shall also participate in policy and decision-making
processes affecting their rights and benefits as may be provided by law. GRAND BOULEVARD HOTEL V. GRAND LABOR ORGANIZATION (03)

The State shall promote the principle of shared responsibility between workers and
employers and the preferential use of voluntary modes in settling disputes, including
conciliation, and shall enforce their mutual compliance therewith to foster industrial
peace.
D. International Covenant on Economic, Social, and Cultural Rights
The State shall regulate the relations between workers and employers, recognizing
the right of labor to its just share in the fruits of production and the right of Article 8
enterprises to reasonable returns to investments, and to expansion and growth.
1. The States Parties to the present Covenant undertake to ensure:
LUZON MARINE DEPT. UNION V. ROLDAN (50) (d) The right to strike, provided that it is exercised in conformity with the laws of the
particular country.

Article 2

1. Each State Party to the present Covenant undertakes to take steps, individually
STAMFORD MARKETING CORP. V. JULIAN (04)
and through international assistance and co-operation, especially economic and
technical, to the maximum of its available resources, with a view to achieving
progressively the full realization of the rights recognized in the present Covenant by
all appropriate means, including particularly the adoption of legislative measures.
VII. Economic Weapons Strikes and Lockouts 74

2. The States Parties to the present Covenant undertake to guarantee that the rights
enunciated in the present Covenant will be exercised without discrimination of any
kind as to race, colour, sex, language, religion, political or other opinion, national or
social origin, property, birth or other status. III. Strike activity
3. Developing countries, with due regard to human rights and their national
A. Definition
economy, may determine to what extent they would guarantee the economic rights
recognized in the present Covenant to non-nationals. Art. 212. Definitions.

Article 3 o. "Strike" means any temporary stoppage of work by the concerted action of
employees as a result of an industrial or labor dispute.
The States Parties to the present Covenant undertake to ensure the equal right of
men and women to the enjoyment of all economic, social and cultural rights set p. "Lockout" means any temporary refusal of an employer to furnish work as
forth in the present Covenant. a result of an industrial or labor dispute.

PILIPINO TELEPHONE CORP. V. FILIPINO TELEPHONE EES ASSOC (07)


II. Limitations
AGUANZA V. ASIAN TERMINAL (09)

GRAND TRANSPORT CORP. V. INFANTE (07)

MANILA HOTEL EES ASSOC. V. MANILA HOTEL CORP. (07)

TOYOTA MOTORS PHILS. CORP. V. WORKERS UNION (07)

STAMFORD MARKETING CORP. V. JULIAN (04)

G & S TRANSPORT CORP. V. INFANTE (07)

BISIG NG MANGGAGAWA V. NLRC (93)

B. Nature and purpose


PHIL. CAN CO. V. CIR (50)
LAPANDAY WORKERS UNION V. NLRC (95)
VII. Economic Weapons Strikes and Lockouts 75

C. Effect on work relationship members. However, in case of dismissal from employment of union officers
duly elected in accordance with the union constitution and by-laws, which
ELIZALDE ROPE FACTORY INC. V. SSS (62) may constitute union busting, where the existence of the union is
threatened, the 15-day cooling-off period shall not apply and the union
may take action immediately. (As amended by Executive Order No. 111,
December 24, 1986)

CONSOLIDATED LABOR ASSOC. OF THE PHILS. V MARSMAN AND CO. (64)


D. Types, Changes and Conversion

1. Types

a. Unfair labor practice


2. Change in type
Art. 263. Strikes, picketing and lockouts.
CONSOLIDATED LABOR ASSOC. OF THE PHILS. V. MARSMAN AND CO. (64)
(c) In case of bargaining deadlocks, the duly certified or recognized bargaining
agent may file a notice of strike or the employer may file a notice of lockout
with the Ministry at least 30 day before the intended date thereof. In cases
of unfair labor practice, the period of notice shall be 15 days and in the
absence of a duly certified or recognized bargaining agent, the notice of
strike may be filed by any legitimate labor organization in behalf of its 3. Non-conversion Strike to lockout
members. However, in case of dismissal from employment of union officers RIZAL CEMENT WORKERS UNION V. CIR (62)
duly elected in accordance with the union constitution and by-laws, which
may constitute union busting, where the existence of the union is
threatened, the 15-day cooling-off period shall not apply and the union
may take action immediately. (As amended by Executive Order No. 111,
December 24, 1986)

LUZON STEVEDORING CORP. V. CIR (65) IV. Grounds

A. Allowable strikes
Art. 263. Strikes, picketing and lockouts.

b. Bargaining deadlock economic (c) In case of bargaining deadlocks, the duly certified or recognized bargaining
agent may file a notice of strike or the employer may file a notice of lockout
Art. 263. Strikes, picketing and lockouts.
with the Ministry at least 30 day before the intended date thereof. In cases
(c) In case of bargaining deadlocks, the duly certified or recognized bargaining of unfair labor practice, the period of notice shall be 15 days and in the
agent may file a notice of strike or the employer may file a notice of lockout absence of a duly certified or recognized bargaining agent, the notice of
with the Ministry at least 30 day before the intended date thereof. In cases strike may be filed by any legitimate labor organization in behalf of its
of unfair labor practice, the period of notice shall be 15 days and in the members. However, in case of dismissal from employment of union officers
absence of a duly certified or recognized bargaining agent, the notice of duly elected in accordance with the union constitution and by-laws, which
strike may be filed by any legitimate labor organization in behalf of its may constitute union busting, where the existence of the union is
VII. Economic Weapons Strikes and Lockouts 76

threatened, the 15-day cooling-off period shall not apply and the union management to lockout. In labor disputes adversely affecting the continued
may take action immediately. (As amended by Executive Order No. 111, operation of such hospitals, clinics or medical institutions, it shall be the duty of the
December 24, 1986) striking union or locking-out employer to provide and maintain an effective skeletal
workforce of medical and other health personnel, whose movement and services
B. Prohibited strikes shall be unhampered and unrestricted, as are necessary to insure the proper and
adequate protection of the life and health of its patients, most especially emergency
Art. 263. Strikes, picketing and lockouts.
cases, for the duration of the strike or lockout. In such cases, therefore, the
(b) Workers shall have the right to engage in concerted activities for purposes Secretary of Labor and Employment may immediately assume, within twenty four
of collective bargaining or for their mutual benefit and protection. The right of (24) hours from knowledge of the occurrence of such a strike or lockout, jurisdiction
legitimate labor organizations to strike and picket and of employers to lockout, over the same or certify it to the Commission for compulsory arbitration. For this
consistent with the national interest, shall continue to be recognized and purpose, the contending parties are strictly enjoined to comply with such orders,
respected. However, no labor union may strike and no employer may declare a prohibitions and/or injunctions as are issued by the Secretary of Labor and
lockout on grounds involving inter-union and intra-union disputes. Employment or the Commission, under pain of immediate disciplinary action,
including dismissal or loss of employment status or payment by the locking-out
Art. 212. Definitions. employer of backwages, damages and other affirmative relief, even criminal
prosecution against either or both of them.
(q) "Internal union dispute" includes all disputes or grievances arising from any
violation of or disagreement over any provision of the constitution and by laws The foregoing notwithstanding, the President of the Philippines shall not be
of a union, including any violation of the rights and conditions of union precluded from determining the industries that, in his opinion, are indispensable to
membership provided for in this Code. the national interest, and from intervening at any time and assuming jurisdiction
over any such labor dispute in order to settle or terminate the same.
Art. 263. Strikes, picketing and lockouts.
Art. 264. Prohibited activities.
(g) When, in his opinion, there exists a labor dispute causing or likely to cause a
strike or lockout in an industry indispensable to the national interest, the Secretary a. No labor organization or employer shall declare a strike or lockout without
of Labor and Employment may assume jurisdiction over the dispute and decide it or first having bargained collectively in accordance with Title VII of this Book
certify the same to the Commission for compulsory arbitration. Such assumption or or without first having filed the notice required in the preceding Article or
certification shall have the effect of automatically enjoining the intended or without the necessary strike or lockout vote first having been obtained and
impending strike or lockout as specified in the assumption or certification order. If reported to the Ministry.
one has already taken place at the time of assumption or certification, all striking or
locked out employees shall immediately return-to-work and the employer shall No strike or lockout shall be declared after assumption of jurisdiction by the
immediately resume operations and readmit all workers under the same terms and President or the Minister or after certification or submission of the dispute
conditions prevailing before the strike or lockout. The Secretary of Labor and to compulsory or voluntary arbitration or during the pendency of cases
Employment or the Commission may seek the assistance of law enforcement involving the same grounds for the strike or lockout.
agencies to ensure compliance with this provision as well as with such orders as he
Any worker whose employment has been terminated as a consequence of
may issue to enforce the same.
any unlawful lockout shall be entitled to reinstatement with full
In line with the national concern for and the highest respect accorded to the right of backwages. Any union officer who knowingly participates in an illegal strike
patients to life and health, strikes and lockouts in hospitals, clinics and similar and any worker or union officer who knowingly participates in the
medical institutions shall, to every extent possible, be avoided, and all serious commission of illegal acts during a strike may be declared to have lost his
efforts, not only by labor and management but government as well, be exhausted to employment status: Provided, That mere participation of a worker in a
substantially minimize, if not prevent, their adverse effects on such life and health, lawful strike shall not constitute sufficient ground for termination of his
through the exercise, however legitimate, by labor of its right to strike and by
VII. Economic Weapons Strikes and Lockouts 77

employment, even if a replacement had been hired by the employer during


such lawful strike.

Art. 265. Improved offer balloting. In an effort to settle a strike, the Department of
Labor and Employment shall conduct a referendum by secret ballot on the improved
offer of the employer on or before the 30th day of the strike. When at least a V. Striking lockout party
majority of the union members vote to accept the improved offer the striking
workers shall immediately return to work and the employer shall thereupon readmit Art. 263. Strikes, picketing and lockouts.
them upon the signing of the agreement.
(b) Workers shall have the right to engage in concerted activities for purposes of
In case of a lockout, the Department of Labor and Employment shall also conduct a collective bargaining or for their mutual benefit and protection. The right of
referendum by secret balloting on the reduced offer of the union on or before the legitimate labor organizations to strike and picket and of employers to lockout,
30th day of the lockout. When at least a majority of the board of directors or consistent with the national interest, shall continue to be recognized and respected.
trustees or the partners holding the controlling interest in the case of a partnership However, no labor union may strike and no employer may declare a lockout on
vote to accept the reduced offer, the workers shall immediately return to work and grounds involving inter-union and intra-union disputes.
the employer shall thereupon readmit them upon the signing of the
(c) In case of bargaining deadlocks, the duly certified or recognized bargaining agent
agreement. (Incorporated by Section 28, Republic Act No. 6715, March 21, 1989)
may file a notice of strike or the employer may file a notice of lockout with the
ILAW AT BUKLOD NG MANGGAGAWA (IBM) V. NLRC (65) Ministry at least 30 day before the intended date thereof. In cases of unfair labor
practice, the period of notice shall be 15 days and in the absence of a duly certified
or recognized bargaining agent, the notice of strike may be filed by any legitimate
labor organization in behalf of its members. However, in case of dismissal from
employment of union officers duly elected in accordance with the union constitution
and by-laws, which may constitute union busting, where the existence of the union
GRAND BOULEVARD HOTEL V. GENUINE LABOR ORGANIZATION (03) is threatened, the 15-day cooling-off period shall not apply and the union may take
action immediately. (As amended by Executive Order No. 111, December 24, 1986)

VI. Procedural requirements


BAUTISTA V. CA (05)
A. Effort bargain
Art. 264. Prohibited activities.

a. No labor organization or employer shall declare a strike or lockout without


C. No strike clause first having bargained collectively in accordance with Title VII of this Book
or without first having filed the notice required in the preceding Article or
PANAY ELECTRIC CO. V. NLRC (95) without the necessary strike or lockout vote first having been obtained and
reported to the Ministry.

No strike or lockout shall be declared after assumption of jurisdiction by the


President or the Minister or after certification or submission of the dispute
MALAYANG SAMAHAN NG MGA MANGGAGAWA SA GREENFIELD V. RAMOS to compulsory or voluntary arbitration or during the pendency of cases
involving the same grounds for the strike or lockout.
VII. Economic Weapons Strikes and Lockouts 78

Any worker whose employment has been terminated as a consequence of Art. 252. Meaning of duty to bargain collectively. The duty to bargain collectively
any unlawful lockout shall be entitled to reinstatement with full means the performance of a mutual obligation to meet and convene promptly and
backwages. Any union officer who knowingly participates in an illegal strike expeditiously in good faith for the purpose of negotiating an agreement with respect
and any worker or union officer who knowingly participates in the to wages, hours of work and all other terms and conditions of employment including
commission of illegal acts during a strike may be declared to have lost his proposals for adjusting any grievances or questions arising under such agreement
employment status: Provided, That mere participation of a worker in a and executing a contract incorporating such agreements if requested by either party
lawful strike shall not constitute sufficient ground for termination of his but such duty does not compel any party to agree to a proposal or to make any
employment, even if a replacement had been hired by the employer during concession.
such lawful strike.
B. Filing of notice intention
Art. 250. Procedure in collective bargaining. The following procedures shall be
observed in collective bargaining: Art. 263. Strikes, picketing and lockouts.

a. When a party desires to negotiate an agreement, it shall serve a written (c) In case of bargaining deadlocks, the duly certified or recognized bargaining
notice upon the other party with a statement of its proposals. The other agent may file a notice of strike or the employer may file a notice of lockout
party shall make a reply thereto not later than ten (10) calendar days from with the Ministry at least 30 day before the intended date thereof. In cases
receipt of such notice; of unfair labor practice, the period of notice shall be 15 days and in the
absence of a duly certified or recognized bargaining agent, the notice of
b. Should differences arise on the basis of such notice and reply, either party strike may be filed by any legitimate labor organization in behalf of its
may request for a conference which shall begin not later than ten (10) members. However, in case of dismissal from employment of union officers
calendar days from the date of request. duly elected in accordance with the union constitution and by-laws, which
may constitute union busting, where the existence of the union is
c. If the dispute is not settled, the Board shall intervene upon request of either threatened, the 15-day cooling-off period shall not apply and the union
or both parties or at its own initiative and immediately call the parties to may take action immediately. (As amended by Executive Order No. 111,
conciliation meetings. The Board shall have the power to issue subpoenas December 24, 1986)
requiring the attendance of the parties to such meetings. It shall be the (d) The notice must be in accordance with such implementing rules and
duty of the parties to participate fully and promptly in the conciliation regulations as the Minister of Labor and Employment may promulgate.
meetings the Board may call; (e) During the cooling-off period, it shall be the duty of the Ministry to exert all
efforts at mediation and conciliation to effect a voluntary settlement.
d. During the conciliation proceedings in the Board, the parties are prohibited Should the dispute remain unsettled until the lapse of the requisite number
from doing any act which may disrupt or impede the early settlement of of days from the mandatory filing of the notice, the labor union may strike
the disputes; and or the employer may declare a lockout.
e. The Board shall exert all efforts to settle disputes amicably and encourage Art. 264. Prohibited activities.
the parties to submit their case to a voluntary arbitrator. (As amended by
Section 20, Republic Act No. 6715, March 21, 1989) a. No labor organization or employer shall declare a strike or lockout without
first having bargained collectively in accordance with Title VII of this Book
Art. 251. Duty to bargain collectively in the absence of collective bargaining or without first having filed the notice required in the preceding Article or
agreements. In the absence of an agreement or other voluntary arrangement without the necessary strike or lockout vote first having been obtained and
providing for a more expeditious manner of collective bargaining, it shall be the duty reported to the Ministry.
of employer and the representatives of the employees to bargain collectively in
accordance with the provisions of this Code. No strike or lockout shall be declared after assumption of jurisdiction by the
President or the Minister or after certification or submission of the dispute
VII. Economic Weapons Strikes and Lockouts 79

to compulsory or voluntary arbitration or during the pendency of cases duty of the parties to participate fully and promptly in the conciliation
involving the same grounds for the strike or lockout. meetings the Board may call;

Any worker whose employment has been terminated as a consequence of d. During the conciliation proceedings in the Board, the parties are prohibited
any unlawful lockout shall be entitled to reinstatement with full from doing any act which may disrupt or impede the early settlement of
backwages. Any union officer who knowingly participates in an illegal strike the disputes; and
and any worker or union officer who knowingly participates in the
commission of illegal acts during a strike may be declared to have lost his e. The Board shall exert all efforts to settle disputes amicably and encourage
employment status: Provided, That mere participation of a worker in a the parties to submit their case to a voluntary arbitrator. (As amended by
lawful strike shall not constitute sufficient ground for termination of his Section 20, Republic Act No. 6715, March 21, 1989)
employment, even if a replacement had been hired by the employer during
such lawful strike. HOTEL ENTERPRISES, ETC. V. SAMAHAN, ETC. (09)

C. Observance of cooling off period


Art. 263. Strikes, picketing and lockouts.

(c) In case of bargaining deadlocks, the duly certified or recognized bargaining NATIONAL UNION OF WORKERS IN HOTELS, ETC. V. CA (08)
agent may file a notice of strike or the employer may file a notice of lockout
with the Ministry at least 30 day before the intended date thereof. In cases
of unfair labor practice, the period of notice shall be 15 days and in the
absence of a duly certified or recognized bargaining agent, the notice of
strike may be filed by any legitimate labor organization in behalf of its PILIPINO TELEPHONE CORP. V. FILIPINO TELEPHONE EES ASSOC. (07)
members. However, in case of dismissal from employment of union officers
duly elected in accordance with the union constitution and by-laws, which
may constitute union busting, where the existence of the union is
threatened, the 15-day cooling-off period shall not apply and the union
may take action immediately. (As amended by Executive Order No. 111,
December 24, 1986) G AND S TRANSPORT CORP. V. INFANTE (07)
(e) During the cooling-off period, it shall be the duty of the Ministry to exert all
efforts at mediation and conciliation to effect a voluntary settlement.
Should the dispute remain unsettled until the lapse of the requisite number
of days from the mandatory filing of the notice, the labor union may strike
or the employer may declare a lockout. GRAND BOULEVARD HOTEL V. GENUINE LABOR ORGANIZATION (03)

Art. 250. Procedure in collective bargaining. The following procedures shall be


observed in collective bargaining:

c. If the dispute is not settled, the Board shall intervene upon request of either
or both parties or at its own initiative and immediately call the parties to SAN MIGUEL CORP. V. NLRC (03)
conciliation meetings. The Board shall have the power to issue subpoenas
requiring the attendance of the parties to such meetings. It shall be the
VII. Economic Weapons Strikes and Lockouts 80

PIERO V. NLRC (04) conciliation, and shall enforce their mutual compliance therewith to foster industrial
peace.

The State shall regulate the relations between workers and employers, recognizing
the right of labor to its just share in the fruits of production and the right of
enterprises to reasonable returns on investments, and to expansion and growth.
SAMAHANG MANGGAGAWA V. SULPICIO LINES (04)
Art. 263. Strikes, picketing and lockouts.

b. Workers shall have the right to engage in concerted activities for purposes
of collective bargaining or for their mutual benefit and protection. The right
of legitimate labor organizations to strike and picket and of employers to
CAPITOL MEDICAL CENTER, INC. V. NLRC (05)
lockout, consistent with the national interest, shall continue to be
recognized and respected. However, no labor union may strike and no
employer may declare a lockout on grounds involving inter-union and intra-
union disputes.

BUKLURAN NG MANGGAGAWA SA CLOTHMAN KNITTING CORP. SOLIDARITY UNIONS IN THE HOTEL ENTERPRISES, ETC. V. SAMAHAN, ETC. (09)
PHILS FOR EMPLOYMENT AND REFORMS V. CA (05)

NATIONAL UNION OF WORKERS IN HOTELS, ETC. V. CA (08)

VII. Test of legality

A. Legal strikes
LUZON MARITIME DEPT. UNION V. ROLDAN (50)
1. Purpose and means test
Art XIII Section 3. The State shall afford full protection to labor, local and overseas,
organized and unorganized, and promote full employment and equality of
employment opportunities for all.
CALTEX PHIL. INC. V. PHIL LABOR ORGS, CALTEX CHAPTER (53)
It shall guarantee the rights of all workers to self-organizations, and peaceful
concerted activities, including the right to strike in accordance with law. They shall
be entitled to security of tenure, humane conditions of work, and a living wage.
They shall also participate in policy and decision-making processes affecting their
rights and benefits as may be provided by law.
PHIL. MARITIME OFFICERS GUILD V. CIA. MARITIMA (68)
The State shall promote the principle of shared responsibility between workers and
employers and the preferential use of voluntary modes in settling disputes, including
VII. Economic Weapons Strikes and Lockouts 81

UNION OF FILPRO EES V. NESTLE PHILS. INC. (90) 3. Defenses Good faith ULP
INTERWOOD EES ASSOC. V. INTERNATIONAL HARDWOOD (56)

RELIANCE SURETY AND INSURANCE CO. V. NLRC (91)


NATIONAL UNION OF WORKERS HOTELS, RESTAURANT, AND ALLIED INDUSTRIES V. NLRC (98)

ILAW AT BUKLOD NG MANGGAGAWA V. DIRECTOR (79)


PNOC DOCKYARD V. NLRC (98)

ASSOC. OF INDEPENDENT UNIONS V. NLRC (99)


B. Illegal strikes

1. Basis Illegality
SAN MIGUEL CORP. V. NLRC (03) Art. 263. Strikes, picketing and lockouts.

(b) Workers shall have the right to engage in concerted activities for purposes
of collective bargaining or for their mutual benefit and protection. The right
of legitimate labor organizations to strike and picket and of employers to
lockout, consistent with the national interest, shall continue to be
MALAYANG SAMAHAN NG MGA MANGGAGAWA SA M. GREENFIELD V. RAMOS (00) recognized and respected. However, no labor union may strike and no
employer may declare a lockout on grounds involving inter-union and intra-
union disputes.
(c) In case of bargaining deadlocks, the duly certified or recognized bargaining
agent may file a notice of strike or the employer may file a notice of lockout
with the Ministry at least 30 day before the intended date thereof. In cases
2. Guidelines and Balancing of Interest
of unfair labor practice, the period of notice shall be 15 days and in the
SHELL OIL WORKERS UNION V. SHELL CO. OF PHILS. (71) absence of a duly certified or recognized bargaining agent, the notice of
strike may be filed by any legitimate labor organization in behalf of its
members. However, in case of dismissal from employment of union officers
duly elected in accordance with the union constitution and by-laws, which
may constitute union busting, where the existence of the union is
threatened, the 15-day cooling-off period shall not apply and the union
ALMIRA V. BF GOODRICH (74)
VII. Economic Weapons Strikes and Lockouts 82

may take action immediately. (As amended by Executive Order No. 111,
December 24, 1986)
ALLIED BANKING CORP. V. NLRC (96)
Art. 264. Prohibited activities.

a. No labor organization or employer shall declare a strike or lockout without


first having bargained collectively in accordance with Title VII of this Book
or without first having filed the notice required in the preceding Article or
without the necessary strike or lockout vote first having been obtained and INTERPHIL LABORATORIES EES UNION V. INTERPHIL LABORATORIES (98)
reported to the Ministry.

No strike or lockout shall be declared after assumption of jurisdiction by the


President or the Minister or after certification or submission of the dispute
to compulsory or voluntary arbitration or during the pendency of cases SAMAHAN NG MGA MANGGAGAWA V. NLRC (00)
involving the same grounds for the strike or lockout.

Any worker whose employment has been terminated as a consequence of


any unlawful lockout shall be entitled to reinstatement with full
backwages. Any union officer who knowingly participates in an illegal strike
and any worker or union officer who knowingly participates in the PHIL. DIAMOND HOTEL AND RESORT INC. V. MANILA DIAMOND HOTEL EMPLOYEES UNION (06)
commission of illegal acts during a strike may be declared to have lost his
employment status: Provided, That mere participation of a worker in a
lawful strike shall not constitute sufficient ground for termination of his
employment, even if a replacement had been hired by the employer during
such lawful strike.
2. Effect of illegality
Art. 265. Improved offer balloting. In an effort to settle a strike, the Department of Art. 264. Prohibited activities.
Labor and Employment shall conduct a referendum by secret ballot on the improved
offer of the employer on or before the 30th day of the strike. When at least a a. No labor organization or employer shall declare a strike or lockout without
majority of the union members vote to accept the improved offer the striking first having bargained collectively in accordance with Title VII of this Book
workers shall immediately return to work and the employer shall thereupon readmit or without first having filed the notice required in the preceding Article or
them upon the signing of the agreement. without the necessary strike or lockout vote first having been obtained and
reported to the Ministry.
In case of a lockout, the Department of Labor and Employment shall also conduct a
referendum by secret balloting on the reduced offer of the union on or before the No strike or lockout shall be declared after assumption of jurisdiction by the
30th day of the lockout. When at least a majority of the board of directors or President or the Minister or after certification or submission of the dispute
trustees or the partners holding the controlling interest in the case of a partnership to compulsory or voluntary arbitration or during the pendency of cases
vote to accept the reduced offer, the workers shall immediately return to work and involving the same grounds for the strike or lockout.
the employer shall thereupon readmit them upon the signing of the
agreement. (Incorporated by Section 28, Republic Act No. 6715, March 21, 1989) Any worker whose employment has been terminated as a consequence of
any unlawful lockout shall be entitled to reinstatement with full
SUKHOTAL CUISINE ETC. V. CA (06) backwages. Any union officer who knowingly participates in an illegal strike
and any worker or union officer who knowingly participates in the
commission of illegal acts during a strike may be declared to have lost his
VII. Economic Weapons Strikes and Lockouts 83

employment status: Provided, That mere participation of a worker in a STAMFORD MARKETING CORP V. JULIAN (04)
lawful strike shall not constitute sufficient ground for termination of his
employment, even if a replacement had been hired by the employer during
such lawful strike.

NATIONAL UNION OF WORKERS IN HOTELS, ETC. V. CA (08)


PHIL. DIAMOND HOTEL AND RESORT INC. V. MANILA DIAMOND HOTEL EMPLOYEES UNION (06)

TOYOTA MOTORS PHILS. CORP. V. WORKERS ASSOC. (TMPCWA) V. NLRC (07)


ARELLANO UNIV. EES UNION V. CA (06)

G AND S TRANSPORT CORP. V. INFANTE (07)


3. Employment of strikes breakers
Art. 264. Prohibited activities.

(c) No employer shall use or employ any strike-breaker, nor shall any person be
employed as a strike-breaker.
NISSAN MOTORS V. SEC. DOLE (06)
Art. 212. Definitions. (r) "Strike-breaker" means any person who obstructs, impedes,
or interferes with by force, violence, coercion, threats, or intimidation any peaceful
picketing affecting wages, hours or conditions of work or in the exercise of the right
of self-organization or collective bargaining.
PHILCOM EES UNION V. PHIL. GLOBAL COMMUNICATIONS (06)
5. Strike area and run-away shop
BOOK FIVE
Labor Relations

RULE I
GRAND BOULEVARD HOTEL V. GENUINE LABOR ORGANIZATION (03)
Definition of Terms

SECTION 1. Definition of terms.

(a) "Commission" means the National Labor Relations Commission.


SAN JUAN DE DIOS V. SAN JUAN DE DIOS (04)
(b) "Bureau" means the Bureau of Labor Relations and/or the Industrial Relations
Division in the Regional Offices of the Department of Labor and Employment.

(c) "Board" means the National Conciliation and Mediation Board.


VII. Economic Weapons Strikes and Lockouts 84

(d) "Code" means the Labor Code of the Philippines, as amended. (o) "Managerial Employee" is one who is vested with powers or prerogatives to lay
down and execute management policies and/or to hire, transfer, suspend, layoff,
(e) "Employer" includes any person acting in the interest of an employer, directly or recall, discharge, assign or discipline employees. Supervisory employees are those
indirectly. The term shall not include any labor organization or any of its officers or who, in the interest of the employer, effectively recommend such managerial
agents except when acting as employer. actions if the exercise of such authority is not merely routinary or clerical in nature
but require the use of independent judgment. All employees not falling within any of
(f) "Employee" includes any person in the employ of a particular employer. The term the above definitions are considered rank-and-file employees for purposes of this
shall not be limited to the employees of a particular employer, unless the Code so Book.
explicitly states. It shall include any individual whose work has ceased as a result of
or in connection with any current labor dispute or because of any unfair labor (p) "Voluntary Arbitrator" means any person accredited by the Board as such, or any
practice if he has not obtained any other substantially equivalent and regular person named or designated in the collective bargaining agreement, by the parties
employment. to act as their voluntary arbitrator, or one chosen, with or without the assistance of
the National Conciliation and Mediation Board, pursuant to a selection procedure
(g) "Labor Organization" means any union or association of employees which exists agreed upon in the collective bargaining agreement, or any official that may be
in whole or in part for the purpose of collective bargaining or of dealing with authorized by the Secretary of Labor and Employment to act as voluntary arbitrator
employers concerning terms and conditions of employment. upon the written request and agreement of the parties to a labor dispute.
(h) "Local Union" means any labor organization operating at the enterprise level. (q) "Strike" means any temporary stoppage of work by the concerted action of
employees as a result of a labor or industrial dispute.
(i) "National Union/Federation" means any labor organization with at least ten (10)
locals or chapters each of which must be a duly recognized collective bargaining (r) "Strike-Breaker" means any person who obstructs, impedes, or interferes with by
agent. force, violence, coercion, threats or intimidation any peaceful picketing by
employees during any labor controversy affecting wages, hours or conditions of
(j) "Legitimate Labor Organization" means any labor organization duly registered
work or in the exercise of the right of self-organization or collective bargaining.
with the Department of Labor and Employment and includes any branch, local or
affiliate thereof. (s) "Strike Area" means the establishment, warehouse, depots, plants or offices,
including the sites or premises used as run-away shops, of the employer struck
(k) "Company Union" means any labor organization whose formation, function or
against, as well as the immediate vicinity actually used by picketing strikers in
administration has been assisted by any act defined as unfair labor practice by the
moving to and fro before all points of entrance to and exits from said establishment.
Code.
(t) "Lockout" means the temporary refusal of an employer to furnish work as a result
(l) "Bargaining Representative" means a legitimate labor organization or any duly
of a labor or industry dispute.
authorized officer or agent of such organization whether or not employed by the
employer. (u) "Internal Union Dispute" includes all disputes or grievances arising from any
violation of or disagreement over any provision of the constitution and by-laws of a
(m) "Unfair Labor Practice" means any unfair labor practice as expressly defined in
union, including any violation of the rights and conditions of union membership
the Code.
provided for in this Code.
(n) "Labor or Industrial Dispute" includes any controversy or matter concerning
(v) "Appeal" means the elevation by an aggrieved party of any decision, order or
terms or conditions of employment or the association or representation of persons
award of a lower body to a higher body, by means of a pleading which includes the
in negotiating the fixing, maintaining, changing or arranging of terms and
assignment of errors, memorandum of arguments in support thereof, and the reliefs
conditions of employment regardless of whether or not the disputants stand in the
prayed for. A mere notice of appeal, therefore, does not constitute the appeal as
proximate relationship of employers and employees.
VII. Economic Weapons Strikes and Lockouts 85

herein defined and understood, and shall not stop the running of the period for (hh) "Term of Office" means the tenure of office of elected officials of a labor
perfecting an appeal. organization which is for a fixed period of five (5) years.

(w) "Perfection of an Appeal" includes the filing within the prescribed period, of the (ii) "Cabo" refers to a person or group or persons or to a labor group which, in the
memorandum of appeal containing, among others, the assignment of error/s, the guise of a labor organization, supplies workers to an employer, with or without any
argument in support thereof, the reliefs sought and posting of the appeal bond. monetary or other consideration whether in the capacity of an agent of the
employer or as an ostensible independent contractor.
(x) "Certification Election" means the process of determining, through secret ballot,
the sole and exclusive bargaining agent of the employees in an appropriate (jj) "Collective Bargaining Agreement" refers to the negotiated contract between a
bargaining unit, for purposes of collective bargaining. legitimate labor organization and the employer concerning wages, hours of work
and all other terms and conditions of employment in a bargaining unit, including
(y) "Consent Election" means the election voluntarily agreed upon by the parties to mandatory provisions for grievances and arbitration machineries.
determine the issue of majority representation of all the workers in the appropriate
collective bargaining unit. (kk) "Med-Arbiter" is an official in the Regional Office authorized to hear, conciliate,
mediate and decide representation cases, internal union and inter-union disputes.
(z) "Run-Off" refers to an election between the labor unions receiving the two (2)
higher number of voters when a certification election which provides for three (3) or (ll) "Administrator" refers to the Administrator of the Philippine Overseas
more choices results in no choice receiving a majority of the valid votes cast, where Employment Administration or the National Conciliation and Mediation Board as
the total number of votes for all contending unions is at least fifty percent (50%) of the context so indicates.
the number of votes cast.
RULE II
(aa) "Registration of Agreement" refers to the filing of the collective bargaining Registration of Unions
agreement with the Regional Office or the Bureau accompanied by verified proof of
posting and ratification and payment of fee. SECTION 1. Who may join unions. All persons employed in commercial, industrial
and agricultural enterprises, including employees of government corporations
(bb) "Organized Establishment" refers to a firm or company where there is a established under the Corporation Code as well as employees of religious, medical or
recognized or certified exclusive bargaining agent. educational institutions whether operating for profit or not, except managerial
employees, shall have the right to self-organization and to form, join or assist labor
(cc) "Registration Proceedings" refer to proceedings involving the application for organizations for purposes of collective bargaining. Ambulant, intermittent and
registration of labor organizations. itinerant workers, self-employed people, rural workers and those without any
definite employers may form labor organizations for their mutual aid and
(dd) "Cancellation Proceeding" is the process leading to the revocation of the protection.
registration certificate of a labor organization after due process.
Supervisory employees and security guards shall not be eligible for membership in a
(ee) "Hearing Officers" are officers appointed/designated in the Regional Office and labor organization of the rank-and-file employees but may join, assist or form
authorized to hear and decide cases under Section 2 of Republic Act No. 6715 and separate labor organizations of their own; Provided, that those supervisory
whose decision is appealable to the Commission. employees who are included in an existing rank-and-file bargaining unit, upon the
effectivity of Republic Act No. 6715, shall remain in that unit; Provided, further, that
(ff) "Union Accounts Examiners" are officials in the Bureau or the Industrial
alien employees with valid working permits issued by the Department of Labor and
Relations Division in the Regional Office empowered to audit books of accounts of
Employment may exercise the right to self-organization and join or assist labor
the union.
organizations for purposes of collective bargaining if they are nationals of a country
(gg) "Representation Officer" refer to a person duly authorized to conduct and which grants the same or similar rights to Filipino workers, as certified by the
supervise certification elections in accordance with Rule VI of this Book. Department of Foreign Affairs.
VII. Economic Weapons Strikes and Lockouts 86

For the purpose of this Section, any employee, whether employed for a definite SECTION 4. Requirements for registration of local unions; applications. The
period or not, shall, beginning on the first day of his service, be eligible for application for registration of a local union shall be signed by at least twenty
membership in the union. percent (20%) of the employees in the appropriate bargaining unit which the
applicant union seeks to represent, and shall be accompanied by the following:
SECTION 2. Where to file application; procedure. Any national labor
organization or labor federation or local union may file an application for (a) Fifty-peso registration fee;
registration with the Bureau or the Regional Office where the applicant's principal
office is located. The Bureau or the Regional Office shall immediately process and (b) The names of its officers, their addresses, the principal address of the labor
approve or deny the application. In case of approval, the Bureau or the Regional organization, the minutes of the organizational meetings and the list of the workers
Office shall issue the registration certificate within thirty (30) calendar days from who participated in such meetings;
receipt of the application, together with all the requirements for registration as
hereinafter provided. (c) The names of all its members and the number of employees in the bargaining
unit;
SECTION 3. Union affiliation; direct membership with national union. An
affiliate of a labor federation or national union may be a local or chapter thereof or (d) If the applicant union has been in existence for one or more years, copies of its
an independently registered union. annual financial reports;

(a) The labor federation or national union concerned shall issue a charter certificate (e) Four copies of its constitution and by-laws, minutes of its adoption or ratification,
indicating the creation or establishment of a local or chapter, copy of which shall be and the list of the members who participated in it;
submitted to the Bureau of Labor Relations within thirty (30) days from issuance of
(f) A sworn statement by the applicant union that there is no certified bargaining
such charter certificate.
agent in the bargaining unit concerned. In case where there is an existing collective
(b) An independently registered union shall be considered an affiliate of a labor bargaining agreement duly submitted to the Department of Labor and Employment,
federation or national union after submission to the Bureau of the contract or a sworn statement that the application for registration is filed during the last sixty
agreement of affiliation within thirty (30) days after its execution. (60) days of the agreement; and

(c) All existing labor federations or national unions are required to submit a list of all (g) The application for registration and all the accompanying documents shall be
their affiliates, their addresses and including the names and addresses of their verified under oath by the secretary or the treasurer, as the case may be, and
respective officials, to the Bureau within thirty (30) days from effectivity of these attested to by the president.
Rules.
SECTION 5. Denial of registration of local unions. The Regional Office of the
(d) All existing labor federations or national unions with direct members are Bureau may deny the application for registration on grounds of non-compliance
required to organize said members into locals or chapters in their respective with the requirements enumerated in Section 4 hereof.
companies or establishments within sixty (60) days from effectivity of these Rules.
The decision of the Regional Office or the Bureau denying the application for
(e) The local or chapter of a labor federation or national union shall have and registration shall be in writing, stating in clear terms the reasons therefor. A copy
maintain constitution and by-laws, set of officers and books of accounts. For thereof shall be furnished the applicant union.
reporting purposes, the procedure governing the reporting of independently
SECTION 6. Appeal. Any applicant union may appeal to the Bureau the denial of
registered unions, federations or national unions shall be observed.
registration by the Regional Office, or to the Secretary if the denial is by the Bureau,
(f) No person who is not an employee or worker of the company or establishment within ten (10) calendar days from receipt of such decision on grounds of:
where an independently registered union, affiliate, local or chapter of a labor
(a) Grave abuse of discretion; and
federation or national union operates shall henceforth be elected or appointed as an
officer of such union, affiliate, local or chapter.
VII. Economic Weapons Strikes and Lockouts 87

(b) Gross incompetence. and its Implementing Rules six (6) months after the effectivity of Republic Act No.
6715.
The appeal shall be filed in the Regional Office/Bureau which shall cause the
transmittal of the records to the Bureau/Secretary within five (5) calendar days from (b) The reports required under this section shall be submitted to the Bureau or the
receipt of the appeal. Regional Office.

The Bureau/Secretary shall decide the appeal within twenty (20) calendar days from COMPLEX ELECTRONICS ASSOC. V. NLRC (99)
receipt of the records of the case.

SECTION 7. Cancellation of registration certificate. The certificate of registration


of any legitimate labor organization including labor federations or national unions
may be cancelled by the Bureau or the Regional Office on any of the following
grounds: 5. Improved offer balloting and strikes
Art. 265. Improved offer balloting. In an effort to settle a strike, the Department of
(a) Violation of Articles 234, 237 and 239 of the Code; Labor and Employment shall conduct a referendum by secret ballot on the improved
offer of the employer on or before the 30th day of the strike. When at least a
(b) Failure to comply with Article 238 of the Code; and
majority of the union members vote to accept the improved offer the striking
(c) Violation of any of the provisions of Article 241 of the Code. workers shall immediately return to work and the employer shall thereupon readmit
them upon the signing of the agreement.
SECTION 8. Notice of Cancellation. The Bureau or the Regional Office shall serve
a notice of the cancellation proceedings on the labor organization concerned stating In case of a lockout, the Department of Labor and Employment shall also conduct a
the grounds therefor, at least fifteen (15) calendar days before the scheduled date referendum by secret balloting on the reduced offer of the union on or before the
of hearing. In such hearing, the representative of the labor organization shall have 30th day of the lockout. When at least a majority of the board of directors or
the right to present its side. trustees or the partners holding the controlling interest in the case of a partnership
vote to accept the reduced offer, the workers shall immediately return to work and
SECTION 9. Appeal. The labor organization may, unless the law provides the employer shall thereupon readmit them upon the signing of the
otherwise, within fifteen (15) calendar days from receipt of the decision cancelling agreement. (Incorporated by Section 28, Republic Act No. 6715, March 21, 1989)
or revoking its certificate of registration, file an appeal to the Bureau, or in case of
cancellation by the Bureau, to the Secretary, on any of the following grounds: Art. 212 (v). "Appeal" means the elevation by an aggrieved party of any decision,
order or award of a lower body to a higher body, by means of a pleading which
(a) Grave abuse of discretion; and includes the assignment of errors, memorandum of arguments in support thereof,
and the reliefs prayed for. A mere notice of appeal, therefore, does not constitute
(b) Gross incompetence. the appeal as herein defined and understood, and shall not stop the running of the
period for perfecting an appeal.
The Bureau/Secretary shall have fifteen (15) calendar days from receipt of the
records of the case within which to decide the appeal. The decision shall be final and
unappealable. VIII. Burden of economic loss
SECTION 10. Rights of labor organizations. A legitimate labor organization shall PHIL. DIAMOND HOTEL AND RESORT INC. V. MANILA DIAMOND HOTEL EMPLOYEES UNION (04)
have the rights enumerated in Article 242 of the Code.

SECTION 11. Automatic cancellation of union registration. (a) The Bureau or the
Regional Office shall, after due process, cancel the certificate of registration of any
labor organization which fails to submit the financial reports required by the Code
VII. Economic Weapons Strikes and Lockouts 88

CROWNWELL COMMERCIAL EMPLOYEES AND LABORERS UNION V. CIR (64)

CONSOLIDATED LABOR ASSOC. B. MARSMAN AND CO. (64)

SSS V. SSS SUPERVISORS UNION (82)

PHIL. INTERFASHION INC. V. NLRC (82)

LAPANDAY WORKERS UNION V. NLRC (95)


VIII. Picketing 89

VIII. Picketing

A. Definition and Basis C. Picketing and libel laws


Blacks Law Dictionary Art. 353. Definition of libel. A libel is public and malicious imputation of a crime,
or of a vice or defect, real or imaginary, or any act, omission, condition, status, or
: by members of a trade union on strike, consists in posting members at all the
circumstance tending to cause the dishonor, discredit, or contempt of a natural or
approaches to the works struck against, for the purpose of observing and re- porting
juridical person, or to blacken the memory of one who is dead.
the workmen going to or coming from the works, and of using such influence as may
be in their power to prevent the workmen from accepting work there. PHIL. COMMERCIAL AND INDUSTRIAL BANK PHILNABANK EMPLOYEES (81)
Art. III Sec. 4. No law shall be passed abridging the freedom of speech, of
expression, or of the press, or the right of the people peaceably to assemble and
petition the government for redress of grievances.

B. Nature and purpose of picket line D. Employer-employee relationship


STA. ROSA COCA-COLA PLANT EMPLOYEES UNION V. COCA-COLA BOTTLERS PHILS. INC. (07) DE LEON V. NATIONAL LABOR UNION (57)

INSULAR LIFE ASSURANCE CO. LTD. EMPLOYEES V. INSULAR LIFE ASSURANCE CO. LTD. (71) CRUZ V. CINEMA STAGE (57)

SECURITY BANK EMPLOYEES UNION V. SECURITY BANK AND TRUST CO. (68)
E. Curtailment
FREE TELEPHONE WORKERS UNION V. PHIL. LONG DISTANCE CO. (82)

MONTERA V. CIR (47)

NAGKAKAISANG MANGGAGAWA SA CUIZON HOTEL V. LIBRON (83)

PHIL. ASSOC. OF FREE LABOR UNIONS V. CLORIBEL (69)


VIII. Picketing 90

F. Restrictions, innocent third party rule and liabilities


LIWAYWAY PUBLISHING CO. INC. V. PERMANENT CONCRETE WORKERS UNION (81)

MSF TIRE AND RUBBER INC. V. CA (99)

Prohibited activities peaceful picketing


Art. 264. Prohibited activities.

b. No person shall obstruct, impede, or interfere with, by force, violence,


coercion, threats or intimidation, any peaceful picketing by employees
during any labor controversy or in the exercise of the right to self-
organization or collective bargaining, or shall aid or abet such obstruction
or interference.

RPC Art. 289. Formation, maintenance and prohibition of combination of capital


or labor through violence or threats. The penalty of arresto mayor and a fine not
exceeding 300 pesos shall be imposed upon any person who, for the purpose of
organizing, maintaining or preventing coalitions or capital or labor, strike of
laborers or lock-out of employees, shall employ violence or threats in such a degree
as to compel or force the laborers or employers in the free and legal exercise of their
industry or work, if the act shall not constitute a more serious offense in accordance
with the provisions of this Code.

RPC Art. 312. Occupation of real property or usurpation of real rights in


property. Any person who, by means of violence against or intimidation of
persons, shall take possession of any real property or shall usurp any real rights in
property belonging to another, in addition to the penalty incurred for the acts of
violence executed by him, shall be punished by a fine from 50 to 100 per centum of
the gain which he shall have obtained, but not less than 75 pesos.

If the value of the gain cannot be ascertained, a fine of from 200 to 500 pesos shall
be imposed.
IX. Labor Injunction 91

IX. Labor Injunction


DELTA VENTURES RESOURCE INC V. CABATO (00)

I. Definition and Nature


Dictionary definition
RAVAGO V. EASTERN MARINE LTD. (05)

PHIL. AIRLINES INC. V. NLRC (98)

IV. Issuing Agency

A. National Labor Relations Commission and role of labor arbiter


Art. 218. Powers of the Commission. The Commission shall have the power and
II. General rule prohibition authority:
Art. 254. Injunction prohibited. No temporary or permanent injunction or
(e) To enjoin or restrain any actual or threatened commission of any or all prohibited
restraining order in any case involving or growing out of labor disputes shall be
or unlawful acts or to require the performance of a particular act in any labor
issued by any court or other entity, except as otherwise provided in Articles 218 and
dispute which, if not restrained or performed forthwith, may cause grave or
264 of this Code. (As amended by Batas Pambansa Bilang 227, June 1, 1982)
irreparable damage to any party or render ineffectual any decision in favor of such
CALTEX FILIPINO MANAGERS AND SUPERVISORS ASSOCIATION V. CIR (84) party: Provided, That no temporary or permanent injunction in any case involving or
growing out of a labor dispute as defined in this Code shall be issued except after
hearing the testimony of witnesses, with opportunity for cross-examination, in
support of the allegations of a complaint made under oath, and testimony in
opposition thereto, if offered, and only after a finding of fact by the Commission, to
the effect:
SAN MIGUEL CORP. V.NLRC (03)
1. That prohibited or unlawful acts have been threatened and will be
committed and will be continued unless restrained, but no injunction or
temporary restraining order shall be issued on account of any threat,
prohibited or unlawful act, except against the person or persons,
ILAW AT BUKLOD NG MANGGAGAWA (IBM) V. NLRC (98) association or organization making the threat or committing the prohibited
or unlawful act or actually authorizing or ratifying the same after actual
knowledge thereof;

2. That substantial and irreparable injury to complainants property will


follow;
PHIL. AIRLINES INC V. NLRC (98)
IX. Labor Injunction 92

3. That as to each item of relief to be granted, greater injury will be inflicted NESTLE PHILS. INC. V. NLRC (91)
upon complainant by the denial of relief than will be inflicted upon
defendants by the granting of relief;

4. That complainant has no adequate remedy at law; and

5. That the public officers charged with the duty to protect complainants PHILIPPINE AIRLINES INC. V. NLRC (98)
property are unable or unwilling to furnish adequate protection.

Such hearing shall be held after due and personal notice thereof has been served, in
such manner as the Commission shall direct, to all known persons against whom
relief is sought, and also to the Chief Executive and other public officials of the
province or city within which the unlawful acts have been threatened or committed,
B. Injunction and med-arbiter
charged with the duty to protect complainants property: Provided, however, that if DINIO V. LAGUESMA (97)
a complainant shall also allege that, unless a temporary restraining order shall be
issued without notice, a substantial and irreparable injury to complainants property
will be unavoidable, such a temporary restraining order may be issued upon
testimony under oath, sufficient, if sustained, to justify the Commission in issuing a
temporary injunction upon hearing after notice. Such a temporary restraining order
shall be effective for no longer than twenty (20) days and shall become void at the C. Procedural requirements and rules for the issuance of labor
expiration of said twenty (20) days. No such temporary restraining order or injunctions
temporary injunction shall be issued except on condition that complainant shall first
Art. 218. Powers of the Commission. The Commission shall have the power and
file an undertaking with adequate security in an amount to be fixed by the
authority:
Commission sufficient to recompense those enjoined for any loss, expense or
damage caused by the improvident or erroneous issuance of such order or (e) To enjoin or restrain any actual or threatened commission of any or all prohibited
injunction, including all reasonable costs, together with a reasonable attorneys fee, or unlawful acts or to require the performance of a particular act in any labor
and expense of defense against the order or against the granting of any injunctive dispute which, if not restrained or performed forthwith, may cause grave or
relief sought in the same proceeding and subsequently denied by the Commission. irreparable damage to any party or render ineffectual any decision in favor of such
party: Provided, That no temporary or permanent injunction in any case involving or
The undertaking herein mentioned shall be understood to constitute an agreement growing out of a labor dispute as defined in this Code shall be issued except after
entered into by the complainant and the surety upon which an order may be hearing the testimony of witnesses, with opportunity for cross-examination, in
rendered in the same suit or proceeding against said complainant and surety, upon support of the allegations of a complaint made under oath, and testimony in
a hearing to assess damages, of which hearing, complainant and surety shall have opposition thereto, if offered, and only after a finding of fact by the Commission, to
reasonable notice, the said complainant and surety submitting themselves to the the effect:
jurisdiction of the Commission for that purpose. But nothing herein contained shall
deprive any party having a claim or cause of action under or upon such undertaking 1. That prohibited or unlawful acts have been threatened and will be
from electing to pursue his ordinary remedy by suit at law or in equity: Provided, committed and will be continued unless restrained, but no injunction or
further, That the reception of evidence for the application of a writ of injunction may temporary restraining order shall be issued on account of any threat,
be delegated by the Commission to any of its Labor Arbiters who shall conduct such prohibited or unlawful act, except against the person or persons,
hearings in such places as he may determine to be accessible to the parties and their association or organization making the threat or committing the prohibited
witnesses and shall submit thereafter his recommendation to the Commission. (As or unlawful act or actually authorizing or ratifying the same after actual
amended by Section 10, Republic Act No. 6715, March 21, 1989) knowledge thereof;
IX. Labor Injunction 93

2. That substantial and irreparable injury to complainants property will witnesses and shall submit thereafter his recommendation to the Commission. (As
follow; amended by Section 10, Republic Act No. 6715, March 21, 1989)

3. That as to each item of relief to be granted, greater injury will be inflicted ILAW AT BUKLOD NG MANGGAGAWA (IBM) V. NLRC (91)
upon complainant by the denial of relief than will be inflicted upon
defendants by the granting of relief;

4. That complainant has no adequate remedy at law; and

5. That the public officers charged with the duty to protect complainants BISIG NG MANGGAGAWA V. NLRC (93)
property are unable or unwilling to furnish adequate protection.

Such hearing shall be held after due and personal notice thereof has been served, in
such manner as the Commission shall direct, to all known persons against whom
relief is sought, and also to the Chief Executive and other public officials of the
RAVAGO V. EASTERN MARINE (05)
province or city within which the unlawful acts have been threatened or committed,
charged with the duty to protect complainants property: Provided, however, that if
a complainant shall also allege that, unless a temporary restraining order shall be
issued without notice, a substantial and irreparable injury to complainants property
will be unavoidable, such a temporary restraining order may be issued upon
testimony under oath, sufficient, if sustained, to justify the Commission in issuing a
temporary injunction upon hearing after notice. Such a temporary restraining order
shall be effective for no longer than twenty (20) days and shall become void at the
expiration of said twenty (20) days. No such temporary restraining order or
temporary injunction shall be issued except on condition that complainant shall first
file an undertaking with adequate security in an amount to be fixed by the
Commission sufficient to recompense those enjoined for any loss, expense or
damage caused by the improvident or erroneous issuance of such order or
injunction, including all reasonable costs, together with a reasonable attorneys fee,
and expense of defense against the order or against the granting of any injunctive
relief sought in the same proceeding and subsequently denied by the Commission.

The undertaking herein mentioned shall be understood to constitute an agreement


entered into by the complainant and the surety upon which an order may be
rendered in the same suit or proceeding against said complainant and surety, upon
a hearing to assess damages, of which hearing, complainant and surety shall have
reasonable notice, the said complainant and surety submitting themselves to the
jurisdiction of the Commission for that purpose. But nothing herein contained shall
deprive any party having a claim or cause of action under or upon such undertaking
from electing to pursue his ordinary remedy by suit at law or in equity: Provided,
further, That the reception of evidence for the application of a writ of injunction may
be delegated by the Commission to any of its Labor Arbiters who shall conduct such
hearings in such places as he may determine to be accessible to the parties and their
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 94

c. If the dispute is not settled, the Board shall intervene upon request of either
X. Alternatices to Use of Economic Weapons: or both parties or at its own initiative and immediately call the parties to
Conciliation and Arbitration as Modes of Labor conciliation meetings. The Board shall have the power to issue subpoenas
requiring the attendance of the parties to such meetings. It shall be the
Dispute Settlement duty of the parties to participate fully and promptly in the conciliation
meetings the Board may call;

d. During the conciliation proceedings in the Board, the parties are prohibited
A. Conciliation from doing any act which may disrupt or impede the early settlement of
the disputes; and
I. Policy
e. The Board shall exert all efforts to settle disputes amicably and encourage
Art. 211. Declaration of Policy.
the parties to submit their case to a voluntary arbitrator. (As amended by
A. It is the policy of the State: Section 20, Republic Act No. 6715, March 21, 1989)

e. To provide an adequate administrative machinery for the Art. 233. Privileged communication. Information and statements made at
expeditious settlement of labor or industrial disputes; conciliation proceedings shall be treated as privileged communication and shall not
be used as evidence in the Commission. Conciliators and similar officials shall not
testify in any court or body regarding any matters taken up at conciliation
proceedings conducted by them.
Art XIII Section 3. The State shall afford full protection to labor, local and overseas,
organized and unorganized, and promote full employment and equality of NISSAN MOTORS PHILS. INC. V. SEC. OF LABOR AND EMPLOYMENT (93)
employment opportunities for all.

It shall guarantee the rights of all workers to self-organizations, and peaceful


concerted activities, including the right to strike in accordance with law. They shall
be entitled to security of tenure, humane conditions of work, and a living wage.
They shall also participate in policy and decision-making processes affecting their III. Conciliation agency National conciliation and mediation board
rights and benefits as may be provided by law. EO 251.
The State shall promote the principle of shared responsibility between workers and Sec. 4. Section 22 of Executive Order No. 126 is hereby amended to read as follows:
employers and the preferential use of voluntary modes in settling disputes, including
conciliation, and shall enforce their mutual compliance therewith to foster industrial "Sec. 22. National Conciliation and Mediation Board. A National Conciliation and
peace. Mediation Board, herein referred to as the "Board", is hereby created and which
shall absorb the conciliation mediation and voluntary arbitration functions of the
The State shall regulate the relations between workers and employers, recognizing Bureau of Labor of Relations in accordance with Section 29 (c) hereof. The Board
the right of labor to its just share in the fruits of production and the right of shall be composed of an Administrator and two (2) Deputy Administrators. It shall
enterprises to reasonable returns on investments, and to expansion and growth. be an attached agency under the administrative supervision of the Secretary of
Labor and Employment.
II. Conciliation as part of collective bargaining process
The Administrators and the Deputy Administrators shall be appointed by the
Art. 250. Procedure in collective bargaining. The following procedures shall be
President upon recommendation of the Secretary of Labor and Employment. There
observed in collective bargaining:
shall be as many Conciliators-Mediators as the needs of the public service require,
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 95

who shall have at least three (3) years of experience in handling labor relations and The Tripartite Voluntary Arbitration Advisory Council shall consist of the
who shall be appointed by the Secretary. Administrator of the National Conciliation and Mediation Board as Chairman, one
other member from the government, two members representing labor, and two
The Board shall have its main office in Metropolitan Manila and its Administrators other members representing management. The members shall be appointed by the
shall exercise supervision over Conciliators-Mediators and all its personnel. It shall President to serve for a term of three (3) years. The Chairman and Members thereof
establish as many branches as there are administrative regions in the country, with shall serve without compensation."
a many Conciliator-mediators as shall be necessary for its effective operation. Each
branch of the Board shall be headed by an Executive Conciliator-Mediator. Art. 211. Declaration of Policy.

The Board shall have the following functions: A. It is the policy of the State:

(a) Formulate policies, programs, standards, procedures, manuals of operation and c. To foster the free and voluntary organization of a strong and
guidelines pertaining to effective mediation and conciliation of labor disputes; united labor movement

(b) Perform preventive mediation and conciliation functions; Conciliators Handbook, National Conciliation and Mediation Board,
DOLE
(c) Coordinate and maintain linkages with other sectors of institutions, and other
government authorities concerned with matters relative to the prevention and pp. 1, 8-13, 16-17
settlement of labor disputes;

(d) formulate policies, plans, programs, standards, procedures, manuals of


operation and guidelines pertaining to the promotion of cooperative and non-
adversarial schemes, grievance handling, voluntary arbitration and other voluntary
modes of dispute settlements;

(e) Administer the voluntary arbitration program; maintain/update a list of


voluntary arbitrations; compile arbitration awards and decisions;

(f) Provide counselling and preventive mediation assistance particularly in the


administration of collective agreement; awards and decisions;

(g) Monitor and exercise technical supervision over the Board programs being
implemented in the regional offices; and

(h) Perform such other functions as may be provided by law or assigned by the
Secretary.

A Tripartite Voluntary Arbitration Advisory Council is hereby created and attached to


the National Conciliation and Mediation Board. The Tripartite Voluntary Arbitration
Advisory Council shall advise the National Conciliation Board on matters pertaining
to the promotion of voluntary arbitration as the preferred mode of dispute
settlement.
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 96

B. Arbitration In line with the national concern for and the highest respect accorded to
the right of patients to life and health, strikes and lockouts in hospitals,
I. In general clinics and similar medical institutions shall, to every extent possible, be
avoided, and all serious efforts, not only by labor and management but
CHUNG FU INDUSTRIES V. CA (92) government as well, be exhausted to substantially minimize, if not prevent,
their adverse effects on such life and health, through the exercise, however
legitimate, by labor of its right to strike and by management to lockout. In
labor disputes adversely affecting the continued operation of such
hospitals, clinics or medical institutions, it shall be the duty of the striking
LM POWER ENGINEERING CORP. V. CAPITOL INDUSTRIAL CONSTRUCTION GROUPS (03) union or locking-out employer to provide and maintain an effective skeletal
workforce of medical and other health personnel, whose movement and
services shall be unhampered and unrestricted, as are necessary to insure
the proper and adequate protection of the life and health of its patients,
most especially emergency cases, for the duration of the strike or lockout.
In such cases, therefore, the Secretary of Labor and Employment may
FRABELLE FISHING CORP. V. PHIL. AMERICAN LIFE INSURANCE CO. (07) immediately assume, within twenty four (24) hours from knowledge of the
occurrence of such a strike or lockout, jurisdiction over the same or certify it
to the Commission for compulsory arbitration. For this purpose, the
contending parties are strictly enjoined to comply with such orders,
prohibitions and/or injunctions as are issued by the Secretary of Labor and
II. Compulsory arbitration Employment or the Commission, under pain of immediate disciplinary
action, including dismissal or loss of employment status or payment by the
A. Definition and nature of dispute subject to compulsory locking-out employer of backwages, damages and other affirmative relief,
even criminal prosecution against either or both of them.
arbitration
Art. 263. Strikes, picketing and lockouts. The foregoing notwithstanding, the President of the Philippines shall not be
precluded from determining the industries that, in his opinion, are
(g) When, in his opinion, there exists a labor dispute causing or likely to cause indispensable to the national interest, and from intervening at any time
a strike or lockout in an industry indispensable to the national interest, the and assuming jurisdiction over any such labor dispute in order to settle or
Secretary of Labor and Employment may assume jurisdiction over the terminate the same.
dispute and decide it or certify the same to the Commission for compulsory
arbitration. Such assumption or certification shall have the effect of PHIL. AIRLINES INC. V. NLRC (89)
automatically enjoining the intended or impending strike or lockout as
specified in the assumption or certification order. If one has already taken
place at the time of assumption or certification, all striking or locked out
employees shall immediately return-to-work and the employer shall
immediately resume operations and readmit all workers under the same
terms and conditions prevailing before the strike or lockout. The Secretary GTE DIRECTORIES CORP. V. GTE DIRECTORIES CORP. EMPLOYEES UNION (91)
of Labor and Employment or the Commission may seek the assistance of
law enforcement agencies to ensure compliance with this provision as well
as with such orders as he may issue to enforce the same.
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 97

YSS EMPLOYEES, INC. V. YSS LABORATORIES (09)

NATIONAL FEDERATION OF LABOR V. MOLE (83)

LUZON DEVELOPMENT BANK V. ASSOC. OF DEVT BANK EMPLOYEES (95)

PHIL. SCHOOL OF BUSNIESS ADMINISTRATION V. NORIEL (83)

PHIMCO ONDUSTRIES, INC. V. BRILLANTES (99)

UNIVERSITY OF IMMACULATE CONCEPCION, INC. V. SEC. OF LABOR (05)

TRANS-ASIA SHIPPING LINES V. CA (04)

C. Process initiation Certification of dispute

1. Initiating party
MANILA DIAMOND HOTEL EMPLOYERS UNION V. CA (05) PLDT V. MANGGAGAWA (05)

B. Rationale compulsory arbitration a. Secretary DOLE


YSS EMPLOYEES, INC. V. YSS LABORATORIES (09) Art. 263. Strikes, picketing and lockouts.

(g) When, in his opinion, there exists a labor dispute causing or likely to cause
a strike or lockout in an industry indispensable to the national interest, the
Secretary of Labor and Employment may assume jurisdiction over the
dispute and decide it or certify the same to the Commission for compulsory
MANILA CORDAGE CO. V. CIR (71)
arbitration. Such assumption or certification shall have the effect of
automatically enjoining the intended or impending strike or lockout as
specified in the assumption or certification order. If one has already taken
place at the time of assumption or certification, all striking or locked out
employees shall immediately return-to-work and the employer shall
TRANS-ASIA SHIPPING LINES V. CA (04) immediately resume operations and readmit all workers under the same
terms and conditions prevailing before the strike or lockout. The Secretary
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 98

of Labor and Employment or the Commission may seek the assistance of (g) When, in his opinion, there exists a labor dispute causing or likely to cause
law enforcement agencies to ensure compliance with this provision as well a strike or lockout in an industry indispensable to the national interest, the
as with such orders as he may issue to enforce the same. Secretary of Labor and Employment may assume jurisdiction over the
In line with the national concern for and the highest respect accorded to dispute and decide it or certify the same to the Commission for compulsory
the right of patients to life and health, strikes and lockouts in hospitals, arbitration. Such assumption or certification shall have the effect of
clinics and similar medical institutions shall, to every extent possible, be automatically enjoining the intended or impending strike or lockout as
avoided, and all serious efforts, not only by labor and management but specified in the assumption or certification order. If one has already taken
government as well, be exhausted to substantially minimize, if not prevent, place at the time of assumption or certification, all striking or locked out
their adverse effects on such life and health, through the exercise, however employees shall immediately return-to-work and the employer shall
legitimate, by labor of its right to strike and by management to lockout. In immediately resume operations and readmit all workers under the same
labor disputes adversely affecting the continued operation of such terms and conditions prevailing before the strike or lockout. The Secretary
hospitals, clinics or medical institutions, it shall be the duty of the striking of Labor and Employment or the Commission may seek the assistance of
union or locking-out employer to provide and maintain an effective skeletal law enforcement agencies to ensure compliance with this provision as well
workforce of medical and other health personnel, whose movement and as with such orders as he may issue to enforce the same.
services shall be unhampered and unrestricted, as are necessary to insure In line with the national concern for and the highest respect accorded to
the proper and adequate protection of the life and health of its patients, the right of patients to life and health, strikes and lockouts in hospitals,
most especially emergency cases, for the duration of the strike or lockout. clinics and similar medical institutions shall, to every extent possible, be
In such cases, therefore, the Secretary of Labor and Employment may avoided, and all serious efforts, not only by labor and management but
immediately assume, within twenty four (24) hours from knowledge of the government as well, be exhausted to substantially minimize, if not prevent,
occurrence of such a strike or lockout, jurisdiction over the same or certify it their adverse effects on such life and health, through the exercise, however
to the Commission for compulsory arbitration. For this purpose, the legitimate, by labor of its right to strike and by management to lockout. In
contending parties are strictly enjoined to comply with such orders, labor disputes adversely affecting the continued operation of such
prohibitions and/or injunctions as are issued by the Secretary of Labor and hospitals, clinics or medical institutions, it shall be the duty of the striking
Employment or the Commission, under pain of immediate disciplinary union or locking-out employer to provide and maintain an effective skeletal
action, including dismissal or loss of employment status or payment by the workforce of medical and other health personnel, whose movement and
locking-out employer of backwages, damages and other affirmative relief, services shall be unhampered and unrestricted, as are necessary to insure
even criminal prosecution against either or both of them. the proper and adequate protection of the life and health of its patients,
most especially emergency cases, for the duration of the strike or lockout.
The foregoing notwithstanding, the President of the Philippines shall not be In such cases, therefore, the Secretary of Labor and Employment may
precluded from determining the industries that, in his opinion, are immediately assume, within twenty four (24) hours from knowledge of the
indispensable to the national interest, and from intervening at any time occurrence of such a strike or lockout, jurisdiction over the same or certify it
and assuming jurisdiction over any such labor dispute in order to settle or to the Commission for compulsory arbitration. For this purpose, the
terminate the same. contending parties are strictly enjoined to comply with such orders,
prohibitions and/or injunctions as are issued by the Secretary of Labor and
PLDT V. MANGGAGAWA (05) Employment or the Commission, under pain of immediate disciplinary
action, including dismissal or loss of employment status or payment by the
locking-out employer of backwages, damages and other affirmative relief,
even criminal prosecution against either or both of them.

b. President The foregoing notwithstanding, the President of the Philippines shall not be
precluded from determining the industries that, in his opinion, are
Art. 263. Strikes, picketing and lockouts. indispensable to the national interest, and from intervening at any time
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 99

and assuming jurisdiction over any such labor dispute in order to settle or Art. 263. Strikes, picketing and lockouts.
terminate the same.
(g) When, in his opinion, there exists a labor dispute causing or likely to cause
FEATI UNIVERSITY V. FEATI UNIVERSITY FACULTY CLUB (66) a strike or lockout in an industry indispensable to the national interest, the
Secretary of Labor and Employment may assume jurisdiction over the
dispute and decide it or certify the same to the Commission for compulsory
arbitration. Such assumption or certification shall have the effect of
automatically enjoining the intended or impending strike or lockout as
specified in the assumption or certification order. If one has already taken
MANILA CORDAGE CO. V. CIR (71)
place at the time of assumption or certification, all striking or locked out
employees shall immediately return-to-work and the employer shall
immediately resume operations and readmit all workers under the same
terms and conditions prevailing before the strike or lockout. The Secretary
of Labor and Employment or the Commission may seek the assistance of
CAPITOL MEDICAL CENTER V. TRAJANO (05) law enforcement agencies to ensure compliance with this provision as well
as with such orders as he may issue to enforce the same.
In line with the national concern for and the highest respect accorded to
the right of patients to life and health, strikes and lockouts in hospitals,
clinics and similar medical institutions shall, to every extent possible, be
PHILCOM EMPLOYESS UNION V. PHIL. GLOBAL COMMUNICATIONS (06) avoided, and all serious efforts, not only by labor and management but
government as well, be exhausted to substantially minimize, if not prevent,
their adverse effects on such life and health, through the exercise, however
legitimate, by labor of its right to strike and by management to lockout. In
labor disputes adversely affecting the continued operation of such
hospitals, clinics or medical institutions, it shall be the duty of the striking
UNION OF FILIPRO EMPLOYEES V. NESTLE PHILS. (90) union or locking-out employer to provide and maintain an effective skeletal
workforce of medical and other health personnel, whose movement and
services shall be unhampered and unrestricted, as are necessary to insure
the proper and adequate protection of the life and health of its patients,
most especially emergency cases, for the duration of the strike or lockout.
INTERNATIONAL PHARMACEUTICAL INC. V. SEC. OF DOLE (92) In such cases, therefore, the Secretary of Labor and Employment may
immediately assume, within twenty four (24) hours from knowledge of the
occurrence of such a strike or lockout, jurisdiction over the same or certify it
to the Commission for compulsory arbitration. For this purpose, the
contending parties are strictly enjoined to comply with such orders,
prohibitions and/or injunctions as are issued by the Secretary of Labor and
PHILTREAD WORKERS UNION V. CONFESSOR (97) Employment or the Commission, under pain of immediate disciplinary
action, including dismissal or loss of employment status or payment by the
locking-out employer of backwages, damages and other affirmative relief,
even criminal prosecution against either or both of them.

D. Arbitration agencies The foregoing notwithstanding, the President of the Philippines shall not be
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 100

precluded from determining the industries that, in his opinion, are union or locking-out employer to provide and maintain an effective skeletal
indispensable to the national interest, and from intervening at any time workforce of medical and other health personnel, whose movement and
and assuming jurisdiction over any such labor dispute in order to settle or services shall be unhampered and unrestricted, as are necessary to insure
terminate the same. the proper and adequate protection of the life and health of its patients,
most especially emergency cases, for the duration of the strike or lockout.
UNION OF FILIPRO EMPLOYEES V. NESTLE PHILS. (90) In such cases, therefore, the Secretary of Labor and Employment may
immediately assume, within twenty four (24) hours from knowledge of the
occurrence of such a strike or lockout, jurisdiction over the same or certify it
to the Commission for compulsory arbitration. For this purpose, the
contending parties are strictly enjoined to comply with such orders,
ST. SCHOLASTICAS COLLEGE V. TORRES (92) prohibitions and/or injunctions as are issued by the Secretary of Labor and
Employment or the Commission, under pain of immediate disciplinary
action, including dismissal or loss of employment status or payment by the
locking-out employer of backwages, damages and other affirmative relief,
even criminal prosecution against either or both of them.

E. Effect of certification and violation of order The foregoing notwithstanding, the President of the Philippines shall not be
Art. 263. Strikes, picketing and lockouts. precluded from determining the industries that, in his opinion, are
indispensable to the national interest, and from intervening at any time
(g) When, in his opinion, there exists a labor dispute causing or likely to cause and assuming jurisdiction over any such labor dispute in order to settle or
a strike or lockout in an industry indispensable to the national interest, the terminate the same.
Secretary of Labor and Employment may assume jurisdiction over the
dispute and decide it or certify the same to the Commission for compulsory YSS EMPLOYEES, INC. V. YSS LABORATORIES (09)
arbitration. Such assumption or certification shall have the effect of
automatically enjoining the intended or impending strike or lockout as
specified in the assumption or certification order. If one has already taken
place at the time of assumption or certification, all striking or locked out
employees shall immediately return-to-work and the employer shall PHILCOM EMPLOYESS UNION V. PHIL. GLOBAL COMMUNICATIONS (06)
immediately resume operations and readmit all workers under the same
terms and conditions prevailing before the strike or lockout. The Secretary
of Labor and Employment or the Commission may seek the assistance of
law enforcement agencies to ensure compliance with this provision as well
as with such orders as he may issue to enforce the same.
In line with the national concern for and the highest respect accorded to MANILA HOTEL EES ASSOC. V. MANILA HOTEL CORP. (07)
the right of patients to life and health, strikes and lockouts in hospitals,
clinics and similar medical institutions shall, to every extent possible, be
avoided, and all serious efforts, not only by labor and management but
government as well, be exhausted to substantially minimize, if not prevent,
their adverse effects on such life and health, through the exercise, however GRAND BOULEVARD HOTEL V. GRAND LABOR ORGANIZATION (03)
legitimate, by labor of its right to strike and by management to lockout. In
labor disputes adversely affecting the continued operation of such
hospitals, clinics or medical institutions, it shall be the duty of the striking
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 101

President, the Secretary of Labor and Employment, the Commission or the voluntary
arbitrator shall be final and executory ten (10) calendar days after receipt thereof by
the parties. (As amended by Section 27, Republic Act No. 6715, March 21, 1989)

TOYOTA MOTORS PHILS. CORP. ASSOC. V. NLRC (07) PHILCOM EMPLOYESS UNION V. PHIL. GLOBAL COMMUNICATIONS (06)

SARMIENTO V. TUICO AND ASIAN TRANSMISSION CORP. (ATC) V. NLRC (88) NISSAN MOTORS V. SEC. DOLE (06)

TELEFUNKEN SEMI-CONDUCTOR EMPLOYEES UNION V. CA (00) MANILA ELECTRIC V. QUISUMBING (00)

TRANS-ASIA SHIPPING LINES, INC. UNLICENSED CREWS EMPLOYEES UNION V. CA (04) LMG CHEMICALS CORP. V. SEC. DOLE (01)

UNIVERSITY OF SAN AGUSTIN V. CA (06) PHIL. AIRLINES V. AIRLINE PILOTS (02)

UNION OF FILIPRO EMPLOYEES V. NESTLE PHILS. (90) TELEFUNKEN SEMI-CONDUCTOR EMPLOYEES UNION V. CA (00)

F. Awards and orders INTERPHIL LABORATORIES UNION V. INTERPHIL LABORATORIES (01)


Art. 263. Strikes, picketing and lockouts.

(i) The Secretary of Labor and Employment, the Commission or the voluntary
arbitrator shall decide or resolve the dispute, as the case may be. The decision of the
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 102

G. Option submit case to voluntary arbitration after certification conciliation, and shall enforce their mutual compliance therewith to foster industrial
peace.
Art. 263. Strikes, picketing and lockouts.
The State shall regulate the relations between workers and employers, recognizing
(h) Before or at any stage of the compulsory arbitration process, the parties
the right of labor to its just share in the fruits of production and the right of
may opt to submit their dispute to voluntary arbitration.
enterprises to reasonable returns on investments, and to expansion and growth,
H. Compulsory arbitration and labor rights Art. 211. Declaration of Policy.
PHILTREAD WORKERS UNION V. CONFESSOR (97)
A. It is the policy of the State:

a. To promote and emphasize the primacy of free collective


bargaining and negotiations, including voluntary arbitration,
mediation and conciliation, as modes of settling labor or industrial
III. Voluntary arbitration disputes;

A. Defined Art. 260. Grievance machinery and voluntary arbitration. The parties to a
Collective Bargaining Agreement shall include therein provisions that will ensure the
LUZON DEVT BANK V. ASSOC. OF DEVT BANK EMPLOYEES (95) mutual observance of its terms and conditions. They shall establish a machinery for
the adjustment and resolution of grievances arising from the interpretation or
implementation of their Collective Bargaining Agreement and those arising from the
interpretation or enforcement of company personnel policies.

MANILA CENTRAL LINE CORP. V. MANILA CENTRAL LINE FREE WORKERS UNION (98) All grievances submitted to the grievance machinery which are not settled within
seven (7) calendar days from the date of its submission shall automatically be
referred to voluntary arbitration prescribed in the Collective Bargaining Agreement.

For this purpose, parties to a Collective Bargaining Agreement shall name and
designate in advance a Voluntary Arbitrator or panel of Voluntary Arbitrators, or
B. Basis for voluntary arbitration and rationale include in the agreement a procedure for the selection of such Voluntary Arbitrator
Art XIII Section 3. The State shall afford full protection to labor, local and overseas, or panel of Voluntary Arbitrators, preferably from the listing of qualified Voluntary
organized and unorganized, and promote full employment and equality of Arbitrators duly accredited by the Board. In case the parties fail to select a Voluntary
employment opportunities for all. Arbitrator or panel of Voluntary Arbitrators, the Board shall designate the Voluntary
Arbitrator or panel of Voluntary Arbitrators, as may be necessary, pursuant to the
It shall guarantee the rights of all workers to self-organizations, and peaceful selection procedure agreed upon in the Collective Bargaining Agreement, which
concerted activities, including the right to strike in accordance with law. They shall shall act with the same force and effect as if the Arbitrator or panel of Arbitrators
be entitled to security of tenure, humane conditions of work, and a living wage. has been selected by the parties as described above.
They shall also participate in policy and decision-making processes affecting their
rights and benefits as may be provided by law. ETERNIT EMPLOYEES AND WORKERS UNION V. DE VEYRA (90)

The State shall promote the principle of shared responsibility between workers and
employers and the preferential use of voluntary modes in settling disputes, including
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 103

C. Process encouragement/promotion The Board shall have its main office in Metropolitan Manila and its Administrators
shall exercise supervision over Conciliators-Mediators and all its personnel. It shall
Establishing machinery dispute settlement collective bargaining establish as many branches as there are administrative regions in the country, with
agreement and time frame a many Conciliator-mediators as shall be necessary for its effective operation. Each
branch of the Board shall be headed by an Executive Conciliator-Mediator.
Art. 260. Grievance machinery and voluntary arbitration. The parties to a
Collective Bargaining Agreement shall include therein provisions that will ensure the The Board shall have the following functions:
mutual observance of its terms and conditions. They shall establish a machinery for
the adjustment and resolution of grievances arising from the interpretation or (a) Formulate policies, programs, standards, procedures, manuals of operation and
implementation of their Collective Bargaining Agreement and those arising from the guidelines pertaining to effective mediation and conciliation of labor disputes;
interpretation or enforcement of company personnel policies.
(b) Perform preventive mediation and conciliation functions;
All grievances submitted to the grievance machinery which are not settled within
seven (7) calendar days from the date of its submission shall automatically be (c) Coordinate and maintain linkages with other sectors of institutions, and other
referred to voluntary arbitration prescribed in the Collective Bargaining Agreement. government authorities concerned with matters relative to the prevention and
settlement of labor disputes;
For this purpose, parties to a Collective Bargaining Agreement shall name and
designate in advance a Voluntary Arbitrator or panel of Voluntary Arbitrators, or (d) formulate policies, plans, programs, standards, procedures, manuals of
include in the agreement a procedure for the selection of such Voluntary Arbitrator operation and guidelines pertaining to the promotion of cooperative and non-
or panel of Voluntary Arbitrators, preferably from the listing of qualified Voluntary adversarial schemes, grievance handling, voluntary arbitration and other voluntary
Arbitrators duly accredited by the Board. In case the parties fail to select a Voluntary modes of dispute settlements;
Arbitrator or panel of Voluntary Arbitrators, the Board shall designate the Voluntary
Arbitrator or panel of Voluntary Arbitrators, as may be necessary, pursuant to the (e) Administer the voluntary arbitration program; maintain/update a list of
selection procedure agreed upon in the Collective Bargaining Agreement, which voluntary arbitrations; compile arbitration awards and decisions;
shall act with the same force and effect as if the Arbitrator or panel of Arbitrators
(f) Provide counselling and preventive mediation assistance particularly in the
has been selected by the parties as described above.
administration of collective agreement; awards and decisions;
EO 251.
(g) Monitor and exercise technical supervision over the Board programs being
Sec. 4. Section 22 of Executive Order No. 126 is hereby amended to read as follows: implemented in the regional offices; and

"Sec. 22. National Conciliation and Mediation Board. A National Conciliation and (h) Perform such other functions as may be provided by law or assigned by the
Mediation Board, herein referred to as the "Board", is hereby created and which Secretary.
shall absorb the conciliation mediation and voluntary arbitration functions of the
A Tripartite Voluntary Arbitration Advisory Council is hereby created and attached to
Bureau of Labor of Relations in accordance with Section 29 (c) hereof. The Board
the National Conciliation and Mediation Board. The Tripartite Voluntary Arbitration
shall be composed of an Administrator and two (2) Deputy Administrators. It shall
Advisory Council shall advise the National Conciliation Board on matters pertaining
be an attached agency under the administrative supervision of the Secretary of
to the promotion of voluntary arbitration as the preferred mode of dispute
Labor and Employment.
settlement.
The Administrators and the Deputy Administrators shall be appointed by the
The Tripartite Voluntary Arbitration Advisory Council shall consist of the
President upon recommendation of the Secretary of Labor and Employment. There
Administrator of the National Conciliation and Mediation Board as Chairman, one
shall be as many Conciliators-Mediators as the needs of the public service require,
other member from the government, two members representing labor, and two
who shall have at least three (3) years of experience in handling labor relations and
other members representing management. The members shall be appointed by the
who shall be appointed by the Secretary.
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 104

President to serve for a term of three (3) years. The Chairman and Members thereof voluntary arbitration as may be provided in said agreements. (As amended
shall serve without compensation." by Section 9, Republic Act No. 6715, March 21, 1989)

D. Arbitrable issues SAN MIGUEL FOODS INC. V. SAN MIGUEL EMPLOYEES UNION (07)
Art. 261. Jurisdiction of Voluntary Arbitrators or panel of Voluntary
Arbitrators. The Voluntary Arbitrator or panel of Voluntary Arbitrators shall have
original and exclusive jurisdiction to hear and decide all unresolved grievances
arising from the interpretation or implementation of the Collective Bargaining
Agreement and those arising from the interpretation or enforcement of company E. Arbitrator
personnel policies referred to in the immediately preceding article. Accordingly,
violations of a Collective Bargaining Agreement, except those which are gross in 1. Selection
character, shall no longer be treated as unfair labor practice and shall be resolved as
Art. 212. Definitions.
grievances under the Collective Bargaining Agreement. For purposes of this article,
gross violations of Collective Bargaining Agreement shall mean flagrant and/or (n) "Voluntary Arbitrator" means any person accredited by the Board as such or any
malicious refusal to comply with the economic provisions of such agreement. person named or designated in the Collective Bargaining Agreement by the parties
to act as their Voluntary Arbitrator, or one chosen with or without the assistance of
The Commission, its Regional Offices and the Regional Directors of the Department
the National Conciliation and Mediation Board, pursuant to a selection procedure
of Labor and Employment shall not entertain disputes, grievances or matters under
agreed upon in the Collective Bargaining Agreement, or any official that may be
the exclusive and original jurisdiction of the Voluntary Arbitrator or panel of
authorized by the Secretary of Labor and Employment to act as Voluntary Arbitrator
Voluntary Arbitrators and shall immediately dispose and refer the same to the
upon the written request and agreement of the parties to a labor dispute.
Grievance Machinery or Voluntary Arbitration provided in the Collective Bargaining
Agreement. Art. 260. Grievance machinery and voluntary arbitration. The parties to a
Collective Bargaining Agreement shall include therein provisions that will ensure the
Art. 262. Jurisdiction over other labor disputes. The Voluntary Arbitrator or panel of
mutual observance of its terms and conditions. They shall establish a machinery for
Voluntary Arbitrators, upon agreement of the parties, shall also hear and decide all
the adjustment and resolution of grievances arising from the interpretation or
other labor disputes including unfair labor practices and bargaining deadlocks.
implementation of their Collective Bargaining Agreement and those arising from the
Art. 217. Jurisdiction of the Labor Arbiters and the Commission. interpretation or enforcement of company personnel policies.

a. Except as otherwise provided under this Code, the Labor Arbiters shall have All grievances submitted to the grievance machinery which are not settled within
original and exclusive jurisdiction to hear and decide, within thirty (30) seven (7) calendar days from the date of its submission shall automatically be
calendar days after the submission of the case by the parties for decision referred to voluntary arbitration prescribed in the Collective Bargaining Agreement.
without extension, even in the absence of stenographic notes, the following
For this purpose, parties to a Collective Bargaining Agreement shall name and
cases involving all workers, whether agricultural or non-agricultural:
designate in advance a Voluntary Arbitrator or panel of Voluntary Arbitrators, or
5. Cases arising from any violation of Article 264 of this Code, include in the agreement a procedure for the selection of such Voluntary Arbitrator
including questions involving the legality of strikes and lockouts; or panel of Voluntary Arbitrators, preferably from the listing of qualified Voluntary
and Arbitrators duly accredited by the Board. In case the parties fail to select a Voluntary
Arbitrator or panel of Voluntary Arbitrators, the Board shall designate the Voluntary
c. Cases arising from the interpretation or implementation of collective Arbitrator or panel of Voluntary Arbitrators, as may be necessary, pursuant to the
bargaining agreements and those arising from the interpretation or selection procedure agreed upon in the Collective Bargaining Agreement, which
enforcement of company personnel policies shall be disposed of by the shall act with the same force and effect as if the Arbitrator or panel of Arbitrators
Labor Arbiter by referring the same to the grievance machinery and has been selected by the parties as described above.
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 105

IR (n) "Labor or Industrial Dispute" includes any controversy or matter concerning


terms or conditions of employment or the association or representation of persons
in negotiating the fixing, maintaining, changing or arranging of terms and
conditions of employment regardless of whether or not the disputants stand in the
proximate relationship of employers and employees. ARELLANO UNIVERSITY EMPLOYEES UNION V. CA (06)

DEL MONTE PHILS. INC. V. SALDIVAR (06)

MANILA CENTRAL LINE FREE WORKERS UNION V. MANILA CENTRAL CORP. (98)

SANYO PHILS. WORKERS UNION V. CANIZARES (92)

2. Jurisdiction
Art. 261. Jurisdiction of Voluntary Arbitrators or panel of Voluntary
Arbitrators. The Voluntary Arbitrator or panel of Voluntary Arbitrators shall have
original and exclusive jurisdiction to hear and decide all unresolved grievances VIVERO V. CA (00)
arising from the interpretation or implementation of the Collective Bargaining
Agreement and those arising from the interpretation or enforcement of company
personnel policies referred to in the immediately preceding article. Accordingly,
violations of a Collective Bargaining Agreement, except those which are gross in
character, shall no longer be treated as unfair labor practice and shall be resolved as SAN JOSE V. NLRC (98)
grievances under the Collective Bargaining Agreement. For purposes of this article,
gross violations of Collective Bargaining Agreement shall mean flagrant and/or
malicious refusal to comply with the economic provisions of such agreement.

The Commission, its Regional Offices and the Regional Directors of the Department
of Labor and Employment shall not entertain disputes, grievances or matters under LUDO AND LUYM CORP. V. SAOMIDO (03)
the exclusive and original jurisdiction of the Voluntary Arbitrator or panel of
Voluntary Arbitrators and shall immediately dispose and refer the same to the
Grievance Machinery or Voluntary Arbitration provided in the Collective Bargaining
Agreement.
APALISOK V. RADIO PHILS.. NETWORK RADIO STATION DYKC (03)
Art. 262. Jurisdiction over other labor disputes. The Voluntary Arbitrator or panel of
Voluntary Arbitrators, upon agreement of the parties, shall also hear and decide all
other labor disputes including unfair labor practices and bargaining deadlocks.

LANTEX INDUSTRIES V. CA (07)


X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 106

3. Procedure include in the agreement a procedure for the selection of such Voluntary Arbitrator
or panel of Voluntary Arbitrators, preferably from the listing of qualified Voluntary
Art. 262-A. Procedures. The Voluntary Arbitrator or panel of Voluntary Arbitrators Arbitrators duly accredited by the Board. In case the parties fail to select a Voluntary
shall have the power to hold hearings, receive evidences and take whatever action is Arbitrator or panel of Voluntary Arbitrators, the Board shall designate the Voluntary
necessary to resolve the issue or issues subject of the dispute, including efforts to Arbitrator or panel of Voluntary Arbitrators, as may be necessary, pursuant to the
effect a voluntary settlement between parties. selection procedure agreed upon in the Collective Bargaining Agreement, which
shall act with the same force and effect as if the Arbitrator or panel of Arbitrators
All parties to the dispute shall be entitled to attend the arbitration proceedings. The
has been selected by the parties as described above.
attendance of any third party or the exclusion of any witness from the proceedings
shall be determined by the Voluntary Arbitrator or panel of Voluntary Arbitrators. Art. 212. Definitions. (n) "Voluntary Arbitrator" means any person accredited by the
Hearing may be adjourned for cause or upon agreement by the parties. Board as such or any person named or designated in the Collective Bargaining
Agreement by the parties to act as their Voluntary Arbitrator, or one chosen with or
Unless the parties agree otherwise, it shall be mandatory for the Voluntary
without the assistance of the National Conciliation and Mediation Board, pursuant
Arbitrator or panel of Voluntary Arbitrators to render an award or decision within
to a selection procedure agreed upon in the Collective Bargaining Agreement, or any
twenty (20) calendar days from the date of submission of the dispute to voluntary
official that may be authorized by the Secretary of Labor and Employment to act as
arbitration.
Voluntary Arbitrator upon the written request and agreement of the parties to a
The award or decision of the Voluntary Arbitrator or panel of Voluntary Arbitrators labor dispute.
shall contain the facts and the law on which it is based. It shall be final and
LEYTE IV ELECTRIC COOPERATIVE, INC. V. LEYCO IV EMPLOYEES ASSOC. (07)
executory after ten (10) calendar days from receipt of the copy of the award or
decision by the parties.

Upon motion of any interested party, the Voluntary Arbitrator or panel of Voluntary
Arbitrators or the Labor Arbiter in the region where the movant resides, in case of
the absence or incapacity of the Voluntary Arbitrator or panel of Voluntary CONTINENTAL MARBLE CORP. V. NLRC (88)
Arbitrators, for any reason, may issue a writ of execution requiring either the sheriff
of the Commission or regular courts or any public official whom the parties may
designate in the submission agreement to execute the final decision, order or award.

4. Nature of office and function


LUZON DEVELOPMENT BANK V. ASSOC. OF LUZON DEVT BANK EMPLOYEES (95)
Art. 260. Grievance machinery and voluntary arbitration. The parties to a
Collective Bargaining Agreement shall include therein provisions that will ensure the
mutual observance of its terms and conditions. They shall establish a machinery for
the adjustment and resolution of grievances arising from the interpretation or
implementation of their Collective Bargaining Agreement and those arising from the
NIPPON PAINT EMPLOYEES UNION V. CA (04)
interpretation or enforcement of company personnel policies.

All grievances submitted to the grievance machinery which are not settled within
seven (7) calendar days from the date of its submission shall automatically be
referred to voluntary arbitration prescribed in the Collective Bargaining Agreement.
UNITED KIMBERLY CLARK EMPLOYEES UNION V. KIMBERLY-CLARK PHILS. (06)
For this purpose, parties to a Collective Bargaining Agreement shall name and
designate in advance a Voluntary Arbitrator or panel of Voluntary Arbitrators, or
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 107

DAVAO INTEGRATED V. ABARQUEZ (93)

5. Interpretation of agreement
LEPANTO CONSOLIDATED MINING CORP. V. LEPANTO LOCAL STAFF UNION (08)

CITY BANK EMPLOYEES UNION V. MOLE (80)

6. Awards and orders


Art. 262-A. Procedures. The Voluntary Arbitrator or panel of Voluntary Arbitrators VOLKSCHEL LABOR UNION V. NLRC (81)
shall have the power to hold hearings, receive evidences and take whatever action is
necessary to resolve the issue or issues subject of the dispute, including efforts to
effect a voluntary settlement between parties.

All parties to the dispute shall be entitled to attend the arbitration proceedings. The
attendance of any third party or the exclusion of any witness from the proceedings LUDO AND LUYM CORP. V. SAOMIDO (03)
shall be determined by the Voluntary Arbitrator or panel of Voluntary Arbitrators.
Hearing may be adjourned for cause or upon agreement by the parties.

Unless the parties agree otherwise, it shall be mandatory for the Voluntary
Arbitrator or panel of Voluntary Arbitrators to render an award or decision within
UNITED KIMBERLY-CLARK EMPLOYEES UNION V. KIMBERLY-CLARK PHILS. INC. (06)
twenty (20) calendar days from the date of submission of the dispute to voluntary
arbitration.

The award or decision of the Voluntary Arbitrator or panel of Voluntary Arbitrators


shall contain the facts and the law on which it is based. It shall be final and
executory after ten (10) calendar days from receipt of the copy of the award or EQUITABLE PCI BANKING CORP. V. RCBC CAPITAL CORP. (04)
decision by the parties.

Upon motion of any interested party, the Voluntary Arbitrator or panel of Voluntary
Arbitrators or the Labor Arbiter in the region where the movant resides, in case of
the absence or incapacity of the Voluntary Arbitrator or panel of Voluntary
Arbitrators, for any reason, may issue a writ of execution requiring either the sheriff 7. Finality and execution of awards
of the Commission or regular courts or any public official whom the parties may
Art. 262. Jurisdiction over other labor disputes. The Voluntary Arbitrator or panel of
designate in the submission agreement to execute the final decision, order or award.
Voluntary Arbitrators, upon agreement of the parties, shall also hear and decide all
ETERNIT EMPLOYEES AND WORKERS UNION V. DE VEYRA (90) other labor disputes including unfair labor practices and bargaining deadlocks.

MORA V. AVESCO MARKETING CORP. (08)


X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 108

Administration, Energy Regulatory Board, National Telecommunications


Commission, Department of Agrarian Reform under Republic Act No. 6657,
INDOPHIL TEXTILE MILLS V. CALICA (92) Government Service Insurance System, Employees Compensation Commission,
Agricultural Inventions Board, Insurance Commission, Philippine Atomic Energy
Commission, Board of Investments, Construction Industry Arbitration Commission,
and voluntary arbitrators authorized by law.

Sec. 2. Cases not covered. This Rule shall not apply to judgments or final orders
PLDT V. MONTEMAYOR (90)
issued under the Labor Code of the Philippines.

Sec. 3. Where to appeal. An appeal under this Rule may be taken to the Court of
Appeals within the period and in the manner herein provided, whether the appeal
involves questions of fact, of law, or mixed questions of fact and law.
IMPERIAL TEXTILE MILLS, INC. V. SAMPONG (93)
Sec. 4. Period of appeal. The appeal shall be taken within fifteen (15) days from
notice of the award, judgment, final order or resolution, or from the date of its last
publication, if publication is required by law for its effectivity, or of the denial of
petitioners motion for new trial or reconsideration duly filed in accordance with the
governing law of the court or agency a quo. Only one (1) motion for reconsideration
COCA-COLA V. COCA-COLA (05) shall be allowed. Upon proper motion and the payment of the full amount of the
docket fee before the expiration of the reglementary period, the Court of Appeals
may grant an additional period of fifteen (15) days only within which to file the
petition for review. No further extension shall be granted except for the most
compelling reason and in no case to exceed fifteen (15) days.
AMA COMPUTER COLLEGE, ETC. V. NACINO (08)
Sec. 5. How appeal taken. Appeal shall be taken by filing a verified petition for
review in seven (7) legible copies with the Court of Appeals, with proof of service of
a copy thereof on the adverse party and on the court or agency a quo. The original
copy of the petition intended for the Court of Appeals shall be indicated as such by
the petitioner.
8. Appeal
Upon the filing of the petition, the petitioner shall pay to the clerk of court of the
RULE 43 Court of Appeals the docketing and other lawful fees and deposit the sum of
P500.00 for costs. Exemption from payment of docketing and other lawful fees and
APPEALS FROM THE COURT OF TAX APPEALS AND QUASI-JUDICIAL AGENCIES TO
the deposit for costs may be granted by the Court of Appeals upon a verified motion
THE COURT OF APPEALS
setting forth valid grounds therefor. If the Court of Appeals denies the motion, the
Section 1. Scope. This Rule shall apply to appeals from judgments or final orders of petitioner shall pay the docketing and other lawful fees and deposit for costs within
the Court of Tax Appeals and from awards, judgments, final orders or resolutions of fifteen (15) days from notice of the denial.
or authorized by any quasi-judicial agency in the exercise of its quasi-judicial
Sec. 6. Contents of the petition. The petition for review shall (a) state the full names
functions. Among these agencies are the Civil Service Commission, Central Board of
of the parties to the case, without impleading the court or agencies either as
Assessment Appeals, Securities and Exchange Commission, Office of the President,
petitioners or respondents; (b) contain a concise statement of the facts and issues
Land Registration Authority, Social Security Commission, Civil Aeronautics Board,
involved and the grounds relied upon for the review; (c) be accompanied by a clearly
Bureau of Patents, Trademarks and Technology Transfer, National Electrification
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 109

legible duplicate original or a certified true copy of the award, judgment, final order Sec. 12. Effect of appeal. The appeal shall not stay the award, judgment, final order
or resolution appealed from, together with certified true copies of such material or resolution sought to be reviewed unless the Court of Appeals shall direct
portions of the record referred to therein and other supporting papers; and (d) otherwise upon such terms as it may deem just.
contain a sworn certification against forum shopping as provided in the last
paragraph of section 2, Rule 42. The petition shall state the specific material dates Sec. 13. Submission for decision. If the petition is given due course, the Court of
showing that it was filed within the period fixed herein. Appeals may set the case for oral argument or require the parties to submit
memoranda within a period of fifteen (15) days from notice. The case shall be
Sec. 7. Effect of failure to comply with requirements. The failure of the petitioner to deemed submitted for decision upon the filing of the last pleading or memorandum
comply with any of the foregoing requirements regarding the payment of the docket required by these Rules or by the Court of Appeals.
and other lawful fees, the deposit for costs, proof of service of the petition, and the
contents of and the documents which should accompany the petition shall be SAMAHAN V. BACUNGAN (09)
sufficient ground for the dismissal thereof.

Sec. 8. Action on the petition. The Court of Appeals may require the respondent to
file a comment on the petition, not a motion to dismiss, within ten (10) days from
notice, or dismiss the petition if it finds the same to be patently without merit,
LUZON DEVT BANK V. ASSOC. OF LUZON DEVELOPMENT BANK EMPLOYEES (95)
prosecuted manifestly for delay, or that the questions raised therein are too
unsubstantial to require consideration.

Sec. 9. Contents of comment. The comment shall be filed within ten (10) days from
notice in seven (7) legible copies and accompanied by clearly legible certified true
copies of such material portions of the record referred to therein together with other UNICRAFT INDUSTRIES INTERNATIONAL CORP. V. CA (01)
supporting papers. The comment shall (a) point out insufficiencies or inaccuracies in
petitioners statement of facts and issues; and (b) state the reasons why the petition
should be denied or dismissed. A copy thereof shall be served on the petitioner, and
proof of such service shall be filed with the Court of Appeals.

Sec. 10. Due course. If upon the filing of the comment or such other pleadings or 9. Costs
documents as may be required or allowed by the Court of Appeals or upon the Art. 262-B. Cost of voluntary arbitration and Voluntary Arbitrators fee. The
expiration of the period for the filing thereof, and on the basis of the petition or the parties to a Collective Bargaining Agreement shall provide therein a proportionate
records the Court of Appeals finds prima facie that the court or agency concerned
sharing scheme on the cost of voluntary arbitration including the Voluntary
has committed errors of fact or law that would warrant reversal or modification of Arbitrators fee. The fixing of fee of Voluntary Arbitrators, whether shouldered
the award, judgment, final order or resolution sought to be reviewed, it may give wholly by the parties or subsidized by the Special Voluntary Arbitration Fund, shall
due course to the petition; otherwise, it shall dismiss the same. The findings of fact
take into account the following factors:
of the court or agency concerned, when supported by substantial evidence, shall be
binding on the Court of Appeals. a. Nature of the case;
Sec. 11. Transmittal of record. Within fifteen (15) days from notice that the petition b. Time consumed in hearing the case;
has been given due course, the Court of Appeals may require the court or agency
concerned to transmit the original or a legible certified true copy of the entire record c. Professional standing of the Voluntary Arbitrator;
of the proceeding under review. The record to be transmitted may be abridged by
agreement of all parties to the proceeding. The Court of Appeals may require or d. Capacity to pay of the parties; and
permit subsequent correction of or addition to the record.
X. Alternatives to Use of Economic Weapons Conciliation and Arbitration as Modes of Labor Dispute Settlement 110

e. Fees provided for in the Revised Rules of Court.


Labor Relations in the Public Sector 111

I. Right to organize

1. Basis

1. Constitution