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1. What are the constitutionally guaranteed rights of the workers?

a. Right to self-organization.

b. Right to collective bargaining.

c. Right to security of tenure.

d. Right to just and humane conditions of work.

e. Right to collective negotiations.

f. Right to peaceful concerted activities

g. Right to strike

h. Right to a living wage.

i. Right to participate in policy and decision making process.

j. Right to just share in the fruits of production.

2. When is the Labor Code applicable?

The Labor Code is applicable only to disputes arising from an employer-employee relationship which can
only be resolved by reference thereto. Not every dispute between an employer and employee involves
matters that only the Labor Arbiter and the NLRC can resolve in the exercise of their adjudicatory or
quasi-judicial powers. Actions between employers and employees where the employer-employee
relationship is merely incidental is within the exclusive original jurisdiction of the regular courts. When
the principal relief is to be granted under labor legislation or a collective bargaining agreement, the case
falls within the exclusive jurisdiction of the Labor Arbiter and the NLRC even though a claim for damages
might be asserted as an incident to such claim.

3. What is the indispensable requisite before the Labor Code provisions may apply?

Proof of employment relation is of first importance, for the reason that the existence of the employee-
employer relationship is the jurisdictional foundation for a compensation claim. This is so for an
employee can enjoy all rights and benefits under the Labor Code if such relationship exists.
4. What is the importance of determining the existence of employee-employer relationship?

The employee-employer relationship is the legal link between employers and employees. It is through
the employment relationship, however defined, that reciprocal rights and obligations are created
between the employee and the employer. It is the condition that determines the application of the
Labor Law provisions addressed to employees. It is the key point of reference for determining the nature
and extent of employers' rights and obligations towards their workers.

5. What are the tests to determine the existence of employee-employer relationship?

The following elements must be present for an employer-employee relationship to exist: a. the selection
and engagement of the workers;

b. power of dismissal;

c. the payment of wages by whatever means; and

d. the power to control the worker's conduct.

6. What is the rule in the interpretation of Labor Laws and Contracts?

The rule of liberal construction in favour of labor applies only in case there is doubt. If the contractual
provision is crystal clear, then it must be applied in accordance with its express terms. In carrying out
and interpreting Labor Code provisions including its implementing rules and regulations, the worker’s
welfare should be the primordial and paramount consideration.

7. Can an employee freely agree in a contract of employment wage below the minimum wage set
by law?

As a rule, employers are mandated by Republic Act (R.A.) No. 6727 or the Wage Rationalization Act to
pay the minimum wage to his employees. However, there are exceptions to this rule such as: 1)
Distressed establishments; (2) New business enterprises (NBEs); (3) Retail/Service establishments
employing not more than ten (10) workers; and (4) Establishments adversely affected by natural
calamities. And lastly, if the employee needed the job badly and do not have any other job
opportunities, he/ she will freely agree to the contract of below the minimum wage.

8. Explain the right to control test.

The control test is the most important test courts apply in distinguishing an employee from an
independent contractor. This test is based on the extent of control the employer exercises over a
worker. The greater the supervision and control the employer exercises, the more likely the worker is
deemed an employee. The converse holds true as well the less control the employer exercises, the more
likely the worker is considered an independent contractor.

9. Under what circumstance a volunteer is considered an employee under the contemplation of

the Labor Code?

However, an individual may be considered an employee of a particular entity if, as a result of volunteer
service, s/he receives benefits such as a pension, group life insurance, workers' compensation, and
access to professional certification, even if the benefits are provided by a third party. The benefits
constitute "significant remuneration" rather than merely the "inconsequential incidents of an otherwise
gratuitous relationship." A volunteer may also be covered by the EEO statutes if the volunteer work is
required for regular employment or regularly leads to regular employment with the same entity. In such
situations, discrimination by the respondent operates to deny the charging party an employment

10. When do rules imposed by hiring not indicative of control?

In any event, not all rules imposed by the hiring party on the hired party indicate that the latter is an
employee of the former.[43] In this case, SONZA failed to show that these rules controlled his
performance. We find that these general rules are merely guidelines towards the achievement of the
mutually desired result, which are top-rating television and radio programs that comply with standards
of the industry. We have ruled that:
Further, not every form of control that a party reserves to himself over the conduct of the other party in
relation to the services being rendered may be accorded the effect of establishing an employer-
employee relationship. The facts of this case fall squarely with the case of Insular Life Assurance Co., Ltd.
vs. NLRC. In said case, we held that:

Logically, the line should be drawn between rules that merely serve as guidelines towards the
achievement of the mutually desired result without dictating the means or methods to be employed in
attaining it, and those that control or fix the methodology and bind or restrict the party hired to the use
of such means. The first, which aim only to promote the result, create no employer-employee
relationship unlike the second, which address both the result and the means used to achieve it.[44]

11. What determines now if a case is under the exclusive jurisdiction of the Labor Arbiter?

to hear and decide, within ninety (90) calendar days after the filing of the complaint, the claims arising
out of an employer-employee relationship or by virtue of the complaint, the claim arising out of an
employer-employee relationship or by virtue of any law or contract involving Filipino workers for
overseas employment including claims for actual, moral, exemplary and other forms of damages.

12. What are the four kinds of employee under Art. 280 (now 295)?

It has been ruled that the foregoing provision contemplates four kinds of employees, namely: (a) regular
employees or those who have been engaged to perform activities which are usually necessary or
desirable in the usual business or trade of the employer; (b) project employees or those whose
employment has been fixed for a specific project or undertaking, the completion or termination of
which has been determined at the time of the engagement of the employee; (c) seasonal employees or
those who work or perform services which are seasonal in nature, and the employment is for the
duration of the season; and (d) casual employees or those who are not regular, project, or seasonal
employees.[26] To the foregoing classification of employee, jurisprudence has added that of contractual
or fixed term employee which, if not for the fixed term, would fall under the category of regular
employment in view of the nature of the employee’s engagement, which is to perform activity usually
necessary or desirable in the employer’s business.
13. What evidence is required to prove the existence of employer-employee relationship?

it is incumbent upon petitioner to prove the employer-employee relationship by substantial evidence.

In dealing with factual issues in labor cases, substantial evidence that amount of relevant evidence
which a reasonable mind might accept as adequate to justify a conclusion is sufficient.

14. What is the reason why no particular form of evidence is required?

Although no particular form of evidence is required to prove the existence of the relationship, and any
competent and relevant evidence to prove the relationship may be admitted, a finding that the
relationship exists must nonetheless rest on substantial evidence, which is that amount of relevant
evidence that a reasonable mind might accept as adequate to justify a conclusion.

Labor officials are enjoined to use reasonable means to ascertain the facts speedily and objectively with
little regard to technicalities or formalities but nowhere in the rules are they provided a license to
completely discount evidence, or the lack of it. The quantum of proof required, however, must still be
satisfied. Hence, when confronted with conflicting versions on factual matters, it is for them in the
exercise of discretion to determine which party deserves credence on the basis of evidence received,
subject only to the requirement that their decision must be supported by substantial evidence.

15. Who are the employees covered by the provisions of the Labor Code?

The provisions of this Title shall apply to employees in all establishments and undertakings whether for
profit or not, but not to government employees, managerial employees, field personnel, members of
the family of the employer who are dependent on him for support, domestic helpers, persons in the
personal service of another, and workers who are paid by results as determined by the Secretary of
Labor in appropriate regulations.
16. What is recruitment and placement?

recruitment and placement refers to any act of canvassing, enlisting, contracting, transporting, utilizing,
hiring or procuring workers, and includes referrals, contract services, promising or advertising for
employment, locally or abroad, whether for profit or not.

17. What is illegal recruitment?

illegal recruitment shall mean any act of canvassing, enlisting, contracting, transporting, utilizing, hiring,
or procuring workers and includes referring, contract services, promising or advertising for employment
abroad, whether for profit or not, when undertaken by a non-licensee or non-holder of authority
contemplated under Article 13(f) of Presidential Decree No. 442, as amended, otherwise known as the
Labor Code of the Philippines: Provided, That any such non-licensee or non-holder who, in any manner,
offers or promises for a fee employment abroad to two or more persons shall be deemed so engaged. It
shall, likewise, include the following act, whether committed by any person, whether a non-licensee,
non-holder, licensee or holder of authority:

(a) To charge or accept directly or indirectly any amount greater than that specified in the schedule of
allowable fees prescribed by the Secretary of Labor and Employment, or to make a worker pay any
amount greater than that actually received by him as a loan or advance;

(l) Failure to actually deploy without valid reason as determined by the Department of Labor and
Employment; and

(m) Failure to reimburse expenses incurred by the worker in connection with his documentation and
processing for purposes of deployment and processing for purposes of deployment, in cases where the
deployment does not actually take place without the workers fault.

18. Can a person who is acquitted of illegal recruitment be prosecuted for estafa?
In this jurisdiction, it is settled that a person who commits illegal recruitment may be charged and
convicted separately of illegal recruitment under the Labor Code and estafa under par. 2(a) of Art. 315
of the Revised Penal Code. The offense of illegal recruitment is malum prohibitum where the criminal
intent of the accused is not necessary for conviction, while estafa is malum in se where the criminal
intent of the accused is crucial for conviction. Conviction for offenses under the Labor Code does not bar
conviction for offenses punishable by other laws. Conversely, conviction for estafa under par. 2(a) of Art.
315 of the Revised Penal Code does not bar a conviction for illegal recruitment under the Labor Code. It
follows that ones acquittal of the crime of estafa will not necessarily result in his acquittal of the crime
of illegal recruitment in large scale, and vice versa.

19. What is illegal recruitment by syndicate?

Illegal recruitment is deemed committed by a syndicate if carried out by a group of three (3) or more
persons conspiring or confederating with one another.

20. When is illegal recruitment considered an economic sabotage?

Illegal recruitment when committed by a syndicate or in large scale shall be considered an offense
involving economic sabotage.