Art.

82-96 NOT WORKED – 100%

REGULAR HOLIDAY
NOTE: Not every form of control has the effect of WP - DOUBLE REGULAR 300%
establishing employer-employee relation. A line should be HOLIDAY
drawn between:
NW- 200%
 Rules that merely serve as guidelines, which only
promote the results; WP – DOUBLE 390%
REGULAR HOLIDAY &
 Rules that fix the methodology and bind or restrict
REST DAY
the party hired to the use of such means or methods.
Theses address both the result and the means
employed to achieve the desired result. MATERNITY LEAVE

NOTE: Appointment; letters, employment contract, payrolls, R.A NO. 11210 – An act increasing the maternity leave period
organization charts, SSS registration, personnel list, as well as to 105 days for female workers with an option to extend for an
testimony of co-employees, may serve as evidence of additional (30) days without pay and granting an additional 15
employee. days for solo mothers and for other purposes.

CONTRACT NOT CONTROLLING
- The employment status of a person is defined and
prescribed by law and not by what the parties say it
should be. In determining status of workers, the
“four- fold test” on employment has to be applied.
NOTE: Those employed under the “boundary system” are
employees of the taxi and jeepney driver; so also are the
passenger bus drivers and conductors.
BASIS OF PAY
- The compensation may be determined according to
tie spent on the job or the result of the effort.
Sec. 3. Grant of Maternity Leave. – All covered female
workers regardless of civil status or the legitimacy of her
child, shall be granted 105 days maternity leave with full pay
and option to extend for an additional 30 days without pay:
Provided, that in case the worker qualifies as a solo parent
under R.A 8972 the worker shall be granted an additional 15
days maternity leave with full.
1. That the female worker shall have notified employer of her
pregnancy and the probable date childbirth, which notice shall
be transmitted to the SSS in accordance with the rules and
regulation it may provide.

CONTRACTOR 2. That the full employment shall be advanced by the

- Is not an employee. He is a businessman, with capital employer within (30) days from the filing of the maternity
of his own who operates independently from his client leave application;
or principal the person with whom he enters into a
contract, to accomplish a job, work, or service. 3. Payment of daily maternity benefits shall be a bar to the
recovery of sickness benefits provided under R.A 1161, as
 A contract is not covered by the Labor Code
amended for the same period for which daily maternity
 Employee is covered.
benefits have been received.
 Contractorship and the effect of principal-contractor
arrangement 4. That SS shall immediately reimburse the employer of 100%
of the amount advanced to the female worker.
Art. 87. Overtime Work
CASES;
DAY RATE
REGULAR DAY 25% Manila Memorial Park Cemetery, Inc vs Lluz et al
REST DAY & HOLIDAY 30%
NIGHT DIFFERENTIAL 10%  Petitioner entered into contract of service with
AND OVERTIME PAY (10:00PM- 6:00 AM) respondent Ward Trading and Services that provides
OT – REST DAY 30% interment and exhumation services in order to
OT – REGULAR 30% supplement operations at Manila Memorial Park.
HOLIDAY  Respondents were dismissed for management
OT- REST DAY OR 30% declined their regularization and to be recognized as
SPECIAL DAY legitimate members.
WP – REST DAY OR SD 130%  Petitioners argued that there were no employer-
WP – REST DAY & SD 150% employee relationship between the company and
WP – REST HOLIDAY & 260% respondents.
REST DAY ISSUE: W/N an employer-employee relationship between
WP – SPECIAL DAY 130% Manila Memorial.
WP- REGULAR 200%
HOLIDAY
HELD:
Labor only contracting exist when the contractor or
subcontractor merely recruits, supplies or places workers to
perform a job. Work or service for a principal and any of the
following are present:

1. The contractor or subcontractor does no have substantial

capital or investment which relates to the job, works or service
to be performed and the employees recruited, supplied or
placed by such contractor or subcontractor are performing
activities which are directly related to the main business of the
principal; or

2. Contractor does not exercise the right to control the

performance of the work of the contractual employee.

Allied Banking Corp vs Reynaldo Calumpang

 Respondent was hired as a janitor by Race Cleaners

Inc. and was assigned to petitioner, which in turn
assigned him at its Tanjay City branch.
 Petitioner however, observed that whenever
respondents went out errands, it took a long time for
him to return to the branch which was discovered that
during these times, respondent was also pedicab and
ferrying passengers and also borrows money from
them. The bank manager then informed respondent
that his services would no longer be required by the
branch.
 Respondent filed a complaint for illegal dismissal;
respondent maintains he is an employee of the bank,
Petitioner on the other hand, maintains he is an
employee of RCI
ISSUE: W/N respondent and petitioner has an employee and
employer relationship

HELD: In this case, petitioner bank is the principal employer

and RCI is the labor-only contractor. Accordingly, petitioner
and RCI are solidarily liable for the rightful claims of
respondent.