COURSE SYLLABUS FOR LABOR LAW I

COURSE REQUIREMENTS AND GRADING PLAN

a. Class Standing (Quizzes, Recitation, Case Digests) 50%

b. Term Examinations 50%

COURSE OUTLINE

I. FUNDAMENTAL PRINCIPLES AND CONCEPTS

A. CONSTITUTIONAL BASES OF LABOR LAWS

1. Article II, Sections 2, 9, 10, 11 18 & 20;
2. Article III, Sections 1, 3, 4, 8, 11, 16, 18;
3. Article IXB, Section 2;
4. Article XII, Section 12;
5. Article XIII, Sections 3 & 14; and
6. Article XVI, Section 8

B. CIVIL CODE PROVISIONS RELATED TO LABOR

1. Article 19;
2. Articles 1700 to 1712;
3. Article 2241, par. (6);
4. Article 2242, par. (3)

C. GENERAL CONCEPTS
1. DEFINITION OF TERMS
a. Labor
b. Labor Legislation
c. Labor Law

2. Labor Law vs. Social Legislation

3. Purpose of Labor Legislation

4. Social Justice
 Maximo Calalang v. A. D. Williams, G.R. No. 47800 December 2,
1940

5. SOURCES OF LABOR LAW

a. PRIMARY SOURCES
i. Constitution
ii. Legislation
iii. Implementing Rules and Regulations
iv. Contract/Collective Bargaining Agreement
 v. Company Policy
1. China Banking Corporation v. Borromeo, 440 SCRA
622, 2004
vi. Company past practices
 DOLE Philippines v. Pawis ng Makabayang Obrero,
395 SCRA 112, 2003

b. AUXILIARY SOURCES
i. Opinions of the SOLE
ii. Reports, debates, hearing made by congress
iii. Labor law reviews
iv. Textbooks
v. Opinions of legal luminaries
vi. Foreign laws and decisions

6. Major Divisions of Labor Law

a. Labor Standards
b. Labor Relations

7. Taxonomy of Labor Laws

a. Protective Legislations;
b. Welfare and Social Legislations;
c. Diplomatic Legislations;
d. Administrative Legislations;
e. Labor Standards Legislations;
f. Labor Relations Legislations;

8. Limitations on the enactment of labor legislations

9. Employer and employee defined.

D. THE LABOR CODE OF THE PHILIPPINES (P.D. 442, as amended)

1. Declaration of Basic Policy
a. Reasons for affording greater protection to employees
 Sanchez vs. Harry Lyons Construction, Inc., GR No. L-2779,
October 18, 1950

b. Limitations to the protection afforded

 Philippine Airlines, Inc. vs. NLRC, 201 SCRA 687
 Caltex vs. PLO, 92 Phil 1014; Manning International Corp.
vs. NLRC, 195 SCRA 155, 1991)
 PMBUSCO Employees Union v. CIR, 68 Phil 591
 Pacific Mills, Inc. vs. Alonzo, 199 SCRA 617.

c. Management Prerogative/Rights
a. Definition and coverage
b. Limitations
c. Elements of valid exercise of management prerogative
d. Transfer, jurisprudential guidelines
e. Cases:
 Rural Bank of Cantilan v. Julve, GR No. 169750,
February 27, 2007
 Mendoza vs. Rural Bank of Lucban, GR No. 15521,
July 7, 2004
 St. Luke's Medical Center etc. v. National Labor
Relations Commission, et al., G.R. No. 162053,
March 7, 2007
 SPI Technologies, Inc. v. Mapua, GR No. 191154, 7
April 2014
 Star Paper Corp., vs Simbol, G.R. No. 164774, April
12, 2006;
 Borja, et. al. v. Minoza. et. al., G.R No. 218384, July
3, 2017;
 The Provincial Bus Operators Association of the
Philippines vs DOLE, G.R. No. 202275, July 17, 2018;
 Philippine Span Asia Carriers Corporation (Formerly
Sulpico Lines) vs Heidi Pelayo, G.R. No. 212003,
February 28, 2018;
 Jenny F. Peckson v. Robinsons Supermarket Corp,
et. al., G.R No. 198534, July 3, 2013;
 Cheryll Santos Leus v. SSCW, et. al., GR No.
187226, January 28, 2015
 Sterling Paper Products Enterprises, Inc. v. KMM –
Katipunan, et. al., G.R No. 221493, August 2, 2017
 Padilla v. Airborne Security Services, Inc. G.R No.
210080, November 17, 2017;
 Alvin M. De Leon v. Philippine Transmarine Carriers,
Inc. and Anna Maria Moraleda, G.R. No. 232194,
June 19, 2019;
 Philippine Span Asia Carriers Corporation v. Heidi
Pelayo, G.R. No. 212003 February 28, 2018;
 East Cam Tech Corp. v. Bambie Fernandez et. al.
G.R. No. 222289, June 08, 2020 (Productivity
Standard)
 ICT Marketing Services, Inc. etc. v. Mariphil L. Sales,
GR No. 202090, September 9, 2015, 770 SCRA 286
 Armando Puncia v. Toyota Shaw, GR No. 214399,
June 28, 2016
2. CONSTRUCTION IN FAVOR OF LABOR
a. Application of the rule of liberal construction in favour of labor
b. Limitations
c. Cases:
 PLOT v. NLRC, G.R No. 111933, July 23,1997
 PAL v. Santos, G.R. No. 77875, February 4, 1993
 Price v. Innodata Phils., GR No. 178505, September 30,
2008
 Panaligan, et. al., v. Phyvita Enterprises Corp. G.R No.
202086, June 21, 2017;
 Continental Micronesia, Inc. v. Basso, G.R Nos. 178382-83,
September 23, 2015;
 Eastern Shipping Lines v. POEA, 166 SCRA 523;
 Ledesma v. NLRC, 537 SCRA 358;
 German Marine Agencies, Inc. vs Teodolah Caro, G.R. No.
200774, February 13, 2019;
 Hubilla, et. al., vs. HSY Marketing, LTD., Co., et. al., GR No.
207354, January 10, 2018 (equipoise rule)
 Hocheng Phils. Corp. v. Farrales, G.R. No. 211497, 18
March 2015
 Mitsubishi Motors Phils. Salaried Employees Union v.
Mitsubishi Motors Phils. Corp., G.R. No. 175773, 17 June
2013
 Canedo v. Kampilan Security & Detective Agency, 31 July
2013

3. RULES AND REGULATIONS

a. Rule-making power of the Department of Labor and Employment
(DOLE)
b. Attached agencies of DOLE:
 National Labor Relations Commission (NLRC)
 National Reintegration Center of OFWs
 Philippine Overseas Employment Administration (POEA)
 Employees’ Compensation Commission (ECC)
 National Conciliation and Mediation Board (NCMB)
 Overseas Workers Welfare Administration (OWWA)
 National Wages and Productivity Commission (NWPC)
 Occupational Safety and Health Center (OSHC)
 Technical Education and Skills Development Authority
(TESDA)
 Professional Regulation Commission (PRC)
 c. POEA vs. OWWA vs. Philippine Overseas Labor & Office
(POLO)
d. D.O. 119-12, which redefines “night worker”, amends R.A. 10151
e. Case/s:
 CBTC Employees Union v. Clave, GR No. 49582, January 7,
1986
 The Heritage Hotel Manila, et al v. SOLE, et al., G.R. No.
172132, 23 July 2014

4. APPLICABILITY OF LABOR CODE

A. Employer-employee relationship
a. Tests (indicia of determination) of Employer-employee relationship
 Four-fold Test
 Economic Reality Test
 Rules that fix methodology vs. Rules that are mere
guidelines
b. Commencement of employer-employee relationship
c. Suspension of employer-employee relationship
d. Termination of employer-employee relationship
e. Applicability and Non-applicability of the Labor Code
f. Cases:
 Sonza v. ABS-CBN Broadcasting, 431 SCRA 583
 Sunripe Coconut Products v. CIR, 83 Phil. 518;
 Almirez v. Infinite Loop Technology, 481 SCRA 364;
 SSS v. Court of Appeals, 156 SCRA 383;
 Manila Golf & Country Club v. IAC, 237 SCRA 207;
 Orozco v. Court of Appeals, 562 SCRA 36
 Filamer Christian Institute v. IAC, 212 SCRA 637;
 Luz v. Enopia, et. al., G.R No. 197899, March 6, 2017;
 Expedition Construction Corp. et. al., v. Africa, G.R No.
228671, December 14, 2017;
 SUMIFRU (Phils.) Corp v. Nagkahiusang Mamumuo sa
SUYAPA Farm, G.R No. 202091 (2017)
 Atok Big Wedge Company v. Gison, G.R No. 169510,
August 8, 2011
 Legend Hotel (Manila) v. Realuyo, G.R. No. 153511, July 18,
2012
 Marsman & Company, Inc. vs Rodil STa. Rita, G.R. No.
194765, April 23, 2018;
 Nicanor F. Malcaba, et.al. vs Prohealth Pharma Philippines,
Inc., G.R. No. 209085; June 6, 2018;
  Spectrum Security Services, Inc. vs David Grave, et.al., G.R.
No. 196650, June 7, 2017
 Arnulfo M. Fernandez v. Kalookan Slaughterhouse
Incorporated/Ernesto Cunanan, G.R. No. 225075, June 19,
2019;
 Monsanto Philippines, Inc. v National Labor Relations
Commission, Martin B. Generoso, Jr. et al. G.R. No. 230609-
10, August 27, 2020;
 Pedrito Parayday, et al. v Shogun Shipping Co., Inc. G.R.
No. 204555. JULY 6, 2020
 Henry Paragele, et al. v GMA Network, Inc. G.R. No. 235315
July 13, 2020

B. Legitimate Contracting/Subcontracting vs. Labor-only Contracting

C. Kinds of Employment
a. Regular
b. Probationary
c. Casual
d. Project
e. Fixed-term
f. Seasonal

II. RECRUITMENT AND PLACEMENT OF WORKERS

A. Definition of recruitment and placement

1. Department Order No. 141-14, series of 2014

B. Regulation of recruitment and placement activities

1. Regulatory authorities
a. POEA
i. Composition
ii. Powers and Functions
iii. Regulatory Powers
iv. Quasi-Judicial Powers
1. Disciplinary actions;
2. Pre-employment cases;
3. Prescriptive Periods;
4. Recruitment and Placement of the POEA

b. Regulatory and visitorial powers of the DOLE Secretary

2. Private sector participation

a. Purpose
b. Requirements for licensing
 c. Renewal of license
d. Worker’s deployment
e. Mandatory benefits
f. Monetary claims of migrant workers
g. Fees to be paid by workers
h. Charing fees
i. Repatriation of migrant workers

3. Ban on direct hiring

 Sameer Overseas Placement vs Cabiles, G.R. No. 170139,
August 5, 2014

4. Entities prohibited from recruiting

5. License vs. Authority
6. Suspension or cancellation of license or authority
a. Grounds for suspension and/or cancellation
b. Grounds for revocation
7. Remittance of foreign exchange earnings
8. Prohibited practices

C. Illegal Recruitment
9. Elements
10. Types
11. Penalty
12. Venue
13. Prescriptive periods
14. Cases:
 People v. Panis, 142 SCRA 664
 People v. Jamilosa, 512 SCRA 340
 Darvin v. Court of Appeals, 292 SCRA 534
 Rodolfo v. People, G.R. No. 146964 August 10, 2006
 People v. Comila, G.R. No. 171448, February 28, 2007
 People v. Chua, G.R. No. 187052, September 13, 2012
 People v. Navarra, G.R. No. 119361, February 19, 2001
 People v. Ocden, G.R. No. 173198, June 01, 2011
 Serrano vs. Gallant Maritime Services Inc., G.R No. 167614,
March 24, 2009
 People v. Buhain, G.R No. 195666, January 20, 2016
 Ramos v. People, G.R No. 178337, June 25, 2009
 People v. Dela Cruz, G.R No. 214500, June 28, 2017
 People v. Delos Reyes, G.R No. 198795, June 7, 2017
 People vs Hu, G.R. No. 182232, October 6, 2008
 Eastern Assurance v. Secretary of Labor, 181 SCRA 110
  Dionella Gopio, doing business under the name and style, Job
Asia Management Services vs Salvador Bautista, G.R. No.
205953, June 6, 2018
 Princess Talent Center Production, Inc. and/or Luchi Singh
Moldes vs Desiree Masagca, G.R. No. 191310, April 11, 2018;
 Skippers United Pacific, Inc. vs Maguad, G.R. No. 166363,
August 15, 2006;
 Saudi Arabian Airlines and Brenda J. Betia v. Ma. Jopette M.
Rebesencio et al., G.R. NO. 198587, January 14, 2015
 People v. Mendoza, G.R. No. 240694, September 07, 2020

15. Anti-Trafficking in Persons Act of 2003 (RA No. 9048)

16. Illegal recruitment as distinguished from estafa

D. Liability of local recruitment agency and foreign employer

17. Solidary liability
18. Theory of imputed knowledge
E. Termination of contract of migrant worker
F. Employment of non-resident aliens
a. Purpose of requiring alien’s employment permit
b. Persons required to secure employment permit
c. Persons exempted
 Department Order No. 221-21
 Joint MC No. 001 re
d. Validity of Alien Employment Permit
e. Renewal of Alien Employment Permit
f. Suspension of Alien Employment permit
g. Cancellation of Alien Employment Permit
h. Remedies in case of suspension, cancellation or revocation of
AEP
i. Penalties
j. Permanent Resident Aliens
k. Prohibition against transfer of employment
l. Cases:
 McBurnie v. Ganzon, G.R No. 178034, October 17, 2013
 Pacific Consultants International Asia, Inc. v. Schonfeld, G.R
No. 166920, February 19, 2007
 Dreamland Hotel Resorts, et. al., v. Stephen Johnson, G.R
No. 191455, March 12, 2014
 WPD Marketing, et.al. vs Jocelyn Galera, G.R. No. 169207,
March 25, 2010

III. LABOR STANDARDS

A. Hours of work
 1. Coverage (Art. 82, Labor Code)
a) Exclusion
b) Reason
2. Work Day vs. Calendar Day
3. Normal hours of work
a) Rational
b) Compressed work week
c) DOLE Advisory 4-16
d) Department Order 118-12
4. Meal break
5. Waiting time
a) When Compensable
b) Security Guard
c) PNP/AFP
d) Power Interruptions
6. Overtime work
a) Overtime pay
b) Applicable Rates
c) Employees not covered
7. Rest Day
a) Applicable Rates
b) Employees not covered
8. Holiday
a) Applicable Rates
b) Employees not covered
c) Regular Holidays
d) Special Holiday
(i) Special Working Holiday
(ii) Special Non-Working Holiday
9. Night work (R.A. No. 10151), Night shift differential
10. Part-time work
11. Contract for piece work
a. Article 1713 to Article 1731

Cases:
 David v. Macasio, G.R No. 195466, July 2, 2014
 Bisig Manggagawa sa Tryco, et. al., v. NLRC, G.R No. 151309,
October 15, 2008
 Penaranda v. Baganga Plywood Corp. G.R No. 159577, May 3, 2006
 Royal Plant Workers Union v. Coca-Cola Bottlers Phil. Inc.- Cebu
Plant, G.R No. 198783, April 15, 2013
 Far East Agricultural Supply, Inc. v. Lebatique, G.R No. 162813,
February 12, 2007
 Jose Rizal College v. NLRC, 156 SCRA 27
 Makati Haberdashery v. NLRC, 179 SCRA 448
 JPL Marketing Promotions v. Court of Appeals, 463 SCRA 136
  Rodriguez v. Park N Ride Inc., G.R No. 222980, March 20, 2017
 Pigcaulan v. Security and Credit Investigation, Inc., G.R No. 173648,
January 16, 2012
 Dela Rosa Liner vs Borela, G.R. No. 207286, July 29, 2015;
 Linton Commercial Co., Inc. v. Hellera, et al., G.R. No. 163147, 10 Oct.
2007

B. Wages

1. Wage vs. Salary

2. Rules on Wages
3. Minimum wage defined, Minimum wage setting
4. Minimum wage of workers paid by results
a) Workers paid by results
b) Apprentices
c) Learners
d) Persons with disability
5. Commissions
a) Commission based employees
i. Concept
ii. Purely Commission based employee
iii. Partially Paid in Commission
iv. Benefits and Entitlements

b) Department Order No. 118-12

6. Supplements vs. Facilities,

a) Kinds
b) Illustration
c) Inclusive of wages vs. add on benefit
7. Recognized Deductions from wages
8. Non-diminution of benefits
 Principle of Grants
9. Wage Distortion/Rectification
10. Divisor to determine daily rate
11. Minimum Wage
12. Cases:
 Cosue v. Ferritz Integrated Devt. Corp., G.R No. 230664, July 24,
2017
 Ampeloquio v. Jaka Distribution, Inc. G.R No. 196936, July 2,
2014
 Legend Hotel Manila v. Realuyo, 18 July 2012
 Eastern Telecommunications Phils. Inc. v. Eastern Telecoms
Employees Union, G.R No. 185665, February 8, 2012
 TSPI v. TSPI Employees Union, G.R No. 163419, February 13,
2008
  Central Azucarera de Tarlac v. Central Azucarera de Tarlac
Union-NLU, G.R No. 188949, July 26, 2010
 Wesleyan University Phils v. Wesleyan University-Philippines
Faculty and Staff Association, G.R No. 181806, March 12, 2014
 International School Alliance of Educators vs Quisumbing, G.R.
No. 128845, June 1, 2000
 Waterfront Insular Hotel Davao, G.R. No. 174040-41, 22 Sept.
2010
 Sapio v. Undaloc Construction, 2008 (Double Indemnity Law)
 Felicilda v. Uy, 14 Sept. 2016
 Provincial Bus Operators Association of the Phils, et al. v. DOLE,
et al., G.R. No. 202275, 17 July 2018, en banc
 Wilfredo Mariano v G.V. Florida, et al., GR No. 240882 September
16, 2020

C. Rest Periods

1. Weekly rest day

2. Emergency rest day work
3. Exceptions

D. Holiday pay/Premium pay

1. Coverage, exclusions
2. Teachers, piece workers, takay, seasonal workers, seafarers
3. Security Guards

E. Leaves

1. Service Incentive Leave

2. Maternity Leave
3. Paternity Leave
4. Parental Leave (R.A. No. 8972)
5. Battered Woman Leave. Leave for Victims of Violence against Women
and Children (R.A. No. 9262)
6. Special leave benefit for women.
7. Gynecological Leave. R.A. No. 9710 - The Magna Carta of Women.

F. Service Charges
1. The Old SC Law (PD 442)
a. Coverage
b. Rules
 85%-15% Rule
 Integration Rule

2. The New SC Law (RA 11360, as implemented by DO 206-19)

 a. Coverage
b. Rules
 Complete and Equal Distribution Rule
 Non-Credibility Rule
c. Conflict Resolution

G. Presidential Decree No. 851 - Thirteenth Month Pay Law and IRR,
Exception.
8. Republic Act No. 10653 in relation with Bureau of Internal Revenue (BIR)
issued Revenue Regulations (RR) 3-2015

H. 13th Month pay, New Tax Obligation Rate under TRAIN Law for 2018
Onwards

I. Separation Pay

J. Retirement Pay

1. Eligibility
2. Amount
3. Retirement benefits of workers paid by results
4. Retirement benefits for commission based employees
5. Retirement benefits of part-time workers
6. Taxability

K. Women Workers

1. Provisions against discrimination

2. Stipulation against marriage
3. Prohibited acts
4. Anti-Sexual Harassment Act (R.A. No. 7877)

L. Employment of Minors (Labor Code and R.A. No. 7678, R.A. No. 9231)

M. Househelpers (Labor Code as amended by R.A. No. 7655, An Act

Increasing the Minimum Wage of Househelpers; see also – Household
Service under the Civil Code). Republic Act No. 10361 is
an Act Instituting Policies for the Protection and Welfare of Domestic
Workers, otherwise known as 'Domestic Workers Act' or 'Batas
Kasambahay.'

N. Employment of Homeworkers

O. Apprentices and Learners

P. Persons with disability (R.A. No. 7277, as amended by R.A. No. 9442)
a. Definition
b. Rights of persons with disability
c. Prohibition on discrimination against persons with disability
d. Incentives for employers