MATATAG NOTES LABOR RELATIONS

JURISDICTION
Labor Arbiter
o ULP
o Termination Disputes
o Claims involving wages, hours of work, rate of pay, and other terms and conditions
of employment
o Money claims arising from employer employee relationship that exceeds Php5,000
o Any violation of Art. 264 questioning the legality of any strikes or lockout
o Claim for actual, moral, exemplary, and other forms of damages relating to EER

Jurisdiction may be questioned even on appeal on NLRC, reason being it is conferred by law
and maybe questioned at any time (De Rossi v. NLRC)
Notice of hearing does not give Labor Arbiter jurisdiction over the person of the defendant,
there must be service of summons.
Technical rules of procedure and evidence are not controlling on proceedings of the Labor
Arbiter, the spirit of the Code shall be used in ascertaining the facts in the interest of due
process.
Labor Arbiter has jurisdiction over claims for damages arising from ULP.
Requisites for Regional Director to adjudicate money claims.
o Claim is presented by employee or employed in domestic or household service.
o Claim arising from EER.
o No reinstatement and Does nor exceed Php5,000.
Regional Director decisions are appealable to the NLRC within 5 calendar days from receipt
of decision.
When EER is severed and there is a money claim exceeding Php5,000 LA has jurisdiction.
Resolution of Wage Distortion
o W/ CBA
Grievance procedure, if unsolved thru Voluntary Arbitration
o W/out CBA
Employee talks to employer, if nothing happens
NCMB, if unsolved within 10 days NLRC
 RTC has jurisdiction over intra corporate disputes.
Labor Arbiter has no jurisdiction over government employees.
Labor arbiter may assume jurisdiction of a Corporate Officer for his claim of unpaid wages
when he was still only an Admin Manager.
LA has jurisdiction over termination and ULP cases not withstanding the CBA has provided
by the CBA. However if CBA unequivocally expressed that the company and the Union has
agreed with this then it may be referred to Voluntary Arbitration.
RTC has jurisdiction over claims of security agency against its principal for non payment of
adjusted contract rates. Enforcement of contracts between agency and principal is not a
labor dispute.
Damages arising from contract provision not allowing former employee to engage in any
similar business in competition with the company is cognizable by the RTC it being a post
employment dispute and is under the realms of civil law.
Torts from acts performed in the workplace are under RTC jurisdiction.
Failure and refusal of an employee without just cause to report for duty despite repeated
notices, and with malice and bad faith violated the terms and agreement of his contract is
under the jurisdiction of the RTC.
Labor dispute exists even though ULP acts have not yet been established and under LA.
Refusal to negotiate CBA and claims for damages based on it is under LA jurisdiction, Civil
aspects of ULP cases are outside the reach of the courts.
Suits filed on LA may no longer be filed with RTC, splitting of cause of action has effect of
RES JUDICATA.
Replevin is not intertwined with labor disputes. Determination who has better right to
possession of a vessel is vested on the competence of civil courts.
Failure of neglect to provide immediate medical assistance by shipowner are torts and quasi
delicts under RTC jurisdiction.
3rd party asserting a claim over property levied upon is under RTC jurisdiction.
Determination whether a faculty member of a University is under RTC
Compelling a company to hire employees of an independent contractor is a labor dispute
because it disputes whether the disputants stand in the proximate relation of Employer
Employee, claim for damages maybe interwoven to avoid splitting the cause of action.
Reasonable Cause Connection Rule recognizes the jurisdiction of LA over claims for damages
in connection with termination of employment
 Fatal injury of machine operator assigned to operate a machine without training prompted a
claim for payment of nightshift deifferentials, overtime pay, and other benefits plus damages
for the death of the machine operator may be recognized by the LA because of the character
of the principal relief sought, damages being merely incidental to such claim.
Moral damages are recoverable only when dismissal of the employee was attended by bad
faith, fraud, constitutes an oppressive act to labor or was done contrary to morals, good
custom or public policy.
Exemplary damages may only be awarded if the dismissal was shown to have been effected
in a wanton, oppressive, or malevolent manner, or where the party involved is entitled to
moral or compensatory damages.
Attorneys fees may be awarded where the workers were compelled to litigate with their
employed and incur expenses to enforce and protect their interests.
Unjustified transfer of an employee that resulted from disagreement with superiors is a case
were moral and exemplary damages may be awarded.
Claims not alleged in the complaint but are made in the position papers may be awarded by
LA.
Failure of some complainant to sign the verification attachment to the complaint is not a
ground to dismiss, it is only a matter of procedure and does not weaken the claim.
Formal hearing on open court are discretionary.
CBA provision allowing non payment of wage increase mandated by a wage order is
unlawful.
VP for finance appointed to such position is not a corporate officer if the position is not
included on those enumerated by the bylaws.
International Organizations are beyond the jurisdiction of phil. Courts because it enjoys
immunity from legal writs and processes issued by the tribunals of host government.
Claim of illegal dismissal of a pastor is an EER dispute and does not violate separation of
church and state.
Matters involving the interpretation of the CBA is under the jurisdiction of the Voluntary
Arbitrator.
Prescription
o ULP 1 year
o Money claims 3 years
o Illegal dismissal - 4 years
 o In multiple claims prescription period is determined based on the principal cause of
action,
Prescriptive period for for money claims interrupted when filed on appropriate judicial or
quasi judicial body or written demand to the employer.
Money claims may be filed independently of the criminal action instituted in proper courts.
Due process is satisfied where record shows parties where given ample opportunity to
present affidavits and position papers.
Non lawyers may appear before LA only if they represent themselves or their organizations
or members thereof.
Decisions of LA are appealable w/ 10 calendar days of receipt of such decision on the ff
grounds:
o Prima facie evidence of abuse of discretion by the LA
o Decision was made with coercion, fraud including graft and corruption
o Made on purely questions of law
o If serious errors in the finding of facts are raised which if not corrected will cause
grave and irreparable damage or injury to the appellant.
Appeal perfected upon filing by the appellant with the LA of his memorandum of appeal copy
furnish appellee, and payment of appeal fee.
Appeal by employer from a from a monetary reward is perfected only upon posting of a cash
or surety issued by a reputable bonding company accredited by the commission in the same
amount of the monetary award.
Instances when appeal beyond 10 calendar days were allowed:
o Appellants reliance on erroneous fact on the notice of decision stating that 10
working days instead of calendar days.
o 10th day on a Saturday, Sunday or holiday, or any instance post office is closed such
as typhoon.
Reinstatement not stayed by appeal and is immediately executory.
Failure to copy furnish not a ground for dismissal of appeal.
Posting of bond after 10 days allowed if:
o Not instructed to make a bond.
o Decision did not state amount of the bond
Bond may be waived if appellant by reason of insolvency or social justice or free access to
the courts.
Failure to pay appeal docket fee is not fatal.
 Inclusion of corporate name of employer motu propio on appeal is within the discretion of
the NLRC as its empowered to correct, amend, or waive any error, defect or irregularity
whether in substance or in form of the proceedings before it.
Powers of the NLRC
o Promulgate rules and regulations governing the hearing and disposition of cases
before it.
o Administer oaths, summons, and issue subpoenas
o Conduct investigation for the determination of a question, matter, or controversy
before it.
o To hold any person in direct or indirect contempt and impose appropriate penalties
thereof
o To enjoin or restrain any actual or threatened commission of any or all prohibited
acts or to require the performance of a particular act in any labor dispute.
NLRC may enjoin a strike with an injunction when threat existed that the union seeks to
revive an unlawful strike as proven by facts.
There is denial of due process when the same person who decided a case if the same person
who decided the case shall review the same in appeal.
NLRC are empowered to conduct ocular inspection on any establishment at any time during
working hours for any matter or question relative to the investigation.
The NLRC may not give affirmative relief other than those decided by LA if there is no
appeal.
NLRC should limit itself only to the specific issues elevated for review.
NLRC may consider evidence for the first time during appeal.
o In keeping directive of the Labor Code that every and all reasonable means to
ascertain the facts in each case speedily and objectively except if employer could
have already presented said evidence w/ the LA.
Compromise agreements made by some but not all of the parties in appeal to NLRC are
valid. Under the law such agreements are not only proper but are encouraged as well.
Should a party fail or refuse to comply with the terms of a compromise or amicable
settlement, the other party could either:
o enforce the compromise agreement by writ of execution
o regard it as rescinded and insist on his original demand
Promise of an officer of a corporation to an offer to compromise if it is with out SPA at the
express consent of the corporation.
 If the parties fail to reach an amicable settlement the LA should direct both parties to submit
their position papers.
Existence of EER is a question of fact.
Judicial remedy for decisions of the NLRC and the Secretary of Labor is a petition for
certiorari under rule 65 for GAD amounting to lack or excess of jurisdiction, to be filed with
the Court of Appeals 60 days from the notice of judgement, in compliance with the principle
of hierarchy of courts.
In the interest of substantial justice failure to file a motion for reconsideration before filing a
petition for certiorari is not a fatal omission. (Abraham v. NLRC)
Unless not supported by substantial evidence finding of fact of the NLRC is final.
A voluntary Arbitrator is one freely selected or chosen by the parties and to whom such
controversy or disputed matter is by agreement submitted for a final and binding decision.
JURISDICTION OF VOLUNTARY ARBITRATOR
o All unresolved grievances arising from the interpretation or implementation of the
CBA
o All unresolved grievances arising from implementation or enforcement of company
policies.
o All wage distortion issues arising from the application of any wage orders in
organized establishments.
o All unresolved grievances arising from the implementation of the productivity
incentive programs.
o Cases in compulsory arbitration may be passed to the VA if both parties agreed
thereto.
Cases w/in Voluntary Arbitration if certified to be industries indispensable to national
interest. Compulsory Arbitration gains jurisdiction.
Cases involving restraint of the enforcement of Companys Drug Abuse policy is under
Voluntary Arbitrator.
VA decisions are subject to motion for reconsideration within 10 calendar days.
Secretary of Labors appellate jurisdiction over the BLR is limited to a review of cancellation
proceedimgs.
VA decisions or awards are not appealable to the LA or NLRC, execution of awards is by
filing a motion for issuance of a writ of execution to the VA or LA.
Final remedy for VA decisions is petition for review under rule 43of the rules of court.
Orders of reinstatement are immediately executory, however employers may
 o Reinstate to same position without loss of seniority rights;
o Payroll reinstatement if presence of employeemay be inimical to company interest.
LA and NLRC has no jurisdiction over independent contractors.
Employees are not liable to reimburse wages if reinstatement is reversed in appeal.
Employers are liable to reimburse backwages to employees if dismissal is reversed in appeal.
CORPORATE OFFICERS
o Positions that are enumerated in the by laws of the corporation.
o Appointed by board resolution to positions also created by a board act.

RIGHT TO SELF ORGANIZATION

The right to self organization is the right of the employees to form, join, or assist in the
formation of a labor organization of their own choosing for purposes of collective bargaining
through representatives of their own choosing and to engage in lawful concerted activities
for purposes of collective bargaining and for their mutual aid and protection. Also includes
right not to join unions.
Closed shop provisions when employers may dismiss employees upon causes provided by
the union and is within the provisions of the CBA.
Yellow dog contracts is where employees are hired upon the condition that they will not join
a union is unlawful.
All employees, government, supervisors, aliens w/ valid working permits, security personnel
employed by security service contractor may unionize for purposes of collective bargaining .
Rationale for segregation is conflict of interest as it is difficult to find unity or mutuality of
interests in a bargaining unit consisting of rank and file and supervisory employees for
instance.
Members outside the bargaining unit are deemed automatically removed from the list.
Confidential employees are those trusted with confidence or delicate matters or with
custody, handling, or care and protection of the employers data or information with regards
to the field of labor relations.
Payroll officer is not a confidential employee.
Registration of a labor organization is a condition sine qua non for the acquisition of legal
personality of the labor organization.
Employees of barbershops or service establishments for they are still considered employees
and the law does not fix the minimum number of employees for self organization.
 Jurisdiction of NLRC
o Petitions for injunction or TRO under Art. 218 (e)
o Exclusive Appellate Jurisdiction: over all cases decided by labor arbiters [Art 217(b)]
and the DOLE regional directors under Art 129.
Certified cases Certified labor disputes are cases certified to the Commission for compulsory
arbitration under Art. 263 (g) of the Labor Code. [Sec. 2, The 2011 NLRC Rules and
Procedures]
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 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. [Art. 263]

BUREAU OF LABOR RELATIONS (BLR) MED ARBITERS JURISDICTION (ORIGINAL AND

APPELLATE) The Bureau of Labor Relations and the Labor Relations Divisions in the

regional offices of the Department of Labor and Employment shall have original and
exclusive authority to act, at their own initiative or upon request of either or both parties, on
all inter-union and intra-union conflicts, and all disputes, grievances or problems arising from
or affecting labor-management relations in all workplaces whether agricultural or non-
agricultural, except those arising from the implementation or interpretation of collective
bargaining agreements which shall be the subject of grievance procedure and/or voluntary
arbitration. [Art. 226]

The Bureau shall have fifteen (15) calendar days to act on labor cases before it, subject to
extension by agreement of the parties.

Appellate Jurisdiction
(1) BLR has the power to review the decision of the Regional Director
(2) Decisions rendered through its appellate power are final and executory. Hence, the
remedy of the aggrieved party is to seasonably avail of the special civil action of certiorari
under Rule 65 of the Rules of Court.