SENATE 
S.B. 
No. 537 
~~ 
introduced by Senator JINGGOY EJERCITO ESTRADA 
EXPLANATORY NOTE 
Article 129 of the Labor Code, as amended, provides that when the 
aggregate money claims of an employee or house helper amounts to Five 
Thousand Pesos (P5,OOO.OO) or below, the matter involving the recovery of 
wages and other monetary claims and benefits, including legal interest, owing to 
an employee or person employed in domestic or household service, arising from 
employer-employee relations, except when it includes a claim for reinstatement, 
shall be heard and decided by the Regional Director of the Department of Labor 
and Employment. Otherwise, the National Labor Relations Commission (NLRC) 
has the jurisdiction over the labor-related claims. 
Operating under this provision, the claimants of P5,OOO.OO and above are 
suffering unnecessary delays due to the distance of NLRC Offices. Apart from 
this fact, cases are continually piling up in NLRC beyond the capacity of the 
institution resulting to more pending cases, more petitioners waiting for their 
claims, and most significantly, more time being wasted. 
To be able promote efficiency, especially in this concern, where money is 
involved, this bill proposes to remove the P5,OOO.OO ceiling in the amount of 
claims that will be attended to by the DOLE Regional Offices. Through this 
amendment, the offices rendering the needed services will be more accessible 
and the process will be improved. It will not only enhance the efficiency of the 
institution but will also result to the delivery of quality service to the public. 
Apart from the above amendment, the bill also proposes the re-allocation 
of the jurisdiction of labor arbiters in handling all money claims to reduce the 
inflow of cases to the NLRC. 
This bill aims to expedite the administration and enforcement of cases 
involving recovery of wages, money claims and other benefits. In effect, not only 
will there be a speedy disposition of labor-related cases but the claimants, as 
well as their dependents, can anticipate a better and more responsive service 
from the institution. 
The approval of this measure is earnestly sought. 
c__I Senator 


FOURTEENTH CONGRESS OF THE 
1 
First Regular Session 
) 
7 JIiL-2 
i)’.i 
REPUBLIC OF THE PHILIPPINES 
) 
SENATE 
S.B. No. 537 
Introduced by Senator JINGGOY EJERCITO ESTRADA 
AN ACT 
DEFINING JURISDICTION OVER LABOR CASES BETWEEN THE NATIONAL 
LABOR RELATIONS COMMISSION AND THE REGIONAL OFFICES OF THE 
DEPARTMENT OF LABOR AND EMPLOYMENT, AMENDING FOR THIS 
PURPOSE, ARTICLES 129 AND 217 OF PRESIDENTIAL DECREE FOUR 
THE LABOR CODE OF THE PHILIPPINES 
Be it enacted by the Senate and House of Representafives of de Philippines in 
HUNDRED FORTY-TWO (PD 442), AS AMENDED, OTHERWISE KNOWN AS 
Congress assembled: 
SECTlON 1. Article 129 of the Labor Code is hereby further amended, to 
read as follows: 
Art. 129. Recovety of wages, simple money claims and other 
benefits. - Upon complaint of any interested party, the Regional Director of 
the Department of Labor and Employment or any of the duly authorized 
hearing officers of the Department, REGARDLESS OF THE AMOUNT OF 
CLAIM, is empowered through summary proceedings and after due 
notice, to hear and decide any matter involving the recovery of wages and 
other monetary claims and benefits, including legal interest, owing to an 
employee or person employed in domestic or household service or 
household helper under this Code, arising from employer-employee 
relations; Provided, That such complaint does not include a claim for 
reinstatement; [Provided further, that the aggregate money claims of each 
employee or household helper does not exceed five thousand pesos 
SEC. 2. Article 217 (a) (6) of the Labor Code is hereby further amended to 
(P5,ooo.oo).x] x x 
read as follows: 
Art. 217. Jurisdiction of Labor Arbiters and the Commission. 
(a) XXX 
1. xxx 
2. xxx 
3. xxx 
4. xxx 
5. xxx 
6. Except claims for Employees Compensation, Social Security, 
Medicare and maternity benefits, all other claims, arising from, 
employer-employee relations, including those of persons in 
domestic or household service, involving [an amount exceeding 
five thousand pesos (P5,OOO.OO)regardIess of whether] ALL 


MONETARY CLAIMS accompanied with a claim for 
reinstatement. 
(b) xxx 
(c) xxx 
SEC. 3. Repealing Clause. - All laws, acts, decrees, executive orders, 
rules and regulations or other issuances or parts thereof, which are inconsistent 
with this Act, are hereby modified and repealed. 
SEC. 4. Effectivity. - This Act shall take effect after fifteen (15) days 
following its publication in at the Official Gazette or in at least two (2) newspapers 
of general circulation. 
Approved, 
APPROVED.