FOURTEENTH CONGRESS OF THE REPUBLIC ) 
_ _ , _  
> \  
!.:;‘;I 
?;, 
1 
,,,‘-,~ , 
OF THE PHILIPPINES 
First Regular Session 
1 
Introduced by Senator Miriam Defensor Santiago 
EXPLANATORY NOTE 
The primary aim of this measure is to eliminate one layer of appellate body, the Court of 
Appeals, as regards decisions of the National Labor Relations Commission (NLRC) which has 
just recently been instituted thru judicial legislation. For the sole purpose of de-clogging its 
docket, the Supreme Court, in the case of St. Martin Funeral Homes vs. NLRC, G.R. No. 
130866, September 16, 1998, ruled that the decisions of the National Labor Relations shall be 
appealable to the Court of Appeals. Consequently, the mandate of providing speedy labor justice 
is hereby negated particularly as regards the workers who could ill afford a protracted, costly and 
frustration litigation in another level of appeal. This additional layer of appeal affects the whole 
workforce in the country, including overseas contract workers, agricultural workers and domestic 
helpers. 
This must be corrected in order to put to rest the clear intent of Congress in enacting R.A. 
6715 (Labor Code, as amended). Being a special social legislation, it is the intent of Congress to 
afford speedy labor justice to the party litigants to “ensure industrial peace.” Thus, decisions of 
the Labor Arbiters, who act as labor judges at the arbitral level, are appealable to the National 
Labor Relations Commission. By providing that: 
“The decision of the Commission shall be final and executory after ten (10) calendar days 
from receipt thereof by the parties.” 
Congress has intended not to allow further appeal from the decision of the National Labor 
Relations Commissions. However, considering the constitutional review power of the Supreme 
Court over all decisions of regular courts and quasi-judicial bodies, such as the NLRC, it has 
long been the practice by the Court to entertain petitions filed by the aggrieved parties via special 


civil action of Certiorari. This practice is pursuant to paragraph three (3), Section 9 of B.P. 129, 
reiterated in R.A. 7902, which specifically exempts the decision of the National Labor Relations 
Commission from the appellate jurisdiction of the Court of Appeals. 
It is therefore clear that the Legislature has intended not to provide for an appeal from the 
decisions of the Commission. However, an aggrieved party may still avail of the special civil 
action of Certiorari only on questions of law and/or jurisdiction, by filing the said petition direct 
to the Supreme Court pursuant to Rule 65 of the Rules of Court. This is what this bill intends to 
put into law. 


4 
5 
6 
I 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
,. , 
FOURTEENTH CONGRESS OF THE REPUBLIC ) 
54 
zt,i ,,: : 
OF THE PHILIPPINES 
1 
First Regular Session 
1 
Introduced by Senator Miriam Defensor Santiago 
AN ACT 
RATIONALIZING RELIEFS FROM AN EXECUTION OF FINAL DECISIONS AND 
AWARDS OF THE NATIONAL LABOR RELATIONS COMMISSION AND THE 
LABOR ARBITERS, THEREBY AMENDING FOR THAT PURPOSE ARTICLES 223 
AND 224 OF THE LABOR CODE. 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
the Congress assembled: 
SECTION 1. Article 223 is hereby amended to read as follows: 
Article 223. Appeal. - Decisions, awards, or orders of the Labor Arbiter are final and 
executory unless appealed to the Commission by any or both parties within ten (10) 
calendar days from receipt of such decisions, awards or orders. Such appeal may be 
entertained only on any of the following grounds. 
A) If there is prima facie evidence of abuse of discretion on the part of the Labor 
Arbiter; 
B) If the decision, order or award was secured through fraud or coercion, 
including graft and corruption; 
C) If made purely on question of law; and 
D) If serious errors in the findings of facts are raised which would cause grave or 
irreparable damage or injury to the appellant. 
In case of judgment involving monetary award, an appeal by the employer may be 
perfected only upon posting of a cash or surety bond issued by a reputable bonding 
company duly accredited by the Commission in the amount equivalent to the monetary 
award in the judgment appealed from. 
In any event, the decision of the Labor Arbiter reinstating a dismissed or 
separated employee, insofar as the reinstatement aspect is concerned, shall immediately 
1 


1 
be executory, even pending appeal. The employee shall either be admitted back to work 
2 
3 
4 
5 
6 
7 
8 
9 
10 
11 
12 
13 
14 
15 
16 
17 
18 
19 
20 
21 
22 
23 
24 
25 
26 
under the Same terms and conditions prevailing prior to his dismissal or separation or, at 
the option of the employer, merely reinstated in the payroll. 
IN CASE THE 
EMPLOYER SHALL OPT FOR PAYROLL REINSTATEMENT, THE EMPLOYEE 
SHALL BE PAID HIS SALARIES/WAGES DURING THE PENDENCY OF THE 
APPEAL IN THE COMMISSION. The posting of a bond by employer shall not stay 
execution reinstatement provided herein. 
To discourage Frivolous or dilatory appeals, the Commission or the Labor Arbiter 
shall impose reasonable penalty, including fines or censures, upon erring parties. 
In all cases, the appellant shall furnish a copy of the memorandum of appeal to the 
other party who shall file an answer not later than ten (10) calendar days from receipt 
thereof. 
The decision of the commission shall be final and executory after ten (10) 
calendar days from receipt thereof by the parties. 
IN CASE A MOTION FOR 
RECONDSIDERATION IS FILED, THE DECISION SHALL BE EXECUTORY 
AFTER TEN (10) CALENDAR DAYS FROM RECEIPT OF THE RESOLUTION OF 
SUCH MOTION. 
SECTION 2. Article 224 is hereby amended to read as follows: 
Articles 224. Execution of decisions, orders or awards. 
A) DECISIONS, RESOLUTIONS OR AWARDS OF THE COMMISSION 
SHALL BE UNAPPEALABLE AND REVIEWABLE ONLY BY THE SUPREME 
COURT ON CERTIORARI UNDER RULE 65 OF THE RULES OF COURT SOLELY 
ON QUESTIONS OF LAW OR JURISDICTION. 
B) The Secretary of Labor and Employment, or any Regional Director xxx. 
C) The Secretary of Labor and Employment, and the Chairman of the 
Commission xxx. 
2 


1 
2 
3 
repealed or modified accordingly. 
SECTION 3. Repealing Clause. - All laws, decrees, executive orders, rules and 
regulations or any part thereof which are inconsistent herewith are hereby deemed 
4 
5 
6 
7 
Approved. 
SECTION 4. Effectivity. - This Act shall take effect fifteen (15) days after its 
complete publication in the Official Gazette or in at least two (2) national newspapers of 
general circulation, whichever comes earlier. 
3