Republic ofthe Philippines
[HOUSE OF REPRESENTATIVES.

‘Quezon Cy
‘THIRTEENTH CONGRESS
Fit Regul Sesion
wono,_1420

Teed Rep Rael 1. Bovinaga

EXPLANATORY NOTE,

Labor arbiters ae judges in the Philippine labor setting, They arbitrate the very sensitive
issues between labor and management. They perform their very delicate role in the
‘maintenance of industrial peace which i vital to every nation's economic stability. As vill
ng in our administration of labor justice, the plight of aber erbiters has long been neglected
snd ther role in economic development has gone unrecognized

In 1995, RAH 8042 or the Migrant Workers and Overseas Filipinos Act entrusted to these
labor arbiters the speedy resolution of maney cams of OFWs. About 7,000 unresolved ees
‘were trunsfered 10 them by FOEA in 1996, (338 more up to 1998) in view of this law
Without an iota if editional resources, they resolved 50% of thee tranaferred cases in 1996,
‘lest all of them in 1997 and all in 1958, ex new OF Ws cases flooded ther dockets

In 1998, the Labor Arbiters worked topeter in ther “ero backlog project” and eliminated
92.5% of their 1997 and. older cases This has virtually cleed the NLRC docket of
‘unezolved cases that have dragged the wheels of justice with unde delay

Since they perform an important part in the maintenance of industrial peace and in the
‘djudiation of justice in the workplace, itis iting that lbor arbiters enjoy equality in rane
with the judges ofthe Municipal Trial Courts (MTC). Appropriate retirement benefits must
Likewise be accorded them to enable them to enjoy the fruits of government service long ater
‘hey have been served it with thei best yeas

nthe same context, the Commissioners of the NLRC who by law enjoy the same salary,
Allowances and benefits us the Justices of the Court of Appeals, exept retirement benefits,
should be covered also by the coresponding provision inthe law for ter expressed equality
withthe justices nd proper retirement benefits

Passage of this ill will rant due recognition to the role of labor arbiters and the NLRC in
jonof justin which is an indispenaable component of rational development

the
ROSELLER 1.
sentative
ister, Zamboanga del Norte


Congres of the Philippines)

Thee Conges )
First ReglerSeision—)
[HOUSE OF REPRESENTATIVES
pno,_1420
Tadced by Rap. Roser T:Barinaga
ANACT

AMENDING ARTICLES 215 AND 216 OF THE LABOR CODE OF THE
PHILIPPINES, AS AMENDED, BY UPGRADING THE SALARIES, ALLOWANCES
AND RETIREMENT BENEFITS OF LABOR ARBITERS AND THE
COMMISSIONERS OF THE NATIONAL LABOR RELATIONS COMMISSION
‘AND FOR OTHER PURPOSES

‘Be it enacted by the Senate and the House of Representatives of the Philippines in
Congress assembled:

SECTION 1. Article 215 ofthe Labor Code, as amended, is hereby further amended
‘wread as follows:
Aticle 215. Appointment end Quulifcations. - The Chairman and other

‘Commisionersaball be members of the Philippine Bar and must have been engaged inthe
‘practice of Law inthe Plippines for atleast fiteen (15) years, with a least five (3) years
‘experience or exposure in the field of labor esunagement relations, and shal preferably be
resident of the region where they hold office. The Executive labor arbiters and the Labor
‘Asbiters shall Likewise be members of the Philippine Bar and mus have engaged in the
Brctce of law for ot [least seven (7)] TEN (10) yearn, with lat hee (3) year experience
& exposure in the field of labor-management relations Provided, however, Thal. THE
EXECUTIVE AND LABOR ARBITERS SHALL APPOINTED TO SPECIFIC REGIONAL
ARBITRATION BRANCHES AND SHALL PREFERABLY BE RESIDENTS OF THE
REGION WHERE THEY ARE TO HOLD OFFICE: AND PROVIDED FINALLY, THAT
‘THE INCUMBENT EXECUTIVE AND LABOR ARBITERS PRESENTLY HOLDING
OFFICE IN THEIR RESPECTIVE ARBITRATION BRANCHES WHERE THEY ARE
‘ALSO RESIDENTS, SHALL BE DEEMED TO HAVE BEEN APPOINTED THEREAT.
{uhm the incumbent Executive Labor Asbiters and Labor Abiters who have been engaged in
the prnctice of law for atleast five (5) years may be considered as already qualified for
purposes of reappointment ax such under this Act]

‘The Chairman and the other Commissioners, the Executive Labor Aciters and Labor
‘Arbiter shall hold office during god behavior wil they reach the age of axty-five (65)
year, unless sooner removed for cause es provided by law or become incapacitated to
‘discharge the duties oftheir office


The Chuinman, the Division Presiding Commissioner and other Commissioners shall
Al_be appointed by the President (subject to confirmation by the Commission on
Appointments). Appointment to any vacancy shall come from the nominees of the sector
‘which nominated the predecessor. The Executive Labor Avbiters and Labor Arbiter shall
also be appointed by the President, upon THE JOINT recommendation of the Secretary of
Labor and Employment and the CHAIRMAN OF THE COMMISSION and shall be subject
to the Civil Service Law, rales and regulations.

‘The [Secretary of Labor and Employment shal, in consultation withthe Chairman of
the Commission SHALL appoint the staff and employees of the Commission and it eginal
‘ranches as the needs of the service may require, subject tothe Civil Service Law, rules and.
‘eplations, and upgrade their current salaries and other emoluments in sccordance within

SEC. 2, Aticle 216, a8 amended, is hereby futher amended to red as fllows:

Abticle 216, Salaries, benefits end emoluments. - The Chairman and menbers ofthe
Commision shall HAVE THE SAME RANK, receive an annual slay et lest equivalent to,
nd shall be ented to AND BE ENTITLED TO THE SAME ALLOWANCES,
RETIREMENT AND OTHER BENEFITS AS THAT OF THE JUDGES OF ‘THE
‘MUNICIPAL TRIAL COURTS that of un asistant Regional Director ofthe Department of
labor and Employment and shall be entitled tothe same allowances and benefits a tht of an
Assistant Regional Director of the Department of Labor and Employment) In no cae,
however, shall the provision of this Article reult in the diminution of existing salaries,
allowances end benefits ofthe abovementioned offical

SEC. 3, All ews, rules and regulations, decree, isumces or any prt or parts thereof
‘inconsistent with this act ae hereby repealed, modified or amended scordingly.

‘SEC. 4 This Act shall take effet fifteen (15) days after its complete publication in
the Oificial Gazete or in at least two (Z) national newspapers of general circulation,
“whichever comes fst

Approved,