NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
lx ■ S3?ruafc
of I'hc
‘22 SEP 13 P4 32
SENATE
S.B. No. 1311
INTRODUCED BY SENATOR RISA HONTIVEROS
AN ACT
PROVIDING FOR THE REVISED LABOR CODE OF THE PHILIPPINES
EXPLANATORY NOTE
The State affirms labor as a primary social economic force. It shall protect the 
rights of workers and promote their welfare. {Art. //, Sec. 18, 1987 Philippine 
Constitution)
Labor is the primary social economic force of the State, thus. It is essential that 
laws and rules affording protection to labor be kept up to date with the times.
Presidential Decree (P.D.) No. 442, as amended, otherwise known as the Labor 
Code of the Philippines, is the governing law on labor standards and labor relations in the 
Philippines. Since its enactment In 1974, it has been subject to several amendments, 
starting from P.D. No. 570-A to Republic Act No. 10151. These amendments ranged from 
the general revisions of the law to renumbering of provisions and the recognition of the 
rights of night workers. These changes, however, were all piecemeal amendments that 
are scattered throughout different laws and policies, making it difficult for both employees 
and employers to be apprised of their rights and obligations.
This proposed revised Labor Code aims to: (1) Update and revise the current Labor 
Code to incorporate existing laws and to reflect international conventions related to labor; 
(2) Ensure that the provisions are gender fair and non-discriminatory; (3) Ensure that the 
interests of laborers and employers are equally protected; and (4) Provide a 
comprehensive and easily-accessible labor regulation to all stakeholders.
The proposed measure incorporates, among others, the International Labour 
Organization Conventions, the Convention on the Elimination of All Forms of 
Discrimination Against Women, the Safe Spaces Act, and the Migrant Workers and
1


Overseas Filipinos Act. In addition, it seeks to introduce new provisions on gender equality 
and justice, recognition of rights of women workers, and the creation of the Court of 
Labor Relations.
The enactment of the proposed revised Labor Code will aid in strengthening our 
policy of affording full protection to labor and promoting full employment and equality of 
employment opportunities for all.
In view thereof, the passage of this measure is earnestly sought.
RISA HONTIVEROS V 
Senator


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22 
23
i !ky '' iS 
1-' Uii 1 ?
of flU' IP'C.'i rl.iri?
*22 SEP 13 P4 :32
SENATE
S.B. No. 1311
INTRODUCED BY SENATOR RISA HONTIVEROS
AN ACT
PROVIDING FOR THE REVISED LABOR CODE OF THE PHILIPPINES
Be it enacted by the Senate and House of Representatives of the Phiiippines in Congress 
assembied:
PRELIMINARY TITLE 
Chapter I
GENERAL PROVISIONS
Art. 1. Name of the Code. This Code shall be known as the "REVISED Labor Code of 
the Philippines". (1)
Art. 2. Date of Effect!vity. This Code shall take effect six (6) months after its 
promulgation PUBLICATION IN TWO (2) NEWSPAPERS OF GENERAL CIRCULATION. (2)
Art. 3. Declaration of Basic Policy. The State shall afford FULL protection to labor, 
LOCAL AND OVERSEAS, ORGANIZED AND UNORGANIZED, and promote full employment; 
ensure equal work-opportunities-rcgardicss of-sex, race or creed and regulate the
relations—between—workers—aad—employers—AND EQUALITY OF EMPLOYMENT 
OPPORTUNITIES FOR ALL.
The State IT shall-assure-GUARANTEE the rights of ALL workers to self-organization, 
collective bargaining AND NEGOTIATIONS, AND PEACEFUL CONCERTED ACTIVITIES, 
INCLUDING THE RIGHT TO STRIKE IN ACCORDANCE WITH LAW. THEY SHALL BE 
ENTITLED TO security of tenure, and just and humane conditions of work, AND A LIVING 
WAGE. THEY SHALL ALSO PARTICIPATE IN POLICY AND DECISION-MAKING PROCESSES 
AFFECTING THEIR RIGHTS AND BENEFITS AS MAY BE PROVIDED BY LAW.


1
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
27
28
29
30
31
32
33
34
35
36
THE STATE SHALL PROMOTE THE PRINCIPLE OF SHARED RESPONSIBILITY BETWEEN 
WORKERS AND EMPLOYERS AND THE PREFERENTIAL USE OF VOLUNTARY MODES IN 
SETTLING DISPUTES, INCLUDING CONCILIATION, AND SHALL ENFORCE THEIR 
MUTUAL COMPLIANCE THEREWITH TO FOSTER INDUSTRIAL PEACE.
THE STATE SHALL REGULATE THE RELATIONS BETWEEN WORKERS AND EMPLOYERS, 
RECOGNIZING THE RIGHT OF LABOR TO SHARE IN THE FRUITS OF PRODUCTION AND 
ENTERPRISES, TO PROFITS, EXPANSION AND GROWTH. (3a)
Art. 4. Construction in Favor of Labor. All doubts in the implementation and 
interpretation of the provisions of this Code, including its implementing rules and 
regulations AS WELL AS IN LABOR CONTRACTS, shall be resolved in favor of labor. (4a)
Art. 5. Rules and Regulations. The Department of Labor AND EMPLOYMENT (DOLE) 
and other government agencies charged with the administration and enforcement of this 
Code or any of its parts shall promulgate the necessary implementing ruies and 
reguiations. Such rules and regulations shall become effective fifteen (15) days after 
announcement of their adoption in TWO (2) newspapers of general circulation AND 
AFTER COMPLYING WITH THE FILING REQUIREMENT WITH THE OFFICE OF THE 
NATIONAL ADMINISTRATIVE REGISTER; OTHERWISE, THE RULES CANNOT BECOME 
THE BASIS OF ANY SANCTION AGAINST ANY PARTY OR PERSONS. (5a)
Art. 6. Applicability. All rights and benefits granted to workers under this Code shall, 
except as may otherwise be provided herein, apply alike to all workers, whether 
agricultural or non-agricultural. (6) (As amended by Presidential Decree No. 570-A, 
November 1, 1974)
Chapter II
EMANCIPATION OF TENANTS EQUALITY AND NON-DISCRIMINATION
ART. 7. DISCRIMINATION.
(1) 
THE STATE SHALL PURSUE A NATIONAL POLICY DESIGNED TO PROMOTE, BY 
METHODS APPROPRIATE TO NATIONAL CONDITIONS AND PRACTICE, EQUALITY 
OF OPPORTUNITY AND TREATMENT IN RESPECT OF EMPLOYMENT AND 
OCCUPATION, WITH A VIEW TO ELIMINATING ANY DISCRIMINATION IN RESPECT 
THEREOF.
(2) 
FOR THE PURPOSE OF THIS CODE THE TERM DISCRIMINATION INCLUDES—


1
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
27
28
29
30
31
32
33
34
35
36
(3)
(a] 
ANY DISTINCTION, EXCLUSION OR PREFERENCE MADE ON THE BASIS OF 
RACE, COLOR, SEX, SEXUAL ORIENTATION, GENDER IDENTITY AND 
EXPRESSION, SEX CHARACTERISTICS, MARITAL STATUS, AGE, DISABILIPi', 
LANGUAGE, RELIGION, POLITICAL OPINION AND PERSUASION, NATIONAL 
EXTRACTION OR SOCIAL ORIGIN, PROPERTY, BIRTH, OR OTHER STATUS, 
WHICH HAS THE EFFECT OF NULLIFYING OR IMPAIRING EQUALITY OF 
OPPORTUNITY OR TREATMENT IN EMPLOYMENT OR OCCUPATION;
[b) 
SUCH OTHER DISTINCTION, EXCLUSION OR PREFERENCE WHICH HAS THE 
EFFECT OF NULLIFYING OR IMPAIRING EQUALITY OF OPPORTUNITY OR 
TREATMENT IN EMPLOYMENT OR OCCUPATION AS MAY BE DETERMINED BY 
THE MEMBER CONCERNED AFTER CONSULTATION WITH REPRESENTATIVE 
EMPLOYERS' AND WORKERS' ORGANIZATIONS, WHERE SUCH EXIST, AND 
WITH OTHER APPROPRIATE BODIES.
ANY DISTINCTION, EXCLUSION OR PREFERENCE IN RESPECT OF A PARTICULAR 
JOB BASED ON THE INHERENT REQUIREMENTS SHALL NOT BE DEEMED TO BE 
DISCRIMINATION.
FOR THE PURPOSE OF THIS CODE, THE TERMS EMPLOYMENT AND OCCUPATION 
INCLUDE ACCESS TO VOCATIONAL TRAINING, ACCESS TO EMPLOYMENT AND TO 
PARTICULAR OCCUPATIONS, AND TERMS AND CONDITIONS OF EMPLOYMENT, (new)
Art. 8. Discrimination Prohibited. It shall be unlawful for any employers to 
discriminate against any woman empioyeeS with respect to terms and conditions of 
empioyment solely on account of her THEIR RACE, COLOR, sex, GENDER IDENTITY AND 
EXPRESSION, SEX CHARACTERISTICS, SEXUAL ORIENTATION, MARITAL STATUS, AGE, 
DISABILITY, LANGUAGE, RELIGION, POLITICAL OPINION AND PERSUASION, NATIONAL 
EXTRACTION OR SOCIAL ORIGIN, PROPERTY, BIRTH, OR OTHER STATUS.
The following are acts of discrimination IF DONE ON THE BASIS OF THE CRITERIA IN 
THE FIRST PARAGRAPH:
(a) 
ADVERTISEMENTS OR QUALIFICATION STANDARDS SHOWING DISTINCTION, 
EXCLUSION OR PREFERENCE, WITH REGARD TO A PARTICULAR JOB NOT BASED 
ON THE INHERENT REQUIREMENTS OF THE SAID JOB;
(b) 
UTILIZING STANDARDS, CRITERIA, OR METHODS OF ADMINISTRATION THAT: 1) 
HAVE THE EFFECT OF DISCRIMINATION; OR 2) PERPETUATE THE


1
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
27
28
29
30
31
32
33
34
35
36
DISCRIMINATION OF OTHERS WHO ARE SUBJECT TO COMMON ADMINISTRATIVE 
CONTROL;
(c) 
(a) Payment of a lesser compensation, including wage, salary or other form of 
remuneration and fringe benefits,-to—a—female employee as against-a -male 
employee, for work of equal value; and
(d) 
(b) Favoring DISTINGUISHING, EXCLUDING OR PREFERRING a-mate employees 
over a female employee WITH RESPECT TO PROMOTION, with respect to 
promotion, training opportunities, study and scholarship grants solely on account of 
their sexes.
Criminal liability for the willful commission of any unlawful act as provided in this article 
or any violation of the rules and regulations Issued pursuant to Section 2 hereof ARTICLE 
5 shall be penalized as provided in Articles 28B-312 and 289-313 of this Code: Provided, 
That the institution of any criminal action under this provision shall not bar the aggrieved 
employees from filing an entirely separate and distinct action for money claims, which 
may Include claims for damages and other affirmative reliefs. The actions hereby 
authorized shall proceed independently of each other. (135a)
Art. 9. Stipulation Against Marriage. It shall be unlawful for an employers to require 
as a condition of employment or continuation of employment that a woman employees 
shall not get married, or to stipulate expressly or tacitly that upon getting married, a 
woman employees shall be deemed resigned or separated, or to actually dismiss, 
discharge, discriminate or otherwise prejudice a woman employees merely by reason of 
her THEIR marriage. (134a)
Art. 10. Classification of Certain Women Workers. Any-wcHTBft EMPLOYEES who 
is ARE permitted or suffered to work, with or without compensation, in any night club, 
BAR, cocktail lounge, massage clinic, baiv or similar establishments under the effective 
control or supervision of the employers for a substantial period of time as determined by 
the Secretary of Labor and Employment (SOLE), shall be considered as an employees of 
such establishment for purposes of labor and social legislation. (136a)
BOOK ONE 
PRE-EMPLOYMENT
Title I


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21
RECRUITMENT AND PLACEMENT OF WORKERS
CHAPTER I
GENERAL PROVISIONS
Art. 11. Statement of Objectives. CONSISTENT WITH THE NATIONAL INTEREST AND 
BINDING INTERNATIONAL COMMITMENTS, it is the policy of the State TO:
(A) PURSUE AS A MAJOR GOAL, AN ACTIVE POLICY DESIGNED TO PROMOTE FULL, 
PRODUCTIVE AND FREELY CHOSEN EMPLOYMENT WITH A VIEW TO STIMULATING 
ECONOMIC GROWTH AND DEVELOPMENT, RAISING STANDARDS OF LIVING, 
MEETING HUMAN RESOURCE REQUIREMENTS AND OVERCOMING 
UNEMPLOYMENT AND UNDEREMPLOYMENT;
(B) Promote and maintain a state of full employment through Improved manpower 
HUMAN RESOURCE training, allocation and utilization, CONSISTENT WITH HUMAN 
RIGHTS COMMITMENTS, INCLUDING THE PROMOTION OF GENDER EQUALITY; 
bH"o(C) Protect every citizen THE RIGHTS AND DIGNITY OF CITIZENS desiring to work 
locally or overseas, ORGANIZED OR UNORGANIZED, by securing for btm THEM the 
best possible terms and conditions of employment; 
c.-To (D) Facilitate a free choice of available employment by persons seeking work in 
conformity with the national interest;
22 
d. To facilitate and regulate the -movement of workers in conformity-with the national
23 
interest;
24 
e. To regulate -the-employment of aliens, including the establishment -of a registration
25 
and/or work permit system;-
26 
f.H"o(E) Strengthen the network of public employment offices and rationalize the
27 
participation of the private sector in the recruitment and placement of workers,
28 
locally and overseas, to serve-national development objectives;
29 
g^TeCF) Insure careful selection of Filipino workers for overseas employment in order to
30 
protect the good name of the Philippines abroad;
31 
(G) CONTINUOUSLY CREATE LOCAL EMPLOYMENT OPPORTUNITIES AND PROMOTE
32 
THE EQUITABLE DISTRIBUTION OF WEALTH AND THE BENEFITS OF
33 
DEVELOPMENT AS A MEANS TO SUSTAIN ECONOMIC GROWTH AND ACHIEVE
34 
NATIONAL DEVELOPMENT WHILE 
RECOGNIZING 
THE SIGNIFICANT
35 
CONTRIBUTION OF FILIPINO MIGRANT WORKERS TO THE NATIONAL ECONOMY
36 
THROUGH THEIR FOREIGN EXCHANGE REMITTANCES. THE OVERSEAS


1
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
27
28
29
30
31
32
33
34
35
36
(H)
EMPLOYMENT PROGRAM SHOULD REST ON THE ASSURANCE THAT THE DIGNITY 
AND FUNDAMENTAL HUMAN RIGHTS AND FREEDOMS OF FILIPINO CITIZENS 
SHALL NOT, AT ANY TIME, BE COMPROMISED OR VIOLATED; AND 
APPLY GENDER-SENSITIVE CRITERIA IN THE FORMULATION AND 
IMPLEMENTATION OF POLICIES AND PROGRAMS AFFECTING WORKERS. (12a)
Art. 12. Definitions. AS USED IN THIS BOOK, THESE TERMS SHALL BE DEFINED AS
FOLLOWS:
(a) 
"Worker"medins any member of the labor force, whether employed or unemployed.
(b) 
"Authority"mediX\s a document issued by the Department of Labor DOLE authorizing 
a person or association to engage in recruitment and placement activities as a 
private recruitment entity.
(c) 
"License"medics a document issued by the Deportment-of Labor-DOLE authorizing 
a person or entity to operate a private employment agency.
(d) 
"Private fee-charging empioyment agency"means any person or entity engaged in 
recruitment and placement of workers for a fee which is charged, directly or 
indirectly, from the workers or employers or both.
(e) 
"Private recruitment entity" means any person or association engaged in the 
recruitment and placement of workers, locally or overseas, without charging, directly 
or indirectly, any fee from the workers or employers.
(f) 
"Recruitment andpiacement"refers to any act of canvassing, enlisting, contracting, 
transporting, utiiizing, hiring or procuring workers, and includes referrals, contract 
services, promising or advertising for empioyment, iocaiiy or abroad, whether for 
profit or not: Provided, That any person or entity which, in any manner, offers or 
promises for-a-fee,- employment to two -or-morc persons shall be deemed engaged
in recruitment and placement. WHEN ANY PERSON OR ENTITY, IN ANY MANNER, 
OFFERS OR PROMISES FOR A FEE, EMPLOYMENT TO TWO OR MORE PERSONS, A 
PRESUMPTION IS CREATED THAT THE PERSON IS ENGAGED IN RECRUITMENT 
AND PLACEMENT.
§7------"Seaman" means any person employed in a vessel-engaged in maritime-navigation.
hr------"Overseas-employment" means employment of-o-worker outside the Phiiippines:
tr-------"Emigrant" means ony person, worker or otherwise, who emigrates to a foreign
country by -virtue-of-an-HThmigrant visa or resident-permit or its equivaient in the country
of destination.
(G) "MIGRANT WORKERS" REFERS TO FILIPINOS WHO ARE TO BE ENGAGED, ARE 
ENGAGED OR HAVE BEEN ENGAGED IN A REMUNERATED ACTIVITY IN A STATE


1 
OF WHICH THEY ARE NOT CITIZENS OR ON BOARD A VESSEL NAVIGATING THE
2 
FOREIGN SEAS OTHER THAN A GOVERNMENT SHIP USED FOR MILITARY OR NON-
3 
COMMERCIAL PURPOSES OR ON AN INSTALLATION LOCATED OFFSHORE OR ON
4 
THE HIGH SEAS. A "PERSON TO BE ENGAGED IN A REMUNERATED ACTIVITY'
5 
REFERS TO AN APPLICANT WORKER WHO HAS BEEN PROMISED OR ASSURED
6 
EMPLOYMENT OVERSEAS.
7 
(H) "GENDER EQUALITY" REFERS TO THE PRINCIPLE ASSERTING THE EQUALITY OF
8 
EVERYONE REGARDLESS OF GENDER AND THEIR RIGHT TO ENJOY EQUAL
9 
CONDITIONS REALIZING THEIR FULL HUMAN POTENTIALS TO CONTRIBUTE TO
10 
AND BENEFIT FROM THE RESULTS OF DEVELOPMENT AND WITH THE STATE
11 
RECOGNIZING THAT ALL HUMAN BEINGS ARE FREE AND EQUAL IN DIGNITY AND
12 
RIGHTS.
13 
(I) "GENDER-SENSmVE"IS THE STATE OF KNOWING HOW SOCIAL CONSTRUCTIONS
14 
NORMALIZE BIASES AND MARGINALIZATION ON THE BASIS OF GENDER AND
15 
BEING ABLE TO ACT WITHOUT BIASES AND EXHIBIT RESPECT FOR EACH AND
16 
EVERY PERSON REGARDLESS OF GENDER. IT IS RECOGNIZING THE INEQUALITIES
17 
AND INEQUITIES PREVALENT IN SOCIETY BETWEEN WOMEN AND MEN AND
18 
COMMITTING TO ADDRESS GENDER ISSUES. (13a)
19
20 
Art. 13. Employment Promotion. The Secretary of Labor SOLE shall have the power
21 
and authority:
22 
(a) To organize and establish new employment offices in addition to the existing
23 
employment offices under the Department of Labor- DOLE as the need arises;
24 
(b) To organize and establish a nationwide job clearance and information system to
25 
inform applicants registering with a particular employment office of job
26 
opportunities in other parts of the country as well as job opportunities abroad;
27 
(c) To develop and organize a program that will facilitate occupational, industrial and
28 
geographical mobility of labor and provide assistance in the relocation of workers
29 
from one area to another; and
30 
(d) To require any person, establishment, organization or Institution to submit such
31 
employment information as may be prescribed by the Socrctary -of Labor SOLE.
32 
(14a)
33
34 
Art. 14. Private Recruitment. Except as provided in Chapter II of this Title, no
35 
person or entity other than the public employment offices, shall engage in the
36 
recruitment and placement of workers. (16)


1
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
27
28
29
30
31
32
33
34
35
36
CHAPTER II
REGULATION OF ON RECRUITMENT AND PLACEMENT ACTIVITIES
Art. 15. Private Sector Participation in the Recruitment and Placement of 
Workers. Pursuant to national development objectives and in order to harness and 
maximize the use of private sector resources and initiative in the development and 
implementation of a comprehensive employment program, the private employment sector 
shall participate in the recruitment and placement of workers, locally and overseas, under 
such guidelines, rules and regulations as may be Issued by the Sccrctary-of Labor SOLE 
AND THE SECRETARY OF THE DEPARTMENT OF MIGRANT WORKERS (DMW) FOR 
OVERSEAS EMPLOYMENT, RESPECTIVELY. (25a)
Art. 16. Travel Agencies Prohibited to Recruit. Travel agencies and sales agencies 
of airline companies are prohibited from engaging in the business of recruitment and 
placement of workers for overseas employment whether for profit or not. (26)
ART. 17. PROHIBITION ON OFFICIALS AND EMPLOYEES. OFFICIALS OR 
EMPLOYEES OF THE GOVERNMENT, ITS BRANCHES, SUBDIVISIONS, 
INSTRUMENTALITIES, AND AGENCIES, INCLUDING GOVERNMENT-OWNED OR 
CONTROLLED CORPORATIONS WITH ORIGINAL CHARTERS OR THEIR RELATIVES, 
WITHIN THE FOURTH CIVIL DEGREE OF CONSANGUINITY OR AFFINITY ARE 
PROHIBITED FROM ENGAGING, DIRECTLY OR INDIRECTLY, IN RECRUITMENT AND 
PLACEMENT OF WORKERS FOR OVERSEAS EMPLOYMENT WHETHER FOR PROFIT OR 
NOT. THE PENALTIES SHALL BE IMPOSED UPON THEM, (new)
Art. 18. Citizenship Requirement. Only Filipino citizens or corporations, partnerships 
or entities at least seventy-five percent (75%) of the authorized and voting capital stock 
of which is owned and controlled by Filipino citizens shall be permitted to participate In 
the recruitment and placement of workers, locally or overseas. (27)
Art. 19. Capitalization. All applicants for authority to hire or renewal of license to 
recruit are required to have such substantfal-AUTHORIZED capitalization as determined 
by the Secretary of Labor FOLLOWS:
(1) FOR OVERSEAS RECRUITMENT AND PLACEMENT, A MINIMUM NET WORTH OF 
TWELVE MILLION PESOS (P12,000,000.00) IN THE CASE OF SINGLE


1
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
27
28
29
30
31
32
33
34
35
36
PROPRIETORSHIPS, AND A FULLY PAID-UP CAPITAL OR NET WORTH OF TWELVE 
MILLION PESOS (P12,000,000.00) IN THE CASE OF PARTNERSHIPS OR 
CORPORATIONS; AND
(2) FOR LOCAL RECRUITMENT AND PLACEMENT, A MINIMUM NET WORTH OF THREE 
MILLION PESOS (P3,000,000.00) IN THE CASE OF SINGLE PROPRIETORSHIPS, 
AND A FULLY PAID-UP CAPITAL OR NET WORTH OF THREE MILLION PESOS 
(P3,000,000.00) IN THE CASE OF PARTNERSHIPS OR CORPORATIONS. (28a)
Art. 20. Non-Transferability of License or Authority. No license or authority shall 
be used directly or indirectly by afy persons other than the-ofte THOSE in whose favor it 
was issued or at any place other than that stated in the license or authority be transferred, 
conveyed or assigned to any other person or entity. Any transfer of business address, 
appointment or designation of any agent or representative including the establishment of 
additional offices anywhere shall be subject to the prior approval of the Department of 
tdbofDOLE, OR DMW, RESPECTIVELY. (29a)
Art. 21. Registration Fees. The Secretary of Labor-SOLE OR DMW SECRETARY shall 
promulgate a schedule of fees for the registration of all applicants for license or authority. 
(30a)
Art. 22. Bonds. All applicants for license or authority shall post such cash and surety 
bonds os-determined -by-tbe-Secretary of Labor To guarantee compliance with prescribed 
recruitment procedures, rules and regulations, and terms and conditions of employment 
as may be appropriate, ALL APPLICANTS FOR LICENSE OR AUTHORITY SHALL POST 
SUCH CASH AND SURETY BONDS AS DETERMINED BY THE SECRETARY OF LABOR 
FOLLOWS:
(1) 
FOR OVERSEAS RECRUITMENT AND PLACEMENT, THE AMOUNT OF TWELVE 
MILLION PESOS (P12,000,000.00) FOR SINGLE PROPRIETORSHIPS, 
PARTNERSHIPS OR CORPORATIONS; AND
(2) 
FOR LOCAL RECRUITMENT AND PLACEMENT, THE AMOUNT OF THREE MILLION 
PESOS (P3,000,000.00) FOR SINGLE PROPRIETORSHIPS, PARTNERSHIPS OR 
CORPORATIONS. (31a)
Art. 23. NO Fees to be Paid by Workers. NO FEE OR CHARGE SHALL BE REQUIRED 
FROM ofjy persons applying with a-private fee charging employment agency AGENCIES 
for employment assistance shall not be charged any fee until he has obtained employment
9


1
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
27
28
29
30
31
32
33
34
35
thfough-its--efforts or has actuoUy commenced cmployfflcnt-. Such fee-shall-be always
covered with the appropriate receipt clearly-showing the amount paid. The Secretary of
Labor shall promulgate a schedule of allowable fees. (32a)
Art. 24. Mandatory Remittance of Earnings. It shall be mandatory for all Filipino 
workers abroad RECRUITED AND PLACED BY PRIVATE FEE-CHARGING EMPLOYMENT 
AGENCIES OR PRIVATE RECRUITMENT ENTITIES FOR LOCAL OR OVERSEAS 
EMPLOYMENT, to remit a portion of their foreign exchange earnings to their LEGITIMATE 
families, dependents, and/or beneficiaries in the country in accordance with rules and 
regulations prescribed by the Secretary -of—Labor—SOLE, OR DMW SECRETARY, 
RESPECTIVELY. (22a)
Art. 25. Reports on Employment Status. Whenever the public interest requiresrThe 
Secretary of Labor SOLE OR DMW SECRETARY may SHALL direct all persons or entities 
within the coverage of this Title to submit a report on the status of employment, including 
job vacancies, details of job requisitions, separation from jobs, wages, other terms and 
conditions and other employment data. (33a)
CHAPTER III
LOCAL RECRUITMENT AND EMPLOYMENT
Art. 26. Bureau of LOCAL Employment Services, (a) The Bureau of LOCAL 
Employment Services shall be primarily responsible for developing and monitoring a 
comprehensive LOCAL employment program. It shall have the power and duty TO:
(1) 
Te-Formulate and develop plans and programs to implement the employment 
promotion objectives of this Title;
{2)—To establish and maintain a registration and/or licensing system to regulate private
sector participation in-the recruitment and placement of -workers, locally and
overseas, and to-sccure the best possible terms and conditions of employment-Ter
Filipino contract workers and compliance therewith under such rules and regulatiorts
as may be issued by the Minister of Labor;
(2) 
ESTABLISH AND ADMINISTER A MACHINERY FOR THE EFFECTIVE ALLOCATION 
OF HUMAN RESOURCES FOR MAXIMUM EMPLOYMENT AND PLACEMENT;
(3) (6) to Develop AND MAINTAIN a responsive vocational guidance and testing system
in aid of proper human resources allocation; arid
10


1 
(4) REGULATE AND SUPERVISE PRIVATE SECTOR PARTICIPATION IN THE
2 
RECRUITMENT AND PLACEMENT OF WORKERS LOCALLY UNDER SUCH RULES AND
3 
REGULATIONS AS MAY BE ISSUED BY THE SOLE;
4 
(5) (4)-Te Establish and maintain a registration and/or work permit system to
5 
REASONABLY regulate the employment of aliens NON-RESIDENT FOREIGN
6 
NATIONALS SUBJECT TO THE PRINCIPLE OF RECIPROCIPf;
7 
(6) (5) To Develop AND MAINTAIN a labor market information system in aid of proper
8 
manpower HUMAN RESOURCE and development planning;
9 
(7) To maintain a central registry-of skills, except seamen.-
10 
(7) (3) To Formulate and develop employment programs designed to benefit
11 
disadvantaged groups and communities; AND
12 
(8) PERFORM OTHER FUNCTIONS AS MAY BE PROVIDED BY LAW.
13
14 
(b) The regional offices of the Ministry of Labor shall have the original and exclusive
15 
jurisdiction over all matters or cascs-mvolving-employer-employee relations including
16 
money claims, arising out of or by virtue of any law or contracts involving Filipino workers
17 
for overseas employment except seamen: Provided, That the Bureau of Employment
18 
Services may, in the case of the National CapltaLR-egion, exercise such power, whenever
19 
the Minister of Labor deems it appropriate. The decisions of the regional offices of the
20 
Bureau of Employment Services, if so authorized by the Mtfrister of Labor as provided-in
21 
this Article, shall be-appealahle to the -National Labor Relations Commission upon-t-he
same grounds provided in Article 223 hereof. The-decisions of the National ■ Labor
Relations Commission shall be final and inappealable.-(Superseded by Exec. Order 797,
May 1, 1982).-
{€) (b) The Minister of-Labor SOLE shall have the power to impose and collect fees based 
on rates recommended by the Bureau of LOCAL Employment Services. Such fees shall be 
deposited in the National Treasury as a special account of the General Fund, for the 
promotion of the objectives of the Bureau of LOCAL Employment Services, subject to the 
provisions of Section 40 of Presidential Decree No. 1177. (15a)
ART. 27. PUBLIC EMPLOYMENT SERVICE OFFICE. TO CARRY OUT THE DECLARED 
POLICY TO PROVIDE FULL EMPLOYMENT AND EQUALITY OF EMPLOYMENT 
OPPORTUNITIES FOR ALL, AND FOR THIS PURPOSE, TO STRENGTHEN AND EXPAND 
THE EXISTING EMPLOYMENT FACILITATION SERVICE MACHINERY OF THE 
GOVERNMENT, PARTICULARLY AT THE LOCAL LEVELS, THERE SHALL BE ESTABLISHED
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
11


1 
IN ALL CAPITAL TOWNS AND/OR SEATS OF GOVERNMENT OF PROVINCES, KEY CITIES,
2 
AND OTHER STRATEGIC AREAS A PUBLIC EMPLOYMENT SERVICE OFFICE,
3 
HEREINAFTER REFERRED TO AS "PESO", WHICH SHALL BE COMMUNITY-BASED AND
4 
MAINTAINED LARGELY BY LOCAL GOVERNMENT UNITS (LGUS) AND A NUMBER OF NON-
5 
GOVERNMENTAL ORGANIZATIONS (NGOS) OR COMMUNITY-BASED ORGANIZATIONS
6 
(CBOS) AND STATE UNIVERSITIES AND COLLEGES (SUCS), IN ACCORDANCE WITH
7 
REPUBLIC ACT NO. 8759. THE PESOS SHALL BE LINKED TO THE REGIONAL OFFICES OF
8 
THE DOLE FOR COORDINATION AND TECHNICAL SUPERVISION, AND TO THE DOLE
9 
CENTRAL OFFICE, TO CONSTITUTE THE NATIONAL EMPLOYMENT SERVICE NETWORK.
10 
(new)
11
12 
CHAPTER IV
13 
ILLEGAL RECRUITMENT AND PROHIBITED PRACTICES
14
15 
Art. 28. Illegal Recruitment, (a) Any recruitment activities, -including the prohibited
16 
practices enumerated under Article 34 of this Code, to be undertaken by non ■liccnscGs
17 
or non-holders of-aidthority, shall be deemed illegal-ond punishable under Article 39 of
18 
this Code. The Department of Labor and Employment or any-law enforcement officer may
19 
initiate complaints under this Article.
20 
(b) Illegal recruitment-when-conrinnitted by a syndicate or in large scale shall be considered
21 
an offense involving economic sabotage and shall be penalized-ln accordance-with Article
22 
39 hereof.
23 
Illegai recruitment-is-deemed-eommittGci by a syndicate if carried out by-a group of three
24 
(3) or more persons conspiring and/or-confeder-ating with-one another in carrying out
25 
any unlawful or illegal transaction, enterprise or scheme defined under the first paragraph
26 
hereof.-Illegal recruitment is deemed committed in large scale-if committed against three
27 
(3) or more persons individually or as a group.
28 
(c) The Secretary-of-babor-and Employment or his duly-authorized representatives shall
29 
have the power to cause the arrest and detention-of such non-licensee-or non-helder-of
30 
authority if-after-investigation it is determined that his activities constitute a danger to
31 
national security and public order or-will-lead to further exploitation of job seekers. The
32 
Secretary shall order the -search of the office or premises and seizure of documentS7
33 
paraphGrnalia,-propertiGS and other implements-used in illegal recruitment activities-and
34 
the closure of companies—establishments and entities found to be engaged in the
35 
recruitment of workers for-overseas employment, without having been licensed or
36 
authorized to do so.
12


1
2 
IT SHALL BE UNLAWFUL FOR NON-LICENSEES OR NON-HOLDERS OF AUTHORITY TO
3 
UNDERTAKE RECRUITMENT AND PLACEMENT CONTEMPLATED UNDER ARTICLE 12 OF
4 
THIS CODE: PROVIDED, THAT SUCH NON-LICENSEES OR NON-HOLDERS WHO IN ANY
5 
MANNER, OFFER OR PROMISE FOR A FEE EMPLOYMENT TO TWO OR MORE PERSONS
6 
SHALL BE DEEMED SO ENGAGED. IT SHALL ALSO BE UNLAWFUL TO COMMIT LIKEWISE
7 
INCLUDE THE FOLLOWING ACTS, WHETHER COMMITTED BY ANY PERSON, A NON-
8 
LICENSEE, NON-HOLDER, LICENSEE OR HOLDER OF AUTHORITY:
9
10 
(a) TO CHARGE OR ACCEPT, DIRECTLY OR INDIRECTLY, ANY AMOUNT GREATER
11 
THAN THAT SPECIFIED IN THE SCHEDULE OF ALLOWABLE FEES PRESCRIBED BY
12 
THE SECRETARY OF LABOR AND EMPLOYMENT, OR TO MAKE A WORKER PAY ANY
13 
AMOUNT GREATER THAN THAT ACTUALLY RECEIVED BY HIM AS A LOAN OR
14 
ADVANCE FEE. OR TO MAKE WORKERS PAY ANY OTHER FEE:
15 
(b) TO FURNISH OR PUBLISH ANY FALSE NOTICE OR INFORMATION OR DOCUMENT
16 
IN RELATION TO RECRUITMENT OR EMPLOYMENT;
17 
(c) TO GIVE ANY FALSE NOTICE, TESTIMONY, INFORMATION OR DOCUMENT OR
18 
COMMIT ANY ACT OF MISREPRESENTATION FOR THE PURPOSE OF SECURING A
19 
LICENSE OR AUTHORITY UNDER THIS CODE; OR FOR THE PURPOSE OF
20 
DOCUMENTING HIRED WORKERS WITH THE PQEA DOLE OR DMW. AS THE CASE
21 
MAY BE. WHICH INCLUDE THE ACT OF REPROCESSING WORKERS THROUGH A
22 
JOB ORDER THAT PERTAINS TO NON-EXISTENT WORK, WORK DIFFERENT FROM
23 
THE ACTUAL OVERSEAS WORK, OR WORK WITH A DIFFERENT EMPLOYER
24 
WHETHER REGISTERED OR NOT WITH THE POEA DOLE OR DMW:
25 
(d) TO INDUCE OR ATTEMPT TO INDUCE A WORKERS.ALREADY EMPLOYED TO QUIT
26 
HIS THEIR EMPLOYMENT IN ORDER TO OFFER HIM THEM ANOTHER UNLESS THE
27 
TRANSFER IS DESIGNED TO LIBERATE A THE WORKERS FROM OPPRESSIVE
28 
TERMS AND CONDITIONS OF EMPLOYMENT;
29 
(e) TO INFLUENCE OR TO ATTEMPT TO INFLUENCE ANY PERSONS OR ENTITY
30 
ENTITIES NOT TO EMPLOY ANY WORKERS WHO HAS HAVE NOT APPLIED FOR
31 
EMPLOYMENT THROUGH FHS THEIR AGENCY OR WHO HAVE FORMED. JOINED OR
32 
SUPPORTED. OR HAVE CONTACTED OR ARE SUPPORTED BY ANY UNION OR
33 
WORKERS' ORGANIZATION:
34 
(0 TO ENGAGE IN THE RECRUITMENT OR PLACEMENT OF WORKERS IN JOBS
35 
HARMFUL TO PUBLIC HEALTH OR MORALITY OR TO THE DIGNITY OF WORKERS
36 
OR THE REPUBLIC OF THE PHILIPPINES;
13


1 
(g) TO OBSTRUCT OR ATTEMPT TO OBSTRUCT INSPECTION BY THE SECRETARY OF
2 
LABOR AND EMPLOYMENT SOLE OR DMW SECRETARY OR BY HK THEIR DULY
3 
AUTHORIZED REPRESENTATIVES;
4 
(h) TO FAIL TO FILE REPORTS ON THE STATUS OF EMPLOYMENT, PLACEMENT
5 
VACANCIES, SEPARATION FROM JOBS, AND SUCH OTHER MATTERS OR
6 
INFORMATION AS MAY BE REQUIRED BY THE SECRETARY OF LABOR AND
7 
EMPLOYMENT DOLE OR DMW. AS THE CASE MAY BE:
8 
(i) TO SUBSTITUTE OR ALTER, TO THE PREJUDICE OF THE WORKER, EMPLOYMENT
9 
CONTRACTS APPROVED AND VERIFIED BY THE DOLE AND THE DMW FROM THE
10 
TIME OF ACTUAL SIGNING THEREOF BY THE PARTIES UP TO AND INCLUDING THE
11 
PERIODS OF EXPIRATION WITHOUT THE APPROVAL OF THE DOLE OR DMW. AS
12 
THE CASE MAY BE DEPARTMENT OF LABOR AND EMPLOYMENT:
13 
0) FOR AN OFFICERS.OR AGENTS OF A RECRUITMENT OR PLACEMENT AGENCY TO
14 
BECOME AN OFFICERS OR MEMBEf^OF THE BOARD OF ANY CORPORATION
15 
ENGAGED IN TRAVEL AGENCY OR TO BE ENGAGED DIRECTLY OR INDIRECTLY IN
16 
THE MANAGEMENT OF A TRAVEL AGENCY;
17 
(k) TO WITHHOLD OR DENY TRAVEL NECESSARY DOCUMENTS FROM APPUCANT
18 
WORKERS BEFORE DEPARTURE EMPLOYMENT FOR MONETARY OR FINANCIAL
19 
CONSIDERATIONS, OR FOR ANY OTHER REASONS, OTHER THAN THOSE
20 
AUTHORIZED UNDER THE LABOR THIS CODE AND ITS IMPLEMENTING RULES AND
21 
REGULATIONS;
22 
(I) FAILURE TO ACTUALLY DEPLOY ASSIGN OR DEPLOY A-CONTRACTED WORKERS
23 
WITHOUT VALID REASON AS DETERMINED BY THE DOLE OR THE DMW:
24 
(m) FAILURE TO REIMBURSE EXPENSES INCURRED BY THE WORKER IN CONNECTION
25 
WITH THEIR DOCUMENTATION AND PROCESSING FOR PURPOSES OF
26 
DEPLOYMENT, IN CASES WHERE THE DEPLOYMENT DOES NOT ACTUALLY TAKE
27 
PLACE WITHOUT THE WORKER'S FAULT. ILLEGAL 
RECRUITMENT 
WHEN
28 
COMMITTED BY A SYNDICATE OR IN LARGE SCALE SHALL BE CONSIDERED AN
29 
OFFENSE INVOLVING ECONOMIC SABOTAGE; AND
30 
(n) TO ALLOW A NON-RLIPINO CITIZENS TO HEAD OR MANAGE 
A LICENSED
31 
RECRUITMENT AGENCY AGENCIES.
32
33 
ILLEGAL RECRUITMENT IS DEEMED COMMITTED BY A SYNDICATE IF CARRIED OUT BY
34 
A GROUP OF THREE (3) OR MORE PERSONS CONSPIRING OR CONFEDERATING WITH
35 
ONE ANOTHER. IT IS DEEMED COMMITTED IN LARGE SCALE IF COMMITTED AGAINST
36 
THREE (3) OR MORE PERSONS INDIVIDUALLY OR AS A GROUP.
14


1
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
27
28
29
30
31
32
33
34
35
36
IN ADDITION TO THE ACTS ENUMERATED ABOVE, IT SHALL ALSO BE UNLAWFUL FOR 
PERSONS OR ENTITIES TO COMMIT THE FOLLOWING PROHIBITED ACTS:
(1)
(2]
[3]
(4)
GRANT A LOAN TO AN OVERSEAS WORKERS WITH INTEREST EXCEEDING EIGHT 
PERCENT (8%) PER ANNUM, WHICH WILL BE USED FOR PAYMENT OF LEGAL AND 
ALLOWABLE PLACEMENT FEES AND OR MAKE THE WORKERS ISSUE, EITHER 
PERSONALLY OR THROUGH A GUARANTORS OR ACCOMMODATION PARTY 
PARTIES. POSTDATED CHECKS IN RELATION TO THE SAID LOAN;
IMPOSE A COMPULSORY AND EXCLUSIVE ARRANGEMENT WHEREBY A WORKERS 
IS ARE REQUIRED TO AVAIL OF A LOAN ONLY FROM SPECIFICALLY DESIGNATED 
INSTITUTIONS, ENTITIES OR PERSONS;
REFUSE TO CONDONE OR RENEGOTIATE A LOAN INCURRED BY A WORKERS 
AFTER THE LATTER'S EMPLOYMENT CONTRACT HAS BEEN PREMATURELY 
TERMINATED THROUGH NO FAULT OF HIS OR HER THEIR OWN;
IMPOSE A COMPULSORY AND EXCLUSIVE ARRANGEMENT WHEREBY AN OVERSEAS 
FILIPINO WORKERS IS ARE REQUIRED TO UNDERGO HEALTH EXAMINATIONS 
ONLY FROM SPECIFICALLY DESIGNATED MEDICAL CLINICS, INSTITUTIONS, 
ENTITIES OR PERSONS, EXCEPT IN THE CASE OF A SEAFARERS WHOSE MEDICAL 
EXAMINATION COSTS IS ARE SHOULDERED BY THE PRINCIPAL/SHIPOWNER; 
IMPOSE A COMPULSORY AND EXCLUSIVE ARRANGEMENT WHEREBY AN OVERSEAS 
FILIPINO WORKERS IS ARE REQUIRED TO UNDERGO TRAINING, SEMINAR, 
INSTRUCTION OR SCHOOLING OF ANY KIND ONLY FROM SPECIFICALLY 
DESIGNATED INSTITUTIONS, ENTITIES OR PERSONS, EXCEPT FOR 
RECOMMENDATORY TRAININGS MANDATED BY PRINCIPALS/SHIPOWNERS 
WHERE THE LATTER SHOULDER THE COST OF SUCH TRAININGS;
FOR A SUSPENDED RECRUITMENT AGENCY AGENCIES TO ENGAGE IN ANY KIND 
OF RECRUITMENT ACTIVITY INCLUDING THE PROCESSING OF PENDING 
WORKERS' APPLICATIONS; AND
FOR A RECRUITMENT AGENCY AGENCIES OR A FOREIGN PRINCIPAL/EMPLOYER 
PRINCIPALS/EMPLOYERS TO PASS ON THE OVERSEAS FILIPINO WORKERS OR 
DEDUCT FROM HIS OR HER THEIR SALARY THE PAYMENT OF THE COST OF 
INSURANCE FEES, PREMIUM OR OTHER INSURANCE RELATED CHARGES, AS 
PROVIDED UNDER THE COMPULSORY WORKER'S INSURANCE COVERAGE.
THE PERSONS CRIMINALLY LIABLE FOR THE ABOVE OFFENSES ARE THE PRINCIPALS,
(5)
(6)
(7)
15


1
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
27
28
29
30
31
32
33
34
35
36
ACCOMPLICES AND ACCESSORIES. IN CASE OF JURIDICAL PERSONS, THE OFFICERS 
HAVING OWNERSHIP, CONTROL, MANAGEMENT OR DIRECTION OF THEIR BUSINESS 
WHO ARE RESPONSIBLE FOR THE COMMISSION OF THE OFFENSE AND THE 
RESPONSIBLE EMPLOYEES/AGENTS SHALL BE LIABLE.
IN THE FILING OF CASES FOR ILLEGAL RECRUITMENT OR ANY OF THE PROHIBITED 
ACTS UNDER THIS ARTICLE, THE SECRETARY OF LABOR AND EMPLOYMENT SOLE. 
SECRETARY OF DMW, THE POEA ADMINISTRATOR OR THEIR AUTHORIZED 
REPRESENTATIVES, OR ANY AGGRIEVED PERSON MAY INITIATE THE CORRESPONDING 
CRIMINAL ACTION WITH THE APPROPRIATE OFFICE. FOR THIS PURPOSE, THE 
AFFIDAVITS AND TESTIMONIES OF OPERATIVES OR PERSONNEL FROM THE 
DEPARTMENT OF LABOR AND EMPLOYMENT. POEA DOLE. DMW. AND OTHER LAW 
ENFORCEMENT AGENCIES WHO WITNESSED THE ACTS CONSTITUTING THE OFFENSE 
SHALL BE SUFFICIENT TO PROSECUTE THE ACCUSED.
IN THE PROSECUTION OF OFFENSES PUNISHABLE UNDER THIS ARTICLE SECTION, THE 
PUBLIC PROSECUTORS OF THE DEPARTMENT OF JUSTICE SHALL COLLABORATE WITH 
THE ANTI ILLEGAL RECRUITMENT BRANCH OF THE POEA DOLE OR BMW. AND^ 
CERTAIN CASES, ALLOW THE- POEA LAWYERS TO TAKE THE LEAD IN T44E
PROSECUTION. THE POEA LAWYERS WHO ACT AS PROSECUTORS IN SUCH CASES
SHALL BE ENTITLED TO RECEIVE ADDITIONAL ALLOWANCES AS-MAY BE DETERMINED
BY THE POEA ADMINISTRATORt.
THE FILING OF AN OFFENSE PUNISHABLE UNDER THIS ACT CODE SHALL BE WITHOUT 
PREJUDICE TO THE FILING OF CASES PUNISHABLE UNDER OTHER EXISTING LAWS, 
RULES OR REGULATIONS. (38a)
Art. 29. Penalties.
(a) 
PERSONS FOUND GUILTY OF ILLEGAL RECRUITMENT SHALL SUFFER THE PENALTY 
OF IMPRISONMENT OF NOT LESS THAN TWELVE (12) YEARS AND ONE (1) DAY 
BUT NOT MORE THAN TWENTY (20) YEARS AND A FINE OF NOT LESS THAN ONE 
TWO MILLION PESOS (P2,000,000.00) NOR MORE THAN TWO FOUR MILLION 
PESOS (P4,000,000.00).
(b) 
WHERE THE PERSON ILLEGALLY RECRUITED IS LESS THAN EIGHTEEN (18) YEARS
OF AGE OR COMMITTED BY A NON-LICENSEE OR NON-HOLDER OF AUTHORITY,
THE MAXIMUM PENALTY SHALL BE IMPOSED.
16


1 
(c) THE PENALTY OF LIFE IMPRISONMENT AND A FINE OF NOT LESS THAN TWG FIVE
2 
MILLION PESOS (P5,000,000.00) NOR MORE THAN HVE lEN MILLION PESOS
3 
(P10,000,000.00) SHALL BE IMPOSED IF ILLEGAL RECRUITMENT CONSTITUTES
4 
ECONOMIC SABOTAGE AS DEFINED IN ARTICLE 28.
5 
(d) PERSONS FOUND GUILTY OF ANY OF THE PROHIBITED ACTS SHALL SUFFER THE
6 
PENALTY OF IMPRISONMENT OF NOT LESS THAN SIX (6) YEARS AND ONE (1) DAY
7 
BUT NOT MORE THAN TWELVE (12) YEARS AND A FINE OF NOT LESS THAN FIVE
8 
HUNDRED THOUSAND PESOS ONE MILLION PESOS (Pl.000.000.00') NOR MORE
9 
THAN ONE TWO MILLION PESOS (P2,000,000.00).
10 
(e) IF THE OFFENDERS IS-ARE ALIENS FOREIGN NATIONALS. THEY SHALL, IN
11 
ADDmON TO THE PENALTIES PRESCRIBED HERE, BE DEPORTED WITHOUT
12 
FURTHER PROCEEDINGS.
13 
(f) If the offenders ts ARE a corporations, partnerships, associations or entity
14 
ENTITIES, the penaity shaii be imposed upon the officer or officers of the
15 
corporations, partnerships, associations or entity EN111 lES responsibie for THE
16 
violation; and if such officer is an aiien, ho shaii, in addition to the pcnoltios heroin
17 
proscribed, bo deported without further proceedings;.
18 
In every case, conviction shall cause and carry the automatic revocation of the iicense or
19 
authority and all the permits and privileges granted to such person or entity under this
20 
Title, and the forfeiture of the cash and surety bonds in favor of the Overseas Employment
21 
Dovolopmont Board or the National Seamen Board, as the case may bo, BUREAU OF
22 
LOCAL EMPLOYMENT both of which are authorized to use the same AS A SPECIAL FUND
23 
TO BE USED exclusively to promote their objectives FOR THE AMELIORATION AND
24 
BENEFIT OF WORKERS. (39a)
25
26 
CHAPTER V
27 
OVERSEAS EMPLOYMENT
28
29 
ART. 30. CREATION OF LOCAL EMPLOYMENT OPPORTUNITIES. WHILE
30 
RECOGNIZING THE SIGNIFICANT CONTRIBUTION OF FILIPINO-MIGRANT WORKERS TO
31 
THE NATIONAL ECONOMY THROUGH THEIR FOREIGN EXCHANGE REMITTANGESrTHE
32 
STATE DOES NOT PROMOTE OVERSEAS EMPLOYMENT AS A MEANS TO SUSTAIN
33 
ECONOMIC GROWTH AND ACHIEVE NATIONAL DEVELOPMENT, RECOGNIZING
34 
HOWEVER THE SIGNIFICANT CONTRIBUTION OF THE MIGRANT WORKERS TO THE
35 
NATIONAL ECONOMY. THE STATE SHALL PROVIDE AN THE EXISTENCE OF THE
36 
OVERSEAS EMPLOYMENT PROGRAM RESTS SOLELY ON THE ASSURANCE TO INSURE
17


1
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
27
28
29
30
31
32
33
34
35
36
THAT THE DIGNITY AND FUNDAMENTAL HUMAN RIGHTS AND FREEDOMS OF THE 
FILIPINO CITIZENS SHALL NOT, AT ANY TIME, BE COMPROMISED OR VIOLATED. THE 
STATE, THEREFORE, SHALL CONTINUOUSLY CREATE LOCAL EMPLOYMENT 
OPPORTUNITIES AND PROMOTE THE EQUITABLE DISTRIBUTION OF WEALTH AND THE 
BENEFITS OF DEVELOPMENT, (new)
ART. 31. TERMINATION OR BAN ON DEPLOYMENT. NOTWITHSTANDING THE 
PROVISIONS OF SECTIONS 1 AND 5 OF THIS RULE, IN PURSUIT OF THE NATIONAL 
INTEREST OR WHEN PUBLIC WELFARE SO REQUIRES, THE POEA GOVERNING-BOAR-B 
DMW. AFTER CONSULTATION WITH THE 9FA DEPARTMENT OF FOREIGN AFFAIRS. 
MAY, AT ANY TIME, TERMINATE OR IMPOSE A BAN ON THE DEPLOYMENT OF MIGRANT 
WORKERS, (new)
Art. 32. Ban on Direct-Hi ring. No employer may hire a Filipino workers for overseas 
employment through direct hiring except through the Boards and entities authorized by 
the Secretary of Labor. BY THE FOLLOWING ENTITIES: Direct-hiring by members of the 
diplomatic corps, international-organizations and such other employers as may be allowed
by-the Secretary of Labor-is exempted from this provision.
(1) 
MEMBERS OF THE DIPLOMATIC CORPS;
(2) 
MEMBERS OF INTERNATIONAL ORGANIZATIONS; and
(3) 
HEADS OF STATE AND GOVERNMENT OFFICIALS WITH THE RANK OF AT LEAST 
UNDERSECRETARY.
THE TERM "INTERNATIONAL ORGANIZATION" IS AN ORGANIZATION SET UP BY 
AGREEMENT BETWEEN TWO OR MORE STATES, INCLUDING A SPECIALIZED AGENCY 
HAVING FUNCTIONS IN PARTICULAR FIELDS. IT MAY ALSO INCLUDE AN 
ORGANIZATION HAVING AN INTERNATIONAL CHARACTER AND PURPOSE, WHICH IS 
GRANTED THE STATUS, PREROGATIVES, PRIVILEGES AND IMMUNITIES OF AN 
INTERNATIONAL ORGANIZATION. (18a)
ART. 33. APPLICABILITY OF MIGRANT WORKERS ACT. ALL OTHER PROVISIONS 
OF REPUBLIC ACT NO. 8042, AS AMENDED, AND RULES AND REGULATIONS NOT 
INCONSISTENT HEREWITH ARE DEEMED ADOPTED, (new)
Chapter VI
18


1
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
27
28
29
30
31
32
33
34
35
36
EMPLOYMENT OF NON-RESIDENT ALIENS FOREIGN NATIONALS
Art. 34. Employment Permit of Non-Resident atiens FOREIGN NATIONALS. Afiy 
aHeft NON-RESIDENT FOREIGN NATIONALS seeking odmission to EMPLOYMENT IN the 
Philippines and any domestic or foreign employers who desires DESIRE to engage an 
alien A FOREIGN NATIONALS for employment in the Philippines shall obtain an 
employment permit from the DOLE.
The AN employment permit may be issued to a non-resident alien FOREIGN NATIONAL 
or to the applicant employer after a determination of the non-availability of a person in 
the Philippines who is competent, able, QUALIFIED and willing at the time of application 
to perform the services for which the alien NON-RESIDENT FOREIGN NATIONAL is 
desired.
THE SOLE IS AUTHORIZED TO GRANT EXEMPTIONS FROM THE LABOR MARKET TEST 
TO FOREIGN NATIONALS AS PROVIDED FOR UNDER EXISTING LAWS AND 
AGREEMENTS, AS WELL AS IN INDUSTRIES OR OCCUPATIONS OR PRACTICE OF 
PROFESSIONS WHERE THERE IS SHORT SUPPLY SUBJECT TO TRIPARTITE 
CONSULTATIONS.
For an enterprises registered in preferred areas of investments, said employment permit 
may be issued upon recommendation of the government agency charged with the 
supervision of said registered enterprise. (40a)
ART. 35. VALIDITY OF FOREIGN NATIONAL EMPLOYMENT PERMIT (FNEP). THE
FNEP SHALL BE VALID FOR THE POSITION AND COMPANY FOR WHICH IT WAS ISSUED 
FOR A PERIOD OF ONE (1) YEAR, UNLESS THE EMPLOYMENT CONTRACT, OR OTHER 
MODES OF ENGAGEMENT PROVIDES OTHERWISE, WHICH IN NO CASE SHALL EXCEED 
THREE (3) YEARS.
A FOREIGN NATIONAL EMPLOYMENT PERMIT IS ONE ISSUED TO A NON-RESIDENT 
FOREIGN NATIONAL OR TO AN APPLICANT EMPLOYER AFTER A DETERMINATION OF THE 
NON-AVAILABILITY OF A PERSON QUALIFIED AND WILLING AT THE TIME OF 
APPLICATION TO PERFORM THE SERVICES FOR WHICH THE NON-RESIDENT FOREIGN 
NATIONAL IS DESIRED, (new)
19


1
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
27
28
29
30
31
32
33
34
35
ART. 36. RENEWAL OF FNEP. AN APPLICATION FOR RENEWAL OF FNEP SHALL BE 
FILED NOT EARLIER THAN SIXTY (60) DAYS BEFORE ITS EXPIRATION. IN CASE THE 
FOREIGN NATIONAL NEEDS TO LEAVE THE COUNTRY OR IN OTHER SIMILAR 
CIRCUMSTANCES THAT WILL HINDER THE FILING OF RENEWAL WITHIN THIS 
PRESCRIBED PERIOD, THE APPLICATION MAY BE FILED EARLIER, (new)
ART. 37. DENIAL OF APPLICATION. AN APPLICATION FOR FNEP SHALL BE DENIED 
BY THE DOLE BASED ON ANY OF THE FOLLOWING GROUNDS:
(a) 
MISREPRESENTATION OF FACTS IN THE APPLICATION INCLUDING FRAUDULENT 
MISREPRESENTATION I.E. FALSE STATEMENT THAT HAS A NEGATIVE EFFECT IN 
THE EVALUATION OF THE APPLICATION MADE KNOWINGLY, OR WITHOUT BELIEF 
IN ITS TRUTH, OR RECKLESSLY WHETHER IT IS TRUE OR FALSE;
(b) 
SUBMISSION OF FALSIFIED DOCUMENTS;
(c) 
CONVICTION OF THE FOREIGN NATIONAL OF A CRIMINAL OFFENSE OR THE 
FOREIGN NATIONAL IS A FUGITIVE FROM JUSTICE IN THE PHILIPPINES OR 
ABROAD;
(d) 
ILL TREATMENT OF WORKERS;
(e) 
AVAILABILITY OF A PERSON IN THE PHILIPPINES WHO IS QUALIFIED AND 
WILLING TO DO THE JOB INTENDED FOR OR BEING PERFORMED BY THE FOREIGN 
NATIONAL BASED ON DATA IN THE PUBLIC EMPLOYMENT INFORMATION SYSTEM 
(PEIS), PROFESSIONAL REGULATION COMMISSION (PRC) REGISTRY OF 
PROFESSIONALS, AND TESDA REGISTRY OF CERTIFIED WORKERS;
(f) 
THE FOREIGN NATIONAL HAS WORKED WITHOUT FNEP FOR MORE THAN A YEAR; 
OR
(g) 
APPLICATION FOR RENEWAL WITH EXPIRED VISA OR WITH TEMPORARY 
VISITOR'S VISA.
NO FNEP SHALL BE ISSUED TO A FOREIGN NATIONAL CONSIDERED AN UNDESIRABLE 
ALIEN UNDER COMMONWEALTH ACT NO. 613 (THE PHILIPPINE IMMIGRATION ACT OF 
1940).
THE REGIONAL DIRECTOR SHALL ISSUE AN ORDER DENYING THE APPLICATION FOR 
NEW OR RENEWAL OF FNEP WHICH SHALL HAVE THE EFFECT OF FORFEITURE OF THE 
FEES PAID BY THE APPLICANT, (new)
20


1
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
27
28
29
30
31
32
33
34
35
36
ART. 38. CANCELLATION/REVOCATION OF FNEP. AN FNEP MAY BE CANCELLED
OR REVOKED UPON ANY OF THE FOLLOWING GROUNDS:
(a) 
NON-COMPLIANCE WITH ANY OF THE REQUIREMENTS OR CONDITIONS FOR 
WHICH THE FNEP WAS ISSUED;
(b) 
MISREPRESENTATION OF FACTS IN THE APPLICATION INCLUDING FRAUDULENT 
MISREPRESENTATION I.E. FALSE STATEMENT THAT HAS A NEGATIVE EFFECT IN 
THE EVALUATION OF THE APPLICATION MADE KNOWINGLY, OR WITHOUT BELIEF 
IN ITS TRUTH, OR RECKLESSLY WHETHER TT IS TRUE OR FALSE;
(c) 
SUBMISSION OF FALSIFIED DOCUMENTS;
(d) 
MERITORIOUS OBJECTION OR INFORMATION AGAINST THE EMPLOYMENT OF 
THE FOREIGN NATIONAL;
(e) 
CONVICTION OF THE FOREIGN NATIONAL OF A CRIMINAL OFFENSE OR THE 
FOREIGN NATIONAL IS A FUGITIVE FROM JUSTICE IN THE PHILIPPINES OR 
ABROAD;
(f) 
EMPLOYER TERMINATED THE EMPLOYMENT OF THE FOREIGN NATIONAL; AND
(g) 
ILL TREATMENT OF WORKERS.
AN FNEP ISSUED TO A FOREIGN NATIONAL WHO SUBSEQUENTLY BECOMES AN
UNDESIRABLE ALIEN UNDER COMMONWEALTH ACT NO. 613 SHALL BE CANCELLED OR
REVOKED.
IN ANY CASE UNDER THIS ARTICLE, THE REGIONAL DIRECTOR SHALL ISSUE AN ORDER
CANCELLING OR REVOKING THE FNEP. (new)
ART. 39. EXEMPTION FROM EMPLOYMENT PERMIT. THE FOLLOWING
CATEGORIES OF FOREIGN NATIONALS ARE EXEMPT FROM SECURING AN FNEP:
(a) 
ALL MEMBERS OF THE DIPLOMATIC SERVICE AND FOREIGN GOVERNMENT 
OFFICIALS ACCREDITED BY AND WITH RECIPROCITY ARRANGEMENT WITH THE 
PHILIPPINE GOVERNMENT;
(b) 
OFFICERS AND STAFF OF INTERNATIONAL ORGANIZATIONS OF WHICH THE 
PHILIPPINE GOVERNMENT IS A MEMBER;
(c) 
ALL FOREIGNERS GRANTED EXEMPTION BY LAW;
(d) 
OWNERS AND REPRESENTATIVES OF FOREIGN PRINCIPALS WHOSE COMPANIES 
ARE ACCREDITED BY THE DMW, WHO COME TO THE PHILIPPINES FOR A LIMITED
21


1
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
27
28
29
30
31
32
33
34
35
36
PERIOD AND SOLELY FOR THE PURPOSE OF INTERVIEWING FILIPINO 
APPLICANTS FOR EMPLOYMENT ABROAD.
FOREIGN NATIONALS WHO COME TO THE PHILIPPINES TO TEACH, PRESENT OR 
CONDUCT RESEARCH STUDIES IN UNIVERSITIES AND COLLEGES AS VISITING, 
EXCHANGE OR ADJUNCT PROFESSORS UNDER FORMAL AGREEMENTS BETWEEN THE 
UNIVERSITIES OR COLLEGES IN THE PHILIPPINES AND FOREIGN UNIVERSITIES OR 
COLLEGES; OR BETWEEN THE PHILIPPINE GOVERNMENT AND FOREIGN GOVERNMENT; 
PROVIDED, THAT THE EXEMPTION IS ON A RECIPROCAL BASIS, (new)
ART. 40. EXCLUSION FROM EMPLOYMENT PERMIT. THE FOLLOWING 
CATEGORIES OF FOREIGN NATIONALS ARE EXCLUDED FROM SECURING AN 
EMPLOYMENT PERMIT:
(a) 
MEMBERS OF THE GOVERNING BOARD WITH VOTING RIGHTS ONLY WHO DO NOT 
INTERVENE IN THE MANAGEMENT OF THE CORPORATION OR IN THE DAY-TO- 
DAY OPERATION OF THE ENTERPRISE.
(b) 
PRESIDENT AND TREASURER, WHO ARE PART OWNERS OF THE COMPANY.
(c) 
THOSE PROVIDING CONSULTANCY SERVICES WHO DO NOT HAVE EMPLOYERS IN 
THE PHILIPPINES.
INTRA-CORPORATE TRANSFEREES WHO ARE MANAGERS, EXECUTIVES, OR 
SPECIALISTS AS DEFINED IN ACCORDANCE TO TRADE AGREEMENTS AND EMPLOYEES 
OF FOREIGN SERVICE SUPPLIERS FOR AT LEAST ONE (1) YEAR OF CONTINUOUS 
EMPLOYMENT PRIOR TO DEPLOYMENT TO A BRANCH, SUBSIDIARY, AFFILIATE OR 
REPRESENTATIVE OFFICE IN THE PHILIPPINES, (new)
Art. 41. Prohibition against Transfer of Employment.
(a) 
After the issuance of an employment permit, the -aften NON-RESIDENT FOREIGN 
NATIONALS shall not transfer to another job or change bts THEIR employer without 
prior approval of the Sccrctafy-of Labor SOLE.
(b) 
Any Non-resident alien FOREIGN NATIONALS who shall take up employment in 
violation of the provision of this Title and its implementing rules and regulations 
shall be punished in accordance with the provisions of Articles 289 and 290 of-t-he 
Labor Codov WITH A FINE of NOT LESS THAN FIFTY THOUSAND PESOS 
(P50,000.00) NOR MORE THAN ONE HUNDRED THOUSAND PESOS (P100,000.00),
22


1
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
27
28
29
30
31
32
33
34
35
36
OR IMPRISONMENT OF NOT LESS THAN SIX (6) MONTHS NOR MORE THAN SIX 
(6) YEARS OR BOTH SUCH FINE AND IMPRISONMENT AT THE DISCRETION OF 
THE COURT.
In addition, the alien NON-RESIDENT FOREIGN NATIONALS shall be subject to 
deportation after service of bis THEIR sentence.
THE SOLE IS AUTHORIZED TO IMPOSE A FINE OF FIFTY THOUSAND PESOS 
(P50,000.00) FOR EVERY YEAR OR FRACTION TO BOTH THE NON-RESIDENT FOREIGN 
NATIONAL FOUND WORKING WITHOUT VALID EMPLOYMENT PERMIT AND THE 
EMPLOYER. (41a)
Art. 42. Submission of List.-Any Employers employing non-resident foreign nationals 
on the cffcctivG date-of this Code shall submit a list of such nationals to the Secretory of 
Labor within thirty (30) days after such date REGIONAL DIRECTOR OF THE DOLE WHICH 
HAS JURISDICTION OVER THE EMPLOYER NOT LATER THAN THE 15™ DAY OF JANUARY 
EVERY YEAR indicating their names, citizenship, foreign and local addresses, nature of 
employment and status of stay in the country. The Secretary of Labor shall then 
determine if they are entitled to an employment permit. (42a)
Chapter Vll
MISCELLANEOUS PROVISIONS
Art. 43. Suspension and/or Cancellation of License or Authority. The Minister-ef 
Labor DOLE OR DMW shall have the power to suspend or cancel any license or authority 
to recruit employees for LOCAL OR overseas employment for violation of rules and 
regulations Issued by the Ministry of Labor, the Overseas Employment Development 
Board DOLE OR DMW AND ATTACHED AGENCIES, or for violation of the provisions of 
this CODE and other applicable laws. General Orders and Letters of Instruction RULES 
AND REGULATIONS. (35a)
Art. 44. Regulatory Power. The Secretary of Labor SOLE OR DMW SECRETARY, AS 
THE CASE MAY BE, shall have the power to restrict and regulate the recruitment and 
placement activities of all agencies within the coverage of this Title and is hereby 
authorized to issue orders and promulgate rules and regulations to carry out the 
objectives and implement the provisions of this Title. (36a)
23


1
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
27
28
29
30
31
32
33
34
35
36
Art. 45. Visitorial Power. The Secretary of Labor SOLE or DMW SECRETARY, AS THE 
CASE MAY BE, ORhIs THEIR duly authorized representatives may, at any time, inspect 
the premises, books of accounts and records of any person or entity covered by this Title, 
require it to submit reports regularly on prescribed forms, and act on violation of any 
provisions of this Title. (37a)
BOOKTWO
HUMAN RESOURCES DEVELOPMENT PROGRAM
Title 1
TRAINING AND EMPLOYMENT DEVELOPMENT OF SPECIAL WORKERS
Chapter I 
APPRENTICES
Art. 46. Statement of Objectives. This Title aims:
(1) 
To help meet the demand of the economy for trained manpower-WORKFORCE;
(2) 
To establish a national apprenticeship program through the participation of 
employers, workers and government and non-government agencies; and
(3) 
To establish apprenticeship standards for the protection of apprentices. (57)
Art. 47. Definition of Terms. As used in this Title:
(a) 
"Apprenticeship" means practical training on the job supplemented by related 
theoretical instruction.
(b) 
An "apprentice" \s a worker who is covered by a written apprenticeship agreement 
with an individual employer or any of the entities recognized under this Chapter.
(c) 
An "apprenticeabie occupation" means any trade, form of employment or 
occupation which requires more than three (3) months of practical training on the 
job supplemented by related theoretical instruction.
(d) 
"Apprenticeship agreement"\s an employment contract wherein the employers bind 
themselves to train the apprentice and the apprentice in turn accepts the terms of 
training. (58)
Art. 48. Qualifications of Apprentice. To qualify as an apprentice, a person shall:
(a) Be at least fourteen (Id)-FIFTEEN (15) years of age;
24


1
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
27
28
29
30
31
32
33
34
35
36
(b) 
Possess vocational aptitude and capacity for appropriate tests; and
(c) 
Possess the ability to comprehend and follow oral and written instructions.
Trade and industry associations may recommend to the Secretary-of Labor SOLE 
appropriate educational requirements for different occupations. (59a)
Art. 49. Employment of Apprentices. Only employers in the highly technical industries 
may employ apprentices and only in apprenticeable occupations approved by the 
Secretary of Labor-and Employment TRIPARTITE INDUSTRIAL PEACE COUNCIL (TIPC). 
(60a)
Art. 50. Contents of Apprenticeship Agreements. Apprenticeship agreements, 
including the wage rates of apprentices, shall conform to the rules issued by the Secretary 
of Labor and Employment SOLE. The period of apprenticeship shall not exceed six (6) 
months. Apprenticeship agreements providing for wage rates below the legal minimum 
wage, which in no case shall start below SEVENTY-FIVE percent (75%) of the applicable 
minimum wage, may be entered into only in accordance with apprenticeship programs 
duly approved by the Secretary of Labor and Employment SOLE. The Department shall 
develop standard model programs of apprenticeship. (61a)
Art. 51. Signing of Apprenticeship Agreement. Every apprenticeship agreement 
shall be signed by the employers or THEIR agents, or by aft THE authorized 
representatives of any of the recognized organizations, associations or groups and by the 
apprentices.
Aft Apprenticeship agreements with a minors shall be signed In his THEIR behalf by his 
THEIR parents or guardians, OR if the latter is ARE not available, by an authorized 
representative of the Department of LaborDOLE, and the same shall be binding during 
its lifetime.
Every apprenticeship agreement entered into under this Title shall be ratified by the 
appropriate apprenticeship committees, if any, and a copy shall be furnished both the 
employers and the apprentices. (62a)
Art. 52. Venue of Apprenticeship Programs. Any FirmS, employers, groups or 
associations, industry organizations or civic groups wishing to organize an apprenticeship
25


1
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
27
28
29
30
31
32
33
34
35
36
program may choose from any of the following apprenticeship schemes as the training 
venue for apprentice:
(a) 
Apprenticeship conducted entirely by and within the sponsoring firm, establishment 
or entity;
(b) 
Apprenticeship entirely within a Department of Labor and EmploymentDOLE training 
center or other public training institution; or
(c) 
Initial training in trade fundamentals in a training center or other institution with 
subsequent actual work participation within the sponsoring firm or entity during the 
final stage of training. (63)
Art. 53. Sponsoring of Apprenticeship Program. Any of the apprenticeship schemes 
recognized herein may be undertaken or sponsored by a single employers or fIrmS or by 
a groups or associations thereof or by a civic organizations. Actual training of apprentices 
may be undertaken:
(a) 
In the premises of the sponsoring employer in the case of individual apprenticeship 
programs;
(b) 
In the premises of one or several designated firms in the case of programs 
sponsored by a group or association of employers or by a civic organization; or
(c) 
In a Dopartmont of Labor and Employment-DOLE training center or other public 
training institution. (64a)
Art. 54. Investigation of Violation of Apprenticeship Agreement. Upon complaint 
of any interested person or upon its own initiative, the appropriate agency of the 
Department of Labor-and-Employment DOLE or its authorized representative shall 
investigate any violation of an apprenticeship agreement pursuant to such rules and 
regulations as may be prescribed by the Secretary of Labor and Employment SOLE. (65a)
Art. 55. Appeal to the Secretary of Labor and Employment. The decision of the 
authorized agency of the Department of Labor and EmploymentDOLE may be appealed 
by any aggrieved person to the Secretary-of Labor and Employment SOLE within five (5) 
days from receipt of the decision. The decision of the Secretary-of Labor and Employment 
SOLE shall be final and executory. (66a)
Art. 56. Exhaustion of Administrative Remedies. No person shall institute any 
action for the enforcement of any apprenticeship agreement or damages for breach of
26


1
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
27
28
29
30
31
32
33
34
35
any such agreement, unless they have exhausted all available administrative remedies. 
(67)
Art. 57. Aptitude Testing of Applicants. Consonant with the minimum qualifications 
of apprentice-applicants required under this Chapter, employers or entities with duly 
recognized apprenticeship programs shall have primary responsibility for providing 
appropriate aptitude tests in the selection of apprentices. If they do not have adequate 
facilities for the purpose, the Department of Labor and Employmcnt-DOLE shall perform 
the service free of charge. (68)
Art. 58. Responsibility for Theoretical Instruction. Supplementary theoretical 
instruction to apprentices in cases where the program is undertaken in the plant may be 
done by the employers. If the latter is ARE not prepared to assume the responsibility, 
the same may be delegated to an appropriate government agency. (69a)
Art. 59. Voluntary Organization of Apprenticeship Programs; Exemptions.
(a) 
The organization of apprenticeship program shall be primarily a voluntary 
undertaking by employers;
(b) 
When national security or particular requirements of economic development so 
demand, the President of the Philippines may require compulsory training of 
apprentices in certain trades, occupations, jobs or employment levels where 
shortage of trained manpower is deemed critical as determined by the Secretary of 
Labor and Employment SOLE. Appropriate rules in this connection shall be 
promulgated by the Secretary of Labor and Employment SOLE as the need arises; 
and
(c) 
Where services of foreign technicians are utilized by private companies in 
apprenticeable trades, said companies are required to set up appropriate 
apprenticeship programs. (70a)
Art. 60. Deductibility of Training Costs. An additional deduction from taxable income 
of one-half (1/2) of the value of labor training expenses incurred for developing the 
productivity and efficiency of apprentices shall be granted to the person or enterprise 
organizing an apprenticeship program: Provided, That such program is duly recognized 
by the Department of Labor and-Employment DOLE: Provided, further, That such 
deduction shall not exceed ten (10%) percent of direct labor wage: and Provided, finaiiy.
27


1
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
27
28
29
30
31
32
33
34
35
36
That the persons or enterprises who wishes to avail himself or itself THEMSELVES of this 
incentive should pay his THEIR apprentices the minimum wage. (71a)
Art. 61. Apprentices without Compensation. The Secretary of Labor and 
Employment SOLE may authorize the hiring of apprentices without compensation whose 
training on the job Is required by the school or training program curriculum or as requisite 
for graduation or board examination. (72)
BOOKTHREE
CONDITIONS OF EMPLOYMENT
Title I
WORKING CONDITIONS AND REST PERIODS CONDITIONS
Chapter I 
HOURS OF WORK
Art. 62. Coverage. The provisions of this Title shall apply to employees, FULL-TIME OR 
PART-TIME, in all establishments and undertakings whether for profit or not, but not to 
government employees, managerial employees, field personnel, mcmbcrs-of the family 
of the employer who arc dependent on him for support; domestic helpers WORKERS, 
AND persons in the personal service of another, and workers who are paid by results as 
determined by the Secretary of Labor in appropriate regulations.
As used herein, "managerial employees"refer to those whose primary duty consists of 
the management of the establishment in which they are employed or of a department or 
subdivision thereof, and to other officers or members of the-managorial staff.
"Field personnel"s\\eW refer to non-agricultural employees who regularly perform their 
duties away from the principal place of business or branch office of the employer and 
whose actual hours of work in the field cannot be determined with reasonable certainty.
A "NON-GOVERNMENTAL ORGANIZATIONf "COMMONLY REFERRED TO AS AN NGO, IS 
A REGISTERED NONPROFIT AND NON-STOCK ORGANIZATION, ORGANIZED ON A 
LOCAL, NATIONAL OR INTERNATIONAL LEVEL, THAT FUNCTIONS INDEPENDENTLY OF 
GOVERNMENT TO PROMOTE PARTICULAR CAUSES OR ADVOCACIES, INCLUDING A
28


1
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
27
28
29
30
31
32
33
34
35
36
RELIGIOUS, CHARITABLE, MEDICAL OR EDUCATIONAL ORGANIZATION THAT IS NOT 
OPERATING FOR PROFIT. (82a)
ART. 63. PART-TIME WORKERS.
(a) 
PART-TIME WORKERS ARE THOSE WHO ARE ENGAGED IN A SINGLE, REGULAR OR 
VOLUNTARY FORM OF EMPLOYMENT WITH HOURS OF WORK SUBSTANTIALLY 
SHORTER THAN THOSE CONSIDERED AS NORMAL IN THE ESTABLISHMENT.
(b) 
THE NORMAL HOURS OF WORK REFERRED TO IN SUBPARAGRAPH (A) MAY BE 
CALCULATED WEEKLY OR ON AVERAGE OVER A GIVEN PERIOD OF EMPLOYMENT;
(c) 
THE TERM COMPARABLE FULL-TIME WORKERS REFERS TO FULL-TIME WORKERS 
WHO:
(i) 
HAVE THE SAME Pi'PE OF EMPLOYMENT RELATIONSHIP;
(ii) 
ARE ENGAGED IN THE SAME OR A SIMILAR TYPE OF WORK OR OCCUPATION; 
AND
(iii) ARE EMPLOYED IN THE SAME ESTABLISHMENT OR, WHEN THERE IS NO 
COMPARABLE FULL-TIME WORKER IN THAT ESTABLISHMENT, IN THE SAME 
ENTERPRISE OR, WHEN THERE IS NO COMPARABLE FULL-TIME WORKER IN 
THAT ENTERPRISE, IN THE SAME BRANCH OF ACTIVITY.
(d) 
THIS DEFINITION EXCLUDES CERTAIN FORMS OF EMPLOYMENT WHICH 
ALTHOUGH REFERRED TO AS PART-TIME WORK, ARE IN PARTICULAR, 
INTERMITTENT EMPLOYMENT, OR CASES WHERE HOURS OF WORK HAVE BEEN 
TEMPORARILY REDUCED FOR ECONOMIC, TECHNICAL OR STRUCTURAL REASONS.
PART-TIME WORK MAY TAKE DIFFERENT FORMS DEPENDING ON THE AGREED HOURS 
OF WORK IN A DAY, THE DAYS OF WORK IN A WEEK OR OTHER REFERENCE PERIODS. 
IN THE PHILIPPINES, HOWEVER, THE TWO MOST COMMON AND ACCEPTABLE FORMS 
ARE FOUR (4) HOURS WORK PER DAY AND WEEKEND WORK OR TWO (2) FULL DAYS PER 
WEEK, (new)
Art. 64. Normal Hours of Work. The normal hours of work of afiy employees shall not 
exceed eight (8) hours a day.
Health personnel in cities and municipalities with a population of at least one million 
(1,000,000) or in hospitals and clinics with a bed capacity of at least one hundred (100) 
shall hold regular office hours for eight (8) hours a day, for five (5) days a week, exclusive 
of time for meals, except where the exigencies of the service require that such personnel
29


1
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
27
28
29
30
31
32
33
34
35
36
work for six (6) days or forty-eight (48) hours, in which case, they shall be entitled to an 
additional compensation of at least thirty percent (30%) of their regular wage for work 
on the sixth day. For purposes of this Article, "health personnel" shall include resident 
physicians, nurses, nutritionists, dietitians, pharmacists, social workers, laboratory 
technicians, paramedical technicians, psychologists, BIRTH attendants, HEALTH CARE 
PROVIDERS and all other hospital, Of clinic OR HEALTH CENTER personnel. (83a)
Art. 65. Hours Worked. Hours worked shall include (a) all time during which aft 
employees is ARE required to be on duty or to be at a prescribed workplace; and (b) all 
time during which an employees ts ARE suffered or permitted to work.
Rest periods of short duration daring working hours OR COFFEE BREAKS OF FROM FIVE 
(5) TO TWENTY (20) MINUTES shall be counted as hours worked. (84a)
Art. 66. Meal Periods-. BREAK TIMEr-Subjcct to such regulations as the Secretary of 
Labor-may prescribe, it shall bo the duty of every employer-to give his employees
EMPLOYERS SHALL GIVE EVERY EMPLOYEE not less than sixty (60) minutes BREAK time- 
off for their rcgular-moals. (85a)
Art. 67. Night-Shift Differential. Every Employees shall be paid a night shift 
differential of not less than ten percent (10%) of I=hs THEIR regular wage for each hour 
of work performed between ten o'clock in the evening and six o'clock in the morning. 
(86a)
Art. 68. Overtime Work. Work may be performed beyond eight (8) hours a day 
provided that the employees is ARE paid for the overtime work, an additional 
compensation equivalent to his THEIR regular wage plus at least twenty-five percent 
(25%) thereof. Work performed beyond eight (8) hours on a holiday or rest day shall be 
paid an additional compensation equivalent to the rate of the first eight (8) hours on a 
holiday or rest day plus at least thirty percent (30%) thereof. (87a)
Art. 69. Undertime Not Offset by Overtime. Undertime work on any particular day 
shall not be offset by overtime work on any other day. Permission given to the employees 
to go on leave on some other day of the week shall not exempt the employers from 
paying the additional compensation required in this Chapter. (88a)
30


1
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
27
28
29
30
31
32
33
34
35
36
Art. 70. Emergency Overtime Work. Any Employees may be required by the 
employers to perform overtime work in any of the following cases:
(a) 
When the country is at war or when any other national or local emergency has been 
declared by the National Assembly or the Chief -Executive CONGRESS OR THE 
PRESIDENT OR THE LOCAL CHIEF EXECUTIVE;
(b) 
When it is necessary to prevent loss of life or property or in case of imminent danger 
to public safety due to an actual or impending emergency in the locality caused by 
serious accidents, fire, flood, typhoon, earthquake, epidemic, or other disaster or 
calamity;
(c) 
When there is urgent work to be performed on machines, installations, or 
equipment, in order to avoid serious loss or damage to the employer or some other 
cause of similar nature;
(d) 
When the work is necessary to prevent loss or damage to perishable goods; arid
(e) 
Where the completion or continuation of the work started before the eighth hour is 
necessary to prevent serious obstruction or prejudice to the business or operations 
of the employerr; AND
(f) 
WHEN OVERTIME WORK IS NECESSARY TO AVAIL OF FAVORABLE WEATHER OR 
ENVIRONMENTAL CONDITIONS WHERE PERFORMANCE OR QUALITY OF WORK IS 
DEPENDENT THEREON.
PREGNANT OR NURSING WOMEN SHOULD NOT BE OBLIGED TO RENDER OVERTIME 
WORK IF A MEDICAL CERTIFICATE DECLARES SUCH WORK TO BE INCOMPATIBLE WITH 
THEIR PREGNANCY OR NURSING.
Any-eEmployeeS required to render overtime work under this Article shall be paid the 
additional compensation required in this Chapter. (89a)
Art. 71. Computation of Additional Compensation. For purposes of computing 
overtime and other additional remuneration as required by this Chapter, the "regular 
wage" of an employee shall include the cash wage only, without deduction on account of 
facilities provided by the employer. (90)
Chapter II
WEEKLY REST PERIODS
Art. 72. Right to Weekly Rest Day.
31


1
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
27
28
29
30
31
32
33
34
35
36
[a) 
It shall be the duty of every employers,- whether operating for profit or not, to 
provide each of te THEIR employees a rest period of not-less than twenty-four (24) 
consecutive hours ONE DAY after every six (6) consecutive normal work days.
(b) 
The employers shall determine and schedule the weekly rest day of te THEIR 
employees subject to collective bargaining agreement OR, IN ITS ABSENCE, to such 
rules and regulations as the Secrctary-of Labor and Employment SOLE may provide.
However, the Employers shall respect the preference of employees as to their weekly 
rest day when such preference is based on religious grounds. (91a)
Art. 73. When Employers May Require Work on a Rest Day. The Employers may 
require his THEIR employees to work on any day:
(a) 
In case of actual or impending emergencies caused by serious accident, fire, flood, 
typhoon, earthquake, epidemic or other disaster or calamity to prevent loss of life 
and property, or imminent danger to public safety;
(b) 
In cases of urgent work to be performed on the machinery, equipment, or 
installation, to avoid serious loss which the employer would otherwise suffer;
c. In the event of abnormal pressure of work due to special circumstances, whcrc-the
employer cannot ordinarily be expected to resort to other mcasurcs;-
(c) 
To prevent loss or damage to perishable goods; OR
d. Where the natttre of the work requires continuous -operations-and the stoppage -of
work may result in irreparable injury or loss-to the employer; and
e. Under other circumstances analogous or similar to the foregoing as determined by the
Secretary of Labor and EmploymentT
(d) 
WHEN THE WORK IS NECESSARY TO AVAIL OF FAVORABLE WEATHER OR 
ENVIRONMENTAL CONDITIONS WHERE PERFORMANCE OR QUALITY OF WORK IS 
DEPENDENT THEREON.
PREGNANT OR NURSING WOMEN SHOULD NOT BE OBLIGED TO WORK ON A REST DAY 
IF A MEDICAL CERTIFICATE DECLARES SUCH WORK TO BE INCOMPATIBLE WITH THEIR 
PREGNANCY OR NURSING. (92a)
Art. 74. Compensation for rest day or Holiday Work OR SUNDAY.
(a) Where an employees is ARE made or permitted to work on his THEIR scheduled 
rest day, he THEY shall be paid an additional compensation of at least thirty percent 
(30%) of his THEIR regular wage. An employee shall be entitled to such additional
32


1
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
27
28
29
30
31
32
33
34
35
compensation for work performed on Sunday only when it is his THEIR established 
rest day.
[b) 
When the nature of the work of the employees is such that ho has THEY HAVE no 
regular workdays and no regular rest days can be scheduled, he THEY shall be paid 
an additional compensation of at least thirty percent (30%) of his THEIR regular 
wage for work performed on Sundays.
c. Work performed on any special holiday shall be paid an additional compensation of-at
least thirty percent (30%) of the regular wage of tho omploycc. Where such-holiday
work falls on the-employee's scheduled rest day, ho shall bo entitled to an additionai
compensation of at least-fifty per cent (50%) of his regular wage.
(c) 
WORKERS WHO PERFORM WORK ON ANY SPECIAL HOLIDAY, WHETHER 
DECLARED NATIONALLY OR LOCALLY, SHALL BE PAID THEIR REGULAR DAILY 
WAGE AND AN ADDITIONAL COMPENSATION OF AT LEAST THIRTY PERCENT 
(30%) OF THEIR REGULAR WAGE.
Where the collective bargaining agreement or other applicable employment contract 
stipulates the payment of a higher premium pay than that prescribed under this Article, 
the employers shall pay such higher rate. (93a)
Chapter III
HOLIDAYS, SERVICE INCENTIVE LEAVES AND SERVICE CHARGES 
Art. 75. Right to Holiday Pay.
(a) 
Every Workers shall be paid his THEIR regular daily wage during regular holiday, 
except in retail and service establishments regularly employing less than ten (10)
workers UNLESS THEY ARE WORKERS OF NON-GOVERNMENTAL ORGANIZATIONS 
EMPLOYING LESS THAN TEN (10) WORKERS.
(b) 
The employer may require an employee to work on any holiday but such employee
EMPLOYEES WHO WORK ON ANY REGULAR HOLIDAY shall be paid a compensation 
equivalent to twice his THEIR regular rate; and
(c) 
WORK PERFORMED ON ANY SPECIAL HOLIDAY SHALL BE PAID AN ADDITIONAL 
COMPENSATION OF AT LEAST THIRTY PERCENT (30%) OF THE REGULAR WAGE 
OF THE EMPLOYEE. WHERE SUCH HOLIDAY WORK FALLS ON THE EMPLOYEES' 
SCHEDULED REST DAY, THEY SHALL BE ENTITLED TO AN ADDITIONAL 
COMPENSATION OF AT LEAST FIFTY PERCENT (50%) OF THEIR REGULAR WAGE.
33


1 
(d] As used in this Article, !,holidQy,L4neludes-New Year's Boy, Maundy Thursday, Good
2 
Friday, the ninth of April, the first of-MayT^thc twelfth of June, the fourth of July,^he
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
thirtieth of November, the twenty fifth and thirtieth of December and the day
designated by-law for holding-a general election HOLIDAYS' ARE THE REGULAR 
AND SPECIAL HOLIDAYS AS PROVIDED UNDER EXISTING LAWS. (94a)
CHAPTER IV
SERVICE INCENTIVE LEAVE
Art. 76. Service Incentive Leave.
(a) 
Every Employees who I=bs HAVE rendered at least one (1) year of service shall be 
entitled to a yearly service incentive leave of five (5) days with pay.
(b) 
This provision shall not apply to those who are already enjoying the benefit herein 
provided, AND those enjoying vacation leave with pay of at least five TEN (10) days 
and those employed in establishments regularly employing less than ten employees
or in establishments-exempted from granting this benefit by the Secretary of Labor
and Employment after considering the viability or-financial condition of such
establishment.
(c) 
The grant of benefit in excess of that provided herein shall not be made a subject 
of arbitration or any court or administrative action DIMINISHED. (95a)
CHAPTER V 
SERVICE CHARGES
Art. 77. Service Charges. All service charges collected by hotels, restaurants and 
similar establishments shall be distributed at the rate of eighty-five percent (85%) for all 
covered employees and fifteen percent (15%) for management. The share of the 
employees shall be equally distributed among them. In case the service charge is 
abolished, the share of the covered employees shall be considered integrated In their 
wages.
THE SHARES REFERRED TO IN THIS ARTICLE SHALL BE DISTRIBUTED AND PAID TO 
THE EMPLOYEES NOT LESS THAN ONCE EVERY TWO (2) WEEKS OR TWICE A MONTH 
AT INTERVALS NOT EXCEEDING SIXTEEN (16) DAYS. (96a)
CHAPTER VI
34


1
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
27
28
29
30
31
32
33
34
35
36
FACILITIES
Art. 78. Facilities for Women. The Secretary of Lobor and Employment SOLE shall 
establish standards that will ensure the safety and health of women employees 
WORKERS. In appropriate cases, he shall, by regulations, require any-employer-to 
EMPLOYERS SHALL BE REQUIRED TO:
(a) 
Provide seats proper for women WORKERS and permit them to use such seats when 
they are free from work and during working hours, provided they can perform their 
duties in this position without detriment to efficiency;
(b) 
To establish PROVIDE separate toilet rooms and lavatories for men and women 
WORKERS AND WHERE APPROPRIATE, GENDER-NEUTRAL TOILET ROOMS AND 
LAVATORIES; AND and provide at least a dressing room for women;
(c) To establish a nursery in a workplace for the benefit of the women employees thereirp
urra
(d) To determine- appropriate minimum age and other standords for retirement or
termination In-special occupations-such as those of flight attendonts and the Wkcr
(c) PROVIDE SUCH OTHER FACILITIES THAT THE SOLE MAY DEEM APPROPRIATE. 
(130a)
Title II 
WAGES
Chapter I
PRELIMINARY MATTERS
Art. 79. Definitions. As used in this Title:
(a) 
"Persorty means an individual, partnership, association, corporation, business trust, 
legal representatives, or any organized group of persons.
(b) 
"Employeii' includes any person acting directly or indirectly in the interest of an 
employer in relation to an employee and shall include the government and all its 
branches, subdivisions and instrumcntalitics7 all government-owned or controlled 
corporations and institutions WITHOUT ORIGINAL CHARTER, as well as non-profit 
private institutions, or organizations.
(c) 
"Employed' includes any individual employed by an employer. TO ASCERTAIN THE 
EXISTENCE OF AN EMPLOYER-EMPLOYEE RELATIONSHIP, THE FOUR-FOLD TEST
35


1
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
27
28
29
30
31
32
33
34
35
36
SHALL APPLY, TO WIT: (1) THE SELECTION AND ENGAGEMENT OF THE EMPLOYEE; 
(2) THE PAYMENT OF WAGES; (3) THE POWER OF DISMISSAL; (4) THE POWER TO 
CONTROL THE EMPLOYEE'S CONDUCT WHERE THE PERSON FOR WHOM THE 
SERVICES ARE PERFORMED RESERVES THE RIGHT TO CONTROL NOT ONLY THE 
END ACHIEVED, BUT ALSO THE MANNER AND MEANS USED TO ACHIEVE THAT END. 
(DOLE D.O. No. 147-2015)
(d) 
yiAgriculturd' includes farming in all its branches and, among other things, includes 
cultivation and tillage of soil, dairying, the production, cultivation, growing and 
harvesting of any agricultural and horticultural commodities, the raising of livestock 
or poultry, and any practices performed by a farmer on a farm as an incident to or 
in conjunction with such farming operations, but does not include the manufacturing 
or processing of sugar, coconuts, abaca, tobacco, pineapples or other farm products
(e) 
''Employ includes MEANS to suffer or permit to work.
(f) 
"Wagd' paid to any employee shall meanS the remuneration or earnings, however 
designated, capable of being expressed in terms of money, whether fixed or 
ascertained on a time, task, piece, or commission basis, or other method of 
calculating the same, which is payable by an emptoyer to an employee BY AN 
EMPLOYER under a written or unwritten contract of employment for work done or 
to be done, or for services rendered or to be rendered and includes the fair and 
reasonable value, as determined by the Secretary of Labor and Employment SOLE, 
of board, lodging, or other facilities customarily furnished by the employer to the 
employee. "Fair and reasonable value!' shall not include any profit to the employer, 
or to any person affiliated with the employer. (97a)
Chapter II
MINIMUM WAGE RATES
Art. 80. Regional NATIONAL Minimum Wages. The NATIONAL minimum wage rates 
for agricultural and non-agricultural employees and workers in each and every region of 
the country-shall be those prescribed by the Regional Tripartite Wages-and Productivity 
Boards.- NATIONAL WAGES AND PRODUCTIVITY COMMISSION. (99a)
Art. 81. Prohibition against Elimination or Diminution of Benefits. Nothing in this 
Book shall be construed to eliminate or in any way diminish supplements, ef AND other 
employee benefits being enjoyed at the time of promulgation of this Code. (100a)
36


1
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
27
28
29
30
31
32
33
34
35
Art. 82. Payment by Results. The Secretary of Labor and Employment SOLE shall 
regulate the payment of wages by results, including pakyaw, piecework, and other non­
time work, in order to ensure the payment of fair and reasonable wage rates, preferably 
through time and motion studies or in consultation with representatives of workers' and 
employers' organizations. (101a)
Chapter III 
PAYMENT OF WAGES
Art. 83. Forms of Payment. No employer shall pay the wages of an employee by means 
of promissory notes, vouchers, coupons, tokens, tickets, chits, or any object other than 
legal tender, even when expressly requested by the employee.
Payment of wages by check or money order OR DIGITAL MONEY REMITTANCE shall be 
allowed when such manner of payment Is customary on the date of effectivity of this 
Code, or is necessary because of special circumstances as specified in appropriate 
regulations to be issued by the Sccrctary-of Labor and Employment SOLE or as stipulated 
in a collective bargaining agreement. (102a)
Art. 84. Time of Payment. Wages shall be paid at least once every two (2) weeks or 
twice a month at intervals not exceeding sixteen (16) days. If on account of force majeure 
or circumstances beyond the employer's control, payment of wages on or within the time 
herein provided cannot be made, the employer shall pay the wages immediately after 
such force majeure or circumstances have ceased. No employer shall make payment with 
less frequency than once a month.
The payment of wages of employees engaged to perform a task which cannot be 
completed in two (2) weeks shall be subject to the following conditions, in the absence 
of a collective bargaining agreement or arbitration award:
(1) 
That payments are made at intervals not exceeding sixteen (16) days, in proportion 
to the amount of work completed;
(2) 
That final settlement is made upon completion of the work. (103)
Art. 85. Place of Payment. Payment of wages shall be made at or near the place of 
undertaking, except as otherwise provided by such regulations as the Secretary of Labor
37


1 
and Employment SOLE may prescribe under conditions to ensure greater protection of
2 
wages. (104a)
3
4 
Art. 86. Direct Payment of Wages. Wages shall be paid directly to the workers to
5 
whom they are due, except:
6 
(a) In cases of force majeure rendering such payment impossible or under other special
7 
circumstances to be determined by the Secretary of Labor-end Employment SOLE
8 
in appropriate regulations, in which case, the workers may be paid through another
9 
person under written authority given by the workers for the purpose;
10 
(b) IN CASE OF ECONOMIC VIOLENCE AS DEFINED BY SEC. 3, PARAGRAPH D OF
11 
REPUBLIC ACT NO. 9262, EMPLOYERS SHALL PAY THE WAGES OF THE WORKERS
12 
TO THEIR IMMEDIATE FAMILY WITHOUT THE NECESSITY OF COURT
13 
PROCEEDINGS. THE CLAIMANTS, IF THEY ARE ALL OF AGE, SHALL EXECUTE AN
14 
AFFIDAVIT ATTESTING TO THEIR RELATIONSHIP TO THE WORKER AND THE FACT
15 
THAT THEY ARE MEMBERS OF THE IMMEDIATE FAMILY, TO THE EXCLUSION OF
16 
ALL OTHER PERSONS. IF ANY OF THE HEIRS IS A MINOR, THE AFFIDAVIT SHALL
17 
BE EXECUTED ON THE MINOR'S BEHALF BY THE NATURAL GUARDIAN OR NEXT-
18 
OF-KIN. THE AFFIDAVIT SHALL BE PRESENTED TO THE EMPLOYER WHO SHALL
19 
MAKE PAYMENT THROUGH THE SOLE OR THEIR REPRESENTATIVE. THE
20 
REPRESENTATIVE OF THE SOLE SHALL ACT AS REFEREE IN DIVIDING THE
21 
AMOUNT PAID AMONG THE MEMBERS OF THE FAMILY. THE PAYMENT OF WAGES
22 
UNDER THIS ARTICLE SHALL ABSOLVE EMPLOYERS OF ANY FURTHER LIABILITY
23 
WITH RESPECT TO THE AMOUNT PAID; or
24 
(b) (c) Where the worker has died, in which case, the employers may pay the wages of
25 
the deceased worker to the heirs of the latter without the necessity of intestate
26 
proceedings. The claimants, if they are all of age, shall execute an affidavit attesting
27 
to their relationship to the deceased and the fact that they are his heirs, to the
28 
exclusion of all other persons. If any of the heirs is-a minor, the affidavit shall be
29 
executed on his THE MINOR'S behalf by his THE MINOR'S natural guardian or next-
30 
of-kin. The affidavit shall be presented to the employer who shall make payment
31 
through the Secretary of Labor and Employment SOLE or his THEIR representative.
32 
The representative of the Secretary of Labor and Employment SOLE shall act as
33 
referee in dividing the amount paid among the heirs. The payment of wages under
34 
this Article shall absolve the employers of any further liability with respect to the
35 
amount paid. (105a)
36
38


1
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
27
28
29
30
31
32
33
34
35
36
Art. 87. Worker Preference in Case of Bankruptcy. In the event of bankruptcy or 
liquidation of an employer's business, his workers shall enjoy first preference as regards 
their wages and other monetary claims, any provision of law THE CIVIL CODE ON 
PREFERENCE OF CREDIT AND OTHER LAWS to the contrary notwithstanding. Such 
unpaid wages and monetary claims shall be paid in full before claims of the government 
and other creditors may be paid. (110a)
Chapter IV
PROHIBITIONS REGARDING WAGES
Art. 88. Attorney's Fees.
(a) 
In cases of unlawful withholding of wages, the culpable party may be assessed 
attorney's fees equivalent to ten percent (10%) of the amount of wages recovered.
(b) 
It shall be unlawful for any person to demand or accept, in any judicial, QUASI- 
JUDICIAL or administrative proceedings for the recovery of wages, attorney's fees 
which exceed ten percent (10%) of the amount of wages recovered. (111a)
Art. 89. Non-Interference in Disposal of Wages. No employer shall limit or 
otherwise interfere with the freedom of any employees to dispose of hts THEIR wages. 
He EMPLOYERS shall not In any manner force, compel, or oblige hts THEIR employees to 
purchase merchandise, commodities or other property from any other person, or 
otherwise make use of any store or services of sueh THE employers or any other person. 
(112a)
Art. 90. Wage Deduction, No-EmployerS, in hts THEIR own behalf or in behalf of any 
person, shall NOT make any deduction from the wages of hts THEIR employees, except:
(a) 
In cases where the workers ARE insured with hts THEIR consent by the employers, 
and the deduction is to recompense the employers for the amount paid by him 
THEM as premium on the insurance;
(b) 
For union dues, in cases where the right of the workers or hts THEIR union to check­
off has been recognized by the employers or authorized in writing by the Individual 
worker concerned;
(c) 
IN CASES WHERE WORKERS HAVE FAILED TO PROVIDE REGULAR SUPPORT TO 
THEIR IMMEDIATE LEGITIMATE SPOUSE AND LEGITIMATE OR ILLEGITIMATE 
CHILDREN, EMPLOYERS MAY PAY THE WAGES TO THE SPOUSE AND CHILDREN 
WITHOUT THE NECESSITY OF COURT PROCEEDINGS; AND
39


1
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
27
28
29
30
31
32
33
34
35
36
(d) In cases where the employers is ARE authorized by law or regulations issued by the 
Secfetafy-of-babopand Employment SOLE. (113a)
Art. 91. Deposits for Loss or Damage. No Employers shall NOT require his THEIR 
workers to make deposits from which deductions shall be made for the reimbursement 
of loss of or damage to tools, materials, or equipment supplied by the employers, except 
when the employers is ARE engaged in such trades, occupations or business where the 
CUSTOMARY practice of making deductions or requiring deposits is a recognized one, OR 
AS PROVIDED FOR IN THE COLLECTIVE BARGAINING AGREEMENT, or is necessary or 
desirable as determined by the Secretary of Labor and Employment SOLE in appropriate 
rules and regulations.
IN ANY CASE, DEDUCTIONS SHALL BE SUBJECT TO THE FOLLOWING CONDITIONS:
(a) 
THAT THE EMPLOYEES CONCERNED ARE CLEARLY SHOWN TO BE RESPONSIBLE 
FOR THE LOSS OR DAMAGE;
(b) 
THAT THE EMPLOYEES ARE GIVEN REASONABLE OPPORTUNITY TO SHOW CAUSE 
WHY DEDUCTION SHOULD NOT BE MADE;
(c) 
THAT THE AMOUNT OF SUCH DEDUCTION IS FAIR AND REASONABLE AND SHALL 
NOT EXCEED THE ACTUAL LOSS OR DAMAGE; AND
(d) 
THAT THE DEDUCTION FROM THE WAGES OF THE EMPLOYEE DOES NOT EXCEED 
TWENTY PERCENT (20%) OF THE EMPLOYEE'S WAGES IN A WEEK. (114a)
Art. 92. Withholding of Wages and Kickbacks Prohibited. It shall be unlawful for 
any person, directly or Indirectly, to withhold any amount from the wages of a workers 
or induce him THEM to give up any part of his THEIR wages by force, stealth, intimidation, 
threat or by any other means whatsoever without the worker's consent. (116a)
Art. 93. Deduction to Ensure Employment. It shall be unlawful to make any 
deduction from the wages of any employees for the benefit of the employers or his THEIR 
representatives or intermediary INTERMEDIARIES as consideration of a promise of 
employment or retention in employment. (117a)
Art. 94. Retaliatory Measures. It shall be unlawful for an employers to refuse to pay 
or reduce the wages and benefits, discharge or In any manner discriminate against any 
employee who has filed any complaint or instituted any proceeding under this Title OR 
UNDER THIS CODE OR ANY LAWS or has testified OR HAS REFUSED TO TESTIFY, or is
40


1
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
27
28
29
30
31
32
33
34
35
36
about to testify in such proceedings. RETALIATORY ACTS SHALL INCLUDE REFUSAL TO 
TESTIFY WHEN REQUIRED, REQUESTED, OR DEMANDED BY AN EMPLOYER. (118a)
Art. 95. False Reporting. It shall be unlawful for any person to make any statement, 
report, or record filed or kept pursuant to the provisions of this Code knowing such 
statement, report or record to be false in any material respect. (119)
CHAPTER V
CONTRACTING OF SERVICES
Art. 96. Contractor or Subcontractor. Whenever an employers enters into a contract 
with another persons for the performance of the former's work, the employees of the 
contractor and of the latter's contractor, if any, shall be paid in accordance with the 
provisions of this Code.
In the event that the contractors or subcontractors fails to pay the wages of te THEIR 
employees in accordance with this Code, the employers shall be jointly and severally 
liable with te THEIR contractors or subcontractors to such employees to the extent of 
the work performed under the contract, in the same manner and extent that he-4s THEY 
ARE liable to employees directly employed by him THEM.
The Secretary of Labor and Employment SOLE may, by appropriate regulations, restrict 
or prohibit the contracting-out of labor to protect the rights of workers established under 
this Code. In so prohibiting or restricting, he THEY may make appropriate distinctions 
between labor-only contracting and job contracting as well as differentiations within these 
types of contracting and determine who among the parties involved shall be considered 
the employers for purposes of this Code, to prevent any violation or circumvention of any 
provision of this Code.
There is "labor-only" contracting where the persons supplying workers to ae employers 
does not have substantial capital or investment in the form of tools, equipment, 
machineries, work premises, among others, and the workers recruited and placed by such 
persons are performing activities which are directly related to the principal business of 
such employers. In such cases, the persons or intermediarylES shall be considered 
merely as an agents of the employers who shall be responsible to the workers in the 
same manner and extent as if the latter were directly employed by him THEM. (106a)
41


1
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
27
28
29
30
31
32
33
34
35
Art. 97. Indirect Employer. The provisions of the immediately preceding article shall 
likewise apply to any person, partnership, association or corporation which, not being an 
employer, contracts with an independent contractor for the performance of any work, 
task, job or project. (107)
Art. 98. Posting of Bond. Aft Employers or indirect employers may require the 
contractors or subcontractors to furnish a bond equal to the cost of labor under contract, 
on condition that the bond will answer for the wages due the employees should the 
contractors or subcontractors, as the case may be, fail to pay the same. (100a)
Art. 99. Solidary Liability. The provisions of existing laws to the contrary 
notwithstanding, every employers or indirect employers shall be held responsible with 
his THEIR contractors or subcontractors for any violation of any provision of this Code. 
For purposes of determining the extent of their civil liability under this Chapter, they shall 
be considered as direct employers. (109a)
Chapter VI
WAGE STUDIES, WAGE AGREEMENTS AND WAGE DETERMINATION
Art. 100. Creation of National Wages and Productivity Commission. There is 
hereby created a National Wages and Productivity Commission, hereinafter referred to as 
the Commission, which shall be attached to the Deportment-of L-abor and Employment 
(DOLE) for policy and program coordination. (120)
Art. 101. Powers and Functions of the Commission. The Commission shall have the 
following powers and functions:
(a) 
To act as the national consultative and advisory body to the President of the 
Philippines and Congress on matters relating to wages, incomes and productivity;
(b) 
To formulate policies and guidelines on wages, incomes and productivity 
improvement at the enterprise, industry and national levels;
(c) 
TO DETERMINE AND FIX THE INDUSTRY MINIMUM WAGE RATES AND ISSUE THE 
CORRESPONDING WAGE ORDERS THROUGH INDUSTRY BOARDS;
42


1 
(d) TO RECEIVE, PROCESS AND ACT ON APPLICATIONS FOR EXEMPTION FROM
2 
PRESCRIBED WAGE RATES AS PROVIDED BY THIS CODE;
3 
[e) To prescribe rules and guidelines for the determination of appropriate minimum
4 
wage and productivity measures at the regional, provincial, or industry levels;
5 
(f) TO ESTABLISH INDUSTRY TRIPARTITE WAGES AND PRODUCTIVITY BOARDS IN
6 
INDUSTRIES WHERE IT DEEMS APPROPRIATE;
7 
[g] To undertake studies, researches and surveys necessary for the attainment of its
8 
functions and objectives, and to collect and compile GENDER-DISAGGREGATED data
9 
and periodically disseminate information on wages, INCLUDING GENDER GAPS IN
10 
WAGES, and productivity and other related information, including, but not limited
11 
to, employment, cost-of-living, labor costs, investments and returns;
12 
(h] To review regional wage-lovcis set by PLANS AND PROGRAMS OF the Regional
13 
NATIONAL INDUSTRY Tripartite Wages and Productivity 
Boards to determine if
14 
WHETHER these are in-aecordanee consistent 
with prescribed 
guidelines and
15 
national development plans;
16 
(i) To exercise technical and administrative supervision over the Regional NATIONAL
17 
INDUSTRY Tripartite Wages and Productivity Boards;
18 
0) To call, from time to time, a national tripartite conference of representatives of
19 
government, workers and employers for the consideration of measures to promote
20 
wage rationalization and productivity; and
21 
(k) To exercise such powers and functions as may be necessary to implement this-Act
22 
ITS MANDATE UNDER THIS CODE.
23
24
25
26
27
28
29
30
31
32
33
34
The Commission shall be composed of the Secretary of Labor and Employment SOLE as 
ex-officio CHAIRmaft, the Director-General of the National Economic and Development 
Authority (NEDA) as ex-officio vice-CHAIRmaa, and two (2) members each from workers' 
and employers' sectors: PROVIDED, THAT ONE OF THE MEMBERS OF EACH WORKERS' 
AND EMPLOYERS' REPRESENTATIVES SHALL BE A WOMAN. THE WORKERS AND 
EMPLOYERS' REPRESENTATIVES shall be appointed by the President of the Philippines 
upon recommendation of the Secretary of Labor and Employment SOLE to be made on 
the basis of the list of nominees submitted by the workers' and employers' sectors, 
respectively, and who shall serve for a term of five (5) years. The Executive Director of 
the Commission shall also be a member of the Commission.
43


1
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
27
28
29
30
31
32
33
34
35
The Commission shali be assisted by a Secretariat to be headed by an Executive Director 
and two (2) Deputy Directors, who shall be appointed by the President of the Philippines, 
upon the recommendation of the Secretary of Labor and Employment SOLE.
The Executive Director shall have the same rank, salary, benefits and other emoluments 
as that of a Department Assistant Secretary, while the Deputy Directors shall have the 
same rank, salary, benefits and other emoluments as that of a Bureau Director. The 
members of the Commission representing labor and management shall have the same 
rank, emoluments, allowances and other benefits as those prescribed by law for labor 
and management representatives in the Employees' Compensation Commission. (121a)
Art. 102. Creation of Regional NATIONAL INDUSTRY Tripartite Wages and 
Productivity Boards. There is hereby created Regional Tripartite Wages- -and 
Pfoduetivtty Boards, hereinafter referred to as Regional Boards, in all regions, including
autonomous regions as-may be established-by-lawT THE COMMISSION SHALL ESTABLISH 
INDUSTRY TRIPARTITE WAGES AND PRODUCTIVnY BOARDS IN INDUSTRIES WHERE IT 
DEEMS APPROPRIATE, HEREINAFTER REFERRED TO AS THE NATIONAL INDUSTRY 
BOARDS. The Commission shall determine the offices/headquarters of the respective 
R-egional INDUSTRY Boards.
The Regional INDUSTRY Boards shall have the following powers and functions in their 
respective torritortal^tirisdictions-1N DUSTRIES:
(a) 
To develop plans, programs and projects relative to wages, incomes and 
productivity improvement for their respective regions INDUSTRIES;
(b) 
To determine and fix minimum wage rates applicable in their regions, provinces or 
industries therein and to issue the corresponding wage orders, subject to guidelines 
issued by the Commission;
(c) 
To undertake studies, researches, and surveys necessary for the attainment of their 
functions, objectives and programs, and to collect and compile data on wages, 
incomes, productivity and other related information and periodically disseminate the 
same;
(d) 
To coordinate with the other Regional INDUSTRY Boards as may be necessary to 
attain the policy and intention of this Code;
To recGivc, process and-act on applications for exemption from prescribed wage rates as
may be provided by law or any Wage Qrder-t and
44


1 
(e) To exercise such other powers and functions as may be necessary to carry out their
2 
mandate under this Code.
4 
Implementation of the plans, programs, and projects of the Regional Boards referred to
5 
in the second-paragraph, letter (a) of this Article, shall be through the respective regional
6 
offices of the Department of Labor and Employment-within-their-territorial jurisdiction;
8
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
Provided, however, That the Regional Boards shalhhave technicai supervision over the
regional office of the-Department of Labor and-Employment-with respect to the
implementation of said plans, programs and projects.
Each Regionaf INDUSTRY Board shall be composed of the Regional Dircctor--of-thc 
Department of Labor and Employment as chairman, the Regional Directors of the-National
Economic and Development Authority and the-Department of Trade and Industry as vice -
chairmen and A CHAIR WHO MUST SERVE FULL-TIME FOR A TERM OF THREE (3) YEARS. 
THE CHAIR MUST HAVE AT LEAST FIVE (5) YEARS' EXPERIENCE IN INDUSTRIAL 
RELATIONS. IN ADDITION, two (2) members each from workers' and employers' sectors 
OF THE INDUSTRY CONCERNED who shall be appointed by the President of the 
Philippines, upon the recommendation of the Secretary of babor-and Employment SOLE, 
to be made on the basis of the list of nominees submitted by the workers' and employers' 
sectors, respectively, and who shall serve for a term of five THREE (3) years.
Each Regional INDUSTRY Board to be headed by its chairman shall be assisted by a 
Secretariat. (122a)
Art. 103. Wage Order. Whenever conditions so warrant, the Regional- Board 
COMMISSION AND INDUSTRY BOARDS shall investigate and study aii pertinent facts; 
and based on the standards and criteria herein prescribed, shall proceed to determine 
whether a Wage Order should be issued. Any such Wage Order shall take effect after 
fifteen (15) days from its complete publication in at least one TWO (2) newspapers of 
general circulation fn-the-region AND A COPY SHALL BE DEPOSITED WITH THE OFFICE 
OF NATIONAL ADMINISTRATIVE REGISTER (ONAR).
In the performance of its wage-determining functions, the Regional Board COMMISSION 
AND INDUSTRY BOARDS shall conduct public hearings/consultations, giving notices to 
employees' and employers' groups, provincial, city and municipal officials and other 
interested parties.
45


1
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
27
28
29
30
31
32
33
34
35
36
Any party aggrieved by the Wage Order issued by the Regional Board INDUSTRY BOARDS 
may appeal such order to the Commission within ten (10) calendar days from the 
publication of such order. It shall be mandatory for the Commission to decide such appeal 
within sixty (60) calendar days from the filing thereof. WAGE ORDERS ISSUED, AFFIRMED 
OR MODIFIED BY THE COMMISSION SHALL NOT BE APPEALABLE.
The filing of the appeal does not stay the order unless the person appealing such order 
shall file with the Commission, an undertaking with a surety or sureties satisfactory to 
the Commission for the payment to the employees affected by the order of the 
corresponding increase, in the event such order is affirmed. (As amended by Republic Act 
No. 6727, June 9, 1989) (123a)
Art. 104. Standards/Criteria for Minimum Wage Fixing. The regional NATIONAL 
minimum wages to be established by the Regional Boards COMMISSION OR INDUSTRY 
BOARDS shall be as nearly adequate as is economically feasible to maintain the minimum 
standards of living necessary for the health, efficiency and general -well being of the
employees REALIZE THE CONSTITUTIONAL GUARANTEE OF A LIVING WAGE within the 
framework of the national economic and social development program. In the 
determination of such national minimum wage, the Regional Boards COMMISSION OR 
INDUSTRY BOARDS shall, among other relevant factors, consider the following:
(a) 
The demand for living wages;
(b) 
Wage adjustment vis-a-vis the consumer price index;
(c) 
The cost of living and changes or increases therein;
(d) 
The needs of workers and their families;
The need to induce industries to invest in the countryside;
(e) 
Improvements in standards of living;
(f) 
The prevailing wage levels;
(g) 
Fair return of the capital invested and capacity to pay of employers;
(h) 
Effects on employment generation and family income; arid
(i) 
The equitable distribution of income and wealth along the imperatives of economic 
and social development; AND
0) REGIONAL CIRCUMSTANCES, IF WARRANTED.
THE MINIMUM WAGE ISSUED BY AN INDUSTRY BOARD MAY NOT BE UNIFORM FOR 
THE INDUSTRY IF WARRANTED BY REGIONAL CIRCUMSTANCES.
46


1
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
27
28
29
30
31
32
33
34
35
36
The wages prescribed in accordance with the provisions of this Title shall be the standard 
prevailing NATIONAL minimum wages in every region. These wages may include wages 
varying with-industries provinces or localities if in the judgmont-of-the- Regional Board/
conditions-makc such local differentiation prepcr and necessary-to-effectuate-the-purpose
of this Title DEPENDING ON THE INDUSTRY.
Any Persons, company COMPANIES, corporations, partnerships or any other entity 
ENTITIES engaged in business shall file and register annually with the Commission and 
the National Statisttc-s-Qffice PHILIPPINE STATISTICS AUTHORITY, an itemized listing of 
their labor component, specifying the names of their workers and employees below the 
managerial level, including learners; apprentices and disabled/handicofiped workers 
WITH DISABILITY who were hired under the terms prescribed in the employment 
contracts, and their corresponding salaries and wages.
Where the application of any prescribed wage increase by virtue of a law or wage order 
issued by the Regional Board COMMISSION OR INDUSTRY BOARD results in distortions 
of the wage structure within an establishment, the employers and the unions shall 
negotiate to correct the distortions. Any dispute arising from wage distortions shall be 
resolved through the grievance procedure under their collective bargaining agreement 
and, if it remains unresolved, through voluntary arbitration. Unless otherwise agreed by 
the parties in writing, such dispute shall be decided by the voluntary arbitrators within 
ten (10) calendar days from the time said dispute was referred to voluntary arbitration.
In cases where there are no collective agreements or recognized labor unions, the 
employers and workers shall endeavor to correct such distortions. Any dispute arising 
therefrom shall be settled through the National Conciliation and Mediation Board and, if 
it remains unresolved after ten (10) calendar days of conciliation, shall be referred to the 
appropriate branch of the National Labor Relations Commission (NLRC) COURT OF LABOR 
RELATIONS. It shall be mandatory for the NtRG COURT OF LABOR RELATIONS to conduct 
continuous hearings and decide the dispute within twenty (20) calendar days from the 
time said dispute is submitted for compulsory arbitration.
The pendency of a dispute arising from a wage distortion shall not in any way delay the 
applicability of any increase in prescribed wage rates pursuant to the provisions of law or 
wage order.
47


1
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
27
28
29
30
31
32
33
34
35
36
As used herein, a wage distortion shall mean a situation where an increase in prescribed 
wage rates results in the elimination or severe contraction of intentional quantitative 
differences in wage or salary rates between and among employee groups in an 
establishment as to effectively obliterate the distinctions embodied in such wage structure 
based on skills, length of service, or other logical bases of differentiation.
All workers paid by result, including those who are paid on piecework, takay, pakyaw or 
task basis, shall receive not less than the prescribed wage rates per eight (8) hours of 
work a day, or a proportion for working less than eight (8) hours.
All recognized Icarncrship -end apprenticeship agreements shall be considered 
automatically modified insofar as their wage clauses are concerned to reflect the 
prescribed wage rates. (124a)
ART 105. EXEMPTION. OTHER THAN THOSE EXEMPTED BY THIS CODE, ALL 
WORKERS SHALL BE PAID THE APPLICABLE NATIONAL MINIMUM WAGE.
FINANCIALLY DISTRESSED EMPLOYERS MAY APPLY FOR EXEMPTION FROM THE 
NATIONAL MINIMUM WAGE WITH THE COMMISSION BUT ONLY FOR A NON­
EXTENDIBLE MAXIMUM PERIOD OF THREE (3) YEARS FOR EVERY INCREASE PROVIDED 
BY WAGE ORDER.
IN THE EVENT THAT APPLICATIONS FOR EXEMPTIONS ARE DENIED, THE COVERED 
EMPLOYEES SHALL RECEIVE THE APPROPRIATE DIFFERENTIAL PLUS INTEREST OF ONE 
PERCENT (1%) PER MONTH RETROACTIVE TO THE EFFECTIVITY OF THE APPROPRIATE 
WAGE ORDER, (new)
Art. 106. Freedom to Bargain. No wage order shall be construed to prevent workers 
in particular firms or enterprises or industries from bargaining for higher wages with their 
respective employers. (125)
Art. 107. Prohibition against Injunction. No preliminary or permanent injunction or 
temporary restraining order may be issued by any court, tribunal or other entity against 
any proceedings before the Commission or the Regional INDUSTRY BOARDS. (126a)
48


1
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
27
28
29
30
31
32
33
34
35
36
Art. 108. Non-Diminution of Benefits. No wage order issued by any Regional Board 
INDUSTRY BOARD shall provide for wage rates lower than the statutory minimum wage 
rates prescribed by Congress. (127a)
Chapter VII
ADMINISTRATION AND ENFORCEMENT
Art. 109. Visitorial and Enforcement Power, (a) The Secretary of Labor and 
Employment SOLE or te THEIR duly authorized representatives, including labor 
regulation officers, shall have access to employer's records and premises at any time of 
the day or night whenever work is being undertaken therein, and the right to copy 
therefrom, to question any employee and investigate any fact, condition or matter which 
may be necessary to determine violations or which may aid in the enforcement of this 
Code and of any labor law, wage order or rules and regulations issued pursuant thereto.
(b) Notwithstanding the provisions of Articles 120 and 217 110 AND 210 of this Code to 
the contrary, and in cases where the relationship of employer-employee still exists, the 
SOLE or his THEIR duly authorized representatives shall have the power to issue 
compliance orders to give effect to the labor standards provisions of this Code and other 
labor legislation based on the findings of labor employment and enforcement officers or 
industrial safety engineers made in the course of inspection. The Secretary SOLE or his 
THEIR duly authorized representatives shall issue writs of execution to the appropriate 
authority for the enforcement of their orders, except in cases where the employer 
contests the findings of the labor employment and enforcement officer and raises issues 
supported by documentary proofs which were not considered in the course of inspection. 
WHERE AN ISSUE ON THE EXISTENCE OF AN EMPLOYER-EMPLOYEE RELATIONSHIP IS 
RAISED, HOWEVER, THE SOLE HAS THE POWER TO DETERMINE IN THE INTERIM THE 
EMPLOYER-EMPLOYEE RELATIONSHIP AND FROM THERE TO DECIDE WHETHER OR 
NOT TO ISSUE COMPLIANCE ORDERS, SUBJECT TO JUDICIAL REVIEW.
An order Issued by the duly authorized representative of the Secretary of Labor and 
Employment SOLE under this Article may be appealed to the latter. In case said order 
involves a monetary award, an appeal by the employer may be perfected only upon the 
posting of a cash or surety bond issued by a reputable bonding company duly accredited 
by the Secretary of Labor and Employment SOLE in the amount equivalent to the 
monetary award in the order appealed from.
49


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22 
23
25
26
27
28
29
30
31
32
33
34
35
36
(c) The Secretory of Labor and Employment SOLE may likewise order stoppage of work 
or suspension of operations of any unit or department of an establishment when non- 
compliance with the law or implementing rules and regulations poses grave and imminent 
danger to the health and safety of workers in the workplace OR TO OTHER PERSONS. 
Within twenty-four (24) hours, a hearing shall be conducted to determine whether an 
order for the stoppage of work or suspension of operations shall be lifted or not. In case 
the violation is attributable to the fault of the employer, be THE EMPLOYER shall pay the 
employees concerned their salaries, et^wages AND ALL OTHER BENEFITS during the 
period of such stoppage of work or suspension of operation.
(d) It shall be unlawful for any person or entity to obstruct, impede, delay or otherwise 
render ineffective the orders of the Secretory of Labor and Employment SOLE or bts 
THEIR duly authorized representatives issued pursuant to the authority granted under 
this Article, and no inferior LOWER court or entity shall issue temporary or permanent 
injunction or restraining order or otherwise assume jurisdiction over any case involving 
the enforcement orders issued in accordance with this Article.
(e) Any government employee found guilty of violation of, or abuse of authority, under 
this Article shall, after appropriate administrative investigation, be subject to summary 
dismissal from the service, WITHOUT PREJUDICE TO THE FILING OF APPROPRIATE 
CRIMINAL AND CIVIL CASES.
24 
(f) The Secretary of Labor and Employment may, by appropriate regulations, require
Employers SHALL, FOR A PERIOD OF FIVE (5) YEARS, to keep and maintain seeh 
empioyment records as may bo necessary in aid of btsTHE visitorial and enforcement 
powers under this Code OF THE SOLE. (128a)
Art. 110. Recovery of Wages, Simple Money Claims and Other Benefits. Upon 
complaint of any interested party, the Regionai Director of the Department of Labor arid 
EmploymentDOLE or any of the duly authorized hearing officers of the Department is 
empowered, through summary proceeding and after due notice, to hear and decide any 
matter involving the recovery of wages and other monetary claims and benefits, inciuding 
legal interest, owing to an employee or person employed in domestic or household service 
or houschclper under this Code, arising from employer-employee relations: Provided, 
That such complaint does not include a claim for reinstatement: Provided further, That
50


1
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
27
28
29
30
31
32
33
34
35
36
the aggregate money claims of each employee or houschclpcr does not exceed Five 
thousand pesos (PS.OOO.OO) TWENTY-FIVE THOUSAND PESOS (P25/000.00). The 
Regional Director or hearing officer shall decide or resolve the complaint within thirty (30) 
calendar days from the date of the filing of the same. Any sum thus recovered on behalf 
of afiy employees or houschclpcr pursuant to this Article shall be held in a special deposit 
account by, and shall be paid on order of, the Secretary of Labor and Employment SOLE 
or the Regional Director directly to the employees or houschclper concerned. Any such 
sum not paid to the employees or houschclpcr because be THEY cannot be located after 
diligent and reasonable effort to locate him THEM within a period of three (3) years, shall 
be held as a special fund of the Department of Labor-and Employmcnt-DQLE to be used 
exclusively for the amelioration and benefit of workers.
Any decision or resolution of the Regional Director or hearing officer pursuant to this 
provision may be appealed on the-safrie-FOLLOWING grounds:
(A) 
IF THERE IS PRIMA FACIE EVIDENCE OF ABUSE OF DISCRETION ON THE PART OF 
THE REGIONAL DIRECTOR OR HEARING OFFICER;
(B) 
IF THE DECISION, ORDER OR AWARD WAS SECURED THROUGH FRAUD OR 
COERCION, INCLUDING GRAFT AND CORRUPTION;
(C) 
IF MADE PURELY ON QUESTIONS 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.
provided In Article-223 of this Code,- THE APPEAL SHALL BE FILED within five (5) calendar 
days from receipt of a copy of said decision or resolution, to the National Labor Relations 
Commission COURT OF LABOR RELATIONS which shall resolve the appeal within ten (10) 
calendar days from the submission of the last pleading required or allowed under its rules.
The Secretary of Labor and Employment SOLE or h+s THE duly authorized representative 
may supervise the payment of unpaid wages and other monetary claims and benefits, 
including legal interest, found owing to any employees. (129a)
Title III
51


1 
WORKING CONDITIONS FOR SPECIAL GROUPS OF EMPLOYEES WORKERS
2
3 
Chapter I
4 
EMPLOYMENT OF WOMEN CHILDREN
5
6 
Art. 111. Minimum Employable Age.
7 
(a) No child (1) CHILDREN below fifteen (15) years of age shall NOT be employed, except
8 
when he THEY works directly under the sole responsibility of his THEIR parents or
9 
guardian and WHERE ONLY MEMBERS OF THE EMPLOYER'S FAMILY ARE
10 
EMPLOYED; PROVIDED, THAT THEIR EMPLOYMENT NEITHER ENDANGERS THEIR
11 
LIFE, SAFETY, HEALTH AND MORALS, NOR IMPAIRS THEIR NORMAL
12 
DEVELOPMENT: PROVIDED, FURTHER, THAT THE PARENT OR GUARDIAN SHALL
13 
PROVIDE THE SAID CHILDREN WITH THE PRESCRIBED PRIMARY AND SECONDARY
14 
EDUCATION; PROVIDED, FINALLY, THAT his THEIR employment does not in any
15 
way interfere with his THEIR schooling.
16 
(2) CHILDREN BELOW FIFTEEN (15) YEARS OF AGE MAY BE EMPLOYED IN PUBLIC
17 
ENTERTAINMENT OR INFORMATION THROUGH CINEMA, THEATER, RADIO,
18 
TELEVISION OR OTHER MEDIA WHERE IT IS ESSENTIAL: PROVIDED, THE
19 
EMPLOYMENT CONTRACT IS CONCLUDED BY THE CHILDREN'S PARENTS OR LEGAL
20 
GUARDIAN, WITH THE EXPRESS AGREEMENT OF THE CHILDREN CONCERNED, IF
21 
POSSIBLE, AND THE APPROVAL OF THE DOLE: AND PROVIDED, THAT THE
22 
FOLLOWING REQUIREMENTS IN ALL INSTANCES ARE STRICTLY COMPLIED WITH:
23 
(a) THE EMPLOYER SHALL ENSURE THE PROTECTION, HEALTH, SAFETY, MORALS
24 
AND NORMAL DEVELOPMENT OF THE CHILD;
25 
(b) THE EMPLOYER SHALL INSTITUTE MEASURES TO PREVENT THE CHILD'S
26 
EXPLOITATION OR DISCRIMINATION TAKING INTO ACCOUNT THE SYSTEM
27 
AND LEVEL OF REMUNERATION, AND THE DURATION AND ARRANGEMENT OF
28 
WORKING TIME; AND
29 
(c) THE EMPLOYER SHALL FORMULATE AND IMPLEMENT, SUBJECT TO THE
30 
APPROVAL AND SUPERVISION OF COMPETENT AUTHORITIES, A CONTINUING
31 
PROGRAM FOR TRAINING AND SKILLS ACQUISITION OF THE CHILD.
32 
(3) CHILDREN BELOW EIGHTEEN (18) YEARS OF AGE MAY BE EMPLOYED AS MODELS
33 
IN COMMERCIALS OR ADVERTISEMENTS, PROVIDED, THAT CHILDREN SHALL NOT
34 
APPEAR IN COMMERCIALS OR ADVERTISEMENTS PROMOTING ALCOHOLIC
35 
BEVERAGES, INTOXICATING DRINKS, TOBACCO AND ITS BYPRODUCTS AND
36 
VIOLENCE.
52


1
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
27
28
29
30
31
32
33
34
35
IN THE EXCEPTIONAL CASES IN PARAGRAPHS 2 AND 3, WHERE SUCH CHILDREN 
MAY BE EMPLOYED, EMPLOYERS SHALL FIRST SECURE, BEFORE ENGAGING SUCH 
CHILDREN, A WORK PERMIT FROM THE DOLE WHICH SHALL ENSURE OBSERVANCE 
OF THE ABOVE REQUIREMENTS.
THE DOLE SHALL PROMULGATE RULES AND REGULATIONS NECESSARY FOR THE 
EFFECTIVE IMPLEMENTATION OF THIS SECTION.
(b) (4) Any person fifteen (15) and BELOW eighteen (18) years of age may be employed 
for such number of hours and such periods of the day as determined by the 
Secretary of Labor-and Employment in appropriate regulations PURSUANT TO 
REPUBLIC ACT NO. 9231.
(e) The foregoing provisions shall in no case allow the employment of a person below 
eighteen (18) years of age in an undertaking which is hazardous or deleterious in nature 
as determined by the Secretary of Labor and Employment CONSIDERED AS WORST 
FORMS OF CHILD LABOR UNDER REPUBLIC ACT NO. 9231. (137a)
Chapter II
EMPLOYMENT OF DOMESTIC WORKERS
ART. 112. NON-APPLICABILITY TO DOMESTIC WORKERS. DOMESTIC WORKERS 
SHALL BE COVERED BY R.A. NO. 10361. (new)
Chapter III
EMPLOYMENT OF HOMEWORKERS
ART. 113. Coverage. This CHAPTER shall apply to persons who perform industrial 
homework for employers, OR contractors, (new)
ART. 114. DEFINITIONS. AS USED IN THIS CHAPTER, THE FOLLOWING TERMS SHALL 
HAVE THE MEANINGS INDICATED HEREUNDER:
(a) "INDUSTRIAL HOMEWORK' IS A SYSTEM OF PRODUCTION UNDER WHICH WORK 
FOR EMPLOYERS OR CONTRACTORS IS CARRIED OUT BY HOMEWORKERS AT 
THEIR HOME. MATERIALS MAY OR MAY NOT BE FURNISHED BY THE EMPLOYERS
53


1 
OR CONTRACTORS. IT DIFFERS FROM REGULAR FACTORY PRODUCTION
2 
PRINCIPALLY IN THAT, IT IS A DECENTRALIZED FORM OF PRODUCTION..
3 
(b] "INDUSTRIAL HOMEWORKER' MEANS WORKERS ENGAGED IN INDUSTRIAL
4 
HOMEWORK.
5 
(c) "HOME' MEANS ANY ROOM, HOUSE, APARTMENT OR OTHER PREMISES USED
6 
REGULARLY, IN WHOLE OR IN PART, AS DWELLING PLACE, EXCEPT THOSE
7 
SITUATED WITHIN THE PREMISES OR COMPOUND OF EMPLOYERS OR
8 
CONTRACTORS AND THE WORK PERFORMED THEREIN IS UNDER THE ACTIVE OR
9 
PERSONAL SUPERVISION BY OR FOR THE LATTER.
10 
(d) "EMPLOYERS' ARE NATURAL OR ARTIFICIAL PERSONS WHO, FOR THEIR OWN
11 
ACCOUNT OR BENEFIT, OR ON BEHALF OF ANY PERSON RESIDING OUTSIDE THE
12 
PHILIPPINES, DIRECTLY OR INDIRECTLY, OR THROUGH ANY EMPLOYEE, AGENT,
13 
OR ANY OTHER PERSON:
14 
(1) DELIVER OR CAUSE TO BE DELIVERED ANY GOODS, ARTICLES OR MATERIALS
15 
TO BE PROCESSED OR FABRICATED IN OR ABOUT A HOME AND THEREAFTER
16 
TO BE RETURNED OR TO BE DISPOSED OF OR DISTRIBUTED IN ACCORDANCE
17 
WITH THEIR DIRECTION; OR
18 
(2) SELL ANY GOODS, ARTICLES OR MATERIALS FOR THE PURPOSE OF HAVING
19 
SUCH GOODS OR ARTICLES PROCESSED IN OR ABOUT A HOME AND THEN
20 
REPURCHASES THEM THEMSELVES OR THROUGH ANOTHER AFTER SUCH
21 
PROCESSING.
22 
(e) "CONTRACTOR' REFERS TO AN ARRANGEMENT WHEREBY A PRINCIPAL AGREES TO
23 
FARM OUTTO A CONTRACTORTHE PERFORMANCE OR COMPLETION OF A SPECIFIC
24 
JOB OR WORK WITHIN A DEFINITE OR PREDETERMINED PERIOD, REGARDLESS OF
25 
WHETHER SUCH JOB OR WORK IS TO BE PERFORMED OR COMPLETED WITHIN OR
26 
OUTSIDE THE PREMISES OF THE PRINCIPAL.
27 
(0 "PROCESSING' MEANS MANUFACTURING, FABRICATING, FINISHING, REPAIRING,
28 
ALTERING, PACKING, WRAPPING OR HANDLING IN ANY WAY CONNECTED WITH
29 
THE PRODUCTION OR PREPARATION OF AN ARTICLE OR MATERIAL.
30 
(g) "DEPARTMENT' MEANS THE DEPARTMENT OF LABOR AND EMPLOYMENT, (new)
31
32 
ART. 115. SELF-ORGANIZATION. HOMEWORKERS SHALL HAVE THE RIGHTTO FORM,
33 
JOIN OR ASSIST ORGANIZATIONS OF THEIR OWN CHOOSING, IN ACCORDANCE WITH
34 
LAW. (new)
35
54


1
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
27
28
29
30
31
32
33
34
35
36
ART. 116. REGISTRATION OF HOMEWORKERS' ORGANIZATION. ANY
APPLICANT HOMEWORKER ORGANIZATION OR ASSOCIATION SHALL ACQUIRE LEGAL 
PERSONALITY, AND SHALL BE ENTITLED TO THE RIGHTS AND PRIVILEGES GRANTED 
BY LAW TO LEGITIMATE LABOR ORGANIZATIONS UPON ISSUANCE OF THE 
CERTIFICATE OF REGISTRATION BASED ON THE FOLLOWING REQUIREMENTS:
(a] 
PAYMENT OF REGISTRATION FEE AS DETERMINED BY THE DEPARTMENT;
(b] 
THE NAMES OF ITS OFFICERS, THEIR ADDRESSES, THE PRINCIPAL ADDRESS OF 
THE HOMEWORKERS ORGANIZATION, THE MINUTES OF THE ORGANIZATIONAL 
MEETINGS AND THE LIST OF WORKERS WHO PARTICIPATED IN SUCH MEETINGS;
(c] 
THE NAMES OF ALL ITS MEMBERS COMPRISING AT LEAST TWENTY PERCENT 
(20%) OF ALL THE WORKERS IN THE BARGAINING UNIT WHERE IT SEEKS TO 
OPERATE, IF APPLICABLE;
(d] 
IF THE APPLICANT HAS BEEN IN EXISTENCE FOR ONE OR MORE YEARS, COPIES 
OF ITS ANNUAL FINANCIAL REPORTS; AND
(e] 
FOUR COPIES OF THE CONSTITUTION AND BY-LAWS OF THE APPLICANT 
ORGANIZATION, THE MINUTES OF ITS ADOPTION OR RATIFICATION AND THE 
LIST OF MEMBERS WHO PARTICIPATED IN IT. (new)
ART. 117. REGISTRATION OF EMPLOYERS AND CONTRACTORS. THE
DEPARTMENT SHALL, AS SOON AS POSSIBLE, CONDUCT CONSULTATION MEETINGS 
WITH GOVERNMENT AGENCIES REQUIRING REGISTRATION OF EMPLOYERS AND 
DETERMINE IF THE DATA BEING SUPPLIED BY THE REGISTRATION FORMS OF SUCH 
AGENCIES ARE THE SAME AS OR SIMILAR TO THOSE NEEDED BY THE DEPARTMENT IN 
THE IMPLEMENTATION OF THIS REGULATIONS. IF THE REGISTRATION FORMS OF 
OTHER AGENCIES DO NOT PROVIDE THE DATA NEEDED BY DOLE, IT SHALL INQUIRE 
INTO THE POSSIBILITY OF ADOPTING A COMMON REGISTRATION FORM WITH OTHER 
AGENCIES THAT WILL PROVIDE THE DATA NEEDED BY ALL THE AGENCIES 
CONCERNED.
IN THE CASE OF CONTRACTORS. HOWEVER. THE REGISTRATION SHALL BE PURSUANT
TO DOLE D.O. No. 174-17. (new)
ART. 118. PAYMENT FOR HOMEWORK. IMMEDIATELY UPON RECEIPT OF THE 
FINISHED GOODS OR ARTICLES, EMPLOYERS SHALL PAY THE HOMEWORKER OR THE 
CONTRACTOR, AS THE CASE MAY BE, FOR THE WORK PERFORMED LESS 
CORRESPONDING HOMEWORKERS' SHARE OF SSS, THE PHILIPPINE HEALTH
55


1
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
27
28
29
30
31
32
33
34
35
INSURANCE CORPORATION (PHILHEALTH), AND THE HOME DEVELOPMENT MUTUAL 
FUND OR PAG-IBIG, AND ECC PREMIUM CONTRIBUTIONS WHICH SHALL BE REMITTED 
BY THE EMPLOYERS OR CONTRACTORS TO THE APPROPRIATE AGENCIES WITH THE 
EMPLOYERS' SHARE. HOWEVER, WHERE PAYMENT IS MADE TO A CONTRACTOR, THE 
HOMEWORKER SHALL LIKEWISE BE PAID IMMEDIATELY AFTER THE GOODS OR 
ARTICLES HAVE BEEN COLLECTED FROM THE WORKERS, (new)
ART. 119. STANDARD RATES. AT THE INITIATIVE OF THE DEPARTMENT OR UPON 
PETITION OF ANY INTERESTED PARTY, THE SOLE OR THEIR AUTHORIZED 
REPRESENTATIVE SHALL ESTABLISH THE STANDARD OUTPUT RATE OR STANDARD 
MINIMUM RATE IN APPROPRIATE ORDERS FOR THE PARTICULAR WORK OR 
PROCESSING TO BE PERFORMED BY THE HOMEWORKERS.
THE STANDARD OUTPUT RATES OR PIECE RATES SHALL BE DETERMINED THROUGH 
ANY OF THE FOLLOWING PROCEDURES:
(A) 
TIME AND MOTION STUDIES;
(B) 
AN INDIVIDUAL/COLLECTIVE AGREEMENT BETWEEN EMPLOYERS AND WORKERS 
AS APPROVED BY THE SOLE OR THEIR AUTHORIZED REPRESENTATIVE;
(C) 
CONSULTATION WITH REPRESENTATIVES OF EMPLOYERS AND WORKERS 
ORGANIZATIONS IN A TRIPARTITE CONFERENCE CALLED BY THE SOLE.
THE TIME AND MOTION STUDIES SHALL BE UNDERTAKEN BY THE REGIONAL OFFICE 
HAVING JURISDICTION OVER THE LOCATION OF THE PREMISES USED REGULARLY BY 
THE HOMEWORKERS. HOWEVER, WHERE THE JOB OPERATION OR ACTIVITY IS BEING 
LIKEWISE PERFORMED BY REGULAR FACTORY WORKERS AT THE FACTORY OR 
PREMISES OF EMPLOYERS, THE TIME AND MOTION STUDIES SHALL BE CONDUCTED 
BY THE REGIONAL OFFICE HAVING JURISDICTION OVER THE LOCATION OF THE MAIN 
UNDERTAKING OR BUSINESS OF EMPLOYERS. PIECE RATES ESTABLISHED THROUGH 
TIME AND MOTION STUDIES CONDUCTED AT THE FACTORY OR MAIN UNDERTAKING 
OF THE EMPLOYER SHALL BE APPLICABLE TO THE HOMEWORKERS PERFORMING THE 
SAME JOB ACTIVITY. THE STANDARD PIECE RATE SHALL BE ISSUED BY THE REGIONAL 
OFFICE WITHIN ONE MONTH AFTER A REQUEST HAS BEEN MADE AT SAID OFFICE.
UPON REQUEST OF THE REGIONAL OFFICE, THE BUREAU OF WORKING CONDITIONS 
SHALL PROVIDE ASSISTANCE IN THE CONDUCT OF SUCH STUDIES. NON-COMPLIANCE
56


1
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
27
28
29
30
31
32
33
34
35
36
WITH THE ESTABLISHED STANDARD RATES CAN BE THE SUBJECT OF COMPLAINT 
WHICH SHALL BE FILED AT THE REGIONAL OFFICE, (new)
ART. 120. DEDUCTIONS. EMPLOYERS OR CONTRACTORS SHALL NOT MAKE ANY 
DEDUCTION FROM HOMEWORKERS' EARNINGS FOR THE VALUE OF MATERIALS WHICH 
HAVE BEEN LOST, DESTROYED, SOILED OR OTHERWISE DAMAGED UNLESS THE 
FOLLOWING CONDITIONS ARE MET:
(a) 
THE HOMEWORKERS CONCERNED ARE CLEARLY SHOWN TO BE RESPONSIBLE 
FOR THE LOSS OR DAMAGE;
(b) 
THE HOMEWORKERS ARE GIVEN REASONABLE OPPORTUNITY TO SHOW CAUSE 
WHY DEDUCTIONS SHOULD NOT BE MADE;
(c) 
THE AMOUNT OF SUCH DEDUCTION IS FAIR AND REASONABLE AND SHALL NOT 
EXCEED THE ACTUAL LOSS OR DAMAGE; AND
(d) 
THE DEDUCTION IS MADE AT SUCH RATE THAT THE AMOUNT DEDUCTED DOES 
NOT EXCEED TWENTY PERCENT (20%) OF THE HOMEWORKER'S EARNINGS IN A 
WEEK, (new)
ART. 121. CONDITIONS FOR PAYMENT OF WORK.
(a) 
EMPLOYERS MAY REQUIRE HOMEWORKERS TO REDO THE WORK WHICH HAS 
BEEN IMPROPERLY EXECUTED WITHOUT HAVING TO PAY THE STIPULATED RATE 
AGAIN.
(b) 
EMPLOYERS OR CONTRACTORS NEED NOT PAY HOMEWORKERS FOR ANY WORK 
WHICH HAS BEEN DONE ON GOODS AND ARTICLES WHICH HAVE BEEN 
RETURNED FOR REASONS ATTRIBUTABLE TO THE FAULT OF THE HOMEWORKER, 
(new)
ART. 122. VISITORIAL AND ENFORCEMENT POWER. THE REGIONAL DIRECTOR 
IN ACCORDANCE WITH ART. 109 SHALL HAVE THE POWER TO ORDER AND ADMINISTER 
COMPLIANCE WITH THE PROVISIONS OF THE LAW AND REGULATIONS AFFECTING THE 
TERMS AND CONDITIONS OF EMPLOYMENT OF HOMEWORKERS AND SHALL HAVE THE 
JURISDICTION IN CASES INVOLVING VIOLATIONS OF THIS CODE, ANY LABOR LAW, 
WAGE ORDER OR RULES AND REGULATIONS ISSUED PURSUANT TO THIS ARTICLE.
COMPLAINTS FOR VIOLATIONS OF LABOR STANDARDS AND THE TERMS AND 
CONDITIONS OF EMPLOYMENT INVOLVING MONEY CLAIMS OF HOMEWORKERS IN AN 
AMOUNT OF NOT MORE THAN FIVE THOUSAND PESOS (P5,000.00) PER HOMEWORKER
57


1
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
27
28
29
30
31
32
33
34
35
36
SHALL BE HEARD AND DECIDED BY THE REGIONAL DIRECTOR PURSUANT TO ART. 110. 
(new)
ART. 123. DUTIES OF EMPLOYERS AND CONTRACTORS. WHENEVER EMPLOYERS 
CONTRACT WITH ANOTHER FOR THE PERFORMANCE OF THE EMPLOYER'S WORK, IT 
SHALL BE THE DUTY OF SUCH EMPLOYERS TO PROVIDE IN SUCH CONTRACT THAT THE 
EMPLOYEES OR HOMEWORKERS OF THE CONTRACTOR SHALL BE PAID IN 
ACCORDANCE WITH THE PROVISIONS OF THIS CODE. IN THE EVENT THAT THE 
CONTRACTORS FAIL TO PAY THE WAGES OR EARNINGS OF THEIR EMPLOYEES OR 
HOMEWORKERS AS SPECIFIED IN THIS RULE, SUCH EMPLOYERS SHALL BE JOINTLY 
AND SEVERALLY LIABLE WITH THE CONTRACTORS TO THE WORKERS OF THE LATTER, 
TO THE EXTENT THAT SUCH WORK IS PERFORMED UNDER SUCH CONTRACT, IN THE 
SAME MANNER AS IF THE EMPLOYEES OR HOMEWORKERS WERE DIRECTLY ENGAGED 
BY THE EMPLOYERS. THE EMPLOYERS, OR CONTRACTORS, AS THE CASE MAY BE, 
SHALL ASSIST THE HOMEWORKERS IN THE MAINTENANCE OF BASIC SAFE AND 
HEALTHFUL WORKING CONDITIONS AT THE HOMEWORKERS' PLACE OF WORK, (new)
ART. 124. EMPLOYMENT OF CHILDREN AS HOMEWORKERS. THE PROVISIONS 
GOVERNING THE EMPLOYMENT OF MINORS UNDER THIS CODE AS WELL AS THE 
PROVISIONS ON WORKING CHILDREN UNDER REPUBLIC ACT NO. 9231 SHALL GOVERN 
THE EMPLOYMENT OF CHILDREN AS HOMEWORKERS, (new)
ART. 125. PROHIBITIONS FOR HOMEWORK. NO HOMEWORK SHALL BE 
PERFORMED ON THE FOLLOWING:
(1) 
EXPLOSIVES, FIREWORKS AND ARTICLES OF LIKE CHARACTER;
(2) 
DRUGS AND POISONS; AND
(3) 
OTHER ARTICLES, THE PROCESSING OF WHICH REQUIRES EXPOSURE TO TOXIC 
SUBSTANCES, (new)
ART. 126. ASSISTANCE TO REGISTERED HOMEWORKERS' ORGANIZATIONS, 
EMPLOYERS, AND CONTRACTORS. THE REGIONAL OFFICE SHALL PROVIDE 
TECHNICAL ASSISTANCE TO REGISTERED HOMEWORKERS' ORGANIZATIONS, 
EMPLOYERS, AND CONTRACTORS RELATIVE TO THE FOLLOWING:
(a) 
INFORMATION ON WAGES AND OTHER BENEFITS;
(b) 
CONDUCT OF TIME AND MOTION STUDIES TO ENSURE FAIR AND REASONABLE 
OUTPUT RATES;
58


1
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
27
28
29
30
31
32
33
34
35
36
(c) 
SKILLSTRAINING;
(d) 
MAINTENANCE OF SAFE AND HEALTHFUL CONDITIONS AT THE WORKPLACE.
(e) 
INFORMATION ON ENTITLEMENT TO SOCIAL SECURITY AND EMPLOYEES' 
COMPENSATION BENEFITS;
(f) 
FACILITATION OF LOANS WITH GOVERNMENT AND NON-GOVERNMENT FINANCIAL 
INSTITUTIONS; AND
(g) 
INFORMATION ON HOW TO AVAIL THEMSELVES OF HOUSING PROGRAMS UNDER 
PAG-IBIG. (new)
Chapter IV
EMPLOYMENT OF NIGHT WORKERS
Art. 127. Coverage. This chapter shall apply to all persons, who shall be employed or 
permitted or suffered to work at night, except those employed In agriculture, stock 
raising, fishing, maritime transport and inland navigation, during a period of not less than 
seven (7) consecutive hours, including the interval from midnight to five o'clock in the 
morning, to be determined by the Secretary-of Labor-and Employment SOLE, after 
consulting the workers' representatives/labor organizations and employers.
'Night worker' means any employed person whose work requires performance of a 
substantial number of hours of night work which exceeds a specified limit. This limit shall 
be fixed by the Secrotary-of Labor and Employment SOLE after consulting the workers' 
representatives/labor organizations and employers. (154a)
Art. 128. Health Assessment. At their request, workers shall have the right to undergo 
a health assessment without charge and to receive advice on how to reduce or avoid 
health problems associated with their work:
(a) 
Before taking up an assignment as night workers;
(b) 
At regular intervals during such an assignment; and
(c) 
If they experience health problems during such, an assignment which are not 
caused by factors other than the performance of night work.
With the exception of a finding of unfitness for night work, the findings of such 
assessments shall not be transmitted to others without the workers' consent and shall 
not be used to their detriment. (155)
59


1
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
27
28
29
30
31
32
33
34
35
36
Art. 129. Mandatory Facilities. Suitable first-aid facilities shall be made available for 
workers performing night work, including arrangements where such workers, where 
necessary, can be taken immediately to a place for appropriate treatment. The employers 
are likewise required to provide safe and healthful working conditions, sleeping or resting 
quarters in the establishment, and transportation from the work premises to the nearest 
point of their residence subjcct-to- exceptions and guidelines to-be AND SUCH OTHER 
ADEQUATE OR REASONABLE FACILITIES AS MAY BE provided by the DOLE. (156a)
Art. 130. Transfer. Night workers who are certified as unfit for night work, due to health 
reasons, shall be transferred, whenever practicable, to a similar job for which they are fit 
to work.
If such transfer to a similar job is not practicable, these workers shall be granted the 
same benefits as other workers who are unable to work, or to secure employment during 
such period.
A Night workers certified as temporarily unfit for night work shall be given the same 
protection against dismissal or notice of dismissal as other workers who are prevented 
from working for reasons of health. (157a)
Art. 131. Women Night Workers. Measures shall be taken to ensure that an 
alternative to night work is available to women workers who would otherwise be called 
upon to perform such work:
(a) 
Before and after childbirth, for a period of at least sixteen (16) weeks, which shall 
be divided between the time before and after childbirth;
(b) 
For additional periods, in respect of which a medical certificate is produced stating 
that said additional periods are necessary for the health of the mother or child:
(1) 
During pregnancy;
(2) 
During a specified time beyond the period, after childbirth is fixed pursuant to 
subparagraph (a) above, the length of which shall be determined by the DOLE 
after consulting the labor organizations and employers.
During the periods referred to in this article:
(1) A woman worker WOMEN WORKERS shall not be dismissed or given notice of 
dismissal, except for just or authorized causes provided for In this Code that are not 
connected with pregnancy, childbirth and childcare responsibilities.
60


1 
(2] A woman worker-WOMEN WORKERS shall not lose the benefits regarding ber THEIR
2 
status, seniority, and access to promotion which may attach to ber THEIR regular
3 
night work position.
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
Pregnant women and nursing mothers may be allowed to work at night only if a 
competent physician, other than the company physician, shall certify their fitness to 
render night work, and specify, in the case of pregnant employees, the period of the 
pregnancy that they can safely work.
The measures referred to in this article may include transfer to day work where this is 
possible, the provision of social security benefits or an extension of maternity leave.
The provisions of this article shall not leave the effect of reducing the protection and 
benefits connected with maternity leave under existing laws. (158a)
Art. 132. Compensation. The compensation for night workers in the form of working 
time, pay or similar benefits shall recognize the exceptional nature of night work. (159)
Art. 133. Social Services. Appropriate social services shall be provided for night 
workers and, where necessary, for workers performing night work. (160)
Art. 134. Night Work Schedules. Before introducing work schedules requiring the 
services of night workers, the employer EMPLOYERS shall consult the workers' 
representatives/labor organizations concerned on the details of such schedules and the 
forms of organization of night work that are best adapted to the establishment and its 
personnel, as well as on the occupational health measures and social services which are 
required. In establishments employing night workers, consultation shall take place 
regularly. (161a)
Chapter V
Handicapped Workers EMPLOYMENT OF WORKERS WITH DISABILITIES 
Art. 135. Definition OF TERMS. Handicapped workers arc those whose carnln§ 
capacity is impoired by age-e^physical or mcntol deficiency or injury. FOR PURPOSES OF 
THIS ACT, THESE TERMS ARE DEFINED AS FOLLOWS:
61


1
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
27
28
29
30
31
32
33
34
35
(a) 
DISABLED PERSONS^' WORKERS WITH DISABILITY' ARE THOSE SUFFERING FROM 
RESTRICTION OF DIFFERENT ABILITIES, AS A RESULT OF A MENTAL, PHYSICAL 
OR SENSORY IMPAIRMENT, TO PERFORM AN ACTIVITY IN THE MANNER OR 
WITHIN THE RANGE CONSIDERED NORMAL FOR A HUMAN BEING;
(b) 
IMPAIRMENT IS ANY LOSS, DIMINUTION OR ABERRATION OF PSYCHOLOGICAL, 
PHYSIOLOGICAL, OR ANATOMICAL STRUCTURE OR FUNCTION;
(c) 
yyDISABILITY' IS A CONDITION WHICH SHALL MEAN (1) AN PHYSICAL OR MENTAL 
IMPAIRMENT THAT SUBSTANTIALLY LIMITS ONE OR MORE PSYCHOLOGICAL, 
PHYSIOLOGICAL OR ANATOMICAL FUNCTION OF AN INDIVIDUAL OR ACTIVITIES 
OF SUCH INDIVIDUAL; (2) A RECORD OF SUCH AN IMPAIRMENT; OR (3) BEING 
REGARDED AS HAVING SUCH AN IMPAIRMENT;
(d) 
yyHANDICAP' REFERS TO A DISADVANTAGE FOR A GIVEN INDIVIDUAL RESULTING 
FROM AN IMPAIRMENT, THAT LIMITS OR PREVENTS THE FUNCTIONS OR 
ACTIVITY, THAT IS CONSIDERED NORMAL GIVEN THE AGE, SEX AND GENDER OF 
THE INDIVIDUAL. (78a)
ART. 136. EQUAL OPPORTUNITY FOR EMPLOYMENT. NO PERSON-WORKER WITH 
DISABILITY SHALL BE DENIED ACCESS TO OPPORTUNITIES FOR SUITABLE 
EMPLOYMENT. A-QUALIFIED EMPLOYEES WITH DISABILITY SHALL BE SUBJECTED TO 
THE SAME TERMS AND CONDITIONS OF EMPLOYMENT, AND THE SAME 
COMPENSATION, PRIVILEGES, BENEFITS, FRINGE BENEFITS, INCENTIVES OR
ALLOWANCES AS A QUALIFIED ABLE BODIED PERSON TAKING INTO CONSIDERATION 
THE CONCEPT OF UNIVERSAL DESIGN AS DEFINED BY THE UNITED NATIONS
CONVENTION ON THE RIGHTS OF PERSONS WITH DISABILITY.
QUALIFIED WORKERS WITH DISABILIPt^ SHALL MEAN INDIVIDUALS WITH DISABILITY
WHO WITH REASONABLE ACCOMMODATIONS CAN PERFORM THE ESSENTIAL
FUNCTIONS OF THE EMPLOYMENT POSITION THAT SUCH INDIVIDUALS HOLD OR
DESIRE. EMPLOYERS SHALL BE REQUIRED TO PREPARE A WRITTEN DESCRIPTION OF
ESSENTIAL FUNCTIONS OF THE JOB AND ADVERTISE THE SAME WHICH SHALL BE THE
BASIS FOR SELECTION AND HIRING OF APPLICANTS.
AT LEAST ONE PERCENT (1%) OF ALL POSITIONS IN ALL GOVERNMENT AGENCIES, 
OFFICES OR CORPORATIONS SHALL BE RESERVED FOR PERSONS-WORKERS WITH 
DISABILITY: PROVIDED, THAT PRIVATE CORPORATIONS WITH MORE THAN ONE
62


1
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
27
28
29
30
31
32
33
34
35
36
HUNDRED (100) EMPLOYEES ARE ENCOURAGED TO RESERVE AT LEAST ONE PERCENT 
(1%) OF ALL POSITIONS FOR PERSONS WITH DISABILITY.
FOR PURPOSES OF THIS ARTICLE. PERSONS WITH DISABILITIES INCLUDE THOSE WHO
HAVE LONG-TERM PHYSICAL. MENTAL. INTELLECTUAL. OR SENSORY IMPAIRMENTS
WHICH IN INTERACTION WITH VARIOUS BARRIERS MAY HINDER THEIR FULL AND
EFFECTIVE PARTICIPATION IN SOCIETY ON AN EQUAL BASIS WITH OTHERS.
PERSONS WITH DISABILITIES ARE ALSO ELIGIBLE AS APPRENTICES DEPENDING ON
THE SKILLS AND CAPACITY TO PERFORM THE NEEDED JOB FUNCTIONS OF THE
EMPLOYER. HOWEVER. ASSESSMENT OF THEIR CAPACITIES AND SKILLS SHALL BE
CONDUCTED BY DSWD OR TESDA AS THE CASE MAY BE IN ORDER TO DETERMINE THE
QUALIFICATIONS AND FITNESS OF THE PERSONS WITH DISABILITIES, PROVIDED
FURTHER THAT AFTER THE LAPSE OF THE PERIOD OF APPRENTICESHIP, IF FOUND
SATISFACTORY IN THE JOB PERFORMANCE. THEY SHALL BE ELIGIBLE FOR REGULAR
EMPLOYMENT, (new)
ART. 137. APPLICABILITY OF THE MAGNA CARTA FOR DISABLED PERSONS.
ALL OTHER PROVISIONS OF REPUBLIC ACT NO. 7277, AS AMENDED, WHICH ARE NOT 
INCONSISTENT HEREWITH ARE DEEMED ADOPTED, (new)
Title VI
Workers with Family Responsibilities 
Chapter I
Facilities for Workers with Family Responsibilities
Art. 138. Facilities for Women WORKERS. The Secretary of Labor and Employment 
SOLE shall establish standards that will ensure the safety and health of women 
employees. In appropriate cases, ho shall, by regulations, require any employer to:-
(a) Provide seats proper for women and permit them to use such seats when they-ore
free from work and-during working hours, provided they can perform their duties in this
position without detriment to efficieneyt
(b) To establish separate toilet rooms-and lavatories for men and women and provide at
least a dressing room for women;
(€)-T0 the employers shall be required to establish a nursery in a workplace for 
the benefit of women employees therein; and
63


1
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
27
28
29
30
31
32
33
34
35
36
(ct)-To-detcrminc appropriate-minimum age and other standards-for--rctiromcnt or
termination in special occupations such as those of flight attendants and the like. (130a)
Art. 139. Family Planning Services; Incentives for Family Planning.
(a) 
Establishments which are required by law to maintain a clinic or infirmary shall 
provide free family planning services to their employees which shall include but not 
be limited to, the application or use of contraceptive pills and intrauterine devices
FAMILY PLANNING DEVICES.
(b) 
In coordination with other agencies of the government engaged in the promotion 
of family planning, the Department of Labor and Employment-DOLE shall develop 
and prescribe incentive bonus schemes to encourage family planning among 
workers in any establishment or enterprise. (132a)
ART. 140. ESTABLISHMENT OF LACTATION STATIONS. IT IS HEREBY MANDATED 
THAT ALL HEALTH AND NON-HEALTH FACILITIES, ESTABLISHMENTS OR INSTITUTIONS 
SHALL ESTABLISH LACTATION STATIONS. THE LACTATION STATIONS SHALL BE 
ADEQUATELY PROVIDED WITH THE NECESSARY EQUIPMENT AND FACILITIES, SUCH 
AS: LAVATORY FOR HAND-WASHING, UNLESS THERE IS AN EASILY-ACCESSIBLE 
LAVATORY NEARBY; REFRIGERATION OR APPROPRIATE COOLING FACILITIES FOR 
STORING EXPRESSED BREASTMILK; ELECTRICAL OUTLETS FOR BREAST PUMPS; A 
SMALL TABLE; COMFORTABLE SEATS; AND OTHER ITEMS, THE STANDARDS OF WHICH 
SHALL BE DEFINED BY THE DEPARTMENT OF HEALTH. THE LACTATION STATION SHALL 
NOT BE LOCATED IN THE TOILET.
IN ADDITION, ALL HEALTH AND NON-HEALTH FACILITIES, ESTABLISHMENTS OR 
INSTITUTIONS SHALL TAKE STRICT MEASURES TO PREVENT ANY DIRECT OR INDIRECT 
FORM OF PROMOTION, MARKETING, AND/OR SALES OF INFANT FORMULA AND/OR 
BREASTMILK SUBSTITUTES WITHIN THE LACTATION STATIONS, OR IN ANY EVENT OR 
CIRCUMSTANCES WHICH MAY BE CONDUCIVE TO THE SAME.
APART FROM THE SAID MINIMUM REQUIREMENTS, ALL HEALTH AND NON-HEALTH 
FACILITIES, ESTABLISHMENTS OR INSTITUTIONS MAY PROVIDE OTHER SUITABLE 
FACILITIES OR SERVICES WITHIN THE LACTATION STATION, ALL OF WHICH, UPON 
DUE SUBSTANTIATION, SHALL BE CONSIDERED ELIGIBLE FOR PURPOSES OF SECTION 
14 OF THIS ACT REPUBLIC ACT NO. 7600. AS AMENDED, (new)
64


1
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
27
28
29
30
31
32
33
34
Chapter II 
Workers' Leaves
ART. 141. PATERNITY LEAVE. NOTWITHSTANDING ANY LAW, RULES AND 
REGULATIONS TO THE CONTRARY, EVERY MARRIED MALE EMPLOYEES IN THE PRIVATE 
AND PUBLIC SECTORS SHALL BE ENTITLED TO A PATERNITY LEAVE OF AT LEAST SEVEN 
(7) DAYS WITH FULL PAY FOR THE FIRST FOUR (4) DELIVERIES OF THE LEGITIMATE 
SPOUSE WITH WHOM HE-TS THEY ARE COHABITING; PROVIDED. THAT WHERE THE 
EMPLOYEES ARE NOT MARRIED. THEY SHOULD AT LEAST BE COHABITING WITH THE
OTHER AS PARTNER FOR AT LEAST FIVE (5) YEARS. THE MALE EMPLOYEES APPLYING 
FOR PATERNITY LEAVE SHALL NOTIFY HK EMPLOYERS OF THE PREGNANCY OF HiS 
THEIR LEGITIMATE SPOUSE OR PARTNER AND THE EXPECTED DATE OF SUCH DELIVERY.
FOR PURPOSES OF THIS AGfPROVISION, DELIVERY SHALL INCLUDE CHILDBIRTH OR 
ANY MISCARRIAGE, (new)
ART. 142. PARENTAL LEAVE. IN ADDITION TO OTHER LEAVE PRIVILEGES-BENEFITS 
UNDER EXISTING LAWS, PARENTAL LEAVE OF NOT MORE THAN-AT LEAST SEVEN (7) 
WORKING DAYS EVERY YEAR SHALL BE GRANTED TO ANY SOLO PAREN^^EMPLOYEES 
WHO HASHAVE RENDERED SERVICE OF AT LEAST ONE (1) YEAR. THE SEVEN-DAY 
PARENTAL LEAVE SHALL BE NON-CUMULATIVE.
"PARENTAL LEA VEX SHALL BE GRANTED TO ENABLE EMPLOYEES TO PERFORM PARENTAL
DUTIES AND RESPONSIBILITIES WHERE PHYSICAL PRESENCE IS REQUIRED, (new)
ART. 143. PARENTAL LEAVE FOR ADOPTERS. PERSONS WHO HAVE LEGALLY 
ADOPTED A MINOR, SHALL, AFTER THE ISSUANCE OF THE PRE-ADOPTION PLACEMENT 
AUTHORITY ISSUED BY THE DEPARTMENT OF SOCIAL WELFARE AND DEVELOPMENT 
(DSWD), BE ENTITLED TO THIRTY (30) DAYS OF PARENTAL LEAVE: PROVIDED, THAT, IF 
ADOPTIVE PARENTS ALSO QUALIFY FOR LEAVE BENEFITS UNDER REPUBLIC ACT NO. 
8552, "THE DOMESTIC ADOPTION ACT OF 1998,"THE LEAVE BENEFIT WITH THE HIGHER 
NUMBER OF DAYS SHALL APPLY, (new)
65


1
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
27
28
29
30
31
32
33
34
35
ART. 144. FLEXIBLE WORK SCHEDULE. EMPLOYERS SHALL PROVIDE FOR A 
FLEXIBLE WORKING SCHEDULE FOR EMPLOYEES; PROVIDED, THAT THE SCHEDULE 
SHALL NOT AFFECT INDIVIDUAL AND COMPANY PRODUCTIVITY.
"FLEXIBLE WORK SCHEDULE1 IS THE RIGHT GRANTED TO VARY EMPLOYEES7 ARRIVAL 
AND DEPARTURE TIME WITHOUT AFFECTING THE CORE WORK HOURS AS DEFINED BY 
EMPLOYERS, (new)
ART. 145. LEAVES FOR VICTIMS OF VIOLENCE. VICTIMS OF VIOLENCE UNDER THIS 
REPUBLIC ACT NO. 9262 SHALL BE ENTITLED TO TAKE A PAID LEAVE OF ABSENCE UP TO 
TEN (10) DAYS IN ADDITION TO OTHER PAID LEAVES UNDER THE LABOR THIS CODE 
AND CIVIL SERVICE RULES AND REGULATIONS, EXTENDIBLE WHEN THE NECESSITY 
ARISES AS SPECIFIED IN THE PROTECTION ORDER.
ANY-EMPLOYERS WHO SHALL PREJUDICE THE RIGHT OF THE PERSONS_UNDER THIS 
SECTION PROVISION SHALL BE PENALIZED IN ACCORDANCE WITH THE PROVISIONS OF 
THE LABOR THIS CODEAND CIVIL SERVICE RULES AND REGULATIONS. LIKEWISE, AN 
EMPLOYERS_WHO SHALL PREJUDICE ANY-PERSONS FOR ASSISTING A-CO-EMPLOYEES 
WHO ^rk ARE VICTIMS UNDER THIS-AGTREPUBLIC ACT NO. 9262 SHALL LIKEWISE BE 
LIABLE FOR DISCRIMINATION, (new)
ART. 146. REPRODUCTIVE LEAVE. A WOMAN EMPLOYEES HAVING RENDERED 
CONTINUOUS AGGREGATE EMPLOYMENT SERVICE OF AT LEAST SIX (6) MONTHS FOR 
THE LAST TWELVE (12) MONTHS SHALL BE ENTITLED TO A SPECIAL LEAVE BENEFIT OF 
TWO (2) MONTHS WITH FULL PAY BASED ON HER—THE GROSS MONTHLY 
COMPENSATION FOLLOWING SURGERY CAUSED BY GYNECOLOGICAL REPRODUCTIVE 
DISORDERS, AS CERTIFIED BY A COMPETENT PUBLIC PHYSICIAN, (new)
CHAPTER III
PREGNANT AND NURSING WORKERS
ART. 147. FACILITIES FOR NURSING WORKERS. EMPLOYERS SHALL BE 
REQUIRED TO ESTABLISH A NURSERY IN A WORKPLACE FOR THE BENEFIT OF THE 
WOMEN EMPLOYEES THEREIN. (130)
66


1
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
27
28
29
30
31
32
33
34
35
36
ART. 148. LACTATION PERIODS. NURSH^G EMPLOYEES WITH CHILD 
RESPONSIBILITY. WHETHER MALE OR FEMALE. SHALL BE GRANTED BREAK INTERVALS 
IN ADDITION TO THE REGULAR TIME-OFF FOR MEALS TO FEED OR BREASTFEED A 
CHILD OR IQ EXPRESS MILK. THESE INTERVALS, WHICH SHALL INCLUDE THE TIME IT 
TAKES AN EMPLOYEE TO GET TO AND FROM THE WORKPLACE LACTATION STATION, 
SHALL BE COUNTED AS COMPENSABLE HOURS WORKED. THE DEPARTMENT OF LABOR 
AND EMPLOYMENT-DOLE MAY ADJUST THE SAME: PROVIDED, THAT SUCH INTERVALS 
SHALL NOT BE LESS THAN A TOTAL OF FORTY (40) MINUTES FOR EVERY EIGHT (8)- 
HOUR WORKING PERIOD, (new)
ART. 149. PROTECTION OF PREGNANT OR NURSING WORKERS. PREGNANT OR 
NURSING WORKERS SHOULD NOT BE OBLIGED TO WORK ON A REST DAY, RENDER 
NIGHT WORK OR OVERTIME WORK IF A MEDICAL CERTIFICATE DECLARES SUCH WORK 
TO BE INCOMPATIBLE WITH THEIR PREGNANCY OR NURSING, (new)
ART. 150. ALTERNATIVE WORK FOR NURSING WORKERS. WHERE WORK HAS 
BEEN DETERMINED BY COMPETENT AUTHORITY TO BE PREJUDICIAL TO THE HEALTH 
OF THE WORKER OR THE CHILD, OR WHERE AN ASSESSMENT HAS ESTABLISHED A 
SIGNIFICANT RISK TO THE WORKER'S HEALTH OR THAT OF THEIR CHILD, EMPLOYERS 
SHOULD PROVIDE MEASURES ON THE BASIS OF A MEDICAL CERTIFICATE AS 
APPROPRIATE, AN ALTERNATIVE TO SUCH WORK IN THE FORM OF:
(a) 
ELIMINATION OF RISK;
(b) 
AN ADAPTATION OF THEIR CONDITIONS OF WORK;
(c) 
A TRANSFER TO ANOTHER POST, WITHOUT LOSS OF PAY, WHEN SUCH AN 
ADAPTATION IS NOT FEASIBLE; OR
(d) 
PAID LEAVE, IN ACCORDANCE WITH THE PROVISIONS OF THIS CODE.
MEASURES REFERRED TO ABOVE SHOULD BE TAKEN IN RESPECT OF THE FOLLOWING:
(a) 
ARDUOUS WORK INVOLVING THE MANUAL LIFTING, CARRYING, PUSHING OR 
PULLING OF LOADS;
(b) 
WORK INVOLVING EXPOSURE TO BIOLOGICAL, CHEMICAL OR PHYSICAL AGENTS 
WHICH REPRESENT A REPRODUCTIVE HEALTH HAZARD;
(c) 
WORK REQUIRING SPECIAL EQUILIBRIUM; OR
(d) 
WORK INVOLVING PHYSICAL STRAIN DUE TO PROLONGED PERIODS OF SITTING 
OR STANDING, TO EXTREME TEMPERATURES, OR TO VIBRATION, (new)
67


1
2 
Art. 151. Maternity Leave Benefits. Every employer—sl^alI grant to any pregnant
3 
woman employee who has rendered an aggregate service of at least six (6)-menth5 for
4 
the last twelve (12) months, maternity leave of at least two (2) weeks -prior to-the
5 
expected date of delivery and another-four (4) weeks-after-normal delivery or abortion
6 
with full-pay-based on her regular-or average weekly wages. The employer may- reqtHfe
7 
from any woman employee applying for maternity--leave-the production of a medical
8 
certificate stating that delivery will probably take place within two-wcek-Sr
9
10 
The maternity leave shall be extended without pay on account of illness medically certified
11 
to-arise out-of-the-pr-egfmeyT-delivery, abortion or miscarriage,-which renders the woman
12 
unfit for work, unless-she-hos- earned unused leave credits -from which such extended
13 
leave may-be charged.
14
15 
The maternity leave provided in this Article shall be paid-by-the employer only for the
16 
first four (4) deliveries- by a-woman employee-after the cffcctivity of this Gede7
17
18 
FEMALE MEMBERSWORKERS WHO HAVE PAID AT LEAST THREE (3) MONTHLY
19 
CONTRIBUTIONS IN THE TWELVE-MONTH PERIOD IMMEDIATELY PRECEDING THE
20 
SEMESTER OF THEIR CHILDBIRTH OR MISCARRIAGE SHALL BE PAID A DAILY
21 
MATERNITY BENEFIT EQUIVALENT TO ONE HUNDRED PERCENT (100%) OF THEIR
22 
AVERAGE DAILY SALARY CREDIT FOR SIXTY (60) DAYS OR SEVENTY-EIGHT (78) DAYS
23 
IN CASE OF CAESARIAN DELIVERY, SUBJECT TO THE FOLLOWING CONDITIONS:
24 
(a) THAT THE EMPLOYEES SHALL HAVE NOTIFIED THEIR EMPLOYERS OF THEIR
25 
PREGNANCY AND THE PROBABLE DATE OF THEIR CHILDBIRTH, WHICH NOTICE
26 
SHALL BE TRANSMITTED TO THE SSS IN ACCORDANCE WITH THE RULES AND
27 
REGULATIONS IT MAY PROVIDE;
28 
(b) THE FULL PAYMENT SHALL BE ADVANCED BYTHE EMPLOYERS WITHIN THIRTY (30)
29 
DAYS FROM THE FILING OF THE MATERNITY LEAVE APPLICATION;
30 
(c) THAT THE MATERNITY BENEFITS PROVIDED UNDER THIS PROVISION SHALL BE
31 
PAID ONLY FOR THE FIRST FOUR (4) DELIVERIES OR MISCARRIAGES;
32 
(d) THAT THE SSS SHALL IMMEDIATELY REIMBURSE THE EMPLOYERS OF ONE
33 
HUNDRED PERCENT (100%) OF THE AMOUNT OF MATERNITY BENEFITS
34 
ADVANCED TO THE EMPLOYEES BY THE EMPLOYERS UPON RECEIPT OF
35 
SATISFACTORY PROOF OF SUCH PAYMENT AND LEGALITY THEREOF; AND
68


1
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
27
28
29
30
31
32
33
34
35
36
(e) THAT IF THE EMPLOYEE MEMBERS SHOULD GIVE BIRTH OR SUFFER MISCARRIAGE 
WITHOUT THE REQUIRED CONTRIBUTIONS HAVING BEEN REMITTED FOR THEM 
BY THEIR EMPLOYERS TO THE SSS, OR WITHOUT THE LATTER HAVING BEEN 
PREVIOUSLY NOTIFIED BY THE EMPLOYERS OFTHE TIME OFTHE PREGNANCY, THE 
EMPLOYERS SHALL PAY TO THE SSS DAMAGES EQUIVALENT TO THE BENEFITS 
WHICH SAID EMPLOYEE MEMBERS WOULD OTHERWISE HAVE BEEN ENTITLED TO.
IN CASE THE EMPLOYEES QUALIFIES QUALIFY AS A SOLO PARENTS UNDER REPUBLIC 
ACT NO. 8972, OR THE SOLO PARENTS' WELFARE ACT, THE EMPLOYEE THEY SHALL BE 
PAID THE DAILY MATERNITY BENEFIT FOR ONE HUNDRED AND FIFTY (150) DAYS.
AN ADDITIONAL MATERNITY LEAVE OF THIRTY (30) DAYS, WITHOUT PAY, CAN BE 
AVAILED OF, AT THE OPTION OF THE FEMALE WORKERS AS LONG AS THE HEAD OF 
THE AGENCY SHALL BE GIVEN DUE NOTICE, IN WRITING, AT LEAST FORTY-FIVE (45) 
DAYS BEFORE THE END OF THEIR ORDINARY MATERNITY LEAVE.
WORKERS AVAILING OF THE MATERNITY LEAVE PERIOD AND BENEFITS MUST RECEIVE 
NOT LESS THAN TWO THIRDS (2/3) OF THEIR REGULAR MONTHLY WAGES. EMPLOYERS 
FROM THE PRIVATE SECTOR SHALL BE RESPONSIBLE FOR PAYMENT OF THE SALARY 
DIFFERENTIAL BETWEEN THE ACTUAL CASH BENEFITS RECEIVED FROM THE SOCIAL 
SECURITY SYSTEM (SSS) BY THE COVERED FEMALE WORKERS AND THEIR AVERAGE 
WEEKLY OR REGULAR WAGES, FOR THE ENTIRE DURATION OF THE ORDINARY 
MATERNITY LEAVE, WITH THE FOLLOWING EXCEPTIONS, SUBJECT TO THE 
GUIDELINES TO BE ISSUED BY THE DEPARTMENT OF LABOR AND EMPLOYMENT 
(DOLE):
(a) 
THOSE OPERATING DISTRESSED ESTABLISHMENTS;
(b) 
THOSE RETAIL/SERVICE ESTABLISHMENTS EMPLOYING NOT MORE THAN TEN 
(10) WORKERS;
(c) 
THOSE CONSIDERED AS MICRO-BUSINESS ENTERPRISES AND ENGAGED IN THE 
PRODUCTION, PROCESSING, OR MANUFACTURING OF PRODUCTS OR 
COMMODITIES INCLUDING AGRO-PROCESSING, TRADING, AND SERVICES, 
WHOSE TOTAL ASSETS ARE NOT 11 MORE THAN THREE MILLION PESOS 
(P3,000,000.00); AND
(d) 
THOSE WHO ARE ALREADY PROVIDING SIMILAR OR MORE THAN THE BENEFITS 
HEREIN PROVIDED. (131a)
69


1
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
27
28
29
30
31
32
33
34
35
36
ART. 152. NON-TRANSFERABILITY OF BENEFITS. THE SSS SHALL PROMPTLY PAY 
THE BENEFITS PROVIDED IN THIS AGP CODE TO SUCH PERSONS AS MAY BE ENTITLED 
THERETO IN ACCORDANCE WITH THE PROVISIONS OF THIS AGP-CODE: PROVIDED, 
THAT THE SSS SHALL PAY THE RETIREMENT BENEFITS ON THE DAY OF CONTINGENCY 
TO QUALIFIED MEMBERS WHO HAVE SUBMITTED THE NECESSARY DOCUMENTS AT 
LEAST SIX (6) MONTHS BEFORE: PROVIDED, FURTHER, THAT THE BENEFICIARYIES 
WHO iS-AARE NATIONALS OF A FOREIGN COUNTRYIES WHICH DO NOT EXTEND 
BENEFITS TO A FILIPINO BENEFICIARYIES RESIDING IN THE PHILIPPINES, OR WHICH 
ARE NOT RECOGNIZED BY THE PHILIPPINES, SHALL NOT BE ENTITLED TO RECEIVE ANY 
BENEFIT UNDER THIS AGF-CODE: PROVIDED, FURTHER, THAT NOTWITHSTANDING 
THE FOREGOING, WHERE THE BEST INTEREST OF THE SSS WILL BE SERVED, THE 
COMMISSION MAY DIRECT PAYMENTS WITHOUT REGARD TO NATIONALITY OR 
COUNTRY OF RESIDENCE: PROVIDED, FURTHER, THAT IFTHE RECIPIENTS ARE MINORS 
OR PERSONS INCAPABLE OF ADMINISTERING THEIR OWN AFFAIRS, THE COMMISSION 
SHALL APPOINT REPRESENTATIVES UNDER SUCH TERMS AND CONDITIONS AS IT MAY 
DEEM PROPER: PROVIDED, FURTHER, THAT SUCH APPOINTMENT SHALL NOT BE 
NECESSARY IN CASE THE RECIPIENTS ARE UNDER THE CUSTODY OF OR LIVING WITH 
THE PARENTS OR SPOUSE OF THE MEMBERS IN WHICH CASE THE BENEFITS SHALL BE 
PAID TO SUCH PARENTS OR SPOUSE, AS REPRESENTATIVE PAYEES OF THE RECIPIENTS. 
SUCH BENEFITS ARE NOT TRANSFERABLE AND NO POWER OF ATTORNEY OR OTHER 
DOCUMENT EXECUTED BY THOSE ENTITLED THERETO IN FAVOR OF ANY AGENT, 
ATTORNEY OR ANY OTHER PERSON FOR THE COLLECTION THEREOF ON THEIR BEHALF 
SHALL BE RECOGNIZED, EXCEPT WHEN THEY ARE PHYSICALLY UNABLE TO COLLECT 
PERSONALLY SUCH BENEFITS: PROVIDED, FURTHER, THAT IN CASE OF DEATH 
BENEFITS, IF NO BENEFICIARY QUALIFIES UNDER THIS ACT, SAID BENEFITS SHALL BE 
PAID TO THE LEGAL HEIRS IN ACCORDANCE WITH THE LAW OF SUCCESSION. 
PROVIDED, FINALLY, THAT THIS BENEFIT IS OVER AND ABOVE THAT WHICH IS 
PROVIDED UNDER THIS CODE. (NEW)
Book Four
HEALTH, SAFETY AND SOCIAL WELFARE BENEFITS
Title I
MEDICAL, DENTAL AND OCCUPATIONAL SAFETY
Chapter I
70


1
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
27
28
29
30
31
32
33
34
35
MEDICAL AND DENTAL SERVICES
Art. 153. First-Aid Treatment. Every Employers shall keep in hts THEIR establishment 
such first-aid medicines and equipment as the nature and conditions of work may require, 
in accordance with such regulations as the Department of Labor and Employment DOLE 
shall prescribe.
The Employers shall take steps for the training of a sufficient number of employees in 
first-aid treatment. (162a)
Art. 154. Emergency Medical and Dental Services. It shall be the duty of every 
employers to furnish hts-THEIR employees in any locality with free medical and dental 
attendance and facilities consisting of:
(a) 
The services of a full-time registered nurse when the number of employees exceeds 
fifty (50) but not more than two hundred (200) except when the employers does 
not maintain hazardous workplaces, in which case, the services of a graduate first- 
aider shall be provided for the protection of workers, where no registered nurseS is 
ARE available. The Secretary of Labor-and Employment SOLE shall provide by 
appropriate regulations the services that shall be required where the number of 
employees does not exceed fifty (50) and shall determine by appropriate order, 
hazardous workplaces for purposes of this ArtielePROVISION;
(b) 
The services of a full-time registered nurse, a part-time physician and dentist, and 
an emergency clinic, when the number of employees exceeds two hundred (200) 
but not more than three hundred (300); and
(c) 
The services of a full-time physician, dentist and a full-time registered nurse as well 
as a dental clinic and an infirmary or emergency hospital with one bed capacity for 
every one hundred (100) employees when the number of employees exceeds three 
hundred (300).
In cases of hazardous workplaces, no employer shall engage the services of a physician 
or a dentist who cannot stay in the premises of the establishment for at least two (2) 
hours, in the case of those engaged on part-time basis, and not less than eight (8) hours, 
in the case of those employed on full-time basis. Where the undertaking is non-hazardous 
in nature, the physician and dentist may be engaged on retained basis, subject to such 
regulations as the Secretary of Labor and Employment SOLE may prescribe to insure
71


1
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
27
28
29
30
31
32
33
34
35
36
immediate availability of medical and dental treatment and attendance in case of 
emergency. (163a)
Art. 155. When Emergency Hospital Not Required. The requirement for an 
emergency hospital or dental clinic shall not be applicable in case there is a hospital or 
dental clinic which is accessible from the employcr-s EMPLOYERS' establishment and be 
THEY makes arrangements for the reservation therein of the necessary beds and dental 
facilities for the use of bis THEIR employees. (164a)
Art. 156. Health Program. The Physicians engaged by an employers shall, In addition 
to bis-THEIR duties under this Chapter, develop and implement a comprehensive 
occupational health program for the benefit of the employees of bts THEIR employers. 
(165a)
Art. 157. Qualifications of Health Personnel. The physicians, dentists and nurses 
employed by employers pursuant to this Chapter shall have the necessary training in 
industrial medicine and occupational safety and health. The Secretary of Labor -and 
Employment SOLE, in consultation with industrial THE NATIONAL TRIPARTITE 
INDUSTRIAL PEACE COUNCIL (NTIPC), medical, and occupational safety and health 
associations, shall establish the qualifications, criteria and conditions of employment of 
such health personnel. (166a)
Art. 158. Assistance of Employer. It shall be the duty of afiy employers to provide all 
the necessary assistance TO INJURED OR SICK EMPLOYEES SUBJECT TO SUCH 
REGULATIONS AS THE SOLE MAY PROVIDE to ensure the adequate and immediate 
medical and dental attendance and treatment to an injured or sick employees in case of 
emergency. (167a)
Chapter II
OCCUPATIONAL HEALTH AND SAFETY
Art. 159. Safety and Health Standards. The Secretary of Labor and Empioymeftt 
SOLE shall, by appropriate orders, set and enforce mandatory occupational safety and 
health standards to eliminate or reduce occupational safety and health hazards in all 
workplaces and institute new, and update existing, programs to ensure safe and healthful 
working conditions in all places of employment. (168a)
72


1
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
27
28
29
30
31
32
33
34
35
36
Art. 160. Research. It shall be the responsibility of the Department of-Labor-and 
Employment DOLE to conduct continuing studies and research to develop innovative 
methods, techniques and approaches for dealing with occupational safety and health 
problems; to discover latent diseases by establishing causal connections between 
diseases and work in environmental conditions; and to develop medical criteria which will 
assure insofar as practicable that m employees will NOT suffer impairment or diminution 
in health, functional capacity, or life expectancy as a result of bis THEIR work and working 
conditions. (169a)
Art. 161. Training Programs. The Department of Labor and Employmcnt-DQLE shall 
develop and implement training programs to increase the number and competence of 
personnel in the field of occupational safety and industrial health. (170)
Art. 162. Administration of Safety and Health Laws.
(a) 
The Department of LaborDOLE shall be solely responsible for the administration and 
enforcement of occupational safety and health laws, regulations and standards in 
ail establishments and workplaces wherever they may be located. However, 
chartered cities may be allowed to conduct industrial safety inspections of 
establishments within their respective jurisdictions where they have adequate 
facilities and competent personnel for the purpose as determined by the Department 
of Labor DOLE and subject to national standards established by the latter.
(b) 
The Secretary of Labor SOLE may, through appropriate regulations, collect 
reasonable fees for the inspection of steam boilers, pressure vessels and pipings 
and electrical installations, the test and approval for safe use of materials, 
equipment and other safety devices and the approval of plans for such materials, 
equipment and devices. The fee so collected shall be deposited in the national 
treasury to the credit of the occupational safety and health fund and shall be 
expended exclusively for the administration and enforcement of safety and other 
labor laws administered by the Department of Labor DOLE. (171a)
Title II
EMPLOYEES COMPENSATION AND STATE INSURANCE FUND
Chapter I
POLICY AND DEFINITIONS
73


1
2 
ART. 163. Policy. THE STATE AFFIRMS LABOR AS A PRIMARY SOCIAL ECONOMIC
3 
FORCE. IT SEEKS TO IMPROVE THE QUALITY OF LIFE OF THE EMPLOYEES BY ENSURING
4 
EQUITABLE ACCESS TO ADEQUATE AND QUALITY SOCIAL SERVICES AND ASSETS. IT
5 
SHALL PROTECT THE RIGHTS OF THE WORKERS AND PROMOTE THEIR WELFARE, AND
6 
TOWARDS THIS END, SHALL:
7 
(1) BUILD AND SUSTAIN AMONG WORKERS AND EMPLOYERS THE OCCUPATIONAL
8 
HEALTH AND SAFETY PROGRAMS IN ORDER TO PREVENT AND MINIMIZE THE
9 
INCIDENCE OF WORK-CONNECTED INJURIES AND DISEASES;
10 
(2] ENSURE PROMPT AND ADEQUATE COMPENSATION FOR WORKERS AND THEIR
11 
DEPENDENTS IN THE EVENT OF WORK-CONNECTED DISABILITY OR DEATH; AND
12 
(3] PROVIDE OCCUPATIONALLY-DISABLED WORKERS WITH REHABILITATION
13 
SERVICES TO ENABLE THEM TO BECOME PRODUCTIVE MEMBERS OF SOCIETY.
14 
(new)
15
16 
Art. 164. Definition of Terms. As used in this Titie, unless the context indicates
17 
otherwise;
18 
(a) "Codd' means the REVISED Labor Code of the Philippines instituted under
19 
Presidential Decree Numbered Four Hundred Forty Two No. 442, as amended.
20 
(b) " Commissiori' means the Employees' Compensation Commission created under this
21 
Title.
22 
(c) "BOARD' MEANS THE BOARD OF COMMISSIONERS GOVERNING THE EMPLOYEES'
23 
COMPENSATION COMMISSION AND THE OCCUPATIONAL SAFETY AND HEALTH
24 
CENTER.
25 
(d) "SSS' means the Social Security System.
26 
(e) "center:' MEANS THE OCCUPATIONAL SAFETY AND HEALTH CENTER.
27 
(f) "GSIS' means the Government Service Insurance System.
28 
(g) "REGIONAL EXTENSION UNITS' MEANS REGIONAL AND FIELD OFFICES IN
29 
PROVINCES OR CHARTERED CITIES ESTABLISHED BY THE COMMISSION.
30 
(h) "Systerrf means the SSS or GSIS, as the case may be.
31 
(i) "EmptoyeT means any person, natural or juridical, employing-the services of the
32 
employOG DOMESTIC OR FOREIGN, WHO CARRIES ON IN THE PHILIPPINES ANY
33 
TRADE, BUSINESS, INDUSTRY, UNDERTAKING OR ACTIVITY OF ANY KIND AND
34 
USES THE SERVICES OF OTHER PERSONS WHO ARE UNDER THEIR ORDERS AS
35 
REGARDS THE EMPLOYMENT, INCLUDING THE NATIONAL GOVERNMENT, ITS
74


1 
POLITICAL SUBDIVISIONS, AGENCIES OR INSTRUMENTALITIES AND
2 
GOVERNMENT-OWNED OR CONTROLLED CORPORATIONS.
3 
G) "Employed' means any person compulsorily covered by the GSIS under REPUBLIC
4 
ACT NO. 8291, OR ANY AMENDMENTS THEREAFTER, including members of the
5 
Armed Forces of the Philippines, and-ar^y-pcrson employed as casuai, emergency;
6 
temporary, substitute or contractual, or any person THE PHILIPPINE NATIONAL
7 
POLICE, BUREAU OF FIRE PROTECTION, AND BUREAU OF JAIL MANAGEMENT AND
8 
PENOLOGY, WHO IS compulsorily covered by the SSS under REPUBLIC ACT NO.
9 
11199, OR ANY AMENDMENTS THEREAFTER.
10 
(k) "PersorP means any individual, partnership, firm, association, trust, corporation or
11 
iega I representative thereof.
12 
(1) 
"Dependent^' means the legitimate, iegitimated or iegally adopted, or illegitimate
13 
child who is unmarried, not gainfully employed, and not over twenty-one EIGHTEEN
14 
(18) YEARS of age or over twenty one EIGHTEEN (18) YEARS of age provided be
15 
THE DEPENDENT is incapacitated and incapable of self-support due to a physical or
16 
Intellectual disability which is congenital or acquired during minority PRIOR TO
17 
REACHING THE AGE OF EIGHTEEN (18); the legitimate spouse AS CONTEMPLATED
18 
UNDER THE FAMILY CODE OF THE PHILIPPINES; and the parents of said employees
19 
dependent upon btm THEM for support.
20 
(m) ''Beneficiaried1 means the legitimate spouse until hc/shc SAID SPOUSE remarries
21 
OR COHABITS WITH ANOTHER, and dependent LEGITIMATE, LEGITIMATED,
22 
LEGALLY ADOPTED AND ILLEGITIMATE children, who are the primary beneficiaries.
23 
In their absence, the dependent parents and subject to the restrictions imposed on
24 
dependent children and legitimate descendants who are the secondary
25 
beneficiaries.
26 
(n) " WORK-CONNECTED Injur/' means any harmful change in the human organism
27 
from any accident arising out of and in the course of the employment.
28 
(o) " WORK-CONNECTED Sicknesd means any CONDITION LISTED BY THE
29 
COMMISSION as an occupational disease OR A COMPENSABLE WORK-RELATED
30 
ILLNESS, or any illness caused by employment, subject to proof that the risk of
31 
contracting the same is increased by working conditions.
32 
(p) "Deatli1 means loss of life resulting from WORK-CONNECTED injury or sickness.
33 
(q) ''Disability' means loss or SUBSTANTIAL REDUCTION OF EARNING POWER DUE TO
34 
A WORK-CONNECTED SICKNESS OR INJURY.
35 
(r) 
"Compensatiorf means all payments made under this Title for income benefits and
36 
medical or related benefits.
75


1 
(s) "LOSS-OF-Income benefit' means all payments made under this Title to the
2 
employees or hts THEIR dependents FOR TEMPORARY OR PERMANENT DISABILITY
3 
DUE TO WORK-CONNECTED SICKNESS OR INJURY.
4 
[t) "Medical benefit' means all payments made under this Title to the providers of
5 
medical care, rehabilitation services and hospital care.
6 
(u) "Related benefit' means all payments made under this Title for appliances and
7 
supplies.
8 
(v) "Appliance^' means crutches, artificial aids and other similar devices.
9 
(w) "Supplied' means medicine and other medical, dental or surgical items.
10 
(x) xxHospitar'MEDICAL FACILUY' means any HOSPITAL OR CLINIC, government or
11 
private, an active member in good standing of the Philippine Hospital Association
12 
and Dccrcditcd LICENSED by the Commission DEPARTMENT OF HEALTH.
13 
(y) "Physiciart' means any doctor of medicine duly licensed to practice in the Philippines,
14 
an active member in good standing of the Philippine Medical Association and
15 
LICENSED BY THE PRC AND accredited by the Commission DEPARTMENT OF
16 
HEALTH AND PHILHEALTH.
17 
(z) 
" Waged' or "Salary', insofar as they refer to the computation of benefits, means the
18 
monthly remuneration (or compensation) as defined under Republic Act No.-44€i
19 
11199, as amended, for SSS and Presidential DccrcG No. 1146 REPUBLIC ACT NO.
20 
8291, as amended, for GSIS, respectively, except that part In excess of Three
21 
Thousand Pesos (P3,000.00).
22 
(aa) "Monthly salary credit' means the wage or the salary base for contributions as
23 
provided in Republic Act Numbered Eleven hundred sixty one, as amended No.
24 
11199, or wages or salary.
25 
(bb) "Average monthly salary credit' in the case of the SSS means the result obtained
26 
by dividing the sum of the monthly salary credits in the sixty-month period
27 
immediately preceding the semester of death or permanent disability by sixty (60),
28 
except where the month of death or permanent disability falls within eighteen (18)
29 
calendar months from the month of coverage, in which case it is the result obtained
30 
by dividing the sum of all monthly salary credits paid prior to the month of the
31 
contingency by the total number of calendar months of coverage in the same period.
32 
(cc) "Average daily salary credit' in the case of the SSS means the result obtained by
33 
dividing the sum of the six (6) highest monthly salary credits in the twelve-month
34 
period Immediately preceding the semester of sickness or injury by one hundred
35 
eighty (180), except where the month of injury falls within twelve (12) calendar
36 
months from the first month of coverage, in which case it is the result obtained by
76


1 
dividing the sum of all monthly salary credits by thirty (30) times the number of
2 
calendar months of coverage in the period.
3
4 
In the case of the GSIS, the average daily salary credit shall be the actual daily salary or
5 
wage, or the monthly salary or wage divided by the actual number of working days
6 
of the month of contingency.
7 
(dd) "Quartef1 means a period of three (3) consecutive months ending on the last days
8 
of March, June, September and December.
9 
(ee) "Semestei"' means a period of two consecutive quarters ending In the quarter of
10 
death, permanent disability, injury or sickness.
11 
(ff) "Replacement ratid' IS the sum of twenty percent (20%) and the quotient obtained
12 
by dividing three hundred (300) by the sum of three hundred forty (340) and the
13 
average monthly salary credit.
14 
(gg) " Credited years ofservicd\ for a member covered prior to January 1975, IS nineteen
15 
hundred seventy-five (1975) minus the calendar year of coverage, plus the number
16 
of calendar years in which six (6) or more contributions have been paid from
17 
January, 1975 up to the calendar year containing the semester prior to the
18 
contingency. For a member covered on or after January 1975, the number of
19 
calendar years in which six (6) or more contributions have been paid from the year
20 
of coverage up to the calendar year containing the semester prior to the
21 
contingency.
22 
(hh) "Monthly income benefit means the amount equivalent to one hundred fifteen
23 
percent (115%) of the sum of: The average monthly salary credit multiplied by the
24 
replacement ratio; and One and a half percent (1.5%) of the average monthly salary
25 
credit for each credited year of service in excess of ten (10) years; Provided, That
26 
the monthly income benefit shall In no case be less than Two Hundred Fifty Pesos
27 
(P250.00).
28 
(ii) TEMPORARY TOTAL DISABILITY' MEANS THE COMPLETE INABILITY TO WORK
29 
FOR A TEMPORARY PERIOD UNDER THIS TITLE.
30 
(jj) "PERMANENT PARTIAL DISABILITY' MEANS THE LIMITED USE OF A PART OF THE
31 
BODY AFTER RECOVERY FROM WORK-CONNECTED SICKNESS OR INJURY.
32 
(kk) PERMANENT TOTAL DISABILITY' MEANS THE COMPLETE INABILITY TO WORK
33 
UNDER THIS TITLE, UNLESS COMPLETE RECOVERY OCCURS AS CERTIFIED BY THE
34 
SYSTEM.
77


1
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
27
28
29
30
31
32
33
34
35
36
(11) "CONTRIBUTION' MEANS THE AMOUNT REMITTED OR TO BE REMITTED BY 
EMPLOYERS TO THE STATE INSURANCE FUND FOR EACH EMPLOYEE UNDER 
THEIR EMPLOY.
(mm) X'FUND' MEANS THE STATE INSURANCE FUND.
(nn) ^'OCCUPATIONALLY DISABLED WORKERS' OR "ODW REFERS TO EMPLOYEES 
WHO SUSTAINED A DISABILITY AS A RESULT OF A WORK-CONNECTED SICKNESS 
OR INJURY.
(oo) "SAFETY AND HEALTH' REFERS TO THE INTERNATIONALLY ACCEPTED 
DEFINITION OF OCCUPATIONAL SAFETY AND HEALTH. (173a)
Chapter II
COVERAGE AND LIABILITY
ART. 165. COVERAGE.
(a) 
Coverage in the State Insurance Fund PROGRAM shall be compulsory upon all 
employers and their employees not over sixty (60) years of age;
(b) 
Compulsory coverage of the employers during the cffectivity of this-Title shall take 
effect on the first day of his BUSINESS operation, and that of the employees, on 
the date of his THEIR employment; AND
(c) 
THE PROGRAM MAY COVER LAND-BASED OVERSEAS FILIPINO WORKERS, SELF- 
EMPLOYED, AND WORKERS IN THE INFORMAL SECTOR, SUBJECT TO THE 
REGULATIONS AS MAY BE PRESCRIBED BY THE COMMISSION. (174a, 175a, 176a)
Art. 166. Registration. Eaeh Employers and his THEIR employees shall register with 
the System in accordance with Its THE regulations AS MAY BE PRESCRIBED BY THE 
COMMISSION. (177a)
Art. 167. Limitation of Liability. The State Insurance Fund shall be liable for 
compensation to the employees or hIs-THEIR dependents, except when the disability or 
death was occasioned by the employee's EMPLOYEES' intoxication, willful Intention to 
injure or kill himself THEMSELVES or another, notorious negligence, or otherwise provided 
under this Title. (178a)
ART. 168. NON-EXCLUSIVITY OF BENEFITS. THE PAYMENT OF COMPENSATION 
UNDER THIS TITLE SHALL NOT BAR THE RECOVERY OF BENEFITS, WHICH THE 
WORKERS, IN BOTH GOVERNMENT AND PRIVATE SECTOR, MAY BE ENTITLED TO 
UNDER OTHER SOCIAL SECURITY LAWS WHOSE BENEFITS ARE ADMINISTERED BY THE 
SYSTEM OR BY OTHER GOVERNMENT AGENCIES, (new)
78


1
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
27
28
29
30
31
32
33
34
35
36
Art. 169. Liability of Third Parties.
(a) 
When the disability or death is caused by circumstances creating a legal liability 
against a third party, the disabled employees or the dependents, in case of fits 
THEIR death, shall be paid by the System under this Title. In case benefit is paid 
under this Title, the System shall be subrogated to the rights of the disabled 
employees or the dependents, in case of fits-THEIR death, in accordance with the 
general law.
(b) 
Where the System recovers from such third party damages in excess of those paid 
or allowed under this Title, such excess shall be delivered to the disabled employees 
or other persons entitled thereto, after deducting the cost of proceedings and 
expenses of the System. (180a)
Art. 170. Deprivation of the Benefits. Except as otherwise provided under this Title, 
no contract, regulation or device whatsoever shall operate to deprive the employees or 
his THEIR dependents of any part of the income benefits and medical or related services 
granted under this Title. Existing medical services being provided by the employers shall 
be maintained and continued to be enjoyed by their employees. (181a)
Chapter 111 
ADMINISTRATION
Art. 171. Employees' Compensation Commission. THE EMPLOYEES' 
COMPENSATION COMMISSION, CREATED UNDER PRESIDENTIAL DECREE NO. 626, AS 
AMENDED, HEREBY CONTINUES TO EXIST to initiate, rationalize, and coordinate the 
policies of the employers' compensation program, the Employees' Compensation 
Commission is hereby created to bo.
(a) 
The Commission shall have the status and category of a government OWNED AND 
CONTROLLED corporation, and it is hereby deemed attached to the Department of 
tabofDOLE for policy coordination and guidance.
(b) 
THE CORPORATE POWERS AND FUNCTIONS OF THE COMMISSION SHALL BE 
VESTED IN AND EXERCISED BY THE BOARD OF COMMISSIONERS, composed of 
five ex officio members, namely: the Secretary of Labor and Employment
asChairman,-the GSIS General Manager, the SSS Administrator, the Chairman of the
Philippine Medical Care Commission, and the Executive Director of the-EGG
79


1
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
27
28
29
30
31
32
33
34
35
36
Secretariat-and two appointive members, one of whofn-shall--represent--the
employees and-the other, the employers, to be appointed by the President of the
Philippines for a term of six years. The appointive member shall have at least five
years' experience-in workmen's compensation or social security programs. All
vacancies shall be filled fer-the unexpired term onlyTHE SOLE AS EX OFFICIO 
CHAIR, THE EXECUTIVE DIRECTOR OF THE ECC SECRETARIAT AS THE VICE­
CHAIR, THE GSIS PRESIDENT AND GENERAL MANAGER, THE SSS PRESIDENT AND 
CHIEF EXECUTIVE OFFICER, THE PHILIPPINE HEALTH INSURANCE CORPORATION 
CHAIR, THE CIVIL SERVICE COMMISSION CHAIR, AND TWO (2) APPOINTIVE 
MEMBERS, ONE OF WHOM SHALL REPRESENT THE EMPLOYEES, AND THE OTHER, 
THE EMPLOYERS, BOTH SHALL BE APPOINTED BY THE PRESIDENT OF THE 
PHILIPPINES.
THE EXECUTIVE DIRECTOR OF THE ECC SECRETARIAT SHALL BE APPOINTED BY 
THE PRESIDENT OF THE PHILIPPINES.
THE APPOINTIVE MEMBERS SHALL BE CHOSEN FROM AMONG THE NOMINEES OF 
WORKERS' AND EMPLOYERS' ORGANIZATIONS, WHO SHALL HAVE AT LEAST FIVE 
(5) YEARS EXPERIENCE IN WORKMEN'S COMPENSATION OR SOCIAL SECURITY 
PROGRAMS.
THE THREE (3) APPOINTIVE MEMBERS SHALL HOLD OFFICE FOR ONE (1) YEAR, UNLESS 
SOONER REMOVED FOR CAUSE; PROVIDED, HOWEVER, THAT THE APPOINTIVE 
MEMBER SHALL CONTINUE TO HOLD OFFICE UNTIL THE SUCCESSOR IS APPOINTED. 
ANY VACANCY IN THE BOARD OTHER THAN THROUGH THE EXPIRATION OF THE TERM 
SHALL BE FILLED IN THE MANNER IN WHICH THE ORIGINAL APPOINTMENT WAS MADE 
AND THE APPOINTEE SHALL SERVE ONLY THE UNEXPIRED TERM OF THEIR 
PREDECESSOR.
THE PRESENCE OF MORE THAN HALF OF THE MEMBERS SHALL CONSTITUTE A 
QUORUM. IN THEIR ABSENCE, ANY APPOINTIVE MEMBER MAY DESIGNATE AN OFFICIAL 
OF THE INSTITUTION THEY SERVE ON FULL-TIME BASIS AS THEIR REPRESENTATIVE 
TO ACT IN THEIR BEHALF.
THE EX OFFICIO MEMBERS OF THE BOARD MAY DESIGNATE THEIR RESPECTIVE 
ALTERNATES WHO SHALL BE THE OFFICIALS NEXT-IN-RANK TO THEM AND WHOSE
80


1
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
27
28
29
30
31
32
33
34
35
ACTS SHALL BE CONSIDERED THE ACTS OF THEIR PRINCIPALS. (IN ACCORDANCE WITH 
SEC. 14 OF REPUBLIC ACT NO. 10149)
THE APPOINTIVE MEMBERS SHALL RECEIVE COMPENSATION, PER DIEM, ALLOWANCES 
AND INCENTIVES AS MAY BE PROVIDED BY LAW.
(c) 
THE COMMISSION SHALL GOVERN THE OCCUPATIONAL SAFETY AND HEALTH 
CENTER.
(d) 
THE COMMISSION SHALL ESTABLISH REGIONAL AND FIELD OFFICES IN 
PROVINCES OR CHARTERED CITIES, OR WHEREVER IT IS DEEMED NECESSARY, 
TO BRING ITS SERVICES CLOSER TO THE STAKEHOLDERS. (182a)
Art. 172. Powers and Duties FUNCTIONS. The Commission shall have the following 
powers and dtfties-FUNOTIONS:
(a) 
To assosG-and fix-a rate of contribution from all employers; TO INITIATE AND ISSUE 
POLICIES ON THE THREE COMPONENTS OF THE EMPLOYEES' COMPENSATION 
PROGRAM, AS FOLLOWS:
(1) 
PREVENTION. THE ADEQUATE OCCUPATIONAL HEALTH AND SAFETY, AND 
THE ACCIDENT PREVENTION IN THE WORKPLACE BASED ON THE STUDIES 
AND RESEARCHES DONE BY THE CENTER;
(2) 
COMPENSATION. THE FORMULATION OF COMPENSATION PACKAGES OTHER 
THAN AND/OR IN ADDITION TO THE BENEFITS ALREADY PROVIDED FOR IN 
THIS TITLE; AND
(3) 
REHABILITATION. THE CONTINUING REHABILITATION SERVICES FOR THE 
ODW FOUND TO BE ENTITLED TO COMPENSATION BENEFITS; INCLUDING, 
IF PRACTICABLE, THE ESTABLISHMENT OF REHABILITATION CENTERS 
EQUIPPED AND STAFFED TO PROVIDE A BALANCED PROGRAM OF REMEDIAL 
TREATMENT, VOCATIONAL ASSESSMENT AND PREPARATION DESIGNED TO 
MEET THE INDIVIDUAL NEEDS OF EACH ODW TO RESTORE THEM TO 
SUITABLE EMPLOYMENT, SUCH AS ASSISTANCE TO DEVELOP THEIR 
MENTAL, VOCATIONAL, OR SOCIAL POTENTIAL.
(b) 
To determine the rate of contribution payable by an employer whose records show 
a high frequency of work accidents or occupational diseases due to failure by the 
said employer to observe adequate safety measures;
81


1 
[c) To approve rules and regulations governing the processing of claims and the
2 
settlement of disputes arising therefrom as prescribed by the System;
3 
[d) To initiate policies and programs toward adequate occupational health and safety
4 
and accident prevention in the working environment, rehabilitation other than those
5 
provided for under Article i90185 hereof, and other related programs and activities,
6 
and to appropriate funds therefor;
7 
[e) To make the necessary actuarial studies and calculations concerning the grant of
8 
constant help and income benefits for permanent disability or death, and the
9 
rationalization of the benefits for permanent disability and death under the Title with
10 
benefits payable by the System for similar contingencies; Provided, That the
11 
Commission may upgrade benefits and add new ones; Provided, Further, That the
12 
actuarial stability of the State Insurance Fund shall be guaranteed BY THE
13 
NATIONAL GOVERNMENT; Provided, MOREOVER, That such increases in benefits
14 
shall not require any RESULT TO CORRESPONDING increases in EC contribution;
15 
PROVIDED, FINALLY, THAT IF THEY FALL UNDER PARAGRAPH (B) HEREOF, THE
16 
RESULTING INCREASE IN EC CONTRIBUTION SHOULD BE BORNE BY THE
17 
EMPLOYER;
18 
(f) To appoint the personnel of its staff, subject to civil service law and rules, but
19 
exempt from regulations ON SALARY STANDARDIZATION;
20 
(g) To adopt annually a budget of expenditures of the Commission and its staff
21 
chargeable against the State Insurance Fund: Provided, That the SSS and GSIS shall
22 
advance on a quarterly basis the remittances of allotment of the loading fund for
23 
the Commission's operational expenses based on its annual budget as duly approved
24 
by the DEPARTMENT of Budget and Management;
25 
(h) To have the power to administer oath and affirmation, and to issue subpoena ad
26 
testificandum and subpoena duces tecum in connection with any question or issue
27 
arising from appealed cases under this Title;
28 
(0 To sue and be sued in court;
29 
(j) To acquire property, real or personal, which may be necessary or expedient for the
30 
attainment of the purposes of this Title;
31 
[k) To enter into agreements or contracts for such services and as may be needed for
32 
the proper, efficient and stable administration of the program;
33 
(1) To perform such other acts as it may deem appropriate for the attainment of the
34 
purposes of the Commission and proper enforcement of the provisions of this Title.
35 
(183a)
36
82


1
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
27
28
29
30
31
32
33
34
35
Art. 173. Management of Funds. All revenues collected by the System under this Title 
shall be deposited, invested, administered and disbursed in the same manner and under 
the same conditions, requirements and safeguards as-pr-ovtded by Republic Act Numbered 
Eleven--Hundred- Sixty-One, as-amended,- with regard to such other funds as are 
thereunder being paid to or collected by the SSS and GSIS, respectively: Provided, That 
the Commission, SSS and GSIS may disburse each year not more than twelve percent 
(12%) of the contribution and investment earnings collected for operational expenses, 
including occupational health and safety programs, incidental to the carrying out of this 
Title. (184a)
Art. 174. Investment of Funds. Provisions of existing laws to the contrary 
notwithstanding, all revenues as are not needed to meet current operational expenses 
under this Title shall be accumulated in a fund to be known as the State Insurance Fund, 
which shall be used exclusively for payment of the benefits under this Title, and no 
amount thereof shall be used for any other purpose. All amounts accruing to the State 
Insurance Fund, which is hereby established in the SSS and GSIS, respectively, shall be 
deposited with any authorized depository bank approved by the Commission, or invested 
with due and prudent regard for the liquidity needs of the System. (185)
Art. 175. Settlement of Claims. The System shall have original and exclusive 
jurisdiction to settle any dispute arising from this Title with respect to coverage, 
entitlement to benefits, collection and payment of contributions and penalties thereon, or 
any other matter related thereto, subject to appeal to the Commission, which shall decide 
appealed cases within twenty (20) working days from the submission of the evidence. 
(186)
Art. 176. Review. Decisions, orders or resolutions of the Commission may be reviewed 
on certiorari by the Supreme Court on question of law upon petition of an aggrieved party 
within ten (10) days from notice thereof. (187)
Art. 177. Enforcement of Decisions.
(a) Any decision, order or resolution of the Commission shall become final and 
executory if no appeal is taken therefrom within ten (10) days from notice thereof. 
All awards granted by the Commission In cases appealed from decisions of the 
System shall be effected within fifteen days from receipt of notice.
83


1
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
27
28
29
30
31
32
33
34
35
36
(b) In all other cases, decisions, orders and resolutions of the Commission which have 
become final and executory shall be enforced and executed in the same manner as 
decisions of the Court of First Instance REGIONAL TRIAL COURT, and the 
Commission shali have the power to issue to the city or provincial sheriff or to the 
sheriff whom it may appoint, such writs of execution as may be necessary for the 
enforcement of such decisions, orders or resolutions, and any person who shall fail 
or refuse to comply therewith shail, upon application by the Commission, be 
punished by the proper court for contempt. (188a)
Chapter IV 
CONTRIBUTIONS
Art. 178. Employer's contributions.
(a) 
Under such reguiations as the System COMMISSION may prescribe, beginning as of 
the last day of the month when an employee^ EMPLOYEES' compulsory coverage 
takes effect and every month thereafter during his THEIR employment, his THEIR 
employer shall remit to the System a contribution equivalent to one percent of his 
THEIR monthly salary credit.
(b) 
The rate of contribution shall be reviewed periodically and, subject to the limitations 
herein provided, may be revised as the experience in risk, cost of administration, 
and actual or anticipated as well as unexpected losses, may require.
(c) 
Contributions under this Title shall be paid in their entirety by the employers and 
any contract or device for the deduction of any portion thereof from the wages or 
salaries of the empioyees shall be null and void.
(d) 
When a covered employees dies, becomes disabled or is ARE separated from 
employment, his THEIR employer's EMPLOYERS' obligation to pay the monthly 
contribution arising from that employment shall cease at the end of the month of 
contingency and during such months that he-is THEY ARE not receiving wages or 
salary.
(e) 
FOR VOLUNTARY MEMBERS UNDER THE PROGRAM, THE EMPLOYERS' 
CONTRIBUTION SHALL BE PAID IN ITS ENTIRETY BY THE MEMBERS OR MAY BE 
SUBSIDIZED SUBJECT TO THE REGULATIONS AS MAY BE PRESCRIBED BY THE 
COMMISSION. (189a)
Art. 179. Government guarantee. The Republic of the Philippines guarantees the
benefits under this Title, and accepts general responsibility for the soivency of the State
84


1
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
27
28
29
30
31
32
33
34
35
36
Insurance Fund. In case of any deficiency, the same shall be covered by supplemental 
appropriations from the national government. (190)
Chapter V
MEDICAL BENEFITS
Art. 180. Medical services. Immediately after aa employees contracts sickness or 
sustains-an injurlES, be THEY shall be provided by the System during the subsequent 
period of bis THEIR disability with such medical services and appliances as the nature of 
bis THEIR sickness or injury and progress of bis THEIR recovery may require, subject to 
the expense limitation prescribed by the Commission.
THE COMMISSION MAY DETERMINE THE SCHEME OF PAYMENT DEPENDING ON THE 
UTILIZATION FOR SUCH SERVICES. (191a)
Art. 181. Liability. The System shall have the authority to choose or order a change of 
physician, hospital or rehabilitation facility for the employee, and shall not be liable for 
compensation for any aggravation of the employee's injury or sickness resulting from 
unauthorized changes by the employee of medical services, appliances, supplies, 
hospitals, rehabilitation facilities or physicians, SUBJECT TO THE REGULATIONS 
PRESCRIBED BY THE COMMISSION. (192a)
Art. 182. Attending Physician. Any Physicians attending an TO injured or sick 
employees shall comply with all the regulations of the System COMMISSION and submit 
reports in prescribed forms at such time as may be required BY THE SYSTEM OR 
COMMISSION concerning bts THEIR condition or treatment. All medical information 
relevant to the particular injury or sickness shall on demand be made available to the 
employee or the System. No information developed in connection with treatment or 
examination for which compensation is sought shall be considered as privileged 
communication. (193a)
Art. 183. Refusal of examination or treatment. If the employees unreasonably 
refuses to submit to medical examination or treatment, the System shall stop the payment 
of further compensation during such time as such refusal continues. What constitutes an 
unreasonable refusal shall be determined by the System which may on its own initiative 
determine the necessity, character and sufficiency of any medical services furnished or 
to be furnished. (194)
85


1
2 
Art. 184. Fees and Other Charges. All fees and other charges for hospital services,
3 
medical care and appliances including professional fees shall not- be higher than those
4 
prevailing in wards of hospitals for-similar-scrvicos to-initH-ed-or sick persons in general
5 
and shall be subject to the regulations of the Commission. Professional fees shall only be
6 
appreciably higher than those prescribed under Republic Act Numbered Sixty-One
7 
Hundred Eleven,--as amended, otherwise k-nown-as the Philippine Medical Care Act-of
8 
(195a)
9
10 
Art. 185. Rehabilitation Services.
11 
(a) The System shall, as soon as practicable, establish a continuing program, for the
12 
rehabilitation of injured and handicapped employees who shall-be entitled to rehabilitation
13 
services, which-shafi-consist-of medical, surgical or hospital treatment, including
14 
appliances if they have been handicapped-by the injury, to help them become physically
15 
independent.
16 
(b) As soon as pr-acticable, the System shall establish centers-equipped and staffecK-e
17 
provide a balanced program of remedial -treatment, -vocational assessment -and
18 
preparation designed to meet the individual needs of each handicapped employee-to
19 
restore him to suitable-employment, including assistance as-may be within its resources,
20 
to help each rehabilitee to develop his mental, vocational or social potential.
21 
(a) THE COMMISSION SHALL ESTABLISH A REHABILITATION PROGRAM DESIGNED TO
22 
MEET THE INDIVIDUAL NEEDS OF WORKERS WITH DISABILITY TO RESTORE
23 
THEIR EARNING CAPACITY OR IMPROVE THEIR PHYSICAL FUNCTIONING, IN
24 
CASES OF PERMANENT TOTAL DISABILITY. IN THIS REGARD, THE COMMISSION
25 
MAY MAINTAIN OR AVAIL OF THE SERVICES OF SPECIALIZED PRIVATE AND
26 
PUBLIC REHABILITATION FACILITIES OR CENTERS THAT CAN PROVIDE THE
27 
NECESSARY ASSISTANCE, SUCH AS, BUT NOT LIMITED TO MEDICAL, SURGICAL
28 
OR HOSPITAL TREATMENT, INCLUDING APPLIANCES, THAT ARE APPROPRIATE TO
29 
THE NEEDS OF WORKERS WITH DISABILITY.
30 
(b) ARRANGEMENTS FOR PLACEMENT OF VOCATIONALLY OR TECHNICALLY TRAINED
31 
WORKERS WITH DISABILITY SHALL BE AN INTEGRAL PART OF THE
32 
REHABILITATION PROGRAM. AS INCENTIVE TO THE PARTICIPATING EMPLOYERS,
33 
THE COMMISSION MAY ENTER INTO AGREEMENTS TO PARTICIPATE IN THE
34 
PAYMENT OF WAGES OF THE PLACED ODW, UNDER SUCH RULES AND
35 
REGULATIONS PRESCRIBED BY THE COMMISSION SUBJECT TO THE VIABILITY OF
36 
THE STATE INSURANCE FUND. (196a)
86


1
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
27
28
29
30
31
32
33
34
35
36
Chapter VI
DISABILITY BENEFITS
Art. 186. Temporary Total Disability.
(a) 
Under such regulations as the Commission may approve, any employees under this 
Title who sustains an injury or contracts sickness resulting in temporary total 
disability shall for each day of such a disability or fraction thereof, be paid by the 
System an income benefit equivalent to ninety percent (90%) of bis THEIR average 
daily salary credit, subject to the following conditions-: PROVIDED/ THAT the daily 
income benefit shall not be paid for a continuous period longer than one hundred 
twenty (120) days, except as otherwise provided for in the Rules, and the System 
shall be notified of the injury or sickness.
(b) 
The monthly income benefit shall be in accordance with the regulations of the 
Commission. (197a)
Art. 187. Permanent Total Disability.
(a) 
Under such regulations as the Commission may approve, any-employeeS under this 
Title who contracts sickness or sustain an injury resulting in bis THEIR permanent 
total disability shall, for each month until bis THEIR death, be paid by the System 
during such a disability, an amount equivalent to the monthly income benefit, plus 
ten percent (10%) thereof for each dependent child, but not exceeding five (5), 
beginning with youngest and without substitution: Provided, That the monthly 
income benefit shall be the new amount of the monthly benefit for all covered
pensioners, effective upon approval of this Decree.
(b) 
The monthly income benefit shall be guaranteed for five (5) years REGARDLESS OF 
WHETHERTHE EMPLOYEES ARE GAINFULLY EMPLOYED OR RECOVER FROM THEIR 
DISABILITY OR FAIL TO PRESENT THEMSELVES TO THE SYSTEM. HOWEVER, THE 
SAME and shall be suspended if the employees ts-ARE gainfully employed, or 
recovers from bis THEIR permanent total disability, or fails to present himself 
THEMSELVES for examination at least once a year upon notice by the System, 
except as otherwise provided for in other laws, decrees, orders or Letters of 
Instructions.
(c) 
The following disabilities shall be deemed total and permanent TOTAL DISABILITY:
1. Temporary total disability lasting continuously for more than one hundred twenty daysy
except as otherwise provided for in the Rules-/
87


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
(1) Complete loss of sight of both eyes;
(2} Loss of two limbs at or above the ankle or wrist;
[3) 
Permanent complete paralysis of two limbs;
(4] 
Brain injury resulting in incurable imbecility or insanity; afid
(5) 
PROFOUND, SEVERE HEARING LOSS ON BOTH EARS; AND
(6) 
Such cases as determined by the Medical Director of the System and approved by 
the Commission.
(d) The number of months of paid coverage shall be defined and approximated by a 
formula to be approved by the Commission. (198a)
Art. 188. Permanent Partial Disability.
(a) 
Under such regulation as the Commission may approve, any employee under this 
Title who contracts sickness or sustains an injury resulting in permanent partial 
disability shall, for each month not exceeding the period designated herein, be paid 
by the System during such a disability an income benefit for permanent total 
disability EQUIVALENT TO THE MONTHLY INCOME BENEFIT.
(b) 
The benefit shall be paid for not more than the period designated in the following 
schedule:
Complete and permanent
No. of Months
loss of the use of
One thumb
10
One index finger
8
One middle finger
6
One ring finger
5
One little finger
3
One big toe
6
Any toe
3
One arm
50
One hand
39
One foot
31
One leg
46
One ear
10
Both ears
20
88


1
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
27
28
29
30
31
32
33
34
35
36
Hearing of one ear
10
Sight of one eye
25
(c) 
A loss of a wrist shall be considered as a loss of the hand, and a loss of an elbow 
shall be considered as a loss of the arm. A loss of an ankle shall be considered as a 
loss of the foot, and a loss of a knee shall be considered as a loss of the leg. A loss 
of more than one joint shall be considered as a loss of the whole finger or toe, and 
a loss of only the first joint shall be considered as a loss of one-half of the whole 
finger or toe: Providedt That such a loss shall be either the functional loss of the 
use or physical loss of the member. (As amended by Sec. 7, P.D. 1368)
(d) 
In case of permanent partial disability less than the total loss of the member 
specified in the preceding paragraph, the same monthly income benefit shall be paid 
for a portion of the period established for the total loss of the member in accordance 
with the proportion that the partial loss bears to the total loss. If the result is a 
decimal fraction, the same shall be rounded off to the next higher integer.
(e) 
In cases of simultaneous loss of more than one member or a part thereof as 
specified in this Article, the same monthly income benefit shall be paid for a period
89


1
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
27
28
29
30
31
32
33
34
35
36
equivalent to the sum of the periods established for the loss of the member or a 
part thereof. If the result is a decimal fraction, the same shall be rounded off to the 
next higher integer.
(f) 
In cases of injuries or illnesses resulting in a permanent partial disability not listed 
in the preceding schedule, the benefit shall be an income benefit equivalent to the 
percentage of the permanent loss of the capacity for work. (As amended by Sec. 7, 
P.D. 1368)
(g) 
Under such regulations as the Commission may approve, the income benefit payable 
in case of permanent partial disability may be paid in monthly pension or in lump 
sum If the period covered does not exceed one year. (As added by Sec. 7, P.D. 
1368)(199a)
Chapter VII 
DEATH BENEFITS
Art. 189. Death.
(a) 
Under such regulations as the Commission may approve, the System shall pay to 
the primary beneficiaries upon the death of the covered employees under this Title 
an amount equivalent to his THEIR monthly income benefit, plus ten percent (10%) 
thereof for each dependent child, but not exceeding five (5), beginning with the 
youngest and without substitution, except as provided for in paragraph (j) of Article 
466 PARAGRAPH (M) OF ARTICLE 164 hereof. However, if he has THEY HAVE no 
primary beneficiary, the System shall pay to his THEIR secondary beneficiaries. The 
monthly income benefit shall be guaranteed for five years and shall not be less than 
fifteen thousand pesos.
HOWEVER, SHOULD THE SURVIVING SPOUSE REMARRY, THEY SHALL NOT BE 
ENTITLED TO RECEIVE THE BENEFITS. (As amended by Sec. 4, P.D. 1921)
(b) 
Under such regulations as the Commission may approve, the System shall pay to 
the primary beneficiaries upon the death of a covered employees who are under 
permanent total disability under this Title, eighty percent (80%) of the monthly 
income benefit and his THEIR dependents to the dependent's pension; Provided, 
That the marriage must have been validly subsisting at the time of disability: 
Provided, further. That if ho has THEY HAVE no primary beneficiary, the System 
shall pay to his THEIR secondary beneficiaries the monthly pension excluding the
90


1
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
27
28
29
30
31
32
33
34
35
36
dependents pension, of the remaining balance of the five-year guaranteed period: 
Provided, Finally, That the minimum death benefit shall not be less than fifteen 
thousand pesos (P15,000.00). (As amended by Sec. 4, P.D. 1921) 
b;—The monthly-incomG benefit provided-herein shall be the new amount of-the
monthly income benefit for the surviving beneficiaries upon the approval of this
dccrcG.
(c) Funeral benefit—A The funeral benefit of-Three-Thousand Pesos (P3,000.00) shall 
be paid upon the death of a covered employee or permanently totally disabled 
pensioner, IN THE AMOUNT PRESCRIBED BY THE COMMISSION BUT IN NO CASE 
LESS THAN THREE THOUSAND PESOS (P3,000.00). (200a)
Chapter VIII
PROVISIONS COMMON TO INCOME BENEFITS
Art. 190. Relationship and Dependency. All questions of relationship and
dependency shall be determined as of the time of death. (201)
Art. 191. Delinquent contributions.
(a) 
An-EmployerS who is ARE delinquent in bis THEIR contributions shall be liable to 
the System for the benefits which may have been paid by the System to his THEIR 
employees or their dependents, and any benefit and expenses to which such 
employers is ARE liable shall constitute a lien on all his THEIR property, real or 
personal, which is hereby declared to be preferred to any credit, except taxes. The 
payment by the employers of the lump sum equivalent of such liability shall absolve 
him THEM from the payment of the delinquent contributions and penalty thereon 
with respect to the employees concerned.
(b) 
Failure or refusal of the employers to pay or remit the contributions herein 
prescribed shall not prejudice the right of the employees or his THEIR dependents 
to the benefits under this Title. If the sickness, injury, disability or death occurs 
before the System receives any report of the name of his THEIR employees, the 
employers shall be liable to the System for the lump sum equivalent to the benefits 
to which such employees or his THEIR dependents may be entitled. (202a)
Art. 192. Second Injuries. If any employees under permanent partial disability suffers
another injury which results in a compensable disability greater than the previous injury.
91


1
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
27
28
29
30
31
32
33
34
35
the State Insurance Fund shall be liable for the income benefit of the new disability: 
Provided, That if the new disability is related to the previous disability, the System shall 
be liable only for the difference in income benefits. (203)
Art. 193. Assignment of benefits. No claim for compensation under this Title shall be 
compensable is transferable, or liable to tax, attachment, garnishment, levy or seizure by 
or under any legal process whatsoever, either before or after receipt by the person or 
persons entitled thereto, except to pay any debt of the employee to the System. (204)
Art. 194. Earned Benefits. Income benefits shall, with respect to any period of 
disability, be payable in accordance with this Title to aft employees who is cfttiticd to 
receive REGARDLESS OF ENTITLEMENT TO wages, salaries or allowance for holidays, 
vacation or sick leaves and any award of benefit under a collective bargaining or other 
agreement. (205a)
Art. 195. EMPLOYER'S LIABILITY FOR FAILURE TO PROVIDE Safety Devices.
In case the employee's injury or death was due to the failure of the employer to comply 
with any law, or to install and maintain safety devices, or take other precautions for the 
prevention of injury, said employer shall pay to the State Insurance Fund a penalty of 
twenty-five percent (25%) of the lump sum equivalent of the income benefit payable by 
the System to the employee. All employers, especially those who should have been paying 
a rate of contribution higher than that required of them under this Title, are enjoined to 
undertake and strengthen measures for the occupational health and safety of their 
employees. (206a)
Art. 196. Prescriptive Period. No claim for compensation shall be given due course 
unless said claim is filed with the System within three TEN (10) years from the time the 
cause of action accrued; PROVIDED, HOWEVER, THAT WHEN A CLAIMANT FILED CLAIMS 
FOR DISABILFTY OR DEATH BENEFITS BEFORE THE SYSTEMS, EITHER UNDER THE SSS 
LAW OR THE GSIS LAW, THE CLAIM FOR THE SAME BENEFITS SHOULD BE CONSIDERED 
AS FILED. (207a; B.R. NO. 10-03-45, MARCH 17, 2010)
Art. 197. Erroneous Payment.
(a) If the System in good faith pays income benefit to a dependents who is ARE inferior 
in right to aftother dependents or with whom aftother dependents is ARE entitled to
92


1
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
27
28
29
30
31
32
33
34
35
share, such payment shall discharge the System from liability, unless and until such 
other dependents notifiesy the System of bts THEIR claim prior to the payments, 
(b) In case of doubt as to the respective rights of rival claimants, the System is hereby 
empowered to determine as to whom payments should be made in accordance with 
such regulations as the Commission may approve. If the money is payable to a 
minors or incompetents, payment shall be made by the System to such person or 
persons as it may consider to be best qualified to take care and dispose of the 
minor's or incompetent's property for his THEIR benefit. (208a)
Art. 198. Prohibition. No agent, attorney or other person pursuing or in charge of the 
preparation or filing of any claim for benefit under this Title shall demand or charge for 
his THEIR services any fee, and any stipulation to the contrary shall be null and void.
The retention or deduction of any amount from any benefit granted under this Title for 
the payment of fees of such services is prohibited. IN CASE OF VIOLATION OF THIS 
PROVISION, THE CLAIMANT MAY REPORT THE SAME TO THE COMMISSION.
Violation of any provision of this Article shall be punishable by a fine of not less than five 
Hundred Pesos nor more than-Fivc Thousand Pesos TEN THOUSAND PESOS (P10,000.00) 
NOR MORE THAN TWENTY THOUSAND PESOS (P20,000.00), or imprisonment for not 
less than six (6) months nor more than one (1) year, or both, at the discretion of the 
court. (209a)
Art. 199. Exemption from Levy, Tax, etc. All laws to the contrary notwithstanding, 
the State Insurance Fund and all its assets shall be exempt from any tax, fee, charge, 
levy, or customs or Import duty, and no law hereafter enacted shall apply to the State 
Insurance Fund unless it is provided therein that the same is applicable by expressly 
stating its name. (210)
Chapter IX
RECORDS, REPORTS AND PENAL PROVISIONS 
Art. 200. Record of Death or Disability.
(a) All employers shall keep a logbook to record chronologically OF the sickness, injury 
or death of their employees, IN CHRONOLOGICAL ORDER, setting forth therein their
93


1
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
27
28
29
30
31
32
33
34
35
names, dates and places of the contingency, nature of the contingency and 
absences.
(b) 
Entries in the logbook RECORD shall be made within five (5) days from notice or 
knowledge of the occurrence of the contingency.
(c) 
Within five (5) days after entry in the log book RECORD, the employers shall report 
to the system only those contingencies be THEY deems to be work-connected.
(d) 
All entries in the employer's logbook RECORD shall be made by the employers or 
any of his THEIR authorized officials after verification of the contingencies or the 
employee's employees' absences for a period of a day or more.
(e) 
Upon request by the System, the employers shall furnish the necessary certificate 
regarding information about any contingency appearing in the logbool^RECORD, 
citing the entry number, page number and date. Such logbook RECORD shall be 
made available for inspection to the duly authorized representatives of the system.
(f) 
Should any employers fail to record an actual sickness, injury or death of any of his 
THEIR employees within the period prescribed herein, give false information or 
withhold material information already in his THEIR possession, he THEY shall be 
held liable for fifty percent (50%) of the lump sum equivalent of the income benefit 
to which the employees may be found to be entitled, the payment of which shall 
accrue to the State Insurance Fund.
(g) 
In case of payment of benefits for any claim which is later determined to be 
fraudulent and the employers Is ARE found to be a party to the fraud, such 
employers shall reimburse TO the System the full amount of the compensation paid. 
(211a)
Art. 201. Notice of Sickness, Injury or Death. Notice of sickness, injury or death 
shall be given to the employers by the employees or by his THEIR dependents or anybody 
on his THEIR behalf within five (5) days from the occurrence of the contingency. No 
notice to the employers shall be required if the contingencylES IsARE known to the 
employers or his THEIR agents or representatives. (212a)
ART. 202. REPORT OF CONTINGENCIES IN THE WORKPLACE. EMPLOYERS SHALL 
SUBMIT A REPORT OF THE CONTINGENCIES OCCURRING IN THE WORKPLACE TO THE 
REGIONAL OFFICES OF THE DOLE, (new)
Art. 203. Penal Provisions.
94


1 
(a) The penal provisions of Republic Act Numbered Eleven Hundred -Sixty One NOS.
2 
1161 AND 8282, as amended, and Commonwealth-Act-IMuniberecI One-Hundred
3 
Eighty Six NO. 186, as amended, AND-REPUBLIC ACT NOS. 1161 AND-S29^ THE
4 
LAWS GOVERNING THE SSS AND THE GSIS, with regard to the funds as are
5 
thereunder being paid to, collected or disbursed by the System, shail be appiicable
6 
to the collection, administration and disbursement of the Funds under this Title. The
7 
penal provisions on coverage shall also be applicable.
8 
(b) Any Persons, who for the purpose of securing entitlement to any benefit or payment
9 
under this Title or the issuance of any certificate or document for any purpose
10 
connected with this Title, whether for him THEM or for some other person, commits
11 
fraud, collusion, falsification, misrepresentation of facts or any other kind of anomaly
12 
shall be punished with a fine of not less than Five Hundred Pesos ONE HUNDRED
13 
THOUSAND PESOS (P100,000.00) NOR MORE THAN Five Thousand Pesos FIVE
14 
HUNDRED THOUSAND PESOS (P500,000.00) and an Imprisonment for not less than
15 
six (6) months YEARS AND ONE DAY nor more than one year TWELVE (12) YEARS,
16 
at the discretion of the court.
17 
(c) If the act penalized by this Article is committed by any persons who has HAVE been
18 
or is ARE employed by the Commission or System, or a recidivists, the imprisonment
19 
shall not be less than one year; if committed by lawyers, physicians or other
20 
professionals, he THEY shall, in addition to the penalty prescribed herein, be
21 
disqualified from the practice of his THEIR profession; and if committed by any
22 
officials, employees or personnel of the Commission, System or any government
23 
agency, he THEY shall, in addition to the penalty prescribed herein, be dismissed
24 
with prejudice to reemployment In the government service. (213a)
25
26 
Art. 204. Applicability. This Title shall apply only to WORK-RELATED injury, sickness,
27 
disability or death occurring on or after January 1, 1975 THE EFFECTIVITY OF THIS
28 
CODE. (214a)
29
30 
Art. 205. Repeal OF LAWS. All existing laws. Presidential Decrees and Letter of
31 
Instructions which are inconsistent with or contrary to this Decree, are hereby repealed:
32 
Provided, That in the case of the GSIS, conditions for entitlement to benefits shall be
33 
governed by tho-fcaber THIS Code, as amended: Provided, However, That the formulas
34 
for THE computation of benefits, as well as the contribution base, shall be those provided
35 
for under Commonwealth Act Numbered One Hundred Eighty Six, as amended by
95


1
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
27
28
29
30
31
32
33
34
35
36
ProsidcntiDl DGcroG No. 1146, THE LAW GOVERNING THE GSIS, plus twenty percent
(20%) thereof. (215a)
Title III 
MEDICARE
Title III
ADULT EDUCATION
Art. 206. Adult Education. Every ALL employers shall render assistance in the
estabiishment and operation of adult education programs for their workers and
employees as prescribed by regulations jointly approved by the Deportment of Labor and
EmploymentDOLE and the Department of Education, Culture-and Sports. (217a)
Book Five 
Labor Relations
Art. 207. Declaration of Policy.
A. 
It Is the policy of the State:
(a) 
To promote and emphasize the primacy of free collective bargaining and 
negotiations and the use of alternative modes of dispute resolution, including 
mediation, as modes of settling industrial or labor disputes;
(b) 
To promote free trade unionism as an instrument for the enhancement of 
democracy and the promotion of social justice and development;
(c) 
To foster the free and voluntary organization of a strong and united labor 
movement;
(d) 
To promote the enlightenment of workers concerning their rights and obligations as 
union members and as employees;
(e) 
To provide an adequate administrative machinery for the expeditious settlement of 
industrial and labor disputes;
(f) 
To ensure a stable but dynamic and just industrial peace; and
(g) 
To ensure the participation of workers in decision and policy-making processes 
affecting their rights, duties and welfare.
B. 
To encourage a truly democratic method of regulating the relations between the 
employers and employees by means of agreements freely entered into through 
collective bargaining, no court or administrative agency or official shall have the
96


1
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
27
28
29
30
31
32
33
34
35
36
power to set or fix wages, rates of pay, hours of work or other terms and conditions 
of employment, except as otherwise provided under this Code. (218)
Chapter 11 
DEFINITIONS
Art. 208. Definitions.
(a) "Commission" moons the National Labor Relations Commission or any of its divisions,
as the casc-may-bGrQS provided under this Code.
(a) d-organization or collective bargaining, OR A PERSON WHO WORKS OR IS 
EMPLOYED IN PLACE OF OTHERS WHO ARE ON STRIKE. (219a)
Title 11
RESOLUTION OF INDUSTRIAL AND LABOR DISPUTES
Chapter 1
CREATION AND COMPOSITION
ART. 209. A. COURT OF LABOR RELATIONS. THERE IS HEREBY ESTABLISHED A 
JUDICIAL BODY, KNOWN AS THE COURT OF LABOR RELATIONS (CLR), A LABOR-DISPUTE 
RESOLUTION BODY TASKED TO PROMOTE AND MAINTAIN INDUSTRIAL PEACE BY 
RESOLVING INDUSTRIAL AND LABOR DISPUTES. ALL UNEXPENDED FUNDS, 
PROPERTIES, EQUIPMENT AND RECORDS OF THE COMMISSION, AND SUCH OF ITS 
PERSONNEL AS MAY BE NECESSARY, ARE HEREBY TRANSFERRED TO THE CLR WHICH 
SHALL BE UNDER THE ADMINISTRATIVE AND FISCAL SUPERVISION OF THE SUPREME 
COURT.
B. MEDIATORS. EACH MEDIATOR SHALL BE APPOINTED BY THE SUPREME COURT, 
PROVIDED THAT EACH MEDIATOR SHOULD:
(1) 
HAVE AT LEAST FIVE (5) YEARS OF EXPERIENCE IN HANDLING INDUSTRIAL OR 
LABOR MATTERS;
(2) 
HAVE AT LEAST ONE HUNDRED TWENTY (120) HOURS OF RELEVANT TRAINING ON 
ALTERNATIVE DISPUTE RESOLUTION GIVEN BY AN INSTITUTION ACCREDITED BY 
THE CLR OR BY THE OFFICE FOR ALTERNATIVE DISPUTE RESOLUTION CREATED 
UNDER REPUBLIC ACT NO. 9285; AND
97


1
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
27
28
29
30
31
32
33
34
35
36
(3) AFTER BEING APPOINTED, UNDERGO REGULAR TRAINING ON ALTERNATIVE 
DISPUTE RESOLUTION GIVEN BY AN ACCREDITED INSTITUTION OF THE CLR OR 
BY THE OFFICE FOR ALTERNATIVE DISPUTE RESOLUTION CREATED UNDER 
REPUBLIC ACT NO. 9285.
MEDIATORS SHALL HOLD OFFICE DURING GOOD BEHAVIOR UNTIL THEY REACH SIXTY- 
FIVE (65) YEARS OF AGE OR UNLESS SOONER REMOVED FOR VIOLATION OF THEIR 
DUTIES UNDER THE LAW OR RULES OR BECOME INCAPACITATED TO DISCHARGE THE 
DUTIES OF THEIR OFFICE.
THE SUPREME COURT SHALL FORMULATE AND ISSUE A CODE OF CONDUCT FOR 
MEDIATORS IN INDUSTRIAL AND LABOR DISPUTES, WHICH SHALL PROVIDE FOR THE 
STANDARD OF CONDUCT EXPECTED FROM ALL MEDIATORS OF THE CLR IN 
DISCHARGING THEIR DUTIES. VIOLATION OF SAID CODE OF CONDUCT SHALL BE A 
GROUND TO DISMISS A MEDIATOR FROM OFFICE.
C. JUDGES. JUDGES MAY BE CALLED UPON BY THE CLR TO HEAR AND DECIDE AN 
INDUSTRIAL OR LABOR DISPUTE PROVIDED THAT THEY ARE MEMBERS OF THE BAR IN 
GOOD STANDING AND LISTED IN THE CLR'S OFFICIAL LIST OF JUDGES. FOR THIS 
PURPOSE, THE CLR SHALL MAINTAIN A LIST OF ACCREDITED JUDGES, WHICH SHALL BE 
REVIEWED ANNUALLY BY THE SUPREME COURT.
IN ADDITION TO PROCEDURES AND REQUIREMENTS DETERMINED BY THE SUPREME 
COURT, ACCREDITATION SHALL ENSURE THAT JUDGES ARE PERSONS OF DISTINCTION 
IN WHOM EMPLOYERS, EMPLOYEES, EMPLOYEES' GROUPS AND THE GOVERNMENT CAN 
HAVE TRUST AND CONFIDENCE. JUDGES SHOULD HAVE AT LEAST TEN (10) YEARS OF 
PRACTICE AND AT LEAST FIVE (5) YEARS OF EXPERIENCE IN HANDLING INDUSTRIAL OR 
LABOR MATTERS. THEY SHALL HAVE NO PERSONAL OR FINANCIAL INTEREST IN THE 
RESULTS OF THE PROCEEDINGS IN WHICH THEY ARE APPOINTED AND SHALL HAVE NO 
RELATION TO THE UNDERLYING DISPUTE OR TO THE PARTIES OR THEIR COUNSEL THAT 
MAY CREATE AN APPEARANCE OF BIAS.
D. STAFF. THE SUPREME COURT SHALL APPOINT THE STAFF AND EMPLOYEES OF THE 
CLR AND ITS REGIONAL BRANCHES, INCLUDING SHERIFFS, AS THE NEEDS OF THE 
SERVICE MAY REQUIRE, SUBJECT TO THE CIVIL SERVICE LAW, RULES, AND 
REGULATIONS, (new)
98


1
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
27
28
29
30
31
32
33
34
35
36
CHAPTER II 
POWERS AND DUTIES
Art. 210. Jurisdiction of the Labor-Arbiters and the-Cimtimission COURT OF 
LABOR RELATIONS, (a) Except as otherwise provided under this Code, the Labor 
ArbitofS THE CLR shall have the exclusive and original jurisdiction to hear and decide 
within thirty (30) calendar days after thc-5ubmission of the cose by the parties for decision
without extension, even in the absence of stenographic notcsT^ihc following upon cases 
of all workers, whether agricultural or non-agricultural, TO WIT:
(1) 
Unfair Labor Practice cases;
(2) 
Termination disputes EXCEPT DISPUTES IN ORGANIZED ESTABLISHMENTS, 
WHICH INVOLVE THE IMPLEMENTATION OR ENFORCEMENT OF COMPANY 
PERSONNEL POLICIES;
(3) 
If accompanied with a claim for reinstatement, those Cases involving wages, rates 
of pay, hours of work and other terms and conditions of employment;
(4) 
Claims for actual, moral, exemplary and other forms of damages arising from 
employer-employee relationship;
5. Cases arising from any violation of Article 264 of this Code, including questions
involving the logality of-strikes and lockouts
(5) 
WAGE DISTORTION DISPUTES IN UNORGANIZED ESTABLISHMENTS;
(6) 
ENFORCEMENT OF COMPROMISE AGREEMENTS;
(7) 
MONEY CLAIMS ARISING OUT OF EMPLOYER-EMPLOYEE RELATIONSHIP OR BY 
VIRTUE OF LAW OR CONTRACT;
(8) 
Except claims for Employees Compensation, Social Security, Medicare and maternity
benefits, all other Cases involving claims arising from an employer-employee 
relations, including those of persons in domestic or household service, involving an
amount exceeding five thousand pesos (P5,0QQ.0Q) regardless of whether
accompanied with a claim for reinstatement RELATIONSHIP OF OVERSEAS FILIPINO 
WORKERS PURSUANTTO REPUBLIC ACT 8042, AS AMENDED, OTHERWISE KNOWN 
AS THE MIGRANT WORKERS AND OVERSEAS FILIPINOS ACT OF 1995;
(9) 
CASES ARISING FROM VIOLATION OF PROVISIONS OF THE LABOR CODE.
(10) CLAIMS INVOLVING INJUNCTION AND TEMPORARY RESTRAINING ORDERS 
ARISING FROM THE DISPUTES ENUMERATED HEREIN; AND
(11) OTHER CASES AS MAY BE PROVIDED BY LAW.
99


1
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
27
28
29
30
31
32
33
34
35
36
(b) The Commission shall havc-cx-clusivc-oppcIlQtG-jijfisdictiori over all coscs-dccidcd by
Labor Arbiters.
(c-> Cases arising-from the interpretation or impIcnriGntation of collcctivo bargoining
agrccnriGnts and those arising from the interpretation or enforcement of company
personnel poricies-sbati-be-eftsposed of by the Labor Arbiter-by referring the same to the
grievance machinery and voluntary arbitration as may be provided in said agreementST
NO CLAIM, COMPLAINT OR PETITION, INCLUDING THOSE FOR RESTRAINING ORDERS 
OR INJUNCTIVE RELIEF, ARISING OUT OF, RELATED TO, OR INVOLVING THE ABOVE 
DISPUTES SHALL BE HEARD OR DECIDED BY ANY OTHER COURT OR TRIBUNAL, EXCEPT 
BY THE SUPREME COURT, WHICH MAY GIVE DUE COURSE TO A PETITION FOR 
CERTIORARI INVOLVING AN AWARD OF THE CLR JUDGES.
HOWEVER, REGISTRATION OF LABOR ORGANIZATIONS AND PROCEEDINGS TO 
DETERMINE MAJORITY REPRESENTATION AMONG EMPLOYEES SHALL CONTINUE TO BE 
FILED WITH THE APPROPRIATE REGIONAL OFFICE AND SHALL NOT BE WITHIN THE 
JURISDICTION OF THE CLR AS HEREIN DEFINED. (224a)
ART. 211. A. IMMEDIATE REFERRAL TO MEDIATION. ALL DISPUTES FILED WITH 
THE CLR SHALL IMMEDIATELY BE REFERRED TO A MEDIATOR WHO SHALL MEDIATE 
BETWEEN THE PARTIES FOR A PERIOD NOT EXCEEDING SIXTY (60) CALENDAR DAYS 
FROM THE DATE OF THE INITIAL CONFERENCE WITHOUT EXTENSION. AFTER A CLAIM 
IS FILED, THE CLR SHALL SETTHE CASE FOR PRELIMINARY CONFERENCE AND SEND THE 
NOTICE TO THE PARTIES NOT LATER THAN FIVE (5) DAYS AFTER REFERRAL TO A 
MEDIATOR.
THE MEDIATOR SHALL BE CHOSEN BY THE CLR UPON CONSIDERING THE NATURE AND 
COMPLEXITY OF THE CLAIMS AS WELL AS THE PREFERENCES OF THE PARTIES, IF 
KNOWN. ONE (1) MEDIATOR WILL BE APPOINTED UNLESS THE CLR DETERMINES THAT 
ANOTHER NUMBER IS MORE APPROPRIATE TO THE CIRCUMSTANCES OF THE CASE.
IN ALL DISPUTES, NO PERSON SHALL SERVE AS A MEDIATOR IN ANY DISPUTE IN WHICH 
THAT PERSON HAS ANY FINANCIAL OR PERSONAL INTEREST IN THE RESULT OF THE 
MEDIATION, EXCEPT BY THE WRITTEN CONSENT OF ALL PARTIES. PRIOR TO 
ACCEPTING AN APPOINTMENT, THE PROSPECTIVE MEDIATOR SHALL DISCLOSE ANY 
CIRCUMSTANCE LIKELY TO CREATE A PRESUMPTION OR APPEARANCE OF BIAS. UPON 
RECEIPT OF SUCH INFORMATION, THE CLR SHALL EITHER REPLACE THE MEDIATOR OR
100


1
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
27
28
29
30
31
32
33
34
35
IMMEDIATELY COMMUNICATE THE INFORMATION TO THE PARTIES FOR THEIR 
COMMENTS. THE CLR IS AUTHORIZED TO APPOINT ANOTHER MEDIATOR IF THE 
APPOINTED MEDIATOR IS UNABLE TO SERVE PROMPTLY.
B. PROCESS OF MEDIATION.
1. REPRESENTATION. ANY PARPi' MAY BE REPRESENTED BY A PERSON OF THE 
PARTY'S CHOICE. THE NAMES AND ADDRESSES OF SUCH PERSONS SHALL BE 
COMMUNICATED BY THE RESPECTIVE PARTIES IN WRITING TO ALL PARTIES AND TO 
THE CLR.
2. DATE, TIME, AND PLACE OF MEDIATION. THE MEDIATOR SHALL FIX THE DATE 
AND THE TIME OF EACH MEDIATION SESSION. THE MEDIATION SHALL BE HELD ATTHE 
APPROPRIATE REGIONAL OFFICE OF THE CLR, OR AT ANY OTHER CONVENIENT 
LOCATION AGREEABLE TO THE MEDIATOR AND THE PARTIES, AS THE MEDIATOR SHALL 
DETERMINE.
3. IDENTIFICATION OF MATTERS IN DISPUTE. THE MEDIATOR SHALL EXERCISE 
COMPLETE CONTROL OVER ALL MEDIATION PROCEEDINGS IN PURSUIT OF A JUST, 
ADEQUATE, AND SPEEDY AGREEMENT BETWEEN THE PARTIES. DURING THE FIRST 
HEARING, THE MEDIATOR SHALL IDENTIFY THE ISSUES INVOLVED AND THE 
RESPECTIVE OPINIONS OF THE PARTIES THERETO. THE PARTIES WILL BE EXPECTED 
TO PRODUCE ALL INFORMATION REASONABLY REQUIRED FOR THE MEDIATOR TO 
UNDERSTAND THE ISSUES PRESENTED. FOR THIS PURPOSE, THE MEDIATOR MAY ISSUE 
SUBPOENAS DUCES TECUM AND SUBPOENAS AD TESTIFICANDUM JO REQUIRE THE 
PRODUCTION OF NECESSARY DOCUMENTS, PROPERTY, OR PERSONS AND MAY CITE 
PERSONS IN VIOLATION OF SUCH ORDERS IN CONTEMPT.
4. AUTHORITY OF MEDIATOR. THE MEDIATOR DOES NOT HAVE THE AUTHORITY TO 
IMPOSE A SETTLEMENT ON THE PARTIES BUT WILL ATTEMPT TO HELP THEM REACH A 
SATISFACTORY RESOLUTION OF THEIR DISPUTE. THE MEDIATOR IS AUTHORIZED TO 
CONDUCT JOINT AND SEPARATE MEETINGS WITH THE PARTIES AND SHALL MAKE 
WRITTEN RECOMMENDATIONS FOR SETTLEMENT. WHENEVER NECESSARY, THE 
MEDIATOR MAY ALSO OBTAIN EXPERT ADVICE CONCERNING TECHNICAL ASPECTS OF 
THE DISPUTE.
101


1
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
27
28
29
30
31
32
33
34
35
36
THE MEDIATOR MAY SEEK THE AGREEMENT OF THE PARTIES TO RESORT TO VARIOUS 
METHODS OF ADR INCLUDING CONCILIATION, MEDIATION, AND ARBITRATION.
THE MEDIATOR IS AUTHORIZED TO END THE MEDIATION UPON THE EXECUTION OF A 
SETTLEMENT AGREEMENT BY THE PARTIES, WHICH SHALL BE DULY ATTESTED BY THE 
MEDIATOR. ANY SETTLEMENT REACHED BY THE PARTIES DULY ATTESTED BY THE 
MEDIATOR SHALL BE BINDING BETWEEN THE PARTIES AND MAY BE EXECUTED AS 
PROVIDED IN ARTICLE 216.
THE MEDIATOR IS AUTHORIZED TO END THE MEDIATION BY A WRITTEN DECLARATION 
OF A PARTY OR PARTIES TO THE EFFECT THAT THE MEDIATION PROCEEDINGS ARE 
TERMINATED OR WHENEVER, IN THE JUDGMENT OF THE MEDIATOR, FURTHER 
EFFORTS AT MEDIATION WOULD NOT CONTRIBUTE TO A RESOLUTION OF THE DISPUTE 
BETWEEN THE PARTIES.
5. PRIVACY. MEDIATION SESSIONS ARE PRIVATE AND INFORMATION GENERATED 
THEREFROM IS CONFIDENTIAL. THE PARTIES AND THEIR REPRESENTATIVES MAY 
ATTEND MEDIATION SESSIONS, BUT OTHER PERSONS MAY ATTEND ONLY WITH THE 
PERMISSION OF THE PARTIES AND WITH THE CONSENT OF THE MEDIATOR.
6. 
CONFIDENTIALITY. MEDIATION PROCEEDINGS SHALL BE CONSIDERED 
CONFIDENTIAL AND INFORMATION OBTAINED THEREIN SHALL NOT BE PUBLISHED OR 
DISCLOSED TO THIRD PARTIES EXCEPT (I) WITH THE CONSENT OF THE PARTIES, OR 
(II) WHEN NECESSARY, IN CASES WHERE RESORT TO THE COURT IS MADE UNDER THE 
RULES OF COURT.
THE CONFIDENTIALITY OF THE PROCEEDINGS SHALL INCLUDE COMMUNICATIONS TO 
OR FROM THE MEDIATOR AND ALL RECORDS, REPORTS, OR OTHER DOCUMENTS 
RECEIVED BY A MEDIATOR WHILE SERVING IN THAT CAPACTTY. CONFIDENTIAL 
INFORMATION DISCLOSED TO A MEDIATOR BY THE PARTIES OR BY WITNESSES IN THE 
COURSE OF THE MEDIATION SHALL NOT BE DIVULGED BY THE MEDIATOR. THE 
MEDIATOR SHALL NOT BE COMPELLED TO DIVULGE SUCH RECORDS OR TO TESTIFY IN 
REGARD TO THE MEDIATION IN ANY ADVERSARY PROCEEDING OR JUDICIAL FORUM.
ANY VIOLATION OF THE CONFIDENTIALITY OF THE PROCEEDINGS SHALL BE SUBJECT 
TO THE FOLLOWING SANCTIONS:
102


1
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
27
28
29
30
31
32
33
34
35
36
1. 
WITHOUT PREJUDICE TO THE FOLLOWING PARAGRAPH, ADMINISTRATIVE 
ACTION OR PROCEEDING TO BE CONDUCTED BY THE CLR, WITH PROPER NOTICE 
AND HEARING, FOR INHIBITION OR PROHIBITION FROM APPEARING AS 
MEDIATOR, JUDGE, COUNSEL OR REPRESENTATIVE FOR ANY PARTY IN ANY CASE;
2. 
IF THE ANY VIOLATORS ARE PROFESSIONALS, ADMINISTRATIVE/DISCIPLINARY 
ACTION BEFORE THE APPROPRIATE AUTHORITY, INCLUDING THE SUPREME 
COURT AND PROFESSIONAL REGULATION COMMISSION, AT THE INSTANCE OF 
ANY PARTY OR OF THE CLR. (new)
ART. 212. REFERRAL TO ARBITRATION. IN CASE OF FAILURE OF MEDIATION, THE 
MEDIATOR SHALL ACCOMPLISH A REPORT TO THIS EFFECT AND AUTOMATICALLY 
REFER THE CASE TO THE JUDGES, EXCEPT IF BOTH PARTIES EXPRESS IN WRITING 
THEIR REFUSAL TO DO SO.
FOR PURPOSES OF THIS TITLE, THERE IS A FAILURE OF MEDIATION IN ANY OF THE 
FOLLOWING CASES:
(1) 
WHERE PARTIES FAIL TO REACH AN AMICABLE SETTLEMENT AFTER THE LAPSE OF 
SIXTY (60) CALENDAR DAYS FROM THE DATE OF THE INITIAL MEDIATION 
CONFERENCE;
(2) 
REGARDLESS OF PARAGRAPH (1), WHERE ANY PARTIES WHO ARE NECESSARY TO 
REACH A COMPLETE SETTLEMENT OF THE CLAIM FAILS OR REFUSES TO 
PARTICIPATE IN THE MEDIATION; OR
(3) 
REGARDLESS OF PARAGRAPH (1), WHERE THE MEDIATOR REACHES THE 
CONCLUSION THATTHE PARTIES WILL NOT REACH AN AMICABLE SETTLEMENT OR 
THAT FURTHER EFFORTS AT MEDIATION ARE NO LONGER WORTHWHILE.
IN ALL CASES, THERE MAY BE A FAILURE OF MEDIATION WITH REGARD TO SOME OR 
NOT ALL OF THE CLAIMS BROUGHT TO MEDIATION. IN THIS CASE, FAILURE OF 
MEDIATION MAY BE DECLARED ONLY WITH REGARD TO THE UNRESOLVED CLAIMS, 
(new)
ART. 213. A. START OF PROCEEDINGS BEFORE THE JUDGES. PROCEEDINGS 
BEFORETHE JUDGES ARE DEEMED COMMENCED FROM THE TIME THAT THE CLR ISSUES 
A REPORT DECLARING A FAILURE OF MEDIATION AND AT LEAST ONE (1) PARTY 
EXPRESSES AN INTENT, IN WRITING, TO REFER THE DISPUTE TO ARBITRATION.
103


1
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
27
28
29
30
31
32
33
34
35
36
B. JUDGES.
(1) 
THE JUDICIAL FUNCTIONS IN THE CLR SHALL BE VESTED IN JUDGES TO BE 
APPOINTED AND COMMISSIONED IN THE SAME MANNER AS JUDGES OF 
REGIONAL TRIAL COURTS.
(2) 
THE JUDGES OF THE CLR SHALL SERVE DURING GOOD BEHAVIOR UNTIL THEY 
REACH THE AGE OF SEVENTY (70) YEARS, OR BECOME INCAPACITATED TO 
DISCHARGE THE DUTIES OF THEIR OFFICE, UNLESS SOONER REMOVED IN 
ACCORDANCE WITH LAW.
(3) 
NO PERSON SHALL BE APPOINTED AS JUDGES, UNLESS THEY ARE A CITIZEN OF 
THE PHILIPPINES, A MEMBER OF THE BAR IN GOOD STANDING WHO HAS 
PRACTICED LABOR LAW IN THE PHILIPPINES FOR A PERIOD OF AT LEAST TEN 
(10) YEARS, WITH AT LEAST FIVE (5) YEARS' EXPERIENCE IN INDUSTRIAL 
RELATIONS OR LABOR LAW AS AN INDISPENSABLE REQUISITE.
(4) 
JUDGES OF THE CLR SHALL HAVE THE SAME RANK, RECEIVE AN ANNUAL SALARY 
EQUIVALENT TO AND BE ENTITLED TO THE SAME ALLOWANCES, RETIREMENT 
GRATUITY AND OTHER BENEFITS AND PRIVILEGES AS THOSE OF THE JUDGES OF 
THE REGIONAL TRIAL COURTS PURSUANT TO REPUBLIC ACT NO. 9347 IN 
RELATION TO REPUBLIC ACT NO. 910, AS AMENDED BY REPUBLIC ACT NO. 9227 
AND BY OTHER APPLICABLE LAWS.
ALL COMPLAINTS AND PETITIONS FILED WITH THE DOCKET UNIT OF THE CLR SHALL BE 
IMMEDIATELY RAFFLED AND ASSIGNED TO A JUDGE FROM RECEIPT THEREOF.
THE CLR SHALL BE RESPONSIBLE FOR THE IMMEDIATE RAFFLE AND ASSIGNMENT OF 
ALL COMPLAINTS AND PETITIONS FILED WITH ITS BRANCH, AND THE IMMEDIATE 
FORWARDING OF ALL SUBSEQUENT PLEADINGS AND MOTIONS.
ALL PLEADINGS AND MOTIONS SUBSEQUENT TO THE FILING OF THE COMPLAINT SHALL 
BE FORWARDED TO THE JUDGE BEFORE WHOM THE CASE IS PENDING WITHIN 
TWENTY-FOUR (24) HOURS FROM RECEIPT THEREOF, (new)
ART 214. PROCEDURE OF ARBITRATION. A. NATURE OF PROCEEDINGS 
BEFORE THE COURT OF LABOR RELATIONS. BEING A COURT WITH SPECIALIZED 
JURISDICTION, PROCEEDINGS BEFORE THE CLR SHALL BE SUMMARY AND NON- 
LITIGIOUS IN NATURE; PROVIDED, HOWEVER, THAT SUBJECT TO THE REQUIREMENTS
104


1
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
27
28
29
30
31
32
33
34
35
36
OF DUE PROCESS, THE TECHNICALITIES OF LAW AND PROCEDURE OBTAINING IN THE 
REGULAR COURTS OF LAW SHALL NOT STRICTLY APPLY THERETO.
IN ALL CASES, THE AFFIDAVITS SUBMITTED BY THE PARTIES SHALL CONSTITUTE THE 
DIRECT TESTIMONIES OFTHE PERSONS WHO EXECUTED THE SAME. ALL AFFIANTS MAY 
BE SUBJECTED TO CROSS-EXAMINATION, REDIRECT, OR RE-CROSS EXAMINATION BY 
THE JUDGE(S) MOW PROPRIO OR BY ANY APPROPRIATE PARTY UPON MOTION. THE 
AFFIDAVIT OF ANY AFFIANT WHO FAILS TO TESTIFY SHALL NOT BE CONSIDERED AS 
COMPETENT EVIDENCE FOR THE PARTY PRESENTING THE AFFIDAVIT. HOWEVER, THE 
ADVERSE PARTY MAY UTILIZE THE SAME FOR ANY ADMISSIBLE PURPOSE.
THE PARTIES MAY OFFER SUCH EVIDENCE AS IS RELEVANT AND MATERIAL TO THE 
DISPUTE AND SHALL PRODUCE SUCH EVIDENCE AS THE JUDGE(S) DEEMS NECESSARY 
TO AN UNDERSTANDING AND DETERMINATION OFTHE DISPUTE. THE JUDGE(S) SHALL 
HAVE THE AUTHORITY TO ISSUE SUBPOENAS DUCES TECUM AND SUBPOENAS AD 
TESTIFICANDUM TO REQUIRE THE PRODUCTION OF DOCUMENTS, EVIDENCE, OR 
PERSONS TO GIVE TESTIMONY RELEVANTTOTHE DISPUTE. THE JUDGE(S) SHALL ALSO 
HAVE THE AUTHORITY TO ADMINISTER OATHS TO WITNESSES.
ALL PARTIES TO THE DISPUTE MUST ATTEND THE PROCEEDINGS ON PAIN OF 
CONTEMPT. THE ATTENDANCE OF ANY THIRD PARTY OR THE EXCLUSION OF ANY 
WITNESS FROM THE PROCEEDINGS SHALL BE DETERMINED BY THE JUDGE(S).
B. DETERMINATIONS. AT THE FIRST HEARING, THE JUDGE(S) SHALL EXERT ALL 
EFFORTS TO EXPLORE AND RESOLVE MATTERS THAT WILL EXPEDITE THE 
PROCEEDINGS. PROHIBITED PLEADINGS SHALL BE DETERMINED UNDER THE RULES OF 
PROCEDURE PROMULGATED BY THE SUPREME COURT. IN PARTICULAR, THE JUDGE(S) 
MUST DETERMINE THE FOLLOWING:
(1) 
THE ISSUES TO BE DETERMINED;
(2) 
THE RULES AND PROCEDURE TO BE ADOPTED INCLUDING THE SEQUENCE OF 
PRESENTATION OF EVIDENCE BY THE PARTIES;
(3) 
THE DATE, TIME, PLACE AND ESTIMATED DURATION OF THE SUCCESSIVE 
HEARINGS;
(4) 
THE STIPULATIONS AND DECLARATIONS REGARDING FACTS, EXHIBITS, 
WITNESSES AND OTHER ISSUES;
105


1
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
27
28
29
30
31
32
33
34
(5) 
THE NAMES OF WITNESSES (INCLUDING EXPERT WITNESSES), THE SCOPE OF 
WITNESS TESTIMONY, AND WITNESS EXCLUSION;
(6) 
THE NEED FOR A STENOGRAPHIC RECORD;
(7) 
THE FORM OF THE AWARD;
(8) 
THE ALLOCATION OF ATTORNEY'S FEES AND COSTS; AND
(9) 
ANY OTHER ISSUES RELATING TO THE SUBJECT OR CONDUCT OF THE 
PROCEEDINGS, (new)
ART. 215. AWARD. UNLESS THE PARTIES EXPRESSLY AGREE OTHERWISE IN WRITING, 
IT SHALL BE MANDATORY FOR THE JUDGE TO RENDER AN AWARD WITHIN NINETY (90) 
CALENDAR DAYS FROM THE DATE OF ACCEPTANCE OF THE ARBITRATION. FAILURE ON 
THE PART OF THE JUDGE TO ISSUE AN AWARD OR DECISION WITHIN THE STIPULATED 
PERIOD SHALL CONSTITUTE SUFFICIENT GROUND FOR THE IMPOSITION OF 
DISCIPLINARY PENALTIES.
PARTIES SHALL SUBMIT THEIR RESPECTIVE DRAFT AWARD, RESOLUTION OR DECISION 
WHICH SHALL EMBODY ALL THE PERTINENT PROVISIONS OF LAW, RULES AND 
REGULATIONS AND JURISPRUDENCE FOR THE CONSIDERATION OF THE COURT.
THE AWARD, RESOLUTION OR DECISION OF THE JUDGE SHALL CONTAIN THE FACTS 
AND THE LAW ON WHICH IT IS BASED. THE JUDGE SHALL ENTERTAIN ONLY ONE (1) 
MOTION FOR RECONSIDERATION FROM THE SAME PARTY WITHIN THE PERIOD WHEN 
THE AWARD OR DECISION HAS NOT BECOME FINAL AND EXECUTORY. IT SHALL BE 
FINAL AND EXECUTORY AFTER TEN (10) CALENDAR DAYS FROM RECEIPT OF THE COPY 
OF THE AWARD OR DECISION BY THE PARTIES AND MAY ONLY BE BROUGHT BEFORE 
THE SUPREME COURT/COURT OF APPEALS THROUGH A SPECIAL CIVIL ACTION FOR 
CERTIORARI. DECISIONS, AWARDS, AND ORDERS OF THE JUDGE SHALL BE 
IMMEDIATELY EXECUTORY EVEN IN THE ABSENCE OF ANY MOTION FOR EXECUTION, 
(new)
Art. 216. Execution of decisions/ orders or-awarcis. (a) THROUGH A PROPER 
MOTION DIRECTED TO THE CLR, ANY INTERESTED PARTY MAY ENFORCE THE 
SETTLEMENT AGREEMENTS OR AWARDS RESULTING FROM MEDIATION OR 
ARBITRATION PROCEEDINGS IN THIS TITLE. UPON SUCH MOTION, the Secretary of
35 
Labor and- Employment or any Regional DirectorT-t-he Commission or any Labor Arbiter-/
36 
or--Med-Arbiter or Voluntary Arbitrator CLR may motu proprio or on motion of any
106


1 
IntcrGstcd party, issue a writ of execution on a settlement agreement or arbitral award
2 
within five (5) years from the date it WAS REACHED OR becomes final and executory,
3 
requiring a THE sheriff or a duly deputized officer AUTHORIZED PERSON OF THE CLR TO
4 
execute or enforce final decisions, orders or awards of-the Secretary of Labor and
5 
Employment or regional director;- the-Commissionrthe Labor Arbiter or med arbiter, or
6 
voluntary-arbitratOfS THE SETTLEMENT AGREEMENT OR ARBITRAL AWARD. In any case,
7 
it shall be the duty of the responsible officer to immediately furnish the counsels of record
8 
and the parties with copies of said decisionsrorders or awards SETTLEMENT AGREEMENT
9 
OR ARBITRAL AWARD. Failure to comply with the duty prescribed herein shall subject
10 
such responsible officer to appropriate administrative sanctions. (230a)
11 
(e)—The Secretary of Labor and Employment, and the Chairman of the Commissien
12 
may designate special- sheriffs and take any measure under existing laws to ensure
13 
compliance with their decisions, orders-or awards and those- of the Labor Arbiters and
14 
voluntary-arbitrators, including the imposition of administrative fines which shall not be
15 
less than P500.00-nor more than P10,000.00. (As amended by Section 13, Republic Act
16 
No. 6715, March 21, 1089)
17
18 
ART. 217. REPRESENTATION. PARTIES SHOULD PERSONALLY APPEAR BEFORE THE
19 CLR AND ANY OF ITS MEDIATORS OR JUDGE: PROVIDEDJHkJ JURIDICAL PERSONS MAY
20 
BE REPRESENTED BY ANY PERSON SPECIALLY AUTHORIZED IN WRITING TO DO SO. AT
21 
ANY PROCEEDING BEFORE THE CLR OR ANY OF ITS MEDIATORS OR JUDGE, NON-
22 
LAWYERS SHALL BE ALLOWED TO REPRESENT ANY PARTY IN THE FOLLOWING CASES:
23 
(1) THEY ARE REPRESENTING THEMSELVES;
24 
(2) THEY ARE REPRESENTING A CORPORATION OR BELONGS TO A LEGITIMATE LABOR
25 
ORGANIZATION;
26 
(3) THEY ARE AUTHORIZED UNDER THE STUDENT PRACTICE RULE UNDER RULE 138-
27 
A OF THE RULES OF COURT, (new)
28
29 
ART. 218. INJUNCTIONS. A PETmON FOR INJUNCTION OR PETITION FOR
30 
MANDATORY INJUNCTION MAY BE FILED WITH THE CLR TO ENJOIN OR RESTRAIN ANY
31 
ACTUAL OR THREATENED COMMISSION OF ANY OR ALL PROHIBITED OR UNLAWFUL
32 
ACTS, OR TO REQUIRE THE PERFORMANCE OF A PARTICULAR ACT IN ANY INDUSTRIAL
33 
OR LABOR DISPUTE WHICH, IF NOT RESTRAINED OR PERFORMED FORTHWITH, MAY
34 
CAUSE GRAVE OR IRREPARABLE DAMAGE TO ANY PARTY OR RENDER INEFFECTUAL ANY
35 
DECISION IN FAVOR OF SUCH PARTY. THE PETmON FOR INJUNCTION OR PETmON
36 
FOR MANDATORY INJUNCTION SHALL AUTOMATICALLY BE REFERRED TO
107


1 
ARBITRATION; PROVIDED, THAT NO TEMPORARY OR PERMANENT INJUNCTION IN ANY
2 
CASE INVOLVING OR GROWING OUT OF AN INDUSTRIAL OR LABOR DISPUTE AS
3 
DEFINED IN THIS CODE SHALL BE ISSUED EXCEPT AFTER THE POSTING OF THE
4 
NECESSARY BOND AND HEARING THE TESTIMONY OF WITNESSES, WITH OPPORTUNITY
5 
FOR CROSS-EXAMINATION, IN SUPPORT OF THE ALLEGATIONS OF A COMPLAINT MADE
6 
UNDER OATH, (new)
7
8 
Chapter 111
9 
TRANSITORY PROVISIONS
10
11 
Art. 219. Disposition of pending cases. All cases pending before the Court -of
12 
Industrial Relations—and—the National Labor Relations (NLRC) established under
13 
Presidential Decree No. 21, AS AMENDED BY P.D. 442, on the date of effectivity of this
14 
Code shall be transferred to and processed by the corresponding labor relations divisions
15 
or the National-Labor Relations Commission CLR created under this Cede LAW having
16 
cognizance of the same in accordance with the procedure laid down herein and its
17 
implementing rules and regulations. Cases-ofHabor relations on appeal with the SccrctOFy
18 
of Labor or the Office of the President of the Philippines as of the date of effectivity of
19
20 
21
24
25
26
27
28
29
30
31
32
33
34
35
36
this Code shall remain under their respective jurisdictions and shall be decided in
accordance with the rules and regulations in force at the time of appeal.
22 
All workmen,s compensation cases pending before the-Workmen's Compensation- Unitsdft
23 
the regional offices of the Department of Labor and those pending before the Workmen's
Compensation Commission as-of March 31, 1975, shall be processed and adjudicated-in
accordance with the law, rules and procedure existing prior to the effectivity of-the
Employees Compensation and State Insurance Fundr (314a)
ART. 220. RETIREMENT OR SEPARATION OF NLRC COMMISSIONERS.
CONSEQUENT TO THE ABOLITION OF THE NLRC, INCUMBENT COMMISSIONERS SHALL 
BE DEEMED COMPULSORILY RETIRED WITH FULL RETIREMENT GRATUITY AND 
PENSION PURSUANT TO REPUBLIC ACT NO. 910, AS AMENDED. THEY SHALL ALSO 
RECEIVE A SEPARATION PAY EQUIVALENT TO TWO (2) MONTHS' SALARY FOR EVERY 
YEAR OF SERVICE IN GOVERNMENT, (new)
ART. 221. PERSONNEL WHOSE SERVICES ARE TERMINATED. NLRC PERSONNEL 
WHOSE SERVICES ARE TERMINATED AS A RESULT OF THE IMPLEMENTATION OF THIS
108


1
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
27
28
29
30
31
32
33
34
35
36
LAW SHALL ENJOY THE RIGHTS AND PROTECTION PROVIDED UNDER CIVIL SERVICE 
LAW, RULES AND REGULATIONS, (new)
ART. 222. OPTIONAL RETIREMENT OR SEVERANCE PAY FOR AN INCUMBENT 
LABOR ARBITER. WHEN INCUMBENT LABOR ARBITERS HAVE ATTAINED THE AGE OF 
SIXTY (60) YEARS AND HAVE RENDERED AT LEAST TWENTY (20) YEARS IN 
GOVERNMENT SERVICE, THE LAST FIVE (5) YEARS OF WHICH SHALL HAVE BEEN 
CONTINUOUSLY RENDERED AS LABOR ARBITERS, THEY SHALL BE QUALIFIED FOR 
OPTIONAL RETIREMENT. IF THEY LACK ANY ONE OF THE ABOVE QUALIFICATIONS, THEY 
SHALL BE ENTITLED TO A SEVERANCE PAY EQUIVALENT TO TWO (2) MONTHS' SALARY 
FOR EVERY YEAR OF GOVERNMENT SERVICE. THIS OPTION FOR AVAILING OF 
SEVERANCE PAY SHALL BE EXERCISED WITHIN A PERIOD OF SIXTY (60) CALENDAR 
DAYS AFTER THE EFFECTIVITY OF THIS ACT; OTHERWISE, SAID OPTION SHALL BE 
DEEMED WAIVED, (new)
ART. 223. SUBSEQUENT APPOINTMENTS TO THE REGIONAL COURT OF LABOR 
RELATIONS THE PRESIDENT SHALL APPOINT JUDGES TO THE CLR FROM A LIST OF AT 
LEAST THREE (3) NOMINEES PREPARED BY THE JUDICIAL AND BAR COUNCIL; 
PROVIDED, THAT SAID NOMINEES SHALL MEETTHE QUALIFICATIONS AS THOSE OF THE 
JUDGES OF THE REGIONAL TRIAL COURTS. SUCH APPOINTMENTS NEED NO 
CONFIRMATION, (new)
TITLE III
BUREAU OF LABOR RELATIONS
ART. 224. Bureau of Labor Relations. The Bureau of Labor Relations and the Labor 
Relations Divisions in the regional offices of the Department of Labor DOLE 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.
The Bureau shall have fifteen (15) working days to act on labor cases before it, subject 
to extension by agreement of the parties. (232a)
109


1
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
27
28
29
30
31
32
33
34
35
36
ART. 225. Compromise agreements. Any compromise settlement, including those 
Involving labor standard laws, voluntarily agreed upon by the parties with the assistance 
of the Bureau or the regional office of the DcpartnfK^nt-Qf-Labor-DOLE, shall be final and 
binding upon the parties. The National Labor Relations Commission CLR or any court, 
shall not assume jurisdiction over issues involved therein except in case of non- 
compliance thereof or if there is prima facie evidence that the settlement was obtained 
through fraud, misrepresentation, or coercion. (233a)
ART. 226. Mandatory Conciliation and Endorsement of Cases.
(a) 
Except as provided in Title VII-A, Book V of this Code, as amended, or as may be 
excepted by the Secretary of Labor-and EmploymcntSOLE, all issues arising from 
labor and employment shall be subject to mandatory conciliation-mediation. The 
labor-arbiter JUDGE OF THE CLR or the appropriate DOLE agency or office that has 
jurisdiction over the dispute shall entertain only endorsed or referred cases by the 
duly authorized officer.
(b) 
Any or both parties involved in the dispute may pre-terminate the conciliation- 
mediation proceedings and request referral or endorsement to the appropriate DOLE 
agency or office which has jurisdiction over the dispute, or if both parties so agree, 
refer the unresolved issues to voluntary arbitration. (234a)
Art. 227. Issuance of subpoenas. The Bureau shall have the power to require the 
appearance of any person or the production of any paper, document or matter relevant 
to a labor dispute under its jurisdiction, either at the request of any interested party or 
at its own Initiative. (235)
Art. 228. Appointment of Bureau personnel. The Secretary-of Labor and 
Employment SOLE may appoint, in addition to the present personnel of the Bureau and 
the Industrial Relations Divisions, such number of examiners and other assistants as may 
be necessary to carry out the purpose of the Code. (As amended by Section 15, Republic 
Act No. 6715, March 21, 1080) (236a)
Art. 229. Registry of unions and file of collective bargaining agreements. The
Bureau shall keep a registry of legitimate labor organizations. The Bureau shall also
110


1
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
27
28
29
30
31
32
33
34
35
36
maintain a file of all collective bargaining agreements and other related agreements and 
records of settlement of labor disputes and copies of orders and decisions of voluntary 
arbitrators. The file shall be open and accessible to interested parties under conditions 
prescribed by the Secretary of Labor and EmploymcntSOLE, provided that no specific 
information submitted in confidence shall be disclosed unless authorized by the 
SecretarySOLE, or when it is at issue In any judicial litigation, or when public interest or 
national security so requires.
Within thirty (30) days from the execution of a Collective Bargaining Agreement, the 
parties shall submit copies of the same directly to the Bureau or the Regional Offices of 
the Department of Labor ond Employment DOLE for registration, accompanied with 
verified proofs of its posting in two conspicuous places in the place of work and ratification 
by the majority of all the workers in the bargaining unit. The Bureau or Regional Offices 
shall act upon the application for registration of such Collective Bargaining Agreement 
within five (5) calendar days from receipt thereof. The Regional Offices shall furnish the 
Bureau with a copy of the Collective Bargaining Agreement within five (5) days from its 
submission.
The Bureau or Regional Office shall assess the employer for every Collective Bargaining 
Agreement a registration fee of not less than one thousand pesos (P1,000.00) or in any 
other amount as may be deemed appropriate and necessary by the Secretary of Labor 
and Employment-SOLE for the effective and efficient administration of the Voluntary 
Arbitration Program. Any amount collected under this provision shall accrue to the Special 
Voluntary Arbitration Fund.
The Bureau shall also maintain a file and shall undertake or assist in the publication of all 
final decisions, orders and awards of the Secretary of Labor and EmploymentSOLE, 
Regional Directors and the CommissionCLR. (As amended by Section 15,- Republic Act No. 
6715, March 21, 1989) (237a)
Art. 230. Prohibition on certification election. The Bureau shall not entertain any 
petition for certification election or any other action which may disturb the administration 
of duly registered existing collective bargaining agreements affecting the parties except 
under Articles 253259, 253-A260 and 256263 of this Code. (As amended by Section 1-57 
Republic Act No. 6715, March 21, 1989 (238a)
111


1
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
27
28
29
30
31
32
33
34
35
Art. 231. Privileged communication. Information and statements made at 
conciliation proceedings shall be treated as privileged communication and shall not be 
used as evidence in the Gemmtssion CLR. Conciliators and similar officials shall not testify 
in any court or body regarding any matters taken up at conciliation proceedings 
conducted by them. (239a)
Title IV
LABOR ORGANIZATIONS
Chapter I
REGISTRATION AND CANCELLATION
Art. 232. Requirements of Registration. A federation, national union or industry or 
trade union center or an independent union shall acquire legal personality and shall be 
entitled to the rights and privileges granted by law to legitimate labor organizations upon 
issuance of the certificate of registration based on the following requirements:
(a) 
Fifty pesos (P50.00) registration fee;
(b) 
The names of its officers, their addresses, the principal address of the labor 
organization, the minutes of the organizational meetings and the list of the workers 
who participated in such meetings;
(c) 
In case the applicant is an independent union, the names of all its members 
comprising at least twenty percent FIFTEEN PERCENT (15%) of all the employees 
In the bargaining unit where It seeks to operate;
(d) If the applicant union has been in existence for one or more years, copies of its 
annual financial reports; and
(e) few ELECTRONIC copies of the constitution and by-laws of the applicant union, 
minutes of its adoption or ratification, and the list of the members who participated 
in it. (240a)
Art. 233. Chartering and Creation of a Local Chapter. A duly registered federation 
or national union may directly create a local chapter by issuing a charter certificate 
indicating the establishment of the local chapter. The chapter shall acquire legal 
personality only for purposes of filing a petition for certification election from the date it 
was issued a charter certificate.
112


1
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
27
28
29
30
31
32
33
34
35
36
The chapter shall be entitled to all other rights and privileges of a legitimate labor 
organization only upon the submission of the following documents in addition to its 
charter certificate:
(a) 
The names of the chapter's officers, their addresses, and the principal office of the 
chapter; and
(b) 
The chapter's constitution and by-laws: Provided, That where the chapter's 
constitution and by-laws are the same as that of the federation or the national union, 
this fact shall be indicated accordingly.
The additional supporting requirements shall be certified under oath by the secretary or 
treasurer of the chapter and attested by its president. (241)
Art. 234. Action on Application. The Bureau shall act on all applications for 
registration within thirty (30) days from filing.
All requisite documents and papers shall be certified under oath by the secretary or the 
treasurer of the organization, as the case may be, and attested to by its president. (242)
Art. 235. Denial of Registration; Appeal. The decision of the Labor Relations Division 
in the regional office denying registration may be appealed by the applicant union to the 
Bureau within ten (10) days from receipt of notice thereof. (243)
Art. 236. Additional Requirements for Federations or National Unions. Subject 
to Article 238, If the applicant for registration is a federation or a national union, it shall, 
in addition to the requirements of the preceding Articles, submit the following:
(a) 
Proof of the affiliation of at least ten (10) locals or chapters, each of which must be 
a duly recognized collective bargaining agent in the establishment or industry in 
which it operates, supporting the registration of such applicant federation or national 
union; and
(b) The names and addresses of the companies where the locals or chapters operate 
and the list of all the members in each company involved. (244a)
Art. 237. Cancellation of Registration. The certificate of registration of any legitimate 
labor organization, whether national or local, may be cancelled by the Bureau, after due 
hearing, only on the grounds specified In Article 239 hereof. (245a)
113


1
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
27
28
29
30
31
32
33
34
Art. 238. Effect of a Petition for Cancellation of Registration. A petition for 
cancellation of union registration shall not suspend the proceedings for certification 
election nor shall it prevent the filing of a petition for certification election. In case of 
cancellation, nothing herein shall restrict the right of the union to seek just and equitable 
remedies in the appropriate courts. (246)
Art. 239. Grounds for Cancellation of Union Registration. The following -may 
constitute grounds for cancellation of--union registration: SUBJECT TO DUE PROCESS, 
THE REGISTRATION OF A UNION MAY BE CANCELLED SOLELY FOR ANY OF THE 
FOLLOWING GROUNDS:
(a) 
Misrepresentation, false statement or fraud in connection with the adoption or 
ratification of the constitution and by-laws or amendments thereto, the minutes of 
ratification, and the list of members who took part in the ratification;
(b) 
Misrepresentation, false statements or fraud in connection with the election of 
officers, minutes of the election of officers, and the list of voters;
(c) 
Voluntary dissolution by the members. (247a)
Art. 240. Voluntary Cancellation of Registration. The registration of a legitimate 
labor organization may be cancelled by the organization itself: Provided, That at least 
two-thirds of its general membership votes, in a meeting duly called for that purpose to 
dissolve the organization: Provided, further, That an application to cancel registration is 
thereafter submitted by the board of the organization, attested to by the president 
thereof. (248)
Art. 241. Equity of the Incumbent. All existing federations and national unions which 
meet the qualifications of a legitimate labor organization and none of the grounds for 
cancellation shall continue to maintain their existing affiliates regardless of the nature of 
the Industry and the location of the affiliates. (249)
ART. 242. WHEN MULTI-EMPLOYER BARGAINING AVAILABLE. LEGITIMATE 
LABOR UNIONS AND EMPLOYERS MAY AGREE IN WRITING TO COME TOGETHER FORTHE 
PURPOSE OF COLLECTIVE BARGAINING, PROVIDED:
(a) ONLY LEGITIMATE LABOR UNIONS WHO ARE INCUMBENT EXCLUSIVE BARGAINING 
AGENTS MAY PARTICIPATE AND NEGOTIATE IN MULTI-EMPLOYER BARGAINING;
114


1 
(b) ONLY EMPLOYERS WITH COUNTERPART LEGITIMATE LABOR UNIONS WHO ARE
2 
INCUMBENT BARGAINING AGENTS MAY PARTICIPATE AND NEGOTIATE IN MULTI-
3 
EMPLOYER BARGAINING; AND
4 
(C) ONLY THOSE LEGITIMATE LABOR UNIONS WHO PERTAIN TO EMPLOYER UNITS
5 
WHO CONSENT TO MULTI-EMPLOYER BARGAINING MAY PARTICIPATE IN MULTI-
6 
EMPLOYER BARGAINING, (new)
7
8 
ART. 243. PROCEDURE IN MULTI-EMPLOYER BARGAINING. MULTI-EMPLOYER
9 
BARGAINING MAY BE INITIATED BY THE LABOR UNIONS OR BY THE EMPLOYERS.
10 
(a) LEGITIMATE LABOR UNIONS WHO DESIRE TO NEGOTIATE WITH THEIR
11 
EMPLOYERS COLLECTIVELY SHALL EXECUTE A WRITTEN AGREEMENT AMONG
12 
THEMSELVES, WHICH SHALL CONTAIN THE FOLLOWING:
13 
(1) THE NAMES OF THE LABOR UNIONS WHO DESIRE TO AVAIL OF MULTI-
14 
EMPLOYER BARGAINING;
15 
(2) EACH LABOR UNION IN THE EMPLOYER UNIT;
16 
(3) THE FACT THAT EACH OF THE LABOR UNIONS ARE THE INCUMBENT
17 
EXCLUSIVE BARGAINING AGENTS FOR THEIR RESPECTIVE EMPLOYER
18 
UNITS;
19 
(4) THE DURATION OF THE COLLECTIVE BARGAINING AGREEMENTS, IF ANY,
20 
ENTERED INTO 
BY EACH LABOR UNION WITH THEIR RESPECTIVE
21 
EMPLOYERS.
22 
LEGITIMATE LABOR UNIONS WHO ARE MEMBERS OF THE SAME REGISTERED
23 
FEDERATION, NATIONAL, OR INDUSTRY UNION ARE EXEMPT FROM
24 
EXECUTION OF THIS WRITTEN AGREEMENT.
25 
(b) THE LEGITIMATE LABOR UNIONS WHO DESIRE TO BARGAIN WITH MULTI-
26 
EMPLOYERS SHALL SEND A WRITTEN NOTICE TO THIS EFFECT TO EACH
27 
EMPLOYER CONCERNED. THE WRITTEN AGREEMENT STATED IN THE PRECEDING
28 
PARAGRAPH, OR THE CERTIFICATES OF REGISTRATION OF THE FEDERATION,
29 
NATIONAL, OR INDUSTRY UNION, SHALL ACCOMPANY SAID NOTICE.
30 
EMPLOYERS WHO AGREE TO GROUP THEMSELVES OR USE THEIR EXISTING
31 
ASSOCIATIONS TO ENGAGE IN MULTI-EMPLOYER BARGAINING SHALL SEND A
32 
WRITTEN NOTICE TO EACH OF THEIR COUNTERPART LEGITIMATE LABOR UNIONS
33 
INDICATING THEIR DESIRE TO ENGAGE IN MULTI-EMPLOYER BARGAINING. SAID
34 
NOTICE SHALL INDICATE THE FOLLOWING:
35 
(1) THE NAMES OF THE EMPLOYERS WHO DESIRE TO AVAIL OF MULTI-
36 
EMPLOYER BARGAINING;
115


1
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
27
28
29
30
31
32
33
34
35
(2) 
THEIR CORRESPONDING LEGITIMATE LABOR ORGANIZATIONS;
(3) 
THE FACT THAT EACH CORRESPONDING LEGITIMATE UNION IS AN 
INCUMBENT EXCLUSIVE BARGAINING AGENT;
[4} THE DURATION OF THE CURRENT COLLECTIVE BARGAINING AGREEMENT, 
IF ANY, ENTERED INTO BY EACH EMPLOYER WITH THE COUNTERPART 
LEGITIMATE LABOR UNION.
(C) EACH EMPLOYER OR CONCERNED LABOR UNION SHALL EXPRESS ITS 
WILLINGNESS OR REFUSAL TO PARTICIPATE IN MULTI-EMPLOYER BARGAINING 
IN WRITING, ADDRESSED TO ITS CORRESPONDING EXCLUSIVE BARGAINING 
AGENT OR EMPLOYER. NEGOTIATIONS MAY COMMENCE ONLY WITH REGARD TO 
RESPECTIVE EMPLOYERS AND LABOR UNIONS WHO CONSENT TO PARTICIPATE 
IN MULTI-EMPLOYER BARGAINING;
(d) DURING THE COURSE OF NEGOTIATIONS, CONSENTING EMPLOYERS AND THE 
CORRESPONDING LEGITIMATE LABOR UNIONS SHALL DISCUSS AND AGREE ON 
THE FOLLOWING:
(1) 
THE MANNER BY WHICH NEGOTIATIONS SHALL PROCEED;
(2] 
THE SCOPE AND COVERAGE OF THE NEGOTIATIONS AND THE AGREEMENT; 
AND
(3} WHERE APPROPRIATE, THE EFFECT OF THE NEGOTIATIONS ON CURRENT 
AGREEMENTS OR CONDITIONS OF EMPLOYMENT AMONG THE PARTIES, 
(new)
ART. 244. POSTING AND REGISTRATION OF COLLECTIVE BARGAINING 
AGREEMENT. TWO (2) SIGNED COPIES OF COLLECTIVE BARGAINING AGREEMENT 
REACHED THROUGH MULTI-EMPLOYER BARGAINING SHALL BE POSTED FOR AT LEAST 
FIVE (5) DAYS IN TWO (2) CONSPICUOUS AREAS IN EACH WORKPLACE OF THE 
EMPLOYER UNITS CONCERNED. THIS COLLECTIVE BARGAINING AGREEMENT SHALL 
AFFECT ONLY THOSE EMPLOYEES IN THE BARGAINING UNITS WHO HAVE RATIFIED IT.
THE SAME COLLECTIVE BARGAINING AGREEMENT SHALL BE REGISTERED WITH THE 
DEPARTMENT IN ACCORDANCE WITH APPLICABLE LAWS AND RULES, (new)
Chapter II
RIGHTS AND CONDITIONS OF MEMBERSHIP
116


1 
Art. 245. Rights and Conditions of Membership in a Labor Organization. The
2 
following are the rights and conditions of membership in a labor organization:
3
4 
(a) No arbitrary or excessive initiation fees shall be required of the members of a
5 
legitimate labor organization nor shall arbitrary, excessive or oppressive fine and
6 
forfeiture be imposed;
7 
(b) The members shall be entitled to full and detailed reports from their officers and
8 
representatives of all financial transactions as provided for in the constitution and
9 
by-laws of the organization;
10 
(c) The members shall directly elect their officers in the local union, as well as their
11 
national officers in the national union or federation to which they or their local union
12 
is affiliated, by secret ballot at intervals of five (5) years. No qualification
13 
requirement for candidacy to any position shall be imposed other than membership
14 
in good standing in subject labor organization. The secretary or any other
15 
responsible union officer shall furnish the Secretary of Labor-and Employment SOLE
16 
with a list of the newly-elected officers, together with the appointive officers or
17 
agents who are entrusted with the handling of funds within thirty (30) calendar days
18 
after the election of officers or from the occurrence of any change In the list of
19 
officers of the labor organization;
20 
(d) The members shall determine by secret ballot, after due deliberation, any question
21 
of major policy affecting the entire membership of the organization, unless the
22 
nature of the organization or force majeure renders such secret ballot impractical,
23 
in which case, the board of directors of the organization may make the decision in
24 
behalf of the general membership;
25 
(e) No labor organization shall knowingly admit as members or continue in membership
26 
any individuals who belongs to a subversive organization or who is ARE engaged
27 
directly or indirectly in any subversive activity;
28 
(f) 
No person who has been convicted of a crime involving moral turpitude, INCLUDING
29 
SEXUAL HARASSMENT OR OTHER SEX-RELATED OFFENSES, shall be eligible for
30 
election as a union officer or for appointment to any position in the union;
31 
(g) No officer, agent or member of a labor organization shall collect any fees, dues, or
32 
other contributions in its behalf or make any disbursement of its money or funds
33 
unless he-is THEY ARE duly authorized pursuant to its constitution and by-laws;
34 
(h) Every payment of fees, dues or other contributions by a member shall be evidenced
35 
by a receipt signed by the officer or agent making the collection and entered into
36 
the record of the organization to be kept and maintained for the purpose;
117


1 
(i) The funds of the organization shall not be applied for any purpose or object other
2 
than those expressly provided by its constitution and by-laws or those expressly
3 
authorized by written resolution adopted by the majority of the members at a
4 
general meeting duly called for the purpose;
5 
(j) Every income or revenue of the organization shall be evidenced by a record showing
6 
its source, and every expenditure of its funds shall be evidenced by a receipt from
7 
the person to whom the payment is made, which shall state the date, place and
8 
purpose of such payment. Such record or receipt shall form part of the financial
9 
records of the organization.
10 
Any action involving the funds of the organization shall prescribe after three (3)
11 
years from the date of submission of the annual financial report to the Department
12 
of Labor and Employmont-DOLE or from the date the same should have been
13 
submitted as required by law, whichever comes earlier: Provided,IhdX. this provision
14 
shall apply only to a legitimate labor organization which has submitted the financial
15 
report requirements under this Code: Provided, further, That failure of any labor
16 
organization to comply with the periodic financial reports required by law and such
17 
rules and regulations promulgated thereunder six (6) months after the effectivity of
18 
this Aet Code shall automatically result in the cancellation of union registration of
19 
such labor organization;
20 
(k) The officers of any labor organization shall not be paid any compensation other than
21 
the salaries and expenses due to their positions as specifically provided for in its
22 
constitution and by-laws, or in a written resolution duly authorized by a majority of
23 
all the members at a general membership meeting duly called for the purpose. The
24 
minutes of the meeting and the list of participants and ballots cast shall be subject
25 
to inspection by the Secretary of Labor and Employment SOLE or THEIR duly
26 
authorized representatives. Any irregularities in the approval of the resolutions shall
27 
be a ground for impeachment or expulsion from the organization;
28 
(I) The treasurers of any labor organizations and every officers thereof who is ARE
29 
responsible for the account of such organization or for the collection, management,
30 
disbursement, custody or control of the funds, moneys and other properties of the
31 
organization, shall render to the organization and to its members a true and correct
32 
account of all moneys received and paid by btm THEM since he THEY assumed office
33 
or since the last day on which he THEY rendered such account, and of all bonds,
34 
securities and other properties of the organization entrusted to his THEIR custody
35 
or under his THEIR control. The rendering of such account shall be made:
36 
(1) At least once a year within thirty (30) days after the close of its fiscal year;
118


1
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
27
28
29
30
31
32
33
34
35
36
(2) 
At such Other times as may be required by a resolution of the majority of the 
members of the organization; and
(3) 
Upon vacating te THEIR office.
The account shall be duly audited and verified by affidavit and a copy thereof shall 
be furnished the Secretary of Labor SOLE.
(m) The books of accounts and other records of the financial activities of any labor 
organization shall be open to inspection by any officer or member thereof during 
office hours;
(n) 
No special assessment or other extraordinary fees may be levied upon the members 
of a labor organization unless authorized by a written resolution of a majority of all 
the members in a general membership meeting duly called for the purpose. The 
secretary of the organization shall record the minutes of the meeting including the 
list of all members present, the votes cast, the purpose of the special assessment 
or fees and the recipient of such assessment or fees. The record shall be attested 
to by the president.
(o) 
Other than for mandatory activities under the Code, no special assessments, from 
any amount due to an employee without an individual written authorization duly 
signed by the employee. The authorization should specifically state the amount, 
purpose and beneficiary of the deduction; and
(p) 
It shall be the duty of any labor organization and its officers to inform its members 
on the provisions of its constitution and by-laws, collective bargaining agreement, 
the prevailing labor relations system and all their rights and obligations under 
existing labor laws AND LABOR-RELATED LAWS, INCLUDING GENDER-RELATED 
LAWS.
For this purpose, registered labor organizations may assess reasonable dues to finance 
labor relations seminars and other labor education activities.
Any violation of the above rights and conditions of membership shall be a ground for 
cancellation of -unton registration or expulsion of officers from office, whichever is 
appropriate. At least thirty percent (30%) of the members of a union or any member or 
members specially concerned may report such violation to the Bureau. The Bureau shall 
have the power to hear and decide any reported violation to mete the appropriate penalty.
Criminal and civil liabilities arising from violations of above rights and conditions of 
membership shall continue to be under the jurisdiction of ordinary courts. (250a)
119


1
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
27
28
29
30
31
32
33
34
35
Chapter III
RIGHTS OF LEGITIMATE LABOR ORGANIZATIONS
Art. 246. Rights of Legitimate Labor Organizations. A legitimate labor organization 
shall have the right:
(a) 
To act as the representative of its members for the purpose of collective bargaining;
(b) 
To be certified as the exclusive representative of all the employees in an appropriate 
bargaining unit for purposes of collective bargaining;
(c) 
To be furnished by the employer, upon written request, with its annual audited 
financial statements. Including the balance sheet and the profit and loss statement, 
within thirty (30) calendar days from the date of receipt of the request, after the 
union has been duly recognized by the employer or certified as the sole and 
exclusive bargaining representative of the employees in the bargaining unit, or 
within sixty (60) calendar days before the expiration of the existing collective 
bargaining agreement, or during the collective bargaining negotiation;
(d) 
To own property, real or personal, for the use and benefit of the labor organization 
and its members;
(e) 
To sue and be sued in its registered name; and
(f) 
To undertake all other activities designed to benefit the organization and its 
members, including cooperative, housing, welfare and other projects not contrary 
to law.
Notwithstanding any provision of a general or special law to the contrary, the income and 
the properties of legitimate labor organizations, including grants, endowments, gifts, 
donations and contributions they may receive from fraternal and similar organizations, 
local or foreign, which are actually, directly and exclusively used for their lawful purposes, 
shall be free from taxes, duties and other assessments. The exemptions provided herein 
may be withdrawn only by a special law expressly repealing this provision. (251)
Art. 247. Reportorial Requirements. The following are documents required to be 
submitted to the Bureau by the legitimate labor organization concerned:
(a) Its constitution and by-laws, or amendments thereto, the minutes of ratification, 
and the list of members who took part in the ratification of the constitution and by-
120


1
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
27
28
29
30
31
32
33
34
35
laws within thirty (30) days from adoption or ratification of the constitution and by­
laws or amendments thereto;
(b) 
Its list of officers, minutes of the election of officers, and list of voters within thirty 
(30) days from election;
(c) 
Its annual financial report within thirty (30) days after the close of every fiscal year; 
and
(d) 
Its list of members at least once a year or whenever required by the Bureau.
Failure to comply with the above requirements shall not be a ground for cancellation of 
union registration but shall subject the erring officers or members to suspension, 
expulsion from membership, or any appropriate penalty. (252)
Title V 
COVERAGE
ART. 248. Coverage and Employees' Right to Self-Organization. All persons 
employed in commercial. Industrial and agricultural enterprises and in religious, 
charitable, medical, or educational institutions, whether operating for profit or not, shall 
have the right to self-organization and to form, join, or assist labor organizations of their 
own choosing for purposes of collective bargaining. Ambulant, intermittent and itinerant 
workers, self-employed people, rural workers and those without any definite employers 
may form labor organizations for their mutual aid and protection. (253)
Art. 249. Right of Employees in the Public Service. Employees of government 
corporations established under the Corporation Code shall have the right to organize and 
to bargain collectively with their respective employers. All other employees in the civil 
service shall have the right to form associations for purposes not contrary to law. (254)
Art. 250. Ineligibility of Managerial Employees to Join any Labor Organization; 
Right of Supervisory Employees. Managerial employees are not eligible to join, assist 
or form any labor organization. Supervisory employees shall not be eligible for 
membership in the collective bargaining unit of the rank-and-file employees but may join, 
assist or form separate collective bargaining units and/or legitimate labor organizations 
of their own. The rank and file union and the supervisors' union operating within the 
same establishment may join the same federation or national union. (255)
121


1
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
27
28
29
30
31
32
33
34
35
36
Art. 251. Effect of Inclusion as Members of Employees Outside the Bargaining 
Unit. The inclusion as union members of employees outside the bargaining unit shall not 
be a ground for the cancellation of the registration of the union. Said employees are 
automatically deemed removed from the list of membership of said union. (256)
Art. 252. Non-Abridgment of Right to Self-Organization. It shall be unlawful for 
any person to restrain, coerce, discriminate against or unduly interfere with employees 
and workers in their exercise of the right to self-organization. Such right shall include the 
right to form, join, or assist labor organizations for the purpose of collective bargaining 
through representatives of their own choosing and to engage in lawful concerted activities 
for the same purpose for their mutual aid and protection, subject to the provisions of 
Article 264 283 of this Code. (257a)
Title VI
UNFAIR LABOR PRACTICES
Chapter I 
CONCEPT
Art. 253. Concept of Unfair Labor Practice and Procedure for Prosecution 
Thereof. Unfair labor practices violate the constitutional right of workers and employees 
to self-organization, are inimical to the legitimate interests of both labor and 
management. Including their right to bargain collectively and otherwise deal with each 
other in an atmosphere of freedom and mutual respect, disrupt industrial peace and 
hinder the promotion of healthy and stable labor management relations.
Consequently, unfair labor practices are not only violations of the civil rights of both labor 
and management but are also criminal offenses against the State which shall be subject 
to prosecution and punishment as herein provided.
Subject to the exercise by the President or by the Secretary of Lobor-and Employment 
SOLE of the powers vested in them by Articles 263 282 and 264 283 of this Code, the 
civil aspects of all cases involving unfair labor practices, which may include claims for 
actual, moral, exemplary and other forms of damages, attorney's fees and other 
affirmative relief, shall be under the jurisdiction of the Labor Arbiters JUDGES TO THE 
CLR. The Labor Arbiters JUDGES TO THE CLR shall give utmost priority to the hearing
122


1
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
27
28
29
30
31
32
33
34
35
36
and resolution of all cases involving unfair labor practices. They shall resolve such cases 
within thirty (30) calendar days from the time they are submitted for decision.
Recovery of civil liability in the administrative proceedings shall bar recovery under the 
Civil Code.
No criminal prosecution under this Title may be Instituted without a final judgment finding 
that an unfair labor practice was committed, having been first obtained in the preceding 
paragraph. During the pendency of such administrative proceeding, the running of the 
period of prescription of the criminal offense herein penalized shall be considered 
interrupted: Provided, however, That the final judgment in the administrative proceedings 
shall not be binding in the criminal case nor be considered as evidence of guilt but merely 
as proof of compliance of the requirements therein set forth. (258a)
Chapter II
UNFAIR LABOR PRACTICES OF EMPLOYERS
Art. 254. Unfair Labor Practices of Employers. It shall be unlawful for aft employers 
to commit any of the following unfair labor practices:
(a) 
To interfere with, restrain or coerce employees in the exercise of their right to self­
organization;
(b) 
To require as a condition of employment that a persons or aft employees shall not 
join a labor organization or shall withdraw from one to which he belongs THEY 
BELONG;
(c) 
To contract out services or functions being performed by union members when such 
will interfere with, restrain or coerce employees in the exercise of their right to self­
organization;
(d) 
To initiate, dominate, assist or otherwise interfere with the formation or 
administration of any labor organization, including the giving of financial or other 
support to it or its organizers or supporters;
(e) 
To discriminate in regard to wages, hours of work and other terms and conditions 
of employment in order to encourage or discourage membership in any labor 
organization. Nothing in this Code or in any other law shall stop the parties from 
requiring membership in a recognized collective bargaining agent as a condition for 
employment, except those employees who are already members of another union
123


1
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
27
28
29
30
31
32
33
34
35
at the time of the signing of the collective bargaining agreement. Employees of an 
appropriate bargaining unit who are not members of the recognized collective 
bargaining agent may be assessed a reasonable fee equivalent to the dues and 
other fees paid by members of the recognized collective bargaining agent, if such 
non-union members accept the benefits under the collective bargaining agreement: 
Provided, That the individual authorization required under Article 342 240, 
paragraph (o) of this Code shall not apply to the non-members of the recognized 
collective bargaining agent;
(f) 
To dismiss, discharge or otherwise prejudice or discriminate against aft employees 
for having given or being about to give testimony under this Code;
(g) 
To violate the duty, OR REFUSE, to bargain collectively as prescribed by this Code 
WITH THE EMPLOYEES;
(h) 
To pay negotiation or attorney's fees to the union or its officers or agents as part of 
the settlement of any issue in collective bargaining or any other dispute; or
(i) 
To violate a collective bargaining agreement. The provisions of the preceding 
paragraph notwithstanding, only the officers and agents of corporations, 
associations or partnerships who have actually participated in, authorized or ratified 
unfair labor practices shall be held criminally liable. (259a)
Chapter 111
UNFAIR LABOR PRACTICES OF LABOR ORGANIZATIONS
Art. 255. Unfair Labor Practices of Labor Organizations. It shall be unfair labor
practice for a labor organization, its officers, agents or representatives:
(a) 
To restrain or coerce employees in the exercise of their right to self-organization. 
However, a labor organization shall have the right to prescribe its own rules with 
respect to the acquisition or retention of membership;
(b) 
To cause or attempt to cause aft employers to discriminate against aft employees. 
Including discrimination against aft employees with respect to whom membership 
In such organization has been denied or to terminate an employees on any ground 
other than the usual terms and conditions under which membership or continuation 
of membership is made available to other members;
(c) 
To violate the duty, or refuse to bargain collectively with the employers, provided it 
is the representative of the employees;
124


1
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
27
28
29
30
31
32
33
34
35
(d) To cause or attempt to cause an employers to pay or deliver or agree to pay or 
deliver any money or other things of value, in the nature of an exaction, for services 
which are not performed or not to be performed, including the demand for fee for 
union negotiations;
(e) 
To ask for or accept negotiation or attorney's fees from employers as part of the 
settlement of any issue in collective bargaining or any other dispute; or
(f) 
To violate a collective bargaining agreement.
The provisions of the preceding paragraph notwithstanding, only the officers, members 
of governing boards, representatives or agents or members of labor associations or 
organizations who have actually participated in, authorized or ratified unfair labor 
practices shall be held criminally liable. (260a)
Title VII
COLLECTIVE BARGAINING AND ADMINISTRATION OF AGREEMENTS
Art. 256. Procedure in Collective Bargaining. The following procedures shall be 
observed In collective bargaining IN ALL PUBLIC AND PRIVATE ENTITIES:
(a) 
When a party desires to negotiate an agreement, it shall serve a written notice upon 
the other party with a statement of its proposals. The other party shall make a reply 
thereto not later than ten (10) calendar days from receipt of such notice;
(b) 
Should differences arise on the basis of such notice and reply, either party may 
request for a conference which shall begin not later than ten (10) calendar days 
from the date of request.
(c) 
If the dispute is not settled, the Board shall intervene upon request of either or both 
parties or at its own initiative and immediately call the parties to conciliation 
meetings. The Board shall have the power to issue subpoenas requiring the 
attendance of the parties to such meetings. It shall be the duty of the parties to 
participate fully and promptly in the conciliation meetings the Board may call;
(d) 
During the conciliation proceedings in the Board, the parties are prohibited from 
doing any act which may disrupt or Impede the early settlement of the disputes; 
and
(e) 
The Board shall exert all efforts to settle disputes amicably and encourage the 
parties to submit their case to a voluntary arbitrator. (261a)
125


1
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
27
28
29
30
31
32
33
34
35
36
Art. 257. Duty to Bargain Collectively in the Absence of Collective Bargaining 
Agreements. In the absence of an agreement or other voluntary arrangement providing 
for a more expeditious manner of collective bargaining, it shall be the duty of employers 
and the representatives of the employees to bargain collectively in accordance with the 
provisions of this Code. (262a)
Art. 258. Meaning of Duty to Bargain Collectively. The duty to bargain collectively 
means the performance of a mutual obligation to meet and convene promptly and 
expeditiously in good faith for the purpose of negotiating an agreement with respect to 
wages, hours of work and all other terms and conditions of employment Including 
proposals for adjusting any grievances or questions arising under such agreement and 
executing a contract incorporating such agreements if requested by either party but such 
duty does not compel any party to agree to a proposal or to make any concession. (263)
Art. 259. Duty to Bargain Collectively When There Exists a Collective 
Bargaining Agreement. When there is a collective bargaining agreement, the duty to 
bargain collectively shall also mean that neither party shall terminate nor modify such 
agreement during its lifetime. However, either party can serve a written notice to 
terminate or modify the agreement at least sixty (60) days prior to its expiration date. It 
shall be the duty of both parties to keep the status quo and to continue in full force and 
effect the terms and conditions of the existing agreement during the 60-day period aftd/or 
until a new agreement is reached by the parties. (264a)
Art. 260. Terms of a Collective Bargaining Agreement. Any Collective Bargaining 
Agreement that the parties may enter into shall, insofar as the representation aspect is 
concerned, be for a term of five (5) years. No petition questioning the majority status of 
the incumbent bargaining agent shall be entertained and no certification election shall be 
conducted by the Department of Labor and Employment DOLE outside of the sixty-day 
period immediately before the date of expiry of such five-year term of the Collective 
Bargaining Agreement. All other provisions of the Collective Bargaining Agreement shall 
be renegotiated not later than three (3) years after its execution. Any agreement on such 
other provisions of the Collective Bargaining Agreement entered into within six (6) months 
from the date of expiry of the term of such other provisions as fixed in such Collective 
Bargaining Agreement, shall retroact to the day immediately following such date. If any 
such agreement is entered into beyond six (6) months, the parties shall agree on the 
duration of retroactivity thereof. In case of a deadlock in the renegotiation of the
126


1
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
27
28
29
30
31
32
33
34
35
36
Collective Bargaining Agreement, the parties may exercise their rights under this Code. 
(265)
Art. 261. Injunction Prohibited. No temporary or permanent injunction or restraining 
order in any case involving or growing out of labor disputes shall be issued by any court 
or other entity, except as otherwise provided in Articles 248 210 and 264 283 of this 
Code.(266a)
Art. 262. Exclusive Bargaining Representation and Workers' Participation in 
Policy and Decision-Making. The labor organization designated or selected by the 
majority of the employees in an appropriate collective bargaining unit shall be the 
exclusive representative of the employees in such unit for the purpose of collective 
bargaining. However, an individual employee or group of employees shall have the right 
at any time to present grievances to their employers.
Any provision of law to the contrary notwithstanding, workers shall have the right, subject 
to such rules and regulations as the Sccrctary-of Labor and Employment SOLE may 
promulgate, to participate in policy and decision-making processes of the establishment 
where they are employed insofar as said processes will directly affect their rights, benefits 
and welfare. For this purpose, workers and employers may form labor-management 
councils: Provided, That the representatives of the workers in such labor-management 
councils shall be elected by at-least-thc majority of all employees in-said establishment 
THE APPROPRIATE EXCLUSIVE BARGAINING REPRESENTATIVE; PROVIDED, FURTHER, 
THAT AT LEAST FIFTY PERCENT (50%) OF THE ELECTED REPRESENTATIVES OF EACH 
OF THE WORKERS AND EMPLOYERS ARE WOMEN.
WHERE THERE ARE BARGAINING UNITS OF RANK-AND-FILE AND SUPERVISORY 
EMPLOYEES IN THE SAME ESTABLISHMENT, THE EMPLOYEES SHALL BE ENTITLED TO 
BE REPRESENTED IN TWO (2) SEPARATE LABOR-MANAGEMENT COUNCILS IN THE 
ESTABLISHMENT. WHERE NO LEGITIMATE LABOR ORGANIZATION EXIST, THE 
WORKERS REPRRESENTATIVE SHALL BE ELECTED DIRECTLY BY THE EMPLOYEES AT 
LARGE; PROVIDED, THAT THERE SHALL BE TWO (2) SEPARATE LABOR-MANAGEMENT 
COUNCILS, ONE WITH RANK-AND-FILE EMPLOYEES REPRESENTATIVES, AND ANOTHER 
WITH SUPERVISORY EMPLOYEES REPRESENTATIVES; PROVIDED, FINALLY, THAT AT 
LEAST FIFTY PERCENT (50%) OF THE REPRESENTATIVES OF EACH OF THE WORKERS 
AND EMPLOYERS REPRESENTATION ARE WOMEN. (267a)
127


1
2 
Art. 263. Representation Issue in Organized Establishments. In organized
3 
establishments, when a verified petition questioning the majority status of the incumbent
4 
bargaining agents is filed by any legitimate labor organization including a national union
5 
or federation which has already issued a charter certificate to its locai chapter
6 
participating in the certification election or a local chapter which has been issued a charter
7 
certificate by the national union or federation before the Department of Labor and
8 
Empleymeftt DOLE within the sixty (60)-day period before the expiration of the collective
9 
bargaining agreement, the MEDIATOR-ARBITER (Med-Arbiter) shall automatically order
10 
an election by secret ballot when the verified petition is supported by the written consent
11 
of at least twenty-five percent (25%) of all the employees in the bargaining unit to
12 
ascertain the will of the employees in the appropriate bargaining unit. To have a valid
13 
election, at least a majority of all eligible voters in the unit must have cast their votes.
14 
The labor union receiving the majority of the valid votes cast shall be certified as the
15 
exclusive bargaining agent of all the workers in the unit. When an election which provides 
for three or more choices results in no choice receiving a majority of the valid votes cast, 
a run-off election shall be conducted between the labor unions receiving the two highest 
number of votes: Provided, That the total number of votes for all contending unions is at 
least fifty percent (50%) of the number of votes cast. In cases where the petition was 
filed by a national union or federation, it shall not be required to disclose the names of 
the local chapter's officers and members.
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
At the expiration of the freedom period, the employers shall continue to recognize the 
majority status of the incumbent bargaining agents where no petition for certification 
election is filed. (268a)
Art. 264. Petitions in Unorganized Establishments. In any establishment where 
there is no certified bargaining agent, a certification election shall automatically be 
conducted by the Med-Arbiter UPON THE TRANSMITTAL OF THE RECORDS FROM THE 
REGIONAL DIRECTOR. (269a)
Art. 265. When an Employer May File Petition. When requested to bargain 
collectively, afi EMPLOYERS may petition the Bureau for an election. If there is no existing 
certified collective bargaining agreement in the unit, the Bureau shall, after hearing, order 
a certification election. All certification cases shall be decided within twenty (20) working 
days. The Bureau shall conduct a certification election within twenty (20) days in
128


1
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
27
28
29
30
31
32
33
34
35
36
accordance with the rules and regulations prescribed by the -Secretary of Labor and 
Employment SOLE. (270a)
Art. 266. Employer as Bystander. In all cases, whether the petition for certification 
election is filed by an employers or a legitimate labor organizations, the employers shall 
not be considered a party thereto with a concomitant right to oppose a petition for 
certification election. The employers' participation in such proceedings shall be limited 
to: (1) being notified or informed of petitions of such nature; and (2) submitting the list 
of employees during the pre-election conference should the Med-Arbiter act favorably on 
the petition. (271a)
ART. 267. RECLASSIFICATION OF POSITIONS, TRANSFERS, ETC.
RECLASSIFICATION, DEMOTION, PROMOTION AND TRANSFER OF POSITIONS SHALL 
NOT BE UNDERTAKEN DURING THE SIXTY (60)-DAY FREEDOM PERIOD OR 
THROUGHOUT THE CONDUCT OF CERTIFICATION, CONSENT, RUN-OFF ELECTION, OR 
RERUN, (new)
Art. 268. Appeal from Certification Election Orders. Any party to an election may 
appeal the order or results of the election as determined by the Med-Arbiter directly to 
the Secretary of Labor and Employment SOLE on the ground that the rules and 
regulations or parts thereof established by the Secretary of Labor and Employment SOLE 
for the conduct of the election have been violated. WHERE APPEAL IS AVAILABLE, A 
PARTY AGGRIEVED BY THE DECISION OF THE MED-ARBITER HAS TEN (10) DAYS FROM 
RECEIPT OF THE ADVERSE ORDER WITHIN WHICH TO APPEAL TO THE SOLE. Such 
appeal shall be decided within fifteen (15) calendar days. (272a)
ART. 269. WHERE TO FILE. ANY LEGITIMATE LABOR ORGANIZATION MAY FILE A 
REQUEST FOR SOLE AND EXCLUSIVE BARGAINING AGENT/REPRESENTATIVE (SEBA) 
CERTIFICATION IN THE REGIONAL OFFICE WHICH ISSUED ITS CERTIFICATE OF 
REGISTRATION OR CERTIFICATE OF CREATION OF CHARTERED LOCAL, (new)
ART. 270. REQUIREMENTS FOR REQUEST OF SEBA CERTIFICATION. THE
REQUEST FOR CERTIFICATION SHALL INDICATE:
(a) THE NAME AND ADDRESS OF THE REQUESTING LEGITIMATE LABOR 
ORGANIZATION;
129


1
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
27
28
29
30
31
32
33
34
35
(b) 
THE NAME AND ADDRESS OF THE COMPANY WHERE FT OPERATES;
(c) 
THE BARGAINING UNIT SOUGHT TO BE REPRESENTED;
(d) 
THE APPROXIMATE NUMBER OF EMPLOYEES IN THE BARGAINING UNIT; AND
(f) THE STATEMENT OF THE EXISTENCE OR NON-EXISTENCE OF OTHER LABOR 
ORGANIZATIONS OR COLLECTIVE BARGAINING AGREEMENT.
THE CERTIFICATE OF REGISTRATION AS DULY CERTIFIED BY THE PRESIDENT OF THE 
REQUESTING UNION OR CERTIFICATE OF CREATION OF CHARTERED LOCAL AS DULY 
CERTIFIED BY THE PRESIDENT OF THE FEDERATION OF THE LOCAL SHALL BE 
ATTACHED TO THE REQUEST, (new)
ART. 271. ACTION ON THE REQUEST. WITHIN ONE (1) DAY FROM THE SUBMISSION 
OF THE REQUEST, THE REGIONAL DIRECTOR SHALL:
(a) 
DETERMINE WHETHER THE REQUEST IS COMPLIANT WITH THE PRECEDING 
ARTICLE AND WHETHER THE BARGAINING UNIT SOUGHT TO BE REPRESENTED 
IS ORGANIZED OR NOT; AND
(b) 
REQUEST A COPY OF THE PAYROLL FOR PURPOSES OF SEBA CERTIFICATION 
PURSUANT TO THE NEXT PRECEDING ARTICLE.
IF THE REGIONAL DIRECTOR FINDS THE SUBMISSION DEFICIENT, THE REQUESTING 
UNION OR LOCAL SHALL BE ADVISED TO COMPLY WITHIN TEN (10) DAYS FROM 
NOTICE. FAILURE TO COMPLY WITHIN THE PRESCRIBED PERIOD SHALL BE DEEMED 
AS A WITHDRAWAL OF THE REQUEST FOR SEBA CERTIFICATION, (new)
ART. 272. REQUEST FOR CERTIFICATION IN UNORGANIZED ESTABLISHMENT 
WITH ONLY ONE LEGITIMATE LABOR ORGANIZATION; VALIDATION 
PROCEEDINGS. IF THE REGIONAL DIRECTOR FINDS THE ESTABLISHMENT 
UNORGANIZED WITH ONLY ONE LEGITIMATE LABOR ORGANIZATION, THEY SHALL 
CALL A CONFERENCE WITHIN FIVE (5) WORK DAYS FOR THE SUBMISSION OF THE 
FOLLOWING:
(a) THE NAMES OF EMPLOYEES IN THE COVERED BARGAINING UNIT WHO SIGNIFY 
THEIR SUPPORT FOR THE CERTIFICATION, PROVIDED THAT SAID EMPLOYEES 
COMPRISE AT LEAST MAJORITY OF THE NUMBER OF EMPLOYEES IN THE COVERED 
BARGAINING UNIT; AND
130


1 
(b) CERTIFICATION UNDER OATH BY THE PRESIDENT OF THE REQUESTING UNION
2 
OR LOCAL THAT ALL DOCUMENTS SUBMITTED ARE TRUE AND CORRECT BASED
3 
ON THEIR PERSONAL KNOWLEDGE.
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
THE SUBMISSION SHALL BE PRESUMED TO BE TRUE AND CORRECT UNLESS 
CONTESTED UNDER OATH BY ANY MEMBER OF THE BARGAINING UNIT DURING THE 
VALIDATION CONFERENCE. FOR THIS PURPOSE, THE EMPLOYER OR ANY 
REPRESENTATIVE OF THE EMPLOYER SHALL NOT BE DEEMED A PARTY-IN-INTEREST 
BUT ONLY AS A BY-STANDER TO THE PROCESS OF CERTIFICATION.
IF THE REQUESTING UNION OR LOCAL FAILS TO COMPLETE THE REQUIREMENTS FOR 
SEBA CERTIFICATION DURING THE CONFERENCE, THE REQUEST FOR SEBA 
CERTIFICATION SHALL BE REFERRED TO THE APPROPRIATE MED-ARBITER FOR THE 
CONDUCT OF CERTIFICATION ELECTIONS, (new)
ART. 273. ACTION ON THE SUBMISSION. IF THE REGIONAL DIRECTOR FINDS THE 
REQUIREMENTS COMPLETE, THEY SHALL ISSUE DURING THE CONFERENCE A 
CERTIFICATION AS SOLE AND EXCLUSIVE BARGAINING AGENT ENJOYING THE RIGHTS 
AND PRIVILEGES OF AN EXCLUSIVE BARGAINING AGENT OF ALL THE EMPLOYEES IN THE 
COVERED BARGAINING UNIT.
THE REGIONAL DIRECTOR SHALL CAUSE THE POSTING OF THE SEBA CERTIFICATION 
FOR FIFTEEN (15) DAYS IN AT LEAST TWO (2) CONSPICUOUS PLACES IN THE 
ESTABLISHMENT OR COVERED BARGAINING UNIT, (new)
ART. 274. EFFECT OF CERTIFICATION. UPON THE ISSUANCE OF THE 
CERTIFICATION AS SOLE AND EXCLUSIVE BARGAINING AGENT, THE CERTIFIED UNION 
OR LOCAL SHALL ENJOY ALL THE RIGHTS AND PRIVILEGES OF AN EXCLUSIVE 
BARGAINING AGENT OF ALL THE EMPLOYEES IN THE COVERED BARGAINING UNIT.
THE CERTIFICATION SHALL BAR THE FILING OF A PETITION FOR CERTIFICATION 
ELECTION BY ANY LABOR ORGANIZATION FOR A PERIOD OF ONE (1) YEAR FROM THE 
DATE OF ITS ISSUANCE. UPON EXPIRATION OF THIS ONE-YEAR PERIOD, ANY 
LEGITIMATE LABOR ORGANIZATION MAY FILE A PETITION FOR CERTIFICATION 
ELECTION IN THE SAME BARGAINING UNIT REPRESENTED BY THE CERTIFIED LABOR 
ORGANIZATION, UNLESS A COLLECTIVE BARGAINING AGREEMENT BETWEEN THE
131


1
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
27
28
29
30
31
32
33
34
35
36
EMPLOYER AND THE CERTIFIED LABOR ORGANIZATION WAS EXECUTED AND VALIDLY 
REGISTERED WITH THE REGIONAL OFFICE, (new)
ART. 275. REQUEST FOR CERTIFICATION IN AN UNORGANIZED 
ESTABLISHMENT WITH MORE THAN ONE (1) LEGITIMATE LABOR 
ORGANIZATION. IF THE REGIONAL DIRECTOR FINDS THE ESTABLISHMENT 
UNORGANIZED WITH MORE THAN ONE LEGITIMATE LABOR ORGANIZATION, THEY 
SHALL REFER THE SAME TO THE APPROPRIATE MED-ARBITER FOR THE CONDUCT OF 
CERTIFICATION ELECTION.
THE CERTIFICATION ELECTION SHALL BE CONDUCTED IN ACCORDANCE WITH 
ARTICLE 264. (new)
ART. 276. REQUEST FOR CERTIFICATION IN ORGANIZED ESTABLISHMENT. IF
THE REGIONAL DIRECTOR FINDS THE ESTABLISHMENT ORGANIZED, THEY SHALL 
REFER THE SAME TO THE MEDIATOR-ARBITER FOR THE DETERMINATION OF THE 
PROPRIETY OF CONDUCTING A CERTIFICATION ELECTION IN ACCORDANCE WITH 
ARTICLE 263. (new)
Title VIII
A GRIEVANCE MACHINERY AND VOLUNTARY ARBITRATION
ART. 277. Grievance Machinery and Voluntary Arbitration. The parties to a 
Collective Bargaining Agreement shall include therein provisions that will ensure the 
mutual observance of its terms and conditions. They shall establish a machinery for the 
adjustment and resolution of grievances arising from the interpretation or implementation 
of their Collective Bargaining Agreement and those arising from the interpretation or 
enforcement of company personnel policies.
All grievances submitted to the grievance machinery which are not settled within seven 
(7) calendar days from the date of its submission shall automatically be referred to 
voluntary arbitration prescribed in the Collective Bargaining Agreement.
For this purpose, parties to a Collective Bargaining Agreement shall name and designate 
in advance a Voluntary Arbitrator or panel of Voluntary Arbitrators, or include in the 
agreement a procedure for the selection of such Voluntary Arbitrator or panel of Voluntary
132


1
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
27
28
29
30
31
32
33
34
35
Arbitrators, preferably from the listing of qualified Voluntary Arbitrators duly accredited 
by the Board. In case the parties fail to select a Voluntary Arbitrator or panel of Voluntary 
Arbitrators, the Board shall designate the Voluntary Arbitrator or panel of Voluntary 
Arbitrators, as may be necessary, pursuant to the selection procedure agreed upon in the 
Collective Bargaining Agreement, which shall act with the same force and effect as if the 
Arbitrator or panel of Arbitrators have been selected by the parties as described above. 
(273)
Art. 278. Jurisdiction of Voluntary Arbitrators and Panel of Voluntary 
Arbitrators. The Voluntary Arbitrator or panel of Voluntary Arbitrators shall have original 
and exclusive jurisdiction to hear and decide all unresolved grievances arising from the 
interpretation or implementation of the Collective Bargaining Agreement and those arising 
from the interpretation or enforcement of company personnel policies referred to In the 
immediately preceding article. Accordingly, violations of a Collective Bargaining 
Agreement, except those which are gross in character, shall no longer be treated as unfair 
labor practice and shall be resolved as grievances under the Collective Bargaining 
Agreement. For purposes of this article, gross violations of Collective Bargaining 
Agreement shall mean flagrant and/or malicious refusal to comply with the economic 
provisions of such agreement.
The Commission CLR, its Regional Offices and the Regional Directors of the Department 
of Labor and Employment DOLE shall not entertain disputes, grievances or matters under 
the exclusive and original jurisdiction of the Voluntary Arbitrator or panel of Voluntary 
Arbitrators and shall immediately dispose and refer the same to the Grievance Machinery 
or Voluntary Arbitration provided in the Collective Bargaining Agreement. (274a)
Art. 279. Jurisdiction over Other Labor Disputes. The Voluntary Arbitrator or panel 
of Voluntary Arbitrators, upon agreement of the parties, shall also hear and decide all 
other labor disputes including unfair labor practices and bargaining deadlocks. (275)
Art. 280. Procedures. The Voluntary Arbitrator or panel of Voluntary Arbitrators shall 
have the power to hold hearings, receive evidence and take whatever action is necessary 
to resolve the Issue or issues subject of the dispute, including efforts to effect a voluntary 
settlement between parties.
133


1
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
27
28
29
30
31
32
33
34
35
36
All parties to the dispute shall be entitled to attend the arbitration proceedings. The 
attendance of any third party or the exclusion of any witness from the proceedings shall 
be determined by the Voluntary Arbitrator or panel of Voluntary Arbitrators. Hearing may 
be adjourned for cause or upon agreement by the parties.
FAILURE TO APPEAR IN THE VOLUNTARY ARBITRATION DESPITE NOTICE SHALL BE 
DEEMED A WAIVER OF THE RIGHT TO BE HEARD. THE UNION MAY FILE AN EX PARTE 
MOTION TO SUBMIT THE ISSUE FOR EARLY RESOLUTION.
Unless the parties agree otherwise, It shall be mandatory for the Voluntary Arbitrator or 
panel of Voluntary Arbitrators to render an award or decision within twenty (20) calendar 
days from the date of submission of the dispute to voluntary arbitration.
The award or decision of the Voluntary Arbitrator or panel of Voluntary Arbitrators shall 
contain the facts and the law on which it is based. It shall be final and executory after 
ten (10) calendar days from receipt of the copy of the award or decision by the parties. 
A PARTY AGGRIEVED BY THE RULING MAY FILE A MOTION FOR RECONSIDERATION 
WITHIN TEN (10) DAYS FROM NOTICE. ONLY AFTER THE RESOLUTION OF THE MOTION 
FOR RECONSIDERATION MAY THE AGGRIEVED PARTY APPEAL TO THE COURT OF 
APPEALS BY FILING A PETITION FOR REVIEW UNDER RULE 43 OF THE RULES OF COURT 
WITHIN FIFTEEN (15) DAYS FROM NOTICE.
Upon motion of any Interested party, the Voluntary Arbitrator or panel of Voluntary 
Arbitrators or the Labor Arbiter JUDGE OF THE CLR in the region where the movant 
resides, in case of the absence or incapacity of the Voluntary Arbitrator or panel of 
Voluntary Arbitrators, for any reason, may issue a writ of execution requiring either the 
sheriff of the Commission CLR or regular courts or any public official whom the parties 
may designate in the submission agreement to execute the final decision, order or award. 
(276a)
Art. 281. Cost of Voluntary Arbitration and Voluntary Arbitrator's Fee. The
parties to a Collective Bargaining Agreement shall provide therein a proportionate sharing 
scheme on the cost of voluntary arbitration including the Voluntary Arbitrator's fee. The 
fixing of fee of Voluntary Arbitrators, or panel of Voluntary Arbitrators, whether 
shouldered wholly by the parties or subsidized by the Special Voluntary Arbitration Fund, 
shall take into account the following factors:
134


1
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
27
28
29
30
31
32
33
34
35
36
(a) Nature of the case;
(b) Time consumed in hearing the case;
(c) 
Professional standing of the Voluntary Arbitrator;
(d) Capacity to pay of the parties; and
(e) Fees provided for in the Revised Rules of Court. (277)
Title IX
STRIKES AND LOCKOUTS
Chapter I
STRIKES AND LOCKOUTS
Art. 282. Strikes, Picketing, and Lockouts.
(a) 
It is the policy of the State to encourage free trade unionism and free collective 
bargaining.
(b) 
Workers shall have the right to engage in concerted activities for purposes of 
collective bargaining or for their mutual benefit and protection. The right of 
legitimate labor organizations to strike and picket and of employers to lockout, 
consistent with the national interest, shall continue to be recognized and respected. 
However, no labor union may strike and no employer may declare a lockout on 
grounds involving inter-union and intra-union disputes.
(c) 
In cases of bargaining deadlocks, the duly certified or recognized bargaining agent 
may file a notice of strike or the employer may file a notice of lockout with the 
Ministry DOLE at least THIRTY (30) days before the intended date thereof. In cases 
of unfair labor practice, the period of notice shall be FIFTEEN (15) days and in the 
absence of a duly certified or recognized bargaining agent, the notice of strike may 
be led by any legitimate labor organization in behalf of its members. However, in 
case of dismissal from employment of union officers duly elected in accordance with 
the union constitution and by-laws, which may constitute union busting where the 
existence of the union is threatened, the 45 FIFTEEN-day cooling-off period shall 
not apply and the union may take action immediately.
(d) 
The notice must be in accordance with such implementing rules and regulations as 
the Minister of Labor and Employment SOLE may promulgate.
135


1
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
27
28
29
30
31
32
33
34
35
36
(e) 
During the cooling-off period, it shall be the duty of the Ministry DOLE to exert all 
efforts at mediation and conciliation to effect a voluntary settlement. Should the 
dispute remain unsettled until the lapse of the requisite number of days from the 
mandatory filing of the notice, the labor union may strike or the employer may 
declare a lockout.
(f) 
A decision to declare a strike must be approved by a majority of the total union 
membership in the bargaining unit concerned, obtained by secret ballot In meetings 
or referenda called for that purpose. A decision to declare a lockout must be 
approved by a majority of the board of directors of the corporation or association 
or of the partners in a partnership, obtained by secret ballot in a meeting called for 
that purpose. The decision shall be valid for the duration of the dispute based on 
substantially the same grounds considered when the strike or lockout vote was 
taken. The Ministry DOLE may, at its own initiative or upon the request of any 
affected party, supervise the conduct of the secret balloting. In every case, the 
union or the employer shall furnish the Ministry DOLE the results of the voting at 
least seven days ANY TIME before the intended strike or lockout, subject to the 
cooling-off period herein provided.
(g) 
When, in te THEIR 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 Employmeftt SOLE may assume jurisdiction over the dispute and decide 
it or certify the same to the Commission CLR 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. If one has already taken place at the time of assumption or 
certification, all striking or locked out employees shall immediately return to work 
and the employer shall immediately resume operations and readmit all workers 
under the same terms and conditions prevailing before the strike or lockout. The 
Secretary of Labor-and Employment SOLE or the Commission CLR may seek the 
assistance of law enforcement agencies to ensure compliance with this provision as 
well as with such orders as THEY may issue to enforce the same.
FOR THE GUIDANCE OF THE WORKERS AND EMPLOYERS IN THE FILING OF 
PETITION FOR ASSUMPTION OF JURISDICTION, THE FOLLOWING
136


1
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
27
28
29
30
31
32
33
34
35
36
INDUSTRIES/SERVICES ARE HEREBY RECOGNIZED AS DEEMED INDISPENSABLE 
TO THE NATIONAL INTEREST:
(1) 
HOSPITAL SECTOR;
(2) 
ELECTRIC POWER INDUSTRY;
(3) 
WATER SUPPLY SERVICES, EXCLUDING SMALL WATER SUPPLY SERVICES 
SUCH AS BOTTLING AND REFILLING STATIONS;
(4) 
AIR TRAFFIC CONTROL; AND
(5) 
SUCH OTHER INDUSTRIES AS MAY BE RECOMMENDED BY THE NATIONAL 
TRIPARTITE INDUSTRIAL PEACE COUNCIL (NTIPC).
In line with the national concern for and the highest respect accorded to the right 
of patients to life and health, strikes and lockouts in hospitals, clinics and similar 
medical institutions shall, to every extent possible, be avoided, and all serious 
efforts, not only by labor and management but government as well, be exhausted 
to substantially minimize, if not prevent, their adverse effects on such life and 
health, through the exercise, however legitimate, by labor of its right to strike and 
by management to lockout. In labor disputes adversely affecting the continued 
operation of such hospitals, clinics or medical institutions, it shall be the duty of the 
striking union or locking-out employer to provide and maintain an effective skeletal 
workforce of medical and other health personnel, whose movement and services 
shall be unhampered and unrestricted, as are necessary to Insure the proper and 
adequate protection of the life and health of Its patients, most especially emergency 
cases, for the duration of the strike or lockout. In such cases, therefore, the 
Secretary of Labor and Employment SOLE may immediately assume, within twenty- 
four (24) hours from knowledge of the occurrence of such a strike or lockout, 
jurisdiction over the same or certify it to the Commission CLR for compulsory 
arbitration. For this purpose, the contending parties are strictly enjoined to comply 
with such orders, prohibitions and/or injunctions as are issued by the Secretary of 
Labor and- Employment SOLE, or the Commission CLR, under pain of immediate 
disciplinary action, including dismissal or loss of employment status or payment by 
the locking-out employer of backwages, damages and other affirmative relief, even 
criminal prosecution against either or both of them.
The foregoing notwithstanding, the President of the Philippines shall not be 
precluded from determining the industries that, in Ws THEIR opinion, are 
indispensable to the national interest, and from intervening at any time and
137


1
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
27
28
29
30
31
32
33
34
35
36
assuming jurisdiction over any such labor dispute in order to settle or terminate the 
same.
(h) 
Before or at any stage of the compulsory arbitration process, the parties may opt to 
submit their dispute to voluntary arbitration.
(i) 
The Secretary of Labor and Employment SOLE, the Gemmtssleft CLR or the 
voluntary arbitrator or panel of voluntary arbitrators shall decide or resolve the 
dispute within thirty (30) calendar days from the date of the assumption of 
jurisdiction or the certification or submission of the dispute, as the case may be. 
The decision of the President, the Secretary of Labor and Employment SOLE, the 
Commission CLR or the voluntary arbitrator shall be final and executory ten (10) 
calendar days after receipt thereof by the parties. (278a)
Art. 283. Prohibited Activities.
(a) No labor organization or employer shall declare a strike or lockout without first 
having bargained collectively In accordance with Title Vli of this Book or without 
first having filed the notice required in the preceding Article or without the necessary 
strike or lockout vote first having been obtained and reported to the MmtstryBOARD.
No strike or lockout shall be declared after assumption of jurisdiction by the 
President or the Minister SOLE or after certification or submission of the dispute to 
compulsory or voluntary arbitration or during the pendency of cases involving the 
same grounds for the strike or lockout.
Any WORKERS whose employment has HAVE been terminated as a consequence of 
any unlawful lockout shall be entitled to reinstatement with full backwages. Any 
UNION OFFICERS who knowingly participates in an illegal strike and any WORKERS 
or UNION OFFICERS who knowingly participates in the commission of illegal acts 
during a strike may be declared to have lost his THEIR employment status: Provided, 
That mere participation of a WORKERS in a lawful strike shall not constitute 
sufficient ground for termination of his THEIR employment, even if a replacement 
had been hired by the employer during such strike. IN ALL CASES, THE 
TERMINATION OF EMPLOYMENT SHALL CONFORM TO SUBSTANTIVE AND 
PROCEDURAL REQUIREMENTS.
138


1
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
27
28
29
30
31
32
33
34
35
36
(b) 
No person shall obstruct, impede, or interfere with by force, violence, coercion, 
threats or intimidation, any peaceful picketing OR STRIKE by employees during any 
labor controversy or in the exercise of the right to self-organization or collective 
bargaining, or shall aid or abet such obstruction or interference.
(c) 
No employer shall use or employ any strike-breaker, nor shall any person be 
employed as a strike-breaker.
(d) 
NO PUBLIC OFFICIAL OR EMPLOYEE, INCLUDING OFFICERS AND PERSONNEL OF 
THE ARMED FORCES OF THE PHILIPPINES OR THE PHILIPPINE NATIONAL POLICE, 
OR ARMED PERSON SHALL INTERFERE WITH THE WORKERS' EXERCISE OF THE 
RIGHT TO PEACEFUL CONCERTED ACTION, INCLUDING THE RIGHT TO STRIKE. 
No public official or employee, including officers and personnel of the New-Armed 
Forces of the Philippines or the Integrated PHILIPPINE National Police, or armed 
person, shall bring in. Introduce or escort in any manner, any INDIVIDUALS who 
seeks to replace strikers in entering or leaving the premises of a strike area, or work 
in place of the strikers. The police force shall keep out of the picket lines unless 
actual violence or other criminal acts occur therein: Provided, That nothing herein 
shall be interpreted to prevent any PUBLIC OFFICERS from taking any measure 
necessary to maintain peace and order, protect life and property, and/or enforce 
the law and legal order.
(e) 
No person engaged in picketing shall commit any act of violence, coercion or 
intimidation or-obstruct the free ingress to or--e9ressT:fom-thc-employGr,s promises 
for lawful purposes, or obstruct public thoroughfares.
(f) 
NO PERSON SHALL TRANSPORT PERSONNEL, RAW MATERIALS, OR FINISHED 
PRODUCTS INTO OR OUT FROM THE STRIKE AREA DURING A STRIKE. (279a)
Art. 284. Improved Offer Balloting. In an effort to settle a strike, the Depaftmont of 
Labor and Employment DOLE shall conduct a referendum by secret balloting on the 
improved offer of the employer on or before the 30th day of the strike. When at least a 
majority of the union members vote to accept the improved offer the striking workers 
shall immediately return to work and the employer shall thereupon readmit them upon 
the signing of the agreement.
139


1
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
27
28
29
30
31
32
33
34
35
36
In case of a lockout, the Dcpartmcnt-of Labor-and Employment DOLE shall also conduct 
a referendum by secret balloting on the reduced offer of the union on or before the 30th 
day of the iockout. When at least a majority of the board of directors or trustees or the 
partners holding the controlling interest in the case of a partnership vote to accept the 
reduced offer, the workers shall immediately return to work and the EMPLOYERS shall 
thereupon readmit them upon the signing of the agreement. (280a)
Art. 285. Requirement for Arrest and Detention. Except-on grounds of national 
security and public peace or in case of commission-of-a crime. No union members or 
union organizers SHALL be INVITED FOR QUESTIONING, arrested or detained for union 
activities without previous consultations CLEARANCE with the Secretary of-Labor SOLE. 
(281a)
Chapter II
ASSISTANCE TO LABOR ORGANIZATIONS
Art. 286. Assistance by the Department of LaborDOLE. The Department of Labor 
DOLE, at the initiative of the Secretary of Labor SOLE, shall extend special assistance to 
the organization, for purposes of collective bargaining, of the most underprivileged 
workers who, for reasons of occupation, organizational structure or insufficient incomes, 
are not normally covered by major labor organizations or federations. (282a)
Art. 287. Assistance by the Institute of Labor and Manpower Studies. The
Institute of Labor and Manpower Studies shall render technical and other forms of 
assistance to labor organizations and employer organizations in the field of labor 
education, especially pertaining to collective bargaining, arbitration, labor standards and 
the Labor this Code of the Philippines in general. (283)
Chapter III
PENALTIES FOR VIOLATION
Art. 288. Penalties.
(a) Any person violating any of the provisions of Article 264 283 of this Code shall be 
punished by a fine of not less than one thousand pesos (P1,000.00) nor more than 
ten thousand pesos (P10,000.00) and/or imprisonment for not less than three (3) 
months nor more than three (3) years, or both such fine and imprisonment, at the
140


1
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
27
28
29
30
31
32
33
34
35
36
discretion of the court. Prosecution under this provision shall preclude prosecution 
for the same act under the Revised Penal Code, and vice versa.
(b) Upon the recommendation of the Minister of Labor and Employment SOLE and the 
Minister SECRETARY of National Defense, foreigners who violate the provisions of 
this Title shall be subject to Immediate and summary deportation by the Commission 
on BUREAU OF Immigration and Deportation and shall be permanently barred from 
re-entering the country without the special permission of the President of the 
Philippines. (287a)
Title X
SPECIAL PROVISIONS
Art. 289. Study of Labor-Management Relations. The Secretary of Labor SOLE shall
have the power and it shall be fHs THEIR duty to inquire into:
(a) 
the existing relations between employers and employees in the Philippines;
(b) 
the growth of associations of employees and the effect of such associations upon 
employer-employee relations;
(c) 
the extent and results of the methods of collective bargaining in the determination 
of terms and conditions of employment;
(d) 
the methods which have been tried by employers and associations of employees for 
maintaining mutually satisfactory relations;
(e) 
desirable Industrial practices which have been developed through collective 
bargaining and other voluntary arrangements;
(f) 
the possible ways of increasing the usefulness and efficiency of collective bargaining 
for settling differences;
(g) 
the possibilities for the adoption of practical and effective methods of labor- 
management cooperation;
(h) 
any other aspects of employer-employee relations concerning the promotion of 
harmony and understanding between the parties; and
(i) 
the relevance of labor laws and labor relations to national development. The 
Sccrctary-of Labor SOLE shall also inquire into the causes of industrial unrest and 
take all the necessary steps within te THEIR power as may be prescribed by law to 
alleviate the same, and shall from time to time recommend the enactment of such 
remedial legislation as in bis THEIR judgment may be desirable for the maintenance 
and promotion of industrial peace. (288a)
141


1 
Art. 290. Visitorial Power. The Secretary of-Labor and Employment SOLE or his THEIR
2 
duly authorized representative is hereby empowered to inquire into financial activities of
3 
legitimate labor organizations upon the filing of a compiaint under oath and duly
4 
supported by the written consent of at ieast twenty percent (20%) of the total
5 
membership of the labor organization concerned and to examine their books of accounts
6 
and other records to determine compliance or non-compliance with the law and to
7 
prosecute any violations of the law and the union constitution and bylaws: Provided, That
8 
such inquiry or examination shall not be conducted during the sixty (60) days freedom
9 
period nor within the thirty (30) days immediately preceding the date of election of union
10 
officials. (289a)
11
12 
Art. 291. Tripartism, Tripartite Conferences, and Tripartite Industrial Peace
13 
Councils.
14 
(a) Tripartism in labor relations is hereby declared a State policy. Towards this end,
15 
workers and employers shall, as far as practicable, be represented in decision and
16 
policy-making bodies of the government.
17 
(b) The Secretary of Labor and Employment SOLE or bis THEIR duly authorized
18 
representatives may from time to time call a national, regional, or industrial tripartite
19 
conference of representatives of government, workers and employers, and other
20 
interest groups as the case may be, for the consideration and adoption of voluntary
21 
codes of principles designed to promote industrial peace based on social AND
22 
GENDER justice or to align labor movement relations with established priorities in
23 
economic and social development. In calling such conference, the Secretary of Labor
24 
and Employment SOLE may consult with THE PHILIPPINE COMMISSION ON
25 
WOMEN (PCW) AND accredited representatives of workers and employers.
26 
(c) A National Tripartite Industrial Peace Council (NTIPC) shall be established, headed
27 
by the Secretary of-Labof-and-Enpt-pioyment SOLE, with twenty (20) representatives
28 
each from the labor and employers' sectors to be designated by the President at
29 
regular intervals. For this purpose, a sectoral nomination, selection, and recall
30 
process shall be established by the DOLE in consultation with the sectors observing
31 
the 'most representative' organization criteria of ILO Convention No. 144.
32
33 
Tripartite Industrial Peace Councils (TIPCs) at the regional or industry level shall
34 
also be established with representatives from government, workers and employers
35 
to serve as a continuing forum for tripartite advisement and consultation in aid of
36 
streamlining the role of government, empowering workers' and employers'
142


1
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
27
28
29
30
31
32
33
34
35
36
organizations, enhancing their respective rights, attaining industriai peace, and
improving productivity.
The TIPCs shaii have the following functions:
(1) 
Monitor the full implementation and compliance of concerned sectors with the 
provisions of all tripartite instruments, including international conventions and 
declarations, codes of conduct, and social accords;
(2) 
Participate in national, regional or industry-specific tripartite conferences which 
the President or the Sccrctary-of Labor and Employment SOLE may call from 
time to time;
(3) 
Review existing labor, economic and social policies and evaluate local and 
international developments affecting them;
(4) 
Formulate, for submission to the President or to Congress, tripartite views, 
recommendations and proposals on labor, economic, and social concerns, 
including the presentation of tripartite positions on relevant bills pending in 
Congress;
(5) 
Advise the Secretary of Labor-and Employment SOLE in the formulation or 
implementation of policies and legislation affecting labor and employment;
(6} Serve as a communication channel and a mechanism for undertaking joint 
programs among government, workers, employers and their organizations 
toward enhancing labor-management relations; and
(7) Adopt its own program of activities and rules, consistent with development 
objectives. All TIPCs shall be an integral part of the organizational structure of 
the NTIPC. The operations of all TIPCs shall be funded from the regular budget 
of the DOLE. (290a)
Art. 292. Government Employees. The terms and conditions of employment of all 
government employees, including employees of government-owned and controlled 
corporations, shall be governed by the Civil Service Law, rules and regulations. Their 
salaries shall be standardized by the National Assembly CONGRESS as provided for in the 
New Constitution. However, there shall be no reduction of existing wages, benefits and 
other terms and conditions of employment being enjoyed by them at the time of the 
adoption of this Code. (291)
Art. 293. Miscellaneous Provisions.
143


1 
(a) All unions are authorized to collect reasonable membership fees, union dues,
2 
assessments and fines and other contributions for labor education and research,
3 
mutual death and hospitalization benefits, welfare fund, strike fund and credit and
4 
cooperative undertakings.
5 
(b) Subject to the constitutional right of workers to security of tenure and their right to
6 
be protected against dismissal except for a just and authorized cause and without
7 
prejudice to the requirement of notice under Article 283 299 of this Code, the
8 
employer shall furnish the workers whose employment is ARE sought to be
9 
terminated a written notices containing a statement of the causes for termination
10 
and shall afford the latter ample opportunity to be heard and to defend himself
11 
THEMSELVES with the assistance of his THEIR representative if he THEY so desire
12 
in accordance with company rules and regulations promulgated pursuant to
13 
guidelines set by the Department of-Labor and Employmcnt-DOLE. Any decision
14 
taken by the employer shall be without prejudice to the right of the workers to
15 
contest the validity or legality of his THEIR dismissal by filing a complaint with the
16 
regional branch of the National Labor Relations Commission CLR. The burden of
17 
proving that the termination was for a valid or authorized cause shall rest on the
18 
employer. The Secretary of the Department of Labor and Employment SOLE may
19 
suspend the effects of the termination pending resolution of the dispute in the event
20 
of a prima facie finding by the appropriate official of the Department of-Labor and
21 
Employment DOLE before whom such dispute is pending that the termination may
22 
cause a serious labor dispute or is in implementation of a mass lay-off.
23 
(c) Any eEmployeeS, whether employed for a definite period or not, shall, beginning on
24 
his THEIR first day of service, be considered as an employees for purposes of
25 
membership in any labor union.
26 
(d) No docket fee shall be assessed in labor standards disputes. In all other disputes,
27 
docket fees may be assessed against the filing party, provided that in bargaining
28 
deadlock, such fees shall be shared equally by the negotiating parties.
29 
(e) The Minister of Labor and-Employment SOLE and the Minister SECRETARY of the
30 
Budget shall cause to be created or reclassified in accordance with law such
31 
positions as may be necessary to carry out the objectives of this Code and cause
32 
the upgrading of the salaries of the personnel involved in the Labor Relations System
33 
of the Department. Funds needed for this purpose shall be provided out of the
34 
Special Activities Fund appropriated by Batas Pambansa Big. 80 and from annual
35 
appropriations thereafter.
144


1 
(f) A special Voluntary Arbitration Fund is hereby established in the Board to subsidize
2 
the cost of voluntary arbitration in cases involving the interpretation and
3 
implementation of the Collective Bargaining Agreement, including the Arbitrator's
4 
fees, and for such other related purposes to promote and develop voluntary
5 
arbitration. The Board shall administer the Special Voluntary Arbitration Fund in
6 
accordance with the guidelines it may adopt upon the recommendation of the
7 
Council, which guidelines shall be subject to the approval of the Secretary of Labor
8 
and Employment SOLE. Continuing funds needed for this purpose SHALL BE in the
9 
initial yearly amount of-Fiftcen million pesos (P15,OOO,OQ0tOO) AN AMOUNT WHICH
10 
SHALL BE INCREASED DEPENDING ON THE REQUIREMENTS OF THE AGENCY AND
11 
shall be provided in the 4989 annual general appropriations acts.
12 
The amount of subsidy in appropriate cases shall be determined by the Board in
13 
accordance with established guidelines issued by it upon the recommendation of
14 
the Council. The Fund shall also be utilized for the operation of the Council, the
15 
training and education of Voluntary Arbitrators, and the promotion and development
16 
of a comprehensive Voluntary Arbitration Program.
17 
(g) The Ministry DOLE shall help promote and gradually develop, with the agreement
18 
of labor organizations and employers, labor-management cooperation programs at
19 
appropriate levels of the enterprise based on shared responsibility and mutual
20 
respect in order to ensure industrial peace and improvement in productivity, working
21 
conditions and the quality of working life.
22 
(h) In establishments where no legitimate labor organization exists, labor-management
23 
committees may be formed voluntarily by workers and employers for the purpose
24 
of promoting industrial peace. The Department of Labor and Employment DOLE
25 
shall endeavor to enlighten and educate the workers and employers on their rights
26 
and responsibilities through labor education with emphasis on the policy thrusts of
27 
this Code.
28 
To ensure speedy labor justice, the periods provided in this Code within which
29 
decisions or resolutions of labor relations cases or matters should be rendered shall
30 
be mandatory. For this purpose, a case or matter shall be deemed submitted for
31 
decision or resolution upon the filing of the last pleading or memorandum required
32 
by the rules of the CommissioR CLR or by the Commission CLR itself, or the Labor
33 
Arbiter JUDGE OF THE CLR, or the Director of the Bureau of Labor Relations or Med-
34 
Arbiter, or the Regional Director. Upon expiration of the corresponding period, a
35 
certification stating why a decision or resolution has not been rendered within the
36 
said period shall be issued forthwith by the Chairman CHAIR of the Commission
145


1
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
27
28
29
30
31
32
33
34
35
CLR, the Executive Labor Arbiter JUDGE OF THE CLR, or the Director of the Bureau 
of Labor Relations or Med-Arbiter, or the Regional Director, as the case may be, and 
a copy thereof served upon the parties. Despite the expiration of the applicable 
mandatory period, the aforesaid officials shall, without prejudice to any liability 
which may have been incurred as a consequence thereof, see to it that the case or 
matter shall be decided or resolved without any further delay. (292a)
Book Six
POST-EMPLOYMENT
Title I - Termination of Employment
Art. 294. Coverage. The provisions of this Title shall apply to all establishments or 
undertakings, whether for profit or not. (293)
Art. 295. Security of Tenure. The-eEmployerS shall not terminate the services of an 
employee, WHETHER REGULAR OR NON-REGULAR, except for a just cause or when 
authorized by this Title. An-eEmployeeS who ts ARE unjustly dismissed from work shall 
be entitled to reinstatement without loss of seniority rights and other privileges and to 
bis THEIR full backwages, inclusive of allowances, and to bis THEIR other benefits or 
their monetary equivalent computed from the time bis THEIR compensation was withheld 
from bim THEM up to the time of bis THEIR actual reinstatement. (294a)
Art. 296. Regular and Casual Employment. The provisions of written agreement to 
the contrary notwithstanding and regardless of the oral agreement of the parties, aft 
employment shall be deemed to be regular where the employees has HAVE been engaged 
to perform activities which are usually necessary or desirable in the usual business or 
trade of the employer, except where the employment has been fixed for a specific project 
or undertaking the completion or termination of which has been determined at the time 
of the engagement of the employees or where the work or service to be performed is 
seasonal in nature and the employment is for the duration of the season.
An employment shall be deemed to be casual if it is not covered by the preceding 
paragraph: Provided, That afty employees who has HAVE rendered at least one year of 
service, whether such service is continuous or broken, shall be considered a regular
146


1
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
27
28
29
30
31
32
33
34
35
36
employees with respect to the activity-fn-which he is employed cind his-cmploymcnt shall 
continue whilo-such activity exists. (295a)
Art. 297. Probationary Employment. Probationary employment shall not exceed six 
(6) months from the date the employee started working, unless it is covered by an 
apprenticeship agreement stipulating a longer period. The services of an employees who 
has HAVE been engaged on a probationary basis may be terminated for a just cause or 
when he fails THEY FAIL to qualify as a regular employees in accordance with reasonable 
standards made known by the employer to the employees at the time of his THEIR 
engagement. An-eEmployeeS who is ARE allowed to work after the probationary period 
shall be considered a regular employees. (296a)
Art. 298. Termination by Employer. An-eEmployerS may terminate an employment 
for any of the following causes:
(a) 
Serious misconduct or willful disobedience by the employees of the lawful orders of 
his THEIR employer or representative in connection with his THEIR work;
(b) 
Gross and habitual neglect by the employees of his THEIR duties;
(c) 
Fraud or willful breach by the employees of the trust reposed in him THEM by the 
employer or duly authorized representative;
(d) 
Commission of a crime or offense by the employees against the person of his THEIR 
employer or any immediate member of his THEIR family or his THEIR duly 
authorized representatives;
(e) 
COMMISSION OF SEXUAL VIOLENCE AND/OR OTHER SEXUALLY-RELATED 
OFFENSES, REGARDLESS OF CONVICTION; AND
(f) 
Other causes analogous to the foregoing. (297a)
ART. 299. Closure of Establishment and Reduction of Personnel. The-eEmployerS 
may also terminate the employment of any employee due to the installation of labor- 
saving devices, redundancy, retrenchment to prevent losses or the closing or cessation 
of operation of the establishment or undertaking unless the closing is for the purpose of 
circumventing the provisions of this Title, by serving a written notice on the workers and 
the Ministry of-Labor and Employment SOLE at least one (1) month before the intended 
date thereof. In case of termination due to the installation of labor-saving devices or 
redundancy, the workers affected thereby shall be entitled to a separation pay equivalent 
to at least his THEIR one (1) month pay or to at least one (1) month pay for every year 
of service, whichever is higher. In case of retrenchment to prevent losses and in cases of
147


1
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
27
28
29
30
31
32
33
34
35
36
closures or cessation of operations of establishment or undertaking not due to serious 
business losses or financial reverses, the separation pay shall be equivalent to one (1) 
month pay or at least one-half (1/2) month pay for every year of service, whichever is 
higher. A fraction of at least six (6) months shall be considered one (1) whole year. (298a)
Art. 300. Disease as Ground for Termination. An-eEmployerS may terminate the 
services of aft employees who has been HAVE BEEN found to be suffering from any 
disease and whose continued employment is ARE prohibited by law or is ARE prejudicial 
to his THEIR health as well as to the health of his THEIR co-employees: PROVIDED, THAT 
EMPLOYERS SHALL PRESENT A CERTIFICATION ISSUED BY A COMPETENT PUBLIC 
HEALTH AUTHORITY ATTESTING THAT THE ILLNESS OR DISEASE CANNOT BE CURED 
WITHIN SIX (6) MONTHS EVEN WITH PROPER MEDICAL TREATMENT: Provided, 
FURTHER, That he-ls THEY ARE paid separation pay equivalent to at least one (1) month 
salary or to one-half (1/2) month salary for every year of service, whichever is greater, a 
fraction of at least six (6) months being considered as one (1) whole year. (299a)
Art. 301. Termination by Employee.
(a) 
Aft—eEmployeeS may terminate without just cause the employee-employer 
relationship by serving a written notice on the employers at least one (1) month In 
advance. The Employers upon whom no such notice was served may hold the 
employees liable for damages.
(b) 
Aft-eEmployeeS may put an end to the relationship without serving any notice on 
the employers for any of the following just causes:
(1) 
Serious insult by the employers or hts THEIR representative on the honor and 
person of the employees;
(2) 
Inhuman and unbearable treatment accorded the employees by the employers 
or hts THEIR representative;
(3) 
Commission of a crime or offense by the employers or his THEIR 
representative against the persons of the employees or any of the immediate 
members of hts THEIR family;
(4) 
COMMISSION OF SEXUAL VIOLENCE AND/OR OTHER SEXUALLY-RELATED 
OFFENSES, REGARDLESS OF CONVICTION; AND
(5) 
Other causes analogous to any of the foregoing. (300a)
Art. 302. When Employment Not Deemed Terminated. The bona fide suspension 
of the operation of a business or undertaking for a period not exceeding six (6) months,
148


1
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
27
28
29
30
31
32
33
34
35
36
or the fulfillment by the employees of a military or civic dutylES shall not terminate 
employment. In all such cases, the employers shall reinstate the employees to his THEIR 
former positions without loss of seniority rights if he incHcates-his THEY INDICATE THEIR 
desire to resume his THEIR work not later than one (1) month from the resumption of 
operations of his THEIR employer or from his THEIR relief from the military or civic 
dutylES. (301a)
Title II - Retirement from the Service
Art. 303. Retirement. Any-eEmployeeS may be retired upon reaching the retirement 
age established in the collective bargaining agreement or other applicable employment 
contract.
In case of retirement, the employees shall be entitled to receive such retirement benefits 
as he THEY may have earned under existing laws and any collective bargaining 
agreement and other agreements: Provided, however, That retirement benefits under 
any collective bargaining and other agreements shall not be less than those provided 
therein.
In the absence of a retirement plan or agreement providing for retirement benefits of 
employees in the establishment, an-employeeS upon reaching the age of sixty (60) years 
or more, but not beyond sixty-five (65) years which Is hereby declared the compulsory 
retirement age, who has HAVE served at least five (5) years in the said establishment, 
may retire and shall be entitled to retirement pay equivalent to at least one-half (1/2) 
month salary for every year of service, a fraction of at least six (6) months being 
considered as one whole year.
Unless the parties provide for broader inclusions, the term one-half (1/2) month salary 
shall mean fifteen (15) days plus one-twelfth (1/12) of the 13th month pay and the cash 
equivalent of not more than five (5) days of service incentive leaves.
An-uUnderground mining employees upon reaching the age of fifty (50) years or more, 
but not beyond sixty (60) years which is hereby declared the compulsory retirement age 
for underground mine workers, who has HAVE served at least five (5) years as 
underground mine workers, may retire and shall be entitled to all the retirement benefits 
provided for in this Article.
149


1
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
27
28
29
30
31
32
33
34
35
Retail, service and agricultural-establishments or operations employing not more than ten
(10) employees or workers are exempted from theeoverage of this provision.
Violation of this provision is hereby declared unlawful and subject to the penal provisions 
under Article 288 312 of this Code.
Nothing in this Article shall deprive any employees of benefits to which he THEY may be 
entitled under existing laws or company policies or practices. (302a)
BOOK SEVEN
GENDER EQUALITY PROVISIONS
ART. 304. ANNUAL EVALUATION OF PAY AND BENEFITS STRUCTURE. THERE 
SHALL BE AN ANNUAL ASSESSMENT OF THE COMPANY'S EXISTING PAY AND BENEFIT 
STRUCTURES AND JOB CLASSIFICATIONS WITH THE GOAL OF ELIMINATING ANY 
DISCREPANCIES IN SALARIES AND BENEFITS ATTRIBUTABLE SOLELY TO GENDER BIAS 
OR DISCRIMINATION. TOWARDS THIS END, GENDER-FAIR CRITERIA OR STANDARDS 
SHALL BE ESTABLISHED WHICH ALLOW FOR REASONABLE DISCREPANCIES IN PAY AND 
BENEFITS, SUCH AS DIFFERENCE IN POSITION OR TITLE, JOB DESCRIPTION, JOB 
RESPONSIBILITY, OR OTHER GENDER-FAIR CRITERIA OR STANDARDS. THE ANNUAL 
ASSESSMENT SHALL BE UNDERTAKEN IN CONSULTATION WITH THE BARGAINING 
REPRESENTATIVE OR, IN THE ABSENCE OF A CERTIFIED BARGAINING 
REPRESENTATIVE, THEIR DESIGNATED REPRESENTATIVE. IN PURSUIT OF THIS 
OBJECTIVE, THE EMPLOYER SHALL FURNISH THE UNION OR DULY AUTHORIZED 
EMPLOYEE REPRESENTATIVE A COPY OF THE PAY AND BENEFIT STRUCTURES AND JOB 
CLASSIFICATIONS, (new)
ART. 305. TAX INCENTIVES OR BONUS SCHEMES. THE DOLE, IN CONSULTATION 
WITH THE DEPARTMENT OF FINANCE, THE BUREAU OF INTERNAL REVENUE AND THE 
PCW, SHALL DEVELOP AND PRESCRIBE TAX INCENTIVES OR BONUS SCHEMES FOR 
UNIONS AND EMPLOYERS, PROVIDED THAT AT LEAST FORTY PERCENT (40%) OF 
UNION OR COMPANY OFFICERS ARE WOMEN. FOR THIS PURPOSE, UNION OFFICERS 
ARE THOSE WHO ARE EITHER ELECTED OR APPOINTED, INCLUDING SHOP STEWARDS.
150


1
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
27
28
29
30
31
32
33
34
35
36
FOR COMPANY OFFICERS, OFFICERS ARE THOSE WHO ARE EITHER ELECTED OR 
APPOINTED AND AT LEAST OCCUPYING A MANAGERIAL POSITION.
A SIMILAR TAX INCENTIVE OR BONUS SCHEME SHALL ALSO BE DEVELOPED AND 
PRESCRIBED FOR A GENDER-FAIR COMPOSITION OF COMPANY OFFICERS AND 
EMPLOYEES AND TOTAL UNION MEMBERSHIP, (new)
ART. 306. CREATION OF A GENDER FOCAL POINT COMMITTEE IN THE 
WORKPLACE; DEDUCTIBILITY OF TRAINING COSTS. ALL ESTABLISHMENTS, 
BOTH PUBLIC AND PRIVATE, SHALL DESIGNATE A GENDER FOCAL COMMITTEE WITH 
THE FOLLOWING TASKS AND FUNCTIONS:
(1) 
IN CONSULTATION WITH THE PCW OR ANY PCW-CERTIFIED OR ACCREDITED 
ORGANIZATIONS, REVIEW POLICIES, RULES, AND RECOMMEND REVISIONS OF 
SUCH POLICIES AND RULES THAT ARE DISCRIMINATORY OR 
DISPROPORTIONATELY DISADVANTAGE FEMALE WORKERS;
(2) 
MONITOR THE ENFORCEMENT AND IMPLEMENTATION OF GENDER-RESPONSIVE 
POLICIES, RULES, AND PROGRAMS IN THE WORKPLACE;
(3) 
CONDUCT GENDER-RELATED SEMINARS AND TRAININGS AND OTHER 
EDUCATIONAL ACTIVITIES TO FOSTER A GENDER-FRIENDLY WORKING 
ENVIRONMENT; AND
(4) 
PERFORM SUCH OTHER FUNCTIONS THAT WOULD ENSURE THE PROMOTION OF 
GENDER EQUALITY IN THE WORKPLACE.
AN ADDITIONAL DEDUCTION FROM THEIR TAXABLE INCOME CONSISTING OF THE 
VALUE OF GENDER-RELATED ACTIVITY EXPENSES INCURRED SHALL BE GRANTED TO 
THE ENTERPRISE ORGANIZING THE TRAINING: PROVIDED, THAT SUCH EDUCATIONAL 
ACTIVITY IS DULY RECOGNIZED BY THE PHILIPPINE COMMISSION ON WOMEN, (new)
ART. 307. GENDER SENSITIVITY ORIENTATION. ALL GOVERNMENT OFFICIALS 
AND EMPLOYEES OF THE DOLE SHALL UNDERGO A GENDER SENSITIVITY 
ORIENTATION ON ANTI-SEXUAL HARASSMENT, ONCE EVERY THREE (3) YEARS. 
GENDER SENSITIVITY ORIENTATION CLEARANCE SHALL HENCEFORTH BE A 
COMPONENT OF OFFICERS' AND EMPLOYEES' PERSONNEL ACTIONS, SUCH AS HIRING, 
TENURE AND PROMOTION, (new)
ART. 308. GENDER EQUALITY RESEARCH. THE DOLE SHALL UNDERTAKE GENDER 
RESEARCH, PARTICULARLY ON ALL FORMS OF DIRECT AND INDIRECT
151


1
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
27
28
29
30
31
32
33
34
35
36
DISCRIMINATION, WITH THE AIM OF FORMULATING POLICIES, RULES AND 
REGULATIONS TO CURB SUCH PRACTICES IN THE WORKPLACE, (new)
ART 309. DUTIES OF EMPLOYERS. EMPLOYERS OR OTHER PERSONS OF 
AUTHORITY, INFLUENCE OR MORAL ASCENDANCY IN A WORKPLACE SHALL HAVE THE 
DUTY TO PREVENT, DETER, OR PUNISH THE PERFORMANCE OF ACTS OF GENDER- 
BASED SEXUAL HARASSMENT IN THE WORKPLACE AS PROVIDED FOR IN SECTION 17 
OF REPUBLIC ACT NO. 11313. IN ADDITION, EMPLOYERS SHALL HAVE THE DUTY TO 
PROVIDE INCENTIVES FOR EMPLOYEES FOR COMPLIANCE WITH THE ACTS UNDER 
SECTION 18 OF REPUBLIC ACT NO. 11313. (new)
ART. 310. GENDER SENSITIVITY TRAINING OR ORIENTATION IN UNIONS. IT
SHALL BE THE DUTY OF UNION OFFICERS TO PREVENT, DETER, OR PUNISH THE 
PERFORMANCE OF ACTS OF GENDER-BASED SEXUAL HARASSMENT AMONG ITS 
OFFICERS AND MEMBERS.
TOWARDS THIS END, THE UNION OFFICERS SHALL:
(a) 
DISSEMINATE OR POST IN A CONSPICUOUS PLACE A COPY OF THIS BOOK OF THE 
LABOR CODE TO ALL PERSONS IN THE WORKPLACE, OR UNION OFFICE, AS THE 
CASE MAY BE;
(b) 
PROVIDE MEASURES TO PREVENT GENDER-BASED SEXUAL HARASSMENT IN THE 
WORKPLACE, SUCH AS THE CONDUCT OF ANTI-SEXUAL HARASSMENT SEMINARS;
(C) CREATE AN INDEPENDENT INTERNAL MECHANISM OR A COMMITTEE ON 
DECORUM AND INVESTIGATION TO INVESTIGATE AND ADDRESS COMPLAINTS OF 
GENDER-BASED SEXUAL HARASSMENT WHICH SHALL:
(1) 
DESIGNATE A WOMAN AS ITS HEAD AND HAVE WOMEN AS NOT LESS THAN 
HALF OF ITS MEMBERS;
(2) 
BE COMPOSED OF MEMBERS WHO SHOULD BE IMPARTIAL AND NOT 
CONNECTED OR RELATED TO THE ALLEGED PERPETRATOR;
(3) 
INVESTIGATE AND DECIDE ON THE COMPLAINTS WITHIN TEN (10) DAYS 
UPON RECEIPT THEREOF;
(4) 
OBSERVE DUE PROCESS;
(5) 
PROTECT THE COMPLAINANT FROM RETALIATION; AND
(6) 
GUARANTEE CONFIDENTIALITY;
(d) PROVIDE AND DISSEMINATE, IN CONSULTATION WITH ALL UNION MEMBERS IN 
THE WORKPLACE, A CODE OF CONDUCT OR WORKPLACE POLICY WHICH SHALL:
152


1
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
27
28
29
30
31
32
33
34
35
36
Cl) EXPRESSLY REITERATE THE PROHIBITION ON GENDER-BASED SEXUAL 
HARASSMENT;
(2) 
DESCRIBE THE PROCEDURES OF THE INTERNAL MECHANISM CREATED 
UNDER THIS PROVISION; AND
(3) 
SET UNION PENALTIES, (new)
ART. 311. DUTIES OF UNIONS, FELLOW EMPLOYEES, AND CO-WORKERS.
UNIONS, FELLOW EMPLOYEES, AND CO-WORKERS SHALL HAVE THE DUTY TO REFRAIN, 
DISCOURAGE, AND REPORT THE PERFORMANCE OF ACTS OF GENDER-BASED SEXUAL 
HARASSMENT IN THE WORKPLACE AS PROVIDED FOR IN SECTION 18 OF REPUBLIC 
ACT NO. 11313. IN ADDITION, THEY SHALL PROVIDE EMOTIONAL OR SOCIAL SUPPORT 
TO UNION OFFICERS OR MEMBERS, FELLOW EMPLOYEES, AND CO-WORKERS OR 
PEERS, AS THE CASE MAY BE, WHO ARE VICTIMS OF GENDER-BASED SEXUAL 
HARASSMENT, (new)
BOOK EIGHT
Transitory and Final Provisions
Title I
Penal Provisions and Liabilities
Art. 312. Penalties. Except as otherwise provided in this Code, or unless the acts 
complained of hinge on a question of interpretation or implementation of ambiguous 
provisions of an existing collective bargaining agreement, any violation of the provisions 
of this Code declared to be PROHIBITED, unlawful or penal in nature shall be punished 
with a fine of not less than Qm FIFTY Thousand Pesos (Pl:50,000.00) nor more than Ten 
FIVE HUNDRED Thousand Pesos (P40500,000.00), or imprisonment of not less than three 
SIX (6) months nor more than three SIX (6) years, or both such fine and imprisonment 
at the discretion of the court.
In addition to such penalty, any alteft FOREIGN NATIONAL found guilty shall be summarily 
deported upon completion of service of sentence.
Any provision of law to the contrary notwithstanding, any criminal offense punished in 
this Code shall be under the concwent EXCLUSIVE AND ORIGINAL jurisdiction of the 
Munidpak)r City Courts and the-Courts-of First Instance REGIONAL TRIAL COURT. (303a)
153


1
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
27
28
29
30
31
32
33
34
35
Art. 313. Who are liable when committed by other than natural person. If the
offense is committed by a corporation, trust, firm, partnership, association or any other 
entity, the penalty shall be imposed upon the guilty officer or officers of such corporation, 
trust, firm, partnership, association or entity. (304)
Title II
Prescription of Offenses and Claims
Art. 314. Offenses. Offenses penalized under this Code and the rules and regulations 
issued pursuant thereto shall prescribe in three (3) SIX (6) years.
All unfair labor practice arising from Book V shall be filed with the appropriate agency 
within one (l-)-ycar THREE (3) YEARS from accrual of such unfair labor practice; 
otherwise, they shall be forever barred. (305a)
Art. 315. ILLEGAL DISMISSAL AND Money Claims. All CASES OF ILLEGAL 
DISMISSAL AND money claims arising from employer employee relations accruing during 
the effectivlty of this Code shall be filed within three (3) FOUR (4) years from the time 
the cause of action accrued; otherwise they shall be forever barred.
All money claims accruing prior to the offectivity-of this Code shall be filed with the
appropriate entities established under this Code within one (1) year from 4he date of
effectivlty, and-shall be processed or determined in accordance with the-implementing
rules and regulations of the Code; otherwise, they shall be forever barred.- 
Work-men-'s compensat-ien-claims accruing prior-to the effectivlty of this Code and during
the-per-iod-Trom-November 1, 1974 up to December 31, 1974, shall be-filed with the
appropriate regional offices of-the Department of Labor not later than March- 31, 1975;-
otherwisc; they-shall forever be barred. The-claims-shalHDe-pr-eccsscd and adjudicated in
accordancc-with-the-law and rules at the time their causes of action accruecL-(306a)
Art. 316. Institution of Money Claims. Money claims specified in the immediately 
preceding Article shall be filed before the appropriate entity independently of the criminal 
action that may be instituted In the proper courts.
154


1
2
3
4
5
6
7
8 
9
10
11
12
13
14
15
16
17
18 
19
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
Pending the final determination of the merits of money claims filed with the appropriate 
entity, no civil action arising from the same cause of action shall be filed with any court. 
This provision shall not apply to employees compensation cases which shall be processed 
and determined strictly in accordance with the pertinent provisions of this Code. (307)
Title III
Transitory and Final Provisions
Art. 317. Application of Law Enacted Prior to this Code. All actions or claims 
accruing prior to the effectivity of this REVISED Code shall be determined in accordance 
with the laws in force at the time of their accrual. (308)
Art. 318. Abolition of the Court of Industrial Relations and the National Labor 
Relations Commission. The Court-of-IndustriQl Relations and the EXISTING National 
Labor Relations Commission established under Presidential Decree No. 21 are IS hereby 
abolished. All unexpended funds, properties, equipment and records of the Court of 
Industrial—Relations NLRC, and such of its personnel as may be necessary, AS 
DETERMINED BY THE NLRC, are hereby transferred to the Commission CLR and to its 
regional branches. All unexpended-funds, properties and equipment of thc-National-Labor
20 Relations Commission-established under Presidentiol Decree No. 21 arc transferred to the
Bureau of Labor Relations. Personnel not absorbed by or transferred to the Commission 
CLR shall enjoy benefits granted under existing laws. (313a)
Art. 319. Personnel Whose Services are Terminated. Personnel of agencies or any 
of their subordinate units whose services are terminated as a result of the implementation 
of this Code shall enjoy the rights and protection provided in Sections 5 and 6 of Republic 
Act numbered fifty four-hundred and thirty-five and such other LINDER pertinent laws, 
rules and regulations. In any case, no lay-off shall be effected until funds to cover the 
gratuity ai3d/or retirement benefits of those laid off are duly certified as available. (315a)
Art. 320. Separability Provisions. If any provision or part of this Code, or the 
application thereof to any person or circumstance, is held invalid, the remainder of this 
Code, or the application of such provision or part to other persons or circumstances, shall 
not be affected thereby. (316)
155


Art. 321. Repealing Clause. All labor laws not adopted as part of this Code either 
directly or by reference are hereby repealed. All provisions of existing laws, orders, 
decrees, rules and regulations inconsistent herewith are likewise repealed.
Done in the City of Manila, this 1st day of May in the year of our Lord, nineteen hundred 
and seventy four (_____________________). (317a)
156