Republic of the Philippines
HOUSE OF REPRESENTATIVE
Quezon City

Second Regular Session
15th Congress

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19° ro
House Bill Re. o2d3

Introduced by REP. EMIL L. ONG

EXPLANATORY NOTE

This bill seeks to strengthen workers’ rights to peaceful concerted activities,
amending for this purpose Articles 263, 264 and 272 of Presidential Decree No.
442, otherwise known as the Labor Code of the Philippines, as amended.

It is the policy of the State to encourage free trade unionism and free
collective bargaining. Such that when a condition exists after determination
through tripartite consultation that those providing essential services which, if
interrupted, would endanger the life, personal safety or health of whole or part of
the population, the Secretary of Labor and Employment may assume jurisdiction
over the dispute and decide it or certify the same to the Commission for
compulsory arbitration. This bill limits the power of the Secretary to assume
jurisdiction only upon a request from both parties involved in the dispute after the
mandatory conciliation.

The bill likewise does not preclude the President of the Philippines from
determining industries which are providing essential services and from intervening
at any time and to assume jurisdiction over any labor dispute in order to settle or
terminate the same during acute national emergency where all normal functioning
of society has ceased.

Moreover, the bill also outlines the prohibited activities under the Labor
Code with emphasis on the observance of due process clause under the
Constitution thus safeguarding the workers’ rights against possible termination
from employment.



The passage of this Bill into law will certainly put into practice the
principles and policies enshrined in the Constitution thus paving the way for
industrial peace and prosperity.

Hence, approval of this bill into law is earnestly sought.

‘MIL IG
Representative, 2™ District of Northern Samar


FIFTEENTH CONGRESS OF THE REPUBLIC )
OF THE PHILIPPINES )
Second Regular Session 7

House BillNo.___ 033

‘Sponsored by Rep. EMIL L. ONG

AN ACT

STRENGTHENING WORKERS’ RIGHTS TO PEACEFUL CONCERTED
ACTIVITIES, AMENDING FOR THIS PURPOSE ARTICLES 263, 264 AND 272 OF
PRESIDENTIAL DECREE NO. 442, OTHERWISE KNOWN AS THE LABOR CODE
OF THE PHILIPPINES, AS AMENDED

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

SECTION 1. Article 263 of the Labor Code is hereby amended to read as

follows:

“Article 263. Strikes, picketing and lockouts. —

(a)

(b)

(©)

It is the policy of the State to encourage free trade unionism and free
collecting bargaining.

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.

In case 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] DEPARTMENT OF LABOR AND
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(@)

)

EMPLOYMENT at least 30 days before the intended date thereof. In
cases of unfair labor practice, the period of notice shall be 15 days and
in the absence of a duly certified or recognized bargaining agent, the
notice of strike may be filed 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 15-day cooling-off period shall not apply
and the union may take action immediately.

The notice must be in accordance with such implementing rules and
regulations as the [Minister] SECRETARY of Labor and Employment
may promulgate.

During the cooling-off period, it shall be the duty of the [Ministry]
DEPARTMENT OF LABOR AND EMPLOYMENT 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.

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


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(9)

based on substantially the same grounds considered when the strike or
lockout vote was taken. The [Ministry] DEPARTMENT OF LABOR
AND EMPLOYMENT (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 before
the intended strike or lockout, subject to the cooling-off period herein
provided.

When [, in his opinion,] there exists a labor dispute causing or likely to
cause a strike or lockout in an industry [indispensable to the national
interest] DETERMINED THROUGH TRIPARTITE CONSULTATION
AS PROVIDING ESSENTIAL SERVICES WHICH, IF INTERRUPTED,
WOULD ENDANGER THE LIFE, PERSONAL SAFETY OR HEALTH
OF WHOLE OR PART OF THE POPULATION, the Secretary of Labor
and Employment may assume jurisdiction over the dispute and decide
it or certify the same to the Commission for compulsory arbitration[,]:
PROVIDED, THAT IN ACTUAL OR THREATENED STRIKE OR
LOCKOUT IN INDUSTRIES THAT ARE NOT PROVIDING
ESSENTIAL SERVICES, THE SECRETARY MAY ASSUME
JURISDICTION UPON A REQUEST FROM BOTH PARTIES
INVOLVED IN THE DISPUTE AFTER THE MANDATORY
CONCILIATION. 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


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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 or the Commission
may seek the assistance of law enforcement agencies to ensure
compliance with this provision as well as with such orders as he may
issue to enforce the same.

In SERVICES WHICH ARE NOT ESSENTIAL BUT WHERE
THE SCOPE AND DURATION OF A STRIKE OR LOCKOUT MIGHT
BE SUCH AS TO RESULT IN ENDANGERING THE LIFE,
PERSONAL SAFETY OR HEALTH OF THE WHOLE OR PART OF
THE POPULATION, OR IN PUBLIC SERVICES OF FUNDAMENTAL
IMPORTANCE, CERTAIN MINIMUM OPERATIONAL SERVICES, AS
DETERMINED THROUGH TRIPARTITE CONSULTATION OR
COLLECTIVE BARGAINING AGREEMENT, SHALL BE PROVIDED
BY THE STRIKING UNION OR LOCKING-OUT EMPLOYER AND
THE DISPUTE SHALL BE SUBMITTED FOR COMPULSORY OR
VOLUNTARY ARBITRATION AT THE OPTION OF THE PARTIES
THERETO. [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


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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
cout 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 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 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 or
the Commission, under pain of immediate disciplinary action, including
dismissal or loss of employment statues or payment by the locking out
employer of back wages, 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 industries that [, in his opinion,
are indispensable to the national interest] ARE PROVIDING
ESSENTIAL SERVICES WHICH, IF INTERRUPTED, WOULD
ENDANGER THE LIFE, PERSONAL SAFETY OR HEALTH OF

WHOLE OR PART OF THE POPULATION, and from intervening at


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(h)

0)

any time and assuming jurisdiction over any [such] labor dispute in
order to settle or terminate the same DURING ACUTE NATIONAL
EMERGENCY WHERE ALL NORMAL FUNCTIONING OF SOCIETY
HAS CEASED.

Before or at any stage of the compulsory arbitration process, the
parties may opt to submit their dispute to voluntary arbitration.

The Secretary of Labor and Employment, the Commission or the
voluntary arbitrator shall decide or resolve the dispute, within thirty (30)
[calendar] WORKING days from the date of assumption or 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,
the Commission or the voluntary arbitrator shall be final and
IMMEDIATELY executory ten (10) calendar days after the receipt
thereof by the parties.

Section 2. Article 264 of the Labor Code is hereby amended to read as

follows:

“Article 264. Prohibited Activities. —

(a)

No labor organization or employer shall declare a strike or lockout
without first having bargained collectively in accordance with Title VII 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 Department OF LABOR
AND EMPLOYMENT.

No strike or lockout shall be declared after assumption of

jurisdiction by the President or the Secretary or after certification or


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(b)

(©)

@

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 worker whose employment has been terminated as a
consequence of an [unlawful] ILLEGAL lockout shall be entitled to
reinstatement with full back wages. Any WORKER OR union officer
who knowingly participates [in an illegal strike and any worker or union
officer who knowingly participates] in the commission of [illegal]
UNLAWFUL acts during a strike may be declared to have lost his OR
HER employment status AFTER DUE PROCESS: Provided, That
mere participation of a worker OR UNION OFFICER in a [lawful] strike
DECLARED ILLEGAL FOR FAILURE OF THE UNION TO COMPLY
WITH PROCEDURAL REQUIREMENTS UNDER PARAGRAPH (A)
OF THIS ARTICLE, shall not [constitute sufficient] BE A ground for
termination of his OR HER employment, even if a replacement had
been hired by the employer during such [lawful] ILLEGAL strike.

No person shall obstruct, impede, or interfere with, by force, violence,
coercion, threats or intimidation, any peaceful CONCERTED ACTION
INCLUDING picketing by employees during any labor controversy or in
the exercise of the right of self-organization or collective bargaining, or
shall aid or abet such obstruction or interference.

No employer shall use or employ any strike-breaker, nor shall any
person be employed as a strike-breaker.

No public official or employee, including officers and personnel of the

[New] Armed Forces of the Philippines or the [Integrated] PHILIPPINE


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National Police, or armed persons, shall bring in, introduce or escort in
any manner, any individual 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 officer from taking any
measure necessary to maintain peace and order, protect life and

property, and/or enforce the law and legal order.

(€) No person engaged in picketing shall commit any act of violence,

coercion or intimidation or obstruct the free ingress to or egress from
the employer's premises for lawful purposes, or obstruct public

thoroughfares.

Section 3. Article 272 of the Labor Code is hereby amended to read as

follows:

“Article 272. Penalties.

(a) Any person, ORGANIZATION, EMPLOYER OR CORPORATION

FOUND violating PARAGRAPH A of Article 264 of this Code shall be
[punished by a] FINED fof] not less than [one thousand pesos
(P1,000.00] TEN THOUSAND PESOS (P10,000.00) nor more than
[ten thousand pesos (P10,000.00)] ONE HUNDRED THOUSAND
PESOS (P100,000.00) [and/or imprisonment for not less than three
months nor more than three (3) years, or both such fine and
imprisonment] at the discretion of the [court] NATIONAL LABOR
RELATION COMMISSION. [Prosecution under this provision shall


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preclude prosecution for the same act under the Revised Penal Code,
and vice versa]
NO CRIMINAL PROSECUTION UNDER ARTICLE 264 MAY
BE INSTITUTED WITHOUT A FINAL JUDGMENT THAT AN
ILLEGAL STRIKE OR LOCKOUT HAS BEEN COMMITTED.
DURING THE PENDENCY OF ADMINISTRATIVE PROCEEDING,
THE RUNNING OF THE PERIOD OF PRESCRIPTION OF THE
CRIMINAL OFFENSE 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.

(b) Upon the recommendation of the Secretary of Labor and Employment
and the 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] shall be permanently barred from reentering the country
without the special permission of the President of the Philippines.”

Section 4. Renumbering of Articles. — Articles 263, 264, 272, and all Articles

or provisions mentioned therein, shall be renumbered in accordance with the
renumbering of the Labor Code set forth in Republic Act No. 10151.

Section 5. Implementing Rules and Regulations. — The Secretary of Labor

and Employment shall promulgate the necessary rules and regulations to implement

the provisions of

lis Act.


Section 6. Separability Clause. If any part or provision of this Act is declared
Coenen or invalid, the remainder of this Act or the provisions not otherwise
affected shall remain valid and subsisting.

Section 7. Repealing Clause. — All laws, presidential decrees, proclamations,
‘executive orders, issuances, rules and regulations, or any part thereof, inconsistent
with the provisions of this Act are hereby repealed, amended or modified
accordingly.

Section 8. Effectivity. This Act shall take effect fifteen (15) days after its
complete publication in the official gazette or in at least two (2) newspapers of
national circulation.

APPROVED,