LABOR CODE OF THE
PHILIPPINES
MEMBERS:
PASTOR NADINE
MENDOZA RODRIGO
AGUILAR CHARMAINE
ADAOG JHOY
LAW RELATED STUDIES
OBJECTIVES:
DISCUSS LABOR LAW INCLUDING ITS
APPLICABILITY, ENFORCEABILITY AND ITS
COVERAGE; AND
DIFFERENTIATE LABOR RELATIONS FROM
POST-EMPLOYMENT CONDITIONS.
INTRODUCTION AND RATIONALE
The Labor Code of the Philippines (PD 442)
consolidates labor and social laws to
protect workers, promote employment
and human resource development, and
ensure industrial peace based on SOCIAL
JUSTICE
ARTICLES 3 AND 4
SOCIAL JUSTICE PRINCIPLES
ARTICLE
A RTICLE 3 3 DECLARES
D E C L A R E S THE
T H E STATE’S
S T A T E ’ S POLICY
POLICY
TO
TO P PROTECT
R O T E C T LABOR,
L A B O R , ENSURE
E N S U R E EQUAL
E Q U A L EMPLOYMENT
EMPLOYMENT
OPPORTUNITIES,
O P P O R T U N I T I E S , AND
A N D UPHOLD
U P H O L D WORKERS’
W O R K E R S ’ RIGHTS.
RIGHTS.
ARTICLE
A RTICLE 4 4M MANDATES
ANDATES T THAT
HAT A ANY
N Y DOUBTS
D O U B T S INI N THE
THE
IINTERPRETATION
NTERPRETATION A ANDN D IIMPLEMENTATION
MPLEMENTATION O OFF TTHE
HE
LAW
L AW S SHALL
HALL B BEE RRESOLVED
E S O L V E D IIN
N FFAVOR
AVOR O OFF LLABOR.
ABOR.
PRE- EMPLOYMENT
Book
B o o k One
O n e of
o f the
t h e Labor
L a b o r Code
C o d e covers
c o v e r s pre-
pre-
employment,
e m p l o y m e n t , aiming
a i m i n g to
t o promote
p r o m o t e full
full
employment,
e mployment, p protect
rotect w workers
o r k e r s locally
l o c a l l y and
and
abroad,
a broad, e ensure
nsure f fair
a i r jjob
ob t terms,
erms, r regulate
egulate w worker
orker
movement,
m ovement, s strengthen
trengthen e employment
mployment o offices,
ffices, a and
nd
carefully
c arefully s select
elect o overseas
verseas w workers
orkers t too p protect
rotect
the
t he ccountry’s
ountry’s r reputation
eputation ( (Labor
Labor C Code
ode o off tthe
he
Philippines,
P hilippines, P P.D.
.D. N No.
o. 4442,
42, A Article
rticle 1 12)
2)
RECRUITMENT AND PLACEMENT
Title
T i t l e II of
o f the
t h e Labor
L a b o r Code
C o d e governs
g o v e r n s worker
worker
recruitment
r e c r u i t m e n t and
a n d placement.
p l a c e m e n t . Article
A r t i c l e 13
1 3 defines
defines
terms
t erms s such
uch a ass wworker,
o r k e r , recruitment/placement,
recruitment/placement,
private
p rivate f fee-charging
ee-charging a agency,
g e n c y , llicense,
icense, p private
rivate
recruitment
r ecruitment e entity,
ntity, a authority,
uthority, s seaman,
eaman, o overseas
verseas
employment,
e mployment, a and
nd e emigrant
migrant ( (P.D.
P.D. N No.
o. 4442).
42).
RECRUITMENT AND PLACEMENT
1 . WORKER–
1. W O R K E R – any
a n y member
m e m b e r of
o f the
t h e labor
l a b o r force,
f o r c e , whether
w h e t h e r employed
e m p l o y e d or
or
unemployed.
u nemployed.
2 . RECRUITMENT
2. R E C R U I T M E N T AND
A N D PLACEMENT
PLACEMENT – – any
a n y act
a c t of:
o f : canvassing
c a n v a s s i n g workers
workers
enlisting
e nlisting o orr contracting
c o n t r a c t i n g workers
w o r k e r s ,transporting
, t r a n s p o r t i n g workers,
w o r k e r s , hiring
h i r i n g or
or
procuring
p rocuring w workers
orkers r referring
e f e r r i n g or
o r advertising
a d v e r t i s i n g for
f o r employment
employment
promising
p romising e employment
m p l o y m e n t llocally
ocally o orr aabroad
broad
Note:
N o t e : Any
A n y person
p e r s o n who
w h o offers
o f f e r s employment
e m p l o y m e n t for
for a a fee
f e e to
t o two
t w o or
or
more
m o r e persons
p e r s o n s is
i s considered
c o n s i d e r e d engaged
e n g a g e d in
i n recruitment
r e c r u i t m e n t and
and
placement.
p lacement.
RECRUITMENT AND PLACEMENT
3 . PRIVATE
3. P R I V A T E FEE-
F E E - CHARGING
C H A R G I N G EMPLOYMENT
E M P L O Y M E N T AGENCY
AGENCY – – a
a person
p e r s o n or
or
organization
o r g a n i z a t i o n that
t h a t recruits
r e c r u i t s workers
w o r k e r s for
for a
a fee
f e e taken
t a k e n from
from
workers,
w orkers, e employers,
mployers, o orr b both.
oth.
4 . LICENSE
4. LICENSE – – aa document
d o c u m e n t from
f r o m the
t h e Department
D e p a r t m e n t of
o f Labor
L a b o r allowing
allowing a
a
p e r s o n or
person o r agency
a g e n c y to
t o operate
operate a a private
p r i v a t e employment
e m p l o y m e n t agency.
agency.
5 . PRIVATE
5. P R I V A T E RECRUITMENT
R E C R U I T M E N T ENTITY
ENTITY – – a a person
p e r s o n or
o r group
g r o u p that
t h a t recruits
recruits
workers
w o r k e r s locally
l o c a l l y or
o r abroad
a b r o a d without
w i t h o u t charging
c h a r g i n g any
a n y fee.
fee.
RECRUITMENT AND PLACEMENT
6 . AUTHORITY
6. AUTHORITY – – a
a document
d o c u m e n t issued
i s s u e d by
b y the
t h e Department
D e p a r t m e n t of
o f Labor
Labor
allowing
a llowing a a person
p e r s o n or
o r group
g r o u p tot o engage
e n g a g e in
i n recruitment
r e c r u i t m e n t activities
activities
ass aa p
a private
rivate r recruitment
e c r u i t m e n t entity.
entity.
7.. SSEAMAN
7 EAMAN - -aa pperson
erson e employed
mployed o onn aa vvessel
e s s e l used
u s e d for
f o r maritime
maritime
navigation.
n avigation.
8.. OOVERSEAS
8 VERSEAS E EMPLOYMENT
MPLOYMENT – – eemployment
mployment o off aa wworker
orker o outside
utside t the
he
Philippines.
Philippines.
9.. EEMIGRANT
9 MIGRANT – – aa p
person
erson w who
ho m moves
oves t too aanother
nother c country
ountry
permanently
p ermanently t through
hrough a ann iimmigrant
mmigrant v visa
isa o orr rresident
esident p permit.
ermit.
RECRUITMENT AND PLACEMENT
Articles
A r t i c l e s 14–39
1 4 – 3 9 cover
c o v e r employment
e m p l o y m e n t promotion,
promotion,
iincluding
n c l u d i n g public
p u b l i c employment
e m p l o y m e n t offices
o f f i c e s and
a n d job
job
clearances.
c learances. T Thehe B Bureau
u r e a u of
o f Employment
E m p l o y m e n t oversees
oversees
programs
p rograms a and
n d llicensing,
icensing, w while
hile p private
r i v a t e agencies
agencies
must
m ust f follow
ollow r rules;
ules; d direct
irect h hiring
i r i n g iis
s o only
nly aallowed
llowed
byy llaw
b aw ( (P.D.
P.D. N No.
o. 4 442).
42).
RECRUITMENT AND PLACEMENT
The
T h e Labor
L a b o r Code
C o d e sets
s e t s upu p boards
b o a r d s like
l i k e the
t h e Overseas
Overseas
Employment
E m p l o y m e n t Development
D e v e l o p m e n t Board
B o a r d and
a n d National
National
Seamen
S eamen B Board
oard t too ssupervise
u p e r v i s e recruitment,
r e c r u i t m e n t , lists
lists
prohibited
p rohibited p practices,
ractices, a and
n d iimposes
mposes p penalties
e n a l t i e s for
for
iillegal
llegal r recruitment,
e c r u i t m e n t , iincluding
ncluding f fines,
i n e s , llicense
icense
revocation,
r evocation, o orr llife
i f e iimprisonment
mprisonment f for
or e economic
conomic
sabotage
s abotage ( (P.D.
P.D. N No.
o. 4 442,
42, AArts.
rts. 1 14–39).
4–39).
EMPLOYMENT OF NON - RESIDENT ALIENS
TRANSFERS OF ALIEN EMPLOYEES REQUIRE
APPROVAL, AND VIOLATORS ARE PUNISHED
UNDER ARTICLES 289–290 AND MAY BE
DEPORTED. EMPLOYERS MUST SUBMIT LISTS OF
EMPLOYED ALIENS WITHIN 30 DAYS (LABOR
CODE, P.D. NO. 442, ARTICLES 40–42).
Conditions of
Conditions of
Employment
Employment
Working conditions
Working conditions
and rest
and rest periods
periods
CHAPTER 1 Coverage &
Coverage & Normal
Normal Hours
Hours
Applies to non-exempt employees (excludes
managerial, field, domestic/family) – Art. 82
Normal working hours: ≤8/day, including
duty/workplace – Arts. 83–84
Meal break: ≥60 minutes – Art. 85
CHAPTER 1 Night Differential & Overtime
Night Differential & Overtime
Night differential: ≥10% for work 10 PM–6 AM – Art.
86
Overtime: ≥25% of regular pay – Art. 87
Emergency overtime rules – Arts. 89–90
No offsetting of undertime/overtime – Art. 88
CHAPTER 2 Rest Days
Rest Days
Weekly rest: ≥24 hours after 6 days;
schedules per CBA – Art. 91
Work on rest day: ≥30% additional pay-
Arts. 92–93
CHAPTER 3 Holidays &
Holidays & Leaves
Leaves
Holiday pay: Double rate if worked
Service incentive leave: 5 days/year
Service charges: 85% employees, 15%
management
Wages
Wages
Art. 97: Wage = pay for work, including
meals, housing, or other facilities
Art. 98: Coverage includes non-farm,
domestic, and home-based workers
Art. 99: Regional Boards set minimum
wages per local cost of living
Art. 100: Non-diminution of benefits;
workers cannot lose existing benefits
Art. 101: Payment results regulated (computation,
deductions, etc.)
Art. 102: Payment must be in legal tender only
Art. 103: Wages paid at least once every two weeks
Art. 104: Payment near workplace
Art. 105: Direct payment to worker; exceptions allowed
Arts. 106–109: Contractor/employer joint liability for
unpaid wages
Art. 110: Workers get first preference in employer
bankruptcy
Art. 111: Attorney fees: 10% recoverable for successful
wage claims
Arts. 112–119: Prohibit unauthorized deductions,
deposits, or withholding
Arts. 120–127: National & Regional Boards enforce wage
laws
Art. 128: DOLE visitorial powers for inspections
Special group
Special group of
of
employees
employees
EMPLOYMENT OF WOMEN
Nightwork restrictions: No night work in industrial
(10 PM–6 AM) / non-industrial (midnight–6 AM) except
emergencies, managerial, family, or skill-needed work
– Arts. 130–131
Facilities: Seats, toilets, nurseries, retirement
standards – Art. 132
EMPLOYMENT OF WOMEN
Maternity leave: ≥2 weeks pre-delivery / 4 weeks
post-delivery, first 4 deliveries paid – Art. 133
Family planning programs: Employer support – Art. 134
Non-discrimination: No pay reduction, no marriage
stipulation, equal treatment – Arts. 135–137
EMPLOYMENT OF MINORS
Minimum age: ≥15 years for work (parental/school
consent for <15) (Art.139)
15–18 years: Work allowed under regulations (Art.139)
Hazardous work: Strictly prohibited for <18 (Art.139)
Non-discrimination: Age cannot be a basis for unequal
treatment (Art. 140)
EMPLOYMENT OF HOUSE HELPERS
Contracts: Max 2 years, renewable
Minimum wage: P800 Metro Manila (urban), SSS ≥P1000,
reviewed every 3 years – Arts. 142–143
Compensation: Cash + board/lodging + medical – Art. 144
Rights: No work below minimum, education for <18, just
treatment, no violence – Arts. 145–147
EMPLOYMENT OF HOUSE HELPERS
Living conditions: Free quarters, food, medical – Art.
148
Termination: Indemnity for unjust dismissal (15 days),
5 days notice for indefinite contracts – Arts. 149–150
Records: Certificate of employment, efficiency record
– Arts. 151–152
EMPLOYMENT OF HOME WORKERS
(Chapter IV, Arts. 153–155)
Regulation: Labor Secretary ensures welfare and
standards
Employer scope: Includes deliverers and sellers for
home processing
Rights: Protected under same labor standards; wages,
welfare, and working conditions regulated
Labor relations
Labor relations
Labor relations involve the rules and practices between
workers and employers. The Labor Code defines important
terms like National Labor Relations Commission (NLRC), Bureau
of Labor Relations, National Conciliation and Mediation Board
(NCMB), tripartite councils, employers, employees, and labor
organizations that negotiate agreements (Labor Code, P.D. No.
442, Art. 212).
National Labor
National Labor Relations
Relations
Commission (NLRC)
Commission (NLRC)
The NLRC handles disputes between workers and
employers. It operates divisions or branches as
provided by the Labor Code. The Commission is the main
agency that resolves labor issues (Labor Code, P.D. No.
442, Art. 212)
Unfair Labor
Unfair Labor Practices
Practices
Unfair labor practices happen when employers or
workers break labor rules in ways that hurt labor
relations. These rules are explained more in sections
about collective bargaining, strikes, and agreements
(Labor Code, P.D. No. 442, Title V–VIII).
Collective Bargaining
Collective Bargaining
Agreements
Agreements
A CBA is a contract between employees (through their
union) and employers. The law requires employers to
bargain in good faith (Art. 252). Economic provisions of a
CBA last 5 years, while other terms follow the agreed
duration (Art. 253). Only one union can represent
employees exclusively, and courts cannot stop the
bargaining process with injunctions (Arts. 254–255).
Strikes and
Strikes and lockouts
lockouts
Workers have the right to strike, and employers can
declare lockouts, but the law encourages agreements
through CBAs first. Strikes must follow rules like notice,
voting, and cooling-off periods. Strikes are prohibited if
they involve violence, picketing, or using
strikebreakers. Workers may also use ballots to improve
offers from employers (Arts. 263–266).
Post employment
Post employment
All employees are covered by termination rules (Art.
278). Workers have security of tenure, meaning they
cannot be fired without just cause. If termination is
unjust, the employee may get reinstatement and back
wages (Art. 279). Employees may be regular, casual,
project-based, or seasonal (Art. 280) (Labor Code, P.D.
No. 442, Title I).
Just causes for termination include misconduct, neglect
of duties, fraud, or criminal acts (Art. 282). Companies
closing or reducing workforce must give 1 month notice
and separation pay (Art. 283). Termination due to
disease is allowed if it prevents the worker from
performing duties (Art. 284). Employees must be
informed of the reasons for termination and proper
notice (Art. 285).
Some situations do not break tenure. Short-term
suspension less than 6 months or military service does
not affect employee rights (Art. 286). These rules protect
workers from losing their jobs unfairly.
Retirement is based on CBA or employment contract (Art.
287). If no agreement exists, employees aged 60–64 with
at least 5 years of service are entitled to ½ month
salary per year of service, plus pro-rated benefits like
13th month pay and service incentive leave. Small
businesses with less than 10 workers in retail, service,
or agriculture may be exempt.
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