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CONTENTS

I. Labor Code of the Philippines

Chapter IGeneral Provisions

Article 1. Name of Decree ................................................ 1

Article 2. Date of Effectivity ............................................ 1

Article 3. Declaration of Basic Policy .............................. 1

Article 4. Construction in Favor of Labor ....................... 2

Article 5. Rules and Regulations ..................................... 2

Article 6. Applicability ..................................................... 2

Chapter II

Emancipation of Tenants

Article 7. Statement of Objectives ................................... 2

Article 8. Transfer of Lands to Tenant-Workers ............ 3

Article 9. Determination of Land Value ......................... 3Article 10. Conditions of Ownership ............................... 4

Article 11. Implementing Agency .................................... 4

BOOK ONE

Pre-Employment

Article 12. Statement of Objectives ................................. 4


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Title I

Recruitment and Placement of Workers

Chapter I

General Provisions

Article 13. Definitions ...................................................... 5

Article 14. Employment Promotion ................................. 7

Article 15. Bureau of Employment Services ................... 7

Article 16. Private Recruitment ...................................... 9

Article 17. Overseas Employment Development

Board ........................................................................ 9Article 18. Ban on Direct-Hiring ..................................... 10

Article 19. Office of Emigrant Affairs ............................. 10

Article 20. National Seamen Board ................................ 11

Article 21. Foreign Service Role and Participation ........ 12

Article 22. Mandatory Remittance of Foreign

Exchange Earnings .................................................. 13

Article 23. Composition of the Boards ............................ 13

Article 24. Boards to Issue Rules and Collect Fees ........ 15

Chapter II

Regulation of Recruitment and

Placement of Activities

Article 25. Private Sector Participation in the

Recruitment and Placement of Workers ................. 15Article 26. Travel Agencies Prohibited to Recruit .......... 15

Article 27. Citizenship Requirement .............................. 16

Article 28. Capitalization................................................. 16

Article 29. Non-Transferability of License

or Authority .......................................................... 16

Article 30. Registration Fees ........................................... 16

Article 31. Bonds .............................................................. 16

Article 32. Fees to be Paid by Workers ........................... 17

Article 33. Reports on Employment Status .................... 17


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Article 34. Prohibited Practices....................................... 17

Article 35. Suspension and/or Cancellation

of License or Authority ............................................ 19

Chapter IIIMiscellaneous Provisions

Article 36. Regulatory Power .......................................... 19

Article 37. Visitorial Power ............................................. 20

Article 38. Illegal Recruitment ........................................ 20

Article 39. Penalties ......................................................... 21

Title II

Employment of Non-Resident Aliens

Article 40. Employment Permit of Non-

Resident Aliens ........................................................ 22

Article 41. Prohibition Against Transfer

of Employment ......................................................... 23

Article 42. Submission of List ......................................... 23

BOOK TWO

Human Resources Development Program

Title INational Manpower Development Program

Chapter I

National Policies and AdministrativeMachinery for Their Implementation

Article 43. Statement of Objective .................................. 24

Article 44. Definitions ...................................................... 24

Article 45. National Manpower and YouthCouncil; Composition ............................................... 25

Article 46. National Manpower Plan .............................. 25


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Article 47. National Manpower Skills Center ................ 26

Article 48. Establishment and Formulation

of Skills Standards ................................................... 26

Article 49. Administration of Training Programs .......... 26

Article 50. Industry Boards ............................................. 27Article 51. Employment Service Training Functions ..... 28

Article 52. Incentive Scheme ........................................... 28

Article 53. Council Secretariat ........................................ 28

Article 54. Regional Manpower Development Offices .... 31

Article 55. Consultants and Technical

Assistance, Publication and Research .................... 31

Article 56. Rules and Regulations ................................... 31

Title II

Training and Employment of Special Workers

Chapter I

Apprentices

Article 57. Statement of Objectives ................................. 32Article 58. Definition of Terms ........................................ 32

Article 59. Qualifications of Apprentice .......................... 33

Article 60. Employment of Apprentices .......................... 33

Article 61. Contents of Apprenticeship Agreements ...... 33

Article 62. Signing of Apprenticeship Agreement .......... 34

Article 63. Venue of Apprenticeship Programs .............. 34

Article 64. Sponsoring of Apprenticeship Program ........ 35Article 65. Investigation of Violation of

Apprenticeship Agreement ...................................... 35

Article 66. Appeal to the Secretary of Labor

and Employment ...................................................... 36

Article 67. Exhaustion of Administrative Remedies ...... 36

Article 68. Aptitude Testing of Applicants ..................... 36

Article 69. Responsibility for Theoretical Instruction ... 36

Article 70. Voluntary Organization of

Apprenticeship Programs; Exemptions .................. 37


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Article 71. Deductibility of Training Costs ..................... 37

Article 72. Apprentices Without Compensation ............. 38

Chapter II

Learners

Article 73. Learners Defined ........................................... 38

Article 74. When Learners May Be Hired ...................... 38

Article 75. Learnership Agreement ................................ 38

Article 76. Learners in Piecework ................................... 39

Article 77. Penalty Clause ............................................... 39

Chapter III

Handicapped Workers

Article 78. Definition ........................................................ 39

Article 79. When Employable .......................................... 40

Article 80. Employment Agreement ................................ 40

Article 81. Eligibility for Apprenticeship ........................ 40

BOOK THREE

Conditions of Employment

Title I

Working Conditions and Rest Periods

Chapter IHours of Work

Article 82. Coverage ......................................................... 41Article 83. Normal Hours of Work .................................. 42

Article 84. Hours Worked ................................................ 42

Article 85. Meal Periods .................................................. 42

Article 86. Night-Shift Differential ................................. 43Article 87. Overtime Work............................................... 43

Article 88. Undertime Not Offset by Overtime .............. 43


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Article 89. Emergency Overtime Work ........................... 43

Article 90. Computation of Additional Compensation ... 44

Chapter II

Weekly Rest Periods

Article 91. Right to Weekly Rest Day ............................. 44

Article 92. When Employer May Require Work

on a Rest Day .......................................................... 45

Article 93. Compensation for Rest Day,

Sunday or Holiday Work ......................................... 46

Chapter III

Holidays, Service Incentive Leaves

and Service Charges

Article 94. Right to Holiday Pay ..................................... 47

Article 95. Right to Service Incentive Leave .................. 47

Article 96. Service Charges ............................................. 48

Title II

Wages

Chapter I

Preliminary Matters

Article 97. Defi

nitions ...................................................... 48Article 98. Application of Title ........................................ 50

Chapter II

Minimum Wage Rates

Article 99. Regional Minimum Wages ............................ 50

Article 100. Prohibition Against Elimination or

Diminution of Benefits ............................................. 50Article 101. Payment by Results ..................................... 50


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Chapter IIIPayment of Wages

Article 102. Forms of Payment ........................................ 51

Article 103. Time of Payment .......................................... 51Article 104. Place of Payment ......................................... 52Article 105. Direct Payment of Wages ............................ 52Article 106. Contractor or Subcontractor ....................... 53Article 107. Indirect Employer ........................................ 54Article 108. Posting of Bond ............................................ 54Article 109. Solidary Liability ......................................... 55Article 110. Worker Preference in Case

of Bankruptcy .......................................................... 55Article 111. Attorneys Fees ............................................ 55

Chapter IVProhibitions Regarding Wages

Article 112. Non-interference in Disposal of Wages ...... 55

Article 113. Wage Deduction ........................................... 56Article 114. Deposits for Loss or Damage ....................... 56

Article 115. Limitations ................................................... 57

Article 116. Withholding of Wages and

Kickbacks Prohibited ............................................... 57Article 117. Deduction to Ensure Employment .............. 57

Article 118. Retaliatory Measures .................................. 57

Article 119. False Reporting ............................................ 57

Chapter V

Wage Studies, Wage Agreements

and Wage Determination

Article 120. Creation of National Wages and

Productivity Commission ........................................ 58

Article 121. Powers and Functions of the Commission.. 58Article 122. Creation of Regional Tripartite

Wages and Productivity Boards .............................. 60


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Article 123. Wage Order .................................................. 62Article 124. Standards/Criteria for Minimum

Wage Fixing .......................................................... 63Article 125. Freedom to Bargain ..................................... 66

Article 126. Prohibition Against Injunction ................... 66Article 127. Non-Diminution of Benefits ........................ 66

Chapter VIAdministration and Enforcement

Article 128. Visitorial and Enforcement Power .............. 67Article 129. Recovery of Wages, Simple Money

Claims and Other Benefits ...................................... 69

Title IIIWorking Conditions For Special

Groups of Employees

Chapter I

Employment of Women

Article 130. Nightwork Prohibition................................. 71Article 131. Exceptions .................................................... 71

Article 132. Facilities for Women .................................... 72

Article 133. Maternity Leave Benefits ............................ 73

Article 134. Family Planning Services;Incentives for Family Planning ............................... 74

Article 135. Discrimination Prohibited ........................... 74Article 136. Stipulation Against Marriage ..................... 75

Article 137. Prohibited Acts ............................................ 76Article 138. Classification of Certain Women

Workers .................................................................... 76

Chapter II

Employment of Minors

Article 139. Minimum Employable Age .......................... 76


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Article 140. Prohibition Against ChildDiscrimination ......................................................... 77

Chapter III

Employment of Househelpers

Article 141. Coverage ....................................................... 77Article 142. Contract of Domestic Service ...................... 78Article 143. Minimum Wage............................................ 78Article 144. Minimum Cash Wage .................................. 79Article 145. Assignment to Non-Household Work ......... 79Article 146. Opportunity for Education .......................... 79

Article 147. Treatment of Househelpers ......................... 79Article 148. Board, Lodging and Medical Attendance ... 79Article 149. Indemnity for Unjust Termination

of Services ................................................................. 79Article 150. Service of Termination Notice ..................... 80Article 151. Employment Certification ........................... 80Article 152. Employment Record .................................... 80

Chapter IVEmployment of Homeworkers

Article 153. Regulation of Industrial Homeworkers ...... 80Article 154. Regulations of Secretary of Labor ............... 81

Article 155. Distribution of Homework ........................... 81

BOOK FOUR

Health, Safety and Social Welfare Benefits

Title IMedical, Dental and Occupational Safety

Chapter I

Medical and Dental Services

Article 156. First-Aid Treatment .................................... 82


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Article 157. Emergency Medical and Dental Services ... 82

Article 158. When Emergency Hospital Not Required .. 83Article 159. Health Program ........................................... 84

Article 160. Qualifications of Health Personnel ............. 84

Article 161. Assistance of Employer ............................... 84

Chapter II

Occupational Health and Safety

Article 162. Safety and Health Standards ...................... 84

Article 163. Research ....................................................... 85

Article 164. Training Programs ...................................... 85

Article 165. Administration of Safety and

Health Laws ............................................................. 85

Title II

Employees Compensation and State

Insurance Fund

Chapter IPolicy and Definitions

Article 166. Policy .......................................................... 86

Article 167. Definition of Terms ...................................... 87

Chapter II

Coverage and Liability

Article 168. Compulsory Coverage .................................. 92

Article 169. Foreign Employment ................................... 92

Article 170. Effective Date of Coverage .......................... 92

Article 171. Registration .................................................. 93

Article 172. Limitation of Liability ................................. 93

Article 173. Extent of Liability ........................................ 93

Article 174. Liability of Third Party/ies .......................... 93Article 175. Deprivation of the Benefits ......................... 94


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Chapter III

Administration

Article 176. Employers Compensation Commission ..... 94

Article 177. Powers and Duties ....................................... 96Article 178. Management of Funds ................................. 98

Article 179. Investment of Funds .................................... 98

Article 180. Settlement of Claims ................................... 99

Article 181. Review .......................................................... 99

Article 182. Enforcement of Decisions ............................ 99

Chapter IVContributions

Article 183. Employers Contributions ............................ 100

Article 184. Government Guarantee ............................... 101

Chapter V

Medical Benefits

Article 185. Medical Services .......................................... 101

Article 186. Liability ........................................................ 101

Article 187. Attending Physician .................................... 102

Article 188. Refusal of Examination or Treatment ........ 102

Article 189. Fees and Other Charges .............................. 102

Article 190. Rehabilitation Services................................ 103

Chapter VIDisability Benefits

Article 191. Temporary Total Disability ......................... 103

Article 192. Permanent Total Disability ......................... 104

Article 193. Permanent Partial Disability ...................... 105

Chapter VII

Death Benefits

Article 194. Death .......................................................... 108


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Chapter VIII

Provisions Common to Income Benefits

Article 195. Relationship and Dependency ..................... 109

Article 196. Delinquent Contributions ........................... 109Article 197. Second Injuries ............................................ 110

Article 198. Assignment of Benefits ................................ 110

Article 199. Earned Benefits ........................................... 110

Article 200. Safety Devices .............................................. 111

Article 201. Prescriptive Period ...................................... 111

Article 202. Erroneous Payment ..................................... 111

Article 203. Prohibition ................................................... 112Article 204. Exemption from Levy, Tax, etc. .................. 112

Chapter IX

Records, Reports and Penal

Provisions

Article 205. Record of Death or Disability ...................... 112

Article 206. Notice of Sickness, Injury or Death ............ 113Article 207. Penal Provisions .......................................... 114

Article 208. Applicability ................................................. 115

Article 208-A. Repeal ....................................................... 115

Title III

Medicare

Article 209. Medical Care ................................................ 115

Title IV

Adult Education

Article 210. Adult Education ........................................... 116


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BOOK FIVE

Labor Relations

Title IPolicy and Definitions

Chapter I

Policy

Article 211. Declaration of Policy .................................... 116

Chapter IIDefinitions

Article 212. Definitions .................................................... 117

Title IINational Labor Relations Commission

Chapter ICreation and Composition

Article 213. National Labor Relations Commission ....... 121

Article 214. Headquarters, Branches and

Provincial Extension Units ..................................... 124

Article 215. Appointment and Qualifications ................. 124Article 216. Salaries, Benefits and Other

Emoluments ............................................................. 126

Chapter II

Powers and Duties

Article 217. Jurisdiction of the Labor Arbiters

and the Commission ................................................ 126

Article 218. Powers of the Commission .......................... 128Article 219. Ocular Inspection ......................................... 133

Article 220. Compulsory Arbitration .............................. 133


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Article 221. Technical Rules not Binding and

Prior Resort to Amicable Settlement ...................... 133Article 222. Appearances and Fees ................................. 134

Chapter IIIAppeal

Article 223. Appeal .......................................................... 135

Article 224. Execution of Decisions, Ordersor Awards ................................................................. 137

Article 225. Contempt Powers of the Secretary

of Labor .................................................................. 138

Title III

Bureau of Labor Relations

Article 226. Bureau of Labor Relations .......................... 138

Article 227. Compromise Agreements ............................ 139

Article 228. Indorsement of Cases to Labor Arbiters ..... 139

Article 229. Issuance of Subpoenas ................................. 139Article 230. Appointment of Bureau Personnel ............. 140

Article 231. Registry of Unions and File of Collective

Bargaining Agreements ........................................... 140

Article 232. Prohibition on Certification Election .......... 141

Article 233. Privileged Communication .......................... 141

Title IV

Labor Organizations

Chapter I

Registration and Cancellation

Article 234. Requirements of Registration ..................... 142

Article 234-A Chartering and Creation of a Local

Chapter .................................................................. 143Article 235. Action on Application .................................. 143


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Article 236. Denial of Registration; Appeal .................... 144

Article 237. Additional Requirements for

Federations or National Unions .............................. 144

Article 238. Cancellation of Registration ........................ 144

Article 238-A. Effect of a Petition for Cancellation of Registration .......................................................... 144

Article 239. Grounds for Cancellation

of Unions Registration ............................................. 145

Article 239-A. Voluntary Cancellation

of Registration .......................................................... 145

Article 240. Equity of the Incumbent.............................. 146

Chapter II

Rights and Conditions

of Membership

Article 241. Rights and Conditions of Membership

in a Labor Organization .......................................... 146

Chapter IIIRights of Legitimate Labor Organizations

Article 242. Rights of Legitimate Labor

Organizations ........................................................... 151

Article 242-A. Reportorial Requirements ....................... 153

Title V

Coverage

Article 243. Coverage and Employees Right

to Self-Organization ................................................. 154

Article 244. Rights of Employees in the

Public Service .......................................................... 154

Article 245. Ineligibility of Managerial Employees

to Join Any Labor Organization; Right ofSupervisory Employees ........................................... 154


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Article 245-A. Effect of Inclusion as Members of

Employees Outside the Bargaining Unit ................ 155

Article 246. Non-Abridgment of Right to Self- Organization............................................................. 155

Title VIUnfair Labor Practices

Chapter IConcept

Article 247. Concept of Unfair Labor Practice

and Procedure for Prosecution Thereof .................. 155

Chapter II

Unfair Labor Practices of Employers

Article 248. Unfair Labor Practices of Employers ......... 157

Chapter III

Unfair Labor Practices of Labor Organizations

Article 249. Unfair Labor Practices of Labor

Organizations ........................................................... 159

Title VII

Collective Bargaining and

Administration of Agreements

Article 250. Procedure in Collective Bargaining ............ 160

Article 251. Duty to Bargain Collectively in the

Absence of Collective Bargaining Agreements ....... 161

Article 252. Meaning of Duty to Bargain Collectively ... 162

Article 253. Duty to Bargain Collectively When There

Exists a Collective Bargaining Agreement ............. 162

Article 253-A. Terms of a Collective BargainingAgreement ................................................................ 162


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Article 254. Injunction Prohibited .................................. 163

Article 255. Exclusive Bargaining Representation

and Workers Participation in Policy and

Decision-Making ...................................................... 163

Article 256. Representation Issue inOrganized Establishments ...................................... 164

Article 257. Petitions in Unorganized Establishments.. 165

Article 258. When an Employer may File Petition ........ 166

Article 258-A. Employer as Bystander ........................... 166

Article 259. Appeal From Certification

Election Orders ........................................................ 166

Title VII-A

Grievance Machinery and Voluntary

Arbitration

Article 260. Grievance Machinery and

Voluntary Arbitration .............................................. 167

Article 261. Jurisdiction of Voluntary Arbitrators

or Panel of Voluntary Arbitrators ........................... 168Article 262. Jurisdiction Over Other Labor Disputes .... 169

Article 262-A. Procedures ................................................ 169

Article 262-B. Cost of Voluntary Arbitration and

Voluntary Arbitrators Fee ...................................... 170

Title VIII

Strikes and Lockouts and ForeignInvolvement in Trade Union Activities

Chapter I

Strikes and Lockouts

Article 263. Strikes, Picketing and Lockouts ................. 171

Article 264. Prohibited Activities .................................... 175

Article 265. Improved Offer Balloting ............................ 177Article 266. Requirement for Arrest and Detention ...... 177


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Chapter IIAssistance to Labor Organizations

Article 267. Assistance by the Department of Labor ..... 178

Article 268. Assistance by the Institute ofLabor and Manpower Studies ................................. 178

Chapter III

Foreign Activities

Article 269. Prohibition Against Aliens; Exceptions ...... 178

Article 270. Regulation of Foreign Assistance ............... 179

Article 271. Applicability to Farm Tenantsand Rural Workers................................................... 180

Chapter IV

Penalties for Violation

Article 272. Penalties ....................................................... 180

Title IXSpecial Provisions

Article 273. Study of Labor-Management Relations ...... 181Article 274. Visitorial Power ........................................... 182

Article 275. Tripartism and Tripartite Conferences ...... 183

Article 276. Government Employees ............................... 184

Article 277. Miscellaneous Provisions ............................ 184

BOOK SIX

Post-Employment

Title ITermination of Employment

Article 278. Coverage ....................................................... 188Article 279. Security of Tenure ....................................... 188

Article 280. Regular and Casual Employment ............... 189


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Article 281. Probationary Employment .......................... 189

Article 282. Termination by Employer ........................... 190Article 283. Closure of Establishment and

Reduction of Personnel ............................................ 190

Article 284. Disease as Ground for Termination ............ 191Article 285. Termination by Employee ........................... 191

Article 286. When Employment not DeemedTerminated ............................................................... 192

Title IIRetirement From The Service

Article 287. Retirement ................................................... 193

BOOK SEVEN

Transitory and Final Provisions

Title IPenal Provisions and Liabilities

Article 288. Penalties ....................................................... 194

Article 289. Who are Liable When Committed

by Other Than Natural Person ............................... 195

Title II

Prescription of Offenses and Claims

Article 290. Offenses ........................................................ 195

Article 291. Money Claims .............................................. 196

Article 292. Institution of Money Claims ....................... 196

Title III

Transitory and Final Provisions

Article 293. Application of Law Enacted Priorto this Code ............................................................... 197


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Article 294. Secretary of Labor to Initiate

Integration of Maternity Leave Benefits ................ 197

Article 295 ....................................................................... 197

Article 296. Termination of the Workmens

Compensation Program ........................................... 197Article 297. Continuation of Insurance

Policies and Indemnity Bonds ................................. 198

Article 298. Abolition of the Court of IndustrialRelations and the National Labor

Relations Commission ............................................. 199

Article 299. Disposition of Pending Cases ...................... 199

Article 300. Personnel Whose Services areTerminated ............................................................... 200

Article 301. Separability Provisions ............................... 200

Article 302. Repealing Clause ......................................... 201

II. Omnibus Rules Implementing the Labor Code

Preliminary Provisions

Section 1. Title ................................................................. 202

Section 2. Meanings of Terms ......................................... 202

Section 3. Construction .................................................... 202

BOOK ONE

Pre-Employment

Rule I

Definition of Terms

Section 1. Definition of Terms ......................................... 202

Rule II

Employment Promotion

Section 1. Powers of the Secretary .................................. 205

Section 2. Free Placement Services ................................ 206


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Section 3. Placement of Workers ..................................... 206

Section 4. Vocational Guidance and Testing .................. 206Section 5. Occupational Classification of Registered

Applicants ................................................................. 206

Section 6. Occupational-Industrial Mobilityof Workers ................................................................ 207

Section 7. Geographical Movement of Workers .............. 207Section 8. Job-Clearance and Information System ........ 207

Section 9. Submission of Reports .................................... 207

Rule III

Recruitment and Placement

Section 1. Private Recruitment ....................................... 208

Section 2.[superseded by the POEA Rules] .................... 208

Rule IV

Private Sector Participation in

Recruitment and Placement

Section 1. Who may Participate in the Private Sector ... 208Section 2. Citizenship Requirement................................ 209

Rule V up to Rule VI

(superseded by the Rules and Regulations

Governing Private Recruitment and Placement Agency for

Local Employment)

Rule VII up to Rule XIII

(superseded by the POEA Rules)

Rule XIV

Employment of Aliens

Section 1. Coverage .......................................................... 209

Section 2. Submission of List .......................................... 210

Section 3. Registration of Resident Aliens ..................... 210

Section 4. Employment Permit Required for Entry ....... 210


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Section 5. Requirements for Employment Permit

Application ............................................................... 210

Section 6. Issuances of Employment Permit .................. 211

Section 7. Duration of Employment Permit ................... 212

Section 8. Advice to Commission on Immigrationand Deportation ....................................................... 212

Section 9. Understudy Training Program ...................... 212

BOOK TWO

(superseded by the TESDA Act of 1994 [Republic ActNo. 7796]; Rule VIII on Handicapped Workers was

superseded by the Magna Carta for Disabled Persons[Republic Act No. 7277])

Book Three

Conditions of Employment

Rule I

Hours of Work

Section 1. General statement on coverage ...................... 213Section 2. Exemption ....................................................... 213

Section 3. Hours Worked ................................................. 215

Section 4. Principles in Determining Hours Worked ..... 216

Section 5.Waiting Time ................................................... 217Section 6. Lectures, Meetings, Training Programs ........ 217

Section 7. Meal and Rest Periods .................................... 217Section 8. Overtime Pay .................................................. 218

Section 9. Premium and Overtime Pay for Holidayand Rest Day Work .................................................. 218

Section 10. Compulsory Overtime Work ......................... 219

Rule I-A

Hours of Work of Hospital and Clinic Personnel

Section 1. General Statement on Coverage .................... 220


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Section 2. Hospitals or Clinics within the Meaningof this Rule ............................................................... 221

Section 3. Determination of Bed Capacityand Population ......................................................... 221

Section 4. Personnel Covered by this Rule ..................... 222Section 5. Regular Working Hours ................................. 222Section 6. Regular Working Days ................................... 222Section 7. Overtime Work ................................................ 223

Section 8. Hours Worked ................................................. 223

Section 9. Additional Compensation ............................... 223

Section 10. Relation to Rule I .......................................... 223

Rule II

Night Shift Differential


Section 2. Night Shift Differential .................................. 224

Section 3. Additional Compensation ............................... 224

Section 4. Additional Compensation on Scheduled

Rest day/ Special Holiday ........................................ 225Section 5. Additional Compensation

on Regular Holidays ................................................ 225

Section 6. Relation to Agreements .................................. 225

Rule III

Weekly Rest Periods

Section 1. General Statement on Coverage .................... 225Section 2. Business on Sundays/Holidays ...................... 226

Section 3. Weekly Rest Day ............................................. 226

Section 4. Preference of Employee .................................. 226

Section 5. Schedule of Rest Day ...................................... 226Section 6. When Work on Rest Day Authorized ............. 227

Section 7. Compensation on Rest Day/

Sunday/Holiday ........................................................ 228Section 8. Paid-off Days ................................................... 229



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Rule IV

Holidays with Pay


Section 2. Status of Employees Paid by the Month ....... 230Section 3. Holiday Pay ..................................................... 230

Section 4. Compensation for Holiday Work .................... 231

Section 5. Overtime Pay for Holiday Work ..................... 231

Section 6. Absences .......................................................... 232

Section 7. Temporary or Periodic Shutdown

and Temporary Cessation of Work ......................... 232

Section 8. Holiday Pay of Certain Employees ................ 233

Section 9. Regular Holiday Falling onRest Days or Sundays .............................................. 233

Section 10. Successive Regular Holidays ........................ 234

Section 11. Relation to Agreements ................................ 234

Rule V

Service Incentive Leave


Section 2. Right to Service Incentive Leave ................... 235

Section 3. Definition of Certain Terms ........................... 235

Section 4. Accrual of Benefit ............................................ 235

Section 5. Treatment of Benefit....................................... 235


Rule VIService Charges


Section 2. Employees Covered ......................................... 236

Section 3. Distribution of Service Charges ..................... 237

Section 4. Frequency of Distribution .............................. 237

Section 5. Integration of Service Charges ...................... 237


Section 7 .......................................................................... 238


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Rule VII

Wages

Section 1. Minimum Wages ............................................. 238

Section 2. Minimum Wages in Depressed Areas ............ 238Section 3. Coverage .......................................................... 238

Rule VII-A

Wages

Section 4. Cash Wage ....................................................... 239

Section 5. Facilities .......................................................... 240Section 6.Value of Facilities ............................................ 240

Section 7. Acceptance of Facilities .................................. 241

Section 8. Payment by Result .......................................... 241

Section 9. Payment by Results in Government

Projects .................................................................. 242

Rule VIII

Payment of Wages

Section 1. Manner of Wage Payment .............................. 242

Section 2. Payment by Check .......................................... 242

Section 3. Time of Payment ............................................. 243

Section 4. Place of Payment ............................................ 244

Section 5. Direct Payment of Wages ............................... 244

Section 6. Wages of Deceased Employee......................... 245Section 7. Payment of Wages and other Monetary

Claims In Case of Bankruptcy ................................ 245

Section 8. Attorneys Fees................................................ 245

Section 9. Non-Interference in Disposal of Wages ......... 246

Section 10. Wage Deduction ............................................ 246

Section 11. Deduction for Loss or Damage ..................... 246


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Rule VIII-AContracting and Subcontracting

Section 1. Guiding Principles .......................................... 247

Section 2. Coverage .......................................................... 248Section 3. Trilateral Relationship in Contracting

Arrangements .......................................................... 248

Section 4. Definition of Basic Terms ............................... 248

Section 5. Prohibition Against Labor-Only

Contracting ............................................................... 249

Section 6. Prohibitions ..................................................... 250

Section 7. Existence of an Employer-Employee

Relationship ............................................................. 252

Section 8. Rights of Contractual Employees .................. 252

Section 9. Contract Between Contractor or

Subcontractor and Contractual Employee ............. 253

Section 10. Effect of Termination of Contractual

Employment ............................................................. 253

Section 11. Registration of Contractors or

Subcontractors ......................................................... 254Section 12. Requirements for Registration ..................... 254

Section 13. Filing and Processing of Applications .......... 256

Section 14. Duty to Produce Copy of Contract

Between the Principal and the Contractor

or Subcontractor ....................................................... 256

Section 15. Annual Reporting of Registered

Contractors ............................................................... 257Section 16. Delisting of Contractors or

Subcontractors ......................................................... 258

Section 17. Renewal of Registration of Contractors

or Subcontractors ..................................................... 258

Section 18. Enforcement of Labor Standards

and Working Conditions .......................................... 259

Section 19. Solidary Liability .......................................... 259

Section 20. Supersession ................................................. 260


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Rule IX

(superseded by the Rules Implementing

Republic Act No. 6727 [Wage Rationalization Act])

Rule XAdministration and Enforcement

Section 1. Visitorial Power .............................................. 260

Section 2. Enforcement Power ......................................... 261

Section 3. Enforcement Power on Health and Safety

of Workers ................................................................ 262

Section 4. Power to Review .............................................. 262

Section 5. Interference and Injunctions Prohibited ....... 263

Section 6. Payrolls .......................................................... 263

Section 7. Time Records ................................................... 264

Section 8. Entries in the Filing of Time Records ............ 265

Section 9. Time Records of Executives ............................ 265

Section 10. Records of Workers Paid by Results ............ 265

Section 11. Place of Records ............................................ 266

Section 12. Preservation of Records ................................ 266Section 13. False Reporting ............................................. 266

Section 14. Working Scholars .......................................... 266

Section 15. Resident Pysicians in Training .................... 266

Rule XI

Adjudictory Powers

Section 1. Recovery of Wages, Simple Money Claimsand Other Benefits ................................................... 267

Section 2. .......................................................................... 268

Section 3. .......................................................................... 268

Section 4. .......................................................................... 269

Rule XII

Employment of Women and Minors



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Section 2. Employable Age .............................................. 270

Section 3. Eligibility for Employment ............................. 270

Section 4. Status of Women Workers in Certain

Work Places .............................................................. 270

Section 5. Night Work of Women Employees ................. 271Section 6. Agricultural Work ........................................... 272

Section 7. Maternity Leave Benefits ............................... 272

Section 8. Accreditation of Leave Credits ....................... 272

Section 9. Payment of Extended Maternity Leave ......... 273

Section 10. Limitation on Leave Benefits ....................... 273

Section 11. Family Planning Services............................. 273

Section 12. Relation Agreements .................................... 274Section 13. Prohibited Acts.............................................. 274

Section 14. Facilities for Woman Employees .................. 275

Rule XIII

Employment of Househelpers


Section 2. Method of Payment not Determinant ............ 276Section 3. Children of Househelpers ............................... 276

Section 4. Employment Contract .................................... 276

Section 5. Minimum Monthly Wage................................ 276

Section 6. Equivalent Daily Rate .................................... 277

Section 7. Payment by Results ........................................ 277

Section 8. Minimum Cash Wage ..................................... 278

Section 9. Time and Manner of Payment ....................... 278Section 10. Assignment to Non-Household Work .......... 278

Section 11. Opportunity for Education ........................... 278

Section 12. Treatment of Househelpers .......................... 278

Section 13. Board, Lodging and Medical Attendance .... 279

Section 14. Indemnity for Unjust Termination

of Service .................................................................. 279

Section 15. Employment Certification ............................ 279

Section 16. Funeral Expenses ......................................... 279Section 17. Disposition of the Househelpers Body ........ 279


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Section 18. Employment Records .................................... 280

Section 19. Prohibited Reduction of Pay ......................... 280

Section 20. Relation to Other Laws and Agreements .... 280

Rule XIVEmployment of Homeworkers


Section 2. Definitions ....................................................... 281

Section 3. Self-Organization ............................................ 282

Section 4. Registration of Homeworkers

Organization............................................................. 282Section 5. Registration of Employer. Contractor

and Subcontractor .................................................... 283

Section 6. Payment for Homework .................................. 284

Section 7. Standard Rates ............................................... 284

Section 8. Deductions ....................................................... 285

Section 9. Conditions for Payment of Work .................... 286

Section 10. Enforcement Power....................................... 286

Section 11. Duties of Employer, Contractorand Subcontractor .................................................... 287

Section 12. Employment of Minors as Homeworkers .... 288

Section 13. Prohibitions for Homework .......................... 288

Section 14. Assistance to Registered Homeworkers

Organizations, Employers, Contractors

and Subcontractors .................................................. 288

BOOK FOUR

Health, Safety and Welfare Benefits

Rule I

Medical and Dental Services

Section 1. Coverage .......................................................... 289Section 2. Definition ......................................................... 289

Section 3. Medicines and Facilities ................................. 290


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Section 4. Emergency Medical and Dental Services ...... 290

Section 5. Emergency Hospital ....................................... 292

Section 6. Training and Qualifications of Medical

and Dental Personnel .............................................. 292

Section 7. Opportunity for Training................................ 294Section 8. Hazardous Work Places .................................. 294

Section 9. Health Program .............................................. 295

Section 10. Medical and Dental Records ........................ 295

Rule II

Occupational Health and Safety


Section 2. General Occupational Health and

Safety Standards ...................................................... 297

Section 3. Occupational Health and Safety Code;

Effectivity of Existing Standards ............................ 297

Section 4. Work Condition Not Covered

by Standards ............................................................ 297Section 5. Training of Personnel in Safety

and Health ................................................................ 298

Section 6. General Duties of Workers ............................. 299

Section 7. Duties of Other Persons ................................. 300

Section 8. Administration and Enforcement .................. 300

Section 9. Research .......................................................... 300

Section 10. Training ......................................................... 301

BOOK FIVE

Labor Relations

Rule I

Definition of Terms

Section 1. Definition of Terms ......................................... 302


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Rule II

Coverage of the Right to Self-Organization

Section 1. Policy ............................................................... 312

Section 2. Who may Join Labor Unions andWorkers Associations .............................................. 312

Rule III

Registration of Labor Organizations

Section 1. Where to File ................................................... 313

Section 2. Requirements for Application ........................ 314Section 3. Notice of Change of Name of Labor

Organizations; Where to file .................................... 317

Section 4. Requirements for Notice of Change

of Name..................................................................... 317

Section 5. Certificate of Registration/Certificate

of Creation of Chartered Local for

Change of Name ....................................................... 318

Section 6. Report of Affiliation with Federationsor National Unions; Where to File .......................... 318

Section 7. Requirements of Affiliation ............................ 318

Section 8. Notice of Merger/Consolidation

of Labor Organizations; Where to File ................... 319

Section 9. Requirements of Notice of Merger ................. 319

Section 10. Certificate of Registration ............................ 319

Section 11. Requirements of Notice of Consolidation .... 320Section 12. Certificate of Registration ............................ 320

Rule IV

Provisions Common to the Registration of Labor

Organizations and Workers Associations

Section 1. Attestation Requirements .............................. 321

Section 2. Payment of Registration Fee .......................... 321Section 3. Accompanying Documents ............................. 321


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Section 4. Action on the Application/Notice ................... 321

Section 5. Denial of Application/Return of Notice .......... 322

Section 6. Form of Denial of Application/Return

of Notice; Appeal ...................................................... 322

Section 7. Procedure on Appeal ....................................... 323Section 8. Effect of Registration ...................................... 323

Section 9. Effect of Change of Name ............................... 323

Section 10. Effect of Merger or Consolidation ................ 324

Rule V

Reporting Requirements of Labor Unions

and Workers Associations

Section 1. Reporting Requirements ................................ 324

Rule VI

Determination of Representation Status

Section 1. Policy ............................................................... 326Section 2. Determination of Representation

Status; Modes ........................................................... 326

Rule VII

Voluntary Recognition

Section 1. When and Where to File ................................. 326

Section 2. Requirements for Voluntary Recognition ...... 327Section 3. Action on the Notice........................................ 327

Section 4. Effect of Recording of Fact of Voluntary

Recognition ............................................................... 328

Rule VIII

Certification Election

Section 1. Who may File .................................................. 329



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Section 3. When to File .................................................... 330

Section 4. Form and Contents of Petition ....................... 331

Section 5. Raffle of the Case ............................................ 332

Section 6. Notice of Preliminary Conference .................. 332

Section 7. Forced Intervenor ........................................... 333Section 8. Motion for Intervention .................................. 333

Section 9. Preliminary Conference; Hearing .................. 334

Section 10. Consent Election; Agreement ....................... 334

Section 11. Number of Hearings; Pleadings ................... 335

Section 12. Failure to Appear Despite Notice ................ 335

Section 13. Order/Decision on the Petition ..................... 335

Section 14. Denial of the Petition; Grounds ................... 336Section 15. Prohibited Grounds for the Denial/

Suspension of the Petition ....................................... 338

Section 16. Release of Order/Decision within

ten (10) days from the Last Hearing ....................... 338

Section 17. Appeal .......................................................... 338

Section 18. Where to File Appeal .................................... 339

Section 19. Finality of Order/Decision ............................ 339

Section 20. Period to Reply .............................................. 339Section 21. Decision of the Secretary .............................. 339

Section 22. Transmittal of Records to the

Regional Office ......................................................... 340

Section 23. Effects of Consent Election ........................... 340

Section 24. Effects of Early Agreements ......................... 341

Section 25. Non-availability of Med-Arbiter ................... 341

Rule IX

Conduct of Certification Election


Section 2. Pre-Election Conference ................................. 341

Section 3. Waiver of Right to be Heard ........................... 342

Section 4. Minutes of Pre-Election Conference .............. 343

Section 5. Qualification of Voters; Inclusion- Exclusion .................................................................. 343


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Section 6. Posting of Notices ........................................... 344

Section 7. Secrecy and Sanctity of the Ballot ................. 344

Section 8. Preparation of Ballots ..................................... 344

Section 9. Marking of Votes ............................................. 345

Section 10. Challenging of Votes ..................................... 345Section 11. Procedure in the Challenge of Votes ............ 345

Section 12. On-the-Spot Questions ................................. 346

Section 13. Protest; When Perfected ............................... 346

Section 14. Canvassing of Votes ...................................... 347

Section 15. Conduct of Election and Canvass

of Votes ..................................................................... 347

Section 16. Certifi

cation of CollectiveBargaining Agent ..................................................... 347

Section 17. Failure of Election ........................................ 348

Section 18. Effect of Failure of Election .......................... 348

Section 19. Action on the Motion .................................... 348

Section 20. Proclamation and Certification

of the Result of the Election .................................... 348

Rule XRun-Off Elections

Section 1. When Proper ................................................... 349

Section 2. Qualification of Voters .................................... 350

Rule XI

Inter/Intra-Union Disputes and Other RelatedLabor Relations Disputes



Section 3. Effects of the Filing/Pendency of

Inter/Intra-Union and Other Related Labor

Relations Disputes ................................................... 352

Section 4. Who May File .................................................. 353Section 5. Where to File ................................................... 353


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Section 6. Formal Requirements of the Complaint

or Petition ................................................................. 354


Section 8. Notice of Preliminary Conference .................. 355

Section 9. Conduct of Preliminary Conference ............... 356Section 10. Conduct of Hearing(s) ................................... 356

Section 11. Affirmation of Testimonial Evidence ........... 357

Section 12. Filing of Pleadings ........................................ 357

Section 13. Hearing and Resolution of the Complaint

or Petition in the Bureau ......................................... 357

Section 14. Decision ......................................................... 357

Section 15. Release of Decision ....................................... 358Section 16. Appeal .......................................................... 358

Section 17. Where to File Appeal .................................... 358

Section 18. Finality of Decision ....................................... 359

Section 19. Period of Reply .............................................. 359

Section 20. Decision of the Bureau/ Office

of the Secretary ........................................................ 359

Section 21. Finality of Decision of Bureau/

Office of the Secretary ............................................. 359Section 22. Execution of Decision .................................... 360

Section 23. Transmittal of Records to the Regional

Office/Bureau .......................................................... 360

Rule XII

Election of Officers of Labor Unions

and Workers Associations

Section 1. Conduct of Election of Union Officers;

Procedure in the Absence of Provisions

in the Constitution and By-Laws ............................ 360

Section 2. Dispute Over Conduct of Election

of Officers .................................................................. 362

Section 3. Formal Requirement and Proceedings .......... 362

Section 4. Pre-Election Conference and Conductof Election ................................................................. 363


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Section 5. Applicability of the Provisions of the

Labor Organizations Constitution

and By-Laws .......................................................... 363

Rule XIIIAdministration of Trade Union Funds

and Actions Arising Therefrom

Section 1. Right of Union to Collect Dues

and Agency Fees ...................................................... 363

Section 2. Visitorial Power Under Article 274 ............... 364

Section 3. Where to File ................................................... 364Section 4. Actions Arising from Article 241 .................... 364

Section 5. Prescription ..................................................... 365

Section 6. Decision .......................................................... 365

Section 7. Pre-Audit Conference ..................................... 365

Section 8. Issuance of Subpoena ..................................... 366

Section 9. Conduct of Audit Examination ...................... 366

Section 10. Period of Audit .............................................. 367

Section 11. Audit Report .................................................. 368Section 12. Completion of Audit ...................................... 368

Section 13. Decision After Audit ..................................... 368

Section 14. Appeal .......................................................... 369

Section 15. Period of Inquiry or Examination ................ 369

Rule XIV

Cancellation of Registration of LaborOrganizations


Section 2. Who May File .................................................. 370

Section 3. Grounds for Cancellation ............................... 370

Section 4. Action on the Petition ..................................... 372


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Rule XV

Cancellation of Registration of Labor

Organizations Due to Non-Compliance

with the Reportorial Requirements

Section 1. When Proper ................................................... 372

Section 2. Procedure ........................................................ 373

Section 3. Publication of Notice of Cancellation

of Registration .......................................................... 373

Section 4. Cancellation of Registration ........................... 374

Section 5. Condition for Administrative

Cancellation of Certifi

cate of Registration ............. 374

Rule XVI

Collective Bargaining

Section 1. Policy ............................................................... 374

Section 2. Disclosure of Information ............................... 375

Section 3. When Single Enterprise Bargaining

Available .................................................................. 375Section 4. Procedure in Single Enterprise

Bargaining ................................................................ 375

Section 5. When Multi-Employer Bargaining

Available .................................................................. 376

Section 6. Procedure in Multi-Employer Bargaining ..... 376

Section 7. Posting and Registration of Collective

Bargaining Agreement ............................................ 378

Rule XVII

Registration of Collective Bargaining

Agreements


Section 2. Requirements for Registration ....................... 379Section 3. Payment of Registration Fee .......................... 380

Section 4. Action on the Application ............................... 380


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Section 5. Denial of Registration; Grounds

for Appeal ................................................................. 380

Section 6. Period and Manner of Disposition

of Appeal .................................................................. 381

Section 7. Term of Representation Status;Contract Bar Rule .................................................... 381

Section 8. Renegotiation of Collective Bargaining

Agreements .............................................................. 382

Rule XVIII

Central Registry of Labor Organizations

and Collective Bargaining Agreements

Section 1. Forms for Registration ................................... 382

Section 2. Transmittal of Records;

Central Registry ....................................................... 382

Rule XIX

Grievance Machinery and Voluntary

Arbitration

Section 1. Establishment of Grievance Machinery ........ 383

Section 2. Procedure in Handling Grievances ................ 384

Section 3. Submission to Voluntary Arbitration ............ 385

Section 4. Jurisdiction of Voluntary Arbitrator

or Panel of Voluntary Arbitrators ........................... 386

Section 5. Powers of Voluntary Arbitrator or Panelof Voluntary Arbitrators .......................................... 387

Section 6. Procedure ........................................................ 387

Section 7. Finality of Award/Decision ............................. 388

Section 8. Execution of Award/Decision ......................... 388

Section 9. Cost of Voluntary Arbitration and

Voluntary Arbitrators Fee ...................................... 388

Section 10. Maintenance of Case Records

by the Board ............................................................. 389


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Rule XX

Labor Education and Research

Section 1. Labor Education of Workers

and Employees ......................................................... 390Section 2. Mandatory Conduct of Seminars ................... 390

Section 3. Special Fund for Labor Education

and Research .......................................................... 390

Rule XXI

Labor-Management and Other Councils

Section 1. Creation of Labor-Management and

Other Councils ......................................................... 391

Section 2. Selection of Representatives .......................... 392

Rule XXII

Conciliation, Strikes and Lockouts

Section 1. Condition of Labor-Management

Disputes .................................................................. 392

Section 2. Privileged Communication ............................. 392

Section 3. Issuance of Subpoena ..................................... 392

Section 4. Compromise Agreements ............................... 392

Section 5. Grounds for Strike or Lockout ....................... 393

Section 6. Who May Declare a Strike or Lockout ........... 393

Section 7. Notice of Strike or Lockout ............................. 394Section 8. Contents of Notice ........................................... 394

Section 9. Action on Notice .............................................. 395

Section 10. Strike or Lockout Vote .................................. 395

Section 11. Declaration of Strike or Lockout .................. 396

Section 12. Improved Offer Balloting ............................. 396

Section 13. Peaceful Picketing ........................................ 397

Section 14. Injunctions .................................................... 397Section 15. Criminal Prosecution .................................... 398


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Rule XXIII

Contempt

Section 1. Direct Contempt; Person Guilty

of Misbehavior .......................................................... 398Section 2. Indirect Contempt ........................................... 399

Rule XXIV

Execution of Decisions, Awards or Orders

Section 1. Execution of Decisions, Orders or Awards .... 399

Rule XXVGeneral Provisions

Section 1. Incidental Motions will not be Given

Due Course ............................................................... 400

Section 2. Non-Intervention of Outsiders

in Labor Disputes ..................................................... 400

Section 3. When Complaint Deemed Filed ..................... 401Section 4. Check-Off from Non-Members ....................... 401

Rule XXVI

Transitory Provisions

Section 1. Rules Governing Prior Applications,

Petitions, Complaints, Cases ................................... 401

Section 2. Equity of the Incumbent ................................. 401

BOOK SIX

Post-Employment

Rule I

Termination of Employment and Retirement


Section 2. Security of Tenure .......................................... 402


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Section 3. Reinstatement ................................................. 404

Section 4. Reinstatement to Former Position ................. 404

Section 5. (a) Regular Employment ................................ 405

Section 6. Probationary Employment ............................. 406

Section 7. Termination of Employment by Employer .... 407Section 8. Disease as a Ground for Dismissal ................ 407

Section 9. Termination Pay ............................................. 407

Section 10. Basis of Termination Pay ............................. 408

Section 11. Termination of Employment

by Employee .......................................................... 408

Section 12. Suspension of Relationship .......................... 408

Section 13. Retirement .................................................... 409Section 14. Retirement Benefits ...................................... 409

Rule II

Retirement Benefits


Section 2. Exemptions...................................................... 409

Section 3. Retirement Under CBA/Contract .................. 411Section 4. Optional; Compulsory Retirement ................. 412

Section 5. Retirement Benefits ........................................ 412

Section 6. Exemption from Tax ....................................... 414

Section 7. Penal Provision ............................................... 415

Section 8. Relation to Agreements and Regulations ...... 415

Section 9. Effectivity ........................................................ 415

Rule II-A

Retirement Age for Underground

Mine Employees


Section 2. Optional Retirement and Compulsory

Retirement................................................................ 416

Section 3. Retirement Under CBA/Contract .................. 417Section 4. Retirement Benefits ........................................ 418


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Section 5. Exemption from Tax ....................................... 419

Section 6. Penal Provision ............................................... 419


Section 8. Effectivity ........................................................ 420

BOOK SEVEN

Prescriptions, Transitory and Final Provisions

Rule I

Venue of Actions

Section 1. Money Claims ................................................. 420Section 2. Unfair Labor Practices ................................... 420

Section 3. Workmens Compensation Claims ................. 420

Rule II

Prescription of Actions

Section 1. Money Claims ................................................. 421Section 2. Unfair Labor Practices ................................... 421

Section 3. Workmens Compensation Claims ................. 421

Section 4. Claims Accruing Prior to Effectivity

of the Code ................................................................ 422

Section 5. Prescription of Action on Union Funds ......... 422

Rule III

Laws Repealed

Section 1. Laws Repealed ................................................ 422

Rule IV

Date of Effectivity

Section 1. Effectivity of These Rules and Regulations ... 424


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APPENDICES

Appendix 1 Department Order No. 40-C-05,

Series of 2005 .......................................................... 429

Appendix 2 Department Order No. 40-E-05,

Series of 2005 .......................................................... 431

Appendix 3 Department Order No. 40-F-03,

Series of 2008 .......................................................... 434

Labor Code Codal-RBSI

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Transcript of Labor Code Codal-RBSI