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CHAPTER II

POWERS AND DUTIES


ART 217. JURISDICTION OF LABOR ARBITERS AND THE COMMISSION.
a. Except as otherwise provided under this
Code the Labor Arbiters shall have original and exclusive jurisdiction to hear and decide, within 30
calendar days after the submission of the case by the parties for decision without extension, even in
the absence of stenographic notes, the following cases involving all workers, whether agricultural or
non-agricultural:
1, Unfair labor practice cases;
2. Termination disputes;
3. If accompanied with a claim for reinstatement, those cases that workers may file involving
wages, rates of pay, hours of work and other terms and conditions of employment;
4. Claims for actual, moral, exemplary and other forms of damages arising from employeremployee relations;
5. Cases arising from any violation of Art 264 of this Code, including questions involving the
legality of strikes and lockouts; and
6. Except claims for Employees Compensation, Social Security, Medicare and maternity
benefits, all other claims arising from employer-employee relations, including those of
persons in domestic or household service, involving an amount exceeding P5,000.00
regardless of whether accompanies with a claim for reinstatement.
7.Monetary claims of overseas contract workers under the Migrant Workers Act of 1995.
b. The Commission shall have exclusive
Arbiters.

appellate jurisdiction over all cases decided by Labor

c. Cases arising from the interpretation or implementation of CBA and those arising from the
interpretation or enforcement of company personnel policies shall be disposed of by the Labor
Arbiter by referring the same to the grievance machinery and voluntary arbitration.
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The labor arbiter has jurisdiction over the claims of employees against GOCCs if the latter does not
have an original charter and has been incorporated under the Corporation Code.

The labor arbiter and the NLRC have no jurisdiction over claims filed by employees against international
agencies such as IRRI, WHO etc.

ART 218. POWERS OF THE COMMISSION


POWERS OF THE NLRC:
a.
b.
c.
d.
e.

Rule-making power
Power to issue compulsory processes
Power to investigate matters and hear disputes within its jurisdiction
Contempt power
Power to issue injunctions and Restraining Orders

REQUISITES BEFORE RESTRAINING ORDER/ INJUNCTION MAY ISSUE:


1. filing of a verified petition
2. a hearing after due and personal notice has been served in such manner as the Commission shall
direct, to all known persons against whom the relief is sought and also to the Chief Executive or other

public officials of the province or city within which the unlawful acts have been threatened or committed
charged with the duty to protect the complainants property
3. reception at the hearing of the testimony of witnesses with opportunity for cross- examination, in support
of the allegations of the complaint made under oath as well as testimony in opposition thereto
4. a finding of fact of the Commission to the effect that :
a) prohibited or unlawful acts have been threatened and will be committed and will be continued
unless restrained, but no injunction or temporary restraining order shall be issued on account of
any threat, prohibited, or unlawful act, except against the persons, association or organization
making the threat or committing the prohibited or unlawful act or actually authorizing or ratifying
the same after actual knowledge thereof.
b) That substantial and irreparable injury to the complainants property will follow
c) That as to each item of relief to be granted, greater injury will be inflicted upon complainant by the
denial of the relief than will be inflicted upon the defendants by the granting of the relief
d) That complainants has no adequate remedy at law
e) That public officers charged with the duty to protect complainants property are unable or unwilling
to furnish adequate protection.
5. Posting of a bond

REQUISITES BEFORE TRO MAY BE ISSUED EX PARTE:


1. The complainant shall allege that, unless a TRO shall be issued without notice, a substantial and
irreparable injury to complaints property will be unavoidable;
2. There is testimony under oath, sufficient, is sustained, to justify the Commission in issuing a temporary
injunction upon hearing after notice ;
3. The complainant shall first file an undertaking with adequate security in an amount to be fixed by the
Commission sufficient to recompense those enjoined for any loss, expenses or damage caused by the
improvident or erroneous issuance of such order or injunction, including all reasonable costs, together
with a reasonable attorneys fee, and expense of defense against the granting of any injunctive relief
sought in the same proceeding and subsequently denied by the Commission; and
4. The TRO shall be effective no longer than 20 days and shall become void at the expiration of said 20
days counted from the date of the posting of the bond.
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In the absence of service of summons or a valid waiver thereof, the hearings and judgment rendered
by the labor arbiter are null and void.

The procedural and substantial requirements of Art 218 (e) must be strictly complied with before an
injunction may issue in a labor dispute.

THE FF. CAN ISSUE INJUNCTIONS/ TRO IN LABOR DISPUTES


1.
2.
3.
4.
5.
6.

President (ART. 263, g)


Secretary of Labor (ART. 263, g)
Labor Arbiters (ART. 217)
NLRC
Regional Directors
Med- Arbiters

Art 219. OCULAR INSPECTION


The Chairman, any Commissioner, labor Arbiter or their duly authorized representatives may, at anytime
during working hours:
a. Conduct an ocular inspection on any establishment, building, ship, place or premises,
including any work, material, implement, machinery, appliance or any object therein; and

b. Ask any employee. Laborer, or any person as the case may be for any information or date
concerning any matter or question relative to the object of the investigation

ART. 221. TECHNICAL RULES NOT BINDING AND PRIOR RESORT TO AMICABLE
SETTLEMENT
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An amicable settlement of a labor dispute should be approved by the labor arbiter before whom
the case is pending after being satisfied that it was voluntarily entered by the parties and after having
explained to them the terms and consequences thereof.

PURPOSE: for the employees protection for the labor arbiter before whom the case is pending would be
in a better position than just any labor arbiter to personally determine the voluntariness of the agreement
and certify its validity.

RES JUDICATA applies only to judicial or quasi-judicial proceedings and not to the exercise of
administrative powers.

ART 222. APPEARANCES AND FEES


APPEARANCE OF NON-LAWYERS BEFORE THE COMMISSION:
GENERAL RULE:

ONLY lawyers can appear before the NLRC, or any Labor Arbiter,

EXCEPTIONS : Non-Lawyers can appear ONLY in the following instances:


1. if they represent themselves; or
2. if they represent their organization or members thereof; or
3. if he is a duly-accredited member of the legal aid office duly recognized by the DOJ of IBP in
cases referred thereto by the latter.
ATTORNEYS FEES: The maximum amount to be given a lawyer is 10% of the monetary benefits awarded
to the employees excluding the award for moral and exemplary damages shall not be included.
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Moral and exemplary damages and other benefits that employee receives when he is working are
excluded.

This article prohibits the payment of attorneys fees only where the same is effected through forced
contributions from the workers form their own funds as distinguished from the union funds.

CHAPTER III
APPEAL
ART. 223. APPEAL
GROUNDS FOR APPEAL:
1. If there is prima facie evidence of abuse of discretion on the part of the Labor Arbiter or Compulsory
Arbitrator;
2. If the decision, order or award was secured through fraud or coercion, including graft and corruption;
3. If made purely on questions of law;
4. If serious errors in the findings of facts are raised which would cause grave or irreparable damage or
injury to the appellant.

PERIODS WITHIN WHICH TO APPEAL:


A. DECISIONS OF THE REGIONAL DIRECTOR:
- within 5 calendar days from receipt of the order.
B. DECISIONS OF THE LABOR ARBITER:
- within 10 calendar days from the receipt of the decision.
-

The appeal must be under oath and must state specifically the grounds relied upon and the supporting
arguments.

Where the 10th day falls on a Saturday, Sunday or legal holiday, the appeal may be filed on the next
business day.

IS THE PERIOD OF APPEAL EXTENDIBLE?


NO. The period of appeal to cases decided by the regional Director and the Labor Arbiter is NEVER
extendible. It is the policy of the state to settle expeditiously labor disputes.

REQUISITES BEFORE APPEAL TO THE NLRC IS DEEMED PERFECTED:


1. File a verified memo of appeal within the required period of appeal;
2. In case of monetary award, the employer should file a bond corresponding to the monetary award
excluding awards for moral, exemplary damages and attorneys fees.
3. Appeal fee of P110;
4. Furnish the other party with a copy of the memo of appeal (proof of service).
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Where the employer failed to post a bond to perfect its appeal, the remedy of the employee is not a
petition for mandamus by a motion to dismiss appeal.

The intention of the lawmakers is to make the bond an indispensable requisite for the perfection of an
appeal by the employer.

Tardiness of an appeal form the decision of the labor arbiter may be considered as a mere procedural
lapse.

EXECUTION PENDING APPEAL:


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the decision of the labor arbiter ordering the reinstatement of a dismissed or separated employee shall
immediately executory insofar as the reinstatement aspect is concerned and the posting of an appeal
bond by the employer shall not stay such execution. There is no need for the arbiter to issue a writ of
execution on the reinstatement order as it is self-executory (Pioneer Texturizing Case).

OPTIONS OF THE EMPLOYER TO IN COMPLYING


REINSTATEMENT WHICH IS IMMEDIATELY EXECUTORY:

WITH AN ORDER OF

1. He can admit the dismissed employee back to work under the same terms and conditions prevailing
prior to his dismissal or separation or to a substantially equivalent position if the former position is
already filled up.
2. He can reinstate the employee merely in the payroll.
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Failing to exercise any option may be compelled under pain of contempt and the employer may be
made to pay instead the salary of the employee.

A petition for relief from the decision of the labor arbiter must strictly comply with 2
reglementary periods:
1. The petition must be filed within 60 days from knowledge of the judgment; and
2. Within a fixed period of 6 months from entry of such judgment.
- petitions filed beyond said period will no longer be entertained.

APPEAL FROM THE DECISION OF THE NLRC:


-

appeal by certiorari should be filed with the Court of Appeals(St. Martin Funerals Home)

ART 224. EXECUTION OF DECISIONS, ORDER, OR AWARDS


-

The decision of the Secretary of Labor, the Commission, the Bureau or Regional Director the Labor
Arbiter, the Med-Arbiter or the Voluntary Arbitrator shall be final and executory after 10 calendar
days from receipt thereof by the parties.

The foregoing may upon its own initiative or on motion of any interested party, issue a writ of
execution on a judgment within 5 years from the date it becomes final and executory.

The immediate execution of judgment should be undertaken only when the monetary award had been
carefully and accurately determined by the NLRC and only after the employer is given the opportunity
to be heard and to raise objections to the computation.

TITLE III
BUREAU OF LABOR RELATIONS
ART. 226 BUREAU OF LABOR RELATIONS
EXCLUSIVE AND ORIGINAL JURISDICTION OF THE BLR:
1. inter- union conflicts
2. intra- union conflicts
3. all disputes, grievances or problems arising from or affecting labor- management relations in all
workplaces whether agricultural or non- agricultural.

CASES WHERE THE BLR HAS NO JURISDICTION:


-

Those arising from the implementation or interpretation of collective bargaining agreements which shall
be subject of grievance procedure and/or voluntary arbitration.

INTRA- UNION DISPUTES - includes all disputes or grievances arising from any violation of or
disagreement over any provision of the constitution and by-laws of a union.
-

It also includes any violation of the rights and conditions of union membership provided for in the Labor
Code.

INTER- UNION DISPUTES - refers to questions involving or arising out of a representation disputes
between or among the different unions.
-

It also includes all other conflicts which legitimate labor, organizations may have against each other
based on any violation of their rights as labor organizations.

DETERMINATION OF EMPLOYER-EMPLOYEE RELATIONSHIP:


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since the BLR has the original and exclusive jurisdiction to decide inter alia, all disputes, grievances or
problems arising from or affecting labor-management relations in all workplaces. Necessarily, in the
exercise of this jurisdiction over labor-management relations, the Med-Arbiter has the authority, original
and exclusive, to determine the existence of an employer-employee relationship (MY San Biscuits,
Inc. v Laguesma G.R. No. 9511, 22 April 1991).

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