Labor relations imprisonment not exceeding one (1) day, or both if it be Such hearing shall be held after due
f it be Such hearing shall be held after due and personal notice
NATIONAL LABOR RELATIONS COMMISSION
Art. 225. Powers of the Commission
The commission shall have the power and authority:
(a) To promulgate rule and regulations governing the
hearing and disposition of cases before it and its
regional branches, as well as those pertaining to its
internal functions and such rules and regulations as may
be necessary to carry out the purposes of this code;
(b) To administer oaths, summon the parties to a
controversy, issue subpoenas requiring the attendance
and testimony of witnesses or the production of such
books, paper, contracts, records, statement of accounts,
agreements, and others as may be material to a just
determination of the matter under investigation, and to
testify in any investigation or hearing conducted in
pursuance of this Code;
(c) To conduct investigation for the determination of a
question, matter or controversy within its jurisdiction,
proceed to hear and determine the disputes in the
absence of any party thereto who has been summoned
or served with notice to appear, conduct its proceedings
or any part thereof in public or in private, adjourn its
hearings to any time and place, refer technical matters
or accounts to an expert and to accept his report as
evidence after hearing of the parties upon due notice,
direct parties to be joined in or excluded from the
proceedings, correct, amend, or waive any error, defect
or irregularity whether in substance or in form, give all
such direction as it may deem necessary or expedient in
the determination of the dispute before it, and dismiss
any matter or refrain from further hearing or from
determining the dispute or part thereof, where it is
trivial or where further proceedings by the Commission
are not necessary or desirable; and
(d) To hold any person in contempt directly or indirectly
and impose appropriate penalties therefor in
accordance with law. A person guilty of misbehavior in
the presence of or so near the Chairman or any member
of the Commission or any Labor Arbiter as to obstruct or
interrupt the proceedings before the same, including
disrespect toward said officials, offensive personalities
toward others, or refusal to be sworn or to answer as a
witness or to subscribe an affidavit or deposition when
lawfully required to do so, may be summarily adjudged
in direct contempt by said officials and punished by fine
not exceeding five hundred pesos (P500) or
imprisonment not exceeding five (5) days, or both if it
be the Commission, or a member thereof, or by a fine
not exceeding one hundred pesos (P100) or
The chairman, any Commissioner, labor
a Labor Arbiter. The person adjudged in direct contempt
by a Labor Arbiter may appeal to the Commission and
the execution of the judgment shall be suspended
pending the resolution of the appeal upon the filing of
such person of a bond on condition that he will abide by
and perform the judgment of the Commission should
the appeal be decided against him. Judgment of the
Commission on direct contempt is immediately
executory and unappealable. Indirect contempt shall be
dealt with by the Commission or Labor Arbiter in the
manner prescribed under Rule 71 of the Revised Rules
of Court; and
(e) To enjoin or restrain any actual or threatened
commission of any or all prohibited or unlawful acts or
to require the performance of a particular act in any
labor dispute which, if not restrained or performed
forthwith, may cause grave or irreparable damage to
any party or render ineffectual any decision in favor of
such party: Provided, that no temporary or permanent
injunction in any case involving or growing out of a labor
dispute as defined in this code shall be issued except
after hearing the testimony of witnesses, with
opportunity for cross-examination, in support of the
allegations of a complaint made under oath, and
testimony in opposition thereto, if offered, and only
after a finding a fact by the Commission, to the effect:
1) That prohibited or unlawful acts have been
threatened and will be committed unless restrained, or
have been 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 person or
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;
2) That substantial and irreparable injury to complaint’s
property will follow;
3) That as to each item of relief to be granted, greater
injury will be inflicted upon complainant by the denial of
relief than will be inflicted upon defendants by the
granting relief;
4) That complainant has no adequate remedy at law;
and
5) That the public officers charged with the duty to
protect complainant’s property are unable or unwilling
to furnish adequate protection.
thereof has been served, in such manner as the
Commission shall direct, to all known persons against
whom relief is sought, and also to the Chief Executive
and other public officials of the province or city within
which the unlawful acts have been threatened or
committed charged with the duty to protect
complainant’s property: Provided, however, that if a
complainant shall also allege that, unless a temporary
restraining order shall be issued without notice, a
substantial and irreparable injury to complainant’s
property will be unavoidable, such a temporary
restraining order may be issued upon testimony under
oath, sufficient, if sustained, to justify the Commission in
issuing a temporary injunction upon hearing after
notice. Such a temporary restraining order shall be
effective for no longer than twenty (20) days and shall
become void at the expiration of said twenty (20) days.
No such temporary restraining order or temporary
injunction shall be issued except on condition that
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,
expense or damage caused by the improvident or
erroneous issuance of such order or injunction,
including all reasonable costs, together with a
reasonable attorney’s fee, and expense of defense
against the order or against the granting of any
injunctive relief sought in the same proceeding and
subsequently denied by the Commission.
The undertaking herein mentioned shall be
understood to constitute an agreement entered into by
the complainant and the surety upon which an order
may be rendered in the same suit or proceeding against
said complainant and surety, upon a hearing to assess
damages, of which hearing complainant and surety shall
have reasonable notice, the said complainant and surety
submitting themselves to the jurisdiction of the
commission for that purpose. But nothing herein
contained shall deprive any party having a claim or
cause of action under or upon such undertaking from
electing to pursue his ordinary remedy by suit at law or
in equity: provided further, that the reception of
evidence for the application of a writ of injunction may
be delegated by the commission to any of its labor
arbiters who shall conduct such hearings in such places
as he may determine to be accessible to the parties and
their witnesses and shall submit thereafter his
recommendation to the commission.
Art. 226 Ocular Inspection
arbiter or their duly authorized representative, may at
any time during working hours, conduct an ocular
inspection on any establishment, building, ship or
vessel, place or premises, including any work, material,
implement, machinery, appliance or any object therein,
and ask any employee laborer or any person as the case
may be for any information or data concerning any
matter or question relative to the object of the
investigation.
Notes:
1. Rule-making Power
•Promulgate rules and regulations:
•Governing the hearing and disposition of
cases before it and its regional branches
•Pertaining to its internal functions
•Those that may be necessary to carry out
the purposes of this Code
2.Power to Issue Compulsory Processes
•Administer oaths
•Summon parties
•Issue subpoenas ad testificandum and
duces tecum
3. Power to Investigate and Hear Disputes within its
Jurisdiction
•Conduct investigations for the
determination of a question, matter or
controversy within its jurisdiction
•Proceed to hear and determine the
disputes
4.Contempt Power
5.Power to Conduct Ocular Inspection
6.Injunctive Power
 
POWERS AND DUTIES
Again!
Art. 224. Jurisdiction of the 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 thirty (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 the employer-employee
relations;
5. Cases arising from any violation of Article 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 five thousand
pesos (P5,000.00) regardless of whether accompanied
with a claim for reinstatement.
b. The Commission shall have exclusive appellate
jurisdiction over all cases decided by Labor Arbiters.
c. Cases arising from the interpretation or
implementation of collective bargaining agreements 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 as may be provided
in said agreements.
In ULP:
- NLRC has no jurisdiction (LA has)
- Except when the ULP involves national interest where
it will be decided by the Commission seated by the
appropriate division
- Final and executory 10 days from the receipt of the
decision by the parties
- Appealable to the CA thru Rule 65
Original Jurisdiction of NLRC
1.Certified cases for compulsory arbitration (ULP
involving national interest)
-Jurisdiction is to the secretary of labor, this pertains to
the national interest cases assumed by the sec. of labor
and certified to the NLRC for compulsory arbitration
-All cases between the parties that are already filed and
may be filed shall be considered subsumed or absorbed
by the certified case and shall be decided by the
commission setting in appropriate division
2. Issuance of TRO and/or injunction
- BUT the issuance of restraining orders and injunctions
are frowned upon. Injunctions in labor dispute are not
favored. It should be issued only after a strict and
rigorous compliance with the statutory requirements.
These can only be issued formerly under Article 218 and
formerly under Article 264. Injunction in labor dispute
cannot be issued ex parte.
- The authority of the NLRC to issue injunction is
conditioned upon the existence of a Labor Dispute.
Without a labor dispute the authority to issue injunction
belongs to the regular courts.
What is a labor dispute?
Labor Dispute includes any controversy in matters
concerning terms and conditions of employment for the
association and representation of person in negotiating,
fixing, maintaining, changing or arranging the terms and
conditions of employment, regardless of whether the
disputant stands in the proximate relation of an
employer- employee.
A labor dispute can exist even if the
disputant do not stand in the proximate relation of an
employer and employee, thus, there not need a direct
employment relationship between the parties. An
indirect interest is enough to bring the matter within the
purview of the term labor dispute.
Illustrative Cases:
Philippines Airlines Inc v NLRC
The Ruling:
It is an essential requirement that there
must be a labor dispute between the contending
parties before the Labor Arbiter. In the present case,
there is no labor dispute between the employer and
the private respondents who are the dismissed
employees as there has yet been no complaint for the
illegal dismissal filed to the Labor Arbiter by the private
respondent against the petitioner.
Trade Union of the Philippines Allied Services vs. Jose
Coscolluela
The Ruling:
At this stage, there appears to be no labor
dispute between the petitioner and private
respondents for which reason the latter was justified in
seeking relief in respondent charge court. The unfair
labor complaint filed by the petitioner union does not
prove a labor relationship by the same token it was
improper for the private respondent to have filed the
case no. 9 with the NLRC.
Phil Association of Free Labor Union vs. Salas
The Ruling:
From the foregoing, it is clear that the
jurisdiction of the court of industrial relations can be
invoke only when there’s a dispute arising between or
affecting employees and employer or when an
employment relationship exist between the parties.
There being no labor dispute between the petitioner
and the private respondent the court of first instance
has the jurisdiction to issue the injunctive relief sought
by the private respondent in civil case no. 1460, the
latter case can proceed independently, of the pending
the case to the court of industrial relation.
Rustans Supervisory Union v Dalisay
The Ruling:
It has long been settled that where acts
complained of by the company are directly interwoven
with the unfair labor practice charge against it by the
union, the main case does not come under the
jurisdiction of the RTC, even if it involves violence,
intimidation and coercion as averred in the complaint,
as in this case, for the industrial court’s jurisdiction is
exclusive. If the purpose of the action is to obtain some
injunctive relief against certain acts of the union
members, the same can be obtained from the
industrial court which is given ample powers to act
thereon.
Procedural Requirement in the Issuance of injunction:
1) There must have been a verified petition alleging acts
which if not restrained or performed forthwith may
cause grave or irreparable damage to any party or
render ineffectual any decision in favor of such party.
2) There must be a personal notice served to all persons
against to whom the relief is sought including the chief
executive and other public official who are charged with
the duty to protect complainant’s property with the
province or city within which unlawful acts may be
threatened or committed.
Take note of these procedural requirements because
they are not available on Injunction under Rule 58 of the
Rules of Court. This is available only in labor cases.
*Personal notice must be served to public officials
charged with the duty to protect complainants property
in the province or city within which the unlawful acts
has been threatened or committed because if the public
official charged with the duty to protect complainants
property can perform his duties, the injunction will not
be issued because injunction or TRO is not favored in
labor cases.
3)Hearing wherein the testimonies and witnesses for
both parties shall be taken with opportunity for cross
examination.
Substantive requirement:
A temporary or permanent injunction in the
labor dispute shall be issued only after a factual finding
by the NLRC that
1.Prohibited or unlawful acts have been threatened or
may be committed and will be continued unless
restrained and substantial and irreparable injury to
complainant’s property will follow. Greater injury will be
inflicted to the complainant by denial of relief than by
granting the relief and the complainant has no adequate
remedy at law and the public officer charged with the
duty to protect complainants property are unable or
unwilling to furnished adequate protection. The
reception of evidence may be delegated to the Labor
Arbiter and the Labor Arbiter shall thereafter submit his
report or recommendation to the Commission within 15
days from such delegation. Injunction or TRO can only
be issued against person, association or organization
making the threat or committing the prohibited or
unlawful act or actually authorizing or ratifying the same
after actual knowledge thereof.
Injunction will not lie to restrain an
employer from conducting a disciplinary proceeding
against an erring employee. In the very nature of things,
investigation and imposition of disciplinary action
against the erring employees is a function that solely
and exclusively belongs to an employer. Such
investigation cannot be parted or nullified by arguing
that the employer is the accuser, prosecutor and judge
at the same time.
Requirements in Issuing Injunction:
a. A hearing held “after due and personal notice thereof
has been served, in such manner as the Commission
shall direct, to all known persons against whom relief is
sought, and also to the Chief Executive and other public
officials of the province or city within which the unlawful
acts have been threatened or committed with the duty
to protect complainant’s property”.
b. Reception at the hearing of testimony of witnesses,
with opportunity for cross-examination.
c. A finding of fact by the Commission, to the effect:
1.That prohibited or unlawful acts have been threatened
and will be committed and will be continued unless
restrained, but no injunction or TRO shall be issued on
account of any threat, prohibited or unlawful act, except
against the person, or 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.
2. That substantial and irreparable injury to
complainant’s property will follow.
3. That as to each item of relief to be granted, greater
injury will be inflicted upon complainant by the denial of
relief than will be inflicted upon the defendants by the
granting of relief.
4. That complainant has no adequate remedy at law.
5.That the public officers charged with the duty to
protect complainant’s property are unable or unwilling
to furnish adequate protection.
Conditions for Issuance Ex Parte a Temporary
Restraining Order
General Rule: It cannot be issued ex parte
Exception: A TRO which is valid for 20 days may be
issued ex parte under certain conditions:
1. The complainant shall also allege that, unless a TRO
shall be issued without notice, a substantial and
irreparable injury to complainant’s property will be
unavoidable
2. There is testimony under oath, sufficient if sustained,
to justify the Commission in issuing a TRO 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, expense or damage caused by the improvident
or erroneous issuance of such order or injunction,
including all reasonable costs, together with a
reasonable attorney’s fee, and expense of defense
against the order or against the granting of any
injunctive relief sought in the same proceeding and
subsequently denied by the Commission.
4. The TRO shall be effective for no longer 20 days and
shall become void at the expiration of said 20 days.
The issuance should be characterized by care and
caution and should be justified by considerations of
extreme necessity when it would cause substantial or
irreparable injury.
An injury is considered irreparable when it cannot be
adequately compensated in damages due to the nature
of the injury itself or the nature of the right or property
injured or when there exist no certain pecuniary
standard for the measurement of damages.
In the issuance of a TRO or injunction there
is a necessity to post a cash bond of P50, 000 or such
higher amount that may be determined by the
Commission. The purpose of the bond is to recompense
those enjoined for any loss, expense or damage caused
by the improvident or erroneous issuance of such order
or injunction.
In the issuance of TRO or injunction, there is a need of
prior resort to the local authorities whose duty is to
keep the peace and have either advised that they could
not or would not keep it, or advising that they could and
would have failed through inability or unwillingness to
do so.
For this reason, these public officers should be served
the notice of hearing of the application for injunction.
When Is an Injury Considered Irreparable?
• If it is of such constant and frequent recurrence that
no fair and reasonable redress can be had therefor in a
court of law or where there is no standard by which
their amount can be measured with reasonable
accuracy, that is, it is not susceptible of mathematical
computation.
• When it cannot be adequately compensated in
damages due to the nature of the injury itself or the
nature of the right or property injured or where there
exists no certain pecuniary standard for the
measurement of damages.
Appellate Jurisdiction of the NLRC
1. Decision of the Regional Director and authorized
hearing officer of the DOLE Regional Office on small
money claims which is not exceeding P5,000 and the
complaints does not include a claim for reinstatement.
Question:
Is it necessary to file a motion of
reconsideration before the DOLE Regional Office before
an aggrieved party can file an appeal before the NLRC?
Answer:
No motion for reconsideration is required.
Question:
When to appeal the decision of DOLE
Regional Office to the NLRC?
Answer:
The appeal must be made within 5 calendar
days with cash or surety bond equivalent to the
monetary award. This pertains to the decision of the
Regional Director on small money claims which is not
exceeding P5, 000 under Article 129 of the Labor Code
and the complaint does not include a claim of
reinstatement.
No Motion for Reconsideration is required.
2. Decision of the Labor Arbiter in cases under its
original jurisdiction
Appeal should be filed within 10 calendar
days from receipt of the decision any order by the
counsel or representative of the record.
No need to file a Motion of Reconsideration
for the decision of the Labor Arbiter, such will be
considered an appeal which would not comply with the
requirement of an appeal. The case will be dismissed
and the decision will be final and executory.
The proper remedy from the adverse decision of the
Labor Arbiter is an appeal.
Illustrative Case:
Benguet Electric Cooperative v NLRC
This case pertains to the filing of an appeal which was
made through a private carrier instead of the
Philippine Post Office.
The court ruled that the respondent board’s contention
runs counter to the established rule that transmission
to a private carrier is not a recognized mode of filing
pleadings. The establish rule is that the date of delivery
of pleadings to a private letter forwarder agency is not
to be considered as the date of the filing thereof in
court. In such cases, the date of actual receipt of the
court and not the date of delivery to the private carrier
is deemed the date of the filing of the pleading.
Unlike when it is made through the Postal Office, the
date which appears to the envelope is the date to
which it is considered received by the court.
The 10 day reglementary period to perfect an appeal is
mandatory and jurisdictional in nature. Failure to file
an appeal within the reglementary period renders the
assailed decision final and executory and no longer
subject to review.
No motion to extend the period is allowed.
The rule that technical Rules and Procedures are not
binding in labor cases cannot justified the filing beyond
the reglementary period to perfect an appeal, because
such is Mandatory.
Grounds for Appeal: (Asked in the 2012 Bar Exam in the
form of MCQ)
1. Prima facie evidence of abuse of discretion on the
part of the LA or Regional Director
2. If the decision, resolution or order is secured through
fraud or coercion, including graft and corruption
3. If made purely on questions of law
4. If serious errors on the findings of facts are raised
which, if not corrected, would cause grave or irreparable
damage or injury to the appellant
Nature of Appeal (LANLRC):
Memorandum of Appeal, which contains the
grounds, arguments in support thereof, as well as the
reliefs prayed for; as compared to a mere Notice of
Appeal- just a mere notice that you are appealing, and it
will not stop the running of the period.
Memorandum of Appeal is filed usually in
Special Proceeding cases and decisions of the Labor
Arbiter.
Requirements for Perfecting an Appeal
1. Appeal Fee
2. Payment of Appeal Bond
- Involving monetary award; an appeal by the employer
may be perfected only upon the posting of a bond,
which shall either be in a form of cash deposit or surety
bond equivalent in amount to the monetary award,
EXCLUSIVE of damages and attorney’s fees.
Appeal bond is intended to discouraged employers from
using the appeal to delay or evade their obligation to
satisfy employee’s lawful case and also to assure
employees that in case they will prevail in the case they
will received the money judgment in their favor.
Appeal Bond is NOT Required in the following:
1. No monetary award
2. When it is the employee who appeals the judgment 3.
If it only involves questions of damages and attorney’s
fees, even granting that it is the employer who appeals
4. If it does not state the amount of the monetary award
Reduction of Bond
• No motion to reduce bond shall be entertained except
on meritorious grounds, and only upon the posting of a
bond in a reasonable amount in relation to the
monetary award. Must be filed within the reglementary
period to appeal.
• What is reasonable amount? At least equivalent to
10% of the monetary award that is subject of the
appeal.
• The NLRC retains the authority and duty to determine
how much is the final amount of the bond.
• Real property bond is substantial compliance thereof
(UERM Medical Center vs. NLRC)
• In one case, the employer submitted a passbook with
a deed of assignment to post a bond. The court ruled
that such was not a valid compliance of the required
appeal bond. It should be in the form of Cash and Surety
Bond. (Mindanao Times Corp. vs. Confesor)
Issues on Appeal
• In cases of perfected appeals, it shall limit itself to
reviewing and deciding those specific issues which are
raised on appeal. Those which are not raised on appeal
shall be final and executory.
• Party who failed to appeal from a decision of the Labor
Arbiter to the NLRC can still participate in a separate
appeal timely filed by the adverse party by the motion
for reconsideration of the decision of NLRC in an appeal.
Ex. A v B. Only B who filed an appeal to the NLRC. If the
decision of the NLRC becomes adverse to A, who did not
file an appeal. He can still file a motion for
reconsideration before the NLRC.
• Motion for Reconsideration is NOT a prohibited
pleading in the NLRC
• Motion for Reconsideration is a prohibited pleading in
the Labor Arbiter and to the Regional Director.
• In the case of Unilever v Rivera, the court ruled that an
appellee who is not an appellant may assign errors in his
brief where his purpose is to maintain the judgment but
he cannot seek modification or reversal of the
judgment or claim an affirmative relief unless he has
also appealed.
Technical Rules Not Binding
 The rules of procedure and evidence prevailing in
courts of law and equity shall not be controlling and the
Commission shall use every and all reasonable means to
ascertain the facts in each case speedily and objectively
without regard to technicalities of law or procedure, all
in the interest of due process.
Illustrative Case:
Anabe vs Asian Construction
This case pertains to an employee who was
dismissed on the ground of retrenchment. An
employer may be justified to dismiss an employee on
the ground of retrenchment only if they can prove that
they have suffered substantial losses. In the case, the
audited financial statement of the employer was
submitted only when the case was already elevated to
the NLRC on appeal. Such books and audited financial
statement was not presented to the Labor Arbiter.
Issue:
Can the NLRC consider such evidence, the
audited financial statement?
Ruling:
The NLRC is not precluded from receiving
evidence on appeal even though they were not
presented in the LA; technical rules in evidence are not
binding in labor cases, however, the delay of the
submission must be clearly explained and adequately
proved the employers allegation of the cause of
termination. In the case at bar, Asian Construction did
not offer explanation behind the belated submission.
BAR QUESTIONS: (set 2 no. 21)
 The affected members of the rank and file elevated a
Labor Arbiter’s decision to the NLRC by a petition for
review after the lapse of 10 day reglementary period for
perfecting an appeal. Should the NLRC dismiss the
petition outright or may the NLRC take cognizance
thereof?
Answer:
The 10 day reglementary period of the NLRC
is mandatory and jurisdictional. If it is filed beyond the
period, the appeal can no longer be entertained and the
decision of the Labor Arbiter is already final and
executory.
Take Note of the difference between the submission of
appeal to the Private Courier and the Post Office.
BAR QUESTIONS: (set 2 no. 22)
 “A” was able to obtain a judgment against his former
employer company B for P750,000.00. In executing the
judgment in favor of A, the labor arbiter sought to levy
on B’s office equipment. B filed an action for damages
and injunction against the labor arbiter before the
regional trial court of the province where B’s offices are
located. Is B’s action tenable? Why?
Answer:
B’s action is not tenable. The regular courts
have no jurisdiction to act on labor cases or various
incidents arising therefrom including the execution of
decisions, awards and orders.
Alternative Answer:
B’s action before the RTC is tenable, if the
said action is limited only to the filing of damage suit
against the Labor Arbiter for the reason that there exist
no employer-employee relationship between B and the
Labor Arbiter and there is no labor dispute between
them.
BAR QUESTIONS: (set 2 no. 23)
 Some disgruntled members of Bantay Labor Union
filed with the Regional Office of the DOLE, a written
complaint against their union officers for
mismanagement of the union funds. The Regional
Director did not rule in the complainants favor. Not
satisfied, the complainants elevated the Regional
Director’s decision to the NLRC. The union officers
moved to dismiss on the ground of lack of jurisdiction.
Are the union officers correct? Why?
Answer:
Yes, the NLRC has no jurisdiction for such is
not one of the cases under the appellate jurisdiction of
the NLRC. (This is a case involving inter-intra union
dispute)
BAR QUESTIONS: (set 2 no. 24)
 Company A within the reglementary period appealed
the decision of a labor arbiter directing the
reinstatement of an employee and awarding back
wages. However, A’s cash bond was filed beyond the ten
day period. Should the NLRC entertain the appeal?
Why?
Answer:
The NLRC cannot entertain the appeal
because the posting of cash bond is necessary to perfect
an appeal and it must be posted within the 10 day
reglementary period to perfect an appeal.
BAR QUESTIONS: (set 2 no. 25)
 The Labor Arbiter dismissed the complaint for illegal
dismissal filed by Genevieve Cruz against Bulag Optical
Inc. (BOI) which denied her prayer for reinstatement but
awarded financial assistance in her favor. BOI appealed
the decision of the labor arbiter to the NLRC within the
reglementary period. Genevieve filed an opposition to
the appeal. The NLRC affirmed in toto the decision of
the labor arbiter. Both the BOI and Genevieve are not
satisfied with the decision of the NLRC.
1) What is the remedy if any of BOI and before what
forum? Explain briefly.
2) Can Genevieve Cruz avail herself of the same remedy
as that of BOI? Why?
Discussion:
After filing the case to the NLRC, the next
remedy for the parties not satisfied with the judgment is
a Special Civil Action of certiorari before the Court of
Appeals but a motion for reconsideration is necessary. A
motion for reconsideration must be filed first to the
NLRC. Before Rule 65 can be availed, the party must first
file a motion for reconsideration of the decision of the
NLRC.
(Again: A motion for reconsideration is not available in
the Labor Arbiter’s decision)
Answer:
BOI can file a motion for reconsideration to
the NLRC within the 10 day reglementary period from
receipt of the decision. If the NLRC deny the motion for
reconsideration, the BOI can file a petition for certiorari
with the Court of Appeals under Rule 65 of the Rules of
Court.
Genevieve can also avail the same remedy exercised by
the BOI.
BAR QUESTIONS: (set 2 no. 26)
 The RTC issued an injunction prohibiting the picketing
by the employee of the company who were either
dismissed or resigned, it ruled that no labor dispute
existed between the parties since at the time of the
strike, the employees had not even filed a complaint for
unfair labor practice and mere filing of a notice of strike
does not mean that there exist a labor dispute and there
was no CBA between the parties
Answer:
A labor dispute can exist although acts of
ULP have not yet been established. The concerted
actions taken by the strikers, no matters how illegal, are
acts arising from a labor dispute.
3. Claim for Reinstatement
(a) Reinstatement order issued by the Labor Arbiter – it
is allowed when the decision of the LA states that the
dismissal of the employee is illegal and without
authority and just cause. They are immediately
executory and self- executory, thus, the aggrieved party
need not file a motion for writ of execution.
(b) Reinstatement order issued by the NLRC-
immediately executory, but not self-executory, thus, the
aggrieved party needs to file a motion for the issuance
of the writ of execution.
Kinds of Reinstatement:
1. Physical- the employee is admitted back to work
under the same terms and conditions prevailing prior to
the illegal dismissal or separation or at the option of the
employer merely reinstated in the payroll.
2. Payroll- is only up to the option of the employer. The
employee is paid, but does not need to report to work.
Example:
 Where there is already strained relationship.
 An employee was dismissed on the ground of abuse of
trust of confidence.
• Cashier sa Metro nangawat, however the employer
failed to prove the allegation to the Labor Arbiter which
ordered reinstatement.
*the employer has the option to choose whether
physical or payroll reinstatement
Examples: ( meaning: appealed to)
a. LA (employer is obliged to pay the salary within this
period because reinstatement here is self-executory)
NLRC(reversed)CA
b. LA (dismissal is legal) NLRC (reversed; became illegal
dismissal) (from the NLRC to the CA, the employer is
not obliged to pay the employee’s salary if the latter did
not file for the issuance of the writ of execution because
in this stage, the reinstatement is not self-executory, it is
only immediately executory)  CA (from CA to SC: Rule
45, within 15 days: only questions of law may be raised)
SC
Note:
- NLRC’s decision becomes final after 10 calendar days
from the receipt of the decision, thus, after it becomes
final, you can already file a motion for writ of execution
to implement the decision of the NLRC
- If you appeal from the NLRC to the CA: Special Civil
Action, Rule 65 Petition for Review; no appeal bond
needed for the filing of this petition; however, if you
wish to stop the implementation of the execution of the
NLRC’s judgment, the proper remedy is to file a TRO
before the CA, and not through Rule 65
- On another footing, if you wish to appeal the decision
of the Voluntary Arbitrator to the CA, the proper
remedy is Rule 43
- Case: Elizabeth Gagui vs Simeon Dejero GR No. 196036,
Oct. 13, 2013: the fresh period rule shall also apply to
Rules 40 (decision of first level courts), 41(neypes case),
42 (petition for review), 43 (decision of quasi-judicial
bodies) and 45
- In Rule 45 only questions of law are entertained.
- If the LA and NLRC has the same findings of facts, the
SC will no longer touch on the factual issues, only
questions of law will be resolved.
- If there is refusal to comply with the writ of
execution, the proper remedy is to cite the employer in
contempt despite several writ of execution issued by
the Labor Arbiter. If there is no compliance in the writ
of execution, the remedy is not to grant additional
back wages, continuing back wages up to
reinstatement. The remedy is to file a motion to cite
the employer in contempt. The back wages includes
only the finality of the decision, once the decision
becomes final and executory, the party may now file
for the issuance a writ of execution. (Christian
Literature Crusade vs. NLRC)
- NLRC 2011 Rules of Procedure, Rule VI, Sec.4 (d):
Subject to the provisions of Article 218 of the Labor
Code, once the appeal is perfected in accordance with
these Rules, the Commission shall limit itself to
reviewing and deciding only the specific issues that were
elevated on appeal.
- The NLRC will no longer touch on issues not raised on
appeal, their power is only limited on reviewing and
deciding specific issues that where elevated on appeal.
(Asked in the 2012 Bar Exam)
- Under NLRC 2011 Rule of Procedure, The Commission
can entertain questions or the intervention of the third
party claims in the writ of execution.
BAR QUESTIONS:
Discuss briefly the instances where non-compliance by
the employer with the Reinstatement Order of an
illegally dismissed employee is allowed.
Answer:
Reinstatement Order pertains only to
physical reinstatement. There is no exemption for the
employer, not to comply with the reinstatement order,
such is mandatory. Physical reinstatement need not be
complied with and in lieu thereof, payroll reinstatement
may be taken when there is already a strained
relationship, bona fide closure of business, valid
abolition of position, health and/or aged reason, when
the separation pay may be given or when payroll
reinstatement may be allowed.
BAR QUESTIONS: (set 2 no. 27)
 May a decision of the Labor Arbiter which becomes
final and executory be novated through a compromise
agreement of the parties?
Answer:
Yes, compromise agreement is encouraged
and authorized by law. It can even be made even if the
judgment becomes final and executory.
BAR QUESTIONS: (set 2 no. 28)
 Procedurally, how do you stay a decision, award or
order of the labor arbiter?
Answer:
By filing an appeal within 10 calendar days
from the receipt of the decision. But you cannot stay the
reinstatement decision of the Labor Arbiter. TRO must
be filed in order for the decision or the implementation
of the LA can be stopped.
BAR QUESTIONS: (set 2 no. 29)
 Alexander, a Security Guard of Jaguar Security Agency
could not be given any assignment because no client
would accept him. He had a face only a mother could
love. After six (6) months of being on “floating” status,
Alexander sued JSA for constructive dismissal. The labor
arbiter upheld Alexander’s claim of constructive
dismissal and ordered JSA to immediately reinstate
Alexander. JSA appealed the decision to the NLRC.
Alexander sought immediate enforcement of the
reinstatement order while the appeal was pending. JSA
hires you as lawyer, and seeks your advice on the
following:
(a) Because JSA has no client who would accept
Alexander, can it still be compelled to reinstate him
pending appeal even if it has posted an appeal bond?
(b) Can the order of reinstatement be immediately
enforced in the absence of a motion for the issuance of
a writ of execution?
(c) If the order of reinstatement is being enforced, what
should JSA do in order to prevent reinstatement?
Answer:
Yes, because reinstatement order of the
Labor Arbiter is not only immediately executory but also
self- executory. There is no way for a reinstatement
order to be prevented. Only physical reinstatement can
be stopped. Since there is no company or client that will
accept Alexander, the company may opt for payroll
reinstatement.
BAR QUESTIONS: (set 2 no. 30)
 Company A and Union B could not resolve their
negotiations for a new CBA. After conciliation
proceedings before the NCMB proved futile, B went on
strike. Violence during the strike prompted A to file
charges against striker-members of B for their illegal
acts. The secretary of labor assumed jurisdiction,
referred the strike to the NLRC and issued a return-to-
work order. The NLRC directed the parties to submit
their respective position papers. Subsequently, the NLRC
issued an arbitral award resolving the disputed
provisions of the CBA and ordered the dismissal of
certain strikers for having knowingly committed illegal
acts during the strike. The dismissed employees
elevated their dismissal to the Court of Appeals claiming
that they were deprived of their right to due process
and that the affidavits submitted by A were self-serving
and of no probative value. Should the appeal prosper?
State the reason/s for your answer clearly.
Answer:
The dismissed employees are not deprived
of their right to due process, on the reason that
technical procedure are not binding before the NLRC. It
is not necessary that there should be a trial type
hearing. Decisions can be rendered either by the Labor
Arbiter or by the NLRC through affidavits submitted by
the parties.
• Administrative and Quasi-judicial bodies like the NLRC
or any LA:
 Not bound by the technical rules of procedures in the
adjudication of cases. May decide on the basis of papers
or another documents submitted but evidence
presented must be admissible. What is important is that
there was an opportunity to be heard, what the law
prohibits is the absolute lack of opportunity to be heard.
 There is no denial of due process where the employee
was duly represented by the counsel and given sufficient
opportunity to be heard and present his evidence nor to
the employer of his failure to be heard due to various
postponements or his repeated failure to appear during
hearings. A formal or trial type hearing is not at all times
and all circumstances essential to due process. The
requirement of such is satisfied where parties are
afforded fair and reasonable opportunity to explain their
side of the controversy at hand.
Take Note: Although technical rules of procedure are
not controlling before the NLRC or the Labor arbiter,
there are certain conditions that must be strictly
followed:
a. Valid service of summons
b. Period of appeal is complied with which is mandatory
c. Payment of the appeal fee
d. Posting of the appeal bond (again, it must involve a
monetary award and it must be the employer who
appeals the decision!)
Illustrative Case:
RAMOS Case
 Walter Ramos filed a complaint for illegal
dismissal against his former employer, having no lawyer
at that time of the filing of the complaint, he filled up
and signed a standard form prepared by the NLRC
Regional Arbitration Branch. Under the item relief ask,
he wrote separation pay and payment of damages.
Finding him to be illegally dismissed, the LA ruled
reinstatement or separation pay in lieu thereof payment
of back wages and damages.
Can the LA order reinstatement and
payment of back wages even if this were not prayed
for in the complaint?
Yes, The LA can order reinstatement and
payment of back wages, the failure of Ramos to
specifically pray for reinstatement and payment of back
wages in the pro forma complaint is a procedural lapse
which cannot put on to his known right under a
substantive law. Technicalities have no room in labor
cases where the rules of court are applicable only in
order to effectuate the objectives the Labor Code and
not to defeat them.
• Compromise Agreements
It is required that the LA should persuade the parties to
settle amicably and to equally ensure that the
compromised entered into by them
 Must be fair
 Must be freely and voluntary entered into and the
terms and condition have been fully understood by
them.
 Conciliation and mediation are mandatory
 Money claims due to the laborers cannot be the
subject of compromise effected by the union officers or
counsel without specific and individual consent of each
laborer concerned.
•Quitclaims
 General Rule: Even if there’s a quitclaim, this will not
bar the employee from demanding benefits to which
they are legally entitled or from contesting the legality
of their dismissal. His or her acceptance of the benefits
will not amount to estoppel.
 Exception: If the person signing the quitclaim has done
so voluntarily with the full understanding thereof, and if
the consideration of the quitclaim is credible and
reasonable, the transaction must be recognized as a
valid and binding undertaking.
Illustrative Case:
UST vs. Samahang Manggagawa sa UST
Jag and Haggar Jeans Inc vs. NLRC
BAR QUESTIONS: (set 2 no. 31)
 May the NLRC or the Courts take jurisdictional
cognizance over compromise agreements/settlements
involving labor matters?
Answer:
In case of non-compliance of the compromise
agreement, the enforcement of Compromise Agreement
is with the jurisdiction of LA.
BAR QUESTIONS: (set 2 no. 32)
 How sacrosanct are statements/data made at
conciliation proceedings in the department of labor and
employment. What is the philosophy behind your
answer?
Answer:
Statements made in Conciliation Proceedings are
privileged communications that can neither be used as
evidence nor can conciliators testify in any matters
taken up in the proceedings. The philosophy is to
ascertain the truth about the controversy which the
parties may be afraid to divulge if the statements can be
used against them.
BAR QUESTIONS: (set 2 no. 33)
 True or False: Deeds of release, waivers and quitclaims
are always valid and binding
Answer:
False- They are not always valid and binding.
Quitclaim will not bar the employee from demanding
benefits to which they are legally entitled or from
contesting the legality of their dismissal.
Art. 228. Appearances and Fees. (MEMORIZE!)
a. Non-lawyers may appear before the Commission or
any Labor Arbiter only:
1) If they represent themselves; or
2) If they represent their organization or members
thereof.
b. No attorney’s fees, negotiation fees or similar charges
of any kind arising from any collective bargaining
agreement shall be imposed on any individual member
of the contracting union: Provided, However, that
attorney’s fees may be charged against union funds in
an amount to be agreed upon by the parties. Any
contract, agreement or arrangement of any sort to the
contrary shall be null and void.
Notes:
Under the NLRC Rules of Procedure 2011 (Rule III, Sec.
6), a non-lawyer may appear before the Commission or
Labor Arbiter only if:
1) He represents himself as party to the case;
2) He represents a legitimate labor organization, which
is a party to the case: Provided that he represents: (i) a
certification from the BLR or Regional Office of DOLE
attesting that the organization he represents is duly
registered and listed in the roster of legitimate labor
organizations; (ii) a verified certification issued by the
secretary and attested to by the president of the said
organization in the said case; and (iii) a copy of the
resolution of the board of directors of the said
organization granting him such authority;
3) He represents a member or members of a legitimate
labor organization that is existing within the employer’s
establishment, who are parties to the case. Provided
that he presents: (i) a verified certification attesting that
he is authorized by such member or members to
represent them in the case; and (ii) a verified
certification issued by the secretary and attested to by
the president of the said organization stating that the
person or persons he is representing are members of
their organization which is existing in the employer’s
establishment;
4) He is a duly-accredited member of any legal aid office
recognized by the Department of Justice or Integrated
Bar of the Phils. Provided, that he (i) presents proof of
his accreditation; and (ii) represents a party to the case;
5) He is the owner or president of a corporation or
establishment which is a party to the case: Provided,
that he presents: (i) a verified certification attesting that
he is authorized to represent said corporation or
establishment; and (ii) a copy of the resolution of the
board of directors of said corporation, or other similar
resolution or instrument issued by said establishment,
granting him such authority.
The non-lawyer must have an SPA so that
during conciliation and mediation, he will be authorized
to make a proposal or to accept proposal or
compromise.
Thus: Attorney’s fees in cases involving
unlawful withholding of wages or those arising from
collective bargaining negotiations should be charged
against union funds in the amount to be agreed upon by
the parties, and cannot be checked-off without an
individual written authorization duly signed by the
employee.
The same cannot be made through a forced
contribution from the workers own funds.
BAR QUESTIONS: (set 2 no. 34)
 May non-lawyers appear before the NLRC or labor
arbiter? May they charge attorney’s fee for such
appearance provided it is charged against union funds
and in amount freely agreed upon by the parties?
Discuss fully.
Answer:
Yes. Non-lawyers may appear before the
Commission or any Labor Arbiter provided that:
(a) They represent themselves; or
(b) They represent their organization or members
thereof.
However, they cannot charge Attorney’s
fees because the same presupposes the existence of an
Atty-Client Relationship.
BAR QUESTIONS: (set 2 no. 35)
 The union’s by laws provided for burial assistance to
the family of a member who dies. When Carlos, a
member, dies, the union denied his wife’s claim for
burial assistance, compelling her to hire a lawyer to
pursue the claim. Assuming the wife wins the case; may
she also claim attorney’s fees?
a) No, since the legal services rendered has no
connection to CBA negotiation;
b) Yes, since the union should have provided her the
assistance of a lawyer
c) No, since burial assistance is not the equivalent of
wages
d) Yes, since award of attorney’s fee is not limited to
cases of withholding of wages
Who can Issue A Writ of Execution
1. Secretary of Labor and Employment
2. DOLE Regional Director
3. NLRC
4. LA
5. Med-Arbiter
6. Voluntary Arbitrator
7. Panel of Arbitrators
The only officer that cannot issue a writ of
execution are only those authorized hearing officer
under Article 129
- Writ may be issued motu proprio
Rule 39 in the Rules of Court
- The writ must be executed within 5 years from the
time the decision becomes final and executory. The
party must file a motion for issuance for writ of
execution, thus you should file for the execution of the
writ within this period;
- Beyond 5 years but within 10 years, the proper remedy
is to file a petition for the revival of judgment. Pay again
filing fees.
- The NLRC has the authority to look of the correctness
of the decision of the labor arbiter.

BAR QUESTIONS: (set 2 no. 36)

A. How do you execute a labor judgment which, on
appeal, had become final and executory?
B. Cite two instances when an order of execution may
be appealed.
Answer:
A. By filing a motion for the issuance of writ of
execution.
B. Two instances where an order of execution may be
appealed:
1. When execution becomes impossible or unjust, it may
be modified or altered in appeal to harmonize the same
with justice and the facts.
2. Supervening Events may warrant modification in the
execution of judgment. As with reinstatement is no
longer possible because position was abolished or when
the writ is found to be defective or exceeds the awards
or those illegally issued or when there is wrongful
computation of the award.

Contempt Power of the Sec. of Labor

The Sec. of labor can cite any person in contempt who
does not comply the following:
1. Writ of execution
2. Return Court Order
3. An order issued on its inquisitorial power under
Article 37, 128 and 274 of the Labor Code