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ARTICLE XIII Sec. 3 Article 83. Normal hours of work. The normal hours of
work of any employee shall not exceed eight (8) hours a
1)
day.
Section 3. The State shall afford full protection to labor, local
and overseas, organized and unorganized, and promote full Health personnel in cities and municipalities with a
population of at least one million (1,000,000) or in hospitals
employment and equality of employment opportunities for all.
and clinics with a bed capacity of at least one hundred
It shall guarantee the rights of all workers to self-organization, (100) shall hold regular office hours for eight (8) hours a
collective bargaining and negotiations, and peaceful concerted day, for five (5) days a week, exclusive of time for meals,
except where the exigencies of the service require that
activities, including the right to strike in accordance with law.
such personnel work for six (6) days or forty-eight (48)
They shall be entitled to security of tenure, humane conditions hours, in which case, they shall be entitled to an additional
of work, and a living wage. They shall also participate in policy compensation of at least thirty percent (30%) of their
and decision-making processes affecting their rights and regular wage for work on the sixth day. For purposes of
benefits as may be provided by law.cralaw this Article, "health personnel" shall include resident
physicians, nurses, nutritionists, dietitians, pharmacists,
The State shall promote the principle of shared responsibility social workers, laboratory technicians, paramedical
between workers and employers and the preferential use of technicians, psychologists, midwives, attendants and all
voluntary modes in settling disputes, including conciliation, and other hospital or clinic personnel.
shall enforce their mutual compliance therewith to foster
industrial peace. 3)
The State shall regulate the relations between workers and Article 95. Right to service incentive leave.
employers, recognizing the right of labor to its just share in the
fruits of production and the right of enterprises to reasonable Every employee who has rendered at least one year of
service shall be entitled to a yearly service incentive leave
returns to investments, and to expansion and growth.
of five days with pay.
4) In any agricultural undertaking at nighttime unless she is
given a period of rest of not less than nine (9) consecutive
Who are not entitled to SIL hours.
Article 65. Investigation of violation of apprenticeship Article 69. Responsibility for theoretical instruction.
agreement. Upon complaint of any interested person or upon Supplementary theoretical instruction to apprentices in cases
its own initiative, the appropriate agency of the Department of where the program is undertaken in the plant may be done by
Labor and Employment or its authorized representative shall the employer. If the latter is not prepared to assume the
investigate any violation of an apprenticeship agreement responsibility, the same may be delegated to an appropriate
pursuant to such rules and regulations as may be prescribed by government agency.
the Secretary of Labor and Employment.
Article 70. Voluntary organization of apprenticeship programs;
Article 66. Appeal to the Secretary of Labor and Employment. exemptions.
The decision of the authorized agency of the Department of
Labor and Employment may be appealed by any aggrieved The organization of apprenticeship program shall be primarily a
person to the Secretary of Labor and Employment within five voluntary undertaking by employers;
(5) days from receipt of the decision. The decision of the
Secretary of Labor and Employment shall be final and When national security or particular requirements of economic
executory. development so demand, the President of the Philippines may
require compulsory training of apprentices in certain trades,
Article 67. Exhaustion of administrative remedies. No person occupations, jobs or employment levels where shortage of
shall institute any action for the enforcement of any trained manpower is deemed critical as determined by the
apprenticeship agreement or damages for breach of any such Secretary of Labor and Employment. Appropriate rules in this
agreement, unless he has exhausted all available administrative connection shall be promulgated by the Secretary of Labor and
remedies. Employment as the need arises; and
Where services of foreign technicians are utilized by private Article 74. When learners may be hired. Learners may be
companies in apprenticeable trades, said companies are employed when no experienced workers are available, the
required to set up appropriate apprenticeship programs. employment of learners is necessary to prevent curtailment of
employment opportunities, and the employment does not
Article 71. Deductibility of training costs. An additional create unfair competition in terms of labor costs or impair or
deduction from taxable income of one-half (1/2) of the value of lower working standards.
labor training expenses incurred for developing the
productivity and efficiency of apprentices shall be granted to Article 75. Learnership agreement. Any employer desiring to
the person or enterprise organizing an apprenticeship program: employ learners shall enter into a learnership agreement with
Provided, That such program is duly recognized by the them, which agreement shall include:
Department of Labor and Employment: Provided, further, That
such deduction shall not exceed ten (10%) percent of direct The names and addresses of the learners;
labor wage: and Provided, finally, That the person or enterprise
who wishes to avail himself or itself of this incentive should pay The duration of the learnership period, which shall not exceed
his apprentices the minimum wage. three (3) months;
Article 72. Apprentices without compensation. The Secretary of The wages or salary rates of the learners which shall begin at
Labor and Employment may authorize the hiring of apprentices not less than seventy-five percent (75%) of the applicable
without compensation whose training on the job is required by minimum wage; and
the school or training program curriculum or as requisite for
graduation or board examination. A commitment to employ the learners if they so desire, as
regular employees upon completion of the learnership. All
Chapter II learners who have been allowed or suffered to work during the
LEARNERS first two (2) months shall be deemed regular employees if
training is terminated by the employer before the end of the
Article 73. Learners defined. Learners are persons hired as stipulated period through no fault of the learners.
trainees in semi-skilled and other industrial occupations which
are non-apprenticeable and which may be learned through The learnership agreement shall be subject to inspection by the
practical training on the job in a relatively short period of time Secretary of Labor and Employment or his duly authorized
which shall not exceed three (3) months. representative.
Principles in determining hours worked
Article 76. Learners in piecework. Learners employed in piece
The following general principles may be used to determine
or incentive-rate jobs during the training period shall be paid in
full for the work done. whether the time spent by an employee is considered
hours worked or not:
Article 77. Penalty clause. Any violation of this Chapter or its 1. All hours are hours worked which the employee is required
implementing rules and regulations shall be subject to the to give his employer, regardless of whether or not such
general penalty clause provided for in this Code. hours are spent in productive labor or involve physical or
mental exertion.
10) 2. An employee need not leave the premises of the work
COMPENSABLE HOURS OF WORK place in order that his rest period shall not be counted, it
being enough that he stops working, may rest completely
Normal Hours of Work and may leave his work place, to go elsewhere, whether
The normal hours of work under the Labor Code is 8 hours within or outside the premises of his work place.
in one work day. Work day is understood to mean one 24- 3. If the work performed was necessary, or it benefited the
hour cycle which starts from the time the employee is employer, or the employee could not abandon his work at
engaged to work and ends on the same time the following the end of his normal working hours because he had no
day. For example, if the employee is engaged to work from replacement, all time spent for such work shall be
8:00am to 5:00pm, his work day is the 24-hour cycle that considered as hours worked, if the work was with the
starts from 8:00am and ends at 8:00am of the following knowledge of his employer or immediate supervisor.
day. 4. The time during which an employee is inactive by reason
The employer is free to adopt what time in a day the work of interruptions in his work beyond his control shall be
shall start as long as the total number of hours worked will considered working time either if the imminence of the
not exceed 8 hours. If the number of hours worked exceed resumption of work requires the employee’s presence at
8 hours, the employee must be paid overtime pay for the the place of work or if the interval is too brief to be utilized
excess. effectively and gainfully in the employee’s own interest.
Hours worked definition 2. Where the establishment regularly operates not less than
Hours worked refers to all compensable period of work. 16 hours a day;
Hours work includes: 3. In case of actual or impending emergencies or there is
urgent work to be performed on machineries, equipment
1. All the time during which an employee is required to be on
or installations to avoid serious loss; and
duty or to be at a prescribed workplace; and
4. Where the work is necessary to prevent serious loss of
2. All the time during which an employee is suffered or
perishable goods.
permitted to work.
Rest periods
Meal periods
The employer may give their employees rest periods or
The employer must give his employees not less than 60 coffee breaks during working hours in order to beef them
minutes or one hour time-off for their meals. This period up or to make them more productive. Unlike meal periods,
in noncompensable, which means that it is not to be rest periods running from 5 to 20 minutes is compensable
included in the computation of hour’s worked. For as hours worked. Rest period running for more that 20
example, if an employee’s work is from 8:00am to 5:00 with minutes may or may not be compensable depending on
one hour meal break from 12:00nn to 1:00pm, the total the situation. See letter (b) under Principles in determining
compensable hours of the employee is 8 hours, i.e., from hours worked.
8:00am – 12:00nn and 1:00pm – 5:pm. The period from
The giving of rest period, however, is not required under
12:00nn to 1:00pm is noncompensable.
the Labor Code, and is largely a management prerogative.
Shortened meal periods
11)
Under exceptional circumstances, the employer may give Waiting time
the employee a meal period of not less than 20 minutes,
Waiting time spent by an employee shall be considered as
provided that such shorter meal period is credited as
working time if waiting is an integral part of his work or the
compensable hours worked of the employee.
employee is required or engaged by the employer to wait.
Shortened meal period may be allowed under the
On call duty
following cases:
An employee who is required to remain on call in the
1. Where the work is non-manual work in nature or does not
employer’s premises or so close thereto that he cannot use
involve strenuous physical exertion;
the time effectively and gainfully for his own purpose shall
be considered as working while on call. The employee A special day (130% x basic pay)
A special day, which is also a scheduled rest day (150% x
must be required to leave a word where he may be
basic pay)
reached. An employee who is not required to leave word A regular holiday (200% x basic pay)
at his home or with company officials where he may be A regular holiday, which is also a scheduled rest day (260% x
reached is not working while on call. basic pay)
Then, let’s compute for the overtime rate per hour as follows: Overtime rate = Hourly rate + 30% of Hourly rate
= P75.75 + (30% of P75.75)
= P75.75 + 22.725
Overtime rate = hourly rate + 25% of hourly rate = P98.475
= P50.5 + (.25 x 50.5)
=P50.5 + 12.65
=P63.125 per hour On a regular holiday
Computation of overtime rate: Overtime rate = Hourly rate + 30% of Hourly rate
=P 101 + (30% of P101)
=P101 + 30.3
Overtime rate = Hourly rate + 30% of Hourly rate =P131.3 per hour
= P65.65 + (30% of P65.65)
= P65.65 + P19.695
= P85.345 per hour On a rest day which falls on regular holiday
On a rest day which falls on a special day Computation of hourly wage rate:
Hourly rate = 260% of Regular hourly rate
=P50.5 x 2.6 Where the completion or continuation of the work started
=P131.3 per hour before the eighth hour is necessary to prevent serious
obstruction or prejudice to the business or operations of
Computation of overtime rate: the employer.
Overtime rate = Hourly rate + 30% of Hourly rate
=P 131.3 + (30% of P131.3) Any employee required to render overtime work under this
=P131.3 + 39.39 Article shall be paid the additional compensation required
=P170.69 per hour in this Chapter.