Presidential Decree No. 442, as amended, otherwise known as the Labor Code of the Philippines, is the law governing employers and employees in the private sector. It declares that the State as a matter of policy seeks to promote full employment and afford full protection to labor.
Preliminary TitleThe Preliminary Title of the Labor Code of the Philippines consists of two (2) chapters containing eleven (11) articles. Chapter I contains the General Provisions, including the declaration that it is the policy of the state to afford full protection to labor, promote full employment, ensure equal work opportunities, and assure the rights of workers to self-organization, collective bargaining, security of tenure, and just and humane conditions of work. It also specifically provides that cases of doubt in the implementation and interpretation of the Code and its implementing rules shall be resolved in favor of labor. Chapter II, on the other hand, contains provisions for the emancipation of tenants. Notably, Articles Eight (8) and Nine (9), respectively, provide for the transfer of lands to tenant-farmers and the determination of the value of the land to be transferred.
Book One: Pre-employmentBook One of the Labor Code of the Philippines consists of thirty-one (31) articles and contains the provisions on Pre-Employment. Article 12, which contains the primary objectives of the Labor Code, declares that it is the policy of the State to promote full employment and to afford full protection to labor. The provisions of Title I govern the recruitment and placement of workers, while the provisions of Title II govern the employment of non-resident aliens
Book Two: Human Resources Development ProgramBook Two of the Labor Code of the Philippines consists of thirty-nine (39) articles, and provides for the creation of a Human Resources Development Program. Title I contains provisions creating the National Manpower and Youth Council, which is tasked with the formulation of a long-term national manpower plan and the establishment of a National Manpower Skills Center as well as industry boards. The provisions of Title II, on the other hand, cover three (3) types of special workers: apprentices, learners and handicapped workers. These special workers are substantially different from one another, and the qualifications and conditions of employment are different for each type of worker. However, all these types of special workers are entitled to not less than seventy five percent (75)% of the required minimum wage.
Book Three: Conditions of EmploymentBook Three of the Labor Code of the Philippines consists of seventy-four (74) articles and contains the provisions on conditions of employment. More particularly, it sets the minimum terms and conditions of employment as applied to different kinds of employees. All covered employers and employees should follow these terms and conditions; however, they are not prohibited to enter into agreements for additional benefits as long as the benefits agreed upon are not below the minimum provided in the Labor Code. The provisions of Title I of this book governs working conditions, rest periods and worker benefits, including holiday pay, service incentive leaves and service charges. On the other hand, Title II of this book contains the provisions on wages and defines wage distortion, while Title III contains specific provisions for the protection of the rights of women workers, minors, househelpers, and homeworkers.
Book Four: Health, Safety and Social Welfare BenefitsBook Four of the Labor Code of the Philippines consists of four (4) titles containing fifty-five (55) articles on health, safety and social welfare benefits. Title I contains the provisions on medical, dental and occupational safety, while Title II provides for the creation of the Employees? Compensation and State Insurance Fund to ensure that employees and their dependents may promptly secure adequate income and medical related benefits in case of death or work-related disability.
Book Five: Labor RelationsBook Five of the Labor Code of the Philippines consists of sixty-seven (67) articles on Labor Relations. Title I contains the declaration of policies and definitions of terms, including the terms "employer", "employee", "labor organization", "labor dispute", "managerial employee", "strike" and "lock-out". Title II, on the other hand, provides for the creation and composition of the National Labor Relations Commission, and its powers, duties, proceedings and jurisdiction, as well as that of the Labor Arbiters, while Title III defines the jurisdiction of the Bureau of Labor Relations.
Book Six: Post EmploymentBook Six of the Labor Code of the Philippines consists of two (2) titles containing ten (10) articles and contains the provisions on Post Employment. The provisions of Title I govern termination from employment and distinguish between regular, casual and probationary employment. Title II, on the other hand, governs retirement from service of employees.
Book Seven: Transitory and Final ProvisionsBook Seven of the Labor Code of the Philippines consists of fifteen (15) articles containing the transitory and final provisions. Title I contains the penal provisions and liabilities, which specifically provide for penalties for the violations of the Labor Code. Title II governs the prescription of offenses and claims, while Title III contains the transitory provisions, separability clause and repealing clause.
