Littler Global Guide - Philippines - Q2 2023

Browse through brief employment and labor law updates from around the globe. Contact a Littler attorney for more information or view our global locations.

View all Q2 2023 Global Guide Quarterly updates   Download full Q2 2023 Global Guide Quarterly

New Procedural Rules on Labor Inspections

New Order or Decree

Authors: Emerico O. de Guzman, Of Counsel, and Franchesca Abigail C. Gesmundo, Senior Associate – Angara Abello Concepcion Regala and Cruz Law Office

On April 12, 2023, the Department of Labor and Employment (DOLE) issued the new Rules on the Administration and Enforcement of Labor Standards (Rules), which went into effect on April 29, 2023. The Rules define priority establishments for inspection, such as construction projects and those who may be engaging in hazardous work. The DOLE likewise revise the avenues by which employers may be inspected for compliance with labor standards, namely, a technical advisory visit for micro establishments (employers with less than nine workers), a labor inspection, an occupational health and safety investigation following violations in plain view, imminent danger situations, or cases involving a disabling injury. The Rules revise the process flow for each of these avenues for inspection and provide penalties for refusal of access to DOLE inspectors.

Union Requests for Financial Information for Collective Bargaining Negotiations

New Regulation or Official Guidance

Authors: Emerico O. de Guzman, Of Counsel, and Franchesca Abigail C. Gesmundo, Senior Associate – Angara Abello Concepcion Regala and Cruz Law Office

On March 17, 2023, the National Privacy Commission (NPC) issued Advisory Opinion No. 2023-011 regarding the National Federation of Labor’s (NFL) request for financial information from employers who are either hospitals or educational institutions. The purpose of the request was to assist the NFL, which is a federation of labor unions, in negotiating collective bargaining agreements. However, employers were bargaining with refused access to the information on the grounds of data privacy concerns. While noting that the opinion is not meant to adjudicate the rights and obligations of the parties involved, the NPC denied the application of the Data Privacy Act to employers who are juridical entities.

The NPC nonetheless opined that the processing of the personal information relating to NFL members may be based on a legitimate interest of the unions to advocate for the welfare of the employees and to effectively negotiate with employers, especially considering the right given to unions under the Labor Code to request audited financial statements from employers for use in collective bargaining negotiations. The NPC noted that the disclosure of information relating to NFL’s individual members must still be governed by the Data Privacy Act with strict adherence to transparency, proportionality, and legitimate purpose.

Information contained in this publication is intended for informational purposes only and does not constitute legal advice or opinion, nor is it a substitute for the professional judgment of an attorney.