Title
Self-Organization Rights Law Amendments
Law
Republic Act No. 9481
Decision Date
May 25, 2007
Republic Act No. 9481 strengthens the workers' constitutional right to self-organization by amending provisions of the Labor Code, including requirements for registration, creation of local chapters, cancellation of registration, representation issues, and reportorial requirements, ensuring fair representation and protection of workers' rights.

Questions (Republic Act No. 9481)

RA 9481 amends Article 234 (Requirements of Registration) of the Labor Code by specifying additional/changed requirements for a federation, national union, industry/trade union center, or independent union to acquire legal personality and obtain a certificate of registration, including a registration fee (P50), required documents (officers and addresses, principal address, minutes of organizational meetings, list of participating workers), membership requirement for independent unions (at least 20% of employees in the bargaining unit where it seeks to operate), and (when in existence for at least one year) annual financial reports; it also details four copies of constitution and by-laws, minutes of adoption/ratification, and list of members who participated.

A duly registered federation or national union may directly create a local chapter by issuing a charter certificate indicating the local chapter’s establishment. The chapter acquires legal personality only for purposes of filing a petition for certification election from the date the charter certificate is issued.

Aside from the charter certificate, the chapter must submit: (1) names of officers, their addresses, and the principal office; and (2) the chapter’s constitution and by-laws (with an indication if these are the same as those of the federation/national union). These additional requirements must be certified under oath by the secretary or treasurer of the chapter and attested by its president.

A petition for cancellation of union registration does not suspend certification election proceedings and does not prevent the filing of a petition for certification election. If registration is later cancelled, nothing restricts the union’s right to seek just and equitable remedies in the appropriate courts.

Cancellation may be based on: (1) misrepresentation/false statement/fraud in adoption or ratification of the constitution and by-laws or amendments, ratification minutes, and member list that took part in ratification; (2) misrepresentation/false statement/fraud in election of officers, election minutes, and list of voters; and (3) voluntary dissolution by the members.

The organization itself may cancel its registration if at least two-thirds of its general membership votes in a duly called meeting to dissolve it, and then an application to cancel registration is submitted by the board, attested to by the president.

Article 242-A requires submission to the Bureau of: (1) constitution/by-laws (and amendments), ratification minutes, and list of members who took part within 30 days from adoption/ratification; (2) list of officers, election minutes, and list of voters within 30 days from election; (3) annual financial report within 30 days after fiscal year close; and (4) list of members at least once a year or whenever required. Failure to comply is not a ground for cancellation, but may subject erring officers or members to suspension, expulsion, or other appropriate penalties.

Managerial employees are ineligible to join, assist, or form any labor organization. Supervisory employees may not be members of the collective bargaining unit of rank-and-file employees but may join/assist/form separate collective bargaining units and/or separate legitimate labor organizations of their own. The rank-and-file union and the supervisors’ union in the same establishment may join the same federation or national union.

Their inclusion is not a ground for cancellation of the union’s registration. Those employees are automatically deemed removed from the union’s list of membership.

To be valid, at least a majority of all eligible voters must have cast their votes. The union receiving the majority of valid votes is certified as the exclusive bargaining agent. If three or more choices result in no majority, a run-off is held between the two highest vote-getters, provided total votes for all contending unions are at least 50% of the votes cast. If the petition is filed by a national union/federation, disclosure of the names of the local chapter’s officers and members is not required.

At the expiration of the freedom period, the employer shall continue to recognize the majority status of the incumbent bargaining agent where no petition for certification election is filed.

In unorganized establishments with no certified bargaining agent, a certification election is automatically conducted by the Med-Arbiter upon filing of a petition by any legitimate labor organization, including a national union/federation that has issued a charter certificate to the local chapter participating in the election or a local chapter issued a charter certificate by a national union/federation. If filed by a national union/federation, disclosure of the names of the local chapter’s officers and members is not required.

The employer is not considered a party with a right to oppose a petition. The employer’s participation is limited to: (1) being notified/informed of such petitions and (2) submitting the list of employees during the pre-election conference if the Med-Arbiter acts favorably on the petition.

Article 238-A states cancellation petitions do not suspend certification election proceedings or prevent filing. Article 258-A limits the employer to a bystander role with no right to oppose. Together, they reinforce that certification elections proceed without being derailed by cancellation filings and without adversarial opposition by the employer.


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