Law Summary
Definition and Scope of Flexible Work Arrangements
- Defined as non-traditional work schedules differing from standard working hours, days, or weeks.
- Implementation is on a temporary basis.
- Requires consultation between employers and employees considering the company’s financial difficulties and operational performance.
Types of Flexible Work Arrangements
Compressed Workweek
- Work reduced to less than six days but total weekly hours remain 48.
- Workday lengthened beyond eight hours but not exceeding twelve hours without overtime premium.
- Adjustments possible per company’s normal workweek under existing rules.
Reduction of Workdays
- Decreasing the number of workdays per week.
- Limited to a maximum duration of six months.
Rotation of Workers
- Employees alternate or rotate work within the workweek.
Forced Leave
- Employees are mandated to use their leave credits for a set period.
Broken-time Schedule
- Work hours are spread with breaks within the day or week, maintaining total working hours.
Flexi-holidays Schedule
- Employees may take holidays on alternate days without reduction of benefits.
- Encourages exploring other methods under agreements or company policies to mitigate employees’ income loss.
Administration and Dispute Resolution
- Responsibility primarily lies with the employer and employees involved.
- Disputes are to be handled first through the company’s grievance mechanism.
- If inadequate or absent, grievances escalate to the Regional Office for conciliation.
- Employers must keep documents proving voluntary adoption of flexible work arrangements.
Notice and Validation Procedures
- Employers must notify the Department of Labor and Employment (DOLE) via the Regional Office before implementation.
- Notification shall be made using a specific Report Form attached to the Advisory.
- The Regional Office will conduct onsite visits to verify compliance with the Advisory’s requirements.
This structured approach ensures that flexible work arrangements serve as a balanced and legal means of coping with employment challenges during difficult times, preserving employee rights while addressing business exigencies.