Title
Amendments to Labor Code on Union Rights
Law
Republic Act No. 9481
Decision Date
May 25, 2007
Republic Act No. 9481 strengthens workers' rights to self-organization by amending the Labor Code to streamline registration processes for labor organizations, clarify the creation of local chapters, and establish guidelines for the cancellation of union registrations.
A

Creation and Chartering of Local Chapters

  • Registered federation or national union may create local chapters by issuing a charter certificate.
  • Local chapter gets legal personality only for filing certification election petition from issuance date.
  • Full rights granted upon submission of officers' names and addresses, principal office, and constitution and by-laws (or indication if same as parent union).
  • Supporting documents to be certified under oath and attested by chapter president.

Cancellation of Registration

  • Certificate of registration cancelled by Bureau after due hearing.
  • Grounds for cancellation cited in Article 239.

Effect of Petition for Cancellation

  • Petition for cancellation does not suspend certification election proceedings nor prevent filing of certification petition.
  • Union may seek remedies in courts despite cancellation.

Grounds for Cancellation of Registration

  • Misrepresentation, false statement, or fraud regarding constitution/by-laws adoption or ratification.
  • Misrepresentation, false statement, or fraud regarding election of officers.
  • Voluntary dissolution by members.

Voluntary Cancellation of Registration

  • Organization may cancel registration if at least two-thirds of general membership votes for dissolution in meeting called for that purpose.
  • Application for cancellation submitted by board, attested by president.

Reportorial Requirements

  • Submission to Bureau of:
    • Constitution and by-laws or amendments, minutes of ratification, list of ratifying members within 30 days.
    • List of officers, minutes of elections, voters list within 30 days.
    • Annual financial report within 30 days after fiscal year.
    • List of members at least once a year or as required.
  • Non-compliance not ground for cancellation but may result in suspension, expulsion, or penalties.

Membership Eligibility of Managerial and Supervisory Employees

  • Managerial employees cannot join or form labor organizations.
  • Supervisory employees cannot join rank-and-file collective bargaining units but may form separate ones.
  • Rank-and-file and supervisors’ unions may join same federation or national union.

Inclusion of Employees Outside Bargaining Unit

  • Inclusion of such employees as members is not ground for registration cancellation.
  • These employees are automatically removed from membership list.

Representation Issues in Organized Establishments

  • Verified petition questioning majority status can be filed within 60 days before collective bargaining agreement expires.
  • Election ordered by Med-Arbiter if petition supported by written consent of at least 25% of bargaining unit employees.
  • Valid election requires majority of eligible voters to vote; majority of valid votes certifies union as bargaining agent.
  • Run-off election if no majority and three or more choices.
  • National unions/federations filing petitions not required to disclose local chapter officers and members.
  • Employer must recognize incumbent union if no petition filed after freedom period.

Petitions in Unorganized Establishments

  • Certification election conducted upon petition by legitimate labor organization.
  • National unions/federations not required to disclose local chapter officers and members.

Employer's Role in Certification Proceedings

  • Employer is not a party and cannot oppose petitions.
  • Employer's role is limited to notification and submitting employee list if election is ordered.

Separability Clause

  • Invalidity of any part does not affect rest of the Act.

Repealing Clause

  • Labor Code and related laws amended or repealed as necessary.

Effectivity Clause

  • Act takes effect 15 days after publication in Official Gazette or two newspapers of general circulation.

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