DAVAO, Inc. and NCMB-RB XI Jointly Hold 

Area-Wide Seminar

“Fundamental Rights of Workers and Management in the Current Times”


Region XI – The Davao Accredited Voluntary Arbitrators Organization (DAVAO), Inc. in cooperation with National Conciliation and Mediation Board, Regional Branch No. XI holds an area-wide seminar entitled “Fundamental Rights of Workers and Management in the Current Times” on June 9, 2017 at the Grand Men Seng Hotel, Magallanes St., Davao City.

One hundred fifty one (151) representatives participated in this event.  They compose both labor and management sectors from eighty two (82) companies.

The program started with a prayer and national anthem given by LEO III Sheila A. Rivera of NCMB-RBXI.

There were significantly four (4) topics presented.

Gen. Nicanor A. Bartolome (Ret.) presented the first topic, “Effective Communication Skills”.  Bartolome highlighted the tips for developing effective communication skills, the delivery techniques and some ideas for public speaking.

Atty. Alvin B. Curada, Mediator-Arbiter of the Office of the Undersecretary for Labor Relations and Special Concerns was the Resource Speaker on Labor Inspection for Contracting Arrangement.  He presented the legal framework of contracting in the Philippines.  With the implementing rules of Article 106-109 of the Labor Code as the basis, there were a number of Department Orders of DOLE issued on the issue of contracting and subcontracting arrangements.  “These are the Department Order no. 10, series of 1997, D.O. 3, series of 2001, D.O. 18, series of 2002 and D.O. 18-A, series of 2011”, Atty. Curada stated.

He then presented the salient features of the latest issuance, D.O. 174, series of 2017.  Basically, it reiterates the prohibition against labor-only contracting and expands illicit forms of employment arrangement such as contracting out of work to an in-house cooperative, requiring employees to become members of cooperative and other schemes, practices or arrangements designed to circumvent workers’ right to security of tenure.  Furthermore, D.O. 174 increases the substantial requirement from Php3M to Php5M and a registration fee from Php25,000 to Php100,000 to remove fly-by-night contractors.  It also shortens the validity of the Certificate of Registration from 3 years to 2 years.

According to Atty. Curada, the number of agency-hired workers doubled from 316,423 in 2003 to 621,905 in 2014.  Engagement of agency-hired workers is prevalent in manufacturing (244,538), wholesale and retail trade (90,763), accommodation and food service (43,354) and crop and animal production (41,588).  In 2014, there are 1,335,673 non-regular workers, he added.

Atty. Curada stressed, “There is now a new definition of regular employees which was commonly defined as necessary and desirable.  It is now employees performing activities directly related to the main business operation of the principal”.

Atty. Vincent C. Juan, legal counsel for Pilipinas Shell Petroleum Corp., was the second Resource Speaker.  He discussed about the different employment arrangements as well as management prerogative and cited latest Supreme Court decisions.  Citing from the case of Universal Robina Sugar Milling Corp. and Rene Cabati, G.R. No. 186439, 15 January 2014, Atty. Juan clearly stated, “Where the seasonal employees had been hired repeatedly and continuously to perform the same tasks or activities for several seasons or even after the cessation of the season, this length of time may likewise serve as badge of regular employment.”

He further presented causes of termination both authorized and just as exercise of management prerogative.

The third and last resource speaker was Mr. Niel D. Grumo, Information Officer III of the Social Security System, Davao branch.  His topic was about the legal obligations of employers in terms of SSS.

The program ended with closing remarks given by OIC/Director of NCMB-RBXI, Aerrine Marie R. Reyes.


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