Category Archives: HR & Labor

Rules Governing Persons Below 21 Years Old, 60 and Above, and other “Most at Risk” Employees during GCQ and MGCQ

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The community quarantine classification for all areas in the Philippines has been relaxed, effective 1 June 2020, to either General Community Quarantine (GCQ) or Modified General Community Quarantine (MGCQ). The recent pronouncements by authorities include the rule that persons below 21, those 60 years old and above, and those with immunodeficiency, comorbidities, or other health risks, and pregnant women are prohibited from going outside their respective residences. 

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Cebu City Guidelines for Travel, Work and Related Matters during General Community Quarantine (GCQ): Executive Order No. 79

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[The full text is reproduced to illustrate the reality that travel passes are still generally required by each local government, except for work in permitted establishments wherein the company ID is sufficient (see Sec. 3), although complications may arise because Sec. 15 requires of “Company ID, Certificate of Employment, Business Permit, and work schedule”. There is a list of permitted/ prohibited establishments (Secs. 9 and 10), subject to specific requirements such as a Business Monitoring Form (see process of submission and penalties in Sec. 7). Note the rules on mass gatherings (Sec. 14) and intrazonal and interzonal travel (Sec. 15). Public transportation is allowed (Sec. 5), subject to a number coding scheme (Sec. 21). Inter-island travel by ship is allowed (Sec. 6), subject to strict guidelines, and not to/from ECQ areas.]

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Guidelines on the Return of the Amount Received under the SBWS Program (Resolution No. 2)

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[The Small Business Wage Subsidy (SBWS) Program Task Force is composed of the Social Security System (SSS), Department of Finance (DOF) and the Bureau of Internal Revenue (BIR). On 28 May 2020, it issued Resolution No. 2, providing for the guidelines on the return of the amount received under the SBWS program. See also Non-Duplication of SBWS, CAMP and SAP. The full text of Resolution No. 2 is reproduced below.]

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Can Companies Compel Employees to Work during the General Community Quarantine (GCQ) and Impose Disciplinary Sanctions

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The national government has relaxed the community quarantine in the Philippines, lifting the Enhanced Community Quarantine (ECQ) and Modified Enhanced Community Quarantine (MECQ) in most areas, shifting to the less restrictive General Community Quarantine (GCQ) starting 1 June 2020. The shift to GCQ raises one possible issue: can employers compel employees to work and, in case of refusal by employees to work by reason of fear of the coronavirus disease 2019 (COVID-19), impose disciplinary actions, including dismissal?

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No Travel Pass is Required for Workers during Any Community Quarantine: Company I.D. is Enough

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Being stopped in checkpoints is normal for workers going to work, and going home after work, in establishments allowed to operate during the Enhanced Community Quarantine (ECQ), Modified Enhanced Community Quarantine (MECQ), General Community Quarantine (GCQ) and Modified General Community Quarantine (MGCQ). Here are three things that workers need to remember in dealing with checkpoints (explain these items in a respectful and composed manner).

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Deferment of Holiday Pay during Community Quarantine

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There are a number of holidays that fell or will fall within the community quarantine period. These holidays are the Araw ng Kagitingan (9 April 2020), Maundy Thursday (9 April 2020), Good Friday (10 April 2020), Black Saturday (11 April 2020), Labor Day (1 May 2020) and Eid’l Fitr or Ramadhan (24 May 2020). The next scheduled under Proclamation No. 845 is Independence Day (12 June 2020), which will most likely be covered by community quarantine. 

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Regular Holiday on 25 May 2020: Computation of Holiday Pay (Labor Advisory No. 20, series of 2020)

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[The Department of Labor and Employment (DOLE) issued Labor Advisory No. 20, series of 2020, as guide for the computation of payment of holiday pay for 25 May 2020 (Eid’l Fitr or Feast of Ramadan). The payment of the holiday pay, however, is deferred until such time that the present emergency situation has been abated and the normal operations of the establishment is in place. The full text of Labor Advisory No. 20 is reproduced below.]

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Prohibition on Labor-only Contracting and Other Unlawful Employment Arrangements in the Philippines

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The law does not prohibit all forms of contracting or subcontracting. Legitimate contracting or subcontracting is allowed under the Labor Code, as implemented under Department Order No. 174, series of 2017, issued by the Department of Labor and Employment (DOLE). What the law prohibits is labor-only contracting and other illicit employment arrangements. [See Contracting and subcontracting allowed in the Philippines]

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Reducing Wages/Salaries during the Lockdown or Community Quarantine Period

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Termination of employees should be the last course of action, this much is clear from the series of Labor Advisories issued by the Department of Labor and Employment (DOLE). Businesses and other establishments are strongly encouraged to explore alternative work schemes or flexible work arrangements for employees. The message is clear (and admirable) – it is better for employees to receive reduced wages and salaries, rather than receive nothing at all. 

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