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June 1, 2022

Business Law and Labor Law Updates

The topics below may be relevant to your daily activities, especially those which involve business law, labor law, and other legal areas of your business.

 

 


COVID – 19 AND ITS IMPACT ON THE MANAGEMENT PREROGATIVE OF EMPLOYERS


Under the doctrine of management prerogative, every employer has the inherent right to regulate, according to his own discretion and judgment, all aspects of employment, including hiring, work assignments, working methods, the time, place and manner of work, work supervision, transfer of employees, lay-off of workers, and discipline, dismissal, and recall of employees. The only limitations to the exercise of this prerogative are those imposed by labor laws and the principles of equity and substantial justice (Jenny F. Peckson, vs. Robinsons Supermarket Corporation, Jody Gadia, Roena Sarte, and Ruby Alex, G.R No. 198 534, July 3, 2013)

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When Is Meal Time Compensable?


Labor Code provides that every employer shall give his employees not less than 60 minutes or 1 hour time-off for regular meals. For a full one-hour undisturbed lunch break, the employees can freely and effectively use this hour not only for eating but also for their rest and comfort which are conducive to more efficiency and better performance in their work. Since the employees are no longer required to work during this one-hour lunch break, there is no more need for them to be compensated for this period (Sime Darby Pilipinas, Inc. v. NLRC, G.R. No. 119205).

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WHAT IS AN APPRAISAL RIGHT?


Under Section 80 of the Revised Corporation Code, Appraisal Right refers to the right of any stockholder of a corporation to dissent and demand payment of the fair value of his or her shares in the corporation. Such appraisal right may be exercised in the following instances:

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DOWNSIZING OF EMPLOYEES DUE TO COVID19


The coronavirus 2019 (COVID-19) outbreak has made a significant impact on the global economy, including that of the Philippines. To contain the spread of the virus, the Philippines was placed under Enhanced Community Quarantine and restricted movements were implemented. Many offices, factories and other industries had to stop operation during the quarantine period.

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