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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.


ENGAGEMENT TO WORK: ENGAGED TO WAIT OR WAITING TO BE ENGAGED


Under the law, the normal hours of work for any employee shall not exceed eight (8) hours a day. However, there are times when a confusion arises whether waiting time is considered working time or not. Whether waiting time constitutes working time depends upon the circumstances of each case, thus, it is a question of fact. The paramount question to be asked should be, “Is waiting time spent for the benefit of the employer or of the employee?”

 

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SETTING UP A ONE PERSON CORPORATION


The Old Corporation Code (Batas Pambansa Bilang 68) required that for setting up a corporation, there must at be least five (5) incorporators. However, with the Revised Corporation Code (Republic Act No. 11232) which was approved last 20 February 2019, a single incorporator can set up a corporation. It is called One Person Corporation (OPC).

 

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SHOULD WE HIRE A SENIOR CITIZEN?


In an article posted in Philstar, Director Dominique Tutay of DOLE’s Bureau of Local Employment revealed that the employment of seniors has increased the past years. She said that based on statistics, an improvement can be seen in the number of employed senior citizens.From 1.5 million in 2013 and 1.6 million in 2017, it went up to 1.8 million in 2018.

Recently, fast food chains had been employing senior citizens as part of their crew members. Many businesses and state universities are also hiring senior citizens as part of their workforce. Thus, is it a good idea to hire senior citizens?

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FLOATING STATUS: NOT UNLAWFUL PER SE


What is “Floating Status”?

Floating Status is synonymous to temporary retrenchment of business or undertaking thereby inevitably forcing or causing its affected employees to go on leave.
It is sometimes called as “Temporary Off – detail” or “off-detailing” and is a valid exercise of management prerogative.

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