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What are the principles in determining hours worked?

Photo from Unsplash | Agê Barros

 

The following post does not create a lawyer-client relationship between Alburo Alburo and Associates Law Offices (or any of its lawyers) and the reader. It is still best for you to engage the services of a lawyer or you may directly contact and consult Alburo Alburo and Associates Law Offices to address your specific legal concerns, if there is any.

Also, the matters contained in the following were written in accordance with the law, rules, and jurisprudence prevailing at the time of writing and posting, and do not include any future developments on the subject matter under discussion.

 


AT A GLANCE

  • Hours worked shall include (a) all time during which an employee is required to be on duty or to be at a prescribed workplace; and (b) all time during which an employee is suffered or permitted to work.

  • The employer retains the management prerogative, whenever exigencies of the service so require, to change the working hours of its employees.

  • “No work, no pay” remains the basic factor in determining the employees’ wages and backwages.


 

All time during which an employee is required to be on duty or to be at the employer’s premises or to be at a prescribed workplace and all time during which an employee is suffered or permitted to work shall be considered as compensable hours worked.

The law says:

Hours worked shall include (a) all time during which an employee is required to be on duty or to be at a prescribed workplace; and (b) all time during which an employee is suffered or permitted to work. (Article 84, Labor Code of the Philippines)

 

What are some principles in determining hours worked?

The law says:

SECTION 4. Principles in determining hours worked. — The following general principles shall govern in determining whether the time spent by an employee is considered hours worked for purposes of this Rule:

(a) All hours are hours worked which the employee is required to give his employer, regardless of whether or not such hours are spent in productive labor or involve physical or mental exertion.

(b) An employee need not leave the premises of the work place in order that his rest period shall not be counted, it being enough that he stops working, may rest completely and may leave his work place, to go elsewhere, whether within or outside the premises of his work place.

(c) If the work performed was necessary, or it benefited the employer, or the employee could not abandon his work at the end of his normal working hours because he had no replacement, all time spent for such work shall be considered as hours worked, if the work was with the knowledge of his employer or immediate supervisor.

(d) The time during which an employee is inactive by reason of interruptions in his work beyond his control shall be considered working time either if the imminence of the resumption of work requires the employee’s presence at the place of work or if the interval is too brief to be utilized effectively and gainfully in the employee’s own interest. (Section 4, Rule I, IRR of the Labor Code of the Philippines)

 

The employer retains the management prerogative, whenever exigencies of the service so require, to change the working hours of its employees.

Jurisprudence says:

Verily and wisely, management retained the prerogative, whenever exigencies of the service so require, to change the working hours of its employees. And as long as such prerogative is exercised in good faith for the advancement of the employer’s interest and not for the purpose of defeating or circumventing the rights of the employees under special laws or under valid agreements, this Court will uphold such exercise. (Union Carbide Labor Union (NLU) vs. Union Carbide Philippines, Inc., G.R. No. L-41314, November 13, 1992)

 

Moreover, “no work, no pay” remains the basic factor in determining the employees’ wages and backwages.

Jurisprudence says:

The age-old rule governing the relation between labor and capital, or management and employee of a “fair day’s wage for a fair day’s labor” remains as the basic factor in determining employees’ wages, and for that matter backwages. If there is no work performed by the employee there can be no wage or pay unless, of course, the laborer was able, willing and ready to work but was illegally locked out, or suspended. (Durabuilt Recapping Plant & Company vs. National Labor Relations Commission, G.R. No. 76746. July 27, 1987)

 

Related article: Limitations on working hours of a child


Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries regarding taxation and taxpayer’s remedies, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.

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