After reading “What are Types of Managerial Employees?”, read also “What Is A Short Sale?”
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First-Line Managers are the lowest level in an organization
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Middle Managers or the Middle Management can refer to more than one level in an organization.
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Top Managers are composed of a comparatively small group of executives
Who is a managerial employee?
Jurisprudence says:
A managerial employee is one who is vested with powers or prerogatives to lay down or execute management policies and or to hire, transfer, suspend, lay off, recall, discharge, assign or discipline employees, or to effectively recommend such managerial actions. All employees not falling within this definition are considered rank and file employees. (PMTI-ULGWF v. Ferrer-Calleja, G.R. No. 85915, Jan. 17, 1990)
The law says:
The primary duty of a managerial employee consists of the management of the establishment in which they are employed or of a department or subdivision thereof. They customarily and regularly direct the work of two or more employees therein. They have the authority to hire or fire employees of lower rank; or their suggestions and recommendations as to hiring and firing and as to the promotion or any other change of status of other employees, are given particular weight. (Section 2(b) Rule, I, Book III, Implementing Rules and Regulations of the Labor Code)
Jurisprudence says:
Managerial employees are employed as such by virtue of their special training or expertise, experience, or knowledge and for positions which require the exercise of independent judgment and discretion. They are not subject to the rigid observance of regular office hours, as the true worth of their services do not depend so much on the time they spend in the office but more on the results of their accomplishments. For these types of workers, it is not feasible to provide fixed hourly rate of pay or maximum hours of labor. (NAWASA v. NWSA Consolidated Union, G.R. No. L-18939, August 31, 1964)
What are the three types of managerial employees?
Jurisprudence says:
- The First-Line Managers are the lowest level in an organization at which individuals are responsible for the work of others. First-line managers direct operating employees only; they do not supervise managers.
- Middle Managers or the Middle Management can refer to more than one level in an organization. Middle managers direct the activities of other managers and sometimes also those operating employees. Middle managers’ principal responsibilities are to direct the activities that implement their organizations’ policies and to balance the demands of their superiors with the capacities of their subordinates.
- Top Managers are composed of a comparatively small group of executives; top management is responsible for the overall management of the organization. It established operating policies and guides the organization’s interactions with its environment. (United Pepsi-Cola v. Laguesma, G.R. No. 122226, March 25, 1998)
Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.
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