Labor unions and strikes: Employers’ nightmare?
November 28, 2009 by Vanessa Abrugar
Filed under Employer - employees
Striking workers with raised placards, shouting for increased wages and benefits – this could be the worst scenario that a business owner or employer would not want to see. These images cause many employers to be afraid. To them, this could mean lawsuits, suspension of business operations, loss of profits, or even closure of business. This could be their biggest nightmare.
Why do most employers shy away from the idea of unions, strikes, collective bargaining and related concepts? It is because they have a mistaken notion about these topics. They think of a union as troublesome, a nuisance which will only lead to the failure of their businesses. They also often associate a strike with violence as if it were some sort of a mutiny or an armed attack. What employers fail to see is that forming unions and participating in strikes are only some ways by which employees exercise their legal right to express their sentiments about their working conditions. If only employers would listen well, they could constructively see it as a form of an evaluation on how they are running their businesses. If people are given their correct wages, as well as fair and reasonable working conditions, they will not go on strike. And there would not be a need to form unions, which are precisely meant for negotiating or bargaining for terms and conditions of work. Simply put, if they are satisfied and happy, they will not complain. Read more
Pay your taxes, honor the law
November 22, 2009 by Victorino Q. Abrugar
Filed under Business Law
Tax is known to be a burden to every taxpayer. If you earn an income, whether from business or employment, you generally need to pay an income tax. If you do business, whether you gain or loss, you are normally required to remit business taxes. Taxes can be local or can be national. Income tax and business taxes (e.g., value added tax, percentage tax and excise tax) are examples of national taxes imposed on taxpayers. On the other hand, local taxes include permits, licenses and other taxes imposed by local government units. Thus, taxes may initially give unfavorable impressions and impact in our daily lives. But why our government imposed such burdens?
Taxation has four main purposes – revenue, redistribution, repricing and representation. Read more
Legal requirements for employing minors in the Philippines
November 20, 2009 by Vanessa Abrugar
Filed under Business Law
All work and no play makes Juan dela Cruz a dull “boy.” Our boys and girls are supposed to be playing and schooling, not working. This is perhaps what lawmakers had in mind when they crafted laws protecting minors who are employed. Thus, even if our laws allow minors to work, it is subject to stringent requirements. Employers are required to comply with the minimum hours of work specifically applicable to minors. It is also a must to provide favorable facilities and services, especially unhindered access to education. Most importantly, the express consent of the parents or guardians and the child is necessary. All of these are aimed at promoting the “best interest” of the child. Read more
How to compute separation pay in the Philippines?
October 30, 2009 by Victorino Q. Abrugar
Filed under Employer - employees
If you’re a business owner who employs people, you must know how much is the minimum legal amount of separation pay you must give to your employees who are leaving your company. Likewise, if you’re an employee who has been terminated by your boss for whatever reason, you may also need to have an idea if you are entitled to separation pay or not. The law understands the need of employees when they become jobless for reasons covered by Article 283 and 284 of the Labor Code. Separation pay gives employees a livelihood after he leaves his former company and while he is looking for a new job. Read more
Philippine labor laws that employers must know
October 18, 2009 by Vanessa Abrugar
Filed under Business Law
Knowing laws on labor and employment is vital to one’s business because a minor violation could lead you to big trouble. Most employers, especially those who do not have legal counsel, violate these laws usually not because they intend to, but because of sheer ignorance. Unfortunately, ignorance of the law does not excuse them from complying with it. Companies have closed shop after their employees slapped them with labor suits which ended up with these companies paying huge amounts of money representing unpaid wages or benefits and damages. To avoid being in the same situation, the following are relevant laws which you should always bear in mind as you go about your business and deal with your employees: Read more










