
The LA is an adjudicator vested with significant powers derived directly from the Labor Code of the Philippines (Presidential Decree [PD] No. 442) and its implementing rules and regulations. These powers are multifaceted, encompassing the authority to hear and determine a wide array of labor controversies, to conduct investigations necessary for informed decision-making, and to issue writs and processes to ensure the efficacy of their pronouncements.
At this point, it is important to emphasize that the LA is not a judge and the RAB is not a court. Rather, this setup is within the concept of "quasi-judicial bodies." In other words, they are agencies within the framework of the Executive Branch, having fact-finding and adjudicatory powers, but are not Article VIII courts as contemplated by the 1987 Constitution of the Philippines.
Central to the role of the LA is the exercise of adjudicatory powers. This
encompasses the jurisdiction to resolve substantive labor disputes, including
allegations of illegal dismissal, wherein an employee claims termination
without just cause or due process. In such instances, the LA possesses the
authority to order remedies such as reinstatement with back wages, separation
pay, and, where warranted by the evidence, the imposition of moral and
exemplary damages arising from employment relations. Furthermore, the LA is
empowered to address claims of unfair labor practices (ULP), lodged by either
employees or labor organizations against employers (or vice versa), concerning
actions that contravene the fundamental right to self-organization and
collective bargaining. In these cases, the LA may issue cease and desist
orders and impose corresponding penalties as prescribed by law.
More about the jurisdiction of the LA is the concept of employer-employee relationship. As a general rule, where there is no employer-employee relationship, the LA has no jurisdiction. Also, as a rule, where there is employer-employee relationship, regular courts have no jurisdiction. This is supported by the concept of primary jurisdiction in remedial law.
More about the jurisdiction of the LA is the concept of employer-employee relationship. As a general rule, where there is no employer-employee relationship, the LA has no jurisdiction. Also, as a rule, where there is employer-employee relationship, regular courts have no jurisdiction. This is supported by the concept of primary jurisdiction in remedial law.
The jurisdiction of the LA extends to the resolution of money claims, which
typically involve demands for unpaid wages, overtime compensation, holiday
pay, 13th-month pay, separation benefits, retirement entitlements, and other
monetary emoluments arising from the employer-employee relationship. In
these instances, the LA is tasked with the computation and subsequent
awarding of such claims, ensuring that employees receive the compensation
legally due them. Moreover, in specific cases involving unfair labor
practices, there exists a view that the LA should be interpreted to hold the
prerogative to issue orders for reinstatement, hiring, promotion, or
transfer of employees, thereby rectifying discriminatory or unlawful
employment actions. Disputes concerning the interpretation and
implementation of collective bargaining agreements (CBAs) also fall within
the ambit of the LA's adjudicatory authority, enabling them to render
definitive interpretations and mandate compliance with the terms of these
agreements; this, of course, is unless the CBA itself specifically states
that jurisdiction is granted to a voluntary arbitrator (VA) or a panel of
VAs. Finally, the LA is empowered to adjudicate claims for damages arising
from the employer-employee relationship, addressing various forms of loss or
injury suffered by either party as a consequence of violations of labor laws
and employment obligations.