Employment Contract that is Amended Lowering the Minimum Terms Under the Law is Not Binding on Employee
Employment contract is placed on a higher plane than ordinary contracts since it is imbued with public interest and, therefore, subject to the police power of the State. (See Leyte Geothermal Power Progressive Employees-Union-ALU-TUCP vs. Philippine National Oil Company-Energy Development Corp., 662 Phil. 225, 234 (2011).)
The supremacy of the law over the nomenclature of the contract and its pacts and conditions is to bring life to the policy enshrined in the Constitution to afford full protection to labor. (Innodata Knowledge Services, Inc. vs. Inting, G.R. No. 211892, December 6, 2017)
The parties are not at liberty to insulate themselves and their relationships from the impact of labor laws and regulations by simply contracting with each other. Also, while a contract is the law between the parties, the provisions of positive law that regulate such contracts are deemed included and shall limit and govern the relations between the parties. (Gopio vs. Bautista, G.R. No. 205953, June 06, 2018)
Hence, in a case where the employer introduced amendment to the employment contract via an Addendum which had the effect of lowering the benefits of employees, the Supreme Court held that the same cannot bind the employee.
The SC held in the case of Prime Stars International Promotion Corporation vs. Baybayan (G.R. No. 213961, January 22, 2020) that the explicit provisions of the employment contracts of Beltran, et al. cannot be altered or modified by the Addendum without the prior approval of the POEA.
Indeed, while the parties may stipulate on other terms and conditions of employment as well as other benefits, the stipulations should not violate the minimum requirements required by law as these would be disadvantageous to the employee. Section 3, Rule 1, Part V of the POEA Rules and Regulations Governing the Recruitment and Employment of Land-Based Overseas Workers allow the parties to stipulate other terms and conditions and other benefits not provided under the minimum requirements. Provided, the
Acquire Mastery of HR/Labor Doctrines, Rules and Principles with Atty. Elvin’s HR Bundle Books at Discounted Rate
whole employment package should be more beneficial to the worker than the minimum. Provided that the same shall not be contrary to law, public policy and morals, and provided further, that the Philippine agencies shall make the foreign employers aware of the standards of employment adopted by the Administration.
Based on the record of the case, the SC ruled that there is no other conclusion would be made than the Addendum is contrary to law and public policy considering that the minimum provisions for employment of Beltran, et al. were not met, and there was diminution of their benefits which were already guaranteed by law and granted in their favor under their PEOA-approved contracts of employment.
The Addendum, absent the approval of the POEA, is not valid and executory against Beltran, et al. The clear and categorical language of the law likewise imposes upon foreign principals minimum terms and conditions of employment for land-based overseas Filipino workers, which include basic provisions for food, accommodation and transportation.
The Addendum, absent the approval of the POEA, is not valid and executory against Beltran, et al. The clear and categorical language of the law likewise imposes upon foreign principals minimum terms and conditions of employment for land-based overseas Filipino workers, which include basic provisions for food, accommodation and transportation.
Comments (15)
… [Trackback]
[…] Information to that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Find More on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Read More on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Find More on on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Here you will find 47495 more Information on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Information on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Read More here to that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Find More Information here on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Read More on on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] There you can find 37847 more Information on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Find More Information here to that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Read More here to that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Info on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Find More on on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
… [Trackback]
[…] Here you will find 54355 more Info on that Topic: lvsbooks.com/employment-contract-that-is-amended-lowering-the-minimum-terms-under-the-law-is-not-binding-on-employee/ […]
Comments are closed.