AN ACT STRENGTHENING THE OPERATIONS OF THE NATIONAL LABOR RELATIONS COMMISSION

Case Overview and Summary

Summary of Republic Act No. 10741

Strengthening the Operations of the National Labor Relations Commission (NLRC)

- Composition of the NLRC (Section 1):
• Composed of a Chairman and 23 members
• 8 members nominated by workers' organizations
• 8 members nominated by employers' organizations
• Chairman and 7 members from the public sector, preferably incumbent labor arbiters
• Members from workers' and employers' organizations must divest themselves of any affiliation or interest upon assumption of office

- Divisions and Jurisdiction (Section 1):
• The NLRC may sit en banc or in 8 divisions, each with 3 members (Section 1)
• Divisions 1-6 handle cases from the National Capital Region and Luzon
• Divisions 7-8 handle cases from Visayas and Mindanao, respectively
• Divisions have exclusive appellate jurisdiction over cases within their respective territorial jurisdiction
• Concurrence of 2 Commissioners in a division is necessary for judgment or resolution

- Administrative Supervision and Support Staff (Section 1):
• The Chairman has exclusive administrative supervision over the NLRC, regional branches, and personnel, including labor arbiters (Section 1)
• The NLRC is assisted by an Executive Clerk and Deputy Executive Clerks for each division
• The NLRC and divisions are assisted by Commission Attorneys in appellate and adjudicatory functions
• Commission Attorneys must be members of the Philippine Bar with at least 1 year experience in labor-management relations
• Commission Attorneys receive annual salaries and benefits equivalent to Salary Grade 26

- Appointment and Qualifications (Section 2):
• The Chairman and Commissioners must be members of the Philippine Bar with at least 15 years of law practice, including 5 years in labor-management relations (Section 2)
• Labor Arbiters must be members of the Philippine Bar with at least 10 years of law practice, including 5 years in labor-management relations
• The Chairman, Commissioners, and Labor Arbiters hold office until age 65, unless removed for cause or incapacitated
• The President may extend their services up to age 70 upon recommendation of the NLRC en banc
• The Chairman, Division Presiding Commissioners, and other Commissioners are appointed by the President
• Labor Arbiters are appointed by the President upon recommendation of the NLRC en banc, subject to Civil Service Law

- Staffing and Salaries (Section 2):
• The Chairman appoints staff and employees of the NLRC and regional branches, subject to Civil Service Law (Section 2)
• The Chairman can upgrade salaries, benefits, and other emoluments of staff and employees in accordance with law

- Renumbering, Separability, Repealing, and Effectivity Clauses (Sections 3-6):
• Renumbers Articles 213 and 215 of the Labor Code as Articles 220 and 222, respectively (Section 3)
• Includes a separability clause (Section 4)
• Repeals or amends inconsistent laws, decrees, orders, issuances, rules, and regulations (Section 5)
• Takes effect 15 days after publication in the Official Gazette or a newspaper of national circulation (Section 6)