Philippine Bar review · Question

Practice question: Labor-only Contracting

Multiple Choice Medium Jurisprudence

Practice question

A worker argues that performing an activity directly related to the principal's business, by itself, necessarily establishes the resource-related branch of DO 174 Section 5. Is that complete?
  1. Yes; the other conditions must always be ignored.
  2. No; that branch also requires the specified deficiency in substantial capital or investments.
  3. Yes; every outsourcing of related work is labor-only contracting.
  4. No; relatedness is never relevant.
  5. Only a union election can establish relatedness.

Legal references

  • DOLE Department Order 174 s. 2017, primary issuance reproduced: https://palscon.org/public/assets/img/labor-laws-advisory/DO%20174-17%20Rules%20Implementing%20%20Articles%20106%20to%20109%20of%20the%20Labor%20Code,%20As%20Amended.pdf — Sections 3(h),5,7–8.
  • Macalino v Coca-Cola Beverages Philippines, G.R. 275357 and 275955, August 6 2025, main opinion: https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/1/70006

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