Practice question
A principal contracts out jobs currently performed by union members. Internal instructions establish that the purpose and effect are to coerce the employees to abandon their union. The principal insists that a contractor’s business registration automatically defeats any challenge. Which is the best assessment?
- Registration conclusively validates every contracting arrangement
- The arrangement falls within section 6(e)’s prohibition because it interferes with or coerces employees in exercising self-organization rights
- The arrangement is prohibited only after a strike begins
- The arrangement becomes lawful if the outsourced workers receive higher wages
- The arrangement is prohibited only if the union owns the contractor
Legal references
- https://www.dole.gov.ph/php_assets/uploads/2017/07/DO-174-17-Rules-Implementing-Articles-106-to-109-of-the-Labor-Code-As-Amended1.pdf — DO 174-17, sections 3(b), 6–7, other illicit arrangements and effect of a finding.
- https://www.scribd.com/document/768934000/Department-Order-No-174-Series-of-2017 — mirrored text of the issued DO 174-17, sections 3(b), 6–7.
- https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/11/90581 — EO 51, s. 2018, sections 1–3.
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