Practice question
A CBA grants a benefits package expressly belonging to individual employees. Before distribution, union officers take a portion for bargaining counsel without genuine individual authorizations and label it 'union funds' upon remittance to the union. They argue that the label alone makes Article 228(b)'s union-fund permission applicable. Which conclusion is best?
- Remittance automatically converts any individual benefits into lawfully available union funds.
- The label does not cure the source or missing authorizations; the funds must already be union funds for that statutory justification.
- All CBA benefits belong to officers until distribution.
- A deduction before payroll is always exempt from the Code.
- Calling the fee a donation eliminates the problem.
Legal references
- https://library.laborlaw.ph/wp-content/uploads/2023/10/2022.Labor_.Code_.DOLE-edition.pdf — Labor Code Arts. 228(b) [222(b)], 250(n)–(o) [241(n)–(o)], 259(h) [248(h)] and 260(e) [249(e)].
- https://elibrary.judiciary.gov.ph/thebookshelf/showdocs/1/49401 — Mariño v. Gamilla, G.R. 149763, July 7, 2009, main decision.
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