Practice question
A lawful wage order eliminates a proved intentional grade differential within one region. The employer points to a separate voluntary raise in another division and argues that the existence of any discretionary increase defeats the actual statutory distortion claim. Is that necessarily correct?
- Yes, any voluntary raise immunizes every wage-order effect
- No; the cause and affected wage structure of the specific claimed distortion must be examined
- Yes, separate divisions automatically repeal wage orders
- Yes, all differentials become gifts
- Yes, the employer may ignore the prescribed increase
Legal references
- Labor Code, Articles 95, 113-115 and 123-124: https://lawphil.net/statutes/presdecs/pd1974/pd_442_1974.html
- RA 6727, amended Labor Code Articles 123-124: https://lawphil.net/statutes/repacts/ra1989/ra_6727_1989.html
- Mindanao International Container Terminal Services, Inc. v. MICTSILU-FDLO, G.R. No. 245918, November 29, 2022, MAIN decision: https://lawphil.net/judjuris/juri2022/nov2022/gr_245918_2022.html
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