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House OKs bill reducing the term of collective bargaining agreement to 3 years

admin November 22, 2023

THE House of Representatives approved on Wednesday a bill reducing the duration and validity of the collective bargaining agreement (CBA) in terms of its representation aspect from five to three years to assure workers of the flexibility and opportunity to choose their rightful bargaining representative.

With an overwhelming 210 votes, the chamber has approved on the third and final reading House Bill (HB) No. 9320, principally authored by Parañaque City 2nd District Rep. Gus Tambunting.

“The bill seeks to amend Article 265 of Presidential Decree No. 442 or the Philippine Labor Code to encourage and protect the right of workers to collective bargaining and negotiations by increasing their opportunity to choose an appropriate representative who can best speak for their needs,” Speaker Ferdinand Martin Romualdez said.

“If enacted into law, the validity of the bargaining representative’s term and the collective bargaining agreement itself will be reduced to three years from the current five, giving more flexibility for workers in exercising their right to bargain collectively with their employers,” Speaker Romualdez added.

HB 9320 also provides that all provisions of the CBA will remain in full force and effect during the effectivity of the agreement.

The term of the CBA is essential because under the Labor Code, no petition questioning the majority status of the incumbent bargaining agent shall be entertained, and the Department of Labor and Employment shall conduct no certification election outside of the sixty days immediately before the date of expiry of the term of the CBA.

Jurisprudence provides that certification election is the process of determining the employees’ sole and exclusive bargaining agent in an appropriate bargaining unit for purposes of collective bargaining.

CBA refers to the negotiated contract between a legitimate labor organization and the employer concerning wages, hours of work, and all other terms and conditions of employment.

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