PHILIPPINE

STATISTICS
AUTHORITY

Quezon City, Philippines

Vol. 25 No. 5 March 2021

Non-Economic Provisions of Collective

Bargaining Agreements in 2018
(Third of a three-part series)
The registration of Collective Bargaining Agreements (CBAs) is closely monitored as an indicator
of harmonious labor-management relations and industrial peace in the country. A collective bargaining is a
process where both parties, labor and management, agrees to fix and administer terms and conditions of
employment which must not be below the minimum standards fixed by law. This also sets a mechanism for
resolving the parties’ grievances.

Specifically, a CBA is a contract executed upon incorporating the agreements reached after negotiations
with the employer and the exclusive bargaining representative of the employees with respect to wages, hours
of work and all other terms and conditions of employment. As such, a CBA includes economic provisions and
non-economic provisions. Economic provisions include monetary value of wage increases, loan benefits,
bonuses, allowances, retirement plan, and other fringe benefits for the employees. On the other hand, non-
economic provisions include union security clauses, grievance procedures, labor-management cooperation
schemes, and other provisions without monetary value.

This three-part series of LABSTAT Updates presents administrative-based data on CBAs gathered from the
CBA documents filed by labor organizations at the Bureau of Labor Relations (BLR) of the Department of Labor
and Employment (DOLE). This last part of a three-part series on CBAs specifically highlights the non-economic
provisions of the 162 CBAs registered in 2018. Excluded from this analysis are CBAs filed from seafarer
unions/associations due to relatively high amount and different currencies in their CBA provisions.

Almost all of the registered CBAs stipulated non-economic clauses

• In 2018, out of 162 registered CBAs, 95.1 percent had indicated non-economic clauses
which include: (1) union security; (2) job security; (3) union privileges; (4) well-being/
health and safety programs; (5) leave benefits; (6) productivity enhancement
programs and; (7) supplementary benefits. (Table 4)

Union Security Clause

Nine (9) out of every ten (10) CBAs

had union security clauses

• Union security clauses intended to

protect the institutional life of the
unions. These provisions can be seen
in almost all (92.0%) of the CBAs in
2018. (Table 1)

• By type of union security clause, union

dues check-off was stated in most of
the CBAs (82.1%). Check-off is an
arrangement by a union with the
employer where regular deductions
were made from the union members’
paycheck or salary for funding union-
related activities.
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LABSTAT Updates (Vol. 25 No. 5) Page 2 of 7

• Other deductions included are the • Also mentioned in five out of every nine
collection of agency fees for non-union (55.6%) of the total CBAs was the
members and special assessment fees maintenance of union membership.
at 63.6 and 61.7 percent shares, This CBA provision requires the
respectively. (Table 1) members of the union to maintain their
membership in good standing for
• About three-fourths of the total CBAs continued employment in the
(72.2%) upheld management right/ organization during the duration of the
prerogative. It is where employers agreement.
have the freedom/discretion and best
judgment to regulate and control all • In addition, clauses on union right/
aspects of management and responsibility or the rights of the
operations in their business workers to self-organization and
organization without discussions with a collective bargaining, including their
union. duties and responsibilities as union
members was cited in some of the
CBAs (43.2%).

Job Security Clause

Five (5) out of six (6) CBAs had job security clauses

• For the year covered, 82.1 percent of

CBAs specified provisions under job
security to assure that employees will
have continuity in employment in
through the terms specified in their
contract of employment, collective
bargaining agreement, or labor
legislation that prevents arbitrary
termination. (Table 2)

• Security of tenure is one of the

fundamental rights of the workers
under the law in which almost two-
thirds (66.0%) of the total CBAs
stipulated that termination of workers
by the employer may be done only
upon the existence of a just or an
authorized cause and after observance
of due process or otherwise known as
“just dismissal/lay-off”.

• In addition, policies on lay-off were

also specified in almost 60 percent • Moreover, one out of three registered
(58.6%) of the total registered CBAs. CBAs indicated that filling-up of
vacancies shall be done through hiring
• Another provision under job security is of next-of-kin or immediate family of
the non-discriminatory filling-up of retired workers at 34.6 percent and
vacancies, wherein three out of five assignment or transfer of workers
CBAs (63.0%) negotiated that vacant within the company at 34.0 percent.
positions will be filled-up through
promotion of the existing employees in
the organization.
LABSTAT Updates (Vol. 25 No. 5) Page 3 of 7

• Rehire or recall of previously dismissed • It should be noted that only few CBAs
employee was likewise agreed upon (6.8%) listed the provision of skills
by more than 10 percent (12.3%) training to employees to further
of CBAs during the reference year. improve, enhance, and upgrade their
(Table 2) capabilities to do their jobs effectively.

Union Privilege Clause

Nearly two-thirds of CBAs provided union privileges to their employees

• Another non-economic clause

negotiated was the provision of union
privileges which was specified
by 64.2 percent of the registered CBAs
in 2018. (Figure 1, and Table 4)

• Among these privileges, union office

space to conduct union-related
meetings/activities was the most
granted which was seen in two out of
five CBAs (40.1%).

• Bulletin boards were also given in

35.2 percent of the CBAs for the
posting of announcements and
disseminating information to the union
members.

• Further, 28.4% of the total registered

CBAs incorporated the right/access of
unions to company’s information.
While 26.5 percent of the CBAs allowed
the reproduction of CBA booklets at
company’s expense.

• A lesser share (4.9%) can be seen in

the provision of telephone/
communication facilities to unions.

• Additionally, in observance of Labor

Day celebration, some CBAs included
provision of mobilization fund (16.0%)
and t-shirts to union members (6.8%).
LABSTAT Updates (Vol. 25 No. 5) Page 4 of 7

Well-being/Health and Safety Leave Benefit Clause

Program Clause
Vacation leave granted in almost
Family planning program/services three-fourths of CBAs
was the most common welfare
program • The most common leave benefit which
was given to the workers covered by
• As part of the well-being programs/ the agreement was vacation leave
services for the union members, (74.1%). Sick leave (67.3%) and
conduct of family planning was cited in union leave for either union officers or
almost 70 percent (69.1%) union members (66.0%) followed
of the CBAs. This was followed subsequently. (Table 3)
by recreational activities at
34.6 percent share. (Figure 2, and
Table 4)

• Other well-being/health and safety

programs stipulated with less than
• Other types of leaves usually stated in
20 percent shares of the registered
the CBAs were burial/bereavement
CBAs were Drug-Free Workplace
leave (40.7%); emergency leave
(19.8%); Anti-Sexual Harassment
(37.0%); and birthday leave (18.5%).
Awareness (13.0%); Health and Safety
While other remaining leave benefits
Equipment (11.1%); HIV/AIDS
accounted for less than
Awareness (6.8%); and Anti-Violence
10 percent shares each.
Against Women and Children
Awareness (1.9%).
LABSTAT Updates (Vol. 25 No. 5) Page 5 of 7

Productivity Enhancement Program Supplementary Benefits/Clause

Clause
Seven (7) out of eight (8) CBAs had
More than 50 percent of the CBAs grievance machinery clauses
stipulated the creation of Labor-
Management Cooperation (LMC) • In order to secure a lasting industrial
Scheme peace, the Department of Labor and
Employment (DOLE) actively
• Among the various productivity encourages the creation of labor-
enhancement programs negotiated in management councils and the
CBAs, the topmost was the creation of presence of grievance machinery in the
labor-management cooperation CBA.
scheme at 55.6 percent. These types
of productivity enhancement programs • Grievance machinery was established
were designed to improve efficiency in almost 90 percent of the total
and labor-management relations at the registered CBAs (88.3%) in 2018. This
workplace. (Figure 3, and Table 4) benefit serves as a forum wherein
employers and employees may
express/discuss their respective
concerns to resolve conflict in an
expeditous manner. (Figure 4, and
Table 4)

• Other supplementary benefits/clauses

that were common in the registered
CBAs were: uniform (63.0%),
Christmas package (17.3%), and
transportation service (13.6%).

• Programs involving job enrichment

(23.6%) and industrial peace/
productivity council (16.7%) were also
mentioned in some of the agreements
in the CBAs.

• Other programs cited in the covered

CBAs were reduction of monotony at
work (14.2%) and merit increase
either graduated (13.0%) or fixed
(2.5%) term.
LABSTAT Updates (Vol. 25 No. 5) Page 6 of 7

TABLE 4 – Percent Share of Selected Indicators on Non-Economic

Clauses/Provisions of Collective Bargaining Agreements (CBAs),
Philippines: 2018
PERCENT
INDICATOR NO. OF CBAS
SHARE

Total Registered CBAs 162 100.0

CBAs with Non-Economic Clauses/Provisions 154 95.1

 CBAs with Union Security Clause 149 92.0

 Check off:

- Union dues 133 82.1

- Agency fees 103 63.6

- Special assessment fees 100 61.7

 Management right/prerogative 117 72.2

 Maintenance of membership 90 55.6

 Union right/responsibility 70 43.2

 CBAs with Job Security Clause 133 82.1

 Just Dismissal/Lay-off of workers 107 66.0

 Policy on lay-off 95 58.6

 Non-discriminatory filling-up of vacancies through:

- Promotion 102 63.0

- Hiring of next-of-kin of retired workers 56 34.6

- Assignment/Transfer of workers 55 34.0

- Rehire/Recall of dismissed workers 20 12.3

 Provide skills training 11 6.8

 CBAs with Union Privilege Clause 104 64.2

 Union Office 65 40.1

 Bulletin Board 57 35.2

 Right/access to information 46 28.4

 CBA Booklet 43 26.5

 Telephone/Communication 8 4.9

 Labor Day Assistance

- Mobilization Fund 26 16.0

- T-shirt 11 6.8

 CBAs with Well-being/Health and Safety

Program Clause 127 78.4

 Family Planning Program/Services 112 69.1

 Recreational Activities/Facilities 56 34.6

 Drug Free Workplace 32 19.8

 Anti Sexual Harassment Awareness 21 13.0

 Health and Safety Equipment 18 11.1

 HIV/AIDS Awareness 11 6.8

 Anti-VAWC Awareness 3 1.9

 LABSTAT Updates (Vol. 25 No. 5) Page 7 of 7

TABLE 4 – Percent Share of Selected Indicators on Non-Economic

Clauses/Provisions of Collective Bargaining Agreements (CBAs),
Philippines: 2018 (Cont’d)
PERCENT
INDICATOR NO. OF CBAS
SHARE

Total Registered CBAs 162 100.0

CBAs with Non-Economic Clauses/Provisions 154 95.1

 CBAs with Leave Benefit Clause 104 64.2

 Vacation Leave 120 74.1

 Sick Leave 109 67.3

 Union Leave 107 66.0

 Burial Leave 66 40.7

 Emergency Leave 60 37.0

 Birthday Leave 30 18.5

 Service Incentive Leave 11 6.8

 Paid Leave 10 6.2

 Calamity Leave 10 6.2

 Time-off 9 5.6

 Wedding Leave 8 4.9

 Pulmonary Tuberculosis Leave 5 3.1

 Study Leave 4 2.5

 Military Training Leave 2 1.2

 Legal Court Leave 1 0.6

 Personal Leave 1 0.6

 Other Leave 41 25.3

 CBAs with Productivity Enhancement Program 109 67.3

 Labor-Management Cooperation Scheme 90 55.6

 Job Enrichment 38 23.5

 Industrial Peace/Productivity 27 16.7

 Reduction of Monotony at Work 23 14.2

 Merit Increase

- Graduated 21 13.0

- Fixed 4 2.5

 CBAs with Supplementary Benefits/Clause

 Grievance Machinery 143 88.3

 Uniform 102 63.0

 Christmas Package 28 17.3

 Transportation Service 22 13.6

Notes: Details may not add up to totals due to multiple responses.

Source: Department of Labor and Employment, Bureau of Labor Relations

FOR INQUIRIES
Regarding this report, contact LABOR STANDARDS AND RELATIONS STATISTICS DIVISION at 8376-1921
Regarding other statistics, contact KNOWLEDGE MANAGEMENT AND COMMUNICATIONS DIVISION at 462-6600 local 834
Or visit our website at https://www.psa.gov.ph