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Understanding Management Prerogatives
March 7 @ 9:00 am - 5:00 pm₱5000 – ₱6000
Management prerogative is one of the most basic, more so powerful doctrine every employer should fully understand. Under the said doctrine, every employer has the inherent right to regulate, according to his own discretion and judgment, all aspects of employment, including hiring, work assignments, working methods, the time, place and manner of work, work supervision, transfer of employees, lay-off workers, and discipline, dismissal, and recall of employees. The only limitations to the exercise of management prerogative are those imposed by laws, principles of equity and substantial justice.
While Philippine Labor Law imposes many obligations upon the employer, it likewise protects employer’s rights to expect from its employees not only good performance, adequate work, and diligence, but also good conduct and loyalty. In fact, the Labor Code does not excuse employees from complying with valid company policies and reasonable regulations for their governance and guidance.
On the contrary, our Labor Code (Code) states that all doubts in the implementation and interpretation of the provisions of the Code, including the implementing rules and regulations, shall be resolved in favor of labor.
Based on the above-mentioned rules, there seems to be a confusion between the doctrine of management prerogative vis-à-vis “all doubts shall be resolved in favor of labor”. For this reason, ECOP is conducting a 1-day program to equip employers fully understand the concepts and at the same time have a solid foundation in applying the doctrine management prerogatives.
At the end of the program, participants will be able to:
- Tell the difference between labor rights and management prerogative
- Understand common management prerogative
- Know when and how to exercise the right of employer to exercise management prerogative
- Exercise management prerogative in good faith
- Legal basis
- Labor code
- Company rules and regulation
- Common management prerogative
- Right to hire
- Right to dismiss (fire/terminate)
- Right to transfer
- Right to promote and demote
- Right to discipline
- Right to lay down company policies
- Right to establish working hours
- Right to organize and reorganize
- Right to reasonable return on investment
- Right to expansion and growth
- Right to contract out work
- Right to grant bonus
- Right to re-assign pending investigation
- Interpretation based on the pronouncement of Supreme Court
Before the program, participants are asked to do a pre-work that they will be using during the training session. Towards the end of the session, participants are also given an opportunity to ask questions to the speaker via open forum discussion.
Atty. Noel D. Balsicas, CPA