Can Your Employer Punish You for a Labor Complaint?
Quick answer
No. Article 118 of the Labor Code makes it unlawful for an employer to cut or withhold pay and benefits, fire, or discriminate in any way against an employee because he or she filed a labor complaint, started a proceeding, or testified or is about to testify. Firing or discriminating against a worker for giving testimony is also an unfair labor practice under Article 259 248. A retaliation claim still needs evidence linking the employer's act to the complaint.
What does the Labor Code say about retaliation?
The rule is Article 118 of the Labor Code. It comes from Section 8 of Presidential Decree No. 850 (1975) and kept its number in the 2015 renumbering. It reads:
It shall be unlawful for an employer to refuse to pay or reduce the wages and benefits, discharge or in any manner discriminate against any employee who has filed any complaint or instituted any proceeding under this Title or has testified or is about to testify in such proceedings.
"This Title" is Title II of Book Three, the part of the Labor Code on wages. So the article protects workers who complain about wage matters, such as unpaid wages, illegal deductions or underpayment, and those who testify in those cases.
What acts are forbidden?
Article 118 lists four kinds of retaliation:
- Refusing to pay wages and benefits.
- Reducing wages and benefits.
- Discharging the employee, meaning firing.
- Discriminating in any manner, for example by a sudden transfer, a worse schedule or exclusion from benefits others receive.
The protected acts are filing a complaint, starting a proceeding, having testified, and being about to testify.
Is retaliation also an unfair labor practice?
It can be. [Article 259 [248]](/law/labor-code/article-259), which was Article 248 before the 2015 renumbering, lists unfair labor practices of employers. Item (f) reads:
(f) To dismiss, discharge or otherwise prejudice or discriminate against an employee for having given or being about to give testimony under this Code;
Item (f) covers testimony under the whole Labor Code, not only wage cases. An unfair labor practice has civil and criminal sides; see unfair labor practice: examples.
Does a worker have to prove the retaliation?
Yes. The law forbids retaliation, but whether an act was retaliation is a question of evidence. In Samillano v. NLRC (1996), workers claimed that their demotion and dismissal were retaliatory acts for reporting their employer's violations of labor laws. The Supreme Court agreed with the Labor Arbiter that "there is no evidence to show that the transfer of petitioners to other positions and the subsequent termination of their employment were retaliatory acts." It still declared their dismissal void and awarded separation pay and backwages, but on other grounds.
Useful evidence often includes the date of the complaint, the date of the employer's action, the reasons the employer gave, and how other workers were treated.
Can someone take part of my wages to make me drop a complaint?
No. Article 116 says:
It shall be unlawful for any person, directly or indirectly, to withhold any amount from the wages of a worker or induce him to give up any part of his wages by force, stealth, intimidation, threat or by any other means whatsoever without the worker’s consent.
What remedies are available?
It depends on what the employer did:
- Dismissal. A dismissal without a just or authorized cause is an illegal dismissal. The remedies under [Article 294 [279]](/law/labor-code/article-294) include reinstatement without loss of seniority rights and full backwages. See illegal dismissal remedies.
- Pay cuts or unpaid benefits. These are money claims, filed within three years. See labor money claims: how long do you have?
- Changes that force a worker out. A demotion, a pay cut or treatment that makes continued work unreasonable can be constructive dismissal. See constructive dismissal.
A complaint usually starts with conciliation at DOLE. See how to file a labor complaint.
How does this work in real life?
These are made-up examples to show how the rules work. They are not advice for any real case.
Ramil files a complaint at DOLE for unpaid overtime. Two weeks later, his employer cuts his allowance and removes him from the payroll schedule. Under Article 118, reducing wages and benefits because he filed a complaint is unlawful. Whether the cut was really because of the complaint is decided on the evidence.
Tess agrees to testify for a co-worker in a wage case. Before the hearing, her supervisor tells her she will lose her post if she appears. Article 118 protects an employee who "is about to testify," and Article 259 248 covers discrimination for being about to give testimony.
Oscar files a complaint and, a month later, the whole department, including him, moves to a new shift for a business reason announced before his complaint. Without evidence linking the change to his complaint, as in Samillano, a retaliation claim is hard to prove.
When do you need a lawyer?
Talk to a lawyer, your union or the Public Attorney's Office if you face a dismissal, a pay cut or threats after filing a complaint or agreeing to testify. Keep copies of the complaint, notices, messages and payslips with their dates. If you cannot afford a lawyer, see Free legal help in the Philippines.
Which provisions does this answer rest on?
Frequently asked questions
Can my employer fire me for filing a complaint with DOLE?
No. Article 118 of the Labor Code makes it unlawful for an employer to refuse to pay or reduce wages and benefits, discharge, or in any manner discriminate against an employee who has filed a complaint or started a proceeding under the title on wages, or who has testified or is about to testify in such proceedings.
What counts as retaliation under the law?
Article 118 names refusing to pay or reducing wages and benefits, discharging the employee, and discriminating against the employee in any manner. Article 259 248 also makes it an unfair labor practice to dismiss or discriminate against an employee for having given or being about to give testimony under the Labor Code.
Am I protected if I testify for a co-worker?
Yes. Both Article 118 and Article 259 248 protect an employee who has testified or is about to testify, not only the one who filed the complaint.
Do I need proof that the action was retaliation?
Yes, a claim of retaliation needs evidence. In Samillano v. NLRC (1996), the Supreme Court agreed that there was no evidence that the workers' transfer and dismissal were retaliatory acts, although it still found the dismissal invalid on other grounds.
What can I get if I was dismissed in retaliation?
A dismissal without a just or authorized cause is an illegal dismissal. The remedies under Article 294 [279] include reinstatement without loss of seniority rights and full backwages.
Can someone pressure me to give up part of my wages to drop a complaint?
Article 116 makes it unlawful for any person to withhold any amount from a worker's wages, or to make the worker give up part of the wages, by force, stealth, intimidation, threat or any other means without the worker's consent.
General information, not legal advice. For your case, ask a lawyer, the Public Attorney's Office (PAO) or the agency.
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