How to Appeal a Labor Arbiter Decision to the NLRC
Quick answer
A decision of a Labor Arbiter can be appealed to the National Labor Relations Commission (NLRC) within ten calendar days from the day it is received. The appeal is allowed only on four grounds set by the Labor Code. An employer who appeals a money award must also post a bond equal to the award. If the Labor Arbiter ordered a dismissed worker reinstated, that order is carried out at once, even while the appeal is pending.
What does the Labor Code say about appeals?
The rule is Article 229 [223] of the Labor Code ([223] is its number before the 2015 renumbering). Its first paragraph reads:
Decisions, awards, or orders of the Labor Arbiter are final and executory unless appealed to the Commission by any or both parties within ten (10) calendar days from receipt of such decisions, awards, or orders.
"Final and executory" means the decision can no longer be changed and can be enforced. Either side can appeal: the worker, the employer, or both.
What is the deadline to appeal?
Ten calendar days from receipt of the decision. The days are counted from when the party receives the decision, not from when it was signed.
Decisions of a DOLE Regional Director on small money claims under Article 129 have a different, shorter period: five calendar days to appeal to the NLRC.
On what grounds can you appeal?
Only on one of the four grounds in Article 229:
- there is prima facie evidence (evidence that is enough on its face) of abuse of discretion by the Labor Arbiter;
- the decision, order or award was obtained through fraud or coercion, including graft and corruption;
- the appeal is made purely on questions of law; or
- serious errors in the findings of facts are raised that would cause grave or irreparable damage or injury to the party appealing.
Does the employer have to post a bond?
Yes, if the decision orders the employer to pay money. The article says:
In case of a judgment involving a monetary award, an appeal by the employer may be perfected only upon the posting of a cash or surety bond issued by a reputable bonding company duly accredited by the Commission in the amount equivalent to the monetary award in the judgment appealed from.
The Supreme Court applies this strictly:
- In Malcaba v. ProHealth Pharma Philippines (2018), the Court said: "In labor cases, an appeal by an employer is perfected only by filing a bond equivalent to the monetary award."
- In The Redsystems Company v. Macalino (2022), the Court said that appealing is optional, but a party who chooses to appeal must post the bond. It also said "employer" here includes parties held solidarily liable with the employer for the money award, including a labor-only contractor. In that case, the party that appealed paid only ₱520 in appeal and legal research fees, while the award was ₱545,051.03, so its appeal was not perfected.
The detailed bond rules of the NLRC's own rules of procedure are not explained on this page.
What happens to reinstatement during the appeal?
It is carried out at once. Article 229 says:
In any event, the decision of the Labor Arbiter reinstating a dismissed or separated employee, insofar as the reinstatement aspect is concerned, shall immediately be executory, even pending appeal. The employee shall either be admitted back to work under the same terms and conditions prevailing prior to his dismissal or separation or, at the option of the employer, merely reinstated in the payroll. The posting of a bond by the employer shall not stay the execution for reinstatement provided herein.
So the employer chooses between taking the worker back to work and putting the worker back on the payroll. In Manila Doctors College v. Olores (2016), the Court said the employer "is duty-bound to reinstate the employee, failing which, the employer is liable instead to pay the dismissed employee's salary."
Reinstatement is the remedy for an employee who was unjustly dismissed under [Article 294 [279]](/law/labor-code/article-294). See Illegally dismissed: what can you get?
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.
Ramon wins an illegal dismissal case. His former employer receives the decision on a Monday and files its appeal 16 days later. The ten calendar days have passed, so under Article 229 the decision is final and executory.
A bakery in Davao is ordered to pay its former baker a sum of money. It files its appeal on time but posts no bond. Under Article 229 and Malcaba, the employer's appeal from a money award is not perfected without the bond.
Joy is ordered reinstated, and her employer appeals. While the appeal is pending, the employer must let her back to work or put her back on the payroll. Posting a bond does not change this.
When do you need a lawyer?
An appeal has a short deadline and strict requirements, so talk to a lawyer as soon as you receive a Labor Arbiter decision you want to appeal, or if the other side has appealed. If you cannot afford a lawyer, see Free legal help in the Philippines. For how a labor case starts, see How to file a labor complaint.
Which provisions does this answer rest on?
Frequently asked questions
How many days do I have to appeal a Labor Arbiter decision?
Ten calendar days from receipt of the decision, award or order. Under Article 229 [223] of the Labor Code, the decision becomes final and executory if no party appeals to the NLRC within that time.
What are the grounds for appeal to the NLRC?
Article 229 lists four: prima facie evidence of abuse of discretion by the Labor Arbiter; a decision secured through fraud or coercion, including graft and corruption; a decision made purely on questions of law; and serious errors in the findings of facts that would cause grave or irreparable damage or injury to the appellant.
Does the employer need an appeal bond?
Yes, when the decision includes a monetary award. Article 229 says an appeal by the employer may be perfected only upon posting a cash or surety bond equal to the monetary award.
Can the employer stop my reinstatement by appealing?
No. Article 229 says the reinstatement part of the Labor Arbiter's decision is immediately executory even pending appeal, and posting a bond does not stay it. The employer may take you back to work or reinstate you in the payroll.
Does a worker who appeals need to post a bond?
The bond rule in Article 229 speaks only of an appeal by the employer from a judgment with a monetary award.
Is a labor-only contractor an employer for the appeal bond?
Yes. In The Redsystems Company v. Macalino (2022), the Court said the term employer, for the appeal bond, includes parties held solidarily liable with the employer for the money award, including a labor-only contractor.
General information, not legal advice. For your case, ask a lawyer, the Public Attorney's Office (PAO) or the agency.
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