Can a union demand money from an employer for services not performed?
Extortion or demanding payment for phantom services is strictly illegal in labor relations. It is a ULP to cause or attempt to cause an employer to pay money or things of value in the nature of an exaction. This includes situations involving services which are not performed or not to be performed, as well as demanding fees for union negotiations. This practice, often known as featherbedding, is outlawed by Article 260 Labor Code of the Philippines. “(d) To cause or attempt to cause an employer to pay or deliver or agree to pay or deliver any money or other things of value, in the nature of an exaction, for services which are not performed or not to be performed, including the demand for fee for union negotiations;” 01-Jun-26About Nicolas and De Vega Law Offices
Nicolas and De Vega Law Offices is a full-service law firm in the Philippines. You may visit us at the 16th Flr., Suite 1607 AIC Burgundy Empire Tower, ADB Ave., Ortigas Center, 1605 Pasig City, Metro Manila, Philippines. You may also call us at +632 84706126, +632 84706130, +632 84016392 or e-mail us at [email protected]. Visit our website https://ndvlaw.com/.
