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Pakyaw Work Jurisprudence

The document discusses several cases related to employment status and compensation for work performed on a task basis ("pakyaw") rather than hourly wages. It provides the following key points: 1) Payment for task-based ("pakyaw") work is based on completion of the task rather than time spent. Once the task is complete, the worker receives a fixed wage regardless of hours. 2) Whether a worker is an employee or independent contractor depends on applying the "four-fold" test to assess the employment relationship, not simply the payment method. 3) Task-based ("pakyaw") payment is similar to piece-rate payment and is commonly used when work is performed in bulk or volumes

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303 views2 pages

Pakyaw Work Jurisprudence

The document discusses several cases related to employment status and compensation for work performed on a task basis ("pakyaw") rather than hourly wages. It provides the following key points: 1) Payment for task-based ("pakyaw") work is based on completion of the task rather than time spent. Once the task is complete, the worker receives a fixed wage regardless of hours. 2) Whether a worker is an employee or independent contractor depends on applying the "four-fold" test to assess the employment relationship, not simply the payment method. 3) Task-based ("pakyaw") payment is similar to piece-rate payment and is commonly used when work is performed in bulk or volumes

Uploaded by

Chil Belgira
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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 David vs. Macasio, July 2, 2014, G.R. No.

195466

A distinguishing characteristic of "pakyaw" or task basis engagement,


as opposed to straight-hour wage payment, is the non-consideration
of the time spent in working. In a task-basis work, the emphasis is on
the task itself, in the sense that payment is reckoned in terms of
completion of the work, not in terms of the number of time spent in
the completion of work.  Once the work or task is completed, the
worker receives a fixed amount as wage, without regard to the
standard measurements of time generally used in pay computation.

xxx

In sum, the existence of employment relationship between the parties


is determined by applying the "four-fold" test; engagement on
"pakyaw" or task basis does not determine the parties’ relationship as
it is simply a method of pay computation. Accordingly, Macasio is
David’s employee, albeit engaged on "pakyaw" or task basis.

 Letter of the Bureau of Working Conditions to the Law Firm of


Nittoreda and Nasser, June 26, 1990 cited in The Labor Code, by
C.A Azucena

In some instances, the term pakiaw is used interchangeably with


piece-rate depending upon the the locality where it is used. Pakiaw,
however, is more aptly used where the job or work to be performed is
in bulk or volumes which are difficult to quantify. Piece rate is
common where the output may easily be counted or measured.

 Tan vs. Lagrama, G.R. No. 151228. August 15, 2002

Payment by result is a method of compensation and does not define


the essence of the relation.  It is a method of computing
compensation, not a basis for determining the existence or absence of
employer-employee relationship.  One may be paid on the basis of
results or time expended on the work, and may or may not acquire an
employment status, depending on whether the elements of an
employer-employee relationship are present or not.

 Lambo vs. NLRC, G.R. No. 111042, October 26, 1999


There are two categories of employees paid by results: (1) those
whose time and performance are supervised by the employer. (Here,
there is an element of control and supervision over the manner as to
how the work is to be performed. A piece-rate worker belongs to this
category especially if he performs his work in the company premises.);
and (2) those whose time and performance are   unsupervised.  (Here,
the employers control is over the result of the work.   Workers
on  pakyao  and  takay  basis belong to this group.)  Both classes of
workers are paid per unit accomplished. Piece-rate payment is
generally practiced in garment factories where work is done in the
company premises, while payment on pakyao and takay basis is
commonly observed in the agricultural industry, such as in sugar
plantations where the work is performed in bulk or in volumes difficult
to quantify.

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