Rank-and-File Employees vs. Managerial Employees | 24 April 2024

A “managerial employee” is one who is vested with the powers or prerogatives to lay down and execute management policies and/or to hire, transfer, suspend, lay-off, recall, discharge, assign or discipline employees.

Rank-and-File Employees vs. Managerial Employees

A “managerial employee” is one who is vested with the powers or prerogatives to lay down and execute management policies and/or to hire, transfer, suspend, lay-off, recall, discharge, assign or discipline employees. Supervisory employees are those who, in the interest of the employer, effectively recommend such managerial actions if the exercise of such authority is not merely routinary or clerical in nature but requires the use of independent judgment.

All employees not falling within any of the above definitions are considered “rank-and-file employees” for purposes of labor relations.

(Chapter II, par. m, Article 212, Title I, Book Five, Labor Code of the Philippines, as amended by R.A. No. 6715)

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