Bello acts on contractualization, asks DOLE execs for reports
By: Tina G. Santos
@inquirerdotnet
Philippine Daily Inquirer
12:44 AM July 12th, 2016
SECRETARY Silvestre Bello III has ordered all Department of Labor and Employment (DOLE) regional directors to furnish him with reports on incidents of contractualization in their areas.
Bello earlier expressed a desire to reduce contractualization, particularly the “end of contract” (endo) system, by at least 50 percent in his first 100 days as secretary of labor.
Endo refers to the practice of hiring a person under a 5-month contract to avoid making him or her a permanent employee after six months entitled to benefits.
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Bello said the DOLE did not have figures on how widespread endo was in the country.
“There are no specifics but we know it’s rampant. It’s very clear there is rampant violation of our labor laws… so we would require our regional officers to be very vigilant against the practice of endo and contractualization,” he said.
Bello said that once he received the reports, he would impose strict compliance with the laws regarding these practices.
“And from there we would have to enforce strict compliance by our directors in implementing these provisions of our laws on endo and contractualization,” he said.
“If our directors do their jobs, we would be able to reduce endo by at least 50 percent,” he added.
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July 2016 update
TUCP eases tough stance on contractual labor
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Posted on July 18, 2016
A MAJOR labor union called for clarification from the government on which jobs it considers suitable for contractualized work arrangements, marking a shift in its total opposition to jobs that do not offer a pathway to permanent employment.
Alan A. Tanjusay, spokesperson of the Trade Union Congress of the Philippines (TUCP)-Nagkaisa faction, said in a phone interview yesterday that the union now recognizes that contractual work -- commonly known as “endo,” is now appropriate in some cases.
“Our old position was absolutely no to contractualization,” he said in a separate phone interview yesterday, speaking in Filipino. “But then again we realized that there are jobs that you can’t regularize and that need to be contractual.”
He called on the government to provide a specific list of jobs where contractualization is acceptable.
“It’s not clear. The Labor Code is too general. The department order issued by the Department of Labor and Employment is not clear on what falls under project-based jobs, and contractual jobs,” he said in a separate phone interview last Thursday.
The Labor department issued in 2011 Department Order 18-A, which outlined the regulations that cover contracting and subcontracting arrangements, as well as a prohibition on labor-only contracting, in which workers perform activities necessary for business operations, without benefits.
Meanwhile, Article 280 of the Labor Code, which covers regular and casual employment, said that employees performing necessary business operations should have a pathway to becoming regular employees, with the exception of seasonal and project-based labor.
When asked for the organization’s position opinion on which industries may properly use contractual employees, Mr. Tanjusay said that the group is still studying the matter. He added that employers should also have a say.
“It would be good if the employers also had input on which industries should fall under contractualization. It should come from them since labor groups would just be validating their recommendations.”
The TUCP coalition encompasses 49 federations and worker organizations. Its reservations about contractual work arrangements are in line with those of the government, which promised to end the practice by 2017, with exceptions.
Contractualization
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