DAVAO CITY, Philippines — The labor department said 63 establishments in Davao region have regularized 7,728 workers.
In a news conference, Jason Balais, assistant regional director of DOLE Region 11, said the decision of the companies to regularize their employees was in “respect” to the directive of President Rodrigo Duterte against “illegal contractualization.”
According to Balais, these companies which voluntarily regularized their workers were banana manufacturing companies, retail establishments, small gasoline stations, construction companies, resorts, among others.
But Carlo Olalo, spokesperson of the Kilusang Mayo Uno Southern Mindanao Region, slammed the labor agency’s scheme to end the contractualization in the country wherein workers will be hired by the service providers and agencies as regulars receiving full benefits such as leave credits, 13th month pay as well as retirement, social security and health insurance plans, among others.
“The principal company could easily cut its contract with service providers to maximize their profit,” Olalo said of DOLE’s “win-win” solution.
“The proposal would not end contractualization but would instead further legalize and promote exploitative practice, which is opposite with what the President wants,” he added.
In response, Balais pointed out that the labor agency is open to accept proposals from other parties.
“DOLE is listening to concerns of labor as well as considering the concerns of management in coming out of course with new implementing rules. DOLE is open to all suggestions, comments, and inputs that all parties are bringing to our attention,” Balais said.
DOLE is expected to release on December 28, Department Order 30 which is a labor policy that would contain a stricter implementation of the law pertaining to the job contracts in the country.
The labor agency’s “DO 30” order would replace the DO 18-A, or the rules implementing the Articles 106 to 109 of the Labor Code.
The labor agency said that the new order would enhance and amend the defective provisions of the labor code on “contractual arrangement for positions which are deemed seasonal or project-based in nature, and are not part of the core function of their operations.” (davaotoday.com)
