Labor contractualization

History of the Philippines โ€” and Proclamation No.

Labor contractualization

Labor contractualization

Company-sponsored vehicle Educational assistance Endo has received several criticisms from many people, particularly workers; in spite of this, it is important to note that is in no way synonymous to contractualization unlike what some of you might think. Endo or end of contract is a practice that utilizes contractualization to abuse workers instead of valuing their contribution to different businesses.

Why Companies Practice Contractualization?

There are many legal forms of contractualization, such as the subcontracting Labor contractualization Filipino workers abroad or to foreign countries like Hong Kong and Singapore. Laws have been established to allow this system to run under certain industries like the car manufacturing, agriculture, and business process outsourcing BPO sectors in the local scene.

There are a number of conglomerates in the country, for example SM Investments Corporation, that would legally employ workers under this system for seasonal events or special occasions like Christmas and school openings.

Furthermore, companies are choosing to practice this structure because they receive a lot of benefits and these include: The practice of contractualization has begun under the government of former president Ferdinand Marcos back in the s, when the Philippine economy was experiencing a high unemployment rate and was suffering from instability.

He claims that the local economy has grown to be robust and strong. According to him, it would be perfect timing to implement strategies like a no-firing policy to move away from the current abuse.

However, there are many firms such as Human Nature that suggest that not many businesspeople believe instigating such policies is a good idea.

They think that it would open opportunities for some people to take advantage of various businesses, knowing that they cannot be fired. Moreover, there is no assurance that all corporations and organizations in the Philippines will be able to survive without hiring temporary workers; and without this guarantee, there is no way to tell if the market will thrive at all.

The current Government has pledged to work on removing the entire system of contractualization in the Philippine Labor law, in order to end the abuse some corporations are participating in.

They are also working to end it in order to help workers get the benefits that being a regular employee entails.

How Does Endo Affect Filipinos?

There are two main reasons as to why establishing a no-contractualization rule will cause negative economics: First, putting a deadline to this system will result into the closing down of numerous business establishments across the country.

This is because they simply do not have enough money to pay for the financial trappings that come hand in hand with regular-status employment. Second, would-be investors will likely refuse to establish their businesses here because the new law would mean that they will not be able to develop profits from their own capital.

He says a better path in contractualization can be made through the help of experienced work cooperatives like Asiapro.

Labor contractualization

In Asiapro, non-regularized employees still receive certain benefits that usually, only regular employees enjoy. In this regard, workers do not have to worry about being abused by the system. To learn more about Asiapro and our quest to help our member-owners, click here.Learn everything you need to know about The current Government has pledged to work on removing the entire system of contractualization in the Philippine Labor.

Asked if institutionalizing the Duterte administration's no-contractualization policy was possible at end of , he said: 'I say it's doable especially since we have the cooperation of the management.

Free Essay: Chapter 1 THE PROBLEM AND ITS BACKGROUND Introduction Contractualization has become the main form of labor in many Philippine businesses, a good. The practice of hiring workers on a labor-only contractual basis has deprived workers of their right to job security, benefits, right to organization and grievance.

After his victory in the presidential elections, Duterte exhorted Congress to pass a law ending the practice of labor contractualization. He likewis.

Usec. Maglaya, with DTI Asst. Secretary Blesila Lantayona (extreme left), DTI-9 Regl Dir. Sitti Amina M. Jain, and Zamboanga City Chamber of Commerce and Industry President and KMME Mentor Mr.

Cholo Soliven answer questions from the media during the Barangay Negosyo Summit.

Contractualization | Manpower Philippines - Asiapro Cooperative