Labor and Employment Secretary Rosalinda Dimapilis-Baldoz yesterday announced that the DOLE Regional Office No. 3 has found CJC Manpower Services to be engaged in “labor-only” subcontracting and has ordered it to “cease and desist from recruiting, supplying, and/or deploying workers to companies and employers effective immediately”.
CJC Manpower Services is the sub-contractor of Kentex Manufacturing Corporation, whose manufacturing facility burned down on 13 May, killing 72 workers.
“Regional Director Ana P. Dione has issued today a cease and desist order against CJC Manpower Services. A copy of the cease-and-desist order was furnished the business licensing office of the City of Meycauayan, Bulacan, with a recommendation to cancel the business permit of CJC Manpower Services without prejudice to the filing of appropriate criminal charges against the owner and other responsible officer and personnel,” said Baldoz after Director Dione reported to her the issuance of the order.
Earlier, or on 15 May 2015, the DOLE regional office in San Fernando had completed a joint assessment of CJC Manpower Services and discovered the agency to be deploying workers to Kentex Manufacturing Corporation. Senior labor laws compliance officer Dante M. Regala, conducted the joint assessment, during the course of which he found out the following deficiencies:
(1) Underpayment of minimum wage under Wage Order No. NCR-18 and Wage Order No. NCR-19 from date of employment up to the present;
(2) Non-payment of cost of living allowance (COLA) under Wage Order No. NCR-18 and Wage Order No. NCR-19.
(3) Non-payment of 13th month pay for 2014;
(4) Non-payment of holiday pay and special holiday premium;
(5) Illegal deduction for cash bond of P100 per week;
(6) Non-membership of workers and non-remittance of premiums to SSS, PhilHealth, and Pag-Ibig Fund, despite deductions on pay;
(7) CJC Manpower Services is not registered under Department Order No. 18-A in Region 3, nor in any other region;
(8) There is no written service agreement between Kentex Manufacturing Corporation and CJC Manpower Services; and
(9) There is no employment contract between CJC Manpower Services and workers deployed at Kentex Manufacturing Corporation;
On occupational safety and health, the joint assessment also revealed the following:
(1) Non-registration under Rule 1020;
(2) Non-submission of annual work accident/illness exposure data report;
(3) Non-submission of annual medical report; and
(4) Lack of company policies and programs on (a) anti-sexual harassment; (b) drug-free
workplace; (c) tuberculosis; (d) hepatitis B; and (e) HIV-AIDS.
Dir. Dione said she issued and signed the order pursuant to the provisions of Article 106 of the Labor Code, As Amended, and Department Order No. 18-A, noting that the deficiencies/activities discovered during the joint assessment points to CJC Manpower Services to be engaged in prohibited activities of “labor-only” contracting.