Labor and Employment Secretary Silvestre H. Bello III yesterday said the Department will assess 5,150 registered contractors and subcontractors in 2016 as part of its strategy to end illegitimate forms of contracting/subcontracting and other short-term employment arrangements.
“As initial target and based on administrative data of the Bureau of Working Conditions (BWC), DOLE will assess 5,150 registered contractors and subcontractors of 26,194 principals,” said Bello, adding that the said figure was part of the agreement during the Consultation Workshop on Ending “Endo” held on 18-19 July 2016.
He added that there are 416,343 workers who are employed by the said contractors/subcontractors. Some of these registered contractors and subcontractors were previously assessed by the DOLE Regional Offices.
Bello said that the Department recognizes that illegitimate “contractualization” or “endo” practices exist in both bilateral and trilateral employment relationships.
Illegitimate contractualization or ‘endo’ are practices which constitute labor-only contracting or other similar arrangements where the duration of employment is fixed for a short period for purposes of circumventing workers’ rights to security of tenure, self-organization and collective bargaining, labor standards, and other basic workers’ rights.
Bello explained that the Department also recognizes legitimate contracting arrangements, such as engagement of project-based workers in the construction industry, provision of janitorial and security services, and other arrangements recognized by the Labor Code and by existing jurisprudence.
The Labor and Employment Secretary disclosed that during the Consultation Workshop on Ending “Endo”, the DOLE officials formulated an action plan to reduce “endo” practice by 50 percent by the end of the year.
The strategies in the action plan include 100 percent assessment and re-assessment of priority sectors, such as hotels, food chains, manufacturing, malls, agricultural plantation and corporate farms; 100 percent assessment and re-assessment of all contractors and subcontractors; issuance of new rules implementing Articles 106 to 109 and Articles 293 to 296; and provision of 100 percent assistance to affected workers.
To ensure cooperation of various sector, the Department will meet with key industry players to seek their inputs in eliminating illegal contractual and “endo” practices.
The Consultation Workshop on Ending “Endo” was attended by officials of the Bureau of Working Conditions (BWC), Bureau of Labor Relations (BLR), Bureau of Workers with Special Concerns (BWSC), Planning Service (PS), Labor Communications Office (LCO), National Labor Relations Commission (NLRC), National Conciliation and Mediation Board (NCMB), National Wages and Productivity Commission (NWPC), and the 16 Regional Directors.