A total of 3,377 companies were found to be engaged and suspected to be engaged in labor-only contracting arrangements based on the initial list of non-compliant establishment released by the labor department.

Labor Secretary Silvestre Bello III said the list was culled from the result of inspections of 99,526 establishments from June 2016 to April 2018.

“We are now providing you the top 20 non-complaint companies according to the number of workers that need to be regularized, from a list of 3,377 non-compliant establishments involving 224,852 workers from various parts of the country,” Bello said.

Among the top violators include the Jollibee Food Corporation with 14,960 affected workers, the Dole Philippines, Inc., with 10,521, and the Philippine Long Distance Telephone Co. (PLDT) with 8,310.

Other companies engaged in labor-only contracting are the Philsaga Mining Corporation with 6,624 affected workers; General Tuna Corporation with 5,216; Sumi Phils Wiring System Corporation with 4,305; Franklin Baker Inc., with 3,400; Philipinas Kyohritsu with 3,161; Furukawa Automotive System Phil. Inc., with 2,863; and the Magnolia Inc., with 2,248 affected workers.

Also, the KCC Property Holdings, Inc., with 1,802 affected workers, Sumifru Philippines , Corp. with 1,687; Hinatuan Mining Corporation with 1,673; KCC Mall De Zamboanga with 1,598; Brother Industries (Philippines) Inc., with1,582; Philippine Airlines and PAL Express with 1,483; Nidec Precision Philippines Corporation with 1,400; Peter Paul Phil. Corporation with 1,362; Dolefil Upper Valley Coperations with 1,183; and the SOLE-Satnfilco with 1,131 affected workers are all included in the preliminary list submitted to the Malacanang on May 25, 2018.

“We submitted a list of violators to the President not to put them in bad light. It is just to emphasize the concern, not only of the President but also our department to respect the security of tenure of our workers. We are not doing this to fight management because we look at business as partnership between labor and management,” Bello said.

Bello reiterated that the list was just an initial report to the President, considering the labor inspections covered only a fraction of more than 900,000 establishments nationwide.

“To date we only have a 574 labor laws compliance officers that will inspect more than 900,000 establishments nationwide and I don’t think that is possible. That’s why we reiterated our concern to the President to ask for additional 2,000 inspectors,” Bello said.

Meanwhile, the labor secretary said that the SM Malls were not included in the list as it has already submitted a voluntarily regularization program, which targets an estimated 10,000 regularized workers by the end of 2018.

DOLE Department Order No. 174 prohibits labor–only contracting, which exist when the contractor merely recruits, supplies or places workers to perform a job for a principal under employment arrangements designed to circumvent the right of workers to security of tenure

As of May 11, 2018, a total of 176,286 workers have been regularized through the intensified labor enforcement system of the labor department.

END/Abegail De Vega

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