The Chamber approves the tenure security bill on second reading

MANILA, Philippines – The House of Representatives approved a bill on second reading on Wednesday that seeks to strengthen security of tenure for workers in the private sector.

By voice vote, the lower house passed House Bill No. 7036 that seeks to amend the Philippine Labor Code.

The measure prohibits fixed-term employment except in the cases of Filipino workers abroad, workers on probation, relievers who are temporary replacements for absent regular employees whose contracts will not exceed six months, project employees and seasonal employees.

However, the bill establishes that the rights and benefits of relievers, project and seasonal employees must be on par with regular employees, in accordance with the principle that all workers must be treated equally. with regard to the rights enjoyed and the obligations assumed.

Companies that participate in contract termination and employment contracts may face administrative penalties of a fine or even the possible closure of their businesses.

According to the bill, the hiring of labor only occurs when any of the following conditions are present:

The contractor does not have substantial capital or investment in the form of tools, equipment, machinery, work premises, among others;

The contractor has no control over the methods and means of the workers to carry out their work;
Contractor workers are performing activities that are directly related to the employer’s core business.

In July 2019, President Rodrigo Duterte vetoed the security of tenure bill and said that while exclusively labor hiring should be prohibited, legitimate job hiring should be allowed “as long as the contractor is” well capitalized, has sufficient investments and provide your employees with all the benefits. “

[atm]

Read next

Don’t miss out on the latest news and information.

For comments, complaints or inquiries, please contact us.