Recruitment and Placement of Workers- Reviewer

8/10/2019 Recruitment and Placement of Workers- Reviewer

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RECRUITMENT AND PLACEMENT OF WORKERS

* worker- means any member of the labor

force, whether employed or unemployed.

* recruitment and placement- refers to any act

of canvassing, enlisting, contracting,

transporting, utilizing, hiring or procuring

workers and includes referrals, contract services

and promising or advertising for employment,

locally or abroad.

Provided, that any person or entity

which in any manner, offer or promises for a

fee, employment to two or more persons shall

be deemed engaged in recruitment and

placement.

- used tocreate presumption that an

individual or entity is engaged in recruitment

and placement.

- the number of persons dealt with is

not essential ingredient. Any acts mentioned

will constitute recruitment and placement even

if only one prospective worker is involved.

* license- a document issued by DOLE

authorizing a person or entity to operate a

private employment agency.

*authority- a document issued by DOLE

authorizing a person or association to engage in

recruitment and placement activities as private

recruitment entity.

*private fee-charging employment agency-any

person or entity engaged in the recruitment and

placement of workers for a fee which is

charged, directly and indirectly from the

workers or employers or both.

*private recruitment entity- any person or

assoc engaged in the recruitment and

placement of workers, locally or overseas

without charging directly or indirectly any fee

from the workers or employers.

POWERS OF THE SECRETARY OF LABOR AND

EMPLOYMENT

To organize and establish new

establishment offices in addition to the

existing employment offices.

To organize and establish a nationwide

job clearance and information system

to inform applicants registering with a

particular employment office of job

opportunities here and abroad.

To organize a program that will

facilitate occupational, industrial and

geographical mobility of labor and

provide assistance in the relocation ofworkers from one area to another.

to require any person,

establishment,organization or

institution to submit such employment

information as may be presecribed by

Sec of Labor.

POWERS OF POEA

1.

Regulate private sector participation inthe recruitment and placement of

overseas by licensing and registrations

system.

2.

Formulate and implement necessary

system in monitoring the overseas

employment of Filipino.

3.

Protect the rights of Filipino workers.

4.

Exclusive original and exclusive

jurisdiction to hear and decide

disciplinary cases.

5.

Maintain registry of skills for overseas

placements.

6.

Recruit and place workers to service the

requirement for trained filipino

workers.

7.

Promote and development of skills

8.

Undertake overseas market

development.


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9.

Secure the best terms and conditions of

employment

10.

Promote and protect the well-being of

filipino workers overseas.

11.

Establish a speedy and efficient

enforcement of decisions.

12.

Establish and maintain close

relationship and enter into joint

projects with DFA, Phil. Tourism, MIA,

DOJ, DBM snd other relevant entities.

REGULATORY POWERS OF THE POEA

1.

Issuance of license

2.

Suspension,cancellation or revocation

of license

3.

Approval of transfer of business address

4.

Approval establishment of executiveoffice outside of the registered address

5.

Accreditation of principals or projects

6.

Revocation of accreditation

7.

Closure of agencies engaged in illegal

recruitment

8.

Registration of any charge in the

composition of the board of directorsm

officers and personnel of a recruitment

agency.

QUASI-JUDICIAL POWERS OF POEA

The POEA exercises original and

exclusive jurisdiction to hear and decide:

a. Disciplinary cases involving overseas

Filipino workers.

b. All pre-employment cases which are

administrative in character, involving or arising

out of recruitment laws, rules and regulations

including money claims or violations of the

conditions for issuance of license to recruit

workers.

NOTES:

-it is the power to adjudicate cases

particularly for the violation of rules in

recruitment.

- Administartive FN: sanction, penalize,

revoke licenses and regualtory power.

RECRUITMENT AND PLACEMENT BY THE POEA

The POEA is authorized to recruit and

place workers primarily on government-to-

government arrangements and thus service the

hirings of foreign government ministries and

instrumentalities.

REQUIREMENTS to be SUBMITTED to the

EMPLOYER:

1. work permit or visa assurance

2. recruitment order stating the number

and categories of workers neededm

compensation, benefits, qualification,

guidelines, testing procedures etc,

3. Model employment contract

4. other documents which the POEA

may find necessary.

FORMALIZING a RECRUITMENT AGREEMENT.

Employers hiring through POEA should

formalize a recruitment agreement which

contains the following:

1. responsibilities of the parties to the

agreement

2. selection and documentation procedures

3. fee schedules and terms of payement

4. manner and facilities for remittance ofworkers salary

5. grievance machinery for workers

6. validity and revocation of the agreement.

PROCEDURES IN RECRUITMENT AND

PLACEMENT

1. interview and selection

2. Medical Examination

3. Travel Arrangements

4. Orientation- before departure for the

worksite, hired workers shall undergo Pre-

Depature Orientation Seminar (PDOS)

DISQUALIFICATION (employee)

A. submission of fake documents

B. breach of code of discipline for Filipino

overseas workers

C. Tampering with documents issued by POEA.

D. other grounds determined by POEA


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BAN ON DIRECT-HIRING

- No employer may hire a Filipino

worker for overseas employment except

through the Boards and entities authorized by

DOLE.

- Direct hiring by members of the

diplomatic corps, International Organizations

and other employes as may be allowed by DOLE

is exempted from this provision.

A name hire is also exempted from the

ban including missionaries actually engaged in

missionary work.

* Name hire-is a worker who is able tosecure contract for employment overseas on his

own without the assistance or participation of

an agency. (however, he should still undergo

processing by the POEA.)

FOREIGN SERVICE ROLE AND PARTICIPATION

1. to provide all Filipino workers within their

jurisdiction assistance on all matters arising out

of employment.

2. to insure that Filipino workers are not

exploited or discriminated.

3. to verify and certify as requisite of

authentication the terms and conditions of

employment contracts.

4. to make continuing studies and researches

5. to gather and analyzed information on the

employment situation and probable trends

6. to peform such other duties as may be

required of them from time to time.

- to inform the home country of the status of

workers employed i their respective areas of

assignment.

MANDATORY REMITTANCE OF FOREIGN

EXCHANGE EARNINGS

* Mandatory remittance- is the amount or

portion of the basic salary of Overseas Filipino

workers required under existing laws and

regulations to be remitted by the workers to

their beneficiaries in the Philippines and sold for

pesos to the Phils. Banking system.

GENERAL RULE: ALL PERSONS SHOULD HAVE

THEIR MANDATORY REMITTANCE.

EXCEPTIONS:

1. where the workers immediate family

members, dependents, or beneficiaries are

residing with him abroad.

2. Filipino servicemen working in US military

installations.

3. immigrants and Filipino professionals and

employees working with UN agencies or

specialized bodies.

AMOUNT OF REMITTANCE (basic salary)

1. 80% - seamen or mariners

2. 70%- workers of Filipino contractors andconstruction companies; doctors, engineers,

teachers, nurses and other professional whose

employment contracts provide for free board

and lodging.

3. 50%- other professionals does not provide

free board and lodging, domestic and other

service workers, other workers falling under the

aforementioned categories.

FAILURE TO REMIT; its penalty

-shall be suspended or excluded from

the list eligible workers for overseas

employment.

-Subsequent violations shall warrant his

repatriation from the job site at the expense of

the employer or at his expense.


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- Exclusion from the list or revocation of

licenses or authority to recruit, without

prejudice to other liabilities under existing laws

and regulations.

OBLIGATIONS OF RECRUITMENT AGENCIES

- cause the inward remittance of

foreign exchange payments resulting from their

overseas transactions.

- shall also submit periodic reports to

the BSP on their foreign exchange earnings,

copies of which will be furnished the POEA.

REGULATION OF RECRUITMENT AND

PLACEMENT ACTIVITIES

PURPOSE:- use to insure the success of the

program between the government and private

sector.

PRIVATE SECTOR PARTICIPATION

The following persons or entities in tne

private sector may engage in the recruitment

and placement of workers either for overseas

employment:

1. private employment agency

2. private recruitment entity3. shipping or manning agency

4. othe person authorized by Secretary

of Labor and Employement.

*Private employment agency with a license-

refers to any person or entity engaged in the

recruitment and placement of workers for a fee

which is charged, directly and indirectly from

the workers or employers or both.

*Private recruitment entity with an authority-

refers to any person or association engaged in

the recruitment and placement of workers,

locally, or overseas, without charging, directly

or indirectly, any fee from the workers or

employers.

*Manning agency- refers to any person,

partnership or corporation duly licensed by the

Secretary of Labor to recruit seafarers for

vessels plying international waters and for

related maritime activities.

NOTES:

upon receipt of an application for

license with complete requirements,

POEA shall require the payment of non-

refundable filing fee and submission

thereof.

Within 15 calendar days from receipt of

such application, POEA shall evaluate

the pertinent documents, whether to

grant or deny the application.

PAYMENT OF FEES AND POSTING OF BONDS

Applicant shall pay a license fee of

P50,000. It shall submit and Escrow

agreement in the amount of P1,000,

000.00, confirmation of escrow deposit

with an accredited reputable bank and

a surety bond of P100,000 from a

bonding company acceptable to POEA

and accredited with the Insurance

Commission.

RENEWAL OF LICENSE- failure to obtain renewal of its license

within thirty calendar days from expiration

thereof shall be immediately deemed listed and

barred from engaging in recruitment and

placement activities.

REQUIREMENTS:

1.proof of foreign exchange earnings issued by

BSP

2. surety bond duly renewed or revalidated

3. Escrow agreement in the amount of P200,000

with an acrediation of reputable banking corp.

4. replenishment of cash bond

5. proof of financial capavity but not limited to

veified financial statements for past two years.

6. summary of deployment reports

7. summary of payroll reports

8. other requirements as may be imposed by

the POEA.


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NOTE:

-POEA shall conduct an inspection of

the premises and pertinent documents of the

applicant

DENIAL of RENEWAL LICENSES

1. failure to conclude recruitment or manning

agreement

2. failure to undertake the minimum levels of

worker deployment and foreign exchange

generation

3. failure to meet the minimum operational

standards and requirements set by POEA.

PRE-EMPLOYMENT TEST

- trade test should only be conducted

only after the agency and or its principal has

interviewed the worker and the latter has pre-qualified for an existing overseas postion.

-medical examination shall be

conducted only after and or its principal shall

have interviewed and trade tested or have pre-

qualified the worker for an existing overseas

position duly covered by an approved job order.

DOCUMENTARY PROCESSING

- as a pre-requisite for contract

processing with POEA, submit for approval arecruitment order (RO) or crew order (CO) as

the case may be, using the prescribed form

which shall indicate the names, positions and

salaries of selected contract workers.

a. individual employment contract containing

minimum provisions set by POEA.

b. SEAFARERS- valid seamen service record

book and seafarers registration card

c. Land based- insurance certificate

WORKERs DEPLOYMENT

a. 120 calendar days from the date of signing of

EO for land based workers.

b. 30 calendar days from the date of processing

by the POEA of the employment contract for

seafarers.

REPATRIATION

- OWWA sghall undertake the

repatriation in case of war, epidemic, disasters

or calamities, natural or manmade and the like.

The Administration shall reimbursed by the

responsible principal or agency.

DISCUSSION:

RULE V

PLACEMENT FEES AND DOCUMENTATION

COSTS

Section 1. Fees Chargeable Against Principals. -Agencies shall charge from their principals a

service or manning fee to cover services

rendered in the recruitment, documentation

and placement of workers.

Section 2. Fees/Costs Chargeable from Workers.

a. Private employment agencies may charge

placement fees as may be authorized by the

Secretary from a hired worker to cover costs of

placement and documentation services such as

trade or skill testing, medical examination,passport, visa, clearances, inoculation, airport

terminal fee, notarials, among others.

The above charge shall be collected from a

hired worker only after he has signed the

employment contract and shall be covered by

receipts clearly showing the amount paid.

b. Manning agencies shall not charge any fee

from seafarer-applicants for its recruitment and

placement services.

Section 3. Prohibition on Charging of Other

Fees. - No other fees or charges including

processing fees shall be imposed against any

worker, except when authorized by law.

Section 4. Seafarers Welfare Fund

Contribution. - Every seafarer processed for

deployment abroad shall contribute to the

seafarers Welfare Fund.


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Section 5. Charges Deductible from Fees by

Withdrawing Workers. - In case of withdrawal

of the worker within one hundred twenty (!20)

calendar days from the signing of the

employment contract, the agency shall refund

the amount paid by him after deducting such

actual expenses incurred in the documentation

of the worker as may be supported by receipts.

PERSONS DISQUALIFIED FROM ENGAGING

RECRUITMENT AND PLACEMENT

1. travel agencies and sales agencies of airline

companies

2. officers or members of the Board of any

corporation or partnership engaged in travel

agency.

3. Corporations or partnerships, when any of its

officers, members, board, partners, is also an

officer.

4. Persons, partnerships or corporations which

have deregatory records

a. public offices

b. private agencies

c. shipping management corp

d. other employees authorized by DOLE

CITIZENSHIP- only Filipino citizens or

corporations, partnership at least 75% of the

authorized and voting capitals tock of which is

owned and controlled by Filipino citizens shall

be permitted in the recruitment and placement

of workers, locally or overseas.

LIMITATIONS ON THE USE OF LICENSE- thelicense may be extended upon request of the

heirs, to continue only for the purpose of

winding up business operations.

CHANGE OF OWNERSHIP- shall cause the

automatic revocation of the license. The new

owner shall be required to apply for a license in

accordance with the rules.

Change of relationship may also cause

of revocation if it is materially interrupts the

course of business or results in actual

dissolution of partnership.

FEES TO BE PAID BY WORKERS- any person

applying with a private fee charging

employment agency for employment shall not

be charged any fee until he has obtained

employment through its efforts or has actually

commenved employment.

REGULATORY AND VISITORIAL POWERS

- sole power of Secretary of Labor.

-Or his duly authorized representativeat any time. (office hours)

ILLEGAL RECRUITMENT

Recruitment activities including

prohibited practices, undertaken by non-

licensees or non-holders of authority.

A person is guilty of illegal recruitment when he

gives the impression that he has the power to

send workers abroad for work such that the

latter were convinced to part with their moneyin order to be so employed.

FOUR TYPES

1. simple/ licensee- committed by a licensee or

holder of authority against one or two persons

only.

2. non-licensee- committed by any person who

is neither a licensee or holder of authority.

3. syndicated- committed by a syndicate if

carried out by a group of three or more persons

in conspiracy or confederation with one

another. ( # of persons committed)


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4. large-scale or qualified- committed against

three or more persons, individually or as a

group despite necessary license from POEA.

Essential elements:

1. the offender is a licensee/non-licensee or

holder/non-holder of authority engaged in

therecruitment and placement of workers.

2. the offender undertakes either any

recruitment activities defined under or any

prohibited practices enumerated under art 34

* recruitment agency is solidarily liable with a

foreign principal for the unpaid salaries of a

worker it recruited for employment.

*life time and a fine of not less than 500,000

nor more than 1,000,000 for large scale,

syndicated and economic sabotage

*ordinary- imprisonment not less than 6 years

and one day but not more than twelve years

and a fine of not less than 200, 000 nor more

than 500,000.

PRESCRIPTIVE PERIODS

- illegal recruitment cases shall prescribe in 5years.

- however, if the illegal recruitment cases

constitute economic sabotage, the same shall

prescribe in twenty 20 years.

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Recruitment and Placement of Workers- Reviewer