2 million workers to benefit from proposed security of tenure act — Villarin

Almost two million Filipino workers will benefit from a measure seeking to strengthen the security of tenure of employees in the private sector once it is enacted, a congressman said.

Akbayan party-list Representative Tom Villarin made the remark on Wednesday, a day after the House of Representatives approved on second reading House Bill 6908, or the proposed "Security of Tenure Act," which addresses issues regarding labor-only contracting and "end of contract."

"Conservatively, almost two million workers can immediately benefit by this. Based 'yan sa DOLE [Department of Labor and Employment] statistics," Villarin told reporters in a press conference.

"These are the agency-hired employees na registered at tsaka mga non-regular workers that are with service contractors," he added.

The measure amends several articles of Presidential Decree No. 442, or the Labor Code of the Philippines, such as Article 106 titled "Contractor," in order that whenever an employer enters into a contract with a person, he or she will be paid in accordance with the Labor Code and other laws.

The bill also prohibits contracting out of the same work contracted out by the employer.

At the same time, if the contractor fails to pay the wages, allowances and benefits of his employees, the employer will be jointly liable with the contractor to the employees to the extent of the work performed under the contract.

The "Labor-only" contracting provision is also tweaked in the measure. In this mode, a person supplying workers to an employer does not have substantial capital or investment in the form of tools, equipment, machineries, among others, and has no control over the workers' methods of accomplishing tasks.

In these cases, the person or intermediary will be considered only an agent of the employer who will be responsible to the workers in the same manner and extent as if the latter were employed directly by him.

The addition to this provision requires all persons or entities doing business as legitimate job contractors to obtain a license from the DOLE through its regional offices.

Under the measure, the person or intermediary will be considered only an agent of the employer who will be responsible for the workers in the same manner and extent as if the latter were employed directly by him.

A new article is likewise inserted in the Labor Code, which requires all persons or entities doing business as contractors to obtain a license from the DOLE through its regional offices.

Article 294 of the same code, "Security of Tenure,"  is amended so that in cases of regular employment, the employer will not terminate the services of an employee except for "just cause" or when authorized.

If illegal dismissal happens, the employee is entitled to immediate reinstatement even pending appeal and without loss of seniority rights and benefits.

Article 295, "Regular Employment" of the Labor Code is likewise amended defining a regular employee as one who has been hired for an indefinite period.

"No employment with a fixed term or definite period shall be allowed except in cases of overseas Filipinos workers, workers on probation, relievers who are temporary replacements or absent regular employees whose engagements shall not exceed six months, project employees, and seasonal workers," the bill read.

At the same time, relievers, project and seasonal employees will enjoy the rights of regular employees during their engagement, project or season, respectively. — BM/BAP, GMA News