Labor chief targets 50% reduction in 'endo' in six months

Labor Secretary Silvestre Bello III is targeting the reduction by half of the practice of "endo" among companies, in line with President Rodrigo Duterte's instructions to end the scheme.

"Siguro ang target ko is the first six months we will reduce the incidence of 'endo' and contractualization by 50 percent, that will be the challenge I will give to the officials in the department," Bello said after he signed a memorandum addressed to all regional labor officers of the Department of Labor and Employment (DOLE) in the country.

The memorandum directs the officers to strictly implement the Labor Laws Compliance System.

Bello also instructed its Bureau of Working Conditions to prepare profiles of contractors and subcontractors based on results and or findings from Labor Laws Compliance Officers (LLCO).

The memorandum also obliged regional directors to submit a comprehensive report to the DOLE secretary related to violations of existing labor laws and complaints of "endo" submitted by affected workers.

DOLE regional offices are also required to submit profiles of contracting and sub-contracting arrangements from companies.

"All documents shall be submitted to the Office of the Secretary, through the Office of the Undersecretary for Social Protection, on or before July 15," he said.

Bello noted that the undersecretary for Social Protection shall have overall supervision over the activities he stated in the memorandum.

To fully iron out technical aspects and issues surrounding contractualization, a workshop is scheduled on July 18 to 19 with labor officials and other stakeholders.

"All industries will benefit (from this), from shopping mall employees to workers from private companies even media and broadcasting companies," Bello said.

Not enough

While praising the move, however, a labor group said this strategy is not enough to curb the practice.

"The Associated Labor Unions-Trade Union Congress of the Philippines (ALU-TUCP) lauded the DOLE secretary for issuing a memorandum ordering DOLE regional officers to strengthen assessment and inspection of all work establishments in the country through deployment of LLCOs in starting to eliminate contractualization work scheme," Alan Tanjusay, spokesperson of ALU-TUCP, said in a text message to GMA News Online.

"However, this strategy is not sufficient if President Duterte is serious about eliminating the worst form of arrangement for good," he added.

He said the DOLE needs to hire more compliance officers to effectively combat the issue.

"The current number of LLCOs are powerless against the number of work establishments in the country. There are almost one million work establishments against only less than 600 LLCOs in all regions. More LLCOs should be hired if the drive against contractualization would be successful," Tanjusay said. —By JP SORIANO and JOHN TED CORDERO, GMA News

Except for Duterte, leading candidates for the presidential race signs contract to end contractualization

​Jejomar Binay,Grace Poe and Mar Roxas


Three days before the elections, three presidential candidates signed a contract with a coalition of labor federations and workers' organizations calling for the repeal of the notorious and rampant contractual work scheme in the country.

"We have the signatures of Mar Roxas, Grace Poe, and Jejomar Binay conforming to workers' clamor to repeal contractualization work scheme in the country. While only 3 of the 5 presidential candidates have formally signed our proposed 'anti-endo contract,' we are elated that ending contractualization work scheme is among the primary social issues that is being advocated by all the 'presidentiables,' which will influence the outcome of the May 9 national elections," the NAGKAISA labor coalition said in its statement.

By affixing their signatures, the 3 candidates have signified their commitment to fight contractualization. "Regardless of who among them wins, the minority president has a binding agreement with the majority – the Filipino working people. NAGKAISA will engage the new leadership to ensure that she/he will live up to their promise to end Endo," the group said.

Unfortunately, Rodrigo Duterte' did not sign the document. "This puts into question his sincerity in fighting contractualization," NAGKAISA said.

Also known as "endo" (end of contract) or "5-5-5" jobs, this contractual work arrangement is characterized by hiring employees for only five months without security of tenure, paid with unlawful wages and without social protection benefits and privileges compared to what regular workers receive.

Both Grace Poe and Jejomar Binay signed the agreement committing themselves to, "Certify as urgent and enact the Security of Tenure bills both for the private and the public sectors as championed in the outgoing 16th congress by Representatives Raymond Mendoza, Walden Bello and Leah Paquiz."

Mar Roxas agreed to, "Certify as urgent and enact the Security of Tenure Bill to protect workers' rights from unfair contractualization," but added that he would "study and develop flexible and lawful work arrangements to adapt to the needs of employees and employers, thereby securing humane working conditions and encouraging the creation of jobs."

The Security of Tenure Bill referred to has been languishing in Congress for more than a decade now.

NAGKAISA considers contractualization as a modern day work slavery whereby workers toil to enrich their employers but are paid with measly wages, without Social Security System (SSS), Philhealth and Pag-IBIG protection benefits, cramp in risky workplaces and without security of tenure.

Aside from ending contractualization, other issues presidential candidates have agreed with NAGKAISA are providing for living wage, ensuring quality public services, reforming workplace labor inspection, ensuring the working poor's right to the city, realizing full employment before the end of six years, among others.

The NAGKAISA is a coalition of 49 labor centers, federations, and workers' organizations including big labor groups such as the Trade Union Congress of the Philippines (TUCP), Sentro ng mga Nagkakaisa at Progresibong Manggagawa (Sentro), Bukluran ng Manggagawang Pilipino (BMP), Federation of Free Workers (FFW), National Confederation of Labor (MCL), National Federation of Labor Unions (NAFLU), Partido Manggagawa (PM) and Associated Labor Unions (ALU).

TUCP deplores the absence of decency, justice, equity and fairness

File photo

TRADE UNION CONGRESS OF THE PHILIPPINES
LABOR DAY STATEMENT
MAY 1, 2016

The Trade Union Congress of the Philippines (TUCP) today deplores the absence of decency, justice, equity and fairness in our society. Despite the continuing growth of the economy, the wages and salaries of Filipino workers remain low and inadequate. Tens of millions of workers and employees belong to the "working poor" who are without any savings, are deeply indebted, deprived of so many good things in life, and are extremely vulnerable to economic shocks and uncertainties. Working jobs that are "precarious" in nature, these are the workers who have built the wealth of the last few years. The present administration refused to support the passage of the tax reform legislation which could have provided an additional, albeit modest amount, to the take-home pay of workers. It also betrayed the workers when the President vetoed the bill increasing the monthly pension of SSS pensioners by P2,000.

Moreover, living with already low income, our workers have to further squeeze-out their meager budget to pay for their monthly electricity the price of which remains the highest in Asia. In addition, instead of giving more subsidy to mass transportation system which our workers use every day to go to work, the government decided to withdraw all the subsidies to the MRT and LRT which resulted in the increase of fare. Add to that the dangers to life and limb who use our MRT/LRT. We don't have universal and free health care system in the country. If a worker gets seriously sick, he must be prepared to just die. The practice of labor contractualization or hiring workers on time-bound contract had also widened. Tens of millions of work are under contractual arrangements, known as "endo contracts", do not receive minimum wages, have no benefits and work in poor working conditions. The very nature of their insecure work arrangements means that they cannot join unions. Most of them are not also covered by social protection.

The situation of Filipino workers remains intolerable. We want the next administration to improve the lives of workers and their families by putting back money into their hands and by providing them economic relief. We need substantial wage increases. We want the next Congress to pass the tax reform bill to reduce the taxes on workers' income so that they will have more money in their pocket. We demand the next administration to increase the monthly pension of SSS pensioners by P2,000 to help our elderly pensioners have more money to buy food and medicine. We want lower electricity rates in the country. The next Congress must amend the EPIRA and strengthen the regulatory capacity of the ERC.

Furthermore, we want the next government to put back the subsidy for MRT and LRT to decrease the existing fares and to improve the services of the said mass transportation systems. We also wish it to create a National Health Care System that will provide free and universal health care for all with a strong focus on public health and preventive care.

Most importantly, we want the new government to support the passage of the Security of Tenure bill to provide our workers security of employment which will give them all the advantages of being regular workers. Without regularization, workers have no SSS coverage, no Philhealth, no Pag-Ibig and no hope for a better life.

We in TUCP will mobilize all our resources to achieve our vision for all workers and our families. We will continue to struggle to build a more decent, inclusive, progressive, free and humane society.

We urge our social partners both in business and government to join us in reaching a new social contract under the new government.

TUCP: Living wage is P12,517/month

​Php154 wage hike petition to wage board

THE TRADE Union Congress of the Philippines (TUCP) on Sunday justified its demand for a P154 increase in daily minimum wage in Metro Manila, saying the current wage of P481 was not enough to lift workers out of poverty.

TUCP Nagkaisa spokesperson Alan Tanjusay said that considering inflation and its impact on the purchasing power, the real value of the daily minimum wage was actually only P315.56, way below  the government's P417-a-day estimated poverty threshold for a family to cope with the cost of living.

Tanjusay said that on a monthly basis, the real wage value was P9,467 a month, way below the P12,517 monthly income needed to meet the basic food needs of a family of five based on the Food and Nutrition Research Institute (FNRI).

The requirements include nonfood needs such as clothing, housing, transportation, health and education to ensure that one remains economically and socially productive.

He cited Philippine Statistics Authority (PSA) estimates in March that the number of workers whose wage value fell below the poverty threshold reached 7.879 million.

The TUCP said it would also file minimum wage increase petitions for workers in Region 4A as well as the provinces of Cebu, Davao and Cagayan de Oro.

Red alert warning

"We are raising a red alert warning to employers and the government to immediately address the disparity between the minimum standard required for a family to survive and the current real value of the highest minimum wage," said Tanjusay.

"The wage boards must convene immediately to bring quality relief to workers unable to cope with the rising cost of living due to their inadequate salaries," he added.

He said a minimum wage lower than the poverty threshold affected production due to insufficient nutrition and stress.

"If this low quality of life is not acted upon, there will be more perpetrators and victims of all sorts of crime, more Filipinos would opt to work abroad, and it would breed a host of social problems," said Tanjusay.

The TUCP filed its petition to bring the daily minimum wage up to P635  with the Metro Manila wage board on Thursday.

He said a P154 wage increase would merely restore the P481 to its real value.

Last year, the TUCP filed a P136 wage increase petition for minimum wage earners in Metro Manila but the DOLE-NCR approved only  P15.

The one-year prescriptive period of the last wage increase expired on April 4, thus the need to seek a new wage increase to make the salary of Metro Manila workers more realistic, he said. - - By: Estrella Torres @inquirerdotnet Philippine Daily Inquirer