PHILIPPINE INSTITUTIONAL AND LEGAL FRAMEWORK FOR LABOR...

PHILIPPINE INSTITUTIONAL AND LEGAL FRAMEWORK FOR LABOR MIGRATIONFOR LABOR MIGRATION

LUZVIMINDA G. PADILLAU G

MANAGING ORGANIZED RECRUITMENT M R iMoscow, Russia

May 2011

Europe

0.410M0.410M OFW Remittances $US 17 35B (2009)$US 17.35B (2009)$US 18.76B (2010)

MiddleEast

Americas & Trust

Territories

Asia & the

0.420M0.420M 2.4M2.4M

Asia & the Pacific

0.621M0.621M

Source: CFO (*2008 data) 2

Deployment and Remittances (in US$ Billions)

2001‐2009

Remittances

1 422 586

16.427 17.348

Remittances

988,6151,062,567 1,077,623

1,236,013

1,422,586

10.68912.761

14.449

Deployment

867,599 891,908 867,969933,588

988,615

6 031

7.189 7.640

8.544

6.031

2001 2002 2003 2004 2005 2006 2007 2008 2009

Sources: POEA and Banko Sentral ng Pilipinas3

3 waves of Philippine migration ‐migration . 1900’s ‐ sugar workers to Hawaii. 1960’s ‐ professional and highly skilled workers to North AmericaNorth America. 1970’s – construction and service workers to the Middle East

Policy and Legal Framework for Labor Migration

Migration is a personal decision of an individual for personal gainpersonal gain

Underlying goals of labor migration:Underlying goals of labor migration: protection of workers welfare ‐ (Phil. Constitution, LCP) dignity of worker and country ‐ (RA 8042) dignity of worker and country ‐ (RA 8042) protection of human rights ‐ (RA 8042) protection of fundamental rights and freedom ‐ protection of fundamental rights and freedom ‐

(LCP, RA 8042)


Labor Code of the Philippines (1974) – laid down the State objectives for labor migration ‐

“promote full employment” “secure the best possible terms and conditions of employment for every citizen desiring to work overseas”

“facilitate and regulate the movement of workers in conformity with national interest”

“rationalize the participation of the private sector in the recruitment and placement of workers overseas”

Policy and Legal Framework for Labor

Migration

L b C d f h Phili i Labor Code of the Philippines –• Established a regulatory mechanism for migration

hi h i l d d li i dmanagement which included a licensing and regulation systemE bli h d i i i l i h l• Established institutional structures with clear mandates for its roles in the migration management frameworkframework

• Established an enforcement system for protecting migrants’ rights which include standards settingmigrants rights which include standards setting, private sector intermediation and dispute resolution


Letter of Instructions No 537 – created a “WelfareLetter of Instructions No. 537 created a Welfare and Training Fund for Overseas Workers” from membership contributions paid by overseas p p yemployers of Filipino workers, which would:

• Provide social and welfare services to OFWs• Provide skills and career development services to OFWs and their replacementsp

• Undertake studies and researches for enhancement of the social, economic and cultural well being of , gOFWs

• Develop, support and finance projects for OFWs p, pp p j

Policy and Legal Framework for Labor y gMigration

PD 1694 formally created the “Welfare FundPD 1694 formally created the Welfare Fund for Overseas Workers” as a corporate‐like institution with a policy making body theinstitution with a policy‐making body ‐ the Board of Trustees ‐ representing government agencies whose functions involved migrationagencies whose functions involved migration management, and an administrative staff headed by an Administrator It centralizedheaded by an Administrator. It centralized fund collection, investment and management, d i l t ti dand program implementation under one

institution.


Executive Order 797 (1982) - streamlined theExecutive Order 797 (1982) - streamlined the system and infrastructure for the recruitment and placement of workers for overseas employmentplacement of workers for overseas employment and created the Philippine Overseas Employment Administration as the soleEmployment Administration as the sole institution for management of labor migration in place of 3 government agencies. EO 797 was p g gamended by EO 247 in 1987 which restructured the POEA for better clarity of its mandates, better y ,effectiveness, for more meaningful welfare services to workers, better protection and adjudication of their rights.


Migrant Workers and Overseas Filipinos Act Migrant Workers and Overseas Filipinos Act of 1995 (RA 8042) – set a higher standard of protection for migrant workers and adopted aprotection for migrant workers and adopted a policy of selective deployment of OFW limiting it to destination countries where the rights ofto destination countries where the rights of workers are protected, such as countries which:

1) Have labor and social laws that protect migrant1) Have labor and social laws that protect migrant workers, or

2) Are signatory to multilateral conventions relating2) Are signatory to multilateral conventions relating to protection of migrants, or

P li d L l F k f L b Policy and Legal Framework for Labor MigrationMigration

RA 8042 contRA 8042, cont.3) Have bilateral arrangement with the Philippines for the protection of migrants andthe protection of migrants, and

4) Are taking positive, concrete steps to protect the rights of migrant workersrights of migrant workers.It institutionalized/established:

• A Legal Assistance Fund for migrants;• A Legal Assistance Fund for migrants;• An Emergency Repatriation Fund to be administered by OWWA;administered by OWWA;

• A National Reintegration Center for OFWsunder the DOLE;under the DOLE;

Policy and Legal Framework for Labor MigrationMigration

RA 8042 contRA 8042, cont.• The Filipino Workers Resource Center, funded

d d b DOLE i ith land managed by DOLE, in areas with large concentration of OFWs;

• A pre-departure loan program and family loan assistance to be administered by OWWA for the benefit of workers seeking overseas employment;

• Created the Office of Legal Assistant for Migrants;

• Institutionalized the one country‐team approach in protecting migrants in the foreign posts.protecting migrants in the foreign posts.


RA 10022 amended RA 8042 in 2010 andRA 10022 amended RA 8042 in 2010 and introduced the following additional measures for the protection of labor migrants:the protection of labor migrants:

• A system for certification by the Philippine Missions abroad attesting to the existence of the gspecific measures which protect the rights of migrants.

• Institutionalized the joint and several liabilityof Employer and recruitment agency for complaints by OFWs involving employercomplaints by OFWs involving employer‐employee relationship which shall be incorporated in the employment contractincorporated in the employment contract.

Policy and Legal Framework for Labor MigrationMigration

RA10022 contRA10022, cont.• Institutionalized the conduct of information program for migrant workers by POEA, not only on their rightsfor migrant workers by POEA, not only on their rights as workers but also on their human rights, and instruct and guide them on how to assert their rights and provide mechanism to redress violation of such rights.

• Intensify anti‐illegal recruitment program and provide comprehensive PEOS that discusses the prevention of illegal recruitment and the issue of gender sensitivity;P id d f l i f i k• Provided for compulsory insurance for migrant workers at the employers’ and recruitment agencies’ cost;R d t ffi i l i i ll li bl f• Renders government officials criminally liable for neglect of duty to protect migrant workers.


Oth l th t h th t ti d Other laws that enhance the protection and ensure the rights and welfare of OFWs and O Fili iOverseas Filipinos:

• Overseas Absentee Voting Act of 2003

• Anti‐trafficking In Persons Act of 2003

• Citizenship Retention And Reacquisition Act of 2003Citizenship Retention And Reacquisition Act of 2003

• Balikbayan Act of 1989

Institutions and Structures Providing Support Services to Migrants

I h H CIn the Home Country• Department of Labor and Employment (DOLE)• Philippine Overseas Employment Administration (POEA)

• Overseas Workers Welfare Administration (OWWA)• Technical Education and Skills Development Authority (TESDA) and Accredited Training and Assessment Centers

• National Reintegration Center for OFWs (NRCO)• Maritime Training Council (MTC)• Professional Regulation Commission (PRC)


N ti l L b R l ti C i i (NLRC)• National Labor Relations Commission (NLRC)• Department of Health (DOH) and Accredited Health Clinics and FacilitiesHealth Clinics and Facilities

• Department of Foreign Affairs – Office of the Undersecretary for Migrant Workers Affairs (DFAUndersecretary for Migrant Workers Affairs (DFA‐OUMWA), Embassies and Consulates

• Maritime Industry Authority (MARINA)• Maritime Industry Authority (MARINA)• Department of Justice (DOJ)• Department of Social Welfare and Dev (DSWD)• Department of Social Welfare and Dev. (DSWD)• Department of Interior and Local Government (DILG)(DILG)


At WorksiteAt Worksite• DOLE – Philippine Overseas Labor OfficeO lf Offi• OWWA – Welfare Officer

• Philippine Embassies and ConsulatesPrivate institutions• Banks and Money Remittance Offices• Church‐based and other charitable institutions• Diaspora and Filipino communitiesDiaspora and Filipino communities• Non governmental organizations

Institutional Support Services for Labor Migrants

Services for Preparing Workers for Overseas Services for Preparing Workers for Overseas Employment

• Pre employment and pre departure orientation• Pre‐employment and pre‐departure orientation briefings

Skill t i i t d tifi ti• Skills training, assessment and certification

• Pre‐ employment medical and physical examination

• Language training and culture orientation for vulnerable skills

• One‐stop‐shop employment documents processing and deployment clearanceand deployment clearance

Institutional Support Services for Labor MiMigrants

Services for Ensuring Fair Recruitment Practices d F bl E l t T d and Favorable Employment Terms and

Conditions–• Licensing inspection and evaluation of recruitment• Licensing, inspection and evaluation of recruitment

agencies, ban on direct hiring by foreign employers • Standards setting for recruitment practices andStandards setting for recruitment practices and

documentation, collection of placement fees, minimum employment terms and conditions

• Verification of recruitment and employment documents to establish existence of the employer, its capability to

l i h h d di i f lcomply with the terms and conditions of employment, and compliance of employment contract with standards set by law at home and in destination countriesset by law at home and in destination countries


S i f E i F i R i P i Services for Ensuring Fair Recruitment Practices and Favorable Employment Terms and ConditionsConditions–

• Accreditation or registration of foreign principal or employer or project that seeks to hire OFWsemployer or project that seeks to hire OFWs

• Employment contract registration and clearance for deploymentdeployment

• Imposition on recruitment agencies of joint and several liability with foreign employer forseveral liability with foreign employer for enforcement of employment contract


Services or Mechanism for Securing Compliance by Services or Mechanism for Securing Compliance by Recruitment Agency and Foreign Employer with their Responsibilities

• Imposition of bonds as requisite for licensing of agencies

• Arbitration of cases for violation of recruitment rules and regulations and imposition of penalties and fines on recruitment agencies, principals or employers

• Arbitration of employment contract violations and imposition of joint and several liability on recruitment agency and principal/employer in

l t l t d l iemployment‐related claims


Services or Mechanism for Securing Compliance by Recruitment Agency and Foreign Employer with their Responsibilities

• Social and welfare services to distressed OFWs at worksite and assistance in settlement of employment‐related disputes through conciliation and mediation or in filing cases with authorities of host country


Services for Ensuring the General Welfare of Se ces o su g t e Ge e a e a e oOFW-

• Provision of legal assistance to OFWs who are facing g gserious legal problems

• Pursuing bilateral agreement with host governments g g gfor the protection of OFWs

• Implementation of pre‐departure loan program and p p p p gfamily loan assistance

• Provision of education and skills upgrading assistance pg gand scholarship to deserving OFWs

• Ban on direct hiring of OFWs by foreign employers g y g p yespecially HSW and female low‐skilled workers


Services for Ensuring the General Welfare of Services for Ensuring the General Welfare of OFWs-

• Provision of healthcare disability benefits and• Provision of healthcare, disability benefits and rehabilitation services

• Provision of repatriation assistance to OFWs in• Provision of repatriation assistance to OFWs in distress especially underage workers

• Provision of temporary shelter for OFWs and family• Provision of temporary shelter for OFWs and family at the FWRC abroad

• Provision of reintegration assistance upon return to• Provision of reintegration assistance upon return to home country

• Arbitration services for employment related claims• Arbitration services for employment‐related claims

Challenges and Gaps in Migration ManagementChallenges and Gaps in Migration Management

• Establishing a harmonized system for regulating the flow g y g gof migrants that balances workers’ freedom of movement and the State duty to restrain mobility when ti l i t t d lf i t t k i i bnational interest and welfare is at stake, ex. imposing ban

on deployment of workers to countries/destinations stricken by war civil disorder or disaster The raging issuestricken by war, civil disorder or disaster. The raging issue in the Philippines is whether to stop deployment of HSW to the Middle East, in particular KSA.

• Harnessing remittance obtained from overseas employment to activities that would produce more

d i d iti lt f th k d hienduring and positive results for the worker and his family and the home country;

Challenges and Gaps in Migration ManagementChallenges and Gaps in Migration Management

• Effectively addressing the social costs of migration• Effectively addressing the social costs of migration• Effective advocacy for support services or strategies for

protecting migrants in destination countriesprotecting migrants in destination countries• Ensuring skills and technology acquired during

employment produce development gains for the migrant p y p p g gworker and boost human capital in the country

• High skilled workers migration result in loss of the best and the brightest in the labor force, the challenge for origin countries is how to turn “brain drain” into “brain and resource gain” Example of the Philippines’ MOUand resource gain”. Example of the Philippines’ MOU with Canadian provinces.

End of Presentation

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