DOLE Formally Orders Immediate Stop on ‘Endo’
“Endo” or the practice of indefinite contractualization by employers finally came to an end as the Labor and Employment Secretary, Silvestre H. Bello III formally ordered an immediate stop to the said malpractice which had long been prevalent in this country weeks after he announced this new Dole Policy banning endo.
Bello finally issued the Department Order 174, Series of 2017, which bans repeated hiring of employees by employers under a contract of employment of short period that falls short of the required six months probationary period to qualify for regularization.
A cabinet official during a briefing even defined “endo” as being hired for five months and then after five months, an employee would get rehired through a contractor.
However, the official also admitted that though they are gradually learning almost everything about “endo”, they still have to be very careful as they were being committed to their word that “endo” is already gone.
Under the Department Order 174, the following labor practices are prohibited:
• Labor-only contracting
• Principal farming out work to a "Cabo"
• Contracting out jobs or work through in-house agency
• Contracting out jobs or work through in-house cooperative (which merely supplies workers to the principal)
• Contracting out job by reason of strike or lockout whether actual or imminent
• Contracting out job or work by union members (to interfere with, restrain or coerce employees in the exercise of their rights to self-organization)
• Requiring contractor's or subcontractor's employees to perform functions currently being performed by regular employees of the principal
• Requiring contractor's or subcontractor's employees to sign, as precondition to employment or continued employment, an antedated resignation letter, a blank payroll, or a quitclaim (documents) among others
• Repeated hiring by contractor or subcontractor of employees for short duration
• Requiring employees under contracting or subcontracting arrangement to sign contract fixing the period of employment to a term shorter than the term of Service Agreement
• Other practices, schemes, or employment arrangements designed to circumvent the right of workers to security of tenure
Bello has pledged to revoke a department order which critics blamed for authorizing the controversial end of contract and ordered the agency to review Department Order 18-A series of 2011.
"The Department will strictly implement this new DOLE Department Order, all labor laws, rules and regulations to protect worker's rights and promote their welfare particularly on labor standards, self-organization, collective bargaining and security of tenure,"
Just a while ago, it can be recalled that even President Rodrigo Duterte himself has likewise warned companies practicing endo to abide with the law even without any assessment by the Labor Department. He claimed that firms that were not able to abide with the law regarding premature ending of employment contracts should shut down.
Meanwhile, Bello requested for additional inspectors and supplemental budget to monitor this strict implementation of the new Department Order.