October 8, 2020

Continuing its thrust to share its expertise and to provide legal perspectives on relevant legal issues, DivinaLaw has once again partnered with IAM Training Services in the recently concluded 8th Labor Relations Summit. Held from October 5 to 6, DivinaLaw Senior Associate Harly Jayson U. Reyes represented the Firm and discussed the basic concepts on Contracting, Subcontracting, and Endo Arrangements.

“Does the law prohibit contracting or subcontracting? No. The law allows contracting and subcontracting arrangements, but the law closely regulates these activities for the protection of workers,” said Atty. Reyes who also shared the various laws and regulations that govern contracting and subcontracting. These are: Articles 106 to 109 of the Labor Code, Department Order No. 174-17, Labor Advisory No. 13-2015 (minimum wage for workers of contractors/subcontractors), Executive Order No. 51 issued by President Duterte, Labor Advisory No. 10-2016 declaring the prohibition against labor-only contracting, and Labor Advisory No. 06-17 on voluntary regularization.

Atty. Reyes also spoke about the conditions for permissible job contracting, shared the differences between legitimate job contracting and a labor-only contracting, and explained what are considered as illicit employment arrangements.

The Labor Relations Summit also featured speakers who discussed the DOLE Interim Guidelines amidst the COVID Crisis, Principles and Strategies for Employee Termination, Effective Grievance Handling, Handling Occupational Fraud in Work from Home Settings, and Retirement Law in the Philippines, among others.