Employment Rights for Long-Term Agency Workers in the Philippines

Can an employee working for an agency for over five years be considered a regular employee, and what are the implications if no regulations agreement is signed?

In the Philippines, the rights and status of agency workers, particularly those who have been employed for an extended period, are a topic of significant importance under labor law. Understanding whether such employees can be considered regular employees and the implications of not having a signed regulations agreement is crucial.

Regularity of Employment for Agency Workers

Under Philippine labor laws, the principle of regular employment assumes that any employee who has been performing activities usually necessary or desirable in the usual business or trade of the employer for at least six months on a continuous basis is considered a regular employee. This status grants them the right to security of tenure, meaning they cannot be dismissed without just or authorized cause and due process.

For agency workers, however, the situation is slightly more complex. The regularity of employment might not directly apply if they are employed by a manpower agency and assigned to work temporarily for various client companies. The regular employment status might be with the agency if they are employed under its standard terms and conditions but not necessarily with the client company they are assigned to.

Lack of a Signed Regulations Agreement

The absence of a signed regulations agreement does not automatically negate the rights of employees under the Labor Code. Employees are entitled to rights such as due process, fair treatment, and security of tenure, regardless of whether there is a formal, written agreement.

Implications of Being Made a Reliever

Being assigned as a reliever or to different locations by an agency is generally acceptable under Philippine labor laws, provided the nature of employment is such that reassignment is expected as part of the job. However, this should not be used systematically to circumvent employment regularization or to deprive employees of their rights to security of tenure.

What If There Is a Layoff?

Temporary layoffs or furloughs might be legal if there are valid business reasons such as financial difficulties or a lack of work. However, the layoff must be implemented according to the principles of fairness and with proper communication to the affected employees. The Department of Labor and Employment (DOLE) provides specific guidelines that employers must follow during such processes, including notice requirements and the duration of the layoff.

Action Steps for Agency Workers

  1. Review of Employment Status: Employees who have been with an agency for over five years and regularly perform tasks necessary to the agency’s business might consider seeking clarification of their employment status, potentially as regular employees.

  2. Seek Legal Advice: If there are uncertainties or disputes regarding employment status, rights, or conditions, consulting with a legal expert specializing in labor law can provide guidance and help in asserting one’s rights.

  3. DOLE Assistance: Employees uncertain about their legal rights or who believe their rights may have been violated can seek assistance and intervention from DOLE, which can provide legal insights, mediate disputes, or initiate investigations if necessary.

Conclusion

Long-term agency workers in the Philippines have specific rights under labor laws, and their status as regular employees depends on the nature of their duties and the duration of their employment. The absence of a signed regulations agreement does not strip them of their rights, which are protected under the Labor Code. Employees in such situations are encouraged to actively seek clarification and, if needed, legal redress to ensure their employment rights are fully respected and upheld.

Disclaimer: This content is not legal advice and may involve AI assistance. Information may be inaccurate.