Dear Attorney,
I would like to know the legal process for requesting an inspection of my company’s records. Is there a specific government agency where I can submit this request? What are the requirements or procedures I should follow?
Thank you for your advice on this matter.
Sincerely,
Concerned Employee
Insights
In the Philippines, employees and certain government agencies are granted the right to inspect company records under specific conditions. The right to request an inspection may arise in the context of labor standards, occupational safety, and health, or compliance with corporate laws.
1. Employee’s Right to Request Inspection
Under the Labor Code of the Philippines, employees have the right to access and inspect certain employment records to ensure compliance with labor standards. For example, employees can inspect their payroll records to confirm that wages, overtime, and benefits are being paid properly.
Should an employee suspect non-compliance with labor standards, they can file a complaint with the Department of Labor and Employment (DOLE), which is tasked with conducting labor inspections and audits. DOLE may initiate an inspection or audit based on the employee's complaint to ensure that the company adheres to labor laws.
2. Government Agency Authority
Under Republic Act No. 11058 or the Occupational Safety and Health Standards (OSHS) Act, DOLE inspectors also have the authority to conduct routine and unannounced inspections of a company’s workplace to verify compliance with safety and health standards. Companies must comply with these inspections to avoid penalties and sanctions.
Furthermore, the Securities and Exchange Commission (SEC) has the authority to inspect corporate records, particularly those involving publicly listed companies or entities under SEC's jurisdiction. The SEC can also investigate cases involving fraudulent activities or corporate governance violations.
3. Corporate Records Inspection
Under the Revised Corporation Code of the Philippines (Republic Act No. 11232), stockholders or members of a corporation have the right to inspect the corporate books and records. This right is especially relevant when stockholders have concerns about corporate governance or suspect mismanagement. A written demand must be made to the corporate secretary to access these records, provided the request is for a legitimate purpose.
4. Procedure for Filing an Inspection Request
To file a request for a company inspection, particularly for labor or occupational safety concerns, employees can submit a complaint to DOLE through their nearest regional office or online. For corporate records, stockholders may address their written requests directly to the company's corporate secretary.
Employees or stakeholders seeking inspection of company records should consult legal counsel to ensure proper adherence to procedures and avoid potential legal complications.