OMNIBUS RULES IMPLEMENTING THE LABOR CODE

1 OMNIBUS RULES IMPLEMENTING THE LABOR code . PRELIMINARY PROVISIONS . SECTION 1. Title. These RULES shall be referred to as the " RULES to Implement the LABOR code ." SECTION 2. Meanings of Terms. Whenever used herein, the words " code ," "Secretary," "Department," "Regional Office" and "Regional Director" shall respectively mean the LABOR code of the Philippines; the Secretary of LABOR and Employment; the Department of LABOR and Employment; Regional Office of the Department and Director of the Regional Office. SECTION 3. Construction. All doubts in the interpretation and implementation of these RULES shall be resolved in favor of LABOR . BOOK ONE Pre-Employment RULE I Definitions of Terms SECTION 1. Definition of terms. (a) "Bureau" means the Bureau of Employment Services. (b) "NSB" means the National Seamen Board. (c) "OEDB" means the Overseas Employment Development Board.

2 (d) "Private recruitment entity" means any person or entity engaged in the recruitment and placement of workers locally or overseas, without charging, directly or indirectly, any fee against the worker. (e) "Private employment agency" means any person or entity engaged in the recruitment and placement of workers for a fee which is charged directly against the workers or employers, or both. (f) "Authority" means a document issued by the Secretary of LABOR and Employment authorizing a person or association to engage in recruitment and placement activities as a private recruitment entity. (g) "License" means a document issued by the Secretary of LABOR and Employment authorizing a person or entity to operate a private employment agency. (h) "Employment permit" means the authority issued by the Secretary of LABOR and Employment to a non-resident alien to work in the Philippines or to an employer engaged in business in the Philippines to employ such alien.

3 (i) "Beneficiary" means a person designated by a contract worker or seaman employed overseas to receive his monthly remittance. (j) "Non-resident alien" means any alien already in the Philippines or seeking admission to the Philippines to obtain employment in any public or private enterprise. (k) "Seaman" means any person employed in maritime navigation. (l) "Understudy" means any qualified Filipino citizen designated by a local employer to be trained by a foreign national allowed to work in the country by virtue of an employment permit granted to him by the Secretary of LABOR and Employment under an approved understudy training program. (m) "Recruitment and placement" refers to any act of canvassing, enlisting, contracting, transporting, utilizing, hiring or procuring workers and includes referrals, contract services, promising or advertising employment locally or abroad, whether for profit or not: Provided, That any person or entity which in any manner, offers or promises employment for a fee to two or more persons shall be deemed engaged in recruitment and placement.

4 (n) "Foreign exchange earnings" means the earnings abroad of contract workers and seamen or their recruiters or local employers or agents in terms of US dollars or any other internationally acceptable currency. (o) "Remittance" means the amount of the foreign exchange earnings remitted by a contract worker or seaman to any beneficiary in the Philippines through the Philippine banking system. (p) "Placement fees" means the amount charged by a private employment agency from an applicant worker for its services in the recruitment and placement of said worker. (q) "Mobilization fee" means the amount charged by a licensee or authority holder from its foreign employer-principal/partner to cover costs of recruitment, processing and documentation of its recruits for overseas employment. (r) "Service fee" means the amount charged by a licensee or authority holder from its foreign employer-principal/partner as payment for actual services rendered in relation to the recruitment and employment of workers for said principal/partner.

5 (s) Administration. means the Philippine Overseas Employment Administration. (u) Administrator. means a private employment or a manning agency as herein defined. (v) code . means the LABOR code of the Philippines, as amended. (w) Contracting partner. refers to a foreign party to any service agreement or project contract entered into by a service contractor or construction contractor. (x) Contract Worker. means any person working or who has worked overseas under a valid employment contract and shall include seamen. (y) Directorate. means the executive body of the Administration composed of its administrators and Directors. (z) Director LRO. refers to the Director of the Licensing and Regulation Office. (aa) Director MPDO. refers to the Director of the Market Development and Placement Office. (bb) Director WAAO. refers to the Director of the Worker's Assistance and Adjudication Office.

6 (cc) Employer. refers to any person, partnership or corporation, whether local or foreign directly engaging the services of the Filipino workers overseas. (dd) Entity. means a private recruitment entity as herein defined. (ee) Governing Board. is the policy making body of the Administration. (ff) Manning Agency. refers to any person or entity duly licensed by the Secretary to recruit seamen for vessels plying international waters and for related maritime activities. (gg) Name Hire. is a worker who is able to secure employment overseas on his own without the assistance or participation of any agency or entity. (hh) Non-licensee or Non-holder of Authority. refers to any person, partnership or corporation which has not been issued a valid license or authority, has been suspended, revoked or cancelled by the Administrator or Secretary. (ii) One-Stop Processing Center.

7 Refers to an inter-agency servicing body designed to facilitate the employment and subsequent deployment of contract workers for work overseas. (jj) Overseas employment. means employment of a worker outside the Philippines including employment on board vessels plying international waters, covered by a valid employment contract. (kk) Principal. refers to any foreign person, partnership or corporation hiring Filipino workers through an agency. (ll) Regional Director. refers to the Directors of the Regional Office of the Department. (mm) Regional LABOR Center or RLC. refers to an overseas field office of the Administration. RULE II Employment Promotion SECTION 1. Powers of the Secretary of LABOR and Employment. The Secretary shall have the power and authority to: (a) Organize and establish, as the need arises, new public employment offices in addition to or in place of existing ones for the efficient, systematic and coordinated recruitment and placement of workers for local and overseas employment.

8 (b) Organize and establish a nationwide job clearance and information system to inform applicants registering with a particular employment office of job opportunities in other parts of the country as well as overseas. (c) Develop and organize programs that will facilitate occupational, industrial and geographical mobility of LABOR and provide assistance in the relocation of workers from one area to another. (d) Require any person, establishment, organization or institution to submit such employment information as may be necessary; and chan robles virtual law library (e) Issue such RULES and regulations as may be necessary to regulate and supervise private sector participation in the recruitment and placement of workers, locally or overseas, in the context of a comprehensive national employment program. SECTION 2. Free placement services. The public employment offices shall provide free placement of workers applying for both domestic and overseas placement.

9 Applicants shall accomplish appropriate information sheets and submit such other documents as may be prescribed by the Bureau for the purpose. SECTION 3. Placement of workers. Any applicant registering for employment with a public employment office shall be interviewed to determine his occupational qualifications. The public employment office shall refer him to any appropriate job for vacancy. SECTION 4. Vocational guidance and testing. The public employment offices shall provide adequate vocational guidance and testing service to persons seeking help in choosing or changing an occupation. Each office shall at least have one (1) vocational guidance and testing officer to undertake these tasks. SECTION 5. Occupational classification of registered applicants. The public employment office shall classify registered applicants in accordance with job-titles and codes of the Philippine Standard Classification.

10 They shall also maintain a registry of skills using such forms as may be appropriate for the purpose. SECTION 6. Occupational-industrial mobility of workers. The public employment offices shall arrange for the training or retraining of unemployed applicants in occupations or trades where they are suitably qualified and have greater prospect of employment. SECTION 7. Geographical movement of workers. The public employment office shall arrange for the inter-area placement of unemployed workers through a nationwide job-clearance and information system. The transfer of workers shall be arranged by the public employment office where the applicant is registered and the office where the vacancy exists. SECTION 8. Job-clearance and information system. The public employment office shall furnish lists of registered job applicants and job openings to the Bureau which shall act as the national job-clearing house.