Contracts in the Philippines
The Active Population in Figures
|Main Indicators||2008 (June)||2007 (July)|
|Labor Force||57 700 000||56 857 000|
|Labor Force (Annual Growth, %)||-||-|
|Rate of Activity (%)||63.2||63.6|
|Unemployment Rate (%)||8.0||8.0|
|Employed Persons, by Occupation (% of Total Labor Force)||2007|
|Officials of government and organizations of special interest, senior management in companies, managers, supervisors and managing owners||13.0%|
|Technicians and associated professionals||2.6%|
|Workers in the services sector, in sales in shops and on markets||9.9%|
|Workers in the agricultural, forestry and fishing sectors||17.7%|
|Factory workers, machinists and assemblers||6.5%|
|Workers and unskilled workers||32.4%|
Source: National Institute of Statistics
Management of Human Resources
- Type of Contract
- Employment contracts are regulated by legal clauses and to a lesser degree by collective agreements and individual negotiations.
The terms of employment contracts are extremely rigid.
- Breach of Contracts
- Retirement age appears in the collective agreement or the hiring contract.
- Dismissal can be decided if it is justified by: serious misconduct or a refusal to obey the orders of a superior, growing habitual negligence towards the employee's responsibilities, fraud or voluntary breach of the established contract of trust, a crime or offense against one's employer, his family or his representatives. Redundancy is also allowed (staff restrictions, etc.).
- Other Possible Methods
- A contract can be terminated if it arrives at term, if the employee resigns, or retires.
- Labor Laws
- Cases of Dispute
- Not observing the minimum wage, not paying social contributions, or bonuses and overtime, dangerous working conditions, forced labor
- Legal Framework
- The Constitution and the Philippine Labor Code.
- The parties can have recourse to mediation, conciliation or arbitration provided for in the Labor Code, or submit a written request for intervention ( AIDA) to the office of the Secretary of Labor and Employment.
- Social Dialogue and Involvement of Social Partners
- The two main groups of trade unions are TUCP and FFW. They are affiliated to the international Confederation of Free Trade Unions (ICFTU ) and to the Worldwide Confederation of Labour ( WCL).
- Unionization Rate
- 5% of workers are unionized.
Federation of Free Workers.
Kilusang Mayo Uno
- Regulation Bodies
Bureau of Labor and Employment Statistics (BLES)
Department of Labor and Employment
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