DOLE may adopt ECOP’s middle ground on ‘endo’

By Mayen Jaymalin (The Philippine Star), November 7, 2016

MANILA, Philippines – On the problematic employment scheme called “endo,” “win-win solution” is out; “middle ground” advocacy is in.

The government is likely to adopt the so-called “middle ground” proposal of employers as a temporary policy to end widespread contractual employment in the country.

Labor Secretary Silvestre Bello III said over the weekend he was considering adopting the proposal of the Employers Confederation of the Philippines (ECOP) on an experimental basis.

Bello is set to meet with senior Department of Labor and Employment (DOLE) officials to assess ECOP’s “middle ground” advocacy.

Unlike the “win-win” solution of the Department of Trade and Industry (DTI) and some management groups, ECOP’s “middle ground” concept is “a very plain proposition,” Bello said.

The labor secretary said ECOP’s proposal is basically stopping the illegal end of contract or “endo” employment scheme and strictly implementing national laws on contractualization.

“There are laws that strictly prohibit ‘endo,’ so those have to be implemented and there are also laws which allow contractualization like, for example, seasonal employees and project-based employees,” Bello pointed out.

“So, it is very possible that DOLE may adopt the middle ground advocacy of ECOP,” Bello said, adding he already discussed the proposal with Trade Secretary Ramon Lopez.

But Bello said he would still go through the process and consult with labor groups during the coming labor summits in the Visayas and Mindanao this month.

The labor chief said he is opting for the ECOP proposal, since many employers assured him that they would strictly comply with the law and put an end to ‘endo.’

“Employers already committed to regularize their workers and I don’t have any reason to doubt them,” Bello said.

Management groups and the DTI previously proposed a “win-win” solution, but labor groups strongly opposed it.

At this time, Bello said, it is still uncertain if DOLE would replace or just amend Department Order 18-A, which labor groups claimed is being used by employers to circumvent law on contractualization.

Bello stressed that contractualization cannot be totally banned, like what labor groups are demanding.

“From the business point and practical point, you have to allow some form of contractualization to meet the exigencies of the business and this is also my personal position,” Bello said.