WHILE the labor sector continues to push for the end of contractualization in the country, the Department of Labor and Employment (DOLE) has transferred the mandate to manage contracting arrangements in the private sector to the Bureau of Local Employment (BLE).
Based on Labor Advisory No. 5-2023, Labor Secretary Bienvenido Laguesma said the administration of contracting arrangements will no longer be under the watch of the Bureau of Working Conditions (BWC).
“The program administration and management of contracting arrangements, pursuant to Articles 106 to 109 of the Labor Code, as well as its Implementing Rules and Regulations (IRR), have been transferred from the BWC to the BLE,” Laguesma said.
This means the BLE is tasked to act on the request letter for non-coverage based on the nature of the business and contractual relationship consistent with other applicable laws, rules, and regulations.
Laguesma said the BWC has been directed to turn over all program-related documents and data while providing technical assistance to the BLE during the transition process.
He said functions such as processing applications for registration, the conduct of inspections, revocation or cancellation of registration, monitoring, and reporting, shall continue to be performed by the appropriate DOLE regional offices.
Under existing DOLE rules, it is mandatory for all persons or entities acting as contractors to register with the labor department.
Failure to register, as stated in Department Order No. 174 – 2017, shall give the presumption that the contractor is engaged in labor-only contracting.
