Direct hiring of overseas Filipino workers (OFWs) is governed by the following: Article 18 of the Labor Code of the Philippines, Republic Act No. 10022 (An Act Amending Republic Act No. 8042, Otherwise Known As The Migrant Workers And Overseas Filipinos Act Of 1995, As Amended, Further Improving The Standard Of Protection And Promotion Of The Welfare Of Migrant Workers, Their Families And Overseas Filipinos In Distress, And For Other Purposes), Department of Labor and Employment (DOLE) Administrative Order No. 196, Series of 2018, and the Revised Philippine Overseas Employment Administration (POEA) Rules and Regulations Governing the Recruitment and Employment of Landbased Overseas Filipino Workers of 2016, as well as POEA Memorandum Circular No. 8 series of 2018.

BAN ON DIRECT HIRING OF FILIPINO WORKERS

The abovesaid laws and regulations prohibit the direct hiring of an OFW. As such, any employer intending to hire an OFW is required to recruit through POEA-accredited/licensed employment/recruitment agencies.

POEA Memorandum Circular No. 8, Series of 2018 (Please click here for the copy of the MC.) specifies certain categories of employers who are exempted from the ban on direct hiring; and provides guidelines on the registration of direct hires with the POEA.

EMPLOYERS EXEMPTED FROM THE BAN ON DIRECT HIRING

The following employers are exempted from the ban on direct hiring:

1. Members of the diplomatic corps;
2. Members of international organizations;
3. Heads of state and government officials with the rank of at least deputy minister; or
4. Other employers as may be allowed by the POEA, such as:

1.    Those provided in 1, 2 and 3 above who bear a lesser rank, if endorsed by the Philippine Overseas Labor Office (POLO), or Head of Mission in the absence of POLO;

2. Employers of professionals and skilled workers with duly executed verified/authenticated contracts containing terms and conditions over and above the standards set by the POEA. The number of professionals and skilled workers hired for the first time by the employer shall not exceed five (5). For the purpose of determining the number, workers hired as a group shall be counted as one; and

3. Those permanent residents of the host country who are hiring relatives/family members, except as domestic workers (live-in caregiver/care worker/household service worker).

DOCUMENTARY REQUIREMENTS FOR VERIFICATION AND REGISTRATION OF DIRECT-HIRES

1. Employer’s letter request for exemption from the ban on direct hire. (Please click here for the sample.) – original and 1 photocopy
2. Employment contract signed on each page by the employer containing terms and conditions, which are over and above the POEA employment minimum standards.  – original and 1 photocopy

Note: Please see Section II b & c of POEA Memorandum Circular No. 8, Series of 2018 for POEA minimum standards and additional standards for professionals and skilled workers. If found non-compliant, the POEA will issue a Compliance Letter for the employer to accomplish.

1. Employer’s identity documents:
2. 1For employers a to d.1, data page of diplomatic passport and diplomatic ID – 2 photocopies
3. 2For employers d.2, business license/registration, and copy of owner’s or designated signatory’s IC or data page of passport - 2 photocopies
4. Approved and valid LD, if applicable – 2 photocopies
5. Approved Labor Quota of Employer, if applicable – 2 photocopies
6. Worker’s visa approval from INRD – 2 photocopies
7. Data page of worker’s Philippine passport valid for at least 6 months – 2 photocopies

Verification fee is B$14.00.

Post-verification procedures:

1. Send the verified documents, together with the POLO endorsement letter, to the worker in the Philippines
2. Once received, worker to proceed to the Direct Hire Assistance Division of the POEA and submit the following documents:

-       Verified original employment contract;

-       Passport valid at least six (6) months before the date of intended departure from the Philippines;

-       Valid work pass or IPA;

-       Certificate of medical fitness to work from a DOH-accredited medical clinic for OFWs;

-       Proof of certificate of insurance coverage covering at least the benefits provided under Section 37-A of Republic Act 8042 as amended;

-       Notarized statement by the worker on how the employment was secured, attaching the photocopy of the employer’s passport/ID and contact details;

-       TESDA National Certification 2 from TESDA (for household service workers); and

-       Certificate of attendance to the Pre-Employment Orientation Seminar (PEOS) and Pre-Departure Orientation Seminars (PDOS/CPDEP).

Reminder for Employers: Please purchase airline ticket for your worker only when the overseas employment certificate is issued or its issuance is imminent.