REVISED POEA RULES AND REGULATIONS
GOVERNING THE RECRUITMENT AND EMPLOYMENT OF
LANDBASED OVERSEAS FILIPINO WORKERS OF
2016
PART II
LICENSING AND REGULATION
RULE I
Private
Sector Participation in the Overseas Employment Program
SECTION 1.Participation of the Private
Sector. The private sector shall participate in
the recruitment of Filipino workers for overseas employment in accordance with
these Rules and any subsequent guidelines that may be issued by the POEA
Governing Board and the Administration.
SECTION 2. Who may participate; Required Capitalization. Any Filipino citizen acting as a sole
proprietor or a partnership, or a corporation at least seventy-five percent
(75%) of the authorized and voting capital stock of which is owned and
controlled by Filipino citizens, may engage in the business of recruitment and placement of Filipino workers.
The sole proprietor and partnership shall have a minimum
capitalization of Five Million Pesos (PhP5,000,000.00) and a minimum paid up
capital of Five Million Pesos (PhP5,000,000.00) in case of a corporation.
Those with
existing licenses shall, within four (4) years from effectivity hereof,
increase their capitalization or paid up capital, as the case may be, to Five
Million Pesos (PhP5,000,000.00) at the rate of Seven Hundred Fifty Thousand
Pesos (PhP750,000.00) every year.
SECTION 3. Who are Disqualified. The following persons and entities are disqualified to
participate or engage in the recruitment and placement of workers for overseas
employment:
a. Travel agencies and sales agencies of
airline companies;
b. Officers or
members of the Board of any corporation or partners in a partnership engaged in
the business of a travel agency;
c. Corporations and partnerships, where any
of its officers, members of the board or partners is also an officer, member of
the board or partner of a corporation or partnership
engaged in the business of a travel agency;
d. Individuals, partners, officers or
directors of an insurance company who make, propose or provide an insurance
contract under the compulsory insurance coverage for agency-hired Overseas Filipino Workers;
e. Sole proprietors, partners or officers
and members of the board with derogatory records, such as, but not limited to
the following:
1. Those convicted, or
against whom probable cause or prima facie finding of guilt is determined by a competent authority,
for illegal recruitment, or for other related crimes or offenses committed in
the course of, related to, or resulting from, illegal recruitment, or for
crimes involving moral turpitude;
2. Those agencies whose licenses have been revoked for violation of RA
8042 (Migrant Workers and Overseas Filipinos Act of 1995), as amended, PD 442
(Labor Code of the Philippines), as amended, and RA 9208 (Trafficking in
Persons Act of 2003), as amended, and their implementing
rules and regulations;
3. Those agencies
whose licenses have been cancelled, or those who, pursuant to the Order of the
Administrator, were included in the list of persons with derogatory record for
violation of recruitment laws and regulations; and
f. Any official or employee of the DOLE,
POEA, OWWA, DFA, DOJ, DOH, BI, IC, NLRC, TESDA, CFO, NBI, PNP, Civil Aviation
Authority of the Philippines (CAAP), international airport authorities, and
other government agencies directly involved in the implementation of RA 8042, as amended, and/or any of his/her
relatives within the fourth civil degree of consanguinity or affinity.
RULE II
Issuance
of License
A. APPLICATION
SECTION 4.
Pre-Qualification Requirements. Any person applying for a license to
operate a recruitment agency shall file a written application with the
Administration, together with the following requirements:
a.
Business
Name Certificate issued by the Department of Trade and Industry (DTI) in the case of a
single proprietorship, or a certified copy of the Articles of Partnership or
Articles of Incorporation duly registered with the SEC in the case of a partnership or corporation;
b.
Proof of
financial capacity:
i.
Bank
certificate showing a deposit of at least Five
Million Pesos (PhP5,000,000.00), with authority to examine the bank account;
ii.
Duly
filed Income Tax Returns (ITR) for the last two (2) years of the proprietor,
partners, members of the Board of Directors and major stockholders of a
corporation and official receipts showing payment of
income tax; and
iii.
Proof of
sources of investment.
c.
Proof of
existence of new market:
i.
POLO verified and/or consulate authenticated Recruitment/Service
Agreement (RA/SA) duly concluded by the applicant and the new principal/employer.
For this purpose, a
new principal/employer refers to a principal/employer which has never been
accredited/registered with any licensed recruitment agency or with the
Administration and has been existing for at least a year; Provided, that in the case of a foreign placement agency, its client
employer/s must be identified and must not have been accredited with any
licensed recruitment agency or with the Administration.
ii.
Employers
profile to include:
a.
Valid
business license or commercial registration of the
principal/employer, with English translation;
b.
Information
on business activities;
c.
Number of
years in operation; and
d.
Number of
workers.
d.
Proof of
possession by the sole proprietor, managing partner, president or chief
executive officer, as the case may be, of a bachelor's degree or at least four
(4) years experience in human resource management or
experience in heading or managing a manpower
business;
e.
Valid
clearances from the NBI and the Anti-Illegal Recruitment Branch of the
Administration for the proprietor, partners, and all members of the board of
directors of the applicant agency. If a member of the board is a foreign
national, a duly authenticated police clearance from
his/her country of origin shall be required;
f.
A duly
notarized undertaking by the sole proprietor, the managing partner, or the
president of the corporation stating that the applicant shall:
1.
Negotiate
for the best terms and conditions of employment for
the workers;
2.
Select
and deploy only medically fit and competent workers as tested by the employers
or certified by TESDA or by other competent authority;
3.
Provide
orientation to the workers on recruitment procedures, as well as the country profile and the working and living
conditions, and other relevant information about the host country and work
site;
4.
Obtain
compulsory insurance coverage for its hired workers for the duration of the
contract of employment, at no cost to the workers;
5.
Provide
the worker a copy of the contract upon signing and provide the OEC upon
issuance;
6.
Guarantee
that there is no officer or employee of the recruitment agency related within
the fourth civil degree of consanguinity or affinity to any official or employee of any government agency engaged, directly or
indirectly, in the implementation of RA 8042, as amended;
7.
Assume
full and complete responsibility for all claims and liabilities which may arise
in connection with the use of the license;
8.
Assume joint and several liability with the employer for all
claims and liabilities which may arise in connection with the implementation of
the contract, including but not limited to unpaid wages, death and disability
compensation and repatriation;
9.
Assume
full and complete responsibility for all acts of its
officers, employees and representatives done in connection with recruitment and
placement;
10.
Adhere to
the ethical standards as prescribed in the Code of Conduct for Ethical
Recruitment as endorsed by recruitment industry
associations and the Administration; and
11.
Guarantee compliance with existing labor and social legislation of
the Philippines and of the country of employment of the recruited workers.
g.
In case
of a corporation or partnership, a duly notarized undertaking
by the corporate officers and directors, or partners, that they shall be
jointly and severally liable with the corporation or partnership for claims
and/or damages that may be awarded to the workers;
h.
List of all officials and personnel involved in recruitment and placement, together with their
appointment, signed bio-data and two (2) copies of their passport-size
pictures, as well as their clearances from the NBI and their individual
affidavits, declaring that they have no conviction
or pending criminal case for illegal recruitment or
case involving moral turpitude;
i.
Certificate
of attendance of the sole proprietor, managing partner, president, chief
executive officer and/or operations manager in a Pre-Licensing Orientation
Seminar (PLOS);
j.
Flowchart detailing step-by-step recruitment procedures, documentary
requirements, briefings and orientations required, authorized fees and costs,
deployment timeframes, and the responsible officer/s and process cycle time for
every phase of the process; and
k.
Four-year business plan detailing financial, market and
operational viability, including projected income and a risk management plan.
SECTION 5. Payment of Filing
Fee. Upon receipt of the complete
requirements for application, the Administration shall require payment of a
non-refundable filing fee of Twenty-Five Thousand Pesos (PhP25,000.00) and
submission of proof of payment thereof.
SECTION 6.Panel Interview. The proprietor,
partners and members of the Board of Directors,
including the major stockholders, shall undergo a panel interview to ascertain
their qualifications and fulfillment of the requirements under Rules I and II,
Part II of these Rules.
SECTION 7.Decision
on the Application. The Administration shall notify the
applicant in writing of the decision on the application within three (3)
working days after interview.
SECTION 8.Grounds for Denial of
Application. An application for license shall be
denied when the applicant fails to satisfy any of the
requirements or gives any false information or documents.
SECTION 9.Submission of
Post-Qualification Requirements.
Upon receipt of the notification, the applicant shall submit the
following post-qualification requirements prior to
the issuance of the provisional license:
a.
A lease
contract for an office space measuring at least one hundred (100) square
meters, or proof of building ownership that will be used as an office or an
identified portion thereof measuring at least 100 square meters;
b.
An
office layout providing and clearly delineating adequate spaces that will serve
as receiving area, interview room, administrative and finance area,
conference/training room, and an executive office;
c.
An
inventory of office equipment and facilities, which
at the minimum, shall include the following:
i. Office furniture such as tables and chairs for the
president and other officers and employees, as well
as similar furniture for the receiving area, interview room and
conference/training room;
ii. Secured filing
cabinets; and
iii. Office equipment which shall, at the minimum, include two (2)
computers, computer printer and scanner, photocopying
machine, fax machine, landline telephone,
internet connection, and multi-media equipment (i.e. LCD projector, and
other similar audio-visual equipment).
d. Organizational chart indicating the
duties and responsibilities and names of officers and staff, which shall, at the minimum, consist of the
President, Chief Executive Officer, Recruitment and/or Documentation Officer,
Accountant or Bookkeeper, Cashier and Liaison Officer;
e.
Payment
of license fee of One Hundred Thousand Pesos (PhP100,000.00);
and
f.
An escrow
agreement with a bank authorized by the Bangko Sentral ng Pilipinas to handle trust accounts, with deposit
in the amount of One Million Pesos (PhP1,000,000.00).
The escrow deposit
shall answer for all valid and legal claims arising
from contracts of employment and violations of the conditions for the grant and
use of the license, including fines imposed by the Administration. The escrow
shall likewise guarantee compliance with prescribed recruitment procedures,
rules and regulations, appropriate terms and
conditions of employment, and relevant issuances of the DOLE.
The escrow deposit shall not be sourced from the
capitalization requirement.
SECTION 10.Assessment Prior to Issuance
of License. The Administration shall assess
the applicants compliance with paragraphs (a), (b) and (c) of the preceding
section. The
Labor Laws Compliance Officer (LLCO) shall determine the size of the office
space and the existence of the facilities and equipment as shown in the
applicants floor plan and inventory of equipment.
The assessment shall be conducted in
accordance with the provisions of Rule III, Part II of these Rules.
B.
PROVISIONAL LICENSE
SECTION 11.Issuance and Validity of a
Provisional License. Within
five (5) working days from satisfaction of the
post-qualification requirements, the Administration shall issue a provisional license which
shall be valid within a non-extendible period of two (2) years from date of
issuance.
SECTION 12.Prohibition. The agency granted with a
provisional license shall not deploy domestic workers during the validity of the provisional license.
C. REGULAR LICENSE
SECTION 13.Application for Upgrading of
Provisional License to a Regular License. Upon application, a
provisional license may be upgraded to a regular
license at any time during its validity upon deployment of one hundred (100)
workers to its new principal/s, and upon submission of the following:
a. Quality Management System
(QMS) manual, defining the scope of the agencys quality
management system that includes, among others, the quality policy and
objectives, organizational structure and management responsibilities, and
documented recruitment and deployment processes;
b. Updated bank certificate stating that the escrow deposit remains at One
Million Pesos (PhP1,000,000.00);
c. Certificate of no pending case or any
substantiated adverse report during the validity of the provisional license;
d. Certificate of attendance to the
Continuing Agency Education Program (CAEP) of all its officers
and staff; and
e. Latest audited financial statement.
SECTION 14.Validity of a Regular License. The regular license shall be valid up
to the full term of four (4) years from the date of issuance of the provisional
license.
The application for upgrading
of the
provisional license
shall be filed within three (3) months before the expiration of the provisional license.
D.
RENEWAL OF LICENSE
SECTION 15. Renewal of
License. A licensed recruitment agency should submit an application for the
renewal of its license within three (3) months before
the expiration of its license. The application shall be supported by the
following documents:
a. Updated DTI registration in case of sole
proprietorship, or General Information Sheet in case of partnership and corporation;
b. Renewed/new escrow agreement with a
commercial bank authorized to handle trust accounts by the Bangko Sentral ng Pilipinas, supported by a bank certification;
Provided, that, if
during the renewal, the applicant has pending recruitment violation case/s before the Administration, an additional
escrow deposit shall be required in accordance with the
following schedule:
|
NO. OF
PENDING CASE/S |
ADDITIONAL
ESCROW DEPOSIT |
|
1 to 5 |
PhP50,000.00 per
case |
|
6 to 10 |
PhP75,000.00 per
case |
|
11 or more |
PhP100,000.00 per
case |
The total escrow deposit shall, in no case, exceed Two Million Pesos (PhP2,000,000.00).
Provided,
further, that, if in the succeeding renewal, the licensed recruitment agency
has no pending case, the Administration shall allow
the withdrawal of the additional escrow deposit.
c. Duly filed latest audited financial
statements and income tax returns of the licensed recruitment agency. In case the equity of the licensed
recruitment agency is below the minimum capitalization requirement, it shall be given thirty (30) days from release of the
renewed license to submit an SEC
certification on
capital infusion, otherwise the license shall be suspended until it has complied with
such requirement;
d. Clearances from the NBI and the Anti-Illegal Recruitment Branch of the sole proprietor, partners, members of
the board of directors, officers, and personnel; and
e. Valid Certificate of Compliance with
general labor standards and valid Certificate of Compliance with occupational
safety and health standards.
The Administration shall only accept
applications with complete requirements based on the checklist for renewal of
license. No application shall be
accepted after the date of expiration of the license.
SECTION 16.Action on Renewal of License.The Administration shall evaluate the application within
five (5) working days from receipt of such application. The license remains
valid until the application shall have been finally acted upon.
E. ESCROW
DEPOSIT
SECTION 17.Maintenance of Escrow Deposit. A licensed recruitment agency shall
maintain at all times its escrow deposit in the minimum amount of One Million Pesos (PhP1,000,000.00). In case the licensed recruitment agency is required an
additional escrow pursuant to Section 15, it shall maintain
the escrow deposit of One Million Pesos
(PhP1,000,000.00) plus the additional escrow.
In case the escrow deposit has been
garnished, the licensed
recruitment agency shall replenish the escrow deposit within fifteen (15) days
from receipt of the Notice
to Replenish Escrow Deposit. Failure to comply with such notice will
result in the suspension of the license of the recruitment agency. Within the
same fifteen (15) day period, the licensed recruitment agency may explain why it should not be suspended for such failure to
comply.
The Administration shall ensure
compliance with the increased escrow deposit as provided in this Rule.
SECTION 18. Monitoring
Compliance with Conditions for the Issuance of the License. The Administration shall monitor the compliance of licensed
recruitment agencies with the conditions for the issuance of license,
recruitment laws, rules and regulations on the use of license, and general
labor standards and occupational safety and health
standards in coordination with the DOLE Regional Office.
The Administration shall suspend or
revoke the license of a recruitment agency for failure to maintain the required
qualifications or conditions for the issuance of a license as provided in this Rule.
SECTION 19. Release of
Deposit in Escrow. The deposit in escrow of a licensed recruitment agency
that voluntarily surrenders its license or has not renewed its license shall be
released upon submission of the following:
a.
Copy of
the duly executed/signed escrow agreement;
b.
Bank
certification on the status of escrow deposit;
c.
Certificate
of No Pending Case from the NLRC;
d.
Clearance
from the Adjudication Office;
e.
Notarized
Board Resolution/Partnership Resolution duly received by the SEC on the decision to withdraw escrow deposit, indicating the name of
the person to process and receive the check representing the escrow deposit;
and
f.
Surety
bond equivalent to the amount of the escrow deposit valid for four (4) years
from expiration of the license, if applicable.
F. COMMON PROVISIONS
SECTION 20. Derogatory
Record after Issuance/Renewal of License. The license of a single
proprietorship or a partnership shall be suspended, until cleared by the
Administration, should any derogatory record as provided
in Section 3 herein be found to exist against the single proprietor or any or
all of the partners, as the case may be.
The appointment of any officer or
employee of any licensed recruitment agency may be cancelled or revoked by the
Administration at any time, with due notice to the
licensed recruitment agency concerned, whenever said officer or employee is
found to have any derogatory record.
SECTION 21.
Non-Transferability of License. No license shall be used, directly or indirectly, by any person other than the one in whose favor it was
issued, nor at any place other than that stated in the license, nor may such
license be transferred, conveyed or assigned to any other person or entity.
SECTION 22. Revocation
of License of Sole Proprietorship. The license of
the sole proprietorship shall automatically be revoked upon the death of the
sole proprietor. The next-in-rank
officer of the agency shall, within ten (10) days, report such death to the
Administration. Failure to report shall automatically
include such next-in-rank officer in the list of persons with derogatory
record.
SECTION 23.Revocation of License of a
Partnership Due to Death or Withdrawal of Partner. The license of a
partnership shall be automatically revoked upon the
death or withdrawal of a partner which materially interrupts the course of
business or results in the actual dissolution of the partnership. The surviving partner/s shall, within ten
(10) days, report such death or withdrawal to the Administration. Failure to report shall automatically include the surviving
partner/s in the list of persons with derogatory record.
SECTION 24.Upgrading, Merger or
Consolidation of Licensed Recruitment Agencies. The upgrading, merger or consolidation
of licensed recruitment agencies shall be undertaken
in accordance with the regulations of the SEC, without prejudice to the
determination by the Administration of the qualifications of the new partners
or directors.
The upgraded licensed recruitment
agencies, the surviving corporation, or the new
corporation, as the case may be, shall inform the Administration of such
changes within thirty (30) days from confirmation by SEC of such upgrading,
merger or consolidation.
SECTION 25. Change in the Composition of
Partners/Board of Directors. The licensed recruitment agency shall
notify the Administration of every change in the composition of the partnership
or board of directors within thirty (30) calendar days from the date of such
change, and submit the following supporting documents:
a.
ln case
of change of partners, the amended articles of partnership, and bio-data,
pictures, NBI clearances, AIRB clearances and income tax returns with proof of payment, for the last two (2) years of the new partners; and
b.
ln case
of election of new members of the Board of Directors,
the amended General Information Sheet and the bio-data, pictures, NBI
clearances, AIRB clearances and income tax returns with proof of payment for the last two (2) years of the new
directors.
In case of change in the controlling shares or composition of the board of
directors/partnership or any transfer of control in the operations of a
licensed recruitment agency, the new set of board of directors/partners shall
be subject to a panel interview to ascertain their qualifications
as provided in these Rules.
SECTION 26.Transfer of Shares of Stocks. A licensed recruitment agency operating
as a corporation shall notify the Administration of any transfer of shares of
stocks of the corporation within thirty (30) calendar days from approval of such transfer by SEC, together with the updated
General Information Sheet reflecting such transfer, and a certified true copy
of the Stock and Transfer Book.
SECTION 27. Appointment,
Termination, or Resignation of Officers and Personnel. The licensed recruitment agency shall
notify the Administration of the appointment, termination or resignation of any
officer and personnel of the agency within thirty (30) days from such
appointment, termination or resignation. In case of appointment, the notification shall include the following documents:
a.
Letter of
appointment containing duties and responsibilities duly accepted by the
appointee;
b.
NBI and
AIRB clearances; and
c.
Bio-data
and two (2) recent passport size pictures.
SECTION
28. Transfer of Business Address. A licensed
recruitment agency may transfer its business address upon submission of the
following:
a.
Letter of
Intent to transfer office in the case of sole proprietorship, or a partnership
or Board Resolution approving the transfer of office
in case of a partnership
or a corporation; and
b.
Copy of
lease contract or proof of building ownership.
The Administration shall acknowledge such
transfer after an assessment of compliance with space, office layout and
equipment requirements has been completed.
The licensed recruitment agency shall
publish a notice to the public of the new business address in a newspaper of
general circulation within thirty (30) days from such transfer. The proof of
publication shall be provided to the Administration
within five (5) days from publication.
SECTION 29.Establishment of a Branch. A licensed recruitment agency may request
for an authority to establish a branch specifying the location, area and
personnel. In case of a corporation, a
board resolution authorizing the establishment of a
branch shall be submitted. The request
shall be subject to evaluation taking into account the track record of the
agency and the number of job orders.
SECTION 30.Additional Office Space. - A licensed recruitment agency shall report to the Administration the acquisition of
additional office space. The additional office space shall be adjacent to the
registered main office or within the same building, provided, that, it
is properly identified and covered by a duly notarized lease contract.
RULE III
Overseas Employment and Labor Laws Compliance System
SECTION 31. Assessment of Agencies and
Labor Laws Compliance The
Administration, in coordination with DOLE, shall assess, validate and monitor
compliance of licensed recruitment agencies with these Rules and applicable
labor laws and social legislation.
An Assessment shall refer to the process
of evaluating compliance with these Rules, labor laws and social legislation,
undertaken by qualified labor laws compliance officers (LLCOs) using a
prescribed checklist in accordance with the pertinent provisions of the Rules on Labor Laws Compliance System (LLCS) issued by
the Secretary of Labor and Employment through Department Order No. 131-13. The
Assessment shall include matters relating to the maintenance of requirements on
capitalization/equity, office space, equipment,
facilities, and postings.
The Assessment shall be conducted prior
to the issuance of a license (post qualification assessment), upgrading of
provisional
license to a regular license, issuance of branch authority, renewal of license and branch authority, and transfer
of office. The
Assessment shall likewise be conducted once every two (2) years
after renewal of license.
A. ASSESSMENT PRIOR TO THE ISSUANCE OF A LICENSE
(pOST QUALIFICATION ASSESSMENT)
SECTION 32.Scope of Assessment. the post-qualification
assessment shall cover compliance with minimum office space, facilities and
equipment under Section 9 hereof by the applicant whose license application has been approved. The Assessment shall be conducted prior to
the issuance of the provisional license.
SECTION 33, Issuance of Authority to
Assess. The Licensing Regulations Office (LRO)
Director or his/her authorized representative shall issue the Authority to Assess, indicating the names of the LLCO or POEA
personnel, the applicant and its registered address, the purpose of the
assessment and the validity period of the authority.
SECTION 34.Conduct and Report of Assessment. The LLCO/POEA personnel shall
proceed to the establishment and present the authority to the applicant agency.
A responsible representative of the applicant shall receive and sign a copy of
the authority. The assessment shall be conducted in the presence of such
representative.
the assessment
report shall be forwarded to the Licensing Branch of the Administration.
B. REGULAR ASSESSMENT
SECTION 35.Scope of Regular Assessment. The Assessment shall be undertaken as a
requirement for upgrading of the provisional license to a regular license, renewal of license and branch authority, transfer
of office, and once every two (2) years after renewal of license. The
Assessment shall cover the following:
a.
Maintenance
of the minimum office space, facilities and equipment;
b. Maintenance of the
required signs and postings, such as POEA door
sticker, agency license, organizational chart, Kaukulang Bayad poster and anti-illegal recruitment
campaign posters;
c. Examination of books
of accounts, official receipts, and financial statements;
and
d. Compliance with
general labor standards and occupational safety and health standards.
SECTION 36.Issuance of Authority to Assess. the LRO Director or his/her duly authorized
representative shall issue the authority to assess to its duly authorized LLCOs, indicating the names of the LLCOs, the
licensed recruitment agency to be assessed, the purpose of the assessment and
the validity period of the authority.
The LRO Director or his/her duly authorized
representative may also request the DOLE Regional
Director for the conduct of assessment of licensed recruitment agencies,
including their branches.
SECTION 37.Conduct and Report of Assessment. The LLCO shall proceed to the establishment and
present the authority to the licensed recruitment
agency. A responsible representative of the licensed recruitment agency shall receive and
sign a copy of the authority. The Assessment shall be conducted in his/her
presence, including a representative designated by the rank and file employees
at the time of Assessment.
The Assessment shall proceed based on the
Assessment Checklist contained in Annex A hereof.
SECTION 38.Issuance of Notice of Results. The LLCO shall issue the Notice of Results
indicating compliance or deficiencies with POEA rules,
labor laws and social legislation. The licensed recruitment agency representative shall acknowledge
such results.
sECTION 39.Report of Assessment. - The LLCO shall endorse to the LRO Director the results relating to overseas employment,
or to the DOLE Regional Director for general labor standards and occupational
safety and health standards.
sECTION 40.Issuance of Certificate of Compliance. Licensed recruitment agencies that have
complied with overseas employment rules and
regulations shall be
issued, within
five (5) days from such compliance, a Certificate of Compliance with a validity
period of two (2) years by the POEA Administrator.
The Certificate
of Compliance with general labor standards and
occupational safety and health shall be issued by the DOLE Regional Director who has territorial jurisdiction over the establishment.
The Certificate of Compliance issued to
a licensed recruitment agency shall cover branch offices that have been included in the renewal of license.
Section 41.Compliance with Deficiencies. In case of non-compliance, the LLCO shall
issue a Notice of Results, together with the accomplished assessment checklist
indicating the deficiencies. The licensed recruitment agency shall comply with the
deficiencies or findings in accordance with the following:
a. In case of deficiencies on office facilities, equipment, postings and signs, the agency shall, within five (5)
working days from the date of assessment, correct the deficiencies
and submit proof of compliance for verification. Failure to comply shall cause
the imposition of suspension of documentary processing, until compliance.
b. For failure to maintain the required minimum office space,
the agency shall submit proof of compliance within
thirty (30) days from assessment. Failure to comply shall cause the imposition
of suspension of documentary processing, until compliance.
c. In case the audited financial statement indicates an amount
lower than the required capitalization, the agency
shall, within thirty (30) days from the date of assessment, infuse additional
capital up to the required minimum level and submit the certificate of
corporate filing/information on the present paid-up capital issued by the SEC.
Failure to comply shall cause the suspension of
license, until compliance.
d. In case of non-presentation of the books of accounts and
official receipts during assessment, the agency shall be given forty eight (48)
hours to present such books and receipts; otherwise,
a suspension of documentary processing shall be imposed.
e. If an unauthorized person is present in the
agencys premises, the LLCO shall report such findings for review and
endorsement to the Adjudication Office for administrative proceedings.
In case of
deficiencies on general labor standards and occupation safety and health
standards, the DOLE shall have jurisdiction over the agencys compliance in
accordance with the Rules on LLCS.
C. SALVO/SPOT INSPECTION
SECTION 42.Scope of Salvo/Spot Inspection. The Administration shall undertake
inspection in response to a complaint or report of illegal recruitment
activities and recruitment violations. Such inspection shall be conducted in
accordance with the POEA labor laws compliance manual.
RULE IV
Licensing of Companies Registered with
Philippine Overseas Construction Board (POCB)
SECTION 43. Licensing of
POCB-Registered Companies. POCB-registered companies with overseas projects
may apply in writing for a special license to deploy their workers to their overseas projects, subject to submission
of the following requirements:
a.
Articles
of Incorporation;
b.
A
certified true copy of the POCB certificate of registration;
c.
POCB certification of an existing overseas project;
d.
Affidavit
of Undertaking that the company will submit the
renewed POCB registration upon its expiration; and
e.
Proof of
payment of the non-refundable filing fee of Twenty Five Thousand Pesos (PhP25,000.00).
SECTION 44. Payment of Fees. Upon approval of the application, the applicant shall:
a. Pay a license fee of Fifty Thousand Pesos (PhP50,000.00); and
b. Submit an Escrow Deposit Agreement of Two Hundred Fifty
Thousand Pesos (PhP250,000.00) with an accredited bank authorized to
handle trust accounts by the Bangko Sentral ng Pilipinas.
SECTION 45. Issuance of
Special License. The Administration shall issue a special license to the
POCB-registered companies within twenty-four (24) hours from receipt of
application, provided all the requirements are met by the applicant. Only applications with complete supporting documents
shall be deemed filed.
SECTION 46. Validity Period
of Special License. The special license shall be valid for four (4) years
from date of issuance subject to the validity of the POCB-registration, or unless sooner revoked, terminated, suspended, or
cancelled by the Secretary or his/her duly authorized representative.
SECTION 47. Requisites for Renewal.
Within three (3) months prior to the
expiration of the license, the POCB-registered company shall submit a written application together with the following
requirements:
a. Certified copy of valid POCB Certificate of Registration;
b. Bank Certificate indicating that the escrow of Two Hundred
Fifty Thousand Pesos (PhP250,000.00) is still intact;
c.
POCB certification of an existing overseas project; and
d. Proof of payment of license fee of Fifty Thousand Pesos
(PhP50,000.00).
SECTION 48.Prohibition on Collection of
Fees from Overseas
Filipino Workers. POCB-registered companies shall not
collect any fee from the workers deployed to their projects overseas.
SECTION 49. POCB-registered Companies
without Overseas Projects. POCB-registered companies without POCB-certified overseas
projects that intend to deploy workers overseas may
apply for a regular license pursuant to Rule II, Part II of these Rules.
RULE V
Fees,
Costs and Contributions
SECTION 50.Fees and Costs Chargeable to
the Overseas Filipino Workers. The Overseas Filipino Worker shall pay the following fees and costs:
a.
Documentation
costs:
1. Passport;
2. NBI/Police/Barangay Clearance;
3. NSO authenticated birth certificate;
4. Transcript of Records and diploma issued
by the school, certified by the CHED and authenticated by the DFA;
5. Professional license
issued by the PRC, authenticated by the DFA;
6. Certificate of Competency issued by
TESDA or other competent certifying body for the job applied for; and
7. DOH prescribed medical/health
examination, based on the host country medical protocol.
b.
Membership with Philhealth, Pag-Ibig and the Social Security System.
SECTION 51.Placement Fee.
A placement fee may be charged against the Overseas Filipino Worker equivalent to one (1) month basic
salary specified in the POEA approved contract, except for the following:
a.
Domestic
workers; and
b.
Workers to be deployed to countries where the
prevailing system, either by law, policy or practice do not allow, directly or
indirectly, the charging and collection of recruitment/placement fee.
The worker shall pay the placement fee to the licensed recruitment agency only after
signing the POEA-approved contract. The
agency must issue a BIR-registered receipt stating the date of payment and the
exact amount paid.
SECTION 52. Payment of
Insurance Premium. The licensed recruitment agency
shall be responsible for the payment of the premium for the compulsory insurance coverage under Section 37-A of RA 8042, as amended.
SECTION 53.Costs and Fees Chargeable
Against the Principal/Employer. The costs of recruitment and placement
shall be the responsibility of principal/employer, which cover payment for the following:
a. Visa,
including the stamping fee;
b. Work
permit and residence permit;
c. Round
trip airfare;
d. Transportation
from the airport to the jobsite;
e. POEA
processing fee;
f. OWWA membership fee; and
g. Additional trade test/assessment, if
required by the principal/employer.
SECTION 54. Prohibition Against Charging of Other Fees. No other
charges in whatever amount, form, manner or purpose shall be charged against
the Overseas Filipino Worker, except those specified in this Rule.
SECTION 55.Service Fees. Licensed
recruitment agencies shall charge principals/employers service fees commensurate to the fair
market value of their services.
RULE VI
Skills
Test and Medical Examination for Overseas Employment
SECTION 56. Skills Testing
for Applicant. An applicant for overseas employment shall undergo a skills
test in a TESDA-accredited skills testing center only after the licensed
recruitment agency and/or its principal/employer has pre-qualified him/her for work covered by an approved job order. The licensed recruitment agency shall
ensure that the appropriate skills test shall be administered to the worker,
corresponding to the position/job category applied for.
SECTION
57.Medical/Health Examination. The licensed recruitment agency shall require
an applicant to
undergo a medical/health
examination as required by the medical protocol of the host country. The
medical examination shall be conducted through a DOH-accredited medical clinic of his/her choice, and only after
reasonable certainty that the worker shall be hired by the principal/employer under an approved job order.
The licensed recruitment agency shall
ensure that the coverage of medical examination is in accordance with the standard requirements of the host government
and the principal/employer.
RULE VII
Recruitment
Outside Registered Office
SECTION 58.Special Recruitment Activity.
A licensed recruitment agency may conduct recruitment activities outside its
registered address by securing a Special Recruitment Authority prior to the
conduct of the recruitment.
Section 59.Requirements for the Issuance of Special Recruitment Authority. A Special Recruitment Authority (SRA) may be issued upon
submission of the following requirements:
a. Letter request from
the agency stating the exact date and venue of the special recruitment
activity, as well as the name(s) of the designated
representative/s;
b.
List of
accredited principals/employers with sufficient job order balance;
c.
Proof of
notice to the local government unit through the Public Employment Service
Office (PESO); and
d. An undertaking that the agency shall take full responsibility for the acts of
its representative officers and employees, and/or the employer or his/her
authorized representative.
SECTION