Who knows, it just might be the multiplier effect a company needs to show better results of operation. As every human capital person knows, the sense of belonging and good working conditions are effective performance enhancers. This, however, is based on the assumption that regularization does not bring about better productivity for companies/employers. Since ending ENDO may eat up company resources, a regular employee may have to contend with the company’s reallocation of resources among its larger number of regular employees. Regular employees should not be unaware of ENDO ending implications to them. What does “end” mean for regular employees I am personally hoping that an end to ENDO does not increase the unemployment rate in the Philippines. While there is hope for higher compensation, no one is assured of this given the overarching impact on operations of ending ENDO. The benefits (or the lack of it) widely differ among companies and industries. The regularized employee can even get performance-based bonuses, merit increase during salary reviews, or be entitled to profit share. For contractual workers becoming regular employees of generous companies, increment benefits can include mandatory pension benefits under Republic Act 7641 or based on the company’s terms besides SSS pension benefits, improved medical coverage, more vacation, and sick leave credits, life insurance, de minimis benefits, allowances or other forms of benefits. This home comes with, probably, some benefits if not a higher base compensation. What does “end” mean for contractual workersĮnding ENDO can mean regularization of a contractual worker thus belonging to a company that one can call a second home. As to why contract workers can serve a particular company for a continuous period of more than six months-at times extending to years-has yet not been able to establish, an employee-employer relationship that would allow an employee to become a regular member of the company is something that I have not attempted to rationalize in this article but this condition, I believe, exists. In practice, one set of contractual workers is replaced by another set of contractual workers before they exceed service of six months in any particular company. These agencies become the party responsible for the welfare and ‘employment’ if at all there is one, of such contractual workers and their costs are billed/charged to their clients. The most common set up for companies needing a huge number of contractual workers is to commission an agency providing such workers. As differentiated from a regular employee, a contractual worker serves a particular company for a limited period that is anchored on a project (project-based) or fixed-term, most often not exceeding six months. With his 100th day in office approaching, the President’s army are probably gathering facts to report on the progress of making this a reality soon enough.ĮNDO or end of the contract is the term used for contractualization of workers in the Philippines. These millions have long been hoping that someone will come to their rescue and as fate would have it, came the promise of President Duterte. Millions of contractual workers are in the same boat as Ate Faith, a boat bereft of a few things that would help them cope better with daily life and assure them of at least augmentation funds as they age beyond retirement. If there are other benefits that she can get from her agency, Ate Faith is not aware or has no recollection of any that has been explained to her or if there is anything stated in her employment contract. She mentioned having been hospitalized at once and managed to get a subsidy from Philhealth nonetheless, she had to shell out a huge amount. She receives her 13th-month pay while all government mandated deductions such as SSS, HDMF, and Philhealth are taken out of her monthly pay. For her annual five-day vacation leave entitlement, she is given the cash equivalent after each year of service but throughout the year the agency adheres to a policy of no-work-no-pay policy with time keeping which reduces her take-home pay. Javier, former Assurance partnerĪte Faith, a contractual worker, told me that she has been with an agency for 14 years and is not aware whether or not she will receive retirement pay other than what she is entitled to under the Philippine Social Security System (SSS) when she retires.
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