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    Position Paper FINAL

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    Kaye Ortiz
    The document discusses the issue of contractualization in the Philippines. It begins by explaining John Paul II's views on work and human dignity from his 1981 encyclical Laborem Exercens. However, the practice of contractualization has developed, where workers are hired on short-term contracts to avoid providing benefits. While some argue it provides jobs, workers on contracts are denied security and benefits. The document examines arguments from both sides and examples of companies regularly using contractualization. It concludes that while flexibility is important, employers must also ensure worker rights and dignity are upheld.

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    Position Paper FINAL

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    Kaye Ortiz
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    The document discusses the issue of contractualization in the Philippines. It begins by explaining John Paul II's views on work and human dignity from his 1981 encyclical Laborem Exercens. However, the practice of contractualization has developed, where workers are hired on short-term contracts to avoid providing benefits. While some argue it provides jobs, workers on contracts are denied security and benefits. The document examines arguments from both sides and examples of companies regularly using contractualization. It concludes that while flexibility is important, employers must also ensure worker rights and dignity are upheld.

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    The document discusses the issue of contractualization in the Philippines. It begins by explaining John Paul II's views on work and human dignity from his 1981 encyclical Laborem Exercens. However, the practice of contractualization has developed, where workers are hired on short-term contracts to avoid providing benefits. While some argue it provides jobs, workers on contracts are denied security and benefits. The document examines arguments from both sides and examples of companies regularly using contractualization. It concludes that while flexibility is important, employers must also ensure worker rights and dignity are upheld.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    857 views4 pages

    Position Paper FINAL

    Uploaded by

    Kaye Ortiz
    The document discusses the issue of contractualization in the Philippines. It begins by explaining John Paul II's views on work and human dignity from his 1981 encyclical Laborem Exercens. However, the practice of contractualization has developed, where workers are hired on short-term contracts to avoid providing benefits. While some argue it provides jobs, workers on contracts are denied security and benefits. The document examines arguments from both sides and examples of companies regularly using contractualization. It concludes that while flexibility is important, employers must also ensure worker rights and dignity are upheld.

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    © All Rights Reserved
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    The document discusses John Paul II's views on work and dignity, and introduces the topic of contractualization in the Philippines.

    Supporters argue it provides flexibility and opportunities, while critics say it denies benefits and security. Both sides are discussed.

    Jollibee, PLDT and Dole are mentioned as still practicing contractualization, affecting over 30,000 workers.

    Anne Kathryn M. Ortiz Written Work No.

    4 (Position Paper)
    12G October 11, 2019

    “Endo”

    In 1981, John Paul II wrote the Encyclical “Laborem Exercens”. John Paul II
    developed the concept of man’s dignity at work. He stated that "Man's dominion over
    the earth is achieved in and by means of work. The proper subject of work continues to
    be man," and the finality of work "is always man himself." It is a question of the objective
    and subjective meaning of work: although both are important, "there is no doubt that
    human work has an ethical value of its own, which clearly and directly remains linked to
    the fact that the one who carries it out is a person, a conscious and free subject, that is
    to say, a subject that decides about himself”.

    Unfortunately, Contractualization has developed and has been implemented in


    the business community. Endo Contractualization or Contractualization is the process of
    evicting or disposing of an employee after working for a few months (Azucena Jr.,
    2016). It is the practice of hiring workers as “contractual” rather than as “regular”
    workers to avoid giving them the benefits that they are legally mandated to receive – it
    allows employers to increase their profits and hire more. This, therefore, does not
    uphold an employee’s dignity and denies Laborem Exercens.

    Most people believe that Contractualization helps the unemployed as it gives


    more opportunities and makes way for people to have other means of work (Joyce,
    n.d.). Whereas, workers under the contractual contract do not get the benefits a
    regularized worker has. According to the Labor Code of the Philippines Presidential
    Decree 442 Article 279 stated that there must be a security of tenure. According to the
    article, an employee who is unjustly dismissed from work shall be entitled to
    reinstatement without loss of seniority rights and other privileges and to his full-back
    wages, inclusive of allowances, and to his other benefits or their monetary equivalent
    computed from the time his compensation was withheld from him up to the time of his
    actual reinstatement. This is not implemented when it comes to contractual workers.

    English for Academic and Professional Purposes (Written Work No. 4: Position Paper) Page 1 of 4
    Companies continue to contractualize workers and deprive employees of their rights as
    a worker to spend less on labor (Abenir, 2019). Makabayan senatorial candidate Teddy
    Casino agreed with the issue. "Many of these contractual workers have been working in
    their respective companies for years. Their contracts are merely renewed and they are
    not given benefits and adequate wage rates. This is even happening in government
    institutions," Casiño explained, recalling complaints of public school teachers who have
    remained under contract amid serving for a decade or so.

    Despite the proper laws given, proponents of Temporary Employment Contracts


    argue that contractualization is necessary because not all work is needed year-round as
    in the case of seasonal workers in agriculture or when there is a fleeting surge in
    business which would require additional workers. Though this argument may apply to
    some fields of work, this is still being used by other companies that are all year round as
    a ‘loophole’ to escape the law. Examples of companies that would still uphold
    contractualizaton would be Jolibee, Philippine Long Distance Telephone (PLDT) and
    Dole, affecting over 30,000+ workers alone (CNN Philippines, 2018). This may be
    considered unethical though it is not illegal.

    Today, corporations are being asked to supply a number of requirements which


    include flexible working arrangements for their employees. Providing temporary work is
    the best step they could take in order to offer the required flexibility while meeting their
    own needs as well. According to Denise Ridenour from Kelly Services, employing both
    a mix of permanent and temporary workers will result to a more efficient and effective
    workplace. She adds that this practice also leads to a flexible job market that presents
    greater prospects for both companies and workers (Pinoy Bisness, 2016). Anna Meloto-
    Wilk, a co-owner of Human Nature, says otherwise as their business ventured from
    contractual to regularized workers. She stated that because their merchandisers are
    regulated, they are able to properly train their workers to fit their values and mission as
    a company. Whether or not a worker has a temporary or a regularized contract, he/she
    would still undergo training for their assigned work. There may be instances that the
    employer would exert more effort into temporary workers so that they may be able to

    English for Academic and Professional Purposes (Written Work No. 4: Position Paper) Page 2 of 4
    succeed with the given task. This would result to taking up more time, therefore making
    the workplace inefficient.

    Romero (2016) stated that the danger to the economy will come from the
    reaction of law-abiding would-be investors to a no-contractualization law. If paying the
    benefits required by such a law will mean that they will not be able to derive profits from
    their capital, they will not establish businesses. Yuji Gonzales disagrees, Big
    businesses such as SM are willing to regularize their workers but continue to gain profit
    while being able to provide for their employees. Labor Secretary Silvestre Bello III said
    that the management of some big malls in the country has expressed their intention to
    regularize employees, amid public clamor to end labor contractualization.

    Contractualization is not a unique case in the Philippines. It is also prevalent in


    other countries. It has evolved and assumed different names but the bottom line
    remains the same: workers find no security in terms of tenure and benefits, among
    others (Lagsa, 2013). Every worker has their true and innate right. John Paul II upheld
    the motion of ensuring that every man must be safeguarded in the workplace as they
    are outside. Nevertheless, employers must guarantee their employees safety and
    benefits, may it be contractual or regularized.

    References

    Abenir, M. A. (2019, March 26). Contractualization and the rights of workers. Retrieved
    October 7, 2019, from https://www.rappler.com/views/imho/226656-
    contractualization-workers-rights.

    Catholic Pages. (2007). Laborem Exercens. Retrieved October 8, 2019, from


    http://www.catholic-pages.com/documents/laborem_exercens-summary.asp.

    Gonzales, Y. V. (n.d.). Bello: Big malls 'willing' to regularize workers. Retrieved from
    https://business.inquirer.net/217011/bello-big-malls-willing-to-regularize-workers.

    English for Academic and Professional Purposes (Written Work No. 4: Position Paper) Page 3 of 4
    Joyce, S. (n.d.). The Advantages and Disadvantages of Temping. Retrieved October 8,
    2019, from https://www.job-hunt.org/temporary-work/temporary-employment-
    advantages-disadvantages.shtml.

    Jr, C. A. A. (2016, September 18). Contractualization: Which meaning do we mean?


    Retrieved October 7, 2019, from
    https://business.inquirer.net/215071/contractualization-which-meaning-do-we-mean.

    Lagsa, B. (2013). Contractualization: The workers’ curse. Retrieved October 8, 2019,


    from https://www.sunstar.com.ph/article/281658.

    Meloto-Wilk, A. (2017, May 8). Will ending contractualization be bad for business?
    Retrieved October 7, 2019, from https://business.inquirer.net/229017/will-ending-
    contractualization-bad-business.

    Pinoy Bisness (2016, October 15). The Pros and Cons of Contractualization. Retrieved
    October 7, 2019, from https://www.pinoybisnes.com/others/the-pros-and-cons-of-
    contractualization/.

    Robles, C. (2010). THE LABOR CODE OF THE PHILIPPINES PRESIDENTIAL DECREE


    NO. 442, AS AMENDED. Retrieved October 8, 2019, from
    http://www.chanrobles.com/legal4labor6.htm.

    Romero. (2016). Negative economics of no-contractualization. Retrieved October 10,


    2019, from http://manilastandard.net/mobile/article/210085.

    Staff, C. N. N. P. (2018, May 30). DOLE reveals Top 20 companies found or suspected to
    be engaged in labor-only contracting. Retrieved October 7, 2019, from
    https://cnnphilippines.com/news/2018/05/28/DOLE-labor-only-contracting-
    companies-contractualization.html.

    English for Academic and Professional Purposes (Written Work No. 4: Position Paper) Page 4 of 4

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