More local firms in the region have voluntarily absorbed their contract workers 14 days after attending a regional consultation led by the Department of Labor and Employment on ending the ‘endo’ scheme where contractuals are hired every six months.
“We were expecting this to happen. We know that our local firms would understand the context of ‘endo’ and will positively react to it,” Labor regional director for Bicol Ma. Karina Perida-Trayvilla said.
At least 285 contract workers were absorbed as regular employees by 24 local firms across the region, Trayvilla said.
The absorbed contract workers were from shopping malls, restaurants, manufacturing, distribution, electric cooperative, sales and even from a national government agency.
“This is a very positive development. The absorption of the workers were voluntary. We hope that other establishments will follow,” she added.
Trayvilla said voluntarily absorbing contractual workers will give employers a better deal rather than waiting for the labor department to issue a compliance order.
“If they do it voluntarily, they can get some leeway in terms of giving monetary benefits to the former contractual employees. If we issue a compliance order, the processes will have to be followed strictly,” she said.
Labor Secretary Silvestre Bello III earlier vowed to reduce by half the number of recorded contract workers by the end of the year.