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Thread: Outsourcing a department

  1. #11
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    Default Re: Outsourcing a department

    It's true that janitorial and security services in the Philippines are handled by agencies or manpower companies. Although I understand that outsourcing these non-frontline functions can save companies from financial costs incurred through time-consuming hiring and training processes, it's just sad that many security guards and maintenance workers aren't paid their due. Agencies extract a hefty placement fee from their salaries. Worse, some companies pay below the minimum wage and do not provide the mandatory government benefits. I just wish the government would regulate these agencies so that they do not exploit their staff to serve their own ends.

  2. #12
    Diamond Member Corzhens's Avatar
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    Default Re: Outsourcing a department

    It is election season - the Philippine presidential election is on May 9. Obviously, the campaign would promise the voters even the sun and the moon. All 5 presidential candidates are talking about the issue of outsourcing agencies which prevents a worker to be hired permanently. According to the labor law, once an employee stays with the company for more than 5 months then he should be hired permanently. But the outsourcing agencies have a way of evading that issue. Now the promise of the presidential candidates is to remove that outsourcing agencies for positions that are regular like security guard and janitorial services. Those agencies would only be valid for emergency positions and other temporary functions.

  3. #13
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    Default Re: Outsourcing a department

    @corzhen
    I believe they are referring to direct operation employee, it is perfectly fine to outsource janitorial, security staff, it is not the primary business of a company. they
    are referring to sales ladies, warehouseman, truck driver (company own fleet), Operation staff, including those who are directly involve in the business. Janitorial and Security Personnel are not a company's main line of business if they is into trading, manufacturing, etc...

  4. #14
    Diamond Member Corzhens's Avatar
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    Default Re: Outsourcing a department

    We just had the presidential elections last Monday and the unofficial winner is Rody Duterte who promised to do away with that contractual type of employment. That means the outsourcing agencies who supply temporary employment will have a problem in justifying their purpose. The contractual type is hiring a worker legally for 5 months only. In excess of 5 months of work, the worker is automatically considered permanently hired. So the scheme of outsourcing companies is to supply big companies with contractual workers and replace those workers after 5 months to avoid the automatic permanent status.

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