By Erma Edera
Labor group Trade Union Congress of the Philippines (TUCP) lauded the passage of the Security of Tenure bill, saying that it would “bring hope to millions of workers employed under the contractual scheme.”
On Wednesday, the Senate approved on third and final reading the bill, seeking to eliminate the practice of “endo” or “end of contract” by employers and guarantee security of tenure of workers.
“By a vote of 15-0, the Senate also brushed aside the apprehensions and objections posed by Finance Secretary Sonny Dominguez that the bill would negatively affect the economy and was contrary to the interest of management flexibility.” [end-of-contract] employment,” said TUCP president Raymond Mendoza.
In a statement, the TUCP said the passage of the measure would begin the process of finally ending contractualization.
“We remind Secretary Dominguez that TUCP also respects management flexibility, but it must be consistent with the constitutional rights of workers, the right to security of tenure, the laws and the higher goals of building decency and fairness in a society faced with growing income and social inequality,” Mendoza said.
“By helping President Duterte meet his campaign vow of ending contractualization, all of us are actually building a socially inclusive country and strengthening genuine grassroots democracy,” he added.
The TUCP president also estimated 15 million contractual and “endo” workers in the country.
“The bill will incentivize workers to higher labor productivity by regularizing huge numbers of them. It will cut down production costs by doing away with ‘labor-only’ or ‘cabo’ contractors whose financial services charges add 15% to the labor costs of employers utilizing such agencies,” he said.