What to do when DOLE inspectors come
The DOLE inspector is not an enemy, he is just doing his job. But his findings may pose a grave and imminent danger to the viability of your business. His powers are vast and he is armed with an authority to inspect signed by the DOLE regional director. If you refuse him entry, or refuse him access to your records, premises, and employees, he can initiate the filing of criminal action against you, your business owners, and managers. Therefore welcome him, just like the way you welcome your mother-in-law, with respect and polite demeanor. But be wary and do make sure that he does not exceed the bounds of his authority. While he is entitled to respect because he represents government, he likewise has a corresponding duty to respect you, as you represent the owners of the company.
Labor inspectors expect you to be prepared with your documents. Thus, put all records in order, payrolls, vouchers, records of remittances to the SSS, Pag-Ibig, PhilHealth, and BIR. Prepare the service agreements and the contracts between the principal employer and the service and job contractors, and also the work contracts between the service contractors and their workers. Anyway, the DOLE must have forewarned you to be prepared with specific documents listed by them. Designate a specific room, which is comfortable and spacious enough to contain all the voluminous documents, with still enough area for workers to be interviewed.
Make sure that there are no secret interviews, and that you are present in all interviews because the inspection is joint and you are supposed to sign the findings. Thus, it is only fair that you hear the workers' testimony. One of the unfair things that can be done against management is when the inspectors prod workers to create a scenario that puts management in bad light. Due-process requires that management must hear any testimony or report made by any worker, so that the employer can also give its side on the issue. If there is a finding that is unfair, untruthful, speculative, or over-generalized, then the management representatives must annotate their objections or exceptions to those damaging statements.
But even before the inspector starts his task in examining documents and interviewing workers, management must give him a PowerPoint or video presentation about the company. He must know the vision and mission of the owners, the corporate values of management, the many programs and projects of the company for the good and well-being of its employees. The inspector should also be given a document showing how many millions are paid by management to the BIR and Customs, how much has been remitted on an annual basis to the SSS, the Employees Compensation Commission, Philhealth and Pag-Ibig.
The inspector should get the impression that yours is not a bad company but a friend of the government, a partner of DOLE and a creator of jobs and livelihood, and a pillar of economic development of the country. DOLE should treat your company as an ally and not an enemy.