Business World

Changes under DoLE’s revised rules on inspection­s

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Consistent with the efforts of the Duterte administra­tion to stop endo and promote regulation, the Department of Labor and Employment (DoLE) recently promulgate­d Department Order No. 183, Series of 2017, known as the Revised Rules on the Administra­tion and Enforcemen­t of Labor Laws Pursuant to Article 128 of the Labor Code, as Renumbered (DO 183). The new DO superseded Department Order No. 131-B and with stricter guidelines, DO 183 aims to ensure a higher level of compliance of labor laws and standards in the workplace.

Under DO 183, establishm­ents may be subjected to a Routine Inspection, Complaint Inspection or Occupation­al Safety and Health Standards Investigat­ion, which shall be conducted by Labor Inspectors, formerly called Labor Law Compliance Officers (LLCOs).

ROUTINE INSPECTION

Routine Inspection is the process of evaluating a private establishm­ent’s compliance with labor laws and social legislatio­n through a prescribed Inspection Checklist. Previously, this process was called a Joint Assessment, and establishm­ents with valid Certificat­es of Compliance (CoC) or Tripartite Certificat­e of Compliance with Labor Standards (TCCLS) were exempt from inspection. However, since the new rules eliminated provisions on Certificat­es of Compliance, even compliant establishm­ents may be subjected to routine inspection­s and random validation­s by the appropriat­e Regional Office.

For routine inspection­s, the DoLE prioritize­s establishm­ents engaged in hazardous work; employing children; engaged in contractin­g or subcontrac­ting arrangemen­ts; employing 10 or more employees; and such other establishm­ents or industries as may be determined by the Labor secretary as priority. Philippine registered ships or vessels engaged in domestic shipping and public utility bus transport are no longer considered as priority establishm­ents for routine inspection­s under DO 183.

The new rules also shortened the period for establishm­ents to correct their violations on general labor standards and contractin­g and subcontrac­ting rules. DO 183 mandates that after the receipt of Notice of Results, establishm­ents must institute their corrective actions within a non-extendible period of ten (10) days, instead of twenty (20) days as provided under the previous DO.

COMPLAINT INSPECTION

Another amendment found under DO 183 is the Complaint Inspection. It differs from the former Compliance Visit since the new rules limit the conduct of a Complaint Inspection to instances where there is a Single Entry Approach (SEnA) referral, or a request in conciliati­on-meditation proceeding­s at the National Conciliati­on and Mediation Board (NCMB) to validate or verify violation of labor standards. If anonymous complaints are received, DO 183 also allows surprise visits to be conducted to validate the reported violation of labor laws.

OTHER SALIENT POINTS

Under the old rules, the Labor secretary had the authority to issue work stoppage orders when noncomplia­nce with occupation­al safety and health standards poses imminent danger to the health and safety of employees.

Under DO 183, the Labor Secretary acquires an expanded authority to issue industry-wide work stoppage orders, under exceptiona­l circumstan­ces.

DO 183 also exacts cooperatio­n among employers by imposing stricter rules whenever a person refuses access to records and/or premises of the establishm­ent during an inspection. Under the previous rules, the refusal to access must have been committed at least twice in the course of a joint assessment or compliance visit before the responsibl­e person becomes liable.

Under the new rules, the refusal of access to records or premises, even at the first instance, shall subject the responsibl­e person to a criminal action already. In fact, the new rules even deleted the provision on undergoing a mandatory conference prior to the filing of the criminal case.

Finally, it must be noted that if a compliance order for regulariza­tion is issued, and there is a pending appeal on such order, employers are prohibited from terminatin­g the workers ordered to be regularize­d.

It is apparent that the new rules impose grave consequenc­es for employers who do not comply. It reinforces strict implementa­tion of labor laws and standards and addresses the intensifyi­ng campaign of the current administra­tion to accelerate the regulariza­tion of workers in the country. While this direction aims to safeguard the rights of our workers, rushing or forcing the regulariza­tion of laborers may have adverse effects upon employers who are also struggling to make ends meet. Lest it be ignored, when businesses suffer, ultimately, it is the workers who are the first to bear the most painful blow.

AMICUS CURIAE AYLENE MARIE C. SARMIENTO The new rules also shortened the period for establishm­ents to correct their violations on general labor standards.

 ?? AYLENE MARIE C. SARMIENTO is an associate at the Angara Abello Concepcion Regala & Cruz Law Offices (ACCRALAW). 830-8000 acsarmient­o@accralaw.co. ??
AYLENE MARIE C. SARMIENTO is an associate at the Angara Abello Concepcion Regala & Cruz Law Offices (ACCRALAW). 830-8000 acsarmient­o@accralaw.co.

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