Jollibee clarifies: Order to regularize workers on appeal

FAST-FOOD chain Jollibee Foods Corporation clarified Thursday, April 5, that the Department of Labor and Employment (DOLE) order regarding the employment status of its workers “is not yet final and executory.”

In a disclosure to the Philippine Stock Exchange, Jollibee said “following due process requirements under applicable regulations, the matter is pending appeal.”

The company said it has been compliant with the new guidelines on contracting and subcontracting arrangements contained in Department Order No. 174.

The department issued a statement Wednesday, quoting DOLE National Capital Region director Henry John Jalbuena as saying that his office has ordered Jollibee to grant regular employment status to 6,482 workers deployed by two contractors.

Jalbuena also directed the company to refund P15.43 million in “illegally collected payments” to 426 workers. The amount is the combined employee contributions to Coop Share, Coop Christmas Party Paluwagan Fund, and Coop Savings Fund.

DOLE further ordered five Jollibee contractors to return P4.14 million in “unlawful wage deductions, bonds, donations, shares and other illegal payment collections to 412 affected workers.”

The order was issued following an inspection conducted as part of the government’s efforts to stop illegal contractualization practices.

Jalbuena had also ordered the regularization of 704 workers deployed by three contractors to Perf Restaurant, which operates the Burger King chain.

The department is set to inspect McDonald’s and Kentucky Fried Chicken outlets next.