No mass retrenchment of OFWs in Saudi – DOLE

The Department of Labor and Employment on Thursday refuted reports of mass retrenchment of Filipino workers in Saudi Arabia.

There is no massive, oil-related OFW retrenchment, Labor Secretary Rosalinda Baldoz said, citing a report from the Philippine Overseas Labor Office in Saudi Arabia.

“Saudi companies are not dismissing Filipinos wholesale from their jobs contrary to reports,” she said.

However, two construction giants – Saudi Oger Ltd. and Saudi Binladin Group – employing a large number of OFWs are having problems with their workers, she added.

Baldoz said the problems affecting Saudi Oger Ltd. have been recurring since last year and even before the global oil price downturn.

“We have already said last week that since last year, some Saudi Oger workers have been experiencing delays in salary that are not oilrelated, although the company has had lesser difficulty paying workers with salaries of 5,000 Saudi riyals and below,” she said.

Based on Philippine Overseas Employment Administration data, Saudi Oger employs 8,757 OFWs, Baldoz said.

“Statements of massive OFW retrenchments in Saudi Arabia are not helpful at all to the country, especially to OFW families, particularly in terms of ensuring an effective and unified national response to the plight of OFWs who might be affected, not just by the global decline in the price of oil, but by any crisis or emergency,” she said.

Baldoz said only workers in Saudi Oger’s construction division are experiencing delays in payment of salaries.

“This is why some workers decided not to renew their contracts,” she said.

“But management, according to the our POLO, has already announced through a letter to all its employees that starting March, all salaries will be paid before the end of the month and all outstanding unpaid salaries will be paid progressively in the coming months.”

Saudi Oger has repatriation cases involving 43 OFWs, but POEA said none of them have returned home.

The Saudi Binladin Group has been penalized with not being awarded with new contracts following a crane accident in Mecca last November 2015 that caused injuries and deaths of pilgrims, Baldoz said.

Only 5,930 OFWs are working under the SBG’s airport, building and construction division.

There were 42 OFW repatriation cases involving SBG, with 14 OFWs already repatriated, including remains of three deceased OFWs.

SBG has 7,334 job orders for 2014-2016, with 3,337 contracts processed, or a 45 percent job order utilization rate.

Baldoz said another big company, Saudi Aramco, has a slowdown, but will continue hiring OFWs. It has scheduled final interviews with applicants from March to June.