Why is contractualization an issue?

Why is contractualization an issue?

Contractualization is one of the biggest problems our country facing right now. In this kind of system of work, you do not have permanent job you can only work for a company for only five to six months. Many Filipinos are suffering from it because they do not get what they deserve.

What is the disadvantage of contractualization?

Some of the disadvantages of contractualization include unemployment, no employer benefits and lack of job security. It prevents them from enjoying the full benefits of regular employment (e.g. 13th month pay).

What is the effect of contractualization?

In reality, contractualization has detrimental effects on their operations too. A company that engages in this practice would have a very high turnover rate of personnel. This, in turn, creates a disruptive operational environment and actually leads to higher costs of training and higher incidence and costs of errors.

What is the effect of contractualization in a country?

Contractualization helped to reduce the cost of labor because temporary workers are not entitled to all the privileges associated with the benefits accorded to regular employees.

Why contractualization is harmful to everyone not just for employees?

By allowing capitalists to intensify their exploitation of workers, contractualization actually enables capitalists to pay workers less for the same work, stunt economic development, and therefore harm the interests of all Filipinos – including of capitalists themselves.

What is labor contractualization in the Philippines?

Labor contractualization, also known as “end-of-contract” or endo, denies workers a pathway to permanent employment via five-month contracts. Workers by law are required to be granted permanent status after six months.

Does contractualization benefit the working class?

Undermining working-class organization But the practice of contractualization does not only hurt workers’ and capitalists’ immediate interests, it also undermines their long-term interests.

What is contractualization law?

Why do workers oppose the practice of contractualization?

“Contractualization has violated workers’ rights to organize and collectively bargain for higher wages, economic benefits, social security, better terms of employment, and better work conditions. It has also forced workers into accepting unfair labor practices and violations of their political rights.

What is the present status of contractualization in the Philippines?

Contractualization is a form of short employment popular in the Philippines. The practice has been in existence since 1974. Overall, this employment contract has been termed illegal by labor groups and other bodies protecting workers because it exploits them.

How many workers are affected by contractualization?

Out of this total, the DOLE has confirmed that 767 companies practice labor-only contracting. This initial list also notes that over 224,000 workers are affected by illegal contracting practice, and a total of 176,286 workers have already been regularized.

Why is contractualization important?

Contractualization has been devised by previous lawmakers in order to address and tackle the issue of poor economic growth in the country.

What are the negative effects of contractualization?

Contractualization has a lot of negative effects on the company and most especially the workers. First and foremost, the contractuals are not getting paid in full, meaning they are getting lower salary than the regular workers and they are not getting benefits from the company.

What is contractualization and why is it needed?

Contractualization has been devised by previous lawmakers in order to address and tackle the issue of poor economic growth in the country.

Should contractualization be banned?

The loud public talk to ban contractualization suggests the need to be clear about its different meanings. One meaning is “endo” or end of contract. The other is “deceptive contractorship”.

What are the pros and cons of contractualization in the Philippines?

There are pros and cons that should be considered when it comes to keeping the practice of contractualization in the Philippines. They include the following: Contractualization has been devised by previous lawmakers in order to address and tackle the issue of poor economic growth in the country.