21-B Rufino Pacific Tower, 6784
Ayala Avenue cor. Rufino St.,
Makati, Metro-Manila, Philippines
Employment of Filipino Employees - Philippines
K&C keeps itself updated on the latest changes in Labor law and jurisprudence. K&C will draft employee contacts and manuals for your foreign and local employees, which follow the labor law guidelines. We can advise you on salary structures and suggest tax efficient compensation packages for your foreign employees as well. K&C also lists down what every foreign employer should know before setting up a company in the Philippines regarding hiring Filipino and foreign employees.
The Philippines produces over 450,000 university graduates every year, providing a large selection of human resources for potential employers. Most of these universities are situated in Metro-Manila, but there are a large number of tertiary institutions spread throughout the country. The ability to locate and recruit highly-educated, hardworking employees is an important requirement for foreign and local companies doing business in the Philippines. The most common forms of employee recruitment include internal database searches, networking events, job fairs, and newspaper advertisements.
In general, salaries are increasing in the Philippines due to economic growth, especially in the BPO/IT/Call Center industries. However, IT professionals, tech support and call center support representatives' salaries are still significantly lower than in the US, Canada, Australia and Europe. The average monthly salary of tech or customer support representatives in the Philippines ranges from US$300 to US$400. the price of and IT professional in the Philippine can range anywhere from $300 - $2,000 depending on experience and skill-set.
The Philippine Social Security System consists of Social Security System (SSS), Home Development Mutual Fund (HDMF) and Philippine Health Insurance Corporation (PhilipHealth). The SSS was created to provide private employees and their families with protection against disability, sickness, old age, and death. The Government Service Insurance System (GSIS) is an equivalent system for Philippine government employees. The HMDF is a provident savings system providing housing loans to private and Philippine government employees, and to self-employed persons who elect to join the Fund. PhilHealth is administered by the Philippine National Health Corporation, which is designed to provide employees with a practical means of paying for adequate medical care in the Philippines. Read more.. >>
The laws on labor standards and employment relations are consolidated in the Labor Code of the Philippines. Employees in the Philippines generally work eight hours per day or 48 hours per week. Some offices and industries work half or full days on Saturdays. Rest periods of short duration during work hours shall be counted as hours worked. In the BPO industry must of the employees' schedules are a the graveyard shift to coincide with US hours. Read more.. >>
The 13th-month pay in the Philippines is equivalent to 1/12 of
the basic salary received by an employee within the year. If a
Filipino employee worked for less than a year (regardless of the
cause for the termination of employment), the amount due to him is
determined by dividing the total salary he received by the number
of months he was employed.
Read more.. >>
In general, providing a fixed list of holiday dates is difficult because most of the 2008 regular holidays and nationwide special holidays are movable, as provided under Republic Act 9492 (an Act rationalizing the celebration of national holidays). For these movable holidays, the President is tasked by law to issue a Proclamation, at least 6 months prior to a movable holiday, fixing the specific date of that non-working day. Read more.. >>
Depending on the company and or industry there are various types or categories of employment in the Philippines. This essentially comes down to how the employer wants the employee's employment to be structured, which should be bound by a contract signed by both the employer and employee. Generally, types of employment in the Philippines are listed as, Project, Seasonal, Regular & Casual, Term or Fixed and Probationary Employment. Read more.. >>
An equality of rights exists between employer and employee. While the employer cannot force the employee to work against his or her will, neither can the employee compel the employer to continue giving him or her work if there is a lawful reason not to do so. Thus, the employer may terminate the services of an employee for just or authorized causes after following the procedure laid down by law, but the employer has the burden of proving the lawfulness of the employee's dismissal in the proper forum. Read more.. >>
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