Position Paper – Labor Case in the Philippines “Jollibee Food Corporation Labor only Contracting and Unfair Labor Practices”

The food giant Jollibee Foods Corporation (JFC) was highlighted last July 17, 2018, when the house resolution was released regarding its service contractors and unfair labor practices that the company committed.

As fully mentioned in the resolution, JFC is one of the biggest companies in the Philippines employing 2,875. With this JFC also goes international bringing billions of revenue in the country. JFC is countering the labor issues that the usual employer sentiments that the status of the company will be affected if employees will be regularized that instant. The company is practicing it for a long time so why is it now.

My position is of course with the workers that already suffer a lot so why not give them a break for working the long in the company. Leaving them on contractual terms will keep the contractors taking different cuts on their salary such as Christmas Party Paluwagan, summer funds, Tulong pangkabuhayan and the like that the Department of Labor and Employment had found out on the 102 branches that were visited. Security of tenure or security of work status is not only beneficial to the workers but also to the company has loyalty will go up including morale and self-esteem while the company’s reputation will be higher. 

Contractualization, known colloquially as “endo” or “end of contract” is a common practice in the Philippines in which companies hire employees under a fixed-term contract of fewer than six months to avoid having to provide them with benefits required by law.

JFC had been told to “regularize” (make permanent) more than 6,000 of their employees but has said that this responsibility lies in the “service contractor” agencies the workers come from. This section needs refurbishing as subcontractualization is the next issue that is gray and is now providing a deviation on the labor issues. 

This scenario is not only happening with the biggest food chain in the Philippines but also to other industries. The past of the Philippine when it comes to refining the labor policies had a major glitch and these need to be polished now.  With the presence of globalization and the country rising as a hub of investment, the Philippines must refine these issues to safeguard the Filipino people and at the same time make the country more attractive to investors.

Again, the policies will be under the government’s decision making and it all boils down to political will about the implementation. The people should also support once the final approved policy is released. 

by: OMM's review